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 (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

  3Q17 3Q16 % change 2Q17
Ore processed (t) 4,362,684 4,464,960 -2.3 4,399,136
Total vol. hauled (t) 20,918,713 20,609,275 1.5 22,436,979
         
Production        
Gold (oz) 33,409 40,850 -18.2 42,097
Silver (oz) 6 6 0.0 7
         
Ore grades        
Gold (g/t) 0.53 0.53 -1.6 0.51
Silver (g/t) 0.07 0.10 -25.9 0.09

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: (3Q17)

  • Quarterly gold production decreased vs. 3Q16 as a result of the lower overall speed of recovery, and to a lesser extent, lower volumes of ore processed (-2.3%). Similarly, year to date gold production decreased vs. YTD16 as a result of a lower overall speed of recovery. This was partially offset by slightly higher volumes of ore processed and a higher ore grade.
  • Quarterly gold production decreased -20.6% vs. 2Q17 mainly as a result of a lower overall speed of recovery which was partly offset by a higher ore grade.
  • Gold production at Noche Buena in 4Q17 is expected to be similar to 3Q17.