Our Business Model

Business Model and Strategy


Our value creation strategy is intrinsically linked to our business model. At the heart of our business is gold and silver mining.

Our business model spans the full mining value chain from exploration, development and construction, to mining operations, supported by strategic resources and relationships essential to the effective execution of the business.

We seek to create sustained value for stakeholders across precious metals cycles, focusing on high potential silver and gold projects that can be developed into low-cost, world-class mines.

We generate revenue by selling the metals contained in the ore we extract and process; to generate sustainable growth and ensure our longevity, we rely on a business model that creates value for all our stakeholders.

*Click image to view full version of Business Model in detail.

Value Chain B Model

Strategic Business Model Components: A Strong Growth Pipeline

Fresnillo B Model Operate Small

1. Operate: Mines in operation » Maximise the potential of existing operations
Maximise the potential of existing operations while maintaining position as a leading low cost producer.
Optimise capacity, replenish reserves, continuously improve productivity and cost structure, and leverage expansion opportunities.

Fresnillo B Model Operate Small

2. Develop: Development and advanced exploration prospects » Deliver growth through development projects
Deliver profitable growth by advancing projects towards commissioning, while optimising cash flow and returns. Develop, build and commission projects that meet stringent criteria for mineral content and associated costs.

Fresnillo B Model Operate Small

3. Explore: Exploration » Extend the growth pipeline
Ensure business continuity and growth by replenishing depleted reserves and maintaining growth pipeline. Invest continuously across price cycles to ensure a pipeline of growth projects at different stages.

Fresnillo B Model Operate Small

4. Sustainability: Sustainable development » Advance and enhance the sustainability of our business
Prioritise safety and health, responsible environmental stewardship, the wellbeing of our communities, best governance practices and a strong ethical culture.