Exhibit 96.

SEC Technical Report Summary

Pre-Feasibility Study
Uchucchacua
Effective Date: March 15, 2022
Report Date: May 10, 2022

Report Prepared for

Compañía de Minas Buenaventura S.A.A.

Las Begonias 415
Floor 19 San Isidro
Lima 15046
Peru

Report Prepared by

SRK Consulting (Peru) S.A.

Av. La Paz 1227 Miraflores
Lima 18
Perú

SRK Project Number: 20M05010

May, 2022
 CONSENT

I, Manuel A. Hernández, a “qualified person” for purposes of Subpart 1300 of Regulation S-K as promulgated by the
U.S. Securities and Exchange Commission (“S-K 1300”). In connection with Compañía de Minas Buenaventura S.A.A.’s
(the “Company”) Annual Report on Form 20-F for the year ended December 31, 2021 and any amendments or
supplements and/or exhibits thereto (collectively, the “Form 20-F”), consent to:

• the public filing and use of the technical report summary titled “SEC Technical Report Summary
Pre-Feasibility Study for Uchucchacua” (the “Technical Report Summary”), with an effective date of March 15,
2022, as an exhibit to and referenced in the Company’s Form 20-F;

• the use of and references to my name, including my status as an expert or “qualified person” (as defined in S-K
1300), in connection with the Form 20-F and any such Technical Report Summary; and

• the use of information derived, summarized, quoted or referenced from the Technical Report Summary, or
portions thereof, that was prepared by me, that I supervised the preparation of and/or that was reviewed and
approved by me, that is included or incorporated by reference in the Form 20-F..

I am a qualified person responsible for authoring, and this consent pertains to, the following sections of the Technical
Report Summary:

x Se
Section
ect
c ion 1.
11.3.11,
3.11, 16 and 22.8

Signature Authorized
ree off A uthhoorize Person
ut
Name: MaM anuel A.
Manuel A. Hernández
Hern Fellow AusIMM - Member 306576
ivill M
Title: Civil iniinng En
in
Mining Engineer
 Knight Piésold Consultores S.A.
Calle Aricota 106 Piso 5
Santiago de Surco
Lima
T + 51 202-3777
E [email protected]
www.knightpiesold.com

CONSENT OF THOMAS F. KERR

I, Thomas F. Kerr, MSc., P.Eng., P.E., in connection with the filing of Compañía de Minas
Buenaventura S.A.A.’s (the “Company”) Annual Report on Form 20-F for the year ended December
31, 2021 (the “Annual Report”), consent to:

x the public filing and use of the technical report summary titled “SEC Technical Report Summary
Pre-Feasibility Study for Uchucchacua” with an effective date of March 15, 2022 (the “Technical
Report Summary”), as an exhibit to and referenced in the Annual Report;

x the use of and reference to our name, including our status as an expert or “qualified person” (as
defined in S-K 1300), in connection with the Annual Report and the Technical Report Summary;
and

x the information derived, summarized, quoted or referenced from those sections of the Technical
Report Summary, or portions thereof, for which Thomas F. Kerr is responsible that is included or
incorporated by reference in the Annual Report.

This consent pertains to the following sections of the Technical Report Summary:

x Section 15.2.

Dated this 5th dayy of May,

y, 2022.

Thomas F.
F Kerr,
Kerr MSc.,
MSc P.Eng.,
P Eng P.E.
PE
Senior Principal Engineer

1 de 1 File No.: LI201-00067/71

Cont. No.: PEL-0302-2022
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Table of Contents
1 Executive Summary .................................................................................................. 1
1.1 Summary ....................................................................................................................................... 1
1.1.1 Conclusions ....................................................................................................................... 2
1.1.2 Recommendations ............................................................................................................ 5
1.2 Economic Analysis ........................................................................................................................ 7
1.3 Technical Summary ...................................................................................................................... 7
1.3.1 Property Description .......................................................................................................... 7
1.3.2 Land tenure ....................................................................................................................... 8
1.3.3 History ............................................................................................................................... 8
1.3.4 Geological and Mineralization ........................................................................................... 8
1.3.5 Exploration Status ............................................................................................................. 8
1.3.6 Mineral Resources Estimates ........................................................................................... 8
1.3.7 Mineral Reserves Estimates ........................................................................................... 11
1.3.8 Mining Methods ............................................................................................................... 13
1.3.9 Mineral Processing .......................................................................................................... 13
1.3.10 Infrastructure ................................................................................................................... 14
1.3.11 Market Studies ................................................................................................................ 14
1.3.12 Environmental Studies, Pemitting, and Plans, Negotiations, or Agreements with
Local Individuals or Groups ............................................................................................ 15
1.3.13 Capital and Operating Cost Estimates ............................................................................ 16
2 Introduction ............................................................................................................. 18
2.1 Registrant for Whom the Technical Report Summary was Prepared ......................................... 18
2.2 Terms of Reference and Purpose of the Report ......................................................................... 18
2.3 Sources of Information ................................................................................................................ 18
2.4 Details of Inspection .................................................................................................................... 18
2.5 Report Version Update ............................................................................................................... 19
3 Property Description ............................................................................................... 20
3.1 Property Location ........................................................................................................................ 20
3.2 Property Area .............................................................................................................................. 21
3.3 Mineral Title, Claim, Mineral Right, Lease or Option Disclosure ................................................ 22
3.4 Mineral Rights Description and How They Were Obtained ........................................................ 23
3.5 Encumbrances ............................................................................................................................ 25
3.6 Other Significant Factors and Risks............................................................................................ 25
3.7 Royalties or Similar Interest ........................................................................................................ 25
4 Accessibility, Climate, Local Resources, Infrastructure and Physiography ............. 26
4.1 Topography, Elevation and Vegetation ....................................................................................... 26
4.2 Means of Access ......................................................................................................................... 26
4.3 Climate and Length of Operating Season ................................................................................... 26

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4.4 Infrastructure Availability and Sources........................................................................................ 26

4.4.1 Water ............................................................................................................................... 26
4.4.2 Electricity ......................................................................................................................... 27
4.4.3 Personnel ........................................................................................................................ 27
4.4.4 Supplies ........................................................................................................................... 27
5 History ..................................................................................................................... 28
5.1 Background ................................................................................................................................. 28
6 Geological Setting, Mineralization, and Deposit ...................................................... 30
6.1 Regional, Local and Property Geology ....................................................................................... 30
6.1.1 Goyllarisquizga Group ..................................................................................................... 32
6.1.2 Machay Group ................................................................................................................. 33
6.1.3 Jumasha Formation......................................................................................................... 34
6.1.4 Celendín Formation (Ks-c) .............................................................................................. 34
6.1.5 Casapalca Formation (Kt-c) ............................................................................................ 34
6.1.6 Intrusive Rocks (T-i/an/da) .............................................................................................. 35
6.1.7 Volcanic Rocks ................................................................................................................35
6.1.8 Quaternary ...................................................................................................................... 35
6.2 Local Geology ............................................................................................................................. 36
6.3 Structural Geology ...................................................................................................................... 40
6.4 Mineralization .............................................................................................................................. 43
6.5 Hydrothermal alteration ............................................................................................................... 46
6.6 Deposit Types ............................................................................................................................. 47
7 Exploration .............................................................................................................. 50
7.1 Exploration Work (Other Than Drilling) ....................................................................................... 50
7.1.1 Geological Mapping ......................................................................................................... 50
7.1.2 Petrology, Mineralogy, and Research Studies ................................................................ 50
7.1.3 Significant Results and Interpretation ............................................................................. 50
7.2 Exploration Target Areas ............................................................................................................ 51
7.2.1 Yumpag Project ............................................................................................................... 51
7.3 Exploration Drilling ...................................................................................................................... 54
7.3.1 Drilling Surveys ............................................................................................................... 55
7.3.2 Sampling Methods and Sample Quality .......................................................................... 55
7.3.3 Downhole Surveying ....................................................................................................... 55
7.3.4 Geological Logging .......................................................................................................... 55
7.3.5 Diamond Drilling Sampling .............................................................................................. 55
7.3.6 Drilling Type and Extent .................................................................................................. 56
7.3.7 Drilling, Sampling, or Recovery Factors .......................................................................... 56
7.3.8 Drilling Results and Interpretation ................................................................................... 56
8 Sample Preparation, Analysis and Security ............................................................ 57

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8.1 Uchucchacua Mine...................................................................................................................... 57

8.1.1 Sample Preparation Methods and Quality Control Measures ......................................... 57
8.1.2 Sample Preparation, Assaying and Analytical Procedures ............................................. 60
8.1.3 Sample Analysis .............................................................................................................. 60
8.1.4 Quality Control Procedures/Quality Assurance ............................................................... 61
8.1.5 Evaluation of Control Samples ........................................................................................ 62
8.1.6 Opinion on Adequacy ...................................................................................................... 63
8.2 Yumpag Mine .............................................................................................................................. 64
8.2.1 Sample Preparation Methods and Quality Control Measures ......................................... 64
8.2.2 Quality Control Procedures/Quality Assurance ............................................................... 67
9 Data Verification ...................................................................................................... 70
9.1 Uchucchacua Mine...................................................................................................................... 70
9.1.1 Internal data validation .................................................................................................... 70
9.1.2 External data validation ................................................................................................... 70
9.1.3 Data Verification Procedures .......................................................................................... 70
9.1.4 Limitations ....................................................................................................................... 72
9.1.5 Opinions and recommendations on database quality ..................................................... 72
9.2 Yumpag Mine .............................................................................................................................. 72
9.2.1 Internal data validation .................................................................................................... 73
9.2.2 External data validation ................................................................................................... 73
9.2.3 Data Verification Procedures .......................................................................................... 73
9.2.4 Database Validation ........................................................................................................ 73
9.2.5 Limitations ....................................................................................................................... 74
9.2.6 Opinions and recommendations on database quality ..................................................... 74
10 Mineral Processing and Metallurgical Testing ......................................................... 75
10.1 Uchucchacua Processing Performance ...................................................................................... 75
10.2 Rio Seco Metallurgical Processing Facilities .............................................................................. 77
10.3 Metallurgical Testing ................................................................................................................... 80
10.3.1 Metallurgical Testing – Uchucchacua, 2021 Samples .................................................... 80
10.3.2 Metallurgical Testing Yumpag ......................................................................................... 82
10.4 Conclusions and Recommendations .......................................................................................... 85
11 Mineral Resource Estimates ................................................................................... 87
11.1 Key Assumptions, Parameters, and Methods Used ................................................................... 87
11.2 Geological Model ........................................................................................................................ 87
11.2.1 Exploratory Data Analysis ............................................................................................... 91
11.2.2 Outliers and Compositing ................................................................................................ 93
11.2.3 Determination of the Regularized Length (Composite) ................................................... 95
11.2.4 Determination of Regularized Length (Composite) ......................................................... 98
11.2.5 Declustering .................................................................................................................. 103

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11.3 Mineral Resources Estimate ..................................................................................................... 104

11.3.1 Estimation Plan ............................................................................................................. 104
11.3.2 Qualitative Kriging Neighborhood Analysis (QKNA) ..................................................... 104
11.3.3 Continuity Analysis ........................................................................................................ 107
11.3.4 Variable Orientation Modeling ....................................................................................... 107
11.3.5 Anisotropic Model .......................................................................................................... 111
11.3.6 Block Model ................................................................................................................... 111
11.3.7 Grade Interpolation ........................................................................................................ 113
11.3.8 Validation ....................................................................................................................... 115
11.3.9 Depletion ....................................................................................................................... 120
11.3.10 Bulk Density .............................................................................................................. 121
11.3.11 Resource Classification and Criteria ......................................................................... 123
11.4 Cut-Off Grade Estimates ........................................................................................................... 126
11.5 Reasonable Potential for Economic Extraction (RPEE) ........................................................... 127
11.6 Uncertainty ................................................................................................................................ 129
11.7 Summary Mineral Resources .................................................................................................... 129
11.7.1 Mineral Resources Sensitivity ....................................................................................... 132
11.8 Opinion On Influence for Economic Extraction ......................................................................... 134
11.9 Key Assumptions, Parameters, and Methods Used ................................................................. 135
11.10Geological Model ...................................................................................................................... 135
11.10.1 Exploratory Data Analysis ......................................................................................... 140
11.10.2 Outliers and Compositing .......................................................................................... 140
11.10.3 Determination of Regularized Length (Composite) .................................................. 143
11.10.4 Geological distribution (Compositing) ....................................................................... 143
11.11Mineral Resources Estimate ..................................................................................................... 145
11.11.1 Estimation Plan ......................................................................................................... 145
11.11.2 Qualitative Kriging Neighborhood Analysis (QKNA) ................................................. 145
11.11.3 Continuity Analysis .................................................................................................... 148
11.11.4 Variable Orientation Modeling................................................................................... 148
11.11.5 Block Model............................................................................................................... 151
11.11.6 Grade Interpolation ................................................................................................... 152
11.11.7 Validation .................................................................................................................. 153
11.11.8 Bulk Density .............................................................................................................. 158
11.11.9 Resource Classification and Criteria ......................................................................... 160
11.11.10 Cut-Off Grade Estimates ......................................................................................... 163
11.11.11 Reasonable Potential for Economic Extraction (RPEE) ......................................... 164
11.11.12 Uncertainty .............................................................................................................. 165
11.11.13 Summary Mineral Resources .................................................................................. 166
11.11.14 Mineral Resources Sensitivity ................................................................................. 169

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11.11.15 Opinion On Influence for Economic Extraction ....................................................... 170

12 Mineral Reserve Estimates ................................................................................... 171
12.1 Underground Mineral Reserves ................................................................................................ 171
12.1.1 Introduction .................................................................................................................... 171
12.1.2 Key Assumptions, Parameters, and Methods Used ..................................................... 171
12.1.3 Mining Dilution and Mining Recovery ............................................................................ 173
12.1.4 Cut Off Grades .............................................................................................................. 174
12.2 Metallurgical Recovery .............................................................................................................. 175
12.3 NSR Block value ....................................................................................................................... 178
12.4 Material Risks Associated with the Modifying Factors .............................................................. 179
12.5 Mineral Reserves Statement ..................................................................................................... 180
13 Mining Methods..................................................................................................... 183
13.1 Parameters Relevant to Mine Designs and Plans .................................................................... 190
13.1.1 Geotechnical ................................................................................................................. 190
13.1.2 Geomechanical characterization ................................................................................... 191
13.1.3 In situ and induced stress condition .............................................................................. 193
13.1.4 Seismic conditions ......................................................................................................... 195
13.1.5 Dimensioning of SLS stopes for Uchucchacua Mine .................................................... 195
13.1.6 Vein geometry ............................................................................................................... 196
13.1.7 Retro-analysis of stope sizing ....................................................................................... 196
13.1.8 Dimensioning of stopes for Yumpag Mine .................................................................... 198
13.1.9 Hydrogeological ............................................................................................................. 200
13.2 Production Rate Expected Mine Life, Mining Unit Dimensions, and Mining Dilution and
Recovery Factors ...................................................................................................................... 203
1.1.1 Production rate ..............................................................................................................203
1.1.2 Life of Project (LOM) ..................................................................................................... 203
1.1.3 Mining Unit Dimensions (stope dimensions) ................................................................. 205
1.1.4 Dilution and Mining Recovery ....................................................................................... 206
13.3 Requirements for Stripping, Underground Development, and Backfilling ................................ 207
1.1.5 Developments and preparations ................................................................................... 207
1.1.6 Mine backfill ................................................................................................................... 208
13.4 Required Mining Equipment Fleet and Machinery .................................................................... 208
13.5 Final Mine Outline Map ............................................................................................................. 213
13.5.1 Plan of surface components .......................................................................................... 213
13.5.2 Plan and longitudinal views ........................................................................................... 214
14 Processing and Recovery Methods ...................................................................... 215
14.1 Fresh Ore Supply ...................................................................................................................... 215
14.2 Mine to Plant, Ore tonnage Reconciliation ............................................................................... 218
14.3 Processing Plant, Data Consistency Analysis .......................................................................... 219

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14.4 Processing Plant Performance ................................................................................................. 220

14.5 Uchucchacua Equipment List ................................................................................................... 230
14.6 Rio Seco Processing Unit ......................................................................................................... 233
14.7 Conclusions & Recommendations ............................................................................................ 236
15 Infrastructure ......................................................................................................... 237
15.1 Waste Rock Management Facility ............................................................................................ 237
15.1.1 Colquicocha - 2017 ....................................................................................................... 237
15.1.2 Huantajalla LVL360 JMF 2014 .................................................................................. 238
15.1.3 Huantajalla Lvl 500-2014............................................................................................... 239
15.1.4 Uchucchacua Lvl 600 .................................................................................................... 240
15.2 Tailings Management Facility ................................................................................................... 241
15.3 Mine Operations Support Facilities ........................................................................................... 248
15.3.1 Underground Workshop ................................................................................................ 248
15.3.2 Pumping System ........................................................................................................... 248
15.3.3 Mine Administration and Warehouse ............................................................................ 248
15.3.4 Other facilities ................................................................................................................ 248
15.4 Processing Plant Support Facilities .......................................................................................... 248
15.4.1 Laboratory ..................................................................................................................... 248
15.4.2 Warehouse .................................................................................................................... 248
15.5 Man Camp................................................................................................................................. 249
15.6 Power Supply and Distribution .................................................................................................. 249
15.7 Water Supply............................................................................................................................. 249
15.8 Waste Water Treatment and Solid Water Disposal .................................................................. 249
15.8.1 Waste Water Treatment ................................................................................................ 249
15.8.2 Solid Waste Disposal .................................................................................................... 249
16 Market Studies ...................................................................................................... 251
16.1 Uchucchacua markets............................................................................................................... 251
16.1.1 Zinc market .................................................................................................................... 251
16.1.2 Lead & silver markets .................................................................................................... 256
16.2 Uchucchacua products ............................................................................................................. 264
16.2.1 Summary of Uchucchacua products ............................................................................. 264
16.2.2 Zn concentrate .............................................................................................................. 266
16.2.3 Pb concentrate .............................................................................................................. 267
17 Environmental Studies, Permitting, and Plans, Negotiations, or Agreements with
Local Individuals or Groups................................................................................... 270
17.1 Environmental Study Results .................................................................................................... 270
17.2 Project permitting requirements, the status of any permit applications, and any known
requirements to post performance or reclamation bonds ......................................................... 271
17.2.1 Mining operating permits issued by sectoral mining authorities. .................................. 271
17.2.2 Other permits required by other sectoral authorities. .................................................... 272

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17.3 Mine closure plans, including remediation and reclamation plans, and associated costs ........ 273
17.4 Social relations, commitments, and agreements with individuals and local groups ................. 273
17.5 Mine Reclamation and Closure ................................................................................................. 274
17.5.1 Closure Planning ........................................................................................................... 274
17.5.2 Closure Cost Estimate................................................................................................... 275
17.5.3 Limitations on the Current Closure Plan and Cost Estimate ......................................... 277
17.5.4 Material Omissions from the Closure Plan and Cost Estimate ..................................... 277
17.6 Adequacy of Plans .................................................................................................................... 280
17.6.1 Environmental ............................................................................................................... 280
17.6.2 Local Individuals and Groups ........................................................................................ 280
17.6.3 Mine Closure ................................................................................................................. 281
17.7 Commitments to Ensure Local Procurement and Hiring........................................................... 282
17.7.1 Local Employment Program .......................................................................................... 282
17.7.2 Local Goods and Services Acquisition Program ........................................................... 282
18 Capital and Operating Costs ................................................................................. 283
18.1 Capital and Operating Cost Estimates ...................................................................................... 283
18.1.1 Operating Costs ............................................................................................................ 283
18.1.2 Capital Costs ................................................................................................................. 284
18.1.3 Closure Costs ................................................................................................................ 284
18.2 Basis and Accuracy Level for Cost Estimates .......................................................................... 286
18.2.1 Basis and Premises for operating cost .......................................................................... 286
18.2.2 Basis and Premises for capital cost .............................................................................. 287
19 Economic Analysis ................................................................................................ 288
19.1 General Description .................................................................................................................. 288
19.1.1 Financial Model Parameters ......................................................................................... 288
19.1.2 External Factors ............................................................................................................ 288
19.1.3 Technical Factors .......................................................................................................... 290
19.2 Results ...................................................................................................................................... 293
19.3 Sensitivity Analysis.................................................................................................................... 295
20 Adjacent Properties ............................................................................................... 296
21 Other Relevant Data and Information ................................................................... 297
22 Interpretation and Conclusions ............................................................................. 298
22.1 Geology and resources ............................................................................................................. 298
22.1.1 Uchucchacua ................................................................................................................. 298
22.1.2 Yumpag ......................................................................................................................... 298
22.2 QA/QC & data verification ......................................................................................................... 299
22.3 Mineral resource estimates ....................................................................................................... 299
22.4 Uchucchacua resource report ...................................................................................................300
22.5 Yumpag resource report ........................................................................................................... 302

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22.6 Mining methods ......................................................................................................................... 304

22.6.1 Yumpag Mining Plan ..................................................................................................... 304
22.6.2 Development and preparation works - UCHUCCHACUA LOM .................................... 305
22.6.3 Development and preparation works - YUMPAG LOM ................................................. 305
22.7 Infrastructure ............................................................................................................................. 305
22.8 Market studies ........................................................................................................................... 306
23 Recommendations ................................................................................................ 307
24 References............................................................................................................ 310
25 Reliance on Information Provided by the Registrant ............................................. 311
25.1 Introduction ............................................................................................................................... 311
25.2 Macroeconomic Trends ............................................................................................................ 311
25.3 Markets ..................................................................................................................................... 311
25.4 Legal Matters ............................................................................................................................ 311
25.5 Environmental Matters .............................................................................................................. 311
25.6 Stakeholder Accommodations .................................................................................................. 312
25.7 Governmental Factors............................................................................................................... 312

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List of Tables
Table 1-1: Indicative Economic Results ...................................................................................................... 7
Table 1-2: Summary of Mineral Resources ................................................................................................. 9
Table 1-3: Summary Mineral Resources ................................................................................................... 10
Table 1-4: Uchucchacua Underground Summary Mineral Reserve Statement as of
December 31st, 2021 .............................................................................................................. 12
Table 1-5: Summary Estimated Cost ......................................................................................................... 16
Table 1-6: Summary Closure Cost ............................................................................................................ 17
Table 2-1: Site Visits .................................................................................................................................. 19
Table 3-1: Uchucchacua-Yumpag and Tenure Table ............................................................................... 22
Table 4-1: Water sources consumption and in Uchucchacua ................................................................... 27
Table 6-1: Summary of deformation events interpreted in relation to the mineralizing event at
Uchucchacua Mine. ................................................................................................................. 41
Table 6-2: Paragenetic sequence for the Uchucchacua vein and replacement deposit
(except endoskarn minerals). .................................................................................................. 45
Table 7-1: Summary of Drilling campaigns in Uchucchacua-Yumpag since 1997.................................... 54
Table 8-1: Distribution of samples analyzed according to laboratory and period: .................................... 60
Table 8-2: Analytical methods used in the Internal Laboratory of Uchucchacua ...................................... 60
Table 8-3: Analytical methods used in the External Laboratory CERTIMIN ............................................. 61
Table 8-4: Uchucchacua control sample insertion ratio. ........................................................................... 61
Table 8-5: Observations found in the QC analysis .................................................................................... 62
Table 8-6: Distribution of samples analyzed according to laboratory and period: .................................... 66
Table 8-7: Analytical methods used at ALS External Laboratory .............................................................. 67
Table 8-8: Analytical methods used at Certimin External Laboratory ....................................................... 67
Table 8-9: Yumpag control samples insertion rate. ................................................................................... 68
Table 8-10: Observations found in the QAQC analysis. ............................................................................ 68
Table 9-1: Summary of drilling information provided by Buenaventura. ................................................... 71
Table 9-2: Database validation summary .................................................................................................. 71
Table 9-3: Observations found in the Assay Cross Validation .................................................................. 71
Table 9-4: Summary of drilling information provided by Buenaventura. ................................................... 73
Table 9-5: Database validation summary .................................................................................................. 73
Table 9-6: Observations found in the Assay Cross Validation .................................................................. 74
Table 10-1: Uchucchacua Annual Processing Performance ..................................................................... 76
Table 10-2: Rio Seco Annual Processing Performance ............................................................................ 79
Table 10-3: Yumpag Metallurgical Testing 2019 Results .......................................................................... 83
Table 11-1: Statistical summary of the original samples separated by channel and drilling
(diameters) ............................................................................................................................ 92
Table 11-2: Ag (oz) top cut values for main veins ..................................................................................... 93
Table 11-3: Comparison between statistics before and after applying top cut 40 oz/t to Ag(oz/t)
in R_GS (1140) vein .............................................................................................................. 95
Table 11-4: Statistics of the composite for Ag ........................................................................................... 96

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Table 11-5: Statistics of the composite for Pb ........................................................................................... 97

Table 11-6 : Statistics of the composite for Zn .......................................................................................... 98
Table 11-7: Composite statistics for the main veins ................................................................................ 100
Table 11-8: Ag (oz/t) statistics in the main veins after applying distance restriction ............................... 102
Table 11-9: Variography parameters in the estimation files for the main veins. ..................................... 109
Table 11-10: Block model dimensions ..................................................................................................... 112
Table 11-11 : Estimation parameters of the main veins .......................................................................... 113
Table 11-12: Table of restrictions for Cachipampa, Gina, Lesly, Lilia, and Luz veins. ........................... 114
Table 11-13: Global validation for main veins ......................................................................................... 117
Table 11-14: Values assigned to the condition variable. ......................................................................... 120
Table 11-15: Density(g/cm³) statistics with data filtered by Mean ± 2SD without considering
independent veins ............................................................................................................ 122
Table 11-16: Density(g/cm³) statistics of independent veins with data filtered by Mean ± 2SD ............. 122
Table 11-17: Defining the panel to be evaluated ..................................................................................... 123
Table 11-18: Calculation of A90% and Q90%, based on OKV and CV for each spacing ....................... 123
Table 11-19: Categorization summary table............................................................................................ 124
Table 11-20: Cut Off grade calculation for Resources ............................................................................ 127
Table 11-21: NSR calculation formula ..................................................................................................... 127
Table 11-22: Cut-Off differentiated by mining method ............................................................................ 128
Table 11-23: Description of variables and condition used for reporting .................................................. 129
Table 11-24: Mineral Resource Statement .............................................................................................. 131
Table 11-25: Summary excluded Mineral Resources ............................................................................. 132
Table 11-26: Summary statistics of original Ag, Pb, Zn, Fe, and Mn samples by mineralized structures
from the Yumpag Project - Camila and Candela structures. ............................................. 140
Table 11-27: Yumpag, Top cut values for Camila (10) and Camila (20) structures. ............................... 141
Table 11-28: Comparison between statistics before and after applying top cut 120 oz/t to Ag(oz/t) in Camila
structure ............................................................................................................................. 142
Table 11-29: Yumpag Statistics of composites in Camila and Candela structures ................................. 144
Table 11-30: Yumpag, Variography parameters in the estimation files of main structures ..................... 150
Table 11-31: Block model dimensions ..................................................................................................... 151
Table 11-32: Discretization parameters and number of samples per searches ...................................... 153
Table 11-33: Global validation in Camila and Candela structures .......................................................... 156
Table 11-34 : General density (g/cm³) statistics for Yumpag .................................................................. 159
Table 11-35: Yumpag, Density (g/cm³) statistics with data filtered according to Mean ± 2SD ............... 159
Table 11-36 : Defining the panel to be evaluated .................................................................................... 160
Table 11-37: Calculation of A90% and Q90%, based on OKV and CV for each spacing ....................... 160
Table 11-38: Categorization summary table............................................................................................ 161
Table 11-39: Cut Off grade calculation for Resources ............................................................................ 164
Table 11-40: NSR calculation formula ..................................................................................................... 164
Table 11-41: Report fields ....................................................................................................................... 166

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Table 11-42: Total Resource Report ....................................................................................................... 167

