JOHANNESBURG (miningweekly.com) – LSE-listed precious metals miner Hochschild Mining is raising its full-year production guidance by 6% to 34-million silver equivalent ounces, owing to attributable production in the second quarter exceeding expectations.
The company’s operations produced 4.5-million ounces of silver and 67 000 oz gold, bringing its half-year figures to 8.2-million ounces of silver and 118 000 oz of gold.
Hochschild attributes its guidance increase to strong production from its Inmaculada mine, in Peru, which delivered its strongest quarter since commissioning, with gold production at 45 000 oz and silver production at 1.4-million ounces.
Hochschild also adjusted its all-in sustaining costs per silver equivalent ounce for the year, now expected to be between $11 to $11.50, down from between $12 and $12.50.
CEO Ignacio Bustamante said in a statement on Thursday that the first half of the year proved to be pivotal in Hochschild's recent history, with the delivery of strong production results, continued cost reductions, further debt repayments and its recent reentry into the FTSE 250 Index.
“Despite additional debt repayment, our cash position remains very strong at over $100-million,” he stated.