Goldproductionwas72,600ouncesinthesecondquartercomparedwith63,500ouncesinthepreviousquarter。

MolybdenumproductionatLosPelambreswas3,400tonnesinthequarterandtotalled6,500tonnesinthefirsthalfof2012。

The35。

4%increaseinproductioninfirsthalfoutputoverthecorrespondingperiodof2011reflectshigheroregrades。

Groupcashcosts(netofby-productcredits)intheApriltoJunequarterwere99。

3centsperpound,broadlyinlinewiththepreviousquarterscostsof98。

1centsperpound。

Cashcostsexcludingby-productcreditsdecreasedto158。

2centsperpoundinthequartercomparedwith163。

6centsperpoundinthefirstquarteroftheyear,mainlyreflectingtheimpactofhigherproductiononunitcostsatLosPelambresandEsperanza,partlyoffsetbyexpectedhighercostsatElTesoro。

Thiswasoffsetbylowerby-productcredits。

TheclosingoftheagreementwithMarubeniforits30%interestintheAntucoyaprojectwasachievedonJuly31st。

AsofJune30th,theoverallprojectprogresswas12%completeandthemainengineering,procurementandconstructioncontractshadbeenexecuted。

JH

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