Table 11-43: Summary excluded Mineral Resources ............................................................................. 168
Table 12-1: Deswik parameters ............................................................................................................... 172
Table 12-2: Underground dilution percentages ....................................................................................... 173
Table 12-3: UG NSR cut-off Input parameters for underground operations ........................................... 174
Table 12-4: UG NSR cut-off value for underground operations .............................................................. 175
Table 12-5: Uchucchacua processing plants and products..................................................................... 176
Table 12-6: Metallurgical recovery functions ........................................................................................... 176
Table 12-7: Metal Prices for mineral reserves definition ......................................................................... 179
Table 12-8: Estimated unit value by metal and type of concentrate ........................................................ 179
Table 12-9: Uchucchacua Underground Summary Mineral Reserve Statement as of
December 31st, 2021 ............................................................................................................ 181
Table 13-1: Distribution of UCH ore reserves according to mining methods applied. ............................ 188
Table 13-2: Distribution of ore reserves according to mining methods applied by Sector ...................... 188
Table 13-3: Distribution of YPG ore reserves according to mining methods applied. ............................. 190
Table 13-4: Summary of intact rock compressive strength and "mi" values by domain and sector ........ 192
Table 13-5: Summary of rock quality by sector and mineralized structure at Uchucchacua
from logging and geomechanical mapping ......................................................................... 192
Table 13-6: Results of in situ stress measurements performed at Uchucchacua mine .......................... 193
Table 13-7: Incidence of horizontal width and dip of mineralized structures........................................... 196
Table 13-8: ELOS results for stopes TJ6790_B0_SW, TJ186_B1, and TJ051_NE_B1. ........................ 197
Table 13-9: Top and bottom length of bench and fill stopes recommended for Uchucchacua
with an ELOS of 0.4 m ........................................................................................................ 198
Table 13-10: Top and bottom length of bench and fill stopes recommended for an ELOS of 0.6m ....... 199
Table 13-11: Recommended stope length for transverse sublevel stoping with an ELOS of 0.6m ........ 199
Table 13-12: Uchucchacua Mining Plan .................................................................................................. 204
Table 13-13: Yumpag Mining Plan .......................................................................................................... 204
Table 13-14: Uchucchacua + Yumpag Mining Plan ................................................................................ 205
Table 13-15: Dimensions of Uchucchacua mining units by mining method. ........................................... 205
Table 13-16: Dimensions of Yumpag mining units by mining method. ................................................... 206
Table 13-17: Uchucchacua-Yumpag Mine Dilution and Recovery by mining method ............................ 207
Table 13-18: Development and preparation works - UCH LOM.............................................................. 207
Table 13-19: Development and preparation works - YPG LOM .............................................................. 208
Table 13-20: Development and preparation works - YPG LOM .............................................................. 209
Table 14-1: Uchucchacua, Ore Supply Composition by Vein ................................................................. 216
Table 14-2: Uchucchacua, Mine-to-Plant, Ore Reconciliation................................................................. 218
Table 14-3: Uchucchacua, Data Consistency Analysis, Combined Circuits ........................................... 220
Table 14-4: Uchucchacua, Data Consistency Analysis, Circuit 1 ........................................................... 220
Table 14-5: Uchucchacua, Data Consistency Analysis, Circuit 2 ........................................................... 220
Table 14-6: Uchuchaccua, Metal Recovery............................................................................................. 221

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Table 14-7: Uchuchaccua, Over all Metal Recovery ............................................................................... 226

Table 14-8: Uchucchacua, Concentrate Quality, Circuit 1 ......................................................................228
Table 14-9: Uchucchacua, Concentrate Quality, Circuit 2 ......................................................................229
Table 14-10: Uchucchacua, Major Equipment List .................................................................................. 230
Table 14-11: Rio Seco, Annual Concentrate Production ......................................................................... 235
Table 17-1: UM Uchucchacua closure cost comparison ......................................................................... 276
Table 17-2: Post-closure approved closure plan and update (2021) ...................................................... 277
Table 17-3: Water Treatment Capex ....................................................................................................... 279
Table 18-1: Operating cost estimate ....................................................................................................... 283
Table 18-2: Capital cost estimation ......................................................................................................... 284
Table 18-3: Closure Cost ......................................................................................................................... 285
Table 18-4: Operational parameters........................................................................................................ 287
Table 19-1: Financial Model Parameters................................................................................................. 288
Table 19-2: Metal Prices forecast ............................................................................................................ 289
Table 19-3: Uchucchacua Mining Summary............................................................................................ 290
Table 19-4: Reference unit cost for Yearly cost calculation .................................................................... 291
Table 19-5: Yearly material movement (tonnage) ................................................................................... 291
Table 19-6: Yearly Cost (No contingency)............................................................................................... 292
Table 19-7: Yearly cost (Including contingency 10%) .............................................................................. 292
Table 19-8: Yearly capital costs ............................................................................................................... 292
Table 19-9: Corporate cost ...................................................................................................................... 293
Table 19-10: Indicative Economic Results .............................................................................................. 293
Table 19-11: Cashflow Analysis on an Annualized Basis ....................................................................... 294
Table 22-1: Uchucchacua Resource Report ........................................................................................... 300
Table 22-2: Yumpag Resource Report .................................................................................................... 302
Table 22-3: LOM Uchucchacua ............................................................................................................... 304
Table 22-4: LOM Yumpag ....................................................................................................................... 304
Table 22-5: Development and preparation works Uchucchacua.............................................................. 305
Table 22-6: Development and preparation works Yumpag ..................................................................... 305

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List of Figures
Figure 3-1: Uchucchacua Location Map .................................................................................................... 21
Figure 3-2: Uchucchacua-Yumpag mining claims (Buenaventura) ........................................................... 23
Figure 5-1: Main activities throughout the development of the Uchucchacua deposit. ............................. 29
Figure 6-1: Regional geological section .................................................................................................... 30
Figure 6-2: Regional Geology Setting. ...................................................................................................... 32
Figure 6-3: Regional Geology Setting. ...................................................................................................... 36
Figure 6-4: Map of the geological sections of Uchucchacua Unit and surroundings. ............................... 38
Figure 6-5: Local Geological Map (Uchucchacua Mine). .......................................................................... 39
Figure 6-6: Geology of Uchucchacua Mine mapped at 1:2 000 scale by BISA (2017), highlighting
the main structural elements mapped and interpreted. ........................................................ 40
Figure 6-7: A) Geology of Uchucchacua Mine mapped at 1:2 000 scale by BISA (2017); B)
NW-SE tilted section perpendicular to Cachipampa-Socorro structural corridor, a
nd Ag>25 oz/t. ........................................................................................................................ 42
Figure 6-8: Uchucchacua major fault architecture. .................................................................................... 43
Figure 6-9: Thin sections of mineralization at Uchucchacua. .................................................................... 44
Figure 6-10: Calcite fluorescence. ............................................................................................................. 47
Figure 6-11: Diagram showing the type of deposit at Uchucchacua mine. ............................................... 49
Figure 7-1: Location of the Uchucchacua Mining District, and Yumpag Prospect. ................................... 51
Figure 7-2: Location of the main structures (Camila) in Yumpag Target .................................................. 52
Figure 7-3: Uchucchacua – Yumpag geological section ........................................................................... 53
Figure 7-4: Mineralization in Camila structure (Yumpag) .......................................................................... 54
Figure 8-1: Sample Preparation Diagram .................................................................................................. 59
Figure 8-2: Sample Preparation Diagram .................................................................................................. 65
Figure 10-1: Uchucchacua General Simplified Block Flow Diagram ......................................................... 75
Figure 10-2: Uchucchacua Annual Process Plant Performance ............................................................... 76
Figure 10-3: Rio Seco Flowsheet .............................................................................................................. 78
Figure 10-4: Rio Seco, Processing Plant Performance ............................................................................. 80
Figure 10-5: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Au g/t ............................... 81
Figure 10-6: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Ag g/t ............................... 81
Figure 10-7: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Pb% ................................. 82
Figure 10-8: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Mn g/t .............................. 82
Figure 10-9: Yumpag Testing, Recovery v/s Ore Ag g/t ............................................................................. 84
Figure 10-10: Yumpag Testing, Recovery v/s Ore Pb% ...........................................................................84
Figure 10-11: Yumpag Testing, Recovery v/s Ore Mn% ........................................................................... 84
Figure 10-12: : Yumpag Testing, Recovery v/s Ore Zn% ......................................................................... 84
Figure 10-13: Yumpag Testing, Head Grade v/s Ore Pb% ....................................................................... 85
Figure 10-14: Yumpag Testing, Recovery v/s Ore Mass Pul .................................................................... 85
Figure 10-15: Yumpag Testing, Recovery v/s Recovery Pb ..................................................................... 85
Figure 11-1: Implicit modeling flowchart. ................................................................................................... 89

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Figure 11-2: Structures modeling flowchart. .............................................................................................. 90

Figure 11-3: Modeled structures in the Uchucchacua mine ..................................................................... 90
Figure 11-4: Top cut analysis for Ag in the R_GS (1140) vein - Cut at 40 Ag (oz/t) with 3.6%
of lost metal content ............................................................................................................ 95
Figure 11-5: Plot of relative variations of mean and CV (Y-axis) vs. composite length (X-axis) for Ag
(oz/t) ....................................................................................................................................... 96
Figure 11-6: Plot of relative variations of mean and CV (Y-axis) vs. composite length (X-axis) for Pb
(pct)...................................................................................................................................... 97
Figure 11-7: Plot of relative variations of mean and CV (Y-axis) vs. composite length (X-axis) for Zn
(pct)...................................................................................................................................... 98
Figure 11-8: Example of Ag (oz/t) box-plot for main veins ........................................................................ 99
Figure 11-9: Histogram and cumulative probability plot for Ag (oz) composites in Gina vein (1130). .... 102
Figure 11-10: Declustering of Ag (oz/t) for composites in Ada vein (1030). ............................................ 103
Figure 11-11: Determination of the minimum and maximum number of samples ................................... 105
Figure 11-12: Behavior of KE and slope of regression, according to the number of samples
(top), and the negative weights generated (bottom). ..................................................... 106
Figure 11-13: The plot shows that neighborhood 12,9,6 has the best values for KE and
slope of regression. .......................................................................................................... 106
Figure 11-14: Variography of Ag (oz/t) for Gio 1 vein (1461). ................................................................. 108
Figure 11-15: LVA-bearing in Cachipampa vein ..................................................................................... 111
Figure 11-16: Distribution of Uchucchacua block models. ...................................................................... 112
Figure 11-17: Cross Validation of Ag for Gina Vein (1130), showing a correlation coefficient of 0.72. .. 116
Figure 11-18: Gina-Socorro vein - visual validation. ............................................................................... 117
Figure 11-19: Swath plot - veins for Ag (g/t) - Sistema Giovana Vein (1420) - Axis X, Y, Z, and 135° .. 119
Figure 11-20: Classification by mining and condition variables in Gina vein .......................................... 120
Figure 11-21: Spacing vs Error plot for Vein 2090 .................................................................................. 123
Figure 11-22: Block classification of Gina-Socorro vein. ......................................................................... 126
Figure 11-23: Input and output files after RPEE analysis ........................................................................ 128
Figure 11-24: Grade-Tonnes curve for Bench & Fill at High Grade Ag circuit. ........................................ 133
Figure 11-25: Grade-Tonnes curve for Cut & Fill at High Grade Ag circuit .............................................. 133
Figure 11-26: Grade-Tonnes curve for Bench & Fill at Polymetallic circuit .............................................. 134
Figure 11-27: Grade-Tonnes curve for Cut & Fill at Polymetallic circuit .................................................. 134
Figure 11-28: Yumpag Implicit modeling flowchart. ................................................................................ 138
Figure 11-29: Yumpag Structures modeling flowchart. ........................................................................... 139
Figure 11-30: Modeled structures in the Yumpag Project ....................................................................... 139
Figure 11-31: Yumpag, Top cut analysis of Ag(oz/t) in domain 10 - Cut at 120 Ag(oz/t) with 4.2% of
metal content ..................................................................................................................... 142
Figure 11-32: Yumpag Histogram of drillhole width values. .................................................................... 143
Figure 11-33: Yumpag, Histogram and cumulative probability plot for Ag (oz/t) composites in the Camila
(10) and Candela (20) structures....................................................................................... 144
Figure 11-34: Yumpag, Determination of the minimum and maximum number of samples .................. 146
Figure 11-35: Yumpag, Behavior of KE and slope of regression, according to the number of samples (top),
and the negative weights generated (bottom). .................................................................. 147

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Figure 11-36: Yumpag, The plot shows that neighborhood 12,5,3 has the best values for KE
and slope of regression. ................................................................................................... 147
Figure 11-37: Yumpag, Variography of Ag (oz/t) for Camila structure's domain 10. ............................... 149
Figure 11-38: Distribution of Yumpag Block Models ............................................................................... 152
Figure 11-39: Cross validation for Camila structure's Domain 20410, showing a correlation
coefficient of 0.83. ............................................................................................................ 154
Figure 11-40: Camila structure - visual validation ................................................................................... 155
Figure 11-41: Yumpag, Swath plot - Ag (oz/t) analysis for the Camila (10) structure in
directions X, Y, Z, and 135° .............................................................................................. 157
Figure 11-42: Yumpag, Spacing vs. error graph ..................................................................................... 161
Figure 11-43: Camila structure blocks classification ............................................................................... 163
Figure 11-44: Input and output files after RPEE analysis ........................................................................ 165
Figure 11-45: Grade-Tonnes curve for Bench & Fill ................................................................................ 169
Figure 11-46: Grade-Tonnes curve for ascending sublevels with Cemented Fill.................................... 170
Figure 12-1: Ag recovery ......................................................................................................................... 177
Figure 12-2: Pb recovery .......................................................................................................................... 177
Figure 12-3: Zn recovery ......................................................................................................................... 178
Figure 13-1: Cross section of Uchucchacua Mine. .................................................................................. 183
Figure 13-2: Uchucchacua mining areas ................................................................................................. 184
Figure 13-3: B&F mining diagram ............................................................................................................ 185
Figure 13-4: Bench & Fill method at Uchucchacua: Sequence ............................................................... 186
Figure 13-5: OCF mining cycle. ............................................................................................................... 187
Figure 13-6: Mechanized Overhand Cut and Fill method at Uchucchacua: Sequence .......................... 187
Figure 13-7: OCF mining method diagram. ............................................................................................. 189
Figure 13-8: SARC mining method diagram............................................................................................ 190
Figure 13-9: Distribution of drillholes and mapping with geotechnical information at the
Uchucchacua mine. .......................................................................................................... 191
Figure 13-10: Distribution of drillholes and mapping with geotechnical information at the
Yumpag mine.................................................................................................................... 191
Figure 13-11: Stereographic analysis of discontinuities by sector .......................................................... 193
Figure 13-12: Orientation of in situ stresses measured at Uchucchacua ................................................ 194
Figure 13-13: Isovalues of induced stresses at Socorro mine ................................................................ 195
Figure 13-14: Bench & fill longitudinal mining diagram ........................................................................... 198
Figure 13-15: Longitudinal bench & fill mining scheme for a bench height of 12 m. ............................... 199
Figure 13-16: Diagram of the transverse sublevel stoping (SLST) on the left and drift and fill
(D&F) on the right ............................................................................................................. 200
Figure 13-17: Current pumping system of Uchucchacua A.E.U.............................................................. 201
Figure 13-18: Paton tunnel discharge record (2014 - 2018) ...................................................................201
Figure 13-19: Projected future pumping system of the Uchucchacua A.E.U. ......................................... 202
Figure 13-20: Current pumping system of Yumpag project..................................................................... 203
Figure 13-21: Diagram of dilution by cleaning ......................................................................................... 206
Figure 13-22: Mining recovery diagram ................................................................................................... 207

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Figure 13-23: Backfill: Cross and longitudinal section ............................................................................. 208

Figure 13-24: Drawing of underground mine surface components ......................................................... 213
Figure 13-25: Plan and longitudinal drawings of underground mines ..................................................... 214
Figure 14-1: Uchuchaccua, Operation Overview .................................................................................... 215
Figure 14-2: Uchuchaccua, Annual Ore Supply by Vein System ............................................................ 217
Figure 14-3: Uchuchaccua, Monthly Ore Supply by Vein System .......................................................... 218
Figure 14-4: Uchuchaccua, Metal Recovery ........................................................................................... 221
Figure 14-5: Uchucchacua, Processing Circuit 1, Block Flow Diagram .................................................. 222
Figure 14-6: Uchucchacua, Processing Circuit 1, Flowsheet .................................................................. 223
Figure 14-7: Uchucchacua, Processing Circuit 2, Block Flow Diagram .................................................. 224
Figure 14-8: Uchucchacua, Processing Circuit 2, Flowsheet .................................................................. 225
Figure 14-9: Uchucchacua, Overall Performance ................................................................................... 227
Figure 14-10: Rio Seco Flowsheet .......................................................................................................... 234
Figure 14-11: Rio Seco, Annual Concentrate Production ....................................................................... 235
Figure 14-12: Rio Seco, Monthly Concentrate Production, 2017 to 2021 ............................................... 236
Figure 15-1: Colquicocha waste rock management facility ..................................................................... 238
Figure 15-2: Huantajalla LVL 360 waste rock management facility ........................................................ 239
Figure 15-3: Huantajalla Lvl 500-2014 waste rock management facility ................................................. 240
Figure 15-4: Huantajalla Lvl 600 waste rock management facility .......................................................... 241
Figure 15-5: Relavera 3 current situation ................................................................................................ 247
Figure 15-6: Principal Dam cross section (after buttress implementation) .............................................. 247
Figure 16-1: Global zinc demand by first-use sector and end-use sector ............................................... 251
Figure 16-2: Zinc value chain .................................................................................................................. 252
Figure 16-3: Simplified zinc value chain ................................................................................................. 252
Figure 16-4: Zinc supply-demand gap analysis, 2021 - 2026, kt............................................................. 254
Figure 16-5: Zinc supply-demand gap analysis, 2021 - 2026, kt............................................................. 255
Figure 16-6: LME zinc cash prices, 2021-2036 (US$/t) .......................................................................... 255
Figure 16-7: Lead demand by end-use sector ........................................................................................ 256
Figure 16-8: Lead industrial value chain .................................................................................................. 257
Figure 16-9: Simplified lead value chain .................................................................................................. 257
Figure 16-10: Lead supply-demand gap analysis, 2021 - 2026, kt ......................................................... 259
Figure 16-11: Lead Market Balance 2021 – 2026 (kt) ............................................................................. 260
Figure 16-12: LME cash lead prices 2021 – 2036, US$/t........................................................................ 260
Figure 16-13: Silver demand b end-use .................................................................................................. 261
Figure 16-14: Silver value chain .............................................................................................................. 262
Figure 16-15: Silver supply-demand gap analysis, 2021 - 2026, kt ........................................................ 263
Figure 16-16: Silver Market Balance 2021 – 2026 (kt) ............................................................................ 263
Figure 16-17: Silver price forecast, 2021 – 2036, US$/oz....................................................................... 264
Figure 16-18: Sample boxplot ................................................................................................................. 265

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Figure 16-19: Zn concentrate of Uchucchacua mine .............................................................................. 266

Figure 16-20: Pb concentrate of Uchucchacua mine (1/2) ...................................................................... 267
Figure 16-21: Pb concentrate of Uchucchacua mine (2/2) ....................................................................... 268
Figure 19-1: Uchucchacua Mining profile graphic ................................................................................... 290
Figure 19-2: Uchucchacua Processing profile graphic ............................................................................ 291
Figure 19-3: Uchucchacua NPV Sensitivity Analysis .............................................................................. 295

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Abbreviations
[Metric]

The metric system has been used throughout this report. Tonnes are metric of 1,000 kg, or 2,204.6
lb. All currency is in U.S. dollars (US$) unless otherwise stated.

[US System]

The US System for weights and units has been used throughout this report. Tonnes are reported
in short tonnes of 2,000lbs. All currency is in U.S. dollars (US$) unless otherwise stated.

To facilitate the reading of large numbers, commas are used to group the figures three by three
starting from the comma or decimal point.

Abbreviation Unit or Term

% percent
° degree (degrees)
°C degree celsius
A ampere
AA atomic absorption
AASR Atomic Absorption Spectroscopy - Aqua regia digestion
A/m² amperes per square meter
ACQUIRE Systematic database software to store data and ensure its
integrity
ADI area of direct influence
ADSI Area of Direct Social Influence
AEU Urban Expansion Area
AISI Area of Indirect Social Influence
ANA National Water Authority
ANFO ammonium nitrate fuel oil
Ag silver
approx. approximately
Au gold
AuEq gold equivalent grade
BISA Bisa Ingenieria de Proyectos S.A.
BVN Cía de Minas Buenaventura S.A.A.
BV Best Value range
Capex Capital expenditure
CCD counter-current decantation
CIL carbon-in-leach
CIRA Certificate of Absence of Archaeological Remains
CoG cut-off grade
cm centimeter
cm² square centimeter

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Abbreviation Unit or Term

cm³ cubic centimeter
cfm cubic feet per minute
CONENHUA Consorcio Energetico de Huancavelica S.A.
ConfC confidence code
CRec core recovery
CRU CRU Consulting
CSS closed-side setting
CSV Comma Separated Value, is a special type of file that you can
create or edit in Excel
CTW calculated true width
Cu Copper
° degree (degrees)
dia. diameter
EIA Environmental Impact Assessment
EIS Environmental Impact Statement
EMI Environmental Management Instruments
EMP Environmental Management Plan
FA fire assay
ft foot (feet)
ft2 square foot (feet)
ft3 cubic foot (feet)
g gram
gal gallon
g/L gram per liter
g-mol gram-mole
gpm gallons per minute
GPS Global positioning system
g/t grams per tonne
ha hectares
HDPE Height Density Polyethylene
hp horsepower
HTW horizontal true width
ICP induced couple plasma
ID2 inverse-distance squared
ID3 inverse-distance cubed
i.e. id est
IEC International Electrotechnical Commission
IFC International Finance Corporation
Ingemmet Institute of Geology, Mining and Metallurgy
ILS Intermediate Leach Solution

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Abbreviation Unit or Term

ISO International Organization for Standardization
kA kiloamperes
kg kilograms
km kilometer
km² square kilometer
koz thousand troy ounce
kt thousand tonnes
kt/d thousand tonnes per day
kt/y thousand tonnes per year
kUS$ thousand united states dollars
kV kilovolt
kW kilowatt
kWh kilowatt-hour
kWh/t kilowatt-hour per metric tonne
L liter
L/sec liters per second
L/sec/m liters per second per meter
lb pound
LHD Long-Haul Dump truck
LIMS Laboratory Information Management System
LLDDP Linear Low Density Polyethylene Plastic
LOI Loss On Ignition
LoM Life-of-Mine
m meter
m² square meter
m³ cubic meter
masl meters above sea level
MARN Ministry of the Environment and Natural Resources
MCP Mine Closure Plan
MDA Mine Development Associates
mg/L milligrams/liter
MINEM Ministry of Energy and Mines
MINAM Ministry of Environment
mm millimeter
mm² square millimeter
mm³ cubic millimeter
MME Mine & Mill Engineering
Moz million troy ounces
MsSQL My Structured Query Language
Mt million tonnes

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Abbreviation Unit or Term

MTW measured true width
MW million watts
m.y. million years
NGO non-governmental organization
NI 43-101 Canadian National Instrument 43-101
OEFA Environmental Evaluation and Oversight Agency
OK Ordinary Kriging
OSC Ontario Securities Commission
OSHAS Occupational Health and Safety Assesment Series
Osinergmin Supervisory Agency for Investment in Energy and Mining
oz troy ounce
% percent
Pb Lead
PFS Pre-Feasibility Study
PLC Programmable Logic Controller
PLS Pregnant Leach Solution
PMF probable maximum flood
ppb parts per billion
ppm parts per million
QA/QC Quality Assurance/Quality Control
QKNA Quantitative kriging neighborhood analysis
RC rotary circulation drilling
RoM Run-of-Mine
RQD Rock Quality Description
SD Standard Deviation
SEC U.S. Securities & Exchange Commission
sec second
SG specific gravity
SGS Société Générale de Surveillance
SENACE National Environmental Certification Authority
SENAMI Meteorology and Hydrology Service National
SPT standard penetration testing
SRK SRK Consulting (Peru) S.A.
st short tonne (2,000 pounds)
t tonne (metric tonne) (2,204.6 pounds)
t/h tonnes per hour
t/d tonnes per day
t/y tonnes per year
TSF tailings storage facility
TSP total suspended particulates

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Abbreviation Unit or Term

US$ American dollar
US$/ troy oz Dollars per troy ounce
US$/ha Dollars per hectare
US$/oz Dollars per ounce
US$/t. Dollars per metric ton
µm micron or microns
V volts
VFD variable frequency drive
W watt
XLS The XLS extension is that of Excel files in their versions from 97
to 2003
XRD x-ray diffraction
y year
Zn Zinc

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1 Executive Summary
1.1 Summary
SRK Consulting (Peru) S.A., (SRK) was retained by Compañía de Minas Buenaventura S.A.A. to
prepare an independent Technical Report Summary on the Uchucchacua mining unit, located in
the Department of Lima, Peru. Compañía de Minas Buenaventura S.A.A. is a publicly traded
company on the New York Stock Exchange (NYSE).

This report was prepared as a PFS Technical Report Summary in accordance with the Securities
and Exchange Commission (SEC) S-K regulations (Title 17, Part 229, Items 601 and 1300 until
1305) for Compañía de Minas Buenaventura S.A.A. (NYSE: BVN) by SRK Consulting (U.S.), Inc.
(SRK) on the Technical Report Summary for Uchucchacua (TRS).

The purpose of this Technical Report Summary is to report mineral resources, mineral reserves
and exploration results.

This report is based in part on internal Company technical reports, previous prefeasibility studies,
maps, published government reports, company letters and memoranda, and public information as
cited throughout this report and listed in the References Section 24.

Reliance upon information provided by the registrant is listed in the Section 25 when applicable.

The Uchucchacua mining unit (100% owned by Compañía de Minas Buenaventura) began
operations in 1975. It is an underground operation that produces silver, lead, and zinc. It is located
in the central highlands of Peru and is part of the Oyon mining district, which has produced silver
since colonial times. At the end of 2019, the Yumpag Project was incorporated into the unit.

Uchucchacua is located in the district and province of Oyón, department of Lima, The Yumpag
project is located 5 km NE of Uchucchacua and is considered part of the mining unit.

The mine is 180 km in a straight-line distance from the city of Lima, at a latitude of approximately
10°37'26'' S, longitude of 76°41'20'' W, and an altitude of 4,450 masl.

The Uchucchacua mining unit, which includes the Yumpag project, consists of veins and
replacement bodies associated with structural systems, including the Uchucchacua, Socorro-
Cachipampa, Rosa, and Sandra faults, among others. There are currently 5 individual mines in
operation: Socorro, Carmen, Casualidad, Huantajalla, and Yumpag. The most important structure
to date within this project is the Camila vein.

Uchucchacua operates a conventional concentration operation that processes polymetallic ores to

produce mineral concentrates of varying quality. The processing plant consists of two parallel
processing lines, which are both flotation circuits: Circuito 1, which has a nominal capacity of 3,000
tonnes per day of fresh feed but operated at only 2,600 tonnes/day in 2017-2019, and Circuito 2,
with a nominal capacity of 1,200 tonnes/day but which produced only 1,000 tonnes/day (approx.)
in 2017-2020.

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1.1.1 Conclusions
a. Geological and Mineral Resources

x Uchucchacua is a silver-bearing deposit with base metals and a high content of

manganese hosted in the carbonate rock of the Jumasha Formation from the Upper
Cretaceous, related to intrusives from the Miocene. It consists of veins and replacement
bodies associated with systems of NE-SW, E-W, and NW-SE structures. Of particular note
are the Uchucchacua, Socorro-Cachipampa, Rosa, and Sandra faults, among others.
Mineralogy is varied and complex, with the occurrence of silver in sulfides and sulfosalts,
with abundant alabandite and manganese calcium silicates. Lead and zinc increase in
proximity to the intrusives. Work is currently underway in the Socorro, Carmen-Casualidad,
and Huantajalla Mines.
x Yumpag consists of a series of intermediate-sulfidation veins, running predominantly
northeast, tensional to the Cachipampa fault, which controls the mineralization in the
Uchucchacua Mine. The most important structure to date is the Camila vein, which
presents bonanza-type silver-bearing mineralization, associated with the presence of silver
sulfosalts and traces of gold. The deposit is very similar to Uchucchacua.
x The main exploration method in Uchucchacua-Yumpag has been diamond drilling.
However, other exploration methods in different stages, such as geological mapping,
surface/underground geochemical sampling and geophysics, have also been applied since
the onset of the project.
x Protocols for drilling, sampling preparation and analysis, verification, and security meet
industry-standard practices and are appropriate for a Mineral Resource estimate.
x The geological models are reasonably constructed using available geological information
and are appropriate for Mineral Resource estimation.
x The assumptions, parameters, and methodology used for the Uchucchacua-Yumpag
Mineral Resource estimate are appropriate for the style of mineralization and proposed
mining methods.

