Fresnillo welcomes end of Minera Penmont permit suspension - UPDATE

9th Oct 2013 07:00

Mining group Fresnillo has announced that the temporary suspension of Minera Penmont's explosives permit at Noche Buena has been lifted and operations have restarted.The group, which has six operating mines, also said that it is confident that the temporary suspension of explosive permits at the Herradura and Soledad mines will also be lifted in the near future, once the Mexian Ministry of Defense has sought further clarity on the matter. 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 Penmont, which is 56%-owned by Fresnillo, previously said it believed 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. Fresnillo said it was now evaluating the impact on the 2013 gold production guidance and would be in a position to update the market following the lifting of the suspension of the permit at Herradura and Soledad.NR