Including the Saucito II expansion, Saucito is one of the Group’s most important assets, critical to achieving our 2018 production target of 65 moz silver. Saucito contributed 36% to total Silver production in 2017 and generated 22.6% of total adjusted revenue.
||100% Fresnillo plc
||Zacatecas 8km SW of the Fresnillo mine
||Underground mine and flotation plant
||763 employees, 1,824 contractors
|Milling Capacity :
||7,800 tpd/2,600,000 tpy
|Average ore grade in reserves:
||261 g/t Silver, 1.39 g/t Gold
||5.8 (2016: 5.9)
|Ore processed (t)
Annual Silver Production
Commercial production 1H11
% (3.3) Change
% (18.9) Change
% (15.4) Change
% (13.4) Change
% (4.5) Change
% (13.4) Change
% 30.6 Change
% 59.1 Change
Perfomance Highlights - 2Q18
- Quarterly and year to date silver production decreased 7.7% and 7.0% vs. 2Q17 and 1H17 respectively as a result of lower than expected ore grades and increased dilution. We are now using smaller sized equipment for the narrower veins in order to decrease dilution.
- Quarterly silver production increased 8.3% vs. 1Q18 as a result of higher volume of ore processed.
- The silver ore grade for the full year 2018 is now expected to be 255-265 g/t (285 g/t previously guided) whilst going forward, the long term silver grade is expected to be approximately 280 g/t.
- Quarterly and first half by-product gold production increased 44.1%, 35.7% and 17.5% vs. 2Q17, 1Q18 and 1H17 respectively as a result of higher ore grades, recovery rates and volumes of ore processed.
- Quarterly by-product lead production increased 13.6% vs. 2Q17 as a result of higher volume of ore processed and a higher ore grade. However, year to date by-product lead production decreased 9.9% vs. 1H17 as a result of a lower ore grade. Quarterly by-product lead production increased 67.3% vs. 1Q18 as a result of a higher ore grade, volume of ore processed and recovery rate.
- Quarterly and year to date by-product zinc production increased over the corresponding periods of 2017 and vs. the previous quarter as a result of higher ore grades, recovery rates and volumes of ore processed.
Perfomance Highlights - 1H18
- 1H18 silver grade of 262 g/t. Full year 2018 silver grade expected to be: 255-265 g/t
- US$59.2 million invested in development, infrastructure and sustaining capex
- Additional contractor to increase development rates successfully hired
- Purchase of smaller equipment to better control dilution
- Production from Natalias veins continued to ramp up
Performance Targets - 2H18
- Further reduce dilution
- Development of the Huizache veins
- Ramp up Pyrites plant
- Initiate the deepening of the Jarillas shaft