Fresnillo PLC (LSE:FRES) said gold and silver production in the second quarter was in line with its expectations even as output fell versus the earlier-year period.
However, its gold and silver production increased 6.1% and 8.1% respectively from the first quarter of 2022 and the FTSE-100 miner said it remained on track to meet its full-year output guidance.
“We are making good operational progress, despite the ongoing impact of the pandemic and global supply chain bottlenecks, which are likely to persist in the second half,” said chief executive Octavio Alvídrez.
“We continue to address the challenges presented by the Mexico labour reform which limits the use of contractors.
“Our recruitment and training campaigns are proving effective and we should complete this process by year end in our underground mines, while our open pit mines are now fully staffed.”
Quarterly attributable silver production fell 3.6% from the second quarter of 2021 on lower ore grade and ore processing volumes from the San Julián disseminated ore body.
Quarterly attributable gold production dropped 20.6% year on year mainly due to a lower recovery rate and the expected decrease in the volume of ore processed at its Herradura mine.
It will announce interim results on August 2.