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Feb 27 (Reuters) - Precious metals miner Fresnillo Plc on Tuesday posted a 3.2 percent rise in annual profit, helped mainly by a record silver production.
Silver production rose 16.6 percent to 58.7 million ounces in the year ended Dec. 31, as the first phase of San Julian silver and gold mine in Mexico operated at full capacity for the first full year.
Gold production for the year fell 2.6 percent to 911,132 ounces.
The company, which mines gold and silver in Mexico, said revenue climbed 9.9 percent to about $2 billion, helped also by higher zinc volumes and base metal prices.
Full-year profit before tax rose to $741.5 million from $718.2 million, with cost of sales increasing 14.1 percent.
Fresnillo said it expects 2018 silver production to rise to a range of 67 million to 70 million ounces, with San Julian's second phase making a "meaningful contribution" as it began operating at full capacity.
Gold production is expected to be in the range of 870,000 ounces to 900,000 ounces this year.
The company said it expects to spend about $755 million in 2018, higher than $604.8 million it spent last year.
(Reporting by Arathy S Nair in Bengaluru; Editing by Subhranshu Sahu and Amrutha Gayathri)
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