Last checked at 31 Dec 2008 10:09
Fresnillo Plc
28 Grosvenor Street
London W1K 4QR
United Kingdom
www.fresnilloplc.com
31 December 2008
Fresnillo plc
("Fresnillo" or the "Company")
Transaction in own shares
Fresnillo plc (the "Company") the world's largest primary silver producer and Mexico's second largest gold producer, announces that it has commenced a non-discretionary programme to purchase ordinary shares on its behalf during its close period (the "Non-Discretionary Programme") which commences on 2 January 2009 and is scheduled to end no later than 23 February 2009. The purchased shares will be held as treasury shares.
The Non-Discretionary Programme will be managed by JPMorgan Cazenove Limited, an independent third party, which makes its trading decisions independently of, and uninfluenced by, the Company.
Any acquisitions will be effected within certain pre-set parameters, and in accordance with both the Company's general authority to repurchase shares and Chapter 12 of the Listing Rules which require that the maximum price paid be limited to no more than the higher of (i) 5 per cent above the average market value for the shares as derived from the London Stock Exchange Daily Official List for the five business days immediately prior to such purchase and (ii) the higher of the price of the last independent trade and the highest current independent bid on the London Stock Exchange at the time the purchase is carried out.
The Company confirms that it currently has no unpublished price sensitive information.
For further information about Fresnillo plc please visit www.fresnilloplc.com or contact:
Fresnillo plc
London Office
Octavio Alvidrez, Head of Investor Relations Tel: +44(0)20 7399 2470
Mexico City Office
Gabriela Mayor Tel: +52555 279 3203
JPMorgan Cazenove Tel: +44 (0)20 7588 2828
Andrew Wray
Brunswick Tel: +44(0)20 7404 5959
Patrick Handley
Carole Cable
About Fresnillo plc
Fresnillo Plc is the world's largest primary silver producer and Mexico's second largest gold producer, listed on the London Stock Exchange under the symbol FRES.
Fresnillo has three producing mines, all of them in Mexico - Fresnillo, Ciénega and Herradura; two advanced development projects - Fresnillo II, Soledad & Dipolos; and three exploration prospects - San Juan, San Julian, Orysivo, as well as a number of other long term exploration prospects and, in total, has mining concessions covering approximately 1.3 million hectares in Mexico.
Fresnillo has a strong and long tradition of mining, a proven track record of mining development and reserves replacement, and a low cost of production, being in the lowest quartile of the cost curve for both silver and gold.
Fresnillo intends to maintain its position as the world's largest primary silver producer with the aim of approximately doubling production, on a silver equivalent ounce basis, within the next ten years and increasing its gold production.