Fresnillo's silver, gold, the output is set to move to the next year that will help the world's best in excess of Mexican silver producer in Peru. The company does not intend to hedge-despite high prices for printing.
Author: Mica Rosenberg and Krista HughesPosted: Friday, 24 Dec 2010
Mexico CITY (Reuters)-
Mexican miner Fresnillo says, aggressive expansion plans is its first local mines to vault it in place of the world's top producer of silver for the next year.
Mexican push in advance, Peru 2011, the world's no. 1 silver producer, to a large extent on its domestic, Fresnillo for growth, and the Chief Executive Officer (CEO) Jaime Lomelin financial adviser Mario Arreguin told Reuters on Thursday. All of the operating mines Fresnillo are in Mexico.
When a key enterprise development project in Mexico becomes Saucito online, there will be an increase in the production of silver Fresnillo between 42 million and 43 million ounces of next year, Lomelin said--around 6% of global output.
Fresnillo now advertises itself the world's largest primary silver producer because it controls access to more than the company's silver mines, but global miner BHP IC (BLT. L) produces more silver than other metals as a byproduct.
"Next year Fresnillo is silver, all types of no. 1 producer," Lomelin said.
Encourages the silver price, which nudged up to a maximum of $ 29.24 Ounce is late Thursday in New York City, whose trade is broadening its exploration Fresnillo exists in mines and some possible sites in Peru.
"As long as the still existing investor appetite, Silver (prices) pause, if they are, or will continue to spiral upwards," to the public at the offices of the company's México Arreguin said.
Mexican miner Penoles (PENOLES. MX) off Fresnillo (FRES. l) of the precious metals unit spun and shares offered in London.
So far, has shied away from Fresnillo by protecting it against production prices and does not intend to change its strategy.
"Foreign investors do not want to have to us. They wish to adopt, in accordance with the price risk, "Lomelin said. "As long as investors do not want to," it is not possible to protect yourself, he said.
Soledad-Dipolos mine near the Mexican border to the United States and in the context of the increased capacity of approximately 400,000 ounces also improves the total gold production in 2011, he said. The company operates some of the mines, in the case of joint ventures in which it owns the only printed part.
In its report of the third quarter, said it was Fresnillo on track to meet the 2010 target of 41,1 million ounces of production of silver and gold 340,000 ounces.
