NEW YORK/LONDON (Reuters) - Platinum surged 3 percent to hit a record high for the 12th successive day on Friday, with acute power problems in top producer South Africa encouraging investors and consumers to buy up the metal.

Spot metal hit a high of $2,060 an ounce before easing to $2,050/2,055 by 2:59 p.m. EST, against $1,997/2,007 in New York late on Thursday. It has jumped more than 34 percent this year on the top of 37 percent gains recorded in 2007.

“It’s panic, panic, panic. If you are a platinum consumer, you are not going to sleep at night,” said Robin Bhar, metals analyst at UBS Investment Bank.

“The price move shows you the unprecedented nature of the market. People can see actual physical shortages somewhere down the road and prices moving away from them. It’s not a case of just speculation. There is genuine demand coming through.”

South Africa, which accounts for 80 percent of global platinum supply, has been hard hit by power cuts since early January, forcing mines to shut for five days last month.

South Africa’s state power firm Eskom said on Thursday it would increase coal purchases and buy back electricity from those industrial users able to reduce consumption under a plan to address crippling shortages.

Analysts say the platinum deficit could widen to 400,000 to 500,000 ounces by the end of 2008, compared with about 265,000 ounces in 2007. The market had a surplus of 65,000 ounces in 2006 following seven successive years of deficits.

Impala Platinum IMPJ.J, the world's No. 2 producer, on Thursday forecast "very tight market conditions." The top producer Anglo Platinum AMSJ.J said this week the power problem alone would cut output by 120,000 ounces in 2008. It has shut it Polokwane smelter for weeks of repairs.

However, some traders warned that a sharp pullback could be possible after the white metal’s breakneck rally.

“We already know that platinum is a news-driven market. It’s all coming out of South Africa. If everything stays the same right now, and if the shortfall is not going to get greater, this market will not go substantially higher,” said Ralph D’Esposito, NYMEX floor trader with RJ Futures in New York.

D’Esposito said that even if Eskom went back to producing at full capacity for only a week or two, the platinum market could be vulnerable to a sharp pullback of as much as $200.

GOLD FALLS AS OIL RALLY FAILS

Gold reversed initial gains as a rally energy prices lost steam. U.S. crude futures settled way off their intraday highs at $95.50 a barrel.

Spot gold rose as high as $915.20 an ounce and was at $903.00/903.80 an ounce by New York’s last quote at 2:15 p.m., against $907.10/907.90 late in the U.S. market on Thursday.

The gold contract for April delivery at the COMEX division of the New York Mercantile Exchange settled down $4.70 at $906.10 an ounce.

George Gero, vice president of RBC Capital Markets Global Futures in New York, said that liquidation and short-covering could be seen and an increase in volatility could be possible in the near term.

However, Gero said that buying in gold was steady on perennial economic worries and possible further rate cuts ahead of the long U.S. weekend, Gero said.

Markets will be closed Monday in observance of U.S. Presidents Day.

Harmony Gold HARJ.J, the world's fifth-biggest producer, posted a wider second-quarter loss per share after an accident closed a mine and warned the power crisis was hitting output.

Palladium firmed to $444.00/449.00 an ounce from its Thursday close of $433/437, while silver eased to $17.11/17.16 an ounce from its previous finish of $17.24/17.29.