Q4 2012 Production Report
________________________________________________________________________
23 January 2013
Production Report for the 12 months ended 31 December 2012
Highlights
§ Full year production of 20.3 million attributable silver equivalent ounces achieved, in line with guidance
§ Acquisition of Andina Minerals gold deposit in Chile boosts long-term project pipeline
§ Further progress at Advanced Projects
§ Strong brownfield exploration results
§ 2013 production target maintained at 20.0 million attributable silver equivalent ounces
§ 2013 exploration budget set at $77 million
§ Solid financial position with total cash of approximately $359 million (including payment for 86.7% of Andina Minerals) and minority investments valued at $256 million as at 31 December 2012
Ignacio Bustamante, Chief Executive Officer commented:
"I am pleased to report that we have once again met our full year production target, producing 20.3 million attributable silver equivalent ounces in 2012. Whilst our mines have continued to deliver a solid base of production, our brownfield exploration programme has delivered some excellent results during the year and we have not only continued to incorporate further resources, but we have also discovered new high grade veins at all of our core assets that improve the quality of our resources.
During the year, our Advanced Projects, which will increase our production levels by fifty percent, have continued to make good progress and despite the reported industry-wide delays in the permitting process, the engineering, construction and community relations initiatives are proceeding according to schedule. Our ambitious greenfield drilling programme also produced some encouraging results throughout the year, demonstrating the potential of our project pipeline to deliver significant growth in the long-term.
Finally, the recent acquisition of Andina Minerals provides Hochschild with further long-term optionality as well as increased geographical balance within our extensive project pipeline with its principal asset, Dorado, being located in Chile, one of the most attractive, mining-friendly jurisdictions in the Americas. Although we recognise the challenges associated with the project, we expect to conduct further substantial geological and technical evaluation work on the deposit and are confident that our experienced geological and operational teams will develop its strong potential. Despite only representing approximately 4% of Hochschild's current market capitalisation, this acquisition has the potential to ultimately deliver significant growth."
_________________________________________________________________________________
A conference call will be held at 2pm (London time) on Wednesday 23 January 2013 for analysts and investors.
Dial in details as follows:
UK: +44 (0) 20 3003 2666
A recording of the conference call will be available for one week following its conclusion, accessible from the following telephone number:
UK: +44 (0) 20 8196 1998
Access code: 6372676
__________________________________________________________________________________
2012 Overview
In Q4 2012, the Company produced 4.9 million attributable silver equivalent ounces comprised of 3.2 million ounces of silver and 27.4 thousand ounces of gold. As a result, Hochschild has successfully exceeded its full year production target, with attributable production of 20.3 million silver equivalent ounces in 2012, comprised of 13.6 million ounces of silver and 111.8 thousand ounces of gold.
The Company expects the increase in its overall 2012 unit cost per tonne in Peru, excluding royalties and the effect of the Arcata dore project, to be in line with previous guidance of approximately 15%. In Argentina, the increase is anticipated to be lower than the previous guidance of 15-20%, as higher tonnage from mine developments, efficiency gains and increased local currency devaluation allowed the Company to partially offset the local annual inflation rate of 25%.
Main operations
At Arcata, silver equivalent production in Q4 2012 was 1.4 million ounces (Q4 2011: 1.9 million ounces), with a decrease in grades compared to Q4 2011, reflecting the Company's policy of mining close to the average reserve grade at its core assets, as well as a planned fourth quarter increase in volumes processed from the low grade Macarena Waste Dam Deposit following the capacity expansion completed at the Arcata plant in Q3 2012.
Full year silver equivalent production at Arcata in 2012 at 6.6 million ounces (2011: 7.1 million ounces) included the decrease in ounces recovered as a result of the ramping up of the dore project. This initiative was completed in the fourth quarter with 100% of Arcata's concentrate now being converted into dore, resulting in significant commercial savings which more than offset the decrease in ounces recovered from the process. Excluding the effect of this project, Arcata would have produced an additional 163 thousand silver equivalent ounces in Q4 2012 with 234 thousand silver equivalent ounces being lost in the full year.
