StockMarketWire.com - Hochschild Mining met its full year production target, producing 20.3 million attributable silver equivalent ounces in 2012.

The group says that while its mines continued to deliver a solid base of production, its brownfield exploration programme delivered some excellent results during the year.

Chief executive Ignacio Bustamante said: "During the year, our advanced projects, which will increase our production levels by 50%, have continued to make good progress and despite the reported industry-wide delays in the permitting process, the engineering, construction and community relations initiatives are proceeding according to schedule.

"Our ambitious greenfield drilling programme also produced some encouraging results throughout the year, demonstrating the potential of our project pipeline to deliver significant growth in the long-term.

"Finally, the recent acquisition of Andina Minerals provides Hochschild with further long-term optionality as well as increased geographical balance within our extensive project pipeline with its principal asset, Dorado, being located in Chile, one of the most attractive, mining-friendly jurisdictions in the Americas.

"Although we recognise the challenges associated with the project, we expect to conduct further substantial geological and technical evaluation work on the deposit and are confident that our experienced geological and operational teams will develop its strong potential.

"Despite only representing approximately 4% of Hochschild's current market capitalisation, this acquisition has the potential to ultimately deliver significant growth."



At 9:02am: [LON:HOC] share price was +0.7p at 439.1p


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