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Buenaventura eliminates gold hedges through 2009

Section: Daily Dispatches

Buenaventura Completes 2007, 2008, and 2009 De-Hedging Program

Company Press Release
via Yahoo News
Thursday, May 24, 2007

LIMA, Peru -- Compania de Minas Buenaventura S.A.A., Peru's largest publicly-traded precious metals mining company, completed today an additional partial reduction of its gold hedge book by unwinding a total of 248,000 ounces for all of its 2009 gold commitments.

Total payment for this transaction was US$87 million, which will be partially financed via local debt.

This is the second transaction to reduce the company's hedge book executed in May 2007. On May 15, 2007, the company eliminated its 2007 and 2008 gold commitments (240,000 ounces).

The total reduction in gold commitments for both transactions totals 488,000 ounces, which represents 35 percent of the total hedge book. Current gold commitments are now 922,000 ounces to be distributed between 2010 and 2012.

The new hedge book is shown in the following appendix. ...

(See the full press release at link above.)

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at the
World Gold, PGM, and Diamond Investment Conference
in Vancouver, British Columbia, Canada
Sunday and Monday, June 17 and 18, 2007

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