Table Showing Contribution from Macarena Waste Dam Deposit
|
|
Q4 2012 |
Q4 2011 |
12 mths 2012 |
12 mths 2011 |
|
Total |
|
|
|
|
|
Tonnage |
234,354 |
190,609 |
773,498 |
687,966 |
|
Average head grade gold (g/t) |
0.75 |
0.85 |
0.83 |
0.88 |
|
Average head grade silver (g/t) |
227 |
297 |
271 |
312 |
|
Macarena |
|
|
|
|
|
Tonnage |
71,433 |
40,335 |
133,825 |
86,859 |
|
Average head grade gold (g/t) |
0.31 |
0.29 |
0.30 |
0.30 |
|
Average head grade silver (g/t) |
103 |
86 |
105 |
95 |
|
Stopes and Developments |
|
|
|
|
|
Tonnage |
162,921 |
150,274 |
639,673 |
601,107 |
|
Average head grade gold (g/t) |
0.94 |
1.00 |
0.94 |
0.97 |
|
Average head grade silver (g/t) |
281 |
354 |
306 |
344 |
At Pallancata, total silver equivalent production of 2.4 million ounces in Q4 2012 was lower than that of Q4 2011 (2.8 million ounces) due mainly to lower grades reflecting the Company's policy of mining close to the average reserve grade at its core assets, as well as the processing of a higher proportion of mineral from narrower structures with higher mine dilution. These factors, along with temporary delays in the mine execution plan in the first half of the year, contributed to full year total silver equivalent production at the mine of 9.0 million ounces (2011: 10.8 million ounces).
San Jose delivered a strong performance in Q4 2012 with total silver equivalent production of 2.9 million ounces. This was a 7% increase compared to Q4 2011 (2.7 million ounces), and a 3% increase compared to Q3 2012 (2.8 million ounces), resulting from a rise in both silver and gold grades. Full year total silver equivalent production at the mine rose by 3% to 11.1 million ounces (2011: 10.7 million ounces) reflecting an increase in overall tonnage resulting from a greater availability of lower grade economic development material as well as operational efficiencies that allowed for an increase in mill throughput.
Other operations
In Q4 2012, production continued at Ares, the Company's ageing mine in Peru, with silver equivalent production of 515 thousand ounces (Q4 2011: 608 thousand ounces). Full year production at Ares was 2.1 million ounces compared to 2.3 million ounces in 2011. The Company continues to monitor production closely at Ares to ensure the extraction of profitable ounces during the last stage of its life cycle with production expected to continue into 2013. The exploration programme continues at the property and positive results have been received.
At Moris, despite mine production having ceased in September 2011, continued leaching of the pads produced a further 58 thousand silver equivalent ounces in Q4 2012 whilst overall full year production was 570 thousand ounces (2011: 1.2 million ounces). The Company expects to continue recovering mineral from the pads in 2013, although this is not expected to be material. Exploration continues at the property.
Average realisable prices and sales
Average realisable precious metal prices in Q4 2012 (which are reported before the deduction of commercial discounts) were $1,660.53/ounce for gold and $29.77/ounce for silver. Average realisable precious metals prices for the full year 2012 were $1,684.44/ounce for gold and $31.62/ounce for silver.
Acquisition of Andina Minerals Inc
On 8 November 2012, the Company announced that it had made a recommended cash offer of C$0.80 per share for all of the issued and outstanding common shares of Andina Minerals Inc. ("Andina"). Andina owns the Dorado Gold Deposit ("Dorado"), located at the Volcan Gold Project in the prolific Maricunga gold belt in Chile. Full details can be found in the announcement.
This acquisition adds to the Company's extensive project pipeline, doubling the current resource base and is located in Chile, one of the Company's key targeted mining jurisdictions. In addition, it is in line with the Company's long standing criteria of acquiring highly value accretive, early stage opportunities with strong geological conditions and with full control. During 2013, the Company will commence an extensive technical and geological evaluation of the Dorado deposit and continue with the relevant permitting processes and applications.
