PRECIOUS-Platinum drops as S.African wage offer eases supply fears

* S.African miners offer to raise wage, seek to end strike

* SPDR posts 8.39-tonne outflow, biggest since December

(Rewrites with new details on strike, adds comment) NEW YORK/LONDON, April 17 (Reuters) - Platinum prices fell to their lowest in more than two weeks on Thursday, reversing initial gains after South Africa's biggest platinum producers offered to raise wages for miners in a bid to end a 13-week-old strike that has curbed metal output. Anglo American Platinum Ltd and Impala Platinum Holdings Ltd said they have tabled a strike settlement offer to end the debilitating strike, South Africa's longest and most damaging mining strike in living memory. The country produces 40 percent of global output for platinum, which is mostly used by the auto industry as catalytic converters or consumed as jewelry products. Signs of progress in talks between the world's biggest platinum producers and the AMCU union representing its 70,000 striking members have already pressured platinum prices after they hit a one-month high at about $1,470 an ounce on Monday. "The strike was last bastion supporting the bullish case for platinum this week. That was the only thing holding the market up," said Frank McGhee, head precious metals dealer at Chicago commodities brokerage Alliance Financial LLC. Platinum was down 1.1 percent to $1,415.99 an ounce delivery settled down $9.10 at $1,428.70 an ounce. Palladium also reversed early gains, falling 0.3 percent to $795 an ounce. Among other precious metals, signs of weaker investment demand weighed down on gold. Holdings in the world's biggest exchange-traded fund, SPDR Gold Trust, fell 8.39 tonnes to 798.43 tonnes on Wednesday, the biggest daily outflow since late December.

Spot gold was down 0.7 percent at $1,293.81 an ounce.

1:41 PM EDT LAST/ NET PCT LOW HIGH CURRENT SETTLE CHNG CHNG VOL US Gold JUN 1293.90 -9.60 -0.7 1292.80 1304.40 82,731 US Silver MAY 19.596 -0.038 -0.2 19.490 19.720 28,776 US Plat JUL 1428.70 -9.10 -0.6 1415.50 1442.30 9,590 US Pall JUN 807.10 4.80 0.6 796.10 808.40 4,651 Gold 1293.81 -8.59 -0.7 1293.83 1304.30 Silver 19.560 -0.040 -0.2 19.530 19.710 Platinum 1415.99 -16.06 -1.1 1419.00 1439.50 Palladium 795.50 -2.40 -0.3 797.00 806.50 TOTAL MARKET VOLUME 30-D ATM VOLATILITY CURRENT 30D AVG 250D AVG CURRENT CHG US Gold 93,727 196,679 182,829 17.44 0.06 US Silver 39,402 48,024 58,338 24.94 -0.86 US Platinum 9,664 17,961 12,577 17.99 0.66 US Palladium 5,434 6,653 5,795 28.17 0.38

(Additional reporting by A. Ananthalakshmi in Singapore; Editing by Jane Baird, David Evans and Marguerita Choy)