Last checked at 8 Jun 2009 07:00
8 June 2009
Hochschild delivers cost savings through installation of new power lines
Hochschild Mining plc ("Hochschild") is pleased to announce that it has successfully completed the construction of new power lines at its operations in Peru and Argentina to ensure that each site has the most cost effective and reliable supply of energy.
The installation of new power lines is just one of a number of projects which Hochschild is undertaking to maximize operational efficiency and reduce costs, supporting its target of reducing unit cost per tonne by 5% in 2009 compared to 2008.
In Peru, a new 22 kilometre replacement 66 kV power line has been installed at Arcata which has increased the available energy supply following the plant expansion undertaken in 2008. At Selene, where the ore from Pallancata is processed, a new 74 kilometre, 60 kV power line has been installed which is working in parallel with the existing 30 kV power line to provide energy to Selene and Pallancata.
In Argentina, a new 130 kilometre, 132 kV power line and transformation station have been installed which connect the San José operation to the national grid, eliminating the need to use onsite generators as a primary source of energy. The new power line should cover any future capacity increase at the operation.
Miguel Aramburú, Chief Executive Officer of Hochschild Mining plc, commented:
"The installation of new power lines is just one of a number of projects which Hochschild is undertaking to maximize operational efficiency and is already delivering cost savings for our operations in Peru and Argentina. We remain on track to deliver our target of reducing unit cost per tonne by 5% in 2009 compared to 2008".
Enquiries:
Hochschild Mining plc
Isabel Lutgendorf +44 (0)20 7907 2934
Head of Investor Relations
Finsbury
Robin Walker +44 (0)20 7251 3801
Public Relations
About Hochschild Mining plc:
Hochschild Mining plc is a leading precious metals company listed on the London Stock Exchange (HOCM.L for Reuters / HOC LN for Bloomberg) with a primary focus on the exploration, mining, processing and sale of silver and gold. Hochschild currently operates five underground epithermal vein mines, four located in southern Peru, one in southern Argentina, one open pit mine in northern Mexico and numerous long-term prospects throughout the Americas. Hochschild has over forty years experience in the mining of precious metal epithermal vein deposits. For further information please visit www.hochschildmining.com.