Hochschild Mining to restart Pallancata mining on Wednesday

Hochschild Mining has reached an agreement with a local community at its Pallancata mine in Peru to allow the silver and gold mine to reopen this week.

Mining

10,989.78

17:09 18/11/24

3.18%

338.64

Production at Pallancata has been on pause since November due to ongoing discussions with the local community

On Monday, the FTSE 250-listed company said 2017 production forecast for Pallancata of 6m silver equivalent ounces and associated all-in sustaining cost guidance was not affected.

Last week Hochschild has guided for group production of 37m oz silver equivalent at a higher AISC of $12.2-12.7 per oz because of increased exploration and one-off investment to develop the Pablo vein at Pallancata.

The group celebrated record annual attributable production for the full-year 2016 of 35.5m oz, slightly higher than guidance.

Financially, Hochschild reported having circa US$140m of cash and $183m of net debt.