Uchucchacua
x Geology and mineralization are well understood through decades of mining production,
and SRK has used relevant and available data sources to accompany Compañía de Minas
Buenaventura in efforts to develop a scale model of the long-term resource for public
reporting purposes. Additional data is likely to exist that could be used to drive a very small-
scale interpretation but would have very little impact on mineral resources overall.
x The mineral resources have been estimated by Compañía de Minas Buenaventura, who
generated a 3D geological model informed by various types of data (mainly drill holes,
mine channels, working mapping and section interpretation) to constrain and control the
shapes of minerals veins.
x Drilling data from cores and mine channels were combined into geological structures, Ag,
Pb, Zn, Fe and Mn grades were interpolated into block models for the different zones of
the mine using Ordinary Kriging and Inverse Distance methods in its different veins. The
results were validated visually, through various statistical comparisons. The estimate was
sterilized with areas harvested prior to the date of this report; graded consistently with
industry standards; and reviewed with Uchuchaccua staff.
x Mineral Resources have been reported using an optimized scenario, based on mining and
economic assumptions to support the reasonable potential for economic extraction of the
resource. A cutoff has been derived from these economic parameters, and the resource
has been reported above this cutoff.
x In SRK's opinion, the mineral resources set forth herein are appropriate for public
disclosure and meet the definitions of indicated and inferred resources established by SEC
guidelines and industry standards.

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Yumpag
x SRK has used relevant and available data sources to accompany Compañía de Minas
Buenaventura in the scale modeling effort of a long-term public reporting resource.
Additional data is likely to exist that could be used to drive a very small-scale interpretation
but would have very little impact on mineral resources overall.
x The mineral resources have been estimated by Compañía de Minas Buenaventura, which
generated a 3D geological model informed by various types of data (mainly core drilling
and section interpretation) to constrain and control their body shapes.
x Drilling data was used within geological structures, the grades of Ag, Pb, Zn, Fe and Mn
were interpolated into block models for the different zones of the mine using Ordinary
Kriging and Inverse distance methods in its different veins. The results were validated
visually and through various statistical comparisons. Classified consistently with industry
standards and reviewed with Yumpag staff.
x Mineral Resources have been reported using an optimized scenario, based on mining and
economic assumptions to support the reasonable potential for economic extraction of the
resource. A cutoff has been derived from these economic parameters, and the resource
has been reported above this cutoff.
x In SRK's opinion, the mineral resources set forth herein are appropriate for public
disclosure and meet the definitions of indicated and inferred resources established by SEC
guidelines and industry standards.

b. Sample Preparation, Analysis and Security

x In Uchucchacua mine sample preparation, chemical analysis, quality control, and security
procedures provide, for the most part, unreliable data to support the estimation of mineral
resources and reserves, especially for samples analyzed at the Uchucchacua Internal
Laboratory. SRK has considered the QAQC analysis results as a risk in the classification
of mineral resources and therefore a more conservative classification of mineral resources
will be made.
x In Uchucchacua mine sample preparation, chemical analysis, quality control, and security
procedures partially provide unreliable data to support the estimation of mineral resources
and reserves, especially for samples analyzed at the Uchucchacua Internal Laboratory.
SRK has considered the QAQC analysis results as a risk in the classification of mineral
resources and therefore a more conservative classification of mineral resources will be
made, downgrading the mineral resource category in specific zones.
x In Yumpag mine sample preparation, chemical analysis, quality control, and security
procedures are sufficient to provide reliable data to support the estimation of Mineral
Resources and Mineral Reserves.

c. Data Verification

x In Uchucchacua and Yumpag the database has some minor findings or inconsistencies,
the vast majority of which correspond to historical information obtained from data migration;
however, these inconsistencies cause no significant impacts and the database is
consistent and acceptable for Mineral Resource Estimation.

d. Mining and Mineral Reserves

In SRK’s opinion the mineral reserves estimation is reasonable in the context of available
technical studies, information provided by Buenaventura and the assessment developed
by SRK. However, SRK strongly recommends monitoring the following risks that it has
identified:
x Mining dilution and mining recovery
x Currency exchange rate

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x Production costs
x Geotechnical parameters
x Metallurgical aspects (silver metallurgical recovery, circuit destination, and Rio Seco
topics)
x Commercial aspects related to traceability and parameters assignment
x Fine content traceability and reconciliation process
x Local politics

e. Mineral Processing

x Uchucchacua operates two parallel crushing-grinding-flotation circuits producing multiple

quality concentrates bearing Pb, Zn, Ag, all of them concentrates high in manganese
content.
x During SRK’s site visit to Uchucchacua it was observed that the mechanical condition of
equipment and supporting structures require maintenance. Rio Seco’s facilities appear well
maintained and in good operating condition.
x In order to improve the commercial value of its concentrates, Uchucchacua reprocess its
concentrate in Rio Seco, a dedicated leaching-flotation facility that selectively removes
approximately 98% of the manganese to produce a polymetallic concentrate with elevated
silver content, manganese sulfate, and multiple calcium-derived compounds resulting from
the neutralization of solutions and gases.
x Uchuchacua’s satellite Yumpag deposit is being developed as a replacement ore source.
Yumpag project is currently focused on the deposit’s drilling definition. At this time, the
number of testing results for Yumpag are preliminary, limited and not optimized,
nevertheless, available results are positive, suggesting an amenable mineralization for the
conventional flotation concentration.
f. Environmental, Permitting, and Social Considerations

x The main activities and components for mining and beneficiation comprising the
Uchucchacua MU comply with the legal requirement of being covered by an Environmental
Certification. A similar appraisal is given regarding its ancillary components.
x Uchucchacua has Mining operating permits issued by sectoral mining authorities: for
mining and ancillary activities, for beneficiation and ancillary activities, for the use of water
resources, for discharge into water resources, for drinking water treatment plants, for the
protection of cultural heritage, fuel storage; and powder magazines
g. Capital and Operating Costs
In SRK’s opinion, the operating cost estimation is reasonable in the context of LoM plan,
premises, operational conditions, the information provided by Buenaventura and the
assessment developed by SRK. SRK considers that the use of historical records provides
a good approximation of the reality of the operation and allows for adequate projection of
future costs.
Closure costs were estimated by SRK at ±25% accuracy level. In aspects where the
technical information was not enough or due to the lack of technical studies, allowances
were considered to cover any unknown technical issue. In the SRK’s opinion, the closure
cost is reasonable and reflects the reality of Uchucchacua’s environmental conditions.
Capital cost expenditure was estimated by Buenaventura and in SRK’s best understanding,
was estimated following best practices and in accordance with conditions at Uchucchacua.
SRK finds the amounts in the optimistic range for the type and size of Uchucchacua’s
operation. SRK cannot developed a detailed analysis of the capital costs or provide support
for the same.
SRK recommends monitoring the following aspects:

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x Plan and process to re-start mining operations,

x Monitor the currency exchange rate,
x Prepare support for the capital cost expenditure and update according changes in the
conditions for the re-start of the operations.

h. Economic Analysis
Based on the assumptions detailed in this report, the operation is forecasted to generate
positive cashflow over the life of the reserves. This estimated cashflow is inherently
forward-looking and dependent upon numerous assumptions and forecasts, such as
macroeconomic conditions, mine plans and operating strategy, all of which are subject to
change.
This yields an after-tax LoM NPV@ 6.04% of US$34.9912M, of which all is attributable to
Buenaventura.
The analysis performed for this report indicates that the operation’s NPV is most sensitive
to variations in commodity prices and in plant performance.

1.1.2 Recommendations
a. Geological and Mineral Resources

Uchucchacua
x SRK recommends developing a detailed geological and structural model to further support
the modeling geology of the deposit.
x Only a minor percentage of density sampling information was available, SRK recommends
that systematic density sampling programs be carried out covering all veins, adequately
distributed along the length and height of the veins.
x The results of QAQC throughout the life of the mine have not been optimal, SRK
recommends that the quality control program be adequately followed up, these
inappropriate results generated the non-declaration of measured resources.
x SRK recommends implementing a reconciliation program that includes the different types
of resource models, reserves, mine plans and plant results.

Yumpag
x SRK recommends developing detailed structural model to further support the modeling
geology of the reservoir.
x Density sampling information for resource estimation was insufficient, SRK recommends
that systematic density sampling programs be carried out for all surveyed structures.

b. Sample Preparation, Analysis and Security

x In Uchucchacua mine, more frequent precision monitoring should be carried out (fine
duplicates, coarse duplicates and twin samples) to detect problems or inconsistencies.
x In Uchucchacua mine, more frequent monitoring of accuracy (Zn) should be carried out in
the internal laboratory to detect problems or inconsistencies.
x In Yumpag mine, more frequent precision monitoring (coarse duplicates) should be carried
out to detect problems or inconsistencies.
x In Yumpag mine, more frequent monitoring of accuracy (Ag, Zn) should be carried out in
the external ALS laboratory to detect problems or inconsistencies.

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x In Yumpag mine, the percentage of inclusion of standards should be increased according

to the best practices in the industry.

c. Data Verification

x In Uchucchacua and Yumpag mines, SRK recommends conducting is recommended to

carry out internal validations of the database; verification of the data export process; and
issuing of chemical analysis reports from the Internal Laboratory for future reviews and/or
internal audits

d. Mining and Mineral Reserves

x Improvement of metallurgical recovery estimation through on-going performance control of

plant operations and the execution of additional metallurgical tests. SRK finds that
proposed functions are coherent with the current and future processing plant operations;
however, it is necessary to complete additional analysis. Recoveries for silver, lead and
zinc in low grade ranges show limited information. Silver recovery for different products
must be developed.
x Implement a systematic reconciliation process and improve the traceability of the fine
contents. Following best practices in the industry, this process should involve the following
areas mine operations: geology, mine planning and processing plant under an structured
plan of implementation;
x Improvement of “unit value” calculation by means the parameters traceability and adding
some level of differentiation in the commercial terms, separating commercial terms related
to the metal or payable content and commercial terms related to the mass of the
concentrate.
x Evaluate a simplification of saleable products and adequate assignment of circuit
destination for the in-situ materials.
x Geotechnical monitoring of underground operations and implement feedback process to
incorporate the monitoring results into the geotechnical model used for underground
design purposes.

e. Mineral Processing

x Because the current mechanical and structural condition of the processing plant, SRK is
of the opinion that Uchucchacua will need to refurbish it. This will bring the opportunity to
modernize some of the equipment and ancillary systems. A successful plant start-up (or
re-starting for this particular purpose) must be understood as one that simultaneously
achieves: target instantaneous ore throughput (tonnes/hour), target mechanical availability
(hours/day, hours/week, hours/month), and nominal concentrate production in terms of
tonnage and quality over at least four consecutive months. The Yumpag Project offers
multiple opportunities to improve the Uchucchacua-Rio Seco integrated business. A good
practice that will facilitate timely evaluation of the business’s potential would be to execute
metallurgical testing immediately after obtaining Yumpag’s DDH geochemistry data.
x It is SRK’s opinion that Rio Seco has significant potential to become a custom refinery for
third-party non-typical quality concentrates in the region.

f. Environmental, Permitting, and Social Considerations

x Continue executing the plans and programs related to:

o Mine closure plans, including remediation and reclamation plans, and associated
costs.
o Social relations, commitments, and agreements with individuals and local groups.
o Mine reclamation and closure.
o Adequacy of plans (environmental, mine closure, local individuals and groups).

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o Commitments to Ensure Local Procurement and Hiring (local employment program,

local goods and services acquisition program)

g. Capital and Operating Costs

x Development of additional technical studies for the mine closure process and to improve
the accuracy of cost estimation. SRK believes that there are opportunities to improve and
reduce the closure costs supported by technical studies,
x Trace and assign amounts of investment and operating costs correctly in the
corresponding accounting items to ensure adequate control, structuring and sorting of the
capital and operating cost.
x Additional support in the trace and assign commercial and selling expenses to the value of
in-situ material
x Continuous monitoring of cost results (yearly, quarterly); these results should be used as
feedback on the operating and capital cost estimation).

1.2 Economic Analysis

Uchucchacua’s operation consists of an underground mine and processing facilities. The operation
is expected to have a 5year life; the first year of operation is modeled.

The economic analysis metrics are prepared on an annual after-tax basis in US$. The results of
the analysis are presented in Table 1-1. The results indicate that the operation returns an after-
tax [email protected]% of US$34.98M (all attributable to Buenaventura). Note that because the mine is
operating and is valued on a total project basis where prior costs are treated as sunk, IRR and
payback period analysis are not relevant metrics.

Table 1-1: Indicative Economic Results

Units Value

LoM Cash Flow (Unfinanced)

Total Net Sales M US$ 1,105.85
Total Operating cost M US$ 651.76
Total Operating Income M US$ 183.35
Income Taxes Paid M US$ 22.80

EBITDA
Free Cash Flow M US$ 321.94
NPV @ 6.04% M US$ 249.25

After Tax
Free Cash Flow M US$ 40.78
NPV @ 6.04% M US$ 34.99
Source: SRK

1.3 Technical Summary

1.3.1 Property Description
Uchucchacua is located in the district and province of Oyón, department of Lima, and in the district
of Yanahuanca, province of Daniel Alcides Carrion, department of Pasco. Straight-line distance to
the city of Lima is 180 kms in a straight-line distance from the city of Lima, and the mine is located
approximately at a latitude of approximately 10°37'26'' S, longitude of 76°41'20'' W, and an altitude
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of 4,450 masl. The Yumpag project is located 5 km NE of Uchucchacua and is considered part of
the mining unit.

The property can be accessed from Lima, via the road Lima - Sayán - Churín – Oyón -–
Uchucchacua, for approximately a total travel distance of approximately of 322 km. The second
access is via the road Lima - La Oroya - Cerro de Pasco -– Uchucchacua, for a total travel distance
of; approximately a total of 390 km.

1.3.2 Land tenure

The Uchucchacua mining unit, including Yumpag, is comprised of 28 mining concessions. These
28 concessions represent the area of mines and exploration projects. Mining and exploration
activities are carried out within these mining concessions, 46,000 hectares (Ha) approximately.

1.3.3 History
Uchucchacua was discovered during the Spanish viceroyalty. Evidence of this is the many Spanish
workings in the areas of Nazareno, Mercedes, Huantajalla and Casualidad. At the beginning of
1960, Cia. de Minas Buenaventura started prospecting exploration in the area. From 1969 to 1973,
Buenaventura installed a pilot plant that initially treated ores from the Socorro and Carmen mines.
Satisfactory results led to the installation of an industrial plant in 1975. Currently, the Socorro,
Carmen, Casualidad and Yumpag mines are operating fully while operations at Huantajalla are
partial. Uchucchacua has a treatment capacity of 4,200 metric tons per day.

1.3.4 Geological and Mineralization

The geology consists of sedimentary rocks of the Upper Cretaceous carbonate sequence. At the
base limestones of the Jumasha and Celendín formations exist; these sedimentary rocks have
been strongly folded and faulted. On top of these units and in erosional unconformity, the red layers
of Casapalca formation were deposited, and then finally covered by Calipuy group volcanic rocks
and Tertiary intrusives.

Uchucchacua is a polymetallic deposit associated with replacement bodies and veins. Its
mineralization (Ag, Zn, Pb, Fe and Mn) is located in a sequence of carbonate rocks of the Upper
Cretaceous Jumasha Formation.

1.3.5 Exploration Status

SRK notes that the property is an active mining operation with a long history and that results and
interpretation from exploration data are generally supported in more detail by extensive drilling and
by active mining exposure of the orebody in underground works.

The area around Uchucchacua-Yumpag Operations has been extensively mapped, sampled, and
drilled over several years of exploration work. For this report, active mining, and extensive
exploration drilling, should be considered the most relevant and robust exploration work for the
current mineral resource estimation.

1.3.6 Mineral Resources Estimates

Uchucchacua Unit
The 2021 Mineral Resource Update was based on channel sample and drill hole information
obtained by Minera Uchucchacua. Mineralized domains identifying potentially economically

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mineable material were modeled for each vein and used to code drill holes and channel samples
for geostatistical analysis, block modeling, and grade interpolation by ordinary kriging or inverse
distance weighting.

Net smelter return (NSR) values for each mining block take into account expected terms of trade,
average metallurgical recovery, the average grade in concentrate and projected long-term metal
prices. Mineral Resources take into account operating costs and have been reported above as a
differentiated NSR cut-off.

The resource confidence classification considers some aspects that affect the confidence in the
resource estimate, including geological continuity and complexity; data density and orientation;
accuracy and precision of the data; and continuity of grade. Mineral resources are classified as
measured, indicated or inferred. The criteria used for the classification include the number of
samples, the spatial distribution, the distance from the block centroid and the Confidence Limits
Methodology.

Mineral Resources excluding Mineral Reserves of the Uchucchacua Mine are reported as of
December 31, 2021 and are detailed in Table 1-2.

Table 1-2: Summary of Mineral Resources

Tonnes Ag Pb Zn Mn Fe NSR Width

Classification
(000) oz/t pct pct pct pct US$/t m

Measured 620 7.95 1.06 1.69 6.94 3.96 136.38 1.71

Indicated 1,607 7.86 1.1 1.85 6.85 5.61 136.71 2.04

Measured & 1.95
2,227 7.88 1.09 1.8 6.87 5.15 136.62
Indicated
Inferred 7,029 11.73 1.49 2.2 6.58 6.57 203.9 2.96
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Notes on mineral resources:

x Mineral Resources are defined by the SEC Definition Rules for Mineral Resources and
Mineral Reserves.
x Mineral Resources are exclusive of Mineral Reserves
x Mineral Resources that are not Mineral Reserves do not have demonstrated economic
viability
x The reference point for the Mineral Resources estimate is insitu. Mineral Resources were
estimated as of june 30,2021. The estimate has an effective date of 31 december, 2021.
The Qualified Person Firm responsible for the resource estimate is SRK Consulting (Peru)
S.A.
x Mineral Resources are reported above a differentiated NSR cut-off grade for structures
based on actual operating costs
x Metal prices used in the NSR assessment are US$27.5/oz for silver, US$2,515/t for lead
and US$2,624/t for zinc.
x Extraction, processing and administrative costs used to determine NSR cut-off values were
estimated based on actual operating costs as of 2021
x Cesar Cerdán, Engineer. (AIG #7206) is the Qualified Person for the resources being an
employee of SRK Consulting Peru.
x Tones are rounded to the nearest thousand

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x Totals may not add due to rounding.

x The database was of June 30, 2021, and the depletion was of October 15, 2021. Therefore,
the effective date was October 15, 2021.
Factors that may affect estimates include metal price and exchange rate assumptions; changes in
the assumptions used to generate the cut-off grade; changes in local interpretations of the
geometry of mineralization and continuity of mineralized zones; changes in geological form and
mineralization and assumptions of geological and grade continuity; variations in density and
domain assignments; geo-metallurgical assumptions; changes in geotechnical, mining, dilution and
metallurgical recovery assumptions; switch to design and input parameter assumptions of
conceptual stope designs that constrain estimates; and assumptions as to the continued ability to
access the site, retain title to surface and mineral rights, maintain environmental and other
regulatory permits, and maintain the social license to operate.

There are no other known environmental, legal, title, tax, socioeconomic, marketing, political or
other factors that could materially affect the estimate of Mineral Resources or Mineral Reserves
that are not discussed in this Report.

Yumpag Project
The 2021 Mineral Resource Update was based on drill hole information obtained by Yumpag
Project. Mineralized domains identifying potentially economically mineable material were modeled
for each structure and used to code drill holes samples for geostatistical analysis, block modeling,
and grade interpolation by ordinary kriging or inverse distance weighting.

Net smelter return (NSR) values for each mining block take into account expected terms of trade,
average metallurgical recovery, the average grade in concentrate and projected long-term metal
prices. Mineral Resources take into account operating costs and have been reported above as a
differentiated NSR cut-off.

The resource confidence classification considers some aspects that affect the confidence in the
resource estimate, including geological continuity and complexity; data density and orientation;
accuracy and precision of the data; and continuity of grade. Mineral resources are classified as
measured, indicated or inferred. The criteria used for the classification include the number of
samples, the spatial distribution, the distance from the block centroid and the Confidence Limits
Methodology.

Mineral Resources excluding Mineral Reserves of the Yumpag Project are reported as of August
31, 2021 and are detailed in Table 1-3.

Table 1-3: Summary Mineral Resources

Tonnes Ag Pb Zn Fe Mn NSR
Classification
(000) oz/t pct pct pct pct US$/t
Measured 9 20.76 0.44 0.65 3.41 22.33 269.40

Indicated 195 16.07 0.31 0.56 2.98 19.53 207.32

Measured & Indicated 204 16.28 0.32 0.57 3.00 19.65 210.07

Inferred 148 27.18 0.65 1.07 4.35 22.83 363.25

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)
Notes on mineral resources:

x Mineral Resources are defined by the SEC Definition Rules for Mineral Resources and Mineral Reserves.

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x Mineral Resources are exclusive of Mineral Reserves

x Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability
x Mineral Resources were estimated as of December 31, 2021 and reported as of August 31, 2021 taking into
account production-related depletion for the period through December 31, 2021.
x Mineral Resources are reported above a differentiated NSR cut-off grade for structures based on actual operating
costs
x Metal prices used in the NSR assessment are US$27.5/oz for silver, US$2,515/t for lead and US$2,624/t for zinc.
x Extraction, processing and administrative costs used to determine NSR cut-off values were estimated based on
actual operating costs as of 2021
x Cesar Cerdán, Engineer. (AIG #7206) is the Qualified Person for the resources being an employee of SRK
Consulting Peru.
x Tonnes are rounded to the nearest thousand
x Totals may not add due to rounding.

Factors that may affect estimates include metal price and exchange rate assumptions; changes in
the assumptions used to generate the cut-off grade; changes in local interpretations of the
geometry of mineralization and continuity of mineralized zones; changes in geological form and
mineralization and assumptions of geological and grade continuity; variations in density and
domain assignments; geo-metallurgical assumptions; changes in geotechnical, mining, dilution and
metallurgical recovery assumptions; switch to design and input parameter assumptions of
conceptual stope designs that constrain estimates; and assumptions as to the continued ability to
access the site, retain title to surface and mineral rights, maintain environmental and other
regulatory permits, and maintain the social license to operate.

There are no other known environmental, legal, title, tax, socioeconomic, marketing, political or
other factors that could materially affect the estimate of Mineral Resources or Mineral Reserves
that are not discussed in this Report.

1.3.7 Mineral Reserves Estimates

Mineral reserves Estimation for Uchucchacua mine considers the uses of mechanized and semi
mechanized underground methods to extract mineral reserves

Proven and probable mineral reserves are converted from measured and indicated mineral
resources. Conversion is based on mine design, mine sequence and economic evaluation. The in
situ value is calculated from the estimated grade and certain modifying factors.

The mine LoM plans and resulting mineral reserves stated in this report are based on pre-feasibility
level studies.

Mineral reserves effective date is December 31st, 2021

Cost estimations are based on the historic cost of years 2018-2020. Forecast cost estimated
considers criteria for future operational conditions and an additional 10% contingency. For the case
of mining costs of Yumpag a contingency between 13% and 16% was considered.

Mineral reserves are reported above marginal NSR cut-off value for underground materials. The
marginal cut-off considers only the variable cost.

Metallurgical recovery is estimated and assigned to a block model attribute using the recovery
functions defined for each element and concentrate.

SRK identified risks related to: mining dilution and mining recovery, currency exchange rate,
production costs, geotechnical parameters, metallurgical and commercial aspects and local

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politics. However, to the best of SRK’s knowledge and based on available technical studies and
information provided by Buenevantura, no fatal flaw is present. In the QP’s opinion, the mineral
reserves estimation is reasonable.

Summary mineral reserves are shown in the Table 1-4.

Table 1-4: Uchucchacua Underground Summary Mineral Reserve Statement as of December

31st, 2021
Silver Lead Zinc Manganese
Mining Confidence Tonnage
Grade Grade Grade Grade
Method category (kt)
(oz/t) (%) (%) (%)

Proven 513 213.55 1.27 2.18 4.75

Uchucchacua Probable 3,662 220.54 1.34 2.22 4.72
Bench
& Fill Sub-total
Proven & 4,175 219.68 1.33 2.22 4.72
Probable
Proven 70 234.06 1.45 3.22 1.74
Probable 355 300.66 1.17 2.24 2.69
Uchucchacua
Cut & Fill Sub-total
Proven & 425 289.68 1.22 2.40 2.53
Probable
Proven 19 451.87 0.24 0.29 17.59
Yumpag Probable 544 545.05 0.39 0.75 16.72
Over Drift
& Fill Sub-total
Proven & 562 541.97 0.39 0.73 16.75
Probable
Proven 3 1,104.34 1.02 1.95 15.47
Yumpag Probable 857 640.24 0.51 0.93 16.45
Bench
& Fill Sub-total
Proven & 860 641.95 0.51 0.93 16.45
Probable
Proven 0 0.00 0.00 0.00 0.00
Probable 96 613.65 0.41 0.84 17.31
Yumpag
SARC ** Sub-total
Proven & 96 613.65 0.41 0.84 17.31
Probable
Proven 605 227.93 1.26 2.24 4.85
Probable 5,514 329.78 1.09 1.85 7.82
TOTAL
Total
Proven & 6,119 319.72 1.11 1.89 7.52
Probable
Source: SRK, 2021
(1) Buenaventura's attributable portion of mineral resources and reserves is 100.00% (Amounts reported in
the table corresponds to the total mineral reserves)
(2) The reference point for the mineral reserve estimate is the point of delivery to the process plant.
(3) Mineral reserves are current as of December 31st, 2021 and are reported using the mineral reserve
definitions in S-K 1300. The Qualified Person Firm responsible for the estimate is SRK Consulting (Peru)
SA

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(4) Key parameters used in mineral reserves estimate include:

(a) Average long term prices of silver price of 25.00 US$/oz, lead price of 2,286 US$/t,
zinc price of 2,385 US$/t
(b) Variable metallurgical recoveries are accounted for in the NSR calculations and
defined according to recovery functions, that average 83% for silver, 64% for lead and
44% for zinc
(c) Mineral reserves are reported above a marginal net smelter return cut-off of:
Uchucchacua Zone (Circuit 1): 74.99 US$/t for bench & fill and 83.48 US$/t for cut &
fill mining methods;
Uchucchacua Zone (Circuit 2): 58.01 US$/t for bench & fill and 66.51 US$/t for cut &
fill mining methods;
Yumpag Zone: 72.03 US$/t for over drift & fill, 65.62 US$/t for bench & fill and 62.81
US$/t for overhand sublevel stoping mining methods.
165.62
(d) Ore from Uchucchacua Zone is scheduled to be processed throught circuit 1 and circuit
2.
Ore from Yumpag Zone is scheduled to be processed throught circuit 2.
(5) Mineral reserves tonnage, grades and contained metal have been rounded to reflect the accuracy of the
estimate, and numbers may not add due to rounding

1.3.8 Mining Methods

The Uchucchacua mining unit applies two underground mining methods:

Bench & Fill with long holes, this method corresponds to an adaptation of sublevel stoping (SLS),
entails longitudinal mining of the vein. A lower and upper sublevel are built, and leaving an ore
bench between them, which is mined by long-hole drilling. As the ore is broken from the bench on
one face and the ore is cleaned from the lower sublevel, the stope is backfilled from the upper
sublevels with detrital fill.

Overhand Cut & Fill (OCF) with stoping-like vertical raiseboring, involves two activities: stoping:
sub-vertical drilling and backfill: 80% of the backfill is detrital fill from development/preparations and
20% is hydraulic fill. In this method, the ore is fragmented in horizontal strips starting at the bottom
of the stope. When a complete horizontal strip has been mined, the stope is backfilled with 80 and
20% detrital material and hydraulic fill, respectively. This backfill serves as a work floor for overhand
mining. In each ore cut, support work must be done to ensure the stability and safety of personnel
and equipment, as this method requires that personnel enter the area.

1.3.9 Mineral Processing

Uchucchacua operates a conventional crushing-grinding-flotation concentration operation that
processes polymetallic ores to produce mineral concentrates of varying quality. The processing
plant consists of two parallel processing lines namely Circuito 1 with nominal capacity of 3,000
tonnes per day of fresh feed that in 2017-2019, the circuit operated at only 2,600 tonnes/day
approximately, and Circuito 2 with nominal capacity is 1,200 tonnes/day that operated at
approximately 1,000 tonnes/day.

The Circuit 1’s final product includes Zn-Ag concentrate, Py-Ag concentrate, Pb-Ag concentrate,
and unitary Pb-Ag concentrate. The Circuit 2’s final product includes Zn concentrate, Py-Ag
concentrate, Rio Seco concentrate. Final tailings from both circuits are delivered to a common
conventional tailings storage facility. Dump truck transport the final concentrates off site to Rio
Seco facilities for refining.

Uchucchacua’s high manganese content concentrates are further processed at Rio Seco facilities.
Rio Seco includes a leaching-flotation plant whose final product includes polymetallic concentrate,

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manganese sulfate, and multiple calcium-derived compounds resulting from the neutralization of
solutions and gases. Final products are trucked off site to Callao Port and local clients.

