Buenaventura invests $3.17 million in the modernization of the Julcani mine in Peru.

Peruvian mining company Buenaventura is taking a significant step towards the modernization and optimization of its historic silver mine, Julcani, located in the Huancavelica region. With a history dating back to 1953, this underground mine, which operates in narrow veins, has been an integral part of Buenaventura's operations. In this context, the company has submitted a fifth supporting technical report (ITS) detailing an ambitious investment project. The project involves an approximate investment of US$3.17 million, aimed at making key modifications that will include increasing the capacity of the tailings deposit and improving the concentrator plant. This renovation is necessary to sustain production in a market that increasingly demands efficiency and sustainability. Operations at the tailings facility are projected to take 17 months, while improvements to the concentrator plant are estimated to take six months. Julcani, situated at an altitude of 4,200 meters, is one of Buenaventura's oldest mines and has been a consistent source of silver production. In 2023, the mine reached a production of 1.67 million ounces of silver, with 828,741 ounces extracted in the first half of the year. This production has aligned with the company's expectations, underlining the importance of these investments in maintaining and potentially increasing these production levels. One of the most notable modifications proposed in the ITS is the increase of the tailings dam by two meters, which will allow for an increase in its storage capacity to 2.64 million cubic meters. This adjustment is being made to manage the tailings more efficiently, avoiding the need to build new facilities, which could be costly and complex. In addition to optimizing the tailings system, Buenaventura is focused on improving its concentrator plant. The need for new equipment has been identified to enhance efficiency in mineral processing. This construction phase will require an investment of US$1.96 million and promises to raise silver recovery from 98.75% (compared to the previous 97.81%) and gold recovery from 90.93%, a significant advancement from the previous 39.65%. Additionally, the ITS suggests a new commercial strategy that would allow Julcani to sell extracted ore to other mining units, with a limit of up to 12,000 tons per month. This option will not only facilitate the continuity of underground extraction operations but also ensure the economic viability of the mining unit in an environment where demand for minerals continues to rise. The possibility of selling ore to other companies presents a strategic measure to maintain the operability and profitability of Julcani. Sustaining productive activity at this mine is essential not only for Buenaventura but also for the region, which relies on mining activity for its economic development. Another aspect to highlight is that as these modifications are implemented, Buenaventura intends to ensure that current operations are not affected. This involves a careful approach to planning and executing the investment, guaranteeing that the transition to a more optimized operation is smooth and beneficial. By investing in its Julcani mine, Buenaventura not only reinforces its commitment to modernization and sustainability but also responds to market demands and stakeholder expectations. It is a move that reflects the company's long-term vision and determination to maintain its position as a leader in the mining industry in Peru. With these efforts, Julcani aims not only to increase its productive capacity but also to contribute to the economic development of the region and the country as a whole.