PLATINUM: NAP second quarter suffers from mill interruption

ONTARIO – A mill shutdown from May 8 to June 26 at the Lac des Iles mine has cut deeply into the second quarter results of Toronto-based North American Palladium. The mill was idled due to water balance issues caused by a late and rapid onset of spring.

The project 85 km northwest of Thunder Bay produced only 22,902 oz of palladium, a 42% drop from Q2 2014. Revenue was $27.3 million, a decrease of 46% or $23.2 million compared to the same period a  year earlier.

NAP lost a total of $4.0 million (adjusted EBITDA), compared to earnings of $14.5 million in Q2 2014.

The restarted mill is expected to average 8,400 t/d during 2015. Running the mill at this reduced rate will allow the company to finalize and implement a design that addresses tailings requirements for the foreseeable future.

Additional information about the Lac des Iles mine and mill are posted at NAP.com.