Fresnillo sees lower 2021 gold output as FY production down 12%

Precious metals miner Fresnillo lowered its current-year gold output forecast as a landslip at its Noche Buena mine and Covid restrictions hit 2020 production.

The company, which operates seven mines in Mexico, on Wednesday reported a 12.1% fall in 2020 gold production to 769,618 ounces, at the upper end of revised estimates provided in October.

It cited lower ore volumes processed at the Herradura mine as a result of Covid-19 related working restrictions and the land slip at Noche Buena for the decline .

Fresnillo said it expected to produce 675k – 725k ounces of gold and 53.5m - 59.5m of silver in 2021.