The company reported lower than expected full-year profit in February while warning of headwinds including lower precious metals prices for 2019.
Fresnillo Mining News
The world's largest primary silver producer and Mexico's No.2 gold miner warned of possible lower prices, higher inflation and worsening foreign exchange rates in 2019.
The miner, the world's largest primary silver producer and Mexico's No. 2 gold company, expects production of the grey metal to fall this year to between 58 and 61 million ounces.
Besides tax hikes, the set of suggested rules include allowing the Ministry of Economy to name certain zones as not viable for mining.
The miner, which is the world's largest primary silver producer and Mexico's second largest gold company, revised silver output guidance down to between 62 million ounces and 64.5 million ounces from a range of 64.5 million to 67.5 million earlier.
Silverstream valuation had an adverse effect on profit before income tax, which came down 16.6% to $323 million.
The Mexico-focused precious metals miner expects cost inflation this year to be about 7%, compared with the 6.4% it faced in 2017.
HSBC referred to the company as a “sector leader at a discount”.
For the three months to June 30, silver production totalled 14.5 million ounces, a 12% rise from last year, while gold output was 223,000 ounces, up 2.7% from a year earlier.
Global silver production dropped last year for the first time since 2002 driven by lower by-product output from the lead/zinc and gold sectors, as well as a sharp decline of scrap supply to the market.
The firm, the world's largest primary silver producer and Mexico's second-largest gold miner, said output of the grey precious metal hit 13.5 million ounces in the quarter.
This year, the miner expects to produce 58 million ounces to 61 million ounces of silver and between 870,000 ounces and 900,000 ounces of gold.
Mexican authorities say about 450 tonnes of material was released.
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The Mexico-focused miner has seen silver prices drop 35% this year so far, while its shares have fallen about 50%.
The world's largest primary silver producer reported a slight fall in production for 2012.
Fresnillo PLC has announced that its board of directors has approved the feasibility study for the company's silver project in San Julian, Mexico.
The company is sticking to plans to spend $680 million this year including ramping up production at its Noche Buena mine. The firm has five operating mines and this year forecasts 41 million ounces of silver produced and 460,000 ounces of gold.
Orex and Fresnillo award a 12,000 metre diamond drilling contract for the Coneto silver-gold project in Durango
Orex Minerals in conjunction with their project partner Fresnillo PLC, have selected Kluane Drilling as the service provider for a 12,000 meter drilling program on the Coneto Silver-Gold Project in Durango, Mexico.
The main source of silver to the Spanish crown during the 1500s, the Mexican state of Zacatecas is again enjoying the attention of foreign investors.
Orex Minerals Inc. and Fresnillo Plc Sign Association Agreement to Explore Coneto Gold-Silver Project in Durango, Mexico
Orex Minerals Inc. (TSX VENTURE:REX) ("Orex") is pleased to announce that it has signed a definitive Association Agreement with Fresnillo Plc (LSE:FRES) ("Fresnillo") to explore and develop as one large project their respective mineral concessions in the Coneto gold-silver mining district in northern Durango State, Mexico.
The world's number one silver miner reported record gold production for the first quarter even as silver production numbers declined.
Fresnillo Plc (FRES.L: Quote), the world's largest primary silver producer, said silver output declined in the first quarter, although gold production rose to a record. The Mexican precious metals miner (FRES.MX: Quote) said silver production fell 2.2 percent to 10.1 million ounces, including output from the Silverstream agreement, on lower ore grades at the Fresnillo mine.
The combination of increased production, strong cost control and metal prices made 2010 the best year in Fresnillo's history, says CEO Jamie Lomelin.