1.3.10 Infrastructure
The in-situ and operating infrastructure at Uchucchacua includes the following:

x Mine Operations Support Facilities

o Underground workshop
o Two pumping system
o Mine administration og 1,500 m².
o Main warehouse
o A laboratory of 578 m².

x A workshop building
x Truck fuel facility
x An explosive Storage
x Processing Plant Support Facilities
o A laboratory of 578 m².
o A warehouse of 1632 m²

x Man camp for 1278 company employees and contractors (Plomopampa housing area and
Patón area).
x Power Supply and distribution:
o Power is taken from national network.
o Two Sub-station (Paragsha II and Uchucchacua)
o Transmission line 138 KV-SS of 47.8 km.
o Otuto hydroelectric plant
o A thermal power plant, which is equipped with a CAT 3612 generator set of 2,400
nominal kW
o A generator set Sulzer of 1,100 nominal kW.
o Auxiliar lines

x Water supply by pumpins from lagoons

x Waste Water Treatment and Solid Water Disposal
x Tailing facility
x Four waste rock management facility (Colquicocha, Huantajalla Lvl 360, Uchucchacua and
Huantajalla Lvl500)

1.3.11 Market Studies

Buenaventura’s zinc concentrates from Uchucchacua has very low zinc content and high levels of
manganese. This means the material is sold at a discount and is a good match for traders with a
large portfolio who can use the concentrate for blending. Buenaventura has been able to sell this
concentrate on the back of the large amount of diverse zinc concentrates extracted in Peru, which
allows for a variety of combinations which are attractive to the market once blended.

Uchucchacua’s lead concentrates all have different specifications:

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“Unitarias”: low lead content, high silver content and low manganese content. Looking ahead,
Buenaventura has secured sales for 68% and 13% of Uchucchacua’s “unitarias” concentrate
production for 2022 and 2023, respectively.

“Cleaner”: low lead content, high silver content and high manganese content. Over 70% of this
material is sent to Rio Seco plant, where it is processed to lower the manganese content and
increase lead and silver content in the product. The remaining material is sold directly to market.

“Lixiviado” or leached material: material resulting from leaching a fraction of the “cleaner”
concentrate. As mentioned before, this product has lower manganese content and higher lead and
silver content than the “cleaner” concentrate. Going forward, Buenaventura has secured sales for
80% and 76% of Uchucchacua’s production of its “lixiviado” material for 2022 and 2023,
respectively

1.3.12 Environmental Studies, Pemitting, and Plans, Negotiations, or Agreements

with Local Individuals or Groups
Due to its age, the activities at Uchucchacua mine were subject to an Environmental Adjustment
and Management Program (PAMA) as the primary environmental management instrument (1997),
and subsequently several preventive environmental studies were approved for various areas of the
mining activity, as well as modifications to these (either through EIA modifications, Supporting
Technical Reports -STR-, or prior communications). Therefore, we can conclude that this set of
environmental studies configures the scope of the "Environmental Certification" under which mining
activities must be developed.

In addition to the PAMA, Uchucchacua MU has two EIAs (1997 and 1998) for tailings management
facilities and plant capacity expansion, as well as three EIA Modifications (2006 and two in 2014),
and obtained compliance for minor or environmentally non-significant STR variations (2013, 2014,
2014, 2017, and 2019, in addition to a partial approval of the STR in 2021) and two
communications. Finally, it also has a Detailed Environmental Plan (2021).

A review of the descriptive scope of the documents identified above allows us to point out that the
main activities and components for mining and beneficiation comprising the Uchucchacua MU
comply with the legal requirement of being covered by an Environmental Certification. A similar
appraisal is given regarding its ancillary components.

Mining operating permits issued by sectoral mining authorities: for mining and ancillary activities,
for beneficiation and ancillary activities, for the use of water resources, for discharge into water
resources, for drinking water treatment plants, for the protection of cultural heritage, fuel storage,
powder magazines.

Uchucchacua has plans and programs related to:

Mine closure plans, including remediation and reclamation plans, and associated costs.

Social relations, commitments, and agreements with individuals and local groups.

Mine reclamation and closure.

Adequacy of plans (environmental, mine closure, local individuals and groups).

Commitments to Ensure Local Procurement and Hiring (local employment program, local goods
and services acquisition program)

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1.3.13 Capital and Operating Cost Estimates

SRK has estimated the capital and operating cost based on the review and analysis of:

x Historical operating costs from 2018 to 2020, including a detailed analysis of the cost
database and compilation of costs for forecast estimation;
x Projected capital cost for the LoM of Uchucchacua, including sustaining CAPEX
x Closure cost estimation developed by SRK
The summary estimated cost is shown in the Table 1-5.

Table 1-5: Summary Estimated Cost

Forecast Estimated cost *

Item ** Units
Cost (Inc. 10% Conting)

Mining Uchucchacua
Bench & Fill US$ / t ore 54.79 60.27

Cut & Fill US$ / t ore 62.51 68.76

Mining Yumpag
Over Drift & Fill (ODF) US$ / t ore 39.37 44.58

Bench & Fill (BF) US$ / t ore 32.25 37.46

Overhand Sublevel Stoping (SARC) ** US$ / t ore 35.99 41.21

Plant Processing
Circuit 1 US$ / t processed 27.76 30.54

Circuit 2 US$ / t processed 12.33 13.56

Circuit 1 (Yumpag) US$ / t processed 27.86 30.65

G&A Mine Operations

Uchucchacua US$ / t processed 22.86 25.15

Yumpag US$ / t processed 23.22 25.54

Sustaining CAPEX
Processing US$ / t processed 4.95 5.45

Off Site Cost (Corporate) *** M US$ / year 18.83 18.83

Source: Buenaventura
* Some items, depending on the cost type, do not include a contingency. Contingency applied to mining cost of
Yumpag is between 13% and 16%
** Estimation does not include selling expenses and some commercial costs stated by the contract with the
trader. These costs are included directly in the Cashflow
*** Average forecast corporate cost (2024-2028) attributable to Uchucchacua mining unit

The capital cost estimated by Buenaventura totals 16.60 MUS$ for the LoM. No further details on
concepts or infrastructure are added to the amount received from Buenaventura.

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SRK estimated the closure cost (additional details can be found in Section 17) for all three stages
of the closure process and has included a capital and operating cost estimation for a water
treatment plant. A summary of total closure costs is shown in Table 1-6.

Table 1-6: Summary Closure Cost

Progressive closure Final Closure Post Closure Water treatment
Period Direct Indirect Direct Indirect Direct Indirect Direct Indirect
(M US$) (M US$) (M US$) (M US$) (M US$) (M US$) (M US$) (M US$)

2022-2028 15.73 2.71

2029-2033 14.96 7.91
2032-2051 0.44 0.18
2029-2051 14.34 17.00
Source: Buenaventura

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2 Introduction
2.1 Registrant for Whom the Technical Report Summary was
Prepared
This Technical Report Summary was prepared in accordance with the Securities and Exchange
Commission (SEC) S-K regulations (Title 17, Part 229, Items 601 and 1300 through 1305) for
Compañía de Minas Buenaventura S.A.A, (Buenaventura) by SRK Consulting (Peru) S.A. (SRK)
on the Uchucchacua Project. Buenaventura is 100% owner of Uchucchacua Project.

2.2 Terms of Reference and Purpose of the Report

The quality of information, conclusions, and estimates contained herein are consistent with the
level of effort involved in SRK’s services, based on: i) information available at the time of
preparation and ii) the assumptions, conditions, and qualifications set forth in this report. This report
is intended for use by Buenaventura subject to the terms and conditions of its contract with SRK
and relevant securities legislation. The contract permits Buenaventura to file this report as a
Technical Report Summary with American securities regulatory authorities pursuant to the SEC S-
K regulations, more specifically Title 17, Subpart 229.600, item 601(b)(96) - Technical Report
Summary and Title 17, Subpart 229.1300 - Disclosure by Registrants Engaged in Mining
Operations. Except for the purposes legislated under provincial securities law, any other uses of
this report by any third party is at that party’s sole risk. The responsibility for this disclosure remains
with Buenaventura.

The purpose of this Technical Report Summary is to report mineral resources, mineral reserves
and exploration results.

The effective date of this report is March 15, 2022

2.3 Sources of Information

This report is based in part on internal Buenaventura technical reports, previous feasibility studies,
maps, published government reports, company letters and memoranda, and public information as
cited throughout this report and listed in the References Section ¡Error! No se encuentra el origen
de la referencia..

Reliance upon information provided by the registrant is listed in the Section 25 when applicable.

2.4 Details of Inspection

¡Error! No se encuentra el origen de la referencia. summarizes the details of the personal
inspections on the property by each qualified person or, if applicable, the reason why a personal
inspection has not been completed.

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Table 2-1: Site Visits

Reason why a personal
Date(s) of
Expertise Details of Inspection inspection has not been
Visit
completed
Meetings were held with the
areas involved in the QAQC,
Information Management,
Sampling, Logging and
Chemical Analysis processes,
February- with the aim of minimizing
Geology/ potential observations in
March, updating resources to SK-1300
Resources
2022 standards. In addition, the
review and verification of the
current in-situ processes of the
Uchucchacua and Yumpag
Geology and Laboratory area
was included.
All process areas from the
delivery of ROM ore to the final
February- product ready for shipment-
Metallurgy March, Chemical metallurgical
2022 laboratory
Precious metals smelter and
refinery area
Visit to the underground mine,
including production and
development areas. The visit to
the production stops allowed to
observe the application of the
mining method and the
sequence of activities of the
January, mining cycle. Visual inspection
Mining of ground condition (and ground
2021
support used), water presence
and condition of auxiliary
services
Meeting with planning and
operations mine staff to review
the current mine operations,
short term and loving term plans
Site Visit not
Other completed due
areas to Covid-19
travel restrictions
Source: SRK

2.5 Report Version Update

The user of this document should ensure that this is the most recent Technical Report Summary
for the property.

This Technical Report Summary is not an update of a previously filed Technical Report Summary.

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3 Property Description
The Uchucchacua mining unit (100% owned by Compañía de Minas Buenaventura) began
operations in 1975. It is an underground operation that produces silver, lead, and zinc. It is located
in the central highlands of Peru and is part of the Oyon mining district, which has produced silver
since colonial times. At the end of 2019, the Yumpag Project was incorporated into the unit.

3.1 Property Location

Excerpted from (BISA, 2018)

Uchucchacua is located in the district and province of Oyón, department of Lima. The Yumpag
project is located 5 km NE of Uchucchacua and considered part of the mining unit.

The mine is 180 km in a straight-line distance from the city of Lima, approximately at a latitude of
10°37'26'' S, longitude of 76°41'20'' W, and an altitude of 4,450 masl

The area corresponds to the western flank of the Andes. Hydrographically, it is located in the Paton
River sub-basin, a tributary of the Huaura River on the Pacific watershed, and in the
Chaupihuaranga River sub-basin, a tributary of the Huallaga River on the Atlantic watershed.

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Figure 3-1: Uchucchacua Location Map

Source: (BISA, 2018)

3.2 Property Area

The Uchucchacua mining unit, which includes the Yumpag project, consists of veins and
replacement bodies associated with structural systems, including the Uchucchacua, Socorro-
Cachipampa, Rosa, and Sandra faults, among others. There are currently 5 individual mines in
operation: Socorro, Carmen, Casualidad, Huantajalla, and Yumpag. The most important structure
to date within this project is the Camila vein (BISA, 2018).
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3.3 Mineral Title, Claim, Mineral Right, Lease or Option Disclosure

The Uchucchacua mining unit, including Yumpag, is comprised of 28 mining concessions. These 28 concessions represent the area of mines and
exploration projects. Mining and exploration activities are carried out within these mining concessions, 46,000 hectares (Ha) approximately. The leases do
not expire as long as statutory duties are paid in a timely manner.

SRK reports that all of the mineral resources and reserves presented in this report are within these concessions (Table 3-1 and Figure 3-2), which are
100% controlled by Buenaventura.

Table 3-1: Uchucchacua-Yumpag and Tenure Table

Claim As Reported Date Expiry

Claim ID Owner Status Area (Ha)
Name Type Granted Date

ACUMULACION COMPAÑIA DE MINAS

010000120L Mining Lease Active 14/02/2020 20,900.30
UCHUCCHACUA BUENAVENTURA S.A.A.

ACUMULACION COMPAÑIA DE MINAS

010000220L Mining Lease Active 14/02/2020 7,146.69
YUMPAG BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010819395 CALIZA Mining Lease Active 09/08/1995 400.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
04013326X01 CHACUA 103 Mining Lease Active 19/12/1985 449.39
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010401818 CHACUA 106 Mining Lease Active 23/10/2018 600.00
BUENAVENTURA S.A.A.
Does not
COMPAÑIA DE MINAS expiry as
010401718 CHACUA 107 Mining Lease Active 23/10/2018 200.00
BUENAVENTURA S.A.A. long as
COMPAÑIA DE MINAS statutory
010416518 CHACUA 108 Mining Lease Active 5/11/2018 duties 700.00
BUENAVENTURA S.A.A.
are paid
COMPAÑIA DE MINAS
010207519 CHACUA 109 Mining Lease Active 3/06/2019 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010207619 CHACUA 110 Mining Lease Active 3/06/2019 900.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010207719 CHACUA 111 Mining Lease Active 3/06/2019 600.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010297316 CHACUA 2016 Mining Lease Active 11/11/2016 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010127117 CHACUA 2016-1 Mining Lease Active 2/01/2017 200.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010360197 CHACUA 32 Mining Lease Active 03/10/1997 500.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010034303 CHACUA 43 Mining Lease Active 03/03/2003 700.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010069912 CHACUA 56 Mining Lease Active 06/01/2012 600.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
04013470X01 CHACUA N° 104 Mining Lease Active 02/05/1989 299.77
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
04013434X01 LASUNA I Mining Lease Active 02/05/1988 978.53
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010036303 MAJADA 15 B Mining Lease Active 03/03/2003 400.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010036403 MAJADA 15A Mining Lease Active 03/03/2003 300.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010036503 MAJADA 16C Mining Lease Active 03/03/2003 700.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
04013406X01 PISTAG Mining Lease Active 01/06/1987 758.20
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170217 YUM 01 Mining Lease Active 30/01/2017 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170317 YUM 02 Mining Lease Active 30/01/2017 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170417 YUM 03 Mining Lease Active 30/01/2017 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170517 YUM 04 Mining Lease Active 30/01/2017 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170617 YUM 05 Mining Lease Active 30/01/2017 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170717 YUM 06 Mining Lease Active 30/01/2017 1,000.00
BUENAVENTURA S.A.A.

COMPAÑIA DE MINAS
010170817 YUM 07 Mining Lease Active 30/01/2017 700.00
BUENAVENTURA S.A.A.
Total (ha) 46,032.88
Source: Buenaventura, 2021

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Figure 3-2: Uchucchacua-Yumpag mining claims (Buenaventura)

Source: (Buenaventura, 2021)

3.4 Mineral Rights Description and How They Were Obtained

Property and Title in Peru (INGEMMET, 2021)

Overview
The right to explore, extract, process and/or produce minerals in Peru is primarily regulated by
mining laws and regulations enacted by the Peruvian Congress and the executive branch of
government, under the 1992 Mining Law. The law regulates nine different mining activities:
reconnaissance; prospecting; exploration; exploitation (mining); general labor; beneficiation;
commercialization; mineral transport; and mineral storage outside a mining facility.

The Ministry of Energy and Mines (MINEM) is the authority that regulates mining activities. MINEM
also grants mining concessions to local or foreign individuals or legal entities, through a specialized
body called The Institute of Geology, Mining and Metallurgy (Ingemmet).

Other relevant regulatory authorities include the Ministry of Environment (MINAM), the National
Environmental Certification Authority (SENACE), and the Supervisory Agency for Investment in
Energy and Mining (Osinergmin). The Environmental Evaluation and Oversight Agency (OEFA)
monitors environmental compliance.

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Mineral Tenure

Mining concessions can be granted separately for metallic and non-metallic minerals. Concessions
can range in size from a minimum of 100 ha to a maximum of 1,000 ha.

x A granted mining concession will remain valid providing the concession owner:
x Pays annual concession taxes or validity fees (derecho de vigencia), currently US$3/ha,
are paid. Failure to pay the applicable license fees for two consecutive years will result in
the cancellation of the mining concession
x Meets minimum expenditure commitments or production levels. The minima are divided
into two classes:
o Achieve “Minimum Annual Production” by the first semester of Year 11 counted from
the year after the concession was granted or pay a penalty for non-production on a
sliding scale, as defined by Legislative Decree N° 1320 which became effective on 1
January 2019. “Minimum Annual Production” is defined as one tax unit (UIT) per
hectare per year, which is S/4,200 in 2019 (about US$1,220)
o Alternatively, no penalty is payable if a “Minimum Annual Investment” is made of at
least 10 times the amount of the penalty.
o The penalty structure sets out that if a concession holder cannot reach the minimum
annual production on the first semester of the 11th year from the year in which the
concessions were granted, the concession holder will be required to pay a penalty
equivalent to 2% of the applicable minimum production per year per hectare until the
15th year. If the concession holder cannot reach the minimum annual production on
the first semester of the 16th year from the year in which the concessions were
granted, the concession holder will be required to pay a penalty equivalent to 5% of
the applicable minimum production per year per hectare until the 20th year. If the
holder cannot reach the minimum annual production on the first semester of the 20th
year from the year in which the concessions were granted, the holder will be required
to pay a penalty equivalent to 10% of the applicable minimum production per year per
hectare until the 30th year. Finally, if the holder cannot reach the minimum annual
production during this period, the mining concessions will be automatically expired.

The new legislation means that title-holders of mining concessions which were granted before
December 2008 will be obligated to pay the penalty from 2019 if the title-holder did reach either the
Minimum Annual Production or make the Minimum Annual Investment in 2018.

Mining concessions will lapse automatically if any of the following events take place:

x The annual fee is not paid for two consecutive years.

x The applicable penalty is not paid for two consecutive years.
x The Minimum Annual Production Target is not met within 30 years following the year after
the concession was granted.
Beneficiation concessions follow the same rules as for mining concessions. A fee must be paid
that reflects the nominal capacity of the processing plant or level of production. Failure to pay such
processing fees or fines for two years would result in the loss of the beneficiation concession.

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Permits

In order to start mineral exploration activities, a company is required to comply with the following
requirements and obtain a resolution of approval from MINEM, as defined by Supreme Decree No.
020-2012-EM of 6 June 2012:

x Resolution of approval of the Environmental Impact Declaration

x Work program
x A statement from the concession holder indicating that it is owner of the surface land, or if
not, that it has authorization from the owners of the surface land to perform exploration
activities
x Water License, Permission or Authorization to use water
x Mining concession titles
x A certificate of non-existence of archeological remains (CIRA) whereby the Ministry of
Culture certifies that there are no monuments or remains within a project area. However,
even with a CIRA, exploration companies can only undertake earth movement under the
direct supervision of an onsite archeologist.
Other Considerations

Producing mining companies must submit, and receive approval for, an environmental impact study
that includes a social relations plan, certification that there are no archaeological remains in the
area, and a draft mine closure plan. Closure plans must be accompanied by payment of a monetary
guarantee.

In May 2012, Peru’s Government approved the Consulta Previa Law (prior consultation) and its
regulations approved by Supreme Decree Nº 001-2012-MC. This requires prior consultation with
any indigenous communities as determined by the Ministry of Culture, before any infrastructure or
projects, in particular mining and energy projects, are developed in their areas.

Mining companies also have to separately obtain water rights from the National Water Authority
and surface lands rights from individual landowners.

3.5 Encumbrances
SRK has no knowledge of any material encumbrances that may affect the current resource or
reserve as presented in this report. For more details on infrastructure modifications related to an
expansion or development of the current mineral resource or reserve, please refer to Section 15 of
this report.

3.6 Other Significant Factors and Risks

SRK has no knowledge of any other significant factors or risks that may affect access, title, or the
right or ability to perform work on the mineral property.

3.7 Royalties or Similar Interest

x Beneficiary: Pucarana S.A.C
Status: Without Production
Type of contract: Assignment (Apuñe and Pucarana)
Royalty: 3.0% NSR Production
Terms: 2045
Comments: Project without activity.

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4 Accessibility, Climate, Local Resources,

Infrastructure and Physiography
4.1 Topography, Elevation and Vegetation
The Uchucchacua mining unit is located on the western flank of the Andes at 4,450 masl. It has a
glacial morphology with flat to undulating surfaces and gentle to steep slopes, as well as steep
mountain peaks. The following geomorphological units were identified in the project area: valley
bottom highland plains, gently sloping fluvioglacial valleys, moderately sloping hillsides, steeply
sloping hillsides, steep mountain slopes, and steeply sloping mountain peaks.

According to the National Map of Vegetation Cover made by Peruvian Environmental Ministry
(MINAM), the project area is located in wetlands, high Andean relict forests, shrub thickets, high
Andean scrubland, and high Andean area with sparse to no vegetation. A total of 391 plant species
were recorded during biological monitoring between 2015 to 2018, with Magnoliopsida being the
dominant group. Asteraceae and Poaceae families were the most representative flowering plants
and grasses (MINAM, 2019).

4.2 Means of Access

The property can be accessed from Lima, Peru via the following two options (BISA, 2018):

x First, via the road Lima - Sayán (141 km), then, road: Sayán - Churín (62 km), Churín -
Oyón (53 km) and Oyón - Uchucchacua (10 km); approximately a total of 322 km.
x Second, via the road Lima - La Oroya - Cerro de Pasco (320 km) and Cerro de Pasco -
Uchucchacua (70 km); approximately a total of 390 km.

4.3 Climate and Length of Operating Season

A meteorological characterization of the area has been obtained based on information from thirteen
stations near the project, of which ten (10) are from National Service of Meteorology and Hydrology
of Peru (SENAMHI), two (2) from Electroandes, and one (1) from Buenaventura. The average
annual precipitation at Uchucchacua station is 1,020.4 mm and varies between 0 mm (June 2009
and August 2010) and 241.6 mm (March 2017). The mean monthly temperature varies between
6.8°C (November 2015) and 3.1°C (July 2018), with an annual average of 4.5°C. Relative humidity
reaches maximum values in January (81%) and May (80.9%), and minimum values in July (66.1%).
Patón basin climate is classified as humid, mesothermal, with moderate water scarcity during
summer (MINAM, 2019).

4.4 Infrastructure Availability and Sources

4.4.1 Water
The Uchucchacua mining unit uses water from surface tributaries (fresh water) for its operations
and facilities. The site currently utilizes less water than authorized by volume. Water sources and
consumption for 2020 are shown in ¡Error! No se encuentra el origen de la referencia. 4-1
(Buenaventura, 2021):

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Table 4-1: Water sources consumption and in Uchucchacua

Authorized volume Volume used 2020
No. Name Resolution No.
(m³/year) (m³/year)
Colquicocha A.R. No. 035-93-
1 1,261,440 461,294.10
Lagoon UAD.LS/AAH/ATDRH
Cutacocha A.R. No. 152/2005-
2 315,360 89,503.76
Lagoon GRL.DRA/ATDRH
Caballococha
3 D.R No. 049-88-AG-DG 567,648 270,633.02
Lagoon
Jachacancha A.R. 0083/2003-
4 15,105,744 5,473,046.33
Creek AG.DRA.LC/ATDRH
Patón A.R. No. 034-93-
5 53,611,200 17,485,968.8
Lagoon UAD.LC/AAH/ATDRH
Source: (Buenaventura, 2021)

4.4.2 Electricity
Power is provided by a 138 kV transmission line operated by CONENHUA (Consorcio Energético
de Huancavelica S.A., a wholly owned subsidiary of Buenaventura). It comprises 2 transformers:
18-22MW Mine and 12MW concentrator plant. Power consumption in the camps is approximately
0.8MW (Buenaventura, 2021).

4.4.3 Personnel
The mine and processing facilities are located about 25 km north of the community of Oyón. The
community of Uchucchacua is the closest community to the site. Most of the personnel working at
the project typically live within an hour’s drive of the project. Skilled labor is available in the region
and Buenaventura has an established work force with skilled labor.

As of December 31, 2020, the number of personnel working on the project, including in-house and
contract personnel, totaled 2,131 people (Buenaventura, 2021).

4.4.4 Supplies
All supplies are provided by suppliers selected by the company. Suppliers are both local and from
other regions of the country.

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5 History
Excerpted from (Buenaventura, 2021)

Uchucchacua is a silver deposit in the central highlands. It was discovered during the Spanish
viceroyalty. Evidence of this are the many Spanish workings in the areas of Nazareno, Mercedes,
Huantajalla and Casualidad. Mr. Juan Minaya continued exploitation in this century, and later the
mine was transferred to Jungbluth, who continued small scale works and even mined ore in
Uchucpaton and Otuto, where there are vestiges of old processing “mills”.

At the beginning of 1960, Cia. de Minas Buenaventura started prospecting-exploration in the area
under difficult initial conditions, since there was no Oyón-Chacua road, which was built in 1965 and
later extended to Yanahuanca. From 1969 to 1973, Buenaventura installed a pilot plant that initially
treated ores from the Socorro and Carmen mines. Satisfactory results led to the installation of an
industrial plant in 1975, which currently has a treatment capacity of 4,200 metric tons per day.
Currently, the Socorro, Carmen and Casualidad mines are operating fully while operations at
Huantajalla are partial.

5.1 Background
In the Uchucchacua unit, geological exploration work and studies have led to the discovery of
important veins and ore bodies in the Socorro, Carmen, Huantajalla and Casualidad mines. One
of the main veins is Gina Socorro located in Socorro mine, whose horizontal and vertical extension
is approximately 1 Km.

Geological mapping, geophysical, petrographic, and mineralogical studies have contributed to a

better understanding of the deposit, both structurally and mineralogically, as is the case of the
alabandite ore, which is treated at the Rio Seco plant located in Huaral.

Among the geological mapping works at regional level, the most relevant were those carried out
by Romaní (1982 - 1998) and Bussell and Baxter (1984 - 1986). In addition to these studies, SRK
and BISA have carried out recent work that has helped to build the 3D geological model. A
summary of the critical technical studies is provided in Figure 5-1.

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Figure 5-1: Main activities throughout the development of the Uchucchacua deposit.
Source: (Buenaventura, 2021)

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6 Geological Setting, Mineralization, and Deposit

6.1 Regional, Local and Property Geology
Excerpted from (BISA, 2018)

The Uchucchacua mining district is located in the central Andes of Peru within metallogenic belt
XXI corresponding to Pb-Zn-Cu (Ag) Skarn type deposits and polymetallic deposits related to
Miocene intrusives (Carlotto et al., 2009), in the NE part of the Oyón quadrangle (22r) of
INGEMMET.

It is located in a morphostructure called the Marañón Thrust and Fold Belt, which affects Mesozoic
units and Cretaceous calcareous units.

The Mesozoic is represented by the pre-albian clastic formations, essentially detritic, Oyón, Chimú,
Santa, Carhuaz, Farrat and the upper Cretaceous series. These series are very thick and
represented by the Pariahuanca, Chulec, Pariatambo, Jumasha and Celendín formations, and are
composed of clayey, clastic and carbonate sediments. They outcrop as small discontinuous
sedimentary strips oriented NW to NE between the areas of Patón, Cachipampa, and Uchucchacua
and Pozo Rico mines.

On top of these, there units are Miocene-Pliocene volcanic rocks made up of pyroclastic, andesitic
and dacitic lavas and breccias corresponding to the Calipuy Volcanics, located north of
Uchucchacua and southwest of Cachipampa, which cover the area extensively and are in
unconformable contact with Mesozoic sedimentary units and Tertiary intrusives.

Finally, hypabyssal, andesitic and dacitic igneous bodies from the Oligocene-Miocene (Lower
Tertiary) have been identified and intrude Mesozoic rocks.

Structurally, Andean tectonics gave rise to the development of large plutonic, volcanic and
mineralization events in the region, with faulting and folding of the entire Mesozoic sequence,
mainly N-NW oriented. . A regional geological cross-section is provided at ¡Error! No se encuentra
el origen de la referencia.

Figure 6-1: Regional geological section

Source: modified from Mégard et al. 1984 (Bussell, et al., 1990)

Bussell, et al., 1990, describes the following:

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Gravimetric modeling studies suggest that these Terciary intrusions extend upward from a deeper
mass of granite (Bussel and Wilson, 1985) and igneous rock samples from Churin and Raura have
yielded ages of 13 Ma (Cobbing et al., 1981) and 10 Ma (Noble, 1980). This stock chain is closely
associated with the polymetallic belt in northern Peru, where mineralization has closely followed
intrusion. In Raura, for example, mineralization is found between 10 and 7.8 Ma (Noble, 1980).
Therefore, these deposits fit into the group of middle to upper Miocene metasomatic veins, with
copper, lead, zinc and silver mineralization, recognized by Petersen and Vidal (1983) as one of the
three main metallogenic epochs in Peru.

Three magmatic events affect the central region of the Andes, where Uchucchacua mine is located.

The most recent magmatic event occurred in the Miocene (14.5 to 5 Ma) and is associated with
the emplacement of several epithermal deposits embedded in sedimentary rocks.

