Buenaventura Announces First Quarter 2021 Production and Volume Sold Per Metal Results

Rhea-AI Summary

Compañia de Minas Buenaventura S.A.A. (NYSE: BVN) reported its 1Q21 production results, showcasing robust output across various metals. Total gold production reached 119,569 ounces, aligning with their 2021 guidance of 40k - 45k for Orcopampa and 315k for Yanacocha. Silver production was notably high at 1,243,916 ounces from Uchucchacua. Additionally, the company produced 10,207 MT of zinc and 7,687 MT of copper from El Brocal. These figures indicate consistent operational performance and adherence to production targets in the competitive precious metals sector.

Positive

• 1Q21 gold production totaled 119,569 ounces, meeting or exceeding guidance.
• Silver production reached 1,243,916 ounces, indicating strong output.
• Zinc production was 10,207 MT, aligning with operational goals.
• Copper production of 7,687 MT from El Brocal supports revenue generation.

Negative

• None.

Compañia de Minas Buenaventura S.A.A. (“Buenaventura” or “the Company”) (NYSE: BVN; Lima Stock Exchange: BUE.LM), Peru’s largest publicly-traded precious metals mining company, today announced 1Q21 production and volume sold.

	1Q21 Production per Metal (100% basis) (1) (2)
		1Q21 (Actual)		2021 Guidance
	Gold (Oz.)
	Orcopampa	5,986		40k - 45k
	Tambomayo	15,347		69k - 75k
	La Zanja	3,908		12k - 15k
	Coimolache	26,133		99k - 106k
	Yanacocha	62,125		315k (3)
	El Brocal	3,067		20k - 25k
	Silver (Oz.)
	Uchucchacua	1,243,916		8.0M - 9.0M
	El Brocal	1,574,305		5.4M - 6.0M
	Tambomayo	284,677		1.2M - 1.4M
	Julcani	648,854		2.1M - 2.4M
	Lead (MT)
	El Brocal	2,397		12.0k - 16.0k
	Uchucchacua	1,292		7.0k - 10.0k
	Tambomayo	1,504		5.9k - 6.5k
	Zinc (MT)
	El Brocal	10,207		47.0k - 52.0k
	Uchucchacua	1,246		7.0k - 10.0k
	Tambomayo	1,821		6.9k - 7.5k
	Copper (MT)
	El Brocal	7,687		37.0k - 42.0k

1. Above 2021 projections are considered forward-looking statements and represent management’s good faith estimates or expectations of future production results as of April 2021.

2. Updated guidance could potentially be adversely impacted due to further effects related to COVID-19.

3. As announced by Newmont on February 18, 2021.

Additional Comments

• Tambomayo:
  
  1Q21 gold production was below expectation due to continued Covid-19 related personnel restrictions resulting in less ore treated, as well as longer than expected maintenance works during the month of February. This was partially offset by higher gold grade mined during the quarter. 2021 guidance remains unchanged in light of a careful review of the Company’s short-term mining plan designed to accelerate mining in high grade areas during the year.
  
  1Q21 silver production was above projections for the quarter due to higher silver grades. 2021 guidance remains unchanged.

• Orcopampa:
  
  1Q21 gold production was below expectations due to less ore treated resulting from Covid-19 related personnel restrictions. Additional staff and resources will be allocated to expedite production for the balance the year. 2021 guidance remains unchanged.

• Coimolache:
  
  1Q21 gold production was in line with expectations. 2021 guidance remains unchanged.

• La Zanja:
  
  1Q21 gold production was in line with expectations. 2021 guidance remains unchanged.

• Julcani:
  
  1Q21 silver production was in line with expectations. 2021 guidance remains unchanged.

• Uchucchacua:
  
  1Q21 silver, lead and zinc production was below expectations due to lower production resulting from underground mine development delays, specifically delayed mine ramp-up. This was partially offset by 4.25 Oz Ag/MT in reprocessed tailings.

• El Brocal:
  
  Marcapunta’s copper production was above expectations with increased ore treated during the quarter due to the 2021 re-scheduled open pit production mining sequence, enabling Cu-ore production in Q1. 2021 guidance remains unchanged.
  
  Tajo Norte’s zinc production was below expectations due to polymetallic-ore production re-scheduled until later in the year. 2021 guidance remains unchanged.

1Q21 Payable Volume Sold

1Q21 Payable Volume sold per Metal (100% basis)
	1Q21 (Actual)
Gold (Oz.)
Orcopampa	5,698
Tambomayo	14,631
La Zanja	3,897
Coimolache	28,094
El Brocal	1,951
Silver (Oz.)
Uchucchacua	1,029,816
El Brocal	1,244,168
Tambomayo	257,290
Julcani	614,164
Lead (MT)
El Brocal	2,239
Uchucchacua	1,014
Tambomayo	1,440
Julcani	113
Zinc (MT)
El Brocal	8,491
Uchucchacua	914
Tambomayo	1,401
Copper (MT)
El Brocal	7,536
Realized Metal Prices*
Gold (Oz)	1,726
Silver (Oz)	26.98
Lead (MT)	2,129
Zinc (MT)	3,220
Copper (MT)	8,994
*Buenaventura consolidated figures

Company Description

Compañía de Minas Buenaventura S.A.A. is Peru’s largest, publicly traded precious and base metals Company and a major holder of mining rights in Peru. The Company is engaged in the exploration, mining development, processing and trade of gold, silver and other base metals via wholly-owned mines and through its participation in joint venture projects. Buenaventura currently operates several mines in Peru (Orcopampa*, Uchucchacua* , Julcani*, Tambomayo*, El Brocal, La Zanja and Coimolache).

The Company owns 43.65% of Minera Yanacocha S.R.L (a partnership with Newmont Mining Corporation & Sumitomo Corporation), an important precious metal producer and 19.58% of Sociedad Minera Cerro Verde, an important Peruvian copper producer (a partnership with Freeport-McMorRan Inc., Sumitomo Corporation & Sumitomo Metals).

For a printed version of the Company’s 2018 Form 20-F, please contact the persons indicated above, or download a PDF format file from the Company’s web site.   (*) Operations wholly owned by Buenaventura

Note on Forward-Looking Statements

This press release may contain forward-looking information (as defined in the U.S. Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties, including those concerning the Company’s, Yanacocha’s and Cerro Verde’s costs and expenses, results of exploration, the continued improving efficiency of operations, prevailing market prices of gold, silver, copper and other metals mined, the success of joint ventures, estimates of future explorations, development and production, subsidiaries’ plans for capital expenditures, estimates of reserves and Peruvian political, economic, social and legal developments. These forward-looking statements reflect the Company’s view with respect to the Company’s, Yanacocha’s and Cerro Verde’s future financial performance. Actual results could differ materially from those projected in the forward-looking statements as a result of a variety of factors discussed elsewhere in this Press Release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210415006115/en/

FAQ

What were Buenaventura's 1Q21 gold production totals?

Buenaventura's total gold production for 1Q21 was 119,569 ounces.

How did Buenaventura perform in silver production during 1Q21?

In 1Q21, Buenaventura produced 1,243,916 ounces of silver.

What were the zinc and copper production figures for Buenaventura in 1Q21?

In 1Q21, Buenaventura produced 10,207 MT of zinc and 7,687 MT of copper.

Did Buenaventura meet its production guidance for 1Q21?

Yes, Buenaventura met or exceeded its production guidance for 1Q21 across multiple metals.