One of our most important assets; contributing 29.3% to total silver production in 2020 and generated 22.8% of total adjusted rev.

Ownership: 100% Fresnillo plc
Location: Zacatecas 8km SW of the Fresnillo mine
Commodity: Silver, Gold
Operational since: 2011
Facilities: Underground mine and flotation plant
Workforce: 882 employees, 2,345 contractors
Milling Capacity : 7,800 tpd/2,600,000 tpy
Mine Life: 5.2 years (2019: 4.7)

Quarterly Production


  3Q21 2Q21 % change 3Q20
Ore processed (t) 565,425 660,039 (14.3) 710,618
Silver (koz) 2,846 3,454 (17.6) 3,963
Gold (oz) 19,143 24,760 (22.7) 20,105
Lead (g/t) 4,853 7,650 (36.6) 7,267
Zinc (g/t) 7,226 11,722 (38.3) 10,993
Ore grades        
Silver (g/t) 178 190 (6.1) 207
Gold (g/t) 1.36 1.51 (9.7) 1.14
Lead % 1.01 1.35 (25.2) 1.21
Zinc % 1.69 2.43 (30.3) 2.24

Annual Silver Production

AR20 Saucito Mine KPIs

AR20 Saucito Mine Financial Performance



Drilling commenced


Construction commenced


Commercial production 1H11


Silver (koz)

15,532 (FY20) % (9.5) Change

Gold (oz)

84,878 (FY20) % 6.7 Change

Lead (t)

28,592 (FY20) % 37.7 Change

Zinc (t)

42,774 (FY20) % 45.7 Change

Financial Highlights

Adjusted Revenue (US$m, FY20)

593.6 % 20.3 Change

Segment Profit (US$m, FY20)

325.1 % 36.5 Change

Captial Expenditure (US$m, FY20)

73.4 % (41.9) Change

Exploration (US$m, FY20)

13.9 % (58.4) Change


  • Quarterly silver production decreased 17.6% vs. 2Q21 due to a lower volume of ore processed following the instability issues as reported in 1Q21 and 2Q21, limiting access to higher ore grade areas. To prioritise the safety of our people, during the quarter we decided to limit mining in the affected area until additional geomechanical monitoring equipment is installed and a safe mining sequence is agreed. Production levels were also impacted by the implementation of the aforementioned labour reforms which had a particular effect at Saucito due to a less stable and greater contractor base at this mine compared to our other sites. This has limited equipment availability and lowered utilisation rates, impacting volumes of ore hauled and decreasing development rates. We have conducted additional recruitment campaigns to reach the necessary staffing to operate the mine at full capacity.

  • Recruitment and training will continue over the next few months, which will gradually see volumes return to a normalised level during 2022.
  • Quarterly and year-to-date silver production decreased 28.2% and 21.9% vs. 3Q20 and YTD20 respectively due to the lower ore grade at the Jarillas vein. Further, a lower volume of ore processed for the reasons described above in addition to the previously mentioned presence of high temperature water in an underground production area earlier in the year, also impacted production.

  • Quarterly by-product gold production decreased 22.7% vs. 2Q21 driven by a lower volume of ore processed and lower ore grade.

  • Quarterly by-product gold production decreased 4.8% vs. 3Q20 driven by a lower volume of ore processed, mitigated by a higher ore grade.

  • Year-to-date by-product gold production increased 14.7% vs. YTD20, driven by higher ore grades and partially offset by lower volumes of ore processed.
  • Full year 2021 silver ore grade is expected to decrease to between 170-190 g/t, below the original estimate of 200- 220 g/t, while the gold ore grade is estimated to remain around 1.3-1.5 g/t.

2021 Objectives

  • Increase the development rate to 3,200–3,500 metres per month by the end of 2021.
  • Monitoring progress against action plan including dilution control, sample variability and equipment availability.
  • Implement a strategy to reduce personnel turnover.
  • Continue to deepen the Jarillas shaft to 987 metres.