The second event occurred in the Oligocene, and emplaced volcanic, sulvolcanic and volcaniclastic
rocks of andesitic to dacitic composition. Bissig et al. (2016) consider that this magmatic event is
not associated with the mineralization of Uchucchacua mine.

The oldest event occurred from the Eocene to late Oligocene (40-29.3 Ma) and resulted in the
emplacement of dacitic domes and granodioritic intrusions; in the extrusion of dacitic to andesitic
lavas; as well as in the emplacement of skarn-type mineralization at Milpo and Atacocha (SRK,
2017).

A regional geolgic map is provided as ¡Error! No se encuentra el origen de la referencia..

Subsequent sections describe the local stratigraphy of the Uchucchacua area. A stratigraphic
column is proved as ¡Error! No se encuentra el origen de la referencia..

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Figure 6-2: Regional Geology Setting.

Source: Modified from Swanson et.al. (1988) (Buenaventura, 2021)

The regional geology is described as follows (Buenaventura, 2021):

6.1.1 Goyllarisquizga Group

The Goyllarisquizga group was classically divided into five formations which are:

Oyón, Chimú, Santa, Carhuaz and Farrat.

Oyón Formation (JsKi-o)

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From the Berrasian (Lower Neocomian). It outcrops 2.5 km SW of the Patón lagoon and underlies
the Chimú Formation conformably. This formation is composed of gray and white quartz
sandstones intercalated with dark gray to black silty clays and coal strata (good quality anthracite).
The tectonic role of this formation is important for the structural evolution of the area.

Chimú Formation (Ki-chi)

From Upper Berrasian - Lower Valanginian. This unit outcrops 2.4 km SW of Patón lagoon next to
the Oyón formation with a thickness of approximately 500 meters. It conformably overlies the Oyón
Formation of the Berrasian and underlies the Santa Formation of the Valanginian. Lithologically it
is composed, towards the base, of white quartz sandstones intercalated with gray to black silty
clays and thin coal strata; towards the upper part it is mainly composed of medium to coarse
grained white quartz sandstones, presenting in some cases cross-bedding of strata of up to 5
meters approximately.

Santa Formation (Ki-sa)

From the Upper Valanginian. Outcrops 3 km west of Colquicocha lagoon. The lower part is
composed of white and pink quartz sandstones with calcareous cement, intercalated with strata
and lenses of yellowish sandy limestones and gray silty clays. The upper part is composed of gray
and reddish ferruginous limestones, sometimes with chert, intercalated with dark gray silty clays.

Carhuaz Formation (Ki-ca)

From the Upper Valanginian to the Lower Aptian. It outcrops 1 km west of Patón lagoon forming
the axial zone of the Patón anticline with an approximate thickness of 600 meters. It consists of
formed sequences that are composed towards the base by gray, green and red silty clays
intercalated with gray sandstones, and in the upper part, by gray and brown quartz sandstones
intercalated with silty clays.

Farrat Formation (Ki-f)

From the Upper Aptian. Upper unit of the Goyllarisquizga Group, occurs about 0.5 km and 1 km
west of the Patón lagoon on both flanks of Patón anticline. It is mainly composed of white quartz
sandstones. Some coarse-grained sandstone strata show conglomerate channels with
subrounded to rounded quartz clasts, quartzite and volcanics. It conformably overlies the Carhuaz
Formation and underlies the Pariahuanca Formation.

6.1.2 Machay Group

Pariahuanca Formation (Ki-ph)

Lower Albian. Outcrops 0.5 km west and northwest of the Patón lagoon on both flanks of Patón
anticline. It consists of thin strata of gray, yellowish and reddish ferruginous limestones interbedded
with gray silty clays. It conformably overlies the Farrat Formation and underlies the Chulec
Formation.

Chulec Formation (Ki-ch)

From the Lower - Middle Albian. It outcrops 0.5 km west and northwest of Patón lagoon next to the
Pariahuanca Formation on both flanks of Patón anticline with a thickness of approximately 200

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meters. Lithologically, it is composed of gray to light gray limestones in thick strata with nodular
structures.

Pariatambo Formation (Ki-p)

From the Middle Albian. Outcrops 0.5 km west and northwest of Patón lagoon next to the
Pariahuanca and Chulec formations. It appears as a sequence of increasing strata, where the
lower part corresponds to a sequence of black silty clays intercalated with black fetid limestones
and in the upper part there are limestones in thick strata with a continuous and progressive
evolution.

6.1.3 Jumasha Formation

From the Albian-Turonian. It is the largest calcareous unit in central Peru and consists of light gray
limestones in weathered surface and blue in fresh fracture. It is present in almost the entire
Uchuchacua deposit as a host unit to the mineralization. This formation presents three well
differentiated sequences:

Lower Jumasha (Ks-ji), is composed in the lower part of black silty clays, intercalated with thin
strata of gray limestones, which towards the upper part change to limestones in thin to medium
gray strata that are somewhat nodular.

Middle Jumasha (Ks-jm), is composed of gray limestones in thick strata, averaging up to 8 meters
thick.

Upper Jumasha (Ks-js), is composed of limestones in thin tabular strata intercalated with thin
strata of gray silty clays.

The total thickness of this formation is approximately 1500 to 1600 meters, estimated in the north
of Patón lagoon, where there is an upper contact with the Celendín Formation and a lower contact
with the Pariatambo Formation. Because of its thickness, the Jumasha Formation is considered
the most important Cretaceous unit.

6.1.4 Celendín Formation (Ks-c)

Comprised between the Coniacian and Santonian. This unit outcrops to the west of Uchucchacua
fault and on the eastern flank of Cachipampa anticline. Lithologically, it consists of bluish-gray
marls that weather to a creamy yellow color. The transition zone with Jumasha Formation is marked
by a finely stratified series of the same color and lithology as Jumasha with intercalations of marls.
It lies conformably with the Jumasha Formation and is unconformably covered by the Casapalca
Formation, showing a thickness of approximately 220 meters.

6.1.5 Casapalca Formation (Kt-c)

This formation occurs mainly to the east of the Cachipampa anticline covering the Celendín
Formation with a slight unconformity and, in some cases, is found directly on top of the Jumasha
Formation. Based on structural relations in the Cachipampa pampa, about 1000 meters of
thickness is a reasonable average, as it is impossible to determine its true thickness because the
top cannot be observed. Lithologically, it consists of red and green sandstones and marls with
some conglomerate beds and occasional lenticular horizons of gray limestones. It is strongly folded
together with the underlying Cretaceous rocks and covered by volcanic rocks equivalent to the
Calipuy; it is presumed that the age of Casapalca Formation must be post-Santonian-Campanian

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and is in fact older than that of the Calipuy Volcanic; this takes into account that the time span
between Casapalca and Calipuy Formations must have been long, since the main folding of the
Cretaceous units and erosional activities, as the case may be, took place during that time.

6.1.6 Intrusive Rocks (T-i/an/da)

In the study area, intrusive rocks occur as small stocks, dikes and sills. Petrology and geochemistry
of major elements confirm that this magmatism of dacitic - andesitic composition belongs to the
calc-alkaline line (Romaní, 1983). The different ages determined for these rocks show us the
multiple stages of magmatism that took place in this part of central Peru.

In Uchucchacua, there are stocks of dacitic intrusives, mainly in the area of Casualidad mine; one
is associated with the Sandra vein and the second is clearly cut and displaced about 400 m by the
Socorro fault with a dextral movement. This intrusive was dated at 25.3 Ma (Upper Oligocene) by
D. Noble in 1980. The mineralization generated by this intrusive is a poorly developed Pb-Zn skarn.

The 10 Ma magmatism responsible for the Ag-Mn-Zn mineralization at regional scale (including
Raura and Iscaycruz mines), occurs at Uchucchacua as small dikes and sills. A sample of dacitic
dike from Anamaray hill was dated at 9.32 Ma by Romaní in 1982.

6.1.7 Volcanic Rocks

Atalaya Volcanics (T-va)

This unit outcrops to the north of Uchucchacua mine, with a thickness of almost 500 m; it is formed
by andesitic and dacitic flows, as well as pyroclastic flows of intermediate composition. Two
samples belonging to this volcanic series were dated at 5.56 and 5.23 Ma, respectively, by Maurice
Romani in 1982, thus determining a lower Pliocene age. The Quechua 3 tectonic phase deforms
these rocks, so they show slight folding.

6.1.8 Quaternary
The Quaternary geomorphological feature in the study area is basically related to the geological
action of glaciers; thus, the deposition of rocky materials transported by glaciers is produced when
glacier ice melts (glacial deposits) and the finer materials are deposited by meltwater discharged
by glaciers when they flow in areas of low slope (fluvioglacial deposits).

Glacial Deposits (Q-g)

Unstratified deposits transported by glacier ice are known as moraines and occur mainly as frontal
or lateral moraines. They are composed of rock fragments of all sizes, ranging from blocks to tiny
fragments. This material is chaotically distributed, not classified or stratified, meaning that its
components are not ordered by size and shape and do not present strata. They are distributed in
the lower part of hills.

Fluvioglacial Deposits (Q-f)

These deposits are sand and gravel deposits dragged from the glacier front by meltwater coming
from the outwash of glacial drifts and are generally found filling the lower parts and depressions of
the glacial valley, forming fluvioglacial plains. Their main characteristic is that particles are sorted
and show a field-recognizable stratification.

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Colluvial Deposits (Q-c)

These are deposits generally formed at the base of slopes, transported by gravity, consisting of
poorly sorted material, angular clasts with a clayey matrix, unstratified, unconsolidated, very
porous, permeable and often in movement (very slow).

Figure 6-3: Regional Geology Setting.

Source: (Buenaventura, 2021)

6.2 Local Geology

Excerpted from (BISA, 2018)

Local geology consists of sedimentary rocks of the Upper Cretaceous carbonate sequence. At the
base limestones of the Jumasha and Celendín formations exist that; these sedimentary rocks have
been strongly folded and faulted. On top of these units and in erosional unconformity, the red
layers of Casapalca formation were deposited, and then finally covered by Calipuy group volcanic
rocks and Tertiary intrusives.

The lithostratigraphic controls are horizons with coarse and very coarse grained limestones
(packstone, grainstone and rudstone), facies with alkalies, microfossils and abundant calcareous
fossils (Ooids, gastropods and/or foraminifera); calcite veinlets are closely related to MnO
mineralization and sulfides of Pb, Fe, among others.

The structural controls in the Mining District are NW-SE and NE-SW trending. The NW-SE controls
are related to Andean faults that have formed during a complex deformation. The NE-SW trending

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controls form a transfer zone that extends to the Yumpag Project. The main structure of this set of
faults is Cachipampa fault.

The structural architecture of Uchucchacua can be summarized in five (5) fault systems:
Tinquicocha-Cutacocha fault, Cachipampa fault, Uchucchacua fault, Socorro fault, Sandra-Marion
fault; other faults of minor importance or whose activity has not been defined are Caballo Cocha,
Puntachacra and Añilcocha.

Bussel et al. (1990) described the geology of Uchucchacua Mine as follow:

The Lower Member of Jumasha Formation consists of fine-grained limestones (mudstone and
wackestone) and occasional coarse-grained limestones (rudstone, grainstone and packstone). The
Lower Member is characterized by the presence of abundant bivalves (fossils). The middle member
of Jumasha Formation outcrops in the Huantajalla zone, in the structural corridor defined by
Cachipampa and Socorro faults, and south of the Socorro Fault, while the upper member of
Jumasha Formation is the main lithology in the central, central-eastern, and central-northern parts
of the map shown in Figure 6-6. A recessive limestone unit called the Marcador is considered,
which develops characteristic weathering surfaces, such as the contact between Middle and Upper
members of the Jumasha Formation. The Marker Sequence (SM) comprises the same facies of
the Middle Member of Jumasha Formation, and with higher concentration of marls.

Celendín Formation (Upper Cretaceous) outcrops to the west of Uchucchacua fault and on the
eastern flank of Cachipampa anticline, lithologically consists of bluish-gray marls intercalated with
thin strata of gray siltstone; thin strata of wackestone limestone have been identified.

Casapalca Formation occurs mainly east of the Cachipampa anticline covering with a slight
unconformity the Celendín Formation and, in some cases, it is found directly above the Jumasha
Formation. Lithologically, it consists of red and green sandstones and marls with some beds of
conglomerates and occasional lenticular horizons of gray limestones.

Calipuy Volcanics, outcropping to the north of Uchucchacua mine, consists of andesitic and dacitic
flows, as well as pyroclastic flows of intermediate composition.

The Quaternary in the study area is basically formed by colluvial, alluvial and morainic deposits.

Geological cross-sections and a local geology map are provided as ¡Error! No se encuentra el
origen de la referencia. and ¡Error! No se encuentra el origen de la referencia., respectively.

The Quaternary in the study area is basically formed by colluvial, alluvial and morainic deposits.

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Figure 6-4: Map of the geological sections of Uchucchacua Unit and surroundings.
Source: (Buenaventura, 2021)

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LU

ORI
RO

PL

Figure 6-5: Local Geological Map (Uchucchacua Mine).

Source: (BISA, 2018)

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6.3 Structural Geology

Excerpted from BISA, 2018

The polymetallic mineralization of Uchucchacua mining district is located in a morphostructure

known as the Marañon Thrust and Fold Belt (Megard, 1984) that affects the Mesozoic units of the
western Peruvian basin (Chicama Formation, Goyllarisquizga Group and Cretaceous calcareous
units), extending from southern Huancavelica to the north of Cajamarca. Chonta fault is the main
structural control that forms the eastern boundary of the western Peruvian basin. Chonta fault
activity and folding of Mesozoic units occurred in different stages from the Upper Cretaceous to the
Miocene (Scherrenberg, 2008, Rodriguez, 2008). A geology map with the main structural elements
is provided as ¡Error! No se encuentra el origen de la referencia..

Figure 6-6: Geology of Uchucchacua Mine mapped at 1:2 000 scale by BISA (2017), highlighting
the main structural elements mapped and interpreted.
Source: (SRK, 2017)

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Deformation events
SRK interprets that three deformation events affected the Uchucchacua Mine sector Table 6-1.
Additional pre-deformation deformations are recognized locally.

Table 6-1: Summary of deformation events interpreted in relation to the mineralizing event at
Uchucchacua Mine.

Source: (SRK, 2017)

The main structural elements of Uchucchacua Mine that have been mapped or interpreted by SRK
are the following (SRK, 2017):

NE-SW Trending Faults

The Cachipampa-Socorro structural corridor is interpreted to have been the main conduit for
hydrothermal fluids during the mineralizing event, as well as the main magmatic conduit that guided
the emplacement of subvolcanic intrusions.

Cachipampa Fault has been mapped by INGEMET up to 6 km NE of the mapping area detailed by
BISA. The SW projection of the regionally mapped Cachipampa Fault partially coincides with
Cachipampa Fault and Socorro Fault as mapped at Uchucchacua mine.

Gina Socorro Fault represents the highest grade section within the Cachipampa-Socorro structural
corridor. The Gina-Socorro Fault is currently interpreted as a connector between Cachipampa and
Socorro faults, but Gina-Socorro has not been identified at surface (¡Error! No se encuentra el
origen de la referencia.).

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Figure 6-7: A) Geology of Uchucchacua Mine mapped at 1:2 000 scale by BISA (2017); B) NW-
SE tilted section perpendicular to Cachipampa-Socorro structural corridor, and Ag>25
oz/t.
Source: (SRK, 2017)

NW-SE Trending Faults

EW to NW-SE oriented high-angle faults and veins are common, while low-angle faults and veins
occur rarely in outcrops above the Uchucchacua Mine. NW-SE trending mineralized veins and
faults such as 3A and 4A veins in the Huantajalla zone are not well represented in surface outcrops.
SRK interprets the Rosa fault, EW trending, as part of the NW-SE trending fault set.

Shear zones

The zone interpreted as the East Shear Zone coincides with the regional topographic peak, and is
characterized by a spaced and well-defined NNW-SSE oriented cleavage. This zone is 150 to 530
meters wide and lies west of the Cachipampa syncline-anticline pair. Stereographic projections of
bedding plane poles and foliation plane poles in the shear zone reflect the same asymmetric fold
pattern, suggesting that the foliation represents older ductile shear than the Cachipampa syncline-
anticline. The shear zones plausibly have increased permeability due to cleavage.

Low-Angle Faults

NW-SE trending low-angle faults are interpreted to represent slip planes parallel to the bedding.
Buenaventura mine geologists have interpreted reverse displacement of approximately 30 m along
a low-angle fault. SRK observed evidence of reverse and normal displacement along the same
low-angle fault in a surface outcrop in Huantajalla zone.

The major fault architecture is depicted in ¡Error! No se encuentra el origen de la referencia..

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Figure 6-8: Uchucchacua major fault architecture.

Source: (BISA, 2018)

6.4 Mineralization
Excerpted from BISA, 2018

Uchucchacua is a polymetallic deposit associated with replacement bodies and veins. Its
mineralization (Ag, Zn, Pb, Fe and Mn) is located in a sequence of carbonate rocks of the Upper
Cretaceous Jumasha Formation.

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The mineralization processes at Uchucchacua have been complex and multiple, therefore its
mineralogy is unusually varied. Among the main mineral groups are: Oxides, Silicates,
Carbonates, Sulfides and Sulfosalts. Among the main ore minerals, we have: Galena, Proustite,
Argentite, Pyrargyrite, Native Silver, Sphalerite, Marmatite, Jamesonite, Polybasite, Boulangerite,
Chalcopyrite, Covellite, Jalpaite, Stromeyerite, Golfieldite. Gangue minerals include Pyrite,
Alabandite, Rhodochrosite, Calcite, Pyrrhotite, Fluorite, Psilomelane, Pyrolusite, Johansonite,
Bustamite, Arsenopyrite, Marcasite, Magnetite, Stibnite, Quartz, Orpiment, Realgar, Benavidesite,
Tephroite and Gypsum. Thin sections of mineralization are shown in ¡Error! No se encuentra el
origen de la referencia..

Figure 6-9: Thin sections of mineralization at Uchucchacua.

Source: (BISA, 2018)

A paragenetic sequence for the mineralization at Uchucchacua is portrayed in ¡Error! No se

encuentra el origen de la referencia..

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Table 6-2: Paragenetic sequence for the Uchucchacua vein and replacement deposit (except
endoskarn minerals).

Source: (Bussell, et al., 1990)

The style of mineralization, in general, is given by fracture filling and metasomatic replacement.
Figure 6-10 shows the setting of mineralized structures and the zoning existing in the mine.

It is important to mention that the silver mineralization with base metals is mainly embedded in
rocks of the Jumasha Formation middle member, and occurs in different styles:

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x Socorro Zone: mineralization mainly in the form of veins.

x Carmen Zone: veins and bodies in the form of replacement chimneys and mantles.
x Huantajalla Zone: veins and replacement chimneys
x Plomopampa zone: veins
x Lucrecia Zone: replacement bodies and veins

6.5 Hydrothermal alteration

Excerpted from Buenaventura, 2021

The alteration halo surrounding the mineralized bodies by replacement and vein filling is restricted
to a few centimeters and in some cases cannot be distinguished. For this reason, it is necessary
to observe the veining of hydrothermal calcite, which, due to its intensity and composition
determined by fluorescence, is one of the most important guides in the exploration of this type of
deposits.

Fluorescence, in the case of hydrothermal calcite, is caused by the interaction of ultraviolet light
with the different elements contained in the calcite structure, and this depends on its relative
distance to the mineralized body or vein.

If we start in a point of fresh limestone with presence of non-fluorescent (NF) calcite, as we get
closer to a vein or mineralized body (zone of higher temperature), calcite veins show a white (W)
fluorescence due to the presence of beryllium, from there it changes to a yellow (Y) fluorescence
because of the phosphorus, then to a light green (LG) fluorescence due to the presence of
magnesium, and finally to an orange-red (OR) fluorescence caused by the presence of
manganese.

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Figure 6-10: Calcite fluorescence.

Source: Escalante et, al. (2002)

SRK performed (SRK, 2017) an infrared light spectrometry analysis of all outcrop samples
collected by BISA and SRK. The results show that the alteration of calcite to Fe carbonate (siderite
or ankerite) is controlled by NE-SW and NW-SE trending structures.

The sampling has not been representative of Lucrecia, Socorro, Carmen, and Plomopampa
zones, however, the structural control of alteration to Fe carbonates is recognized along the
Camucha Vein and Cachipampa Fault. Apparent discontinuity in these zones is probably the
result of the sampling pattern.

Ankerite is abundant in the northern sector of Casualidad Skarn Zone. It is unclear whether this
abundance of ankerite is due to hotter fluids related to the emplacement of quartz-feldspar-biotite
porphyritic (QFBP) dikes or whether the ankerite is lithologically controlled by the Celendín
Formation.

In Huantajalla Zone, the siderite is strongly controlled by Candelaria and Plomopampa faults.

The depth of localized infrared light absorption at approximately 2200 nm serves as a proxy for
the abundance of sericite-clay type alteration minerals.

Areas of deep absorption at 2200 nm are observed in Casualidad Skarn zone, along the Sandra
vein, above Huantajalla chimney, above the eastern Hunatajalla dendritic system, and along the
strands of Noemi vein. Intermediate absorption zones at 2200 nm occur along and within the
Cachipampa-Socorro structural corridor and in Lucrecia Zone. Visible hydrothermal alteration
features around the dacitic intrusive of Casualidad mine and Carmen mine occur as a
development of coarse-grained marble with little or no Garnets, Pyroxenes (Johansonite),
Pyroxenoids (Bustamite) and moderate to weak Silicification, with occasional supergene
alteration.

6.6 Deposit Types

Excerpted from Buenaventura, 2021

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Uchucchacua is a polymetallic epithermal deposit of veins (fracture filling) and metasomatic

replacement, emplaced in carbonate rocks of the Jumasha Formation. Mineralization is complex,
occurring in multiple stages or pulses, controlled by well-defined vein structures, replacement
bodies or shoots and skarn (Figure 6-11).

Carbonate replacement deposits (CRD) related to intrusives are an important global resource for
base metal production; these deposits present a variety of manifestations ranging from Pb-Zn-Cu
skarns, to polymetallic replacement bodies in carbonate rocks with Pb-Zn-Ag, to distal skarns with
Pb-Zn-Ag-Mn.

In Peru, these deposits are generally associated with Miocene calc-alkaline intrusions resulting
from the subduction of the oceanic plate under the continental plate. They show a zoning pattern
characterized by Cu±Au±Ag in the higher temperature core grading towards Pb-Zn-Ag and Mn
zones in the distal low-temperature epithermal parts of the hydrothermal system. Uchucchacua
is an excellent example of the latter manifestation.

Although the deposits at Uchucchacua have many features in common with other skarn-
associated Zn-Pb deposits, they possess a combination of important distinguishing features
(Bussell et al. 1990):

1. Minerals have unusually high Ag values.

2. The mineral assemblages are enriched in Mn, which can be considered to indicate Mn
enrichment in the late stage of the Pb-Zn skarn series. The main mineralization took
place at lower temperatures compared to other similar deposits and developed at low
temperatures towards the end of a skarn hydrothermal system.
3. The fluid was polygenetic with a significant contribution of brines mixed with hot meteoric
and (probably) magmatic waters.
4. It is uncommon to find a closed systematic association of the mineralization in contact
with the intrusive. Mineralization develops by fissure filling and limestone replacement
along fractured rock zones.

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Figure 6-11: Diagram showing the type of deposit at Uchucchacua mine.

Source: (Buenaventura, 2021)

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7 Exploration
The district of Uchucchacua covers more than 40,000 ha of mining concession, where District
and Regional Exploration activities have been developed since the 70s presenting zones with
potential mineralization of porphyry Cu (Mo) - Cu(Au) type, polymetallic skarn, CRD-Ag and
Veins-Ag.

The district hosts the Uchucchacua Mining Unit; this deposit is one of the main silver deposits in
Peru, with a historical production of 25MTM @ 15.5 oz/t Ag, equivalent to 300M oz Ag fines
recovered (from 1975 to 2020) in 45 years of mining operation. It is characterized by the presence
of bonanza veins and bodies with high Ag content and subordinate values of Pb, Zn and Cu.

7.1 Exploration Work (Other Than Drilling)

7.1.1 Geological Mapping
Explorations carried out over the last 6 years near Uchucchacua Mine have led to the discovery
of the Yumpag deposit, located 5km NE of the Uchucchacua (¡Error! No se encuentra el origen
de la referencia.), where a 1:2000 scale mapping, sampling, 59,400m of diamond drilling, and a
2.4km ramp development were carried out (Buenaventura, 2021).

7.1.2 Petrology, Mineralogy, and Research Studies

Some studies carried out in Uchucchacua are:

x Mineralogical study reports prepared by BISA in 2003, 2007, 2009, 2011;

x Mineralogical and petrographic analysis carried out by BISA in 2006, 2008 and 2009.
Mineralogical studies, by X-ray diffraction (XRD), chemical analysis by X-ray
fluorescence (XRF), carried out by BISA in 2007 and 2008.
x Mineralogical and petrographic study, scanning electron microscopy studies, XRD
mineralogical analysis and XRF chemical analysis by BISA in 2009, 2012, 2013, 2014.
x Mineralogical study with scanning electron microscopy study in 2010 and 2011. Study of
fluid inclusions 2012 and 2013.

7.1.3 Significant Results and Interpretation

SRK notes that the property is not at an early stage of exploration, and that results and
interpretation from exploration data is generally supported in more detail by extensive drilling and
by active mining exposure of the orebody in multiple underground works.

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Figure 7-1: Location of the Uchucchacua Mining District, and Yumpag Prospect.
Source: (Buenaventura, 2021)

7.2 Exploration Target Areas

7.2.1 Yumpag Project
Excerpted from Buenaventura, 2021

At Uchucchacua, at the confluence of Colquicocha and Cachipampa faults (¡Error! No se

encuentra el origen de la referencia.)at the end of the Oligocene, at the beginning of the
Quechua 1 tectonic phase, different dacitic porphyry stocks have been emplaced generating Pb-
Zn-(Cu) skarns whose zircon U/Pb ages range from 26.68 ± 0.34Ma (Luz stock) to 25.08 ± 0.21Ma
(Oeste stock), which confirm a U/Pb age obtained by Bissig et al (2008) of 25.28 ± 0.44Ma
(Sandra dike). This is almost contemporaneous with the emplacement at Yumpag of the 27.97±
1.1Ma barren microdiorite laccolith channeled by the Cachipampa fault, which is the main
structure of the mining district from a mineralization point of view. It is a large trans-Andean,
crustal fault, N40 strike, and is the control of mineralization at both Uchucchacua and Yumpag.

In Yumpag, it is associated with multiple R-type N60 tension structures of dextral strike and other
R1-type E-W structures, more sinistral, which allowed the emplacement of veins and mineralized
bodies, Camila is the most important as it hosts the mineralization recognized thus far. However,
there are structures on the surface, such as Natalia, Lili, Tomasa, Elena, Sara, Condor, Luzmila-
Zarela, which shows signs of having channeled mineralizing fluids, and as such, will constitute
the main drilling targets for future campaigns (¡Error! No se encuentra el origen de la
referencia.).

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Figure 7-2: Location of the main structures (Camila) in Yumpag Target

Source: (Buenaventura, 2021)

At Uchucchacua, most of the mineralization is located in limestones of the Middle Jumasha, so it

was considered the host of mineralization in the District. However, at Yumpag, the Camilla Body
mineralization is located in an Upper Jumasha horizon, breaking this paradigm. The development
of stratigraphic columns (sequence stratigraphy) and microscopic calcareous facies studies has
defined the prospective Beta horizon, which hosts 90% of Camila mineralization; it is
characterized by intercalations of clean mudstone-wackestone limestones with foraminifera and
shell fragments and massive black marly, nodular marly limestones, bioclastic packstone. The
gastropods Horizon has also been identified, which hosts the ore of Tomasa structure and part of
Camila and is characterized by limestones of nodular aspect with the presence of foraminifera
and thick centimetric gastropods.

At Yumpag, the Camilla Body’s mineralization rises along trans-Andean trending subvertical
faults, developing in the βeta and Gastropod horizons of the upper Jumasha, and characterized
by a distal halo with high Ag-Mn values to the northeast grading into a hot core with Zn-Pb-(Cu)
to the southwest as the structure advances southwest in plunge direction; the source is not yet
known, but is presumed to lie beneath the Casapalca cover in the highland plain between
Uchucchacua and Yumpag. (¡Error! No se encuentra el origen de la referencia. and ¡Error!
No se encuentra el origen de la referencia.)

In the Yumpag deposit, the Camila Body is the main structure identified so far.