In February 2011, Andina published details of a Pre-Feasibility Study carried out on the Dorado deposit disclosing initial Proven and Probable mineral reserves of 6.6 million ounces of gold. During the process of evaluation mentioned above Hochschild will re-classify the reported reserves as resources. As detailed in Andina's February 2011 Pre-Feasibility Study, the project has the following mineral resources:
|
Classification |
Total In-Pit Resource |
||
|
Tonnes |
Gold grade (g/t Au) |
Contained Gold Ounces |
|
|
Measured |
105,918,000 |
0.738 |
2,511,000 |
|
Indicated |
283,763,000 |
0.698 |
6,367,000 |
|
Measured & Indicated |
389,681,000 |
0.709 |
8,878,000 |
|
Inferred |
41,553,000 |
0.502 |
671,000 |
1. All quantities are rounded to the appropriate number of significant figures, consequently sums may not add due to rounding.
2. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing or other relevant issues.
3. The quantity and grade of reported Inferred Resources in this estimation are conceptual in nature and there has been insufficient exploration to define these Inferred Resources as an Indicated or Measured Mineral Resource. It is uncertain if further exploration will result in the upgrading of the Inferred Resources into an Indicated or Measured Mineral Resource category.
4. The Dorado mineral resource estimate is effective as of 16 September 2010.
On 14 January 2013, the Company announced that it had received acceptances by Andina shareholders representing 90.84% of its outstanding shares and that the transaction is expected to complete in February 2013.
Project pipeline & exploration
In 2012, a total of 350,150 metres of drilling was completed at the Company's brownfield, Advanced Projects and greenfield projects.
Brownfield exploration1
Arcata
A total of 9,780 metres of drilling was carried out in Q4 2012. Exploration work focused on the incorporation of high quality resources from known vein systems such as Alexia, Katty and Tunel 4 as well as the definition of new high grade structures. Positive intercepts included1:
|
Vein |
Results |
|
Alexia |
DDH398 2.72m at 2.58 g/t Au & 696 g/t Ag DDH402 1.47m at 1.10 g/t Au & 380 g/t Ag DDH381 1.35m at 1.09 g/t Au & 393 g/t Ag |
In 2013, the exploration programme and the 34,000 metre drilling campaign at Arcata will continue with the potential and near mine exploration programme in the northern part of the district surrounding the Socorro, Alexia and Katty vein systems.
Pallancata
Exploration work in Q4 2012 focused on the identification of wider structures and the incorporation of new resources. A total of 10,734 metresof drilling was completed, with focus on the Paola, Luisa, Teresa, Rina, Huararani and Tensional veins. Promising intercepts included1:
|
Vein |
Results |
|
Rina |
DLRI-A55 1.88m at 1.65 g/t Au & 487 g/t Ag |
|
Huararani |
DLHU-A22 1.54m at 1.97 g/t Au & 416 g/t Ag |
|
Paola |
DLPA-A01 2.54m at 3.17 g/t Au & 334 g/t Ag |
|
Tensional |
DLRI-A55 1.40m at 1.11 g/t Au & 316 g/t Ag |
In 2013, the exploration programme at Pallancata will focus on the definition of structures with high quality resources from known veins systems, the drilling campaign will also concentrate on identifying new high grade veins, with 39,050 metres of drilling planned in total.
San Jose
During Q4 2012, a total of 11,495 metres of exploration drilling was carried out to incorporate further resources and new economic areas. Following the discovery of the Emilia vein in Q3 2012 within the known San Jose area, two further high grade structures were discovered in Q4, the Rosario and Kospi extension veins. During the quarter, drilling was carried out on the Kospi, Rosario, Suspiro, Emilia and the Ayelen Extension veins. Significant intercepts included1:
|
Vein |
Results |
|
Kospi SE |
SJM217 9.50m at 21.25 g/t Au & 3,404 g/t Ag |
|
Emilia |
SJD496 0.30m at 10.70 g/t Au & 1,818 g/t Ag |
|
Suspiro |
SJD1351 0.80m at 3.65 g/t Au & 405 g/t Ag |
|
Huevos Verdes |
SJD1322 1.00m at 5.99 g/t Au & 1,632 g/t Ag |
In 2013, the exploration programme will include mapping and a 32,000 metres drilling campaign to continue exploration in and around the San Jose mine and the Saavedra areas.
