Strategy and Values

Hochschild's strategy is to maximise the potential of Hochschild's existing operations through exploration and expansions and bring into production new, profitable precious metal projects throughout the Americas, whilst maintaining a strong focus on responsibility and excellence.

Hochschild's strategy is based on the following operational and financial objectives:
Operational:

    * Achieving their production target of 50 million attributable silver equivalent ounces by 2011
    * Maintaining low operating costs - lowest quartile of the global cash cost curve
    * Growing their asset base by expanding reserves and resources at existing operations and
      executing a cluster consolidation acquisition and joint venture strategy
    * Ensuring the highest standards of health, safety and environmental performance

Financial

    * Achieving adjusted EBITDA margin of approximately 50%
    * Generating strong cash flow
    * Steadily increasing return on capital employed
    * Delivering value to shareholders

Arcata, Peru

The unit operates an underground mine and a concentrator for the production of silver concentrate with gold content. The concentrator produces silver/gold bulk concentrate by flotation with a current capacity to treat 420 thousand tonnes per annum. In 2007, Arcata produced 16,665 tonnes of concentrate with 6.6 million ounces of silver and 16.5 thousand ounces of gold. Hochschild plan to expand the Arcata plant to 618 thousand tonnes per annum by the end of 2008. (Read More)

Ares, Peru

The processing plant has a current ore production capacity of 333 thousand tonnes per annum. A separate additional plant has recently been installed for the processing of concentrate from the Selene unit into doré. In 2007, Ares produced 2.7 million ounces of silver and 150 thousand ounces of gold. (Read More)

Selene, Peru

The mine operates a concentrator that processes silver ore with associated gold to produce silver/gold bulk concentrate by flotation. The concentrator capacity is currently 700 thousand tonnes per annum, part of which is used to process the ore from Pallancata. The Selene concentrate is transported to the Ares site where it is turned into doré. In 2007, Selene produced 4,010 tonnes of concentrate with 3.4 million ounces of silver and 21.6 thousand ounces of gold. (Read More)

Pallancata, Peru

Hochschild own 60% of the Pallancata operation and are the operator. The remaning 40% is held by Minera Oro Vega S.A.C. (a subsidiary of International Minerals Corporation). Operations commenced on the mine in the third quarter of 2007 at an initial rate of 180 thousand tonnes per annum. The Pallancata ore is transported approximately 22 kilometres to their Selene plant for processing and will be sold in the form of silver/gold concentrate. (Read More)

San José, Argentina

Title to the San José property is held by Minera Santa Cruz, S.A. ("MSC"), the holding and operating company set up under the terms of an option and joint venture agreement between Minera Andes, S.A. (49%) and Hochschild Mining Argentina (51%), a wholly-owned subsidiary of Hochschild. San José commenced operations in June 2007. Processing plant capacity is currently 265 thousand tonnes per annum with plans to expand capacity to 530 thousand tonnes per annum by the end of 2008. (Read More)

Moris, Mexico

The Moris mine commenced production in the third quarter of 2007. Once fully ramped-up, the plant will operate at 1,060 thousand tonnes per annum and will produce doré. (Read More)

Board of Directors

Eduardo Hochschild - Executive Chairman

Roberto Dañino - Deputy Chairman and Executive Director

Miguel Aramburú - Chief Executive Officer

Ignacio Rosado - Chief Financial Officer

Sir Malcolm Field - Senior Non-Executive Director

Jorge Born Jr. - Non-Executive Director

Nigel Moore - Non-Executive Director

Dionisio Romero - Non-Executive Director

For more information on Hochschild's Directors click HERE

Management

Isac Burstein - Corporate Manager, Business Development

Ignacio Bustamante - Chief Operating Officer

Raymond Jannas - Vice President, Exploration & Geology

José Augusto Palma - Vice President & General Counsel

Eduardo Villar - Vice President, Human Resources

For more information on Hochschild's Management click HERE

For investor information click HERE