Fresnillo Q1 gold production rises; on track to meet FY targets

Mexican miner Fresnillo said first quarter gold production was up 26.3% to 230,000 against the same period last year and up 6.5% when compared with the fourth quarter of 2015, adding that it was on track to meet 2016 production targets.

This was mainly due to a higher speed of recovery at Herradura now steady state has been reached, and a higher speed of recovery at Noche Buena, the company said in a production update.

Quarterly silver production (including the Silverstream) slightly decreased by 1.7% year-on-year as a result of the expected lower ore grade at Saucito due to the unusually high ore grade found in the first quarter of 2015, which was above reserve average.

“We continue to focus on maximising efficiency and productivity across all our mines, and are on course to meet our 2016 production guidance of 49-51m ounces of silver and 775-790 thousand ounces of gold," said Octavio Alvídrez, chief executive officer.