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Figure 7-3: Uchucchacua – Yumpag geological section

Source: (Buenaventura, 2021)

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S S

Figure 7-4: Mineralization in Camila structure (Yumpag)

Source: (Buenaventura, 2021)

7.3 Exploration Drilling

Over the last few decades, exploration using diamond drilling has been carried out at Uchucchacua
to follow the continuity of the main mineralized structures; drilling has also been conducted in the
surrounding area to locate new targets (¡Error! No se encuentra el origen de la referencia.). In
summary, exploration activities have been carried out at Uchucchacua with 5,946 drill holes for a
total of 833,754.10 meters drilled.

In the case of Yumpag, 59,400m of diamond drilling has been carried out.

Table 7-1: Summary of Drilling campaigns in Uchucchacua-Yumpag since 1997

Number of Metres
Year Tipo 1 Operator
Drillholes Drilled (m)
1997 DDH Buenaventura 44 4,599.01

1998 DDH Buenaventura 46 4,240.37

1999 DDH Buenaventura 81 11,062.75

2000 DDH Buenaventura 137 16,999.56

2001 DDH Buenaventura 171 18,444.42

2002 DDH Buenaventura 185 22,649.27

2003 DDH Buenaventura 232 19,569.79

2005 DDH Buenaventura 7 389.85

2006 DDH Buenaventura 136 17,023.48

2007 DDH Buenaventura 209 25,701.20

2008 DDH Buenaventura 369 46,511.34

2009 DDH Buenaventura 325 47,708.94

2010 DDH Buenaventura 364 47,013.85

2011 DDH Buenaventura 360 46,647.61

2012 DDH Buenaventura 321 51,613.80

2013 DDH Buenaventura 310 42,977.15

2014 DDH Buenaventura 287 44,927.61

2015 DDH Buenaventura 271 42,804.00

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Number of Metres
Year Tipo 1 Operator
Drillholes Drilled (m)
2016 DDH Buenaventura 349 53,394.75

2017 DDH Buenaventura 470 71,108.31

2018 DDH Buenaventura 481 95,438.13

2019 DDH Buenaventura 446 57,217.45

2020 DDH Buenaventura 228 30,145.76

2021 DDH Buenaventura 117 15,565.70

Total 5,946 833,754.10

Source: Buenaventura

7.3.1 Drilling Surveys

Buenaventura’s survey department is responsible for surveying the collar locations using a total
station or a differential GPS instrument. Upon completion, a monument is used to mark the collar
location.

7.3.2 Sampling Methods and Sample Quality

Core size is either NQ or HQ.Prior to splitting; samples are selected for density measurements,
Terraspec (Pima), point load testing and petrography.

Core samples are cut or split into two equal parts using diamond saws or splitters. One half of the
core is sent for analysis and the other half is retained in the core box.

7.3.3 Downhole Surveying

Buenaventura downhole surveys holes using a Reflex (magnetic) survey instrument or a
gyroscope, which may also be used to validate the Reflex measurements.

SRK observed that the measurements were conducted every 70-90 m. Vertical drillholes (90°) with
depths of less than 50 m are not downhole surveyed.

7.3.4 Geological Logging

All the cores were logged with the supervision of the Uchucchacua Geologists. All the information
is collected through GVMapper software, with a customized library of lithology, alteration and
mineralization codes. This data is then imported to AcQuire.

7.3.5 Diamond Drilling Sampling

Core samples are collected in trays and marked to indicate the drill hole ID and core blocks are
inserted to mark the depths of the start and end of each run.

The drill core recovery is appropriate, generally over 95%. A symmetrical line is drawn along the
core for the cutting.

The drillhole intervals are marked and sampled by Uchucchacua’s Geologist. The samples have
variable length (minimum: 0.3 m and maximum: 1.5 m). The sampling procedure of Buenaventura
considers the following:

x Each core section is marked by small wooden blocks.

x The recovery is measured in each section.

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x A sampling card is completed for each sample. The sampling cards have two parts: one
part is used when sending the sample to the laboratory, and the other segment remains in
the core box.
x A unique sample value is assigned to each sample. This allows its identification throughout
the sampling process, assay and validation processes (in case of duplicates).
x A photographic record of each drillhole section is kept.
x The collection of the geological information is conducted in a detailed logging form.
x The core is cut by using an electric saw.
x Samples are divided in two halves: one of them is sent to the laboratory for assay, and the
other one is stored in the box.
x Blank, standard and duplicate samples are inserted systematically.
x Samples are packed in sacks (with the corresponding coding) and sent to the laboratory.
All the samples arrive at the laboratory with a list that has been generated by the geology
department, which describes the sample quantity and the assay type.
x Pulps are returned to the laboratory and stored by the Geology team.
SRK is of the opinion that the core recovery and sampling are appropriate for resource estimation
purposes.

7.3.6 Drilling Type and Extent

Drilling throughout the project is mainly diamond drilling and has variable azimuth and inclinations.

7.3.7 Drilling, Sampling, or Recovery Factors

The drill core recovery is appropriate, generally over 95%. SRK is not aware of any material factor
of the drilling that might affect the results.

7.3.8 Drilling Results and Interpretation

SRK used the available geological and drill hole data to review geological models.

The procedures used by the Uchucchacua team for drilling, logging, drillhole sampling, and
information gathering are appropriate and follow the best practices of the international codes.

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8 Sample Preparation, Analysis and Security

The procedures for sampling, sample preparation, analysis and quality control for mining channels
and diamond drilling samples are described in this section.

8.1 Uchucchacua Mine

8.1.1 Sample Preparation Methods and Quality Control Measures

Sampling
Sampling is performed under the supervision of the ore control and/or field geologist. The core is
removed from the core barrel at the drill rig and placed into core boxes and transported to the
logging facility at the end of each drilling shift.

Drillhole sampling is performed at the core storage facility located in the mining unit. Prior to
sampling, the core is cut lengthwise into two halves by an automatic core saw, following the cutting
line that has been marked by the geologist. The cut core is placed back in the core box. Next, the
core boxes are placed on the sampling tables in an orderly fashion. Sampling is done at intervals
no less than 0.3m. Each sample ticket has three tags, and the sample interval and QA/QC codes
are noted on the ticket. Two sample tags and one half of the sawn core sample are placed in a
polyethylene bag, and the other tag is stapled to the outside of the polyethylene bag. The other
half of the sample remains in the core box. After completing the sampling of each drill hole, samples
are placed in large sacks for their transportation to the internal laboratory or sent to the external
laboratory.

The channel sampling is performed in the mine with the following steps: The sampling area is
washed, and the channels are located by measuring their distance from a reference point and then
marking their location with red paint. Then, the individual channel samples are delimited and
marked. The channel samples have a minimum thickness of 0.1m and minimum sample length of
0.3m and are collected with a sledgehammer and chisel. Subsequently, the fragments are placed
in the sampling bag and the sample is tagged, bagged, and sealed. Finally, the samples are placed
in sacks and transferred to the sample preparation internal laboratory.

For density sampling, representative samples based on geology and mineralization units are
selected.

Density core samples have a length of 15 to 20 cm and are taken at 5 m intervals along the drillhole
regardless of whether it is a mineralized zone. The samples are wrapped in plastic film and then
tagged. The geologist creates a database with all tagged samples collected and this information is
sent to the geology database manager and subsequently recorded on the density sample form.
The technician in charge of density measurement, photographs the sample outside the core box
and then it is sent to the internal or external laboratory for density determination. Once the results
are obtained, the samples are saved in their respective locations, the results are uploaded to the
database and the reports are stored.

In mining channels density sampling, the geologist determines the sampling plan, including the
tentative location and sampling frequency. The sampling personnel collect the samples from the
mineralized structure or gangue, the samples must be representative, intact and compact and have
15 to 20 cm of length. The sample is wrapped in a plastic film and placed in a sampling bag where
is tagged indicating the level and location. Later, these samples are placed in a wooden container

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to keep them intact and tidy. The responsible geologist will create a database of the collected
samples and send the information to the geology database administrator. The samples are sent to
the internal or external laboratory for density determination.

Sample Preparation
Uchucchacua Internal Laboratory performs the following sample preparation processes (Figure):
First, the tagged samples are received and placed in trays. The samples are dried in the drying
oven at a temperature between 60°C - 100°C. Subsequently, samples are transported to the
crusher, which was previously cleaned by crushing a barren material such as quartz. The sample
is crushed until 90% passing -10 mesh (2 mm). Then, the samples are homogenized by using the
Jones riffle splitter, and are reduced through successive divisions until obtaining a sample of
approximately 400 g. Later, the pulverizing equipment and discs are cleaned using barren quartz
sand and compressed air. Samples are pulverized until 95% passing -140 mesh (106 µm). Finally,
the pulverized sample is divided into two subsamples of 200 g each, one of them is sent for
chemical analysis and the other will be stored as pulp to be returned to the geology department for
storage.

The Certimin Laboratory (current external laboratory) performs the following sample preparation
processes: The supervisor receives, orders and check the samples (quantity, state of containers,
codes) according to the analysis request. After that a batch code is created, and the data described
in the service request is entered. Later, the samples are weighed and registered in the LIMS
(Laboratory Information Management System) and/or in a weighing format. Then, the samples are
dried at a temperature of 100°C +/- 10°C, 60°C +/- 10°C, or according to the client's request.
Subsequently, the samples have a primary crushing to better than 90% passing a 1/4" mesh
(6.3 mm). After that, the samples have a secondary crushing to better than 90% passing # -10
mesh (2 mm). Then, the samples are split using a riffle splitter to obtain a sample weight of 200 to
300 g. (The rest of the sample is stored as reject). Later, the samples are pulverized until 85%
passing -200 mesh (75 µm). Finally, the laboratory reviews the results of the internal quality control
in the sample preparation and if the results are satisfactory, the pulp is retained for the respective
chemical analysis.

Density samples preparation includes the following processes: First, the electronic balance is
calibrated, then the weight of the initial sample is taken. The samples are placed in the drying oven
at a temperature of 105°C. The samples are weighed every 30 minutes until a constant weight is
obtained (thus obtaining the drying time). Buenaventura uses the wax-coated water immersion
method (paraffin method) to determine density in the geological units. In argillic areas with crumbly
material or in highly fractured areas, the density will be determined using the pycnometer.

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Figure 8-1: Sample Preparation Diagram

Source: Buenaventura - Sampling Manual, 2020

8.1.1.1 Chain of Custody

The chain of custody is supervised by mine geologists and consists of the following procedure:
Samples are grouped in consecutive order and placed into sacks, then they are transported to the
Internal Laboratory, where the dispatch order is provided (which includes the analysis method to
be used, sample quantity, etc.) and the receipt of samples is entered in the database.

In case of deliveries outside the mining unit, constant communication with the shipper is required
to monitor the sample transfer, and custody personnel will be available in the transport unit. After
the delivery of the samples to the external laboratory, the sample submission and the chain of
custody forms will be provided, and these documents shall be signed by the person responsible
for receiving the samples. The results are issued by the laboratory through digital reports and are
received by the database administrator of the mining unit, who will validate that information.

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8.1.2 Sample Preparation, Assaying and Analytical Procedures

The samples from Uchucchacua have been analyzed at the onsite Uchucchacua Internal
Laboratory (UCHLAB), and at the external laboratories CERTIMIN and ALS, as summarized in the
Table 8-1:

Table 8-1: Distribution of samples analyzed according to laboratory and period:

1963- 2007- 2013- Total
Laboratory Sample Type 2017 2018 2019 2020 2021
2006 2012 2016 Samples
Mine Channel 45,573 58,053 52,352 24,296 19,388 6,102 1,708 1,341 208,813
UCHLAB
Core 13,947 58,863 30,625 9,502 17,839 18,058 7,361 2,942 159,137

ALS Drillholes - - - - - - 442 - 442

CERTIMIN Drillholes - - - - - - 505 1,179 1,684

Total 370,076
Source: SRK, 2021

Uchucchacua Internal Laboratory is located in the Uchucchacua Mining Unit (Lima, Oyón
province), and has ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certifications.

Samples sent to the External Laboratory ALS (Peru) are chemically analyzed at the main
headquarters located in Lima (ALS Lima). This laboratory is internationally recognized and has
ISO/IEC 17025:2017 certification.

The samples sent to the External Laboratory CERTIMIN (Peru) are chemically analyzed at the
main headquarters located in Lima. This laboratory is recognized and has ISO 9001:2015, ISO
14001:2015, and ISO 45001:2015 certifications.

Both laboratories (ALS, Certimin) were and are independent of Buenaventura.

8.1.3 Sample Analysis

The Uchucchacua’s Internal Laboratory performs the following sample analysis processes:

x Samples are received and weighed.

x For total gold analysis (FAAAS), samples are melted, cupellated, and then subjected to
gravimetric analysis.
x For samples tested for multiple elements, wet digestion of samples and instrumental
analysis are performed: Ag (AASR) / Pb (AASR) / Zn (AASR) / Fe (AASR) / Mn (AASR).
x If the results obtained comply with laboratory quality control standards, the assay certificate
is prepared and issued.
The analytical procedures followed by the current laboratories are shown in Table 8-2 and Table
8-3.

Table 8-2: Analytical methods used in the Internal Laboratory of Uchucchacua

Element Method Lower limit Upper limit Method description
Fire Assay - Atomic Absorption
Au FAAAS 0.016 ppm 20 ppm Spectroscopy finish
Ag 0.02 oz/t 1,000 oz/t
Pb 0.008% 100% Atomic Absorption Spectroscopy
Zn AASR 0.002% 100% - Aqua regia digestion
Fe 0.02% 100%
Mn 0.009% 100%
Source: SRK, 2021

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Table 8-3: Analytical methods used in the External Laboratory CERTIMIN

Element Method Lower limit Upper limit Method description
IC-EF- Fire Assay - Atomic Absorption
Au 0.005 ppm 10 ppm
01 Spectroscopy finish
Ag 0.1 ppm 100 ppm
10,000
Pb 0.5 ppm
ppm
Multielemental Analysis –
IC-VH- 10,000
Zn 0.5 ppm ICP-OES, ICP-MS –
88 ppm
Four Acid Digestion
Fe 0.01% 15%
10,000
Mn 2 ppm
ppm
Ag 10 ppm 1,000 ppm
Multielemental Analysis
Mn IC-VH- 0.01% 50%
AAS -
Pb 15 0.01% 30%
Aqua regia digestion
Zn 0.01% 30%
IC-EF- 10,000
Ag 100 ppm Fire Assay - Gravimetric finish
15 ppm
Source: SRK, 2021

8.1.4 Quality Control Procedures/Quality Assurance

Quality Assurance and Quality Control (QA/QC) procedures included the insertion of blank control
samples, duplicates and standard reference materials to monitor sampling, sample preparation and
analytical processes.

Insertion Rate
No control samples were utilized in early drilling and channel sampling, representing about 46% of
the total sample population. Buenaventura initiated a QAQC program inserting control samples in
drillholes (2013-2021) and channels (2007-2021). In these subsequent programs, the controls
sample insertion program performed on channel and drill hole samples present an overall insertion
rate of 24.8 % and 16.1 %.

The Table 8-4 summarizes the insertion rate by sample type, period and laboratories.

Table 8-4: Uchucchacua control sample insertion ratio.

# Blanks Duplicates Standard # Insertion

Sample Rate
Period Laboratory Primary Control
Type # (%) # (%) # (%)
samples Samples (%)
1963-2006 Channel UCHLAB* 45,536 No control samples were inserted
1997-2012 Drill hole UCHLAB* 70,812
Total 116,348
2007-2021 Channel UCHLAB* 163,277 14,331 8.8% 18,669 11.4% 7,558 4.6% 40,558 24.8%

Sub Total Channels 163,277 14,331 8.8% 18,669 11.4% 7,558 4.6% 40,558 24.8%

2013-2021 Drill hole UCHLAB* 88,319 4,262 4.8% 5,637 6.4% 4,428 5.0% 14,327 16.2%

2020** Drill hole ALS 442 17 3.8% 16 3.6% 18 4.1% 51 11.5%

2020-2021 Drill hole CERTIMIN 1,684 77 4.6% 65 3.9% 85 5.0% 227 13.5%

Sub Total Drillholes 90,445 4,356 4.8% 5,718 6.3% 4,531 5.0% 14,605 16.1%

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(*) UCHLAB: Uchucchacua Internal Laboratory

(**) In 2020, control samples have not been inserted in the drill hole samples as in previous years. Buenaventura states
that this was due to circumstantial issues related to the pandemic during that year.
Source: SRK, 2021

8.1.5 Evaluation of Control Samples

To evaluate control samples (QC), SRK has applied the following criteria:

1. To evaluate contamination (blank samples), SRK considers the presence of blank samples
with assay results exceeding 10 times the lower limit of detection (10 x LLD). The limit
acceptable by SRK is 90% of samples under 10 x LLD;
2. To evaluate accuracy (standards), SRK uses the limit conventionally accepted by the industry
which is, all standard control samples outside the range of Best Value (BV) ± 3 Standard
Deviation (SD), or adjacent samples between the limits of BV+3SD and BV+2SD, or between
BV-3SD and BV-2SD, are considered as samples outside the acceptance limits. For SRK, 90%
of samples must be within the acceptance limits; and
3. To evaluate precision (duplicates), SRK compares and applies the HARD index (half of the
relative absolute difference) to each original-duplicate sample pair. SRK considers acceptable
the precision evaluation, as follows:
a) For twin samples, the acceptable HARD value is < 30%.
b) For coarse duplicate samples the acceptable HARD value is < 20%.
c) For duplicate pulp or check assay samples the acceptable HARD value is < 10%.

The observations found during the QC analysis are summarized in the Table 8-5.

Table 8-5: Observations found in the QC analysis

Sample
Laboratory Period QC Type Findings
Type
Blank results for Pb are within the acceptance
2008- limits for SRK. Ag, Zn, Fe and Mn results for
Blank
2021 blanks UCBLK01 and UCBLKF01 (prior to
2017) and are not at acceptable limits for SRK.
Pb accuracy is within acceptable limits. Ag and
Zn accuracy are poor. The results obtained in
the following standards have low percentage of
2009- acceptance: UCH-04 (Ag, Zn), UCH-05 (Zn),
Standard UCH-06 (Ag, Zn), UCH-09 (Zn), UCHA-03 (Ag),
2021
Drillholes and are not at acceptable limits for SRK.
The bias is acceptable, with a slight negative
trend in the bias for Pb and Zn.

UCH LAB Results for Mn and Fe shows a good precision.

But in Pb and Zn the precision is poor for fine
and coarse duplicates, and in field duplicates
2007-
Duplicate the results are acceptable. Ag precision is poor
2021
for fine duplicates, but in coarse and field
duplicates the results are within acceptable
limits.
Only blank results for Pb are within acceptable
2008- limits. Ag, Zn, Fe and Mn results for blanks
Blank
2021 UCBLK01 and UCBLKF01 (prior to 2017) are
Mine not at acceptable limits for SRK.
channels
2009- Pb accuracy is within acceptable limits. Ag and
Standard Zn accuracy are poor. The results obtained in
2021
the following standards have low percentage of

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Sample
Laboratory Period QC Type Findings
Type
acceptance: UCH-04 (Ag, Zn), UCH-05 (Ag,
Zn), UCH-06 (Ag, Zn), UCH-09 (Zn), UCHA-03
(Ag), and are not at acceptable limits for SRK.
The bias is acceptable, with a slight negative
trend in the bias for Pb and Zn.
Precision of the sampling, sampling
2007-
Duplicate preparation, and chemical analysis is good,
2021
within acceptable limits.
Blank There is no evidence of cross-contamination.
Ag and Pb standards results are acceptable. Zn
Standard results are very close to the acceptance limit for
SRK.
ALS 2020 Drillholes
Results for fine, coarse, and field duplicates are
within SRK’s acceptable limits, except for the
Duplicate
Mn in coarse and field duplicates, which is close
to SRK's acceptance limit.
Blank There is no evidence of cross-contamination.
Ag and Pb standards results are acceptable. Zn
Standard results are close to the acceptance limit set by
SRK.
CERTIMIN 2021 Drillholes Fine and coarse duplicate results are within the
acceptable limit. Except for Pb in field
duplicates, whose results are close to the limit
Duplicate
acceptable by SRK, except by the results
obtained at the standard UCH-05 (Zn) that is not
at acceptable limits.
Source: SRK, 2021

8.1.6 Opinion on Adequacy

SRK has conducted a comprehensive review of the available QA/QC data as part of the sample
preparation, analysis, and security review. SRK believes that the QA/QC protocols are consistent
with the best practices accepted in the industry.

In SRK's opinion, sample preparation, chemical analysis, quality control, and security procedures
partially provide unreliable data to support the estimation of mineral resources and reserves,
especially for samples analyzed at the Uchucchacua Internal Laboratory. Additionally, areas of the
resource with only historical sampling may lack any QA/QC or check sampling. Therefore, SRK
has considered the QAQC analysis results as a risk in the classification of mineral resources and
a more conservative classification of mineral resources will be made, accordingly as discussed in
Section 11.6 of this report.

The insertion of control samples to validate contamination, precision, and accuracy of the database
has been regularly performed in drillholes since 2013 and in channels since 2007. SRK has noted
that the insertion rate of control samples in channels and drillholes is adequate according to
Buenaventura’s protocol.

Based on SRK criteria for QA/QC review, the followings observations are provided:

There are no evident signs of cross-contamination in Ag, Pb, Zn, Fe and Mn blank results at ALS
and Certimin external laboratories. At Uchucchacua Internal Laboratory, acceptable results were
obtained only in blank samples for Pb and biased results were observed in drill hole and channel
blank samples for Ag, Zn, Mn, and especially Fe (Period: 2009-2016).

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Regarding precision analysis, duplicates in general have yielded good results for Ag, Pb, Zn, Fe,
and Mn, with the best results obtained at ALS and Certimin External Laboratories. Precision at
Uchucchacua Internal Laboratory for Ag, Fe and Mn is acceptable, but in Pb and Zn the precision
in fine and coarse duplicates from drill hole samples is poor.

In general, the accuracy of Ag, Pb, and Zn analyses at ALS and CERTIMIN Laboratories are
acceptable. At Uchucchacua Internal Laboratory, Ag and Zn standard results are not at acceptable
limits. SRK believes the QAQC results will have an impact on mineral resource confidence
classifications for samples from the Internal Laboratory.

SRK recommends to carefully monitor the behavior of analytical results obtained for control
samples in order to inform the internal/external laboratory of problems detected, if any, for
immediate correction.

8.2 Yumpag Mine

8.2.1 Sample Preparation Methods and Quality Control Measures

Sampling
Sampling is performed under the supervision of the exploration geologist. The core is removed
from the core barrel at the drill rig and placed into core boxes and are transported to the logging
facility at the end of each drilling shift.

Drillhole sampling is performed at the core storage facility located in the mining unit. Prior to
sampling, the core is cut lengthwise into two halves by an automatic core saw, following the cutting
line that has been marked by the geologist. The cut core is placed back in the core box. Next, the
core boxes are placed on the sampling tables in an orderly fashion. Sampling is done at intervals
no less than 0.3m. Each sample ticket has three tags, and the sample interval and QA/QC codes
are noted on the ticket. Two sample tags and one half of the sawn core sample are placed in a
polyethylene bag, and the other tag is stapled to the outside of the polyethylene bag. The other
half of the sample remains in the core box. After completing the sampling of each drill hole,
samples are placed in large sacks for their transportation to the internal laboratory or sent to the
external laboratory.

For density sampling, representative samples based on geology and mineralization units are
selected.

Density core samples have a length of 15 to 20 cm and are taken at 5 m intervals along the drillhole
regardless of whether it is a mineralized zone. The samples are wrapped in plastic film and then
tagged. The geologist creates a database with all tagged samples collected and this information is
sent to the geology database manager and subsequently recorded on the density sample form.
The technician in charge of density measurement, photographs the sample outside the core box
and then it is sent to the internal or external laboratory for density determination. Once the results
are obtained, the samples are saved in their respective locations, the results are uploaded to the
database and the reports are stored.

Sample Preparation
The Certimin Laboratory (current external laboratory) performs the following sample preparation
processes: The supervisor receives, orders and check the samples (quantity, state of containers,

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codes) according to the analysis request. After that a batch code is created, and the data described
in the service request is entered. Later, the samples are weighed and registered in the LIMS
(Laboratory Information Management System) and/or in a weighing format. Then, the samples are
dried at a temperature of 100°C +/- 10°C, 60°C +/- 10°C, or according to the client's request.
Subsequently, the samples have a primary crushing to better than 90% passing a 1/4" mesh (6.3
mm). After that, the samples have a secondary crushing to better than 90% passing # -10 mesh (2
mm). Then, the samples are split using a riffle splitter to obtain a sample weight of 200 to 300 g.
(The rest of the sample is stored as reject). Later, the samples are pulverized until 85% passing -
200 mesh (75 µm). Finally, the laboratory reviews the results of the internal quality control in the
sample preparation and if the results are satisfactory, the pulp is retained for the respective
chemical analysis.

Density samples preparation includes the following processes: First, the electronic balance is
calibrated, then the weight of the initial sample is taken. The samples are placed in the drying oven
at a temperature of 105°C. The samples are weighed every 30 minutes until a constant weight is
obtained (thus obtaining the drying time). Buenaventura uses the wax-coated water immersion
method (paraffin method) to determine density in the geological units. In argillic areas with crumbly
material or in highly fractured areas, the density will be determined using the pycnometer.

Figure 8-2: Sample Preparation Diagram

Source: CERTIMIN

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Chain of Custody
The chain of custody is supervised by mine geologists and consists of the following procedure:
Samples are grouped in consecutive order and placed into sacks, then they are transported to the
Internal Laboratory, where the dispatch order is provided (which includes the analysis method to
be used, sample quantity, etc.) and the receipt of samples is entered in the database.

In case of deliveries outside the mining unit, constant communication with the shipper is required
to monitor the sample transfer, and custody personnel will be available in the transport unit. After
the delivery of the samples to the external laboratory, the sample submission and the chain of
custody forms will be provided, and these documents shall be signed by the person responsible
for receiving the samples. The results are issued by the laboratory through digital reports and are
received by the database administrator of the mining unit, who will validate that information.

1.1.1 Sample Preparation, Assaying and Analytical Procedures

Samples from the Yumpag project have been analyzed at ALS and CERTIMIN External
Laboratories, as shown in the Table 8-6.

Table 8-6: Distribution of samples analyzed according to laboratory and period:

Sample 2009 – Total
Laboratory 2017 2018 2019 2020 2021
Type 2016 Samples
ALS Drill hole 1,143 17 2,974 4,490 136 0 8,760
CERTIMIN Drill hole 2,134 1,222 304 0 600 2,519 6,779
Total 15,539
Source: SRK, 2021

Samples sent to the external laboratory ALS (Peru) are chemically analyzed at the main
headquarters located in Lima (ALS Lima). This laboratory is internationally recognized and has
ISO/IEC 17025:2017 certification.

The samples sent to the external laboratory CERTIMIN (Peru) are chemically analyzed at the main
headquarters located in Lima. This laboratory is recognized and certified to ISO 9001:2015, ISO
14001:2015, and ISO 45001:2015.

Both laboratories (ALS, Certimin) were and are independent of Buenaventura.

1.1.1.1 Sample Analysis

The ALS External Laboratory performs the following sample analysis processes:

x Sample envelopes are received, and samples are weighed.

x For the total gold analysis (Au-AA24), samples are melted, cupellated, and then subjected
to Atomic Absorption Spectroscopy.
x For samples tested for multiple elements, samples are digested using aqua regia, then
diluted in deionized water, and analyzed by ICP-AES.
x If the results obtained comply with quality control, the assay certificate is prepared and
issued.
The analytical procedures followed by the external laboratories are shown in Table 8-7 and Table
8-8.

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Table 8-7: Analytical methods used at ALS External Laboratory

Element Method Lower limit Upper limit Method description
Fire Assay - Atomic Absorption
Au Au-AA24 0.005 ppm 10 ppm Spectroscopy finish
Ag 0.01 ppm 100 ppm Multielemental Analysis
Cu 0.2 ppm 10,000 ppm ICP-AES –
ME-MS41
Pb 0.2 ppm 10,000 ppm Four Acid digestion
Zn 2 ppm 10,000 ppm
Ag 1 ppm 1500 ppm Ore Grade Elements
Pb 0.00% 20% ICP-AES –
ME-OG46
30% Four Acid digestion
Zn 0.00%
Source: SRK, 2021

Table 8-8: Analytical methods used at Certimin External Laboratory

Element Method Lower limit Upper limit Method description
Fire Assay - Atomic Absorption
Au IC-EF-01 0.005 ppm 10 ppm
Spectroscopy finish
Ag 0.2 ppm 100 ppm
Cu 0.5 ppm 10000 ppm
Multielemental Analysis
Pb 2 ppm 10000 ppm
IC-VH-17 ICP-OES –
Zn 0.5 ppm 10000 ppm
Four Acid digestion
Fe 0.0001 0.5
Mn 2 ppm 10000 ppm
Ag 1 ppm 1000 ppm
Multielemental Analysis
Mn 0.01% 60%
IC-VH-134 ICP-OES –
Pb 0.001% 20%
Four Acid digestion
Zn 0.001% 30%
Source: SRK, 2021

8.2.2 Quality Control Procedures/Quality Assurance

Quality Assurance and Quality Control (QAQC) procedures included the insertion of blank control
samples, duplicates and standard reference materials to monitor sampling, sample preparation and
analytical processes.