Ares
In Q4 2012, new structural corridors were detected as a result of the geophysics survey conducted in Q3 2012. Near mine exploration continued on the Apolo vein in the NW corridor. In addition, several new anomalies were detected and drilling was carried out in the Rosario and Isabel veins to define new resources. During the quarter, a total of 7,720 metres of drilling was carried out at Ares. Positive intercepts included1:
|
Vein |
Results |
|
Isabel |
AM-1515 1.70m at 3.36 g/t Au & 578 g/t Ag AS-1512 1.20m at 0.18 g/t Au & 173 g/t Ag |
|
Apolo |
AM-1497 0.70m at 0.10 g/t Au & 243 g/t Ag |
In 2013, the exploration programme and 2,800 metres drilling campaign at Ares will focus on potential in the extensions of known veins and in new structures.
Moris
Exploration work at Moris during Q4 2012 focused on identifying new economic structures. During the quarter, 2,219 metres of drilling was carried out in the La Mexicana, Los Alamos and San Luis veins. Positive intercepts included2:
|
Vein |
Results |
|
La Mexicana |
DM-34 1.72m at 4.97 g/t Au & 7 g/t Ag DM-37 4.91m at 2.56 g/t Au & 3 g/t Ag DM-36 5.85m at 1.74 g/t Au & 3 g/t Ag |
During 2013, further mapping and sampling will be carried out in order to better define the new resource areas.
Hochschild takes a very conservative approach to resource delineation and is one of the few companies that apply the same cut off grades to reserves and resources. Hochschild will publish audited reserves and resources tables as at 31 December 2012 on 13 March 2013.
Advanced Projects
In November 2012 the Company announced that it expects to receive the final mill construction permits for both the Inmaculada and Crespo projects in the second half of 2013 with commissioning for both projects' mills scheduled for the second half of 2014.
Inmaculada
Following the awarding of the contract for plant construction in August for $142 million, the detailed plant engineering was in progress during Q4 2012, as well as the detailed engineering for the mine. Also during the quarter, engineering for the camp facilities and for the workshops, warehouses and offices was completed. Construction of the water treatment plant was also in progress and construction of the exploration tunnels continued, with 2,920 metres completed during the year. Work also continued on the construction of the electricity transmission line during the quarter.
In Q4 2012, the Company continued to receive encouraging results from the exploration drilling programme in and around the Inmaculada project. Exploration was focused on the definition and incorporation of potential systems outside of the current resource area. During the quarter, five drill rigs were in operation and a total of 13,046 metres of drilling was carried out, focused on the Tensional Lourdes, Martha and Juliana veins, as well as the newly discovered Susana and Mirella veins where assay results showed excellent mineralisation. Positive results included2:
|
Vein |
Results |
|
Martha |
MAR12-006 0.85m at 51.77 g/t Au & 175 g/t Ag |
|
Susana |
MAR12-006 2.52m at 4.97 g/t Au & 531 g/t Ag SUS12-001 1.20m at 9.25 g/t Au & 372 g/t Ag |
|
Lourdes |
LOU12-013 1.13m at 18.23 g/t Au &155 g/t Ag |
|
Mirella |
LOU12-023 1.60m at 8.54 g/t Au & 81 g/t Ag |
In 2013, the 13,450 metres drilling campaign will continue with near mine and potential drilling to expand the current resources at Inmaculada.
Crespo
At the Company's 100% owned Crespo project, detailed engineering for the mine and the plant was in progress during the fourth quarter and is expected to be completed in Q1 2013. Also during the quarter, final engineering for the camp design and construction was completed whilst work on the access road to the project commenced.
On 28 December 2012, the surface water study for the Crespo project was approved and subsequently on 11 January 2013, the surface land agreement for the project was approved by the local community. Both of these are key steps in the project's approval process and the Company is now in a position to submit the project's construction permit application. Also during the quarter, the Company continued the process of responding to the relevant observations with regards to the Environmental Impact Study ('EIS') permit whilst community relations support programmes also continued during the quarter.
During Q4 2012, drilling continued with three drill rigs in operation, and a total of 1,163 metres of drilling was completed during the quarter. Exploration was focused on the transition of inferred resources into measured and indicated resources and to test the extension of gold mineralisation below the current pit. Positive results were received at superficial levels and in addition, assay results from the Quescha area following drilling carried out in the previous quarter confirmed a structural domain mineralisation. Positive intercepts included3:
|
Vein |
Results |
|
Queshca area |
DDHQS1207 22.50m at 2.86 g/t Au & 29 g/t Ag DDHQS1205 1.60m at 1.93 g/t Au & 10 g/t Ag DDHQS1208 24.00m at 8.93 g/t Au & 45 g/t Ag |
In 2013, a surface exploration programme at Crespo will be carried out.
