Saucito

Including the Saucito II expansion, Saucito is becoming one of the Group’s most important assets, critical to achieving our 2018 production target of 65 moz silver. Produced 47% of the Group’s total silver (FY15), generating 29.6% of total adjusted revenue

Ownership: 100% Fresnillo plc
Location: Zacatecas 8km SW of the Fresnillo mine
Commodity: Silver, Gold
Operational since: 2011
Facilities: Underground mine and flotation plants
Workforce: 773 employees, 1,337 contractors
Milling Capacity : 7,800 tpd/2,600,000 tpy
Average ore grade in reserves: 245 g/t Silver, 1.72 g/t Gold
Mine Life: 5.9 (at 7,800 tpd capacity), (2015: 5.2 at 7,500 tpd capacity)

Quarterly Production

  1Q17 1Q16 % change 4Q16
Ore processed (t) 670,914 638,452 5.1 709,261
         
Production        
Silver (koz) 5,147 5,436 -5.3 5,336
Gold (oz) 17,964 21,636 -17.0 25,160
Lead (t) 4,754 4,835 -1.7 5,802
Zinc (t) 5,139 6,077 -15.4 7,379
         
Ore grades        
Silver (g/t) 279 297 -5.9 287
Gold (g/t) 1.12 1.33 -15.8 1.53
Lead %

0.87

0.88

-1.1

1.02
Zinc % 1.26 1.51 -16.9 1.68

History

2004

Drilling commenced

2009

Construction commenced

2011

Commercial production 1H2011

Production

Silver (koz)

21,946 (FY16) % (0.2) Change

Gold (oz)

86,198 (FY16) % 1.5 Change

Lead (t)

20,935 (FY16) % 0.9 Change

Zinc (t)

23,498 (FY16) % 11.8 Change

Financial Highlights

Adjusted Revenue (US$m, FY16)

52.8 % 12.7 Change

Segment Profit (US$m, FY16)

363.8 % 23.2 Change

Captial Expenditure (US$m, FY16)

102.4 % (5.4) Change

Exploration (US$m, FY16)

16.4 % 90.7 Change

Perfomance Highlights: 

  • Full year silver production decreased marginally as a result of the expected return to normal ore grades after mining the extraordinarily high grade ore from the Mesquite vein and exhausting the high grade development ore. Offset by higher ore processed (+12.7%) from the Jarillas West and Central areas in conjunction with increased plant capacity following the installation of the vibrating screens at the Saucito II plant in 1Q16
  • Quarterly silver production decreased 8.8% vs. 4Q15 as a result of the lower ore grade and recovery rate due to the previously mentioned factors, offset by higher ore processed
  • Quarterly silver production increased 8.8% vs. 3Q16 primarily due to the higher ore processed from the West and Central Jarillas areas in conjunction with plant efficiencies
  • Quarterly by-product gold production increased 20.1% vs. 4Q15 and by 30.9% vs. 3Q16 due to higher ore grades and increased ore throughputs
  • Quarterly by-product lead production increased 13.0% vs. 3Q16 due to a higher grade and ore processed which were partially offset by a lower recovery rate
  • Full year and quarterly by-product zinc production increased 11.8% and 8.4% vs. 2015 respectively due to higher recovery rates and ore processed. Similarly, quarterly byproduct zinc production increased 38.6% vs. 3Q16 due to higher recovery rate, ore processed and grade

Objectives: 2017

  • Increase development rates to 4,000m a month
  • Jarillas Shaft extension & deepening of 6 development ramps