We primarily operate underground epithermal deposits in the Americas. For over half a century, we have developed a unique in-depth knowledge base of the regional business environment and legislative framework where we operate. Historically, we have been able to consistently meet annual production targets, increase our resource base and achieve positive results from brownfield exploration at existing mines. This has been achieved despite periods of significant volatility in precious metal markets as well as dynamic political and economic environments.
What sets us apart?
We have a particular expertise in mining mid-sized, narrow, epithermal veins in complex geological conditions, remote areas and changing political environments.
Inmaculada is a world class precious metal mine located in the Group’s Southern Peru Cluster close to several of ourother mining assets. Thepresence of high grades of goldand silver in a single vein, Angela, characterised by its impressivewidth and favourable rock quality, allows the mine to achieve ahighly competitive cost position. However, whilst the deposit has a more than adequate reserve life, there is significant exploration potential in the district including probable extensions to the main Angelavein as well other vein systems identified in the Company’sconcession area.
What sets us apart?
The brownfield exploration team have identified geological upside in the surrounding area which is expected to allow the Company to potentially expand this world class operation’s capacity and drive costs still lower.
The Group has continuously placed a strong emphasis on exploration as a key component of its business model to secure long-term sustainability of the core producing assets as well as finding new projects to expand its portfolio. To this end, in 2016 the Company launched a new brownfield exploration programme aimed at achieving five years of mine life in reserves and an additional five years of mine life in resources by 2020.
What sets us apart?
The value of ounces discovered at the Company in less than 10 years exceeds $5 billion in revenue and the brownfield team believe that, following a long period of prospection, there is still potential at all our assets to find low cost ounces.
With volatile underlying markets, the Company’s financing initiatives are a key underpin to our business strategy. Hochschild has long-standing and flexible financial relationships, allowing it to invest in near-term growth, manage the current operations and provide access to further liquidity should the need arise.
What sets us apart?
Whilst the Company enjoys robust existing global banking relationships and has raised both debt and equity to fund project construction, our long-standing Peruvian presence also allows us favourable access to significant local sources of finance.
The Group’s management team has extensive experience in sustainable mining, developing successful projects and adding economic mineral reserves. This experience has enabled us to operate efficiently and profitably through volatile commodity price cycles for more than 50 years. Hochschild’s team has also managed joint venture operations and successfully integrated several acquisitions and business expansions.
What sets us apart?
The management team has considerable experience in the Americas: operating different types of deposits; driving successful cost reduction programmes; planning and building high value projects in short spaces of time; acquiring and divesting companies; and working with local communities.
We have a historical commitment to safety as well as social and environmental sustainability, with operational safety being one of our core values. In addition, the Group considers its surrounding communities as its long-term business partners and commits skilled professionals as well as financial resources to support programmes in three different categories: health, safety and sustainable development. As a result of these programmes, the Group has been able to operate collaboratively with its neighbours in the Southern Peru Cluster for more than 50 years.
What sets us apart?
Our mines are located in remote parts of Peru where Hochschild is amongst the very few organisations with a meaningful presence in the area. We therefore look to form partnerships with regional authorities to provide much needed support to the local communities focusing on education, health and promoting sustainable economic development. As a mining operator, we have a zero tolerance to incidents relating to safety and the environment supported by recognised management information systems and controls.