Azuca
The drilling programme continued at Azuca during Q4 2012; four drill rigs were in operation and a total of 14,391 metres of drilling was completed on the Azuca West, Paralela, Colombiana, Yanamayo, Esperanza and Prometida veins. Assay results from the Azuca West vein confirmed the continuity of a high grade mineral structure to the southwest. Furthermore, the North-West Colombiana vein intercepts also yielded excellent results that indicate a new possible orientation or new structures towards the north. Positive results included3:
|
Vein |
Results |
|
Yanamayo NE |
DAYA-A1203 0.90m at 3.61g/t Au & 421 g/t Ag |
|
Azuca West |
DAYA-A1205 2.80m at 1.90g/t Au & 854 g/t Ag DAYA-A1205 4.10m at 2.37g/t Au & 769 g/t Ag |
|
Paralela |
DAYA-A1209 1.50m at 1.57g/t Au & 439 g/t Ag |
The 2013 drilling programme at Azuca will focus on identifying new high grade potential mineral structures with a programme of 17,100 metres planned.
Greenfield pipeline
In 2012, a total of 53,188 metres was drilled as part of the greenfield exploration programme. In Q4 2012, drilling was carried out at ten projects, of which five were 'Company Makers' and five were 'Medium Scale' projects. Highlights of the greenfield exploration programme in Q4 2012 are detailed below.
Victoria
At the Victoria Company Maker project in Chile, a total of 2,754 metres was drilled during Q4 2012 in the Picaron Exotic, Victoria II and Incahuasi areas. The geological interpretation of historical exploration data was also completed during the quarter and new drill targets were identified in the Victoria II and Incahuasi areas. A detailed mapping programme has been designed in order to define targets for the new exploration season in the coming year.
Valeriano
During Q4 2012, there were two drill rigs in operation at the Valeriano Company Maker project in Chile, and a total of 2,715 metres of drilling was completed. The current exploration programme is being extended into Q1 2013 to further test the porphyry copper and gold mineralisation at depth.
La Falda
At the La Falda Company Maker project in Chile, the drilling programme commenced in Q4 2012 totaling 3,009 metres with reported mineral alternation structures consisting of chlorite and magnetite with banded quartz veins. Depending on the results of this drill campaign, a second round of drilling is expected in Q1 2013.
Mercurio
At the Mercurio Company Maker project in Mexico, drilling in the Santa Rosa area, totaling 6,000 metres, was completed in Q4 2012 and assay results are pending. Drilling will re-commence in Q1 2013 and will concentrate on the Barite structure area.
Alpacocha
The exploration programme at the Alpacocha Company Maker copper project in Peru, totalling 3,012 metres, was completed in Q4 2012. An aerial magnetic geophysical survey was also conducted during the quarter as part of the detailed mapping of the entire area of the property.
Cuello Cuello
The second phase of the exploration programme at the Cuello Cuello Medium Scale project in Peru commenced in Q4 2012 following the high gold and silver grades intercepted in the initial drilling campaign. During the quarter two drill rigs were in operation and 672 metres of drilling was carried out and intercepted near surface mineralised structures containing gold and silver. The drilling campaign will continue in Q1 2013.
Farallon
At the Farallon Medium Scale project in Peru, the necessary social permits were received and the drilling programme commenced in late Q4 2012 to test the economic potential of the property where historical drilling identified moderate silver and gold mineralisation. The drilling programme is expected to continue in Q1 2013.
2013 Exploration Budget Overview
Hochschild has reaffirmed its commitment to its exploration strategy and has assigned an exploration budget of $77 million for 2013 which will be split between exploration work at the Company's existing operations, its Advanced Projects and greenfield projects. The approximate investment split is expected to be as follows:
Brownfield at Current Operations (26%)
§ Following the Company´s success in not only extending the life of mine at its current operations but also in improving the resource quality, the 2013 exploration strategy will be mostly focused on identifying new potential and near mine high grade areas.
Advanced Projects (14%)
§ At Inmaculada and Crespo, exploration efforts will be focused on identifying new potential and near mine high grade areas. At Azuca, Hochschild will concentrate on the exploration of high quality resources that better support a significant investment.