Insertion Rate
No control samples were inserted in early campaigns of drilling, representing about 3.7% of the
total sample population. For the ALS laboratory, there was no sample insertion during 2009, 2010,
and 2012.

Buenaventura initiated a QAQC program by inserting control samples in drill holes (2011-2021).
The control sample insertion program performed on drill hole samples shows an overall insertion
rate of 18.6%.

The Table 8-9 summarizes the insertion rate by sample type, period and laboratories.

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Table 8-9: Yumpag control samples insertion rate.

#
# Blanks Duplicates Standard Contr
Sample Insertion
Period Laboratory Primary # # # ol
Type Rate (%)
samples (%) (%) (%) Samp
les

2009-
Drill
2010, ALS 554 No control samples were inserted
hole
2012
Sub Total 554
Drill
2011 ALS 181 4 2.2% 3 1.7% 0 0.0% 7
hole 3.9%
Drill
2014 ALS 343 19 5.5% 17 5.0% 0 0.0% 36
hole 10.5%
2014- Drill
CERTIMIN 3,660 301 8.2% 320 8.7% 84 2.3% 705
2018 hole 19.3%
2018- Drill
ALS 7,682 445 5.8% 736 9.6% 231 3.0% 1412
2020 hole 18.4%
2020- Drill
CERTIMIN 3,119 233 7.5% 297 9.5% 91 2.9% 621
2021 hole 19.9%
Sub Total Drillholes 14,985 1,002 6.7% 1373 9.2% 406 2.7% 2781 18.6%
Source: SRK, 2021

Evaluation of Control Samples

To evaluate control samples (QC), SRK has applied the following criteria:

1. To evaluate contamination (blank samples), SRK considers the presence of blank samples
with assay results exceeding 10 times the lower limit of detection (10 x LLD). The limit
acceptable by SRK is 90% of samples under 10 x LLD;
2. To evaluate accuracy (standards), SRK uses the limit conventionally accepted by the industry
which is, all standard control samples outside the range of Best Value (BV) ± 3 Standard
Deviation (SD), or adjacent samples between the limits of BV+3SD and BV+2SD, or between
BV-3SD and BV-2SD, are considered as samples outside the acceptable limits. For SRK, 90%
of samples must be within the acceptance limits; and
3. To evaluate precision (duplicates), SRK compares and applies the HARD index (half of the
relative absolute difference) to each original-duplicate sample pair. SRK considers the
acceptable the precision evaluation, as follows:
a) For twin samples, the acceptable HARD value is < 30%.
b) For coarse duplicate samples the acceptable HARD value is < 20%.
c) For duplicate pulp or check assay samples the acceptable HARD value is < 10%.

The observations found during the QC analysis are summarized in the Table 8-10:

Table 8-10: Observations found in the QAQC analysis.

Sample
Laboratory Period QC Type Finding
Type
Blank There is no evidence of cross-contamination.
Au and Pb accuracy is acceptable. But in Ag and
Zn the standards results are close to acceptable
ALS 2011-2020 Drill hole
Standard limits. The results obtained in the standards
UCH-04 and UCH-05 have 78%-85% of
acceptance, not at acceptable limits.

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Sample
Laboratory Period QC Type Finding
Type
Precision is good in the sampling, preparation
Duplicate and analysis of samples. The results obtained
are within the limit acceptable by SRK.
There is no evidence of contamination in Au, Ag
and Pb. Blank control samples result for Zn have
been acceptable except for the blank
Blank BLKYUM15-G01 (301 samples), with low
number of samples approved, out of acceptable
limits.

CERTIMIN 2014-2021 Drill hole Accuracy is within the limit acceptable by SRK.
Only the results obtained in the standard MLL-01
Standard (Ag) is not at acceptable limits.
Bias is within acceptable limits for SRK.
Results for Au, Zn, Fe and Mn shows a good
Duplicate precision. But in Ag and Pb the precision is poor
for coarse and field duplicates.
Source: SRK, 2021

1.1.2 Opinion on Adequacy

SRK has conducted a comprehensive review of the available QA/QC data as part of the sample
preparation, analysis, and security review. SRK believes that the QA/QC protocols are consistent
with the best practices accepted in the industry.

In SRK's opinion, sample preparation, chemical analysis, quality control, and security procedures
are sufficient to provide reliable data to support the estimation of Mineral Resources and Mineral
Reserves.

The insertion of control samples to validate contamination, precision, and accuracy of the database
has been regularly complied with since 2014. SRK has observed that the standard insertion rate in
drill holes should be increased according to Buenaventura protocol.

Based on SRK criteria for QA/QC review, the following observations are provided:

There are no evident signs of contamination for Au, Ag, Pb, Fe, and Mn; however, Zn showed
some issues of contamination in the 2014 - 2018 period corresponding to Certimin external
laboratory.

In the analysis of duplicates, precision has shown good results for samples analyzed at ALS
Laboratory. At Certimin external laboratory's duplicate results for Au, Zn, Fe, and Mn are
acceptable, while coarse duplicate results for Ag and Pb are not at acceptable limits.

The accuracy of Au, Ag, Pb, and Zn analyses are acceptable at the Certimin Laboratory. At ALS
Laboratory, standard results for Au and Pb are acceptable, and for Ag and Zn are close to
acceptable limits.

SRK believes potential bias in this data has limited impact on mineral resource confidence
classifications.

SRK recommends increasing the insertion rate of standard samples in drill holes to ensure a correct
accuracy analysis sorted into high, medium and low grade. SRK recommends carefully monitoring
the behavior of analytical results obtained in quality control samples to inform the external
laboratory of problems detected, if any, for immediate correction.

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9 Data Verification
9.1 Uchucchacua Mine
Buenaventura uses a systematic database program (acQuire) to store data and ensure data
integrity. Buenaventura provided the collar, survey, assay, sample, density, lithology, alteration,
and geotechnical data in editable formats (csv, xls) to SRK for verification procedures.

SRK’s data verification consists of:

x Reception of information provided by Buenaventura.

x Organizing information into a database in Microsoft Access
x Data modeling (relationships among tables)
x Construction of Samples Tracking Table (dispatch information)
x Compilation of laboratory assay reports and link with the samples database.
x Creation of occurrence table in the Assay cross validation.
x The following is validated for logging information:
o Overlapping intervals
o Negative intervals
o Intervals larger than the total depth ("Td") of the drill hole.
o Data does not extend to the Td of the drill hole.
o Incomplete collar coordinates
o Downhole Survey depths greater than the drill hole.
o Drillholes lacking downhole surveys
o Collar without Survey
o No downhole data
o Survey data deviates greater than 20 degrees (azimuth) or 10 degrees (inclination)

9.1.1 Internal data validation

Buenaventura uses a systematic database program (acQuire) that ensures data integrity and
reduces data entry errors through requirements and procedures to record data using SIGEO (BNV
internal database software) and GVMapper. A visual validation is conducted by Buenaventura's
geologist prior to data entry. However, Buenaventura does not have a documented procedure of
the database internal verification. SRK suggests developing a procedure that contains the rules for
appropriate data entry; identification of inconsistencies or errors;and corrective actions.

9.1.2 External data validation

SRK performed an external validation in early 2021, which consisted of reviewing drill hole
locations, downhole surveys, and comparing grades with the original assay certificates from their
internal and external laboratories. SRK uses data check routines to validate overlapping intervals,
negative (inverted) intervals, drill holes lacking important information such as lithology, recovery or
sampling, and lengths in logging or assays that are greater than the total depth of the drill hole.

9.1.3 Data Verification Procedures

SRK has reviewed the data provided by Buenaventura and consists of 5,973 drill holes (161,263
samples) and 93,136 mining channels (208,813 samples) totaling 99,109 collars and 370,076
samples (¡Error! No se encuentra el origen de la referencia.).

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Table 9-1: Summary of drilling information provided by Buenaventura.

Sample Type No. of Collars Total length (m) Samples

Mining channels 93,136 178,419.7 208,813

Diamond drilling 5,973 837,429.5 161,263

370,076
Total 99,109 1,015,849.2
Source: SRK, 2021

9.1.3.1 Database Validation

SRK validated the main tables of the database. The procedures applied in the database validation
and the observations found are summarized in the Table 9-2:

Table 9-2: Database validation summary

Tables Comments
SRK plotted the drillholes and channels to check their spatial location and it was
Collar verified that there are no drillholes and channels located very far away from the zone
of influence of the mine.
SRK verified that there are no collars with inverted inclination or significant variations
Survey in azimuth and inclination: Five drillholes were found with azimuth deviation greater
than 20° and 21 drillholes with inclination deviation greater than 10°.
SRK verified that the samples do not overlap in sections and that there are no
Samples samples with intervals greater than the total collar depth. All data is adequate, no
observations were found.
A total of 1,543 density samples were analyzed in SGS and ALS external laboratories
Density using the paraffin method. Certificates were provided for 73 % of the total samples.
All provided data is adequate.
SRK reviewed that there are not overlapping intervals, negative intervals or intervals
greater than the total drill hole depth, the data is adequate. It was found 1,388 drill
Lithology
holes with no lithology information; these drill holes correspond to historical
information and date from 1997-2003 and 2005-2009.
SRK checked to see if there are missing intervals of RQD information, overlapping
Recovery and intervals, intervals with RQD information greater or less than the drillhole length: SRK
RQD found 1 interval greater than the drillhole depth and 2,191 drillholes do not have
recovery information mostly for the years 1997-2000, 2001-2010 and 2011.
Source: SRK, 2021

9.1.3.2 Assay Validation

In order to perform the assay cross validation, SRK linked the database with a compilation of the
assay certificates from the laboratories (ALS, CERTIMIN and Uchucchacua) in CSV format. The
observations found are summarized in the Table 9-3.

Table 9-3: Observations found in the Assay Cross Validation

Assay Cross Validation
% Verification
Laboratory Total Samples (Database vs.
Total Database Comments
Certificate
Grades)
SRK verified
ALS 442 0.12% 94.57% of No observations found.
samples.
SRK verified
CERTIMIN 1,684 0.46% 96.79% of No observations found.
samples.

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Assay Cross Validation

% Verification
Laboratory Total Samples (Database vs.
Total Database Comments
Certificate
Grades)
Database values did not
SRK verified match the Laboratory
UCHUCCHACUA 367,950 99.43% 73.63% of Certificate for 242
samples. samples.
Total 370,076 100.00%
Source: SRK, 2021

In the cross-validation of the assay information, SRK found that certain values in the Database do
not match the Laboratory assay certificates; however, the number of these samples is insignificant
242 (0.065% of the total samples) and have no impact on the Mineral Resource Estimation. SRK
did not receive laboratory certificates for 96,878 samples (Period: 1963-2013).

9.1.4 Limitations
SRK performed the cross-validation of 94.57% of ALS Laboratory assay results, 96.79% of
Certimin Laboratory assay results, and 73.63% of Uchucchacua Internal Laboratory assay results
because the original assay certificates were not available at the time of the cutoff date of the
delivery of information by Buenaventura and/or because certificates were not available in an
appropriate format to perform the cross-validation (.CSV).

9.1.5 Opinions and recommendations on database quality

In SRK's opinion, the database is consistent and acceptable for Mineral Resource Estimation.

SRK observed that the database has an insignificant quantity of findings or minor inconsistencies,
mainly related to historical information obtained from data migration. Although a complete
reconciliation of the certificate information to the digital database could not be completed, SRK
notes that most of the current resource is supported by contemporary information that could be
compared to original certificate information. The incidence of error for the data that could be
compared was limited and deemed immaterial to the disclosure of mineral resources.

SRK recommends performing an internal database validation procedure for the Buenaventura
Database Management System (SIGEO), making a checklist of the data export process and
issuingissuance of Internal Laboratory analytical certificates for future estimations. Additionally,
SRK recommends improving the internal data management system for data auditing purposes to
ensure the availability of sufficient information for data traceability.

9.2 Yumpag Mine

Buenaventura uses a systematic database program (acQuire) to store data and ensure data
integrity. Buenaventura provided the collar, survey, assay, sample, density, lithology, alteration,
geotechnical data in editable formats (csv, xls) to SRK for verification procedures.

SRK’s data verification consists of:

x Reception of information provided by Buenaventura.

x Organizing information into a database in Microsoft Access
x Data modeling (relationships among tables)
x Construction of Samples Tracking Table (dispatch information)

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x Compilation of laboratory assay reports and link with the samples database.
x Creation of occurrence table in the Assay cross validation.
x The following is validated for logging information:
o Overlapping intervals
o Negative intervals
o Intervals greater than the total depth ("Td") of the drill hole.
o Data does not extend to the Td of the drill hole.
o Incomplete collar coordinates
o Downhole survey depths greater than the Td of the drill hole.
o Drillholes lacking downhole Surveys
o Collar without Survey
o No downhole data
o The downhole survey data deviates are greater than 20 degrees (azimuth) or 10
degrees (inclination)

9.2.1 Internal data validation

Buenaventura uses a systematic database program (acQuire) that ensures data integrity and
reduces data entry errors through requirements and procedures to record data using SIGEO (BNV
internal database software) and GVMapper. A visual validation is conducted by Buenaventura's
geologist prior to data entry. However, Buenaventura does not have a documented procedure of
the database internal verification. SRK suggests developing a procedure that contains the rules of
an appropriate data entry, the identification of inconsistencies or errors and their corrective actions.

9.2.2 External data validation

External validation was performed by SRK in early 2021, which consisted of reviewing drill hole
locations, downhole surveys, and comparing grades with the original assay certificates from their
external laboratories. SRK uses data check routines for the validation of overlapping intervals,
negative intervals, drill holes lacking important information such as lithology, recovery or sampling,
and lengths in logging or assays that are greater than the total depth of the drill hole.

9.2.3 Data Verification Procedures

SRK has reviewed the information provided by Buenaventura, which consists of 257 drill holes
(15,539 samples). (Table 9-4)

Table 9-4: Summary of drilling information provided by Buenaventura.

Sample Type No. of Collars Total length (m) Samples
Diamond drilling 15,539
257 91,792.66
15,539
Total 257 91,792.66
Source: SRK, 2021

9.2.4 Database Validation

SRK validated the main tables of the database. The procedures applied in the database validation
and the observations found are summarized in the Table 9-5.

Table 9-5: Database validation summary

Tables Comments

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SRK plotted the drillholes to check their spatial location and it was verified that there are
Collar no drillholes very far from the zone of influence of the mining project. All data is adequate,
no observations were found.
SRK verified that there are no collars with inverted inclination or significant variations in
Survey azimuth and inclination: Two drillholes were found with azimuth deviation greater than
20° and two drillholes with inclination deviation greater than 10°.
SRK verified that the samples do not overlap in sections and also if there are samples
Samples with intervals greater than the total collar depth.
A total of 268 density samples were analyzed in Certimin and ALS laboratories using the
Density paraffin method. Certificates were provided for 100% of samples. All data is adequate,
no observations were found.
SRK reviewed that all drill holes have lithology information and verified that there are no
Lithology overlapping intervals, negative intervals, intervals greater than the total drillhole depth.
All data is adequate, no observations were found.
SRK checked to see if there are missing intervals of RQD information, overlapping
Recovery and intervals, intervals with RQD information greater or less than the drillhole length, the data
RQD is adequate. Six drillholes were found to have no recovery information from 2014 year.
Source: SRK, 2021

9.2.3.2 Assay Validation

In order to perform the assay cross validation, SRK linked the database with a compilation of assay
certificates from the laboratories (ALS and CERTIMIN) in CSV. A summary of the observations
found is shown in the Table 9-6:

Table 9-6: Observations found in the Assay Cross Validation

% Assay Cross Validation

Laboratory # Samples Total Verification (Database vs.
Database Comments
Certificate Grades)
SRK verified 100 % of No observations
ALS 8,760 56.4%
samples. found.
SRK verified 100 % of No observations
Certimin 6,779 43.6%
samples. found.
Total 15,539 100.0%
Source: SRK, 2021

SRK found no inconsistencies in the cross-validation of the assay information.

SRK received laboratory certificates for 100% of samples.

9.2.5 Limitations
There were no limitations. SRK performed the cross-validation of 100% of assay results from
CERTIMIN and ALS Laboratories.

9.2.6 Opinions and recommendations on database quality

In SRK's opinion, the database is consistent and acceptable for Mineral Resource Estimation.

SRK recommends performing an internal database validation procedure for the Buenaventura
Database Management System (SIGEO), making a checklist of the data export process, and the
issuance of Internal Laboratory analytical certificates for future estimations. Also, SRK
recommends improving the internal data management system for data auditing purposes to ensure
the availability of sufficient information for data traceability.

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10 Mineral Processing and Metallurgical Testing

Ore is sourced from multiple vein systems of Uchucchacua namely Carmen, Casualidad,
Huantajalla, Cancha Superficie, Socorro Alto, Socorro Bajo. Typically, the mining operation uses
dump trucks and in a minor proportion rail cars to deliver is ore to multiple stockpiles located in the
vicinity of the primary crusher feed hopper. The stockpiles are sampled, assayed before being
selectively feed to the process using front-end loaders.

Manganese mineral (Alabandite) is pervasive in Uchucchacua’s ore and is largely deported to final
concentrates. In order to improve the value of its production, manganese is removed by acid
leaching at Rio Seco, a satellite a processing facility located in Huaral.

Uchucchacua operates a conventional concentration operation that processes polymetallic ores to

produce mineral concentrates of varying quality. The processing plant consists of two parallel
processing lines namely Circuito 1 (C1) and Circuito 2 (C2), see Figure 10-1.

Dump trucks transport the final concentrates from Uchucchacua to Rio Seco, and also from Rio
Seco to Callao Port.

Figure 10-1: Uchucchacua General Simplified Block Flow Diagram

Source: BVN

10.1 Uchucchacua Processing Performance

Uchucchacua's throughput and concentrate production are shown in Figure 10-2 and Table 10-1.
Overall, in 2017- 2020 period 4,521,233 tonnes were processed, assaying 11.84 ounces per tonne
silver, 1.39% lead, 1.99% zinc, 5.99% manganese and 6.39% iron. The overall concentrate
production reached 594,833 tonnes of concentrate, which is equivalent to 13.2% mass pull. The
Individual years’ figures are as follows:

x In 2017 the mill feed totaled 1,339,886 tonnes, assaying 14.64 oz/tonne silver, 1.33% lead,
1.78% zinc, 7.06% manganese, and 5.65% iron. The overall concentrate mass pull was
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12.5% equivalent to 167,120 tonnes. The overall metal recoveries were 88.13% silver,
91.51% lead, 66.55% zinc, 33.43% manganese, and 30.93% iron.
x In 2018 the mill feed totaled 1,347,751 tonnes, assaying 12.48 oz/tonne silver, 1.51% lead,
2.17% zinc, 6.10% manganese, and 6.71% iron. The overall concentrate mass pull was
13.6% or 183,437 tonnes. The overall metal recoveries were 87.19% silver, 92.71% lead,
81.26% zinc, 36.59% manganese, and 26.31% iron.
x In 2019 the mill feed totaled 1,335,018 tonnes, assaying 9.01 oz/tonne silver, 1.47% lead,
2.20% zinc, 4.77% manganese, and 7.20% iron. The overall concentrate mass pull was
12.3% or 164,590 tonnes. The overall metal recoveries were 87.38% silver, 93.00% lead,
79.29% zinc, 35.09% manganese, and 24.21% iron.
x In 2020 the mill feed totaled 498,578 tonnes, assaying 10.20 oz/tonne silver, 1.01% lead,
1.55% zinc, 6.03% manganese, and 5.35% iron. The overall concentrate mass pull was
16.3% or 79,686 tonnes. The overall metal recoveries were 97% silver, 94.71% lead,
81.10% zinc, 33.92% manganese, and 34.83% iron

100 % 1,600,000

90 %
1,400,000
80 %
1,200,000
70 %
1,000,000
60 %
Recovery

tonnes
50 % 800,000

40 %
600,000
30 %
400,000
20 %
200,000
10 %

0% 0
2017 2018 2019 2020

Fresh Ore tonnes Combined concentrates tonnes Rec Ag % Rec Pb %

Rec Zn % Rec Mn % Rec Fe %

Figure 10-2: Uchucchacua Annual Process Plant Performance

Source: BVN

Table 10-1: Uchucchacua Annual Processing Performance

Stream Parameter 2017 2018 2019 2020 Total
tonne 1,339,886 1,347,751 1,335,018 498,578 4,521,233
Ag oz/t 14.64 12.48 9.01 10.2 11.84
Ag oz 19,618,910 16,814,323 12,026,480 5,084,441 53,544,154
Pb % 1.33 % 1.51 % 1.47 % 1.01 % 1.39 %
Fresh Ore

Pb tonne 17,872 20,309 19,561 5,024 62,766

Zn % 1.78 % 2.17 % 2.20 % 1.55 % 1.99 %
Zn tonne 23,827 29,281 29,359 7,705 90,172
Mn % 7.06 % 6.10 % 4.77 % 6.03 % 5.99 %
Mn tonne 94,639 82,222 63,705 30,066 270,633
Fe % 5.65 % 6.71 % 7.20 % 5.35 % 6.39 %

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Stream Parameter 2017 2018 2019 2020 Total

Fe tonne 75,725 90,427 96,060 26,680 288,893
concentrate
167,120 183,437 164,590 79,686 594,833
tonnes
Mass pull 12.50% 13.60% 12.30% 16.00% 13.20%
Ag oz/t 103.5 79.9 63.9 61.9 79.7
Pb % 9.80% 10.30% 11.10% 6.00% 9.80%
Zn % 9.50% 13.00% 14.10% 7.80% 11.60%
Combined concentrates

Mn % 18.90% 16.40% 13.60% 12.80% 15.80%

Fe % 14.00% 13.00% 14.10% 11.70% 13.40%
Ag oz 17,290,040 14,659,751 10,509,216 4,931,828 47,390,836
Pb tonne 16,354 18,829 18,193 4,758 58,134
Zn tonne 15,857 23,792 23,279 6,249 69,177
Mn tonne 31,642 30,085 22,354 10,200 94,281
Fe tonne 23,418 23,790 23,254 9,293 79,755
Rec Ag % 88.13% 87.19% 87.38% 97.00% 88.51%
Rec Pb % 91.51% 92.71% 93.00% 94.71% 92.62%
Rec Zn % 66.55% 81.26% 79.29% 81.10% 76.72%
Rec Mn % 33.43% 36.59% 35.09% 33.92% 34.84%
Rec Fe % 30.92% 26.31% 24.21% 34.83% 27.61%
Source: BVN

10.2 Rio Seco Metallurgical Processing Facilities

Rio Seco processes high manganese concentrates produced by Uchucchacua. Manganese is
acid-leached to produce a polymetallic concentrate with elevated silver content and low
manganese. By-products from the main process include manganese sulfate and multiple calcium-
derived compounds, which are generated during the neutralization of solutions and gases. Rio
Seco’s main ancillary facility includes an acid plant to generate sulfuric acid for the leaching stage.
See flowsheet in Figure 10-3.

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Figure 10-3: Rio Seco Flowsheet

Source: BVN

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Production figures for Rio Seco are presented in Table 10-2 and Figure 10-4 as follows:

x The total concentrate production was 65,148 tonnes of concentrate, assaying 148 ounces
of silver, 17.6% lead, 3.7% manganese, 2% arsenic, 4.0% zinc, 21.7% iron, and 0.6%
antimony. Concentrate was trucked off site with 10.8% moisture.
x Concentrate tonnage production profile shows a consistent downward trend. In 2017
tonnage production reached 17,778 tonnes and dropped to 6,290 tonnes in 2021.
x Concentrate moisture has been consistent at approximately 10% w/w.
x Silver grade also shows a downward trend that consistent with its feed grade. In 2017
grades reached 204 oz/tonne and then consistently dropped to reach approximately 10
oz/tonne in 2020 and 2021.
x Manganese grade shows a consistent downward trend, beginning at 6.0% in 2017 and
falling to 1.4 in 2021. Throughput is one of the possible drivers of lower manganese grade
in the final concentrate.
x Zinc was not reported in 2017-2018. In 2019-2021, zinc grade averaged 4.0%.
x Arsenic was not reported in 2017-2018. In 2019-2021, the arsenic grade averaged 2.0%.
x Additional assays available for the 2019-2021 period included Fe, Ca, and Sb whose
respective averages are 21.7%, 1.7%, and 0.6%.
Table 10-2: Rio Seco Annual Processing Performance

Concentrate, Moisture
Year Ag x10oz/tonne Pb Mn Fe% Ca% As% Sb% Zn%
tone’s %

2017 17,778 11.0 20.4 16.6 6.0

2018 19,035 11.1 16.3 22.1 3.2
2019 3.7
12,561 10.9 10.4 18.2 3.0 20.7 1.7 1.8 0.6
2020 4.3
9,485 10.4 9.7 12.5 2.8 21.6 2.1 2.1 0.5
2021 4.1
6,290 9.9 10.9 13.0 1.4 23.9 1.1 2.3 0.7
Total 4.0
65,148 10.8 14.8 17.6 3.7 21.7 1.7 2.0 0.6
Source: BVN

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35 20,000
Concentrate, tonnes
Moisture
Ag x10oz/tonne 18,000
Pb
30 Mn
Fe
16,000
Ca
As
25
14,000

12,000
20

Tonnage
Grade

10,000

15
8,000

6,000
10

4,000

5
2,000

0 0
2017 2018 2019 2020 2021

Figure 10-4: Rio Seco, Processing Plant Performance

Source: BVN

10.3 Metallurgical Testing

10.3.1 Metallurgical Testing – Uchucchacua, 2021 Samples
In 2021, a total of six composites samples were obtained from current vein systems. Samples were
subjected to metallurgical testing at a commercial laboratory in Lima, Peru. The testing included
kinetics flotation and locked-cycle testing; see Figure 10-05 to Figure 10-08. Note the following
observations:

x All samples responded well to flotation testing

x Results show high-level associations of credit metals in the ore
x Manganese appears associated with lead, zinc, and arsenic.
x Gold appears associated with silver, arsenic, manganese, zinc

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100

90

80
R² = 0.13 Flot Rec Au Linear (Flot Rec Au)

70
Metallurgical Recovery

60 R² = 0.520 Flot Rec Ag Linear (Flot Rec Ag)

50
R² = 0.63 Flot Rec Mn Linear (Flot Rec Mn)
40

30 R² = 0.37 Flot Rec Zn Linear (Flot Rec Zn)

20

R² = 0.80 Flot Rec As Linear (Flot Rec As)

10

0
0.0 0.1 0.2 0.3
Head Grade Au

Figure 10-5: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Au g/t
Source: BVN

100

90

80
Flot Rec Pb
R² = 0.33
70 Linear (Flot Rec Pb)
Flot Rec Zn
R² = 0.62
Metallurgical Recovery

60 Linear (Flot Rec Zn)

Flot Rec As
50 R² = 0.82
Linear (Flot Rec As)

40

30

20

10

0
100 200 300 400 500 600 700 800 900
Head Grade Ag

Figure 10-6: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Ag g/t
Source: BVN

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100

90

80 R² = 0.23 Flot Rec Au Linear (Flot Rec Au)

70
R² = 0.30 Flot Rec Ag Linear (Flot Rec Ag)
Metallurgical Recovery

60

R² = 0.89 Flot Rec Pb Linear (Flot Rec Pb)

50

40 R² = 0.21 Flot Rec Mn Linear (Flot Rec Mn)

30
R² = 0.18 Flot Rec Zn Linear (Flot Rec Zn)
20

R² = 0.15 Flot Rec As Linear (Flot Rec As)

10

0
0.0 0.5 1.0 1.5 2.0 2.5 3.0
Head Grade Pb

Figure 10-7: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Pb%
Source: BVN

100

90

80
Flot Rec Pb
70 R² = 0.17 Linear (Flot Rec Pb)
Metallurgical Recovery

Flot Rec Zn
60 R² = 0.26
Linear (Flot Rec Zn)
R² = 0.12 Flot Rec As
50
Linear (Flot Rec As)
40

30

20

10

0
0 2 4 6 8 10 12
Head Grade Mn

Figure 10-8: Uchucchacua, Metallurgical Testing, Recovery v/s Head Grade Mn g/t
Source: BVN

10.3.2 Metallurgical Testing Yumpag

Uchucchacua executed multiple metallurgical tests on samples obtained from the existing deposits
as well as from the Yumpag project.

