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.

Ownership: Minera Penmont (100% Fresnillo plc)
Location: Sonora
Commodity: Gold
Operational since: 2012
Facilities: Open-pit mine, heap leach and Merrill-Crowe plant
Workforce: 441 employees, 504 contractors
Average Ore Grade in Reserves: 0.51 Gold (g/t)
Mine Life: 2.8 years (2016: 3.2)

Quarterly Production

  1Q18 1Q17 % change 4Q17
Ore processed (t) 4,414,790 4,613,684 -4.3 4,445,313
Total vol. hauled (t) 20,521,239 20,918,657 -1.9 20,921,652
         
Production        
Gold (oz) 42,735 47,678 -10.4 49,098
Silver (oz) 19 7 171.4 12
         
Ore grades        
Gold (g/t) 0.52 0.51 2.8 0.54
Silver (g/t) 0.22 0.09 138.6 0.14

History

2008

Acquired through Penmont JV

2009

Exploration commenced

2011

Construction commenced

Production

Gold (oz)

172,282 (FY17) % (5.5) Change

Silver (koz)

31 (FY17) % (6.1) Change

Ore grade (g/t)

0.52 (FY17) % 2.5 Change

Ore deposited (kt)

17,821 (FY17) % 2.2 Change

Financial Highlights

Adjusted Revenue (US$m, FY17)

215.5 % (4.6) Change

Segment Profit (US$m, FY17)

75.5 % (10.0) Change

Capital Expenditure (US$m, FY17)

18.7 % 117.4 Change

Exploration (US$m, FY17)

5.7 % 256.3 Change

Performance Highlights: 1Q18

  • Quarterly gold production decreased vs. 1Q17 as a result of expected lower overall speed of recovery from the leaching pads (increase in inventories) and lower volume of ore processed.
  • Similarly, gold production decreased 13.0% vs. 4Q17 as a result of the expected lower speed of recovery from the leaching pads (increase in inventories) and lower ore grade.

Performance Targets - 2018

  • Maintain comparative low cash cost profile
  • Maximise production by extracting ore from the new areas