28th Apr 2021 09:43
(Alliance News) - Fresnillo PLC on Wednesday affirmed its annual output forecast after a slightly mixed first quarter for the Mexico-focused miner.
Gold output in the first quarter of 2021 rose 16% annually to 228,193 ounces. This represented a 5.9% quarter-on-quarter hike from 215,581 ounces in the fourth quarter of 2020.
Total silver output, however, fell 4.5% annually to 12.6 million ounces from 13.2 million and 2.4% on a quarterly basis from 13.0 million.
Annual output rises for lead and zinc were 10% and 14%, respectively.
"First quarter silver production was marginally below the previous quarter, with the encouraging contribution of development ore from our new Juanicipio project offsetting lower grades at Saucito. I am also pleased to report continued progress at the Fresnillo mine with development rates showing an improvement," Chief Executive Officer Octavio Alvidrez explained.
"Quarterly gold production was ahead of the last quarter driven by the higher-than-expected grade at Herradura. Construction of Juanicipio is making good progress, and we are on track to commission the plant by the fourth quarter."
For 2021, Fresnillo left its outlook unchanged. Attributable gold production is expected to be in the range of 675,000 to 725,000 ounces. Attributable silver output, including Silverstream, is expected between 53.5 million and 59.5 million ounces.
Fresnillo shares were 2.8% lower at 862.00 pence each in London on Wednesday morning.
By Eric Cunha; [email protected]
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