Anglo Platinum Eyes Big Jump In Earnings On Higher Prices

Anglo Platinum Ltd. (AMS.JO), the world's largest producer of the metal, said Thursday it expects its 2010 earnings roughly tripled due to a jump in the price received for platinum group metals.

Profit for the year also will be affected by the sale of Angloplat's 37% stake in the Western Bushveld Joint Venture to smaller Wesizwe Platinum Ltd. (WEZ.JO) and a 5% interest in Royal Bafokeng Platinum Ltd. (RBP.JO), which listed in November.

The earnings forecast helped buoy the company's share price, which at 1351 GMT was trading 3.5% higher at 748 rand to outpace a modest gain in the wider market.

The Johannesburg-based company said its basic earnings for the year are expected to have increased to between 3,579 cents and 3,825 cents a share ($5.24-$5.60) from a restated 1,234 cents for 2009.

Headline earnings--the figure generally followed by South African analysts which strips out capital, non-operating and certain other items--are expected to have risen to between 1,907 cents and 1,965 cents against 289 cents the year before, the company said.

Angloplat, a unit of U.K.-based mining company Anglo American PLC (AAL.LN), in October said it was on track to produce 2.5 million ounces of refined platinum in 2010. At that time it said its half-year basic earnings had risen 10%.

The company's full-year results are due to be released Feb. 7.

-By Robb M. Stewart, Dow Jones Newswires; [phone]; [e-mail]