Noche Buena

Acquired in 2008 from Seabridge as part of the Group’s district consolidation strategy; located in Herradura District 23km from the Herradura mine. Noche Buena produced 11.4% of the Group’s total gold in 2020 and generated 6.2% of total adjusted revenue.

Ownership: Minera Penmont (100% Fresnillo plc)
Location: Sonora
Commodity: Gold
Operational since: 2012
Facilities: Open-pit mine, heap leach and Merrill-Crowe plant
Workforce: 482 employees, 322 contractors
Mine Life: 3.1 years (2019: 2.4)

Quarterly Production

  4Q21 3Q21 % change 4Q20
Ore processed (t) 2,903,023 2,389,895 21.5 1,638,305
Total vol. hauled (t) 6,482,783 6,222,974 4.2 9,259,639
         
Production        
Gold (oz) 28,591 25,015 14.3 17,737
Silver (koz) 11 8 29.8 9
         
Ore grades        
Gold (g/t) 0.70 0.59 17.3 0.50
Silver (g/t) 0.20 0.19 8.8 0.84

Annual Production

AR20 Noche Buena Mine KPIs 

12020 reserves as of 31 May 2020.  22020 resources as of 31 May 2020.

AR20 Noche Buena Mine Financial Performance 

History

2008

Acquired through Penmont JV

2009

Exploration commenced

2011

Construction commenced

Production

Gold (oz)

87,998 (FY20) % (30.8) Change

Silver (koz)

39 (FY20) % (32.0) Change

Gold ore grade (g/t)

0.52 (FY20) % (5.7) Change

Total volume hauled (kt)

34,914 (FY20) % (27.0) Change

Financial Highlights

Adjusted Revenue (US$m, FY20)

152.6 % (13.6) Change

Segment Profit (US$m, FY20)

53.7 % (7.9) Change

Capital Expenditure (US$m, FY20)

19.7 % 245.6 Change

Exploration (US$m, FY20)

1.6 % 45.4 Change

4Q21

  • Quarterly gold production increased 14.3% vs. 3Q21 due to a higher volume of ore processed arising from an optimised mining sequence and cycle times, in addition to a higher ore grade. This was partially offset by a lower recovery rate due to shorter irrigation cycles as a result of the ore being deposited in smaller areas as we approach the end of mine life, in addition to increased sulphide content in the ore.

  • Quarterly gold production increased 61.2% vs. 4Q20 due to a higher volume of ore deposited and higher ore grade following a stability problem in the pit during 2H20 as previously reported. This led to an increase in the waste hauled last year to regain access to the deeper areas of the mine. The favourable impact of the increased ore deposited and higher ore grade was partly offset by the lower recovery rate as explained above.

  • Full year gold production increased 10.0% vs. FY20 due to a higher volume of ore deposited following the Covid-19 operational restrictions last year in addition to the aforementioned stability problem, and to a lesser extent, a higher ore grade. This was partially offset by a lower recovery rate for reasons explained above.
  • The 2022 estimated gold ore grade will be in the range of 0.40-0.50g/t, as the mine approaches the end of its operational life.