2013 Outlook
Hochschild's production target for 2013 is maintained at the 2012 level of 20.0 million attributable silver equivalent ounces. The Company expects 2013 production at its core Peruvian operations to be similar to that of 2012 whilst at San Jose, a small plant capacity expansion (of 10 per cent) is expected to result in increased tonnage. As anticipated, production at Ares will continue to decline reflecting lower tonnages and grades, whilst production at Moris is not expected to be material.
The Company expects the increase in overall 2013 unit cost per tonne in Peru to be approximately 15-20% excluding royalties and the increased refining cost due to the effects of the dore project at Arcata. In Argentina, expected continuing local inflation, partially offset by local currency devaluation, is anticipated to result in a unit cost per tonne increase of 10-15%.
As at 31 December 2012, Hochschild remains in a strong financial position, with total cash of approximately $359 million on the balance sheet (31 December 2011: $627 million), which includes payment for 86.7% of Andina Minerals Inc, and minority investments valued at $256 million (as at 31 December 2012). In addition, the Company's sole item of outstanding long-term debt is its $115 million convertible bond.
__________________________________________________________________________________
Enquiries:
Hochschild Mining plc
Charles Gordon +44 (0)20 7907 2934
Head of Investor Relations
RLM Finsbury
Charles Chichester +44 (0)20 7251 3801
Public Relations
__________________________________________________________________________________
About Hochschild Mining plc
Hochschild Mining plc is a leading precious metals company listed on the London Stock Exchange (HOCM.L / HOC LN) with a primary focus on the exploration, mining, processing and sale of silver and gold. Hochschild has almost fifty years' experience in the mining of precious metal epithermal vein deposits and currently operates four underground epithermal vein mines, three located in southern Peru and one in southern Argentina. Hochschild also has numerous long-term projects throughout the Americas.
PRODUCTION & SALES INFORMATION*
|
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Silver production (koz)
|
4,773
|
4,942
|
5,477
|
19,443
|
21,363
|
|
Gold production (koz)
|
41.34
|
41.53
|
44.12
|
164.34
|
180.51
|
|
Total silver equivalent (koz)
|
7,254
|
7,434
|
8,124
|
29,304
|
32,193
|
|
Total gold equivalent (koz)
|
120.89
|
123.90
|
135.39
|
488.40
|
536.56
|
|
Silver sold (koz)
|
5,069
|
5,263
|
6,326
|
18,928
|
21,792
|
|
Gold sold (koz)
|
45.93
|
47.95
|
54.14
|
159.79
|
181.96
|
|
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Silver production (koz)
|
3,240
|
3,424
|
3,849
|
13,550
|
14,980
|
|
Gold production (koz)
|
27.35
|
28.53
|
30.54
|
111.82
|
127.29
|
|
Attrib. silver equivalent (koz)
|
4,881
|
5,136
|
5,681
|
20,260
|
22,617
|
|
Attrib. gold equivalent (koz)
|
81.35
|
85.60
|
94.68
|
337.66
|
377.0
|
|
Product
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Ore production (tonnes)
|
234,354
|
194,484
|
190,609
|
773,498
|
687,966
|
|
Average head grade silver (g/t)
|
227
|
260
|
297
|
271
|
312
|
|
Average head grade gold (g/t)
|
0.75
|
0.78
|
0.85
|
0.83
|
0.88
|
|
Silver produced (koz)
|
1,156
|
1,358
|
1,593
|
5,526
|
6,081
|
|
Gold produced (koz)
|
4.08
|
4.15
|
4.48
|
17.27
|
17.38
|
|
Silver equivalent produced (koz)
|
1,401
|
1,607
|
1,861
|
6,562
|
7,124
|
|
Silver sold (koz)
|
1,280
|
1,297
|
1,732
|
5,236
|
5,979
|
|
Gold sold (koz)
|
4.36
|
3.78
|
4.91
|
15.94
|
16.66
|
|
Product
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Ore production (tonnes)
