SOURCE: Stillwater Mining Company

Stillwater Mining Company

April 09, 2010 12:58 ET

Stillwater Mining Company Releases 2009 Annual Report; Comments on State of Palladium Market

COLUMBUS, MT--(Marketwire - April 9, 2010) -  STILLWATER MINING COMPANY (NYSE: SWC) today posted its 2009 Annual Report to the company's website, www.stillwatermining.com. The report can be accessed electronically through the Investor Relations tab on the website.

This year's Annual Report includes the company's 2009 Annual Report on Form 10-K, as previously filed with the Securities and Exchange Commission, along with comments on 2009 performance from the company's Chairman, Frank McAllister, and four stand-alone reports addressing distinct areas of strategic importance to the company.

Among these reports is one titled, "The Case for Palladium." On January 6, 2010, the company issued a press release commenting on the state of the markets for palladium and platinum. In that release, the company highlighted some underlying changes that have emerged recently in these markets and announced that the company had commissioned an independent study of these nascent market dynamics to validate our views. 

In brief, "The Case for Palladium" concludes that, "a fundamental palladium market deficit potentially lies directly ahead which will leave incremental palladium supply reliant on existing stocks, recycling supply... and still [will fall] short of meeting demand." Among the factors cited in support of that view are the following:

  • Platinum and palladium remain scarce commodities with very limited prospects for supply growth;
  • South African production, key to global supply, faces impending severe operating and growth constraints;
  • Car build and PGM catalyst loadings are both now growing again after a steep downturn in 2009;
  • New palladium and platinum Exchange Traded Funds have increased retail demand for PGMs;
  • Russian state inventories of palladium that historically have overhung the market now appear to be fully depleted or nearly so;
  • Interchangeability of platinum and palladium in catalytic converters favors palladium at current prices; and
  • PGM recycling volumes, although growing, are insufficient to offset supply shortages.

"The Case for Palladium" is available on the company's website at web address http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9Mzk5Nzd8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1 as well as in the company's 2009 Annual Report. Printed copies of the 2009 Annual Report can be requested by letter, email or telephone at the following address:

Stillwater Mining Company
Attention: Corporate Secretary
Post Office Box 1330
Columbus, Montana 59019
(406) 373-8700
investor-relations@stillwatermining.com

Stillwater Mining Company is the only U.S. producer of palladium and platinum and is the largest primary producer of platinum group metals outside of South Africa and Russia. The Company's shares are traded on the New York Stock Exchange under the symbol SWC. Information on Stillwater Mining Company can be found at its web site www.stillwatermining.com.

Some statements contained in this news release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and, therefore, involve uncertainties or risks that could cause actual results to differ materially. These statements may contain words such as "believes," "anticipates," "plans," "expects," "intends," "estimates" or similar expressions. These statements are not guarantees of the Company's future performance and are subject to risks, uncertainties and other important factors that could cause our actual performance or achievements to differ materially from those expressed or implied by these forward-looking statements. Additional information regarding factors which could cause results to differ materially from management's expectations is found in the section titled "Risk Factors" in the Company's 2009 Annual Report on Form 10-K. The Company intends that the forward-looking statements contained herein be subject to the above-mentioned statutory safe harbors. Investors are cautioned not to rely on forward-looking statements. The Company disclaims any obligation to update forward-looking statements.