Fresnillo awaits Magistrate's decision over explosive permits

18th Sep 2013 10:16

Mining group Fresnillo said Wednesday that a court has appointed an expert to make decisions about the temporarily suspended Minera Penmont's explosive permits. The expert has written a report about the boundaries of the area of land and has subsequently submitted the report stating these boundaries.The Magistrate has received the report and Fresnillo expects a decision to be reached soon. The suspension was introduced earlier this year when the local Magistrate in Sonora issued the order after five members of the El Bajio agrarian community brought about legal proceedings. Minera was also ordered to vacate the land. Minera previously said it believes the explosives suspension to be "excessive", since it goes beyond the area of land pertaining to the original court order around the El Bajío litigation. The company stated on Wednesday that it "believes that given the fact that the report submitted by the court appointed expert establishes the boundaries of land, there is no further dispute over the same and therefore expects that the suspension be lifted by the beginning of October", although added that "no assurances can be made". The company also took the opportunity to reiterate its full year guidance at 465,000 ounces, saying it expects to make up any production short fall by the end of December, subject to the lifting of the explosives suspension by the beginning of October. NR