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(RNS) 2009-09-14 14:27
Fresnillo Plc - MAG Silver announcement of Valdeca?study
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RNS Number : 0139Z Fresnillo PLC 14 September 2009

14 September 2009

Statement re MAG Silver announcement of Valdeca?scoping study

Fresnillo plc (LSE: FRES) reports that today MAG Silver (TSX: MAG) has announced the results of an independent scoping study for the development of the Valdeca?Vein within the Minera Juanicipio joint venture claim as a potential stand-alone silver mine.

The Management of Fresnillo plc has concerns about a number of the assumptions on which the results of this scoping study are based. This scoping study is a hypothetical development scenario and is based on preliminary information and therefore must not be mistaken for a pre-feasibility study.

Whilst the Minera Juanicipio joint venture is providing Fresnillo plc with good results, the Company remains cautious given the uncertainties imbedded in a scoping study.

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    For further information, please visit our website: www.fresnilloplc.com or contact:

    Fresnillo plc


    London Office Tel: +44 (0)20 7399 2470

    Octavio Alvidrez, Head of Investor Relations

    Mexico City Office


    Gabriela Mayor Tel: +52 55 52 79 3203
    Brunswick Tel: +44 (0)20 7404 5959

    Patrick Handley

    Carole Cable

    About Fresnillo plc

    Fresnillo Plc is the world's largest primary silver producer and Mexico's second largest gold producer, listed on the London Stock Exchange under the symbol FRES.

    Fresnillo has three producing mines, all of them in Mexico - Fresnillo, Ci?ga and Herradura; two development projects - Saucito, Soledad & Dipolos; and three exploration prospects - San Juan, San Julian, Orysivo, as well as a number of other long term exploration prospects and, in total, has mining concessions covering approximately 1.75 million hectares in Mexico.

    Fresnillo has a strong and long tradition of mining, a proven track record of mining development and reserves replacement, and a low cost of production, being in the lowest quartile of the cost curve for both silver and gold. Fresnillo intends to maintain its position as the world's largest primary silver producer with the aim of approximately doubling silver production and increasing its gold production by 2018.

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    This information is provided by RNS The company news service from the London Stock Exchange

    END

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