Hochschild's 2014 production above expectations, hedges below spot prices
Silver miner Hochschild said production exceeded expectations in 2014 and that it hedged 6m ounces of silver over the past 12 months.
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The firm, which focuses on mines in Argentina, Chile, Peru and Mexico, added it produced 22.2m silver equivalent ounces in 2014, exceeding guidance of 21m silver equivalent ounces.
The group said the edge was in addition to a previous deal to hedge 38,000 ounces of gold for 2015 at $1,300 per ounce, though the hedging was 2014 was made at $17.75 per ounce, below the spot silver prices of about $18.20 per ounce.
The London-listed company said it continues to expect production for 2015 to total 24m silver equivalent ounces, with all-in sustaining costs in the range of $15 to $16 per ounce.
Hochschild shares were down 7.28% to 121.00 at 15:19 on Wednesday.