Fresnillo Sees Profit Surge Amid Gold and Silver Price Rally

Fresnillo's first-half profit nearly tripled due to higher gold and silver prices, offsetting lower production. The Mexico-focused precious metals miner reported a 74.7% increase in revenue to $3.38 billion.

The company attributed the growth to stronger realized prices for silver and gold, despite lower grades and sales volumes at its mines. Fresnillo's chief executive, Octavio Alvídrez, stated that the financial position enabled the company to fund the acquisition of Probe Gold in January and continue capital spending and exploration.

The miner also increased its interim dividend to $0.43 a share while maintaining a strong balance sheet. Shares rose 3.6% to 2,586p in early afternoon trading, valuing the company at nearly £19 billion ($25 billion).