|
89,354
|
86,437
|
97,115
|
336,423
|
344,085
|
|
Average head grade silver (g/t)
|
58
|
55
|
56
|
54
|
61
|
|
Average head grade gold (g/t)
|
2.64
|
2.83
|
3.01
|
2.65
|
2.90
|
|
Silver produced (koz)
|
127
|
128
|
132
|
481
|
581
|
|
Gold produced (koz)
|
6.46
|
7.19
|
7.94
|
26.28
|
29.03
|
|
Silver equivalent produced (koz)
|
515
|
559
|
608
|
2,058
|
2,323
|
|
Silver sold (koz)
|
155
|
141
|
190
|
473
|
598
|
|
Gold sold (koz)
|
8.07
|
7.74
|
10.35
|
25.75
|
29.70
|
|
Product
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Ore production (tonnes)
|
288,858
|
277,093
|
293,060
|
1,094,250
|
1,070,466
|
|
Average head grade silver (g/t)
|
255
|
257
|
293
|
256
|
301
|
|
Average head grade gold (g/t)
|
1.09
|
1.18
|
1.27
|
1.09
|
1.33
|
|
Silver produced (koz)
|
1,942
|
1,893
|
2,289
|
7,441
|
8,767
|
|
Gold produced (koz)
|
7.40
|
6.81
|
8.30
|
26.23
|
33.88
|
|
Silver equivalent produced (koz)
|
2,386
|
2,302
|
2,787
|
9,014
|
10,800
|
|
Silver sold (koz)
|
2,071
|
1,652
|
2,636
|
7,280
|
9,064
|
|
Gold sold (koz)
|
7.76
|
5.88
|
9.32
|
25.07
|
33.90
|
|
Product
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Ore production (tonnes)
|
128,940
|
136,577
|
126,675
|
509,851
|
462,825
|
|
Average head grade silver (g/t)
|
422
|
402
|
412
|
417
|
444
|
|
Average head grade gold (g/t)
|
6.00
|
5.24
|
5.68
|
5.79
|
5.86
|
|
Silver produced (koz)
|
1,545
|
1,552
|
1,454
|
5,953
|
5,870
|
|
Gold produced (koz)
|
22.50
|
20.97
|
20.93
|
85.77
|
80.95
|
|
Silver equivalent produced (koz)
|
2,895
|
2,810
|
2,710
|
11,099
|
10,727
|
|
Silver sold (koz)
|
1,553
|
2,166
|
1,750
|
5,897
|
6,087
|
|
Gold sold (koz)
|
23.16
|
29.13
|
24.95
|
84.29
|
82.42
|
|
Product
|
Q4
2012 |
Q3
2012 |
Q4
2011 |
12 mths 2012
|
12 mths 2011
|
|
Ore production (tonnes)
|
-
|
-
|
-
|
-
|
858,028
|
|
Average head grade silver (g/t)
|
-
|
-
|
-
|
-
|
5.02
|
|
Average head grade gold (g/t)
|
-
|
-
|
-
|
-
|
0.96
|
|
Silver produced (koz)
|
4
|
11
|
9
|
43
|
64
|
|
Gold produced (koz)
|
0.90
|
2.41
|
2.46
|
8.79
|
19.26
|
|
Silver equivalent produced (koz)
|
58
|
155
|
157
|
570
|
1,220
|
|
Silver sold (koz)
|
11
|
7
|
18
|
42
|
64
|
|
Gold sold (koz)
|
2.58
|
1.43
|
4.61
|
8.74
|
19.27
|
* Ounces sold figures for all operations have been restated to include gross revenue divided by gross ounces (previously included net revenue divided by net ounces)
Forward looking statements
This announcement may contain forward looking statements. By their nature, forward looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will or may occur in the future. Actual results, performance or achievements of Hochschild Mining plc may, for various reasons, be materially different from any future results, performance or achievements expressed or implied by such forward looking statements.
The forward looking statements reflect knowledge and information available at the date of preparation of this announcement. Except as required by the Listing Rules and applicable law, the Board of Hochschild Mining plc does not undertake any obligation to update or change any forward looking statements to reflect events occurring after the date of this announcement. Nothing in this announcement should be construed as a profit forecast.
- ends -
1 Please note that all mineralised intersections in this release are quoted as down-hole lengths, not true widths.
2 Please note that all mineralised intersections in this release are quoted as down-hole lengths, not true widths.
3 Please note that all mineralised intersections in this release are quoted as down-hole lengths, not true widths.
This information is provided by RNS
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