Saucito
Including the Saucito II expansion, Saucito is one of the Group’s most important assets, critical to achieving the 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
| |
3Q18
|
3Q17
|
% change
|
2Q18
|
|
Ore processed (t)
|
713,441
|
693,269
|
2.9
|
711,463
|
| |
|
|
|
|
|
Production
|
|
|
|
|
|
Silver (koz)
|
4,897
|
5,016
|
-2.4
|
5,162
|
|
Gold (oz)
|
23,558
|
18,490
|
27.4
|
22,722
|
|
Lead (t)
|
5,791
|
4,368
|
32.6
|
5,327
|
|
Zinc (t)
|
7,909
|
5,357
|
47.6
|
7,549
|
| |
|
|
|
|
|
Ore grades
|
|
|
|
|
|
Silver (g/t)
|
250
|
264
|
-5.3
|
260
|
|
Gold (g/t)
|
1.34
|
1.12
|
19.5
|
1.25
|
|
Lead %
|
0.95
|
0.76
|
25.4
|
0.86
|
|
Zinc %
|
1.61
|
1.26
|
28.4
|
1.64
|
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 - 3Q18
-
Quarterly silver production decreased 2.4% and 5.1% vs. 3Q17 and 2Q18 respectively due to the lower than expected ore grade at two high grade stopes in the upper levels of the mine. As at the Fresnillo mine, an infill drilling programme has commenced to increase the accuracy of the geological model to address these grade issues.
-
Year to date silver production decreased 6.0% vs. YTD17 as a result of the lower than expected ore grade at high grade stopes in the upper levels of the mine, the increase in dilution and reduced stope preparation of the mine. This was mitigated by the higher volume of ore processed.
-
Expected silver ore grade for the full year continues to be in the range of 255-265 g/t.
-
Quarterly and YTD18 by-product gold production increased 27.4% and 20.7% vs. 3Q17 and YTD17 respectively principally due to a higher ore grade, increased volume of ore processed and higher recovery rate.
-
Quarterly by-product gold production increased 3.7% vs. 2Q18 as a result of higher ore grade which offset the lower recovery rate.
-
Quarterly by-product lead and zinc production increased 32.6% and 47.6% respectively vs. 3Q17 mainly as a result of higher ore grade, and to a lesser extent higher recovery rates and volume of ore processed.
-
Quarterly by-product lead production increased 8.7% vs. 2Q18 as a result of a higher ore grade. Year to date by-product lead production increased 3.6% vs. YTD17 as a result of higher volume of ore processed and recovery rate, offsetting the lower ore grade.
-
Quarterly by-product zinc production increased 4.8% vs. 2Q18 as a result of the higher recovery rate. Year to date by-product zinc production increased 25.7% vs. YTD17 as a result of higher ore grade, higher recovery rate and to a lesser extent, volume 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
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