REG - Fresnillo Plc - Incident at the Saucito mine <Origin Href="QuoteRef">FRES.L</Origin>

FresnilloAnnouncement

09/12/2015 15:12

RNS Number : 5552I
Fresnillo PLC
09 December 2015
 Fresnillo plc
21 Upper Brook Street
London W1K 7PY
United Kingdom
www.fresnilloplc.com
 
9 December 2015
Incident at the Saucito mine
Fresnillo notes the statement published by PROFEPA (the Mexican Environmental Authority) in respect of an incident at the Saucito mine on 6 December. The incident occurred due to the rupture of a pipeline while non-toxic solution was being pumped from the beneficiation plant to the tailings dam. 
Following the incident, Fresnillo immediately informed the authorities, who have concluded in their initial review that the situation is of limited scale, and as a result operations have not been and will not be suspended. 85% of the affected area has already been remediated and the company expects to conclude all the remediation activities by Friday.
Fresnillo does not expect any material financial impact or loss of production as a consequence of the incident.
Fresnillo remains committed to the highest standards of operating and environmental best practice in accordance with our previously stated policies, and an investigation into the reasons behind this incident is underway. 
For further information, please visit our website:www.fresnilloplc.comor contact:
Fresnillo plc
London Office   Tel: +44 (0)20 7399 2470
Gabriela Mayor
Floriana Michalowska
Mexico City Office   Tel: +52 55 52 79 3206
Ana Belem Zrate
Bell PottingerTel: +44 (0) 203 772 2500
Gavin Davis
Daniel Thle
About Fresnillo plc
Fresnillo plc is the world's largest primary silver producer and Mexico's second largest gold producer, listed on the London and Mexican Stock Exchanges under the symbol FRES.
Fresnillo plc has six operating mines, all of them in Mexico - Fresnillo, Saucito, Cinega (including the San Ramn satellite mine), Herradura, Soledad-Dipolos1 and Noche Buena, two development projects - San Julin and the Pyrites plant, and four advanced exploration prospects - Orisyvo, Juanicipio, Las Casas Rosario & Cluster Cebollitas and Centauro Deep, as well as a number of other long term exploration prospects. In total, Fresnillo plc has mining concessions covering approximately 2 million hectares in Mexico.
Fresnillo plc has a strong and long tradition of mining, a proven track record of mine development, reserve replacement, and production costs in the lowest quartile of the cost curve for silver.
Fresnillo plc's goal is to maintain the Group's position as the world's largest primary silver company, producing 65 million ounces of silver and 750,000 ounces of gold by 2018.
Forward-looking statements
Information contained in this announcement may include 'forward-looking statements'. All statements other than statements of historical facts included herein, including, without limitation, those regarding the Fresnillo Group's intentions, beliefs or current expectations concerning, amongst other things, the Fresnillo Group's results of operations, financial position, liquidity, prospects, growth, strategies and the silver and gold industries are forward-looking statements. Such forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Forward-looking statements are not guarantees of future performance and the actual results of the Fresnillo Group's operations, financial position and liquidity, and the development of the markets and the industry in which the Fresnillo Group operates, may differ materially from those described in, or suggested by, the forward-looking statements contained in this document. In addition, even if the results of operations, financial position and liquidity, and the development of the markets and the industry in which the Fresnillo Group operates are consistent with the forward-looking statements contained in this document, those results or developments may not be indicative of results or developments in subsequent periods. A number of factors could cause results and developments to differ materially from those expressed or implied by the forward-looking statements including, without limitation, general economic and business conditions, industry trends, competition, commodity prices, changes in regulation, currency fluctuations (including the US dollar and Mexican Peso exchanges rates), the Fresnillo Group's ability to recover its reserves or develop new reserves, including its ability to convert its resources into reserves and its mineral potential into resources or reserves, changes in its business strategy and political and economic uncertainty.
1 Operations at Soledad-Dipolos are currently suspended.

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