Hochschild Mining PLC (LSE:HOC) has reported attributable production of 74,004 gold equivalent ounces for the third quarter of 2026, bringing output for the first nine months of the year to 225,835 ounces, as the company maintained its full-year production and cost guidance.
The precious metals producer, which operates gold and silver mines across Peru, Argentina and Brazil, reaffirmed its annual production target of between 300,000 and 328,000 gold equivalent ounces.
Operational performance during the quarter included increased production at the Mara Rosa mine in Brazil, where the company has been implementing changes to its mining operations.
Hochschild reported that Mara Rosa produced just over 8,000 ounces of gold in September, following the appointment of a new mining contractor and improved access to higher-grade mining areas.
Management said the operational improvement programme at Mara Rosa is approaching completion and expects the changes to support production during the fourth quarter.
At the Inmaculada mine in Peru, production contributed to the group’s third-quarter output, while operations at San Jose in Argentina were temporarily affected by extreme winter weather.
The adverse conditions disrupted production at San Jose during the reporting period. Hochschild expects ore grades at the operation to recover during the final quarter of 2026.
The company also identified inflation-related cost pressures in Argentina but maintained its existing full-year cost guidance.
Hochschild reported net cash of approximately $91 million at the end of September, supported by cash generation from its producing operations.
Alongside production activities, the group continued development work across its portfolio of exploration and growth projects.
At Royropata in Peru, Hochschild submitted a revised environmental impact assessment as part of the regulatory process associated with the project’s proposed development.
In Brazil, work continued at the Monte do Carmo project, which forms part of the company’s pipeline of potential future mining operations.
The group also reported year-on-year improvements in safety performance and water-use efficiency across its operations, reflecting measures implemented as part of its environmental, social and governance programmes.
Regarding the operating environment in Peru, Hochschild indicated that it views the country’s change in government as potentially supportive of future mining investment and development.
The company’s existing production portfolio includes the Inmaculada and San Jose underground mines and the Mara Rosa open-pit operation, alongside exploration and development projects in Latin America.
Looking ahead, Hochschild expects continued operational improvements at Mara Rosa and a recovery in grades at San Jose to contribute to fourth-quarter production.
The company remains on track, according to management, to achieve its 2026 production guidance of 300,000 to 328,000 gold equivalent ounces while continuing development activities at Royropata and Monte do Carmo.
Leave a Reply