Saucito
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.
| 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: |
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 |
| Mine Life: |
5.8 (2016: 5.9) |
Quarterly Production
| |
2Q18 |
2Q18 |
% change |
1Q18 |
| Ore processed (t) |
723,208 |
667,456 |
8.3 |
673,545 |
| |
|
|
|
|
| Production |
|
|
|
|
| Silver (koz) |
5,235
|
5,674 |
-7.7 |
4,832 |
| Gold (oz) |
22,908 |
15,896 |
44.1 |
16,880 |
| Lead (t) |
5,327 |
4,688 |
13.6 |
3,183 |
| Zinc (t) |
7,549 |
4,923 |
53.3 |
3,916 |
| |
|
|
|
|
| Ore grades |
|
|
|
|
| Silver (g/t) |
263 |
306 |
-14.1 |
260 |
| Gold (g/t) |
1.28 |
1.05 |
22.7 |
1.12 |
| Lead % |
0.86
|
0.81 |
6.2
|
0.57 |
| Zinc % |
1.64 |
1.26 |
30.1 |
0.96 |
Annual Silver Production
History
2009
Construction commenced
2011
Commercial production 1H11
Production
Silver
(koz)
21,215
(FY17)
% (3.3) Change
Gold
(oz)
69,948
(FY17)
% (18.9) Change
Lead
(t)
17,714
(FY17)
% (15.4) Change
Zinc
(t)
20,348
(FY17)
% (13.4) Change
Financial Highlights
Adjusted Revenue
(US$m, FY17)
504.2
% (4.5) Change
Segment Profit
(US$m, FY17)
315.2
% (13.4) Change
Captial Expenditure
(US$m, FY17)
133.7
% 30.6 Change
Exploration
(US$m, FY17)
26.1
% 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
