Noche Buena

Commenced operations as an open pit gold mine in 2012. Located in the Herradura District 23 kilometres from the Herradura mine, acquired in 2008 from Seabridge as part of the Group’s district consolidation strategy

Overview

Ownership: Minera Penmont (100% Fresnillo plc)
Location: Sonora (23km from Herradura)
Commodity: Gold
Operational since: 2012
Facilities: Open-pit mine, heap leach and Merrill-Crowe plant
Workforce: 429 employees, 424 contractors
Average Ore Grade in Reserves: 0.51 Gold g/t
Mine Life: 3.2 years

Quarterly Production

  1Q17 1Q16 % change 4Q16
Ore processed (t) 4,613,684 4,237,134 8.9 4,380,536
Total vol. hauled (t) 20,918,657
20,106,143 4.0 20,521,024
         
Production        
Gold (oz) 47,678 51,647 -7.7 41,769
Silver (oz) 7 11 -36.4 11
         
Ore grades        
Gold (g/t) 0.51 0.51 -0.1 0.53
Silver (g/t) 0.09 0.15 -39.2 0.14

History

2008

Acquired through Penmont JV

2009

Exploration commenced

2011

Construction commenced

Production

Gold (oz)

182,280 (FY16) % 15.2 Change

Silver (koz)

33 (FY16) % (54.8) Change

Financial highlights

Adjusted Revenue (US$m, FY16)

225.8 % 24.3 Change

Segment Profit (US$m, FY16)

83.9 % 214.2 Change

Capital Expenditure (US$m, FY16)

8.6 % 230.8 Change

Exploration (US$m, FY16)

1.6 % (56.8) Change

Performance Highlights:

  • Full year gold production increased vs. 2015 due to a higher overall average speed of recovery resulting from new mineral layers at the leaching pads
  • Quarterly gold production decreased vs. 4Q15 as a result of a lower overall average speed of recovery due to the slower leaching recovery dynamic of the ore mined in the second half of 2016 which was partly offset by the higher ore grade
  • Quarterly gold production slightly increased vs. 3Q16 as a result of a higher overall average speed of recovery

Objectives: 2017

  • Continue exploration in surrounding area
  • Construction of Pad number 7