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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

  2Q18 2Q17 % change 1Q18
Ore processed (t) 4,550,915 4,399,136 3.5 4,414,790
Total vol. hauled (t) 22,073,319 22,436,979 -1.6 20,521,239
         
Production        
Gold (oz) 45,308 42,097 7.6 42,735
Silver (oz) 18 7 157.1 19
         
Ore grades        
Gold (g/t) 0.54 0.51 5.9 0.52
Silver (g/t) 0.18 0.09 93.1 0.22

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: 2Q18

  • Quarterly gold production increased vs. the same period 2017 as a result of higher ore grade and volume of ore processed. Year to date gold production remained at a similar level when compared to the same period of 2017.
  • Quarterly gold production increased 6.0% vs. 1Q18 as a result of higher volume of ore processed and to a lesser extent, higher ore grade.

Performance Highlights: 1H18

  • Contained costs and continued to explore areas of influence, which continued to show limited upside
  • Detailed engineering for Carbon in Column facility initiated; expected to conclude by year end 2019

Performance Targets - 2H18

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