REG - Fresnillo Plc - Update on Silverstream Agreement with Peñoles

FresnilloAnnouncement

12/11/2024 07:00

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RNS Number : 8034L  Fresnillo PLC  12 November 2024

Fresnillo plc

21 Upper Brook Street

London W1K 7PY

United Kingdom

www.fresnilloplc.com (http://www.fresnilloplc.com)

 

12 November 2024

 

 

 

Update on Silverstream Agreement with Peñoles

 

Fresnillo plc ("Fresnillo" or the "Company") has received notification from
Industrias Peñoles, S.A.B. de C.V. ("Peñoles"), that its Sabinas mine is
experiencing operational difficulties impacting silver production.

 

The Sabinas mine, fully owned by Peñoles, is the subject and mineral source
of the Silverstream Agreement entered into by Fresnillo and Peñoles in
December 2007.

Fresnillo and Peñoles have initiated discussions in order to assess the
extent of these operational difficulties and any associated impact on the
Silverstream Agreement. Although it is too early to reach any specific
conclusions, at this time Fresnillo considers that there is a reasonable
likelihood that the process may lead to significant adjustments to the
Silverstream Agreement.

The Company will provide a further update as and when more information becomes
available.

The information contained within this announcement is deemed by Fresnillo plc
to constitute inside information as stipulated under the UK version of the
Market Abuse Regulation (EU) No. 596/2014 which is part of UK domestic law by
virtue of the European Union (Withdrawal) Act 2018. Upon the publication of
this announcement, this inside information is now considered to be in the
public domain. The person making the notification is Gustavo Alarcón, General
Counsel and Compliance Officer of Fresnillo plc. The time of the notification
is 7:00 am UK time.

For further information, please visit our website www.fresnilloplc.com
(http://www.fresnilloplc.com/)  or contact:

 FRESNILLO PLC                                                                  Tel: +44 (0)20 7399 2470

 London
 Office

 Gabriela Mayor, Head of Investor Relations

 Mark Mochalski
 Mexico City Office                                                             Tel: +52 55 52 79 3206

 Ana Belem Zárate

 SODALI                                                                         Tel: +44 (0)7793 858 211

 Peter Ogden

ABOUT FRESNILLO PLC

 

Fresnillo plc is the world's largest primary silver producer and Mexico's
largest gold producer, listed on the London and Mexican Stock Exchanges under
the symbol FRES.

 

Fresnillo plc has eight operating mines, all of them in Mexico - Fresnillo,
Saucito, Juanicipio, Ciénega, Herradura, Soledad-Dipolos(1), Noche Buena and
San Julián (Veins and Disseminated Ore Body) and four advanced exploration
projects - Orisyvo, Rodeo, Guanajuato and Tajitos as well as a number of other
long term exploration prospects.

 

Fresnillo plc has mining concessions and exploration projects in Mexico, Peru
and Chile.

 

Fresnillo plc's goal is to maintain the Group's position as the world's
largest primary silver company and Mexico's largest gold producer.

 

(1) Operations at Soledad-Dipolos are currently suspended.

 

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.

 

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