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Note that Yumpag project is being developed, and that currently the main focus has been on
definition drilling of the deposit.

At this time, the number of testing results for Yumpag are preliminary, limited in scope, and not
optimized; nevertheless, available results suggest amenable mineralization for the conventional
flotation concentration. Table 10-3 presents flotation results from the Flash concentrate, and the
manganese leaching results of the locked-cycled cleaner concentrate. Note the following:

x The simple average head grades for all samples are 1,758 grams per tonne, 1.13% lead,
25.9% manganese with one sample assaying 45.1% manganese and 1.7% zinc.
x Concentrate mass pull average is 16.9%, which is high for a flash concentrate and presents
room for optimization.
x Flotation recoveries averaged 77.3% Ag, 90% lead, 20.8% manganese and 23% zinc.
x Leaching of the cleaner concentrate achieved an extraction of 97.9% manganese

Table 10-3: Yumpag Metallurgical Testing 2019 Results

Lix Rec
Mass Flot Flot Flot Flot
Sample ID Ag (g/t) Pb % Mn % Zn % (Clean
Pull Rec Ag Rec Pb Rec Mn Rec Zn
er) Mn
98.9
BWEX6301 1662 1.37 32 1.85 24.5 82.9 96.2 25.6 16
99.2
BWEX6302 426 0.21 24.1 0.39 10.4 82.4 93.2 15.7 40
99.5
BWEX6303 677 2 45.1 0.46 10.5 43.3 80.2 10.4 15.3
94.4
BWEX6304 9186 1.99 19.4 4.55 14.5 79.8 88 12.4 16.6
98.5
BWEX6305 1352 0.67 33.4 0.72 14.1 81 93.2 13.1 18.5
98.4
BWEX6306 2105 1.69 23.7 3.01 21.2 87.3 94.4 25.8 15.9
99.2
BWEX6309 2083 2.7 19.7 3.68 32.7 88.2 93.7 41.6 12.5
99
BWEX6311 526 0.47 23.4 1 16.2 76 85.5 23.5 30.9
99.1
BWEX6314 851 0.22 36.2 0.62 14.1 73.4 87.2 14.9 23.1
98.4
BWEX6315 2001 1.25 26 2.61 31.1 87.6 92.7 35.4 14.2
98.5
BWEX6316 1419 2.14 15 3.34 15.9 72.6 88.5 29 11.7
98.3
BWEX6317 668 0.39 17.1 0.5 9 86.7 91.1 15.2 48.8
89.3
BWEX6318 935 0.93 10.9 1.69 8.4 90.3 91.4 10.9 34.2
99.3
BWEX6319 1402 0.66 29.1 0.45 15.7 77.2 91.1 23.8 23.6
99.3
BWEX6320 749 0.24 39.5 0.61 14.5 50.1 83.1 15.4 24.3
96.9
BWEX6309 2083 19.7
97.9
Average 1,758 1.13 25.9 1.7 16.9 77.3 90.0 20.8 23.0
Source: BVN

Head grade correlation analysis are presented in Figures 10-09 to Figure 10-15. The correlations
coefficients suggest the followings:

x Silver appears associated with manganese and zinc

x Lead is associated with manganese, zinc, and silver
x Manganese is strongly associated with silver
x Recovery for all metals responded positively to increased mass pull

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x Overall, Yumpag samples’ metallurgical performance appears comparable to

Uchucchacua’s samples.

60
100

90 R² = 0.23 Flot Rec Mn Linear (Flot Rec Mn)

50
80 R² = 0.50 Flot Rec Zn Linear (Flot Rec Zn)

70 R² = 0.12 Flot Rec Zn Linear (Flot Rec Zn)

40
Metallurgical Recovery

R² = 0.11 Lix Rec Mn (Cleanner) Linear (Lix Rec Mn (Cleanner))

Metallurgical Recovery
60

50
30
40

30
20
20

10
10
0
0.0 1,000.0 2,000.0 3,000.0 4,000.0 5,000.0 6,000.0 7,000.0 8,000.0 9,000.0 10,000.0

Head Grade Ag 0
0.0 0.5 1.0 1.5 2.0 2.5 3.0

Head Grade Pb

Figure 10-9: Yumpag Testing, Recovery v/s Figure 10-10: Yumpag Testing, Recovery v/s
Ore Ag g/t Ore Pb%
Source: BVN Source: BVN

100
100

90
90

80 80

70 70 R² = 0.14 Flot Rec Ag Linear (Flot Rec Ag)

R² = 0.25 Flot Rec Mn Linear (Flot Rec Mn)
Metallurgical Recovery

Metallurgical Recovery

60 60 R² = 0.33 Flot Rec Zn Linear (Flot Rec Zn)

50 50

40 40

30 R² = 0.54 30
Flot Rec Ag Linear (Flot Rec Ag)

20 R² = 0.21 Flot Rec Pb Linear (Flot Rec Pb)

20
R² = 0.33 Lix Rec Mn (Cleanner) Linear (Lix Rec Mn (Cleanner))
10 10

0 0
5 10 15 20 25 30 35 40 45 50 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0
Head Grade Mn
Head Grade Zn

Figure 10-11: Yumpag Testing, Recovery v/s Figure 10-12: : Yumpag Testing, Recovery v/s
Ore Mn% Ore Zn%
Source: BVN
Source: BVN

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10,000 5.0

R² = 0.20 Ag (g/t) Linear (Ag (g/t))

9,000 4.5 100
R² = 0.62 Zn % Linear (Zn %)
90
8,000 4.0

80
7,000 3.5

Grade Mn, Zn
70
Grade Ag

6,000 3.0 R² = 0.11 Flot Rec Ag Linear (Flot Rec Ag)

Metallurgical Recovery
60 R² = 0.20 Flot Rec Pb Linear (Flot Rec Pb)
5,000 2.5 R² = 0.81 Flot Rec Mn Linear (Flot Rec Mn)
50 R² = 0.38 Flot Rec Zn Linear (Flot Rec Zn)
4,000 2.0
40

3,000 1.5 30

2,000 1.0 20

1,000 0.5 10

0 0.0 0
0.0 0.5 1.0 1.5 2.0 2.5 3.0 5 10 15 20 25 30 35
Head Grade Pb
Mass Pull

Figure 10-13: Yumpag Testing, Head Grade Figure 10-14: Yumpag Testing, Recovery v/s
v/s Ore Pb% Ore Mass Pul
Source: BVN
Source: BVN

100

90

80

70

60
Recovery%

50 R² = 0.19 Flot Rec Mn Linear (Flot Rec Mn)

40 R² = 0.76 Flot Rec Ag Linear (Flot Rec Ag)

30

20

10

0
78 80 82 84 86 88 90 92 94 96 98
Recovery Pb%

Figure 10-15: Yumpag Testing, Recovery v/s Recovery Pb

Source: BVN

10.4 Conclusions and Recommendations

The Yumpag deposit is being developed as a replacement ore source. Yumpag project is currently
focused on the deposit’s drilling definition. At this time, the number of testing results for Yumpag
are preliminary, limited and not optimized, nevertheless, available results are positive, suggesting
an amenable mineralization for the conventional flotation concentration. Metallurgical testing’s
assays need to include the complete suit of base metals, precious metals, and deleterious
elements.

SRK is of the opinion that the Yumpag Project offers multiple opportunities to revise and improve
the Uchucchacua-Rio Seco integrated business. A good practice that will facilitate timely evaluation
of the business’s potential would be to execute metallurgical testing immediately after the release
of DDH’s geochemistry data.
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The current general condition of Uchucchacua’s processing facilities, as well as that of the process
equipment is extremely deficient. SRK is of the opinion that Uchucchacua´s current condition is the
result of poor operating and management practices, and that to re-start the processing plant, it will
be necessary to execute a major refurbishment in at least the following terms:

x The total refurbishment cost will range between USD 5.0 million and USD 10.0 million, and
x To implement the refurbishment will take at least six months, if done efficiently.
x Executing the refurbishment in advance of the operation restart will allow Uchucchacua to
reinitiate production at or near full capacity, and better control costs.
x A successful plant start-up (or re-starting for this particular purpose) must be understood
as one that simultaneously achieves: target instantaneous ore throughput (tonnes/hour),
target mechanical availability (hours/day, hours/week, hours/month), and nominal
concentrate production in terms of tonnage and quality over at least four consecutive
months.
x Refurbishment of the plant brings the opportunity to modernize some of the equipment and
ancillary systems.
Rio Seco removes approximately 98% of the manganese content in Uchucchacua’s concentrates.
Rio Seco’s processing facilities seem well maintained and operated. It is SRK’s opinion that Rio
Seco has significant potential to become a custom refinery for non-typical concentrates in the
region.

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11 Mineral Resource Estimates

A.- Uchucchacua Unit

11.1 Key Assumptions, Parameters, and Methods Used

The 2021 Mineral Resource estimates at the Uchucchacua mine (Carmen, Casualidad, Huantajalla
and Socorro zones) were prepared by BVN in accordance with the following steps and reviewed
by SRK:

x Data validation
x Data preparation, including import into various software packages.
x Review of geological interpretation and modeling of mineralization domains
x Coding of drillhole and channel data within mineralized domains
x Sample length composition of both drill holes and channel samples
x Analysis of extreme data values and application of top cut
x Analysis of exploratory data of the key elements: silver, lead, zinc and density
x Analysis of boundary conditions
x Analysis and modeling of variograms
x Estimation plan
x Kriging neighborhood analysis and creation of block models
x Grade interpolation of Ag, Pb, Zn and sample length, assignment of density values
x Validation of grade estimates against original data
x Classification of estimates with respect to the CIM guidelines
x Assignment of an NSR based on long-term metal prices, metallurgical recoveries, smelter
costs, commercial contracts and average concentrate grades.
x Exhaustion of blocks identified as mined or inaccessible
x Tabulation and reporting of mineral resources based on NSR cut-off grades
Reviewed methodology, estimation results, and updated metal prices, recoveries, and costs
applied to the calculation of NSR values. This was carried out for the four separate zones of
Uchucchacua (i.e., Carmen, Casualidad, Huantajalla and Socorro).

11.2 Geological Model

The Uchucchacua deposit is part of the polymetallic deposits hosted in carbonate rocks of the
Upper Cretaceous related to Miocene intrusions in the Andes of Central Peru. Maurice Romaní
(1982) suggests 2 stages of mineralization: the first associated with the dacite intrusion of the
Casualidad mine of 25.3 Ma with poorly developed Pb-Zn mineralization and the second with
associated Ag-Mn- (Pb-Zn) mineralization, related to the magmatism of 10 Ma consistent with the
formation of the different deposits of central Peru.

Uchucchacua has three types of mineralization: filling of fractures of the rock units of Jumasha;
metasomatic replacement of sulfides and silicates by silver and zinc within the limestones of the
middle and lower Jumasha; and finally by contact metasomatism, resulting in endoskarn and
exoskarn, which was mineralized predominantly with Chalcopyrite and Galena.

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The structural control associated with the mineralization in the Uchucchacua deposit is found in 3
fault systems: Carmen Mine (EW System, N30°E, S55°E, S55°W), Huantajalla Mine (N30°W
System, N15°E and EW) and Socorro Mine (System N35°- 40°E, N60°E and EW).

Conditions for geological modeling at Uchucchacua are well established with underground work,
which identified sharp contacts between mineralized vein structures and host rock in all veins.
Subsequently, domain boundaries were treated as hard boundaries. Coded samples within a vein
were used to estimate blocks within that vein to prevent samples within veins from including host
rock information.

The wireframes of mineralized structures were constructed by the Uchucchacua mine geology
department based on the deposit geology interpretation, using information from mine workings
mapping; drillhole sections obtained from logging; and other geological controls. The model was
built using Leapfrog implicit modeling tools; the sequence of this procedure can be found in ¡Error!
No se encuentra el origen de la referencia.. The modeling baseline database considered the
chemical analyses (assays) of mine channels and diamond drill holes. The existing model only
considers mineralized structures; the geological models (lithology, alteration, and structural) are
currently being worked on.

¡Error! No se encuentra el origen de la referencia. shows the structure modeling flowchart,

which initially collects information from drilling, channels, topography and Laboratory that is stored
in a database to be used in the modeling of structures; interpretations of the Geologist; visualization
of sampling; and identification of mining areas.

Uchucchacua contains four systems: Carmen (1000), Casualidad (2000), Huantajalla (3000), and
Socorro (4000) as shown in ¡Error! No se encuentra el origen de la referencia..

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Figure 11-1: Implicit modeling flowchart.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Figure 11-2: Structures modeling flowchart.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Figure 11-3: Modeled structures in the Uchucchacua mine

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.2.1 Exploratory Data Analysis

Sample length compositing was performed so that the samples used in statistical analysis and
estimation have similar support (i.e., length). Minera Uchucchacua samples diamond drill holes
and mine channels at different interval lengths depending on the length of the intercepted
geological features and the actual width of the vein structure. Sample lengths were examined for
each vein and composited according to the most frequently sampled length interval. Data from
composited and unprocessed samples were compared to ensure that no loss of sample length or
loss of metal content had occurred.

Exploratory data analysis was performed on the composites identified for each of the veins.
Statistical and graphical analysis (including histograms, probability plots, scatter plots) was
performed for each vein to evaluate if additional subdomains were required to achieve stationarity.

The estimation process only considers samples within wireframes and/or mineralized structures
(277 veins).

A comparison between the drillhole and channel samples was carried out, comparing the different
types of sampling in a similar spatial coverage. The results showed a bias indicating that the grades
obtained from the channel samples on average tend to be higher values compared to the grades
from the drill core samples.

However, in most cases, channel samples are clustered around historical and current workings,
while drilling is focused on exploring the periphery of veins and is therefore generally sited away
from workings, so it is difficult to find examples where they share the same spatial coverage.

The estimate predominantly uses channel samples with drill hole samples generally only used to
infer resources at the edge of mineralized envelopes. Both types of samples are required to provide
a reasonable assessment of the deposit.

Statistical study of the original samples (raw data) within each modeled domain for Ag, Pb, Zn, Fe
and Mn, and separated by borehole and channel diameters, was performed as shown in ¡Error! No
se encuentra el origen de la referencia., “Undefined” diameter refers to samples where a diameter
was not identified into the database.

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Table 11-1: Statistical summary of the original samples separated by channel and drilling (diameters)
Standard
Type Diameter Element Unit Count Minimum Maximum Mean Variance CV
Deviation
Ag oz/t 133,855 0.010 1181.46 19.66 1046.27 32.35 1.65
Pb pct 133,846 0.0001 56.10 1.61 8.79 2.97 1.84
Channel - Zn pct 133,819 0.0001 58.20 2.15 9.55 3.09 1.44
Fe pct 103,311 0.010 66.30 9.08 101.70 10.08 1.11
Mn pct 124,798 0.0001 71.09 9.07 79.16 8.90 0.98
Ag oz/t 15 0.001 135.68 16.33 1260.44 35.50 2.17
Pb pct 15 0.001 1.31 0.23 0.14 0.38 1.68
IEW Zn pct 15 0.001 1.51 0.34 0.30 0.55 1.60
Fe pct 15 0.001 24.79 4.15 53.11 7.29 1.76
Mn pct 15 0.001 40.80 8.12 137.01 11.71 1.44
Ag oz/t 1,460 0.001 535.57 8.79 599.18 24.48 2.79
Pb pct 1,460 0.0001 33.55 1.19 7.41 2.72 2.29
AQ Zn pct 1,460 0.0001 24.16 1.71 11.16 3.34 1.95
Fe pct 1,460 0.001 56.49 6.64 102.17 10.11 1.52
Mn pct 1,459 0.0001 49.58 4.90 62.99 7.94 1.62
Ag oz/t 5,477 0.001 482.58 9.15 489.09 22.12 2.42
Pb pct 5,477 0.0001 38.48 1.56 12.08 3.48 2.23
BQ Zn pct 5,477 0.0001 32.60 2.17 14.70 3.83 1.77
Fe pct 5,443 0.001 56.05 7.43 118.18 10.87 1.46
Mn pct 5,442 0.000 59.02 5.11 90.27 9.50 1.86
Drillhole
Ag oz/t 1,181 0.0001 227.72 6.56 248.05 15.75 2.40
Pb pct 1,181 0.0001 31.23 0.92 6.47 2.54 2.78
NQ Zn pct 1,181 0.0001 23.09 1.11 6.35 2.52 2.27
Fe pct 1,155 0.001 42.62 3.64 45.87 6.77 1.86
Mn pct 1,155 0.001 56.72 5.09 98.45 9.92 1.95
Ag oz/t 333 0.001 128.04 5.29 188.30 13.72 2.59
Pb pct 333 0.0001 17.78 1.13 7.37 2.72 2.40
HQ Zn pct 333 0.0001 16.58 1.54 9.64 3.11 2.01
Fe pct 332 0.001 41.30 3.75 48.50 6.96 1.86
Mn pct 332 0.0001 42.64 2.72 38.67 6.22 2.29
Ag oz/t 14,944 0.001 746.15 10.04 607.96 24.66 2.46
Pb pct 14,939 0.0001 38.88 0.83 4.91 2.22 2.69
Undefined Zn pct 14,934 0.0001 23.34 1.05 5.39 2.32 2.21
Fe pct 12,365 0.001 58.10 3.59 48.19 6.94 1.93
Mn pct 14,898 0.001 57.70 5.82 74.11 8.61 1.48

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.2.2 Outliers and Compositing

Top cuts of grade outliers avoid overestimation in domains due to disproportionately high grade
samples. Whenever the domain contains an outlier, this extreme grade will overly influence the
estimate.

If the outliers are supported by surrounding data, they are considered a valid part of the sample
population and are not considered a risk to the estimation quality; accordingly, they can be
discarded. If the outliers are not considered a valid part of the population (e.g., they belong to
another domain or are simply incorrect), they should be removed from the domain dataset. If the
outliers are considered a valid part of the population but are deemed to represent a risk to the
quality of the estimate (e.g., they are poorly supported by neighboring values), they should be cut
to the value selected as the upper bound. Top cut is the practice of resetting all values above a
certain cut off value to the threshold value.

Minera Uchucchacua examined the grades of all metals that were estimated (Ag, Pb and Zn) to
identify the presence and nature of grade outliers. This was done by examining sample histogram,
log histogram, log probability plot, and by examining the spatial location of outliers. Top cut
thresholds were determined by examining the same statistical plots and examining the effect of top
cuts on the mean, variance, and coefficient of variation (CV) of the sample data and loss of metal
content. The top cut thresholds used for each vein are shown in ¡Error! No se encuentra el origen
de la referencia..

The limits were established between the 90th and 98th percentiles of the population of each
domain, considering the loss of metal content that was sought to remain within 25-30%, and the
value of the coefficient of variation, which should not exceed 2 as shown in ¡Error! No se encuentra
el origen de la referencia.; for this purpose, each domain was evaluated to calculate the most
appropriate value.

Capping is evaluated by analyzing the metal loss and the coefficient of variation to determine an
appropriate value. The number of samples capped is also recorded, the number of samples capped
and the percentage of metal reduction are shown in ¡Error! No se encuentra el origen de la
referencia..

Table 11-2: Ag (oz) top cut values for main veins

No. of Total
Vein Element Unit Vein Code Capping %CM red***
Samples Samples

Cachipampa Ag oz/t 1060 49 30 3.70% 2,608

Gina Ag oz/t 1130 128 189 2.10% 25,461
Lesly Ag oz/t 1160 52 93 5.00% 2,993
Lilia Ag oz/t 1200 96 162 5.00% 4,889
Luz Ag oz/t 1250 64 82 4.90% 3,385
Socorro Ag oz/t 1340 43 43 5.00% 3,078
Sonia Norte Ag oz/t 1362 43 59 5.00% 2,584
Vanessa Ag oz/t 1390 48 7 5.00% 1,769
Xiomara Ag oz/t 1400 116 96 5.10% 2,382
Sistema Giovana Ag oz/t 1420 94 43 5.00% 1,604

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No. of Total
Vein Element Unit Vein Code Capping %CM red***
Samples Samples

CPO Ana Lucia Ag oz/t 1430 147 30 5.00% 2,274

CPO Eliana Ag oz/t 1441 81 60 5.00% 3,203
CPO Gio 1 Ag oz/t 1461 40 49 4.90% 1,626
Rosa Ag oz/t 2300 76 58 3.00% 6,301
Rosa 2 Ag oz/t 2310 142 11 4.30% 1,651
Veta 3A Ag oz/t 3010 164 63 5.00% 5,303
Veta 4A Ag oz/t 3020 164 67 5.00% 3,776
Esmeralda Ag oz/t 3120 92 23 3.00% 1,786
Sarita Ag oz/t 3320 230 16 2.40% 2,815
CPO Edith Ag oz/t 3371 253 36 1.30% 2,254
Jacqueline Ag oz/t 4070 68 42 4.10% 2,245
Sandra Ag oz/t 4110 61 38 1.90% 2,153
Violeta Ag oz/t 4120 110 20 2.40% 1,788
*The information of selected domains was included.
** Vein codes containing the suffixes 10, 11 and 12 refer to low, medium and high grade envelopes.
***MC red: Metal content reduction.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Figure 11-4: Top cut analysis for Ag in the R_GS (1140) vein - Cut at 40 Ag (oz/t) with 3.6% of lost
metal content
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-3: Comparison between statistics before and after applying top cut 40 oz/t to Ag(oz/t) in
R_GS (1140) vein

Statistics Mean Maximum SD CV Samples Num cut Metal cut

Raw data 17.66 61 14.63 0.83 143 - -
Top cut 17.02 40 13.44 0.79 131 12 3.60%
%
3.60% 34.40% 8.20% 4.70% 8.40% - 96.40%
Difference
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.2.3 Determination of the Regularized Length (Composite)

Minera Uchucchacua composited the data to different lengths in order to define an acceptable
width, where the mean and coefficient of variation are affected as little as possible. This was done
in different domains, both high and low grade.

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Results show that the most suitable composite length is 1.50 m. The reason for this is that, although
there is already a change in the mean and coefficient of variation at 1.50 m, at 2.0 m the changes
are even greater.

¡Error! No se encuentra el origen de la referencia., ¡Error! No se encuentra el origen de la

referencia. and Figure 11-7 depicts the results at different composite lengths for Ag, Pb and Zn in
the domains; the statistics at different lengths of composites can be seen in Table 11-4, Table 11-
5 and Table 11-6. A greater change occurs by compositing at 2.00 m rather than 1.50 m, as seen
in the figures. Additionally, using lower values becomes counterproductive given that rather than
compositing, it splits the samples, which generates false continuity in the variography.

Figure 11-5: Plot of relative variations of mean and CV (Y-axis) vs. composite length (X-axis) for
Ag (oz/t)
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-4: Statistics of the composite for Ag

Comp
0 1 1.5 2 2.5 3
Ag (oz/t)
Count 55,953 57,427 43,774 36,295 32,514 29,790
Length 47,569.73 47,534.62 47,571.19 47,575.37 47,541.84 47,522.96
Mean 18.895 18.866 18.861 18.855 18.861 18.869
Var.Rel
0% 0% 0% 0% 0% 0%
Mean
SD 26.588 25.571 24.118 23.680 23.067 22.896
CV 1.407 1.355 1.279 1.256 1.223 1.213
Var.Rel
0% -4% -9% -11% -13% -14%
CV
Variance 706.936 653.853 581.676 560.723 532.105 524.216
Minimum 0.00965 0.00965 0.00965 0.00965 0.00965 0.00965
Q1 3.96 4.51 4.96 5.15 5.33 5.40
Q2 11.13 11.50 11.92 12.08 12.29 12.34
Q3 23.76 23.74 23.87 23.92 24.08 24.20
Maximum 944.16 944.16 664 614.89 535.57 535.57
Source: BVN

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Composito Pb
Pb (pct) Composite
1.606 1.9
1.605
1 1.855
1.8
Mean (pct)

1.604
1
1.755
1.603
1 1.7
1.655

CV
1.602
1
1.6
1.601
1
1.55
1.6 1.5
1.599 1.45
0 1 1.5 2 2.5 3
Composite length (m)
Mean CV

Figure 11-6: Plot of relative variations of mean and CV (Y-axis) vs. composite length (X-axis) for
Pb (pct).
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-5: Statistics of the composite for Pb

Comp Pb
0 1 1.5 2 2.5 3
(pct)
Count 55,944 57,421 43,770 36,291 32,511 29,787
Length 47,564.49 47,530.20 47,567.77 47,571.95 47,538.42 47,519.54
Mean 1.605 1.602 1.602 1.601 1.602 1.604
Var.Rel
0% 0% 0% 0% 0% 0%
Mean
SD 2.993 2.841 2.707 2.646 2.594 2.562
CV 1.864 1.773 1.690 1.653 1.619 1.597
Var.Rel
0% -5% -9% -11% -13% -14%
CV
Variance 8.955 8.070 7.330 7.003 6.731 6.563
Minimum 0.00053 0.00053 0.00053 0.00053 0.001 0.001
Q1 0.15 0.17 0.19 0.2 0.21 0.21
Q2 0.47 0.51 0.55 0.57 0.59 0.597
Q3 1.64 1.72 1.78 1.80 1.83 1.85
Maximum 56 42 45.024 36 36 36
Source: BVN

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Mean (pct) Zn (pct) Composite

CV
Composite length (m)

Figure 11-7: Plot of relative variations of mean and CV (Y-axis) vs. composite length (X-axis) for
Zn (pct).
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-6 : Statistics of the composite for Zn

Comp Zn (pct) 0 1 1.5 2 2.5 3
Count 55,914 57,393 43,749 36,275 32,499 29,776

Length 47,536.39 47,504.48 47,541.55 47,545.73 47,512.20 47,493.32

Mean 2.169 2.164 2.163 2.163 2.164 2.165

Var.Rel Mean 0% 0% 0% 0% 0% 0%

SD 3.299 3.171 3.064 3.015 2.973 2.948

CV 1.521 1.465 1.417 1.394 1.374 1.361

Var.Rel CV 0% -4% -7% -8% -10% -10%

Variance 10.882 10.057 9.391 9.093 8.837 8.690

Minimum 0.001 0.001 0.001 0.001 0.001 0.001

Q1 0.22 0.25 0.28 0.29 0.3 0.30

Q2 0.72 0.79 0.85 0.88 0.906 0.92

Q3 2.64 2.69 2.75 2.78 2.80 2.82

Maximum 51 51 40.864 38.94942 30.728 31.26661343

Source: BVN

11.2.4 Determination of Regularized Length (Composite)

Grade distributions for Ag, Pb and Zn in 1.5 m composites are presented by structure and envelope
in boxplots, Figure 11-8 shows the silver distribution for the main veins.

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Ag (oz/t)
Figure 11-8: Example of Ag (oz/t) box-plot for main veins
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

In general, the grade distribution analysis indicates that, within envelopes, grades are significantly
higher compared to those outside envelopes, grades that are mainly associated with gangue and/or
low-grade mineralization.

¡Error! No se encuentra el origen de la referencia. shows the statistics of composites by domain

and element. The coefficient of variation of silver values is relatively low (less than 4.0), so we have
less dispersed values than the raw data when estimating.

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Table 11-7: Composite statistics for the main veins

Vein
Zone Vein Element Units Count Minimum Maximum Mean Variance Std. Dev Coef. Var.
Code
Socorro V Cachipampa 1060 Ag oz/t 1,706 0.001 49.00 7.38 72.58 8.52 1.16
Socorro V Cachipampa 1060 Pb Pct 1,706 0.001 21.59 4.26 21.45 4.63 1.09
Socorro V Cachipampa 1060 Zn Pct 1,706 0.001 24.85 6.27 24.74 4.97 0.79
Socorro V Gina 1130 Ag oz/t 16,681 0.001 128.00 19.12 385.94 19.65 1.03
Socorro V Gina 1130 Pb Pct 16,681 0.001 10.80 1.06 2.66 1.63 1.54
Socorro V Gina 1130 Zn Pct 16,681 0.001 17.00 1.33 3.69 1.92 1.45
Socorro V Lesly 1160 Ag oz/t 1,829 0.001 52.00 11.91 121.03 11.00 0.92
Socorro V Lesly 1160 Pb Pct 1,829 0.001 8.72 0.77 1.05 1.03 1.34
Socorro V Lesly 1160 Zn Pct 1,829 0.001 8.36 1.05 1.15 1.07 1.02
Socorro V Lilia 1200 Ag oz/t 3,395 0.001 96.00 25.25 487.88 22.09 0.88
Socorro V Lilia 1200 Pb Pct 3,395 0.001 18.09 2.03 8.22 2.87 1.41
Socorro V Lilia 1200 Zn Pct 3,395 0.001 18.00 2.27 8.36 2.89 1.27
Socorro V Luz 1250 Ag oz/t 2,642 0.001 64.00 14.27 185.27 13.61 0.95
Socorro V Luz 1250 Pb Pct 2,642 0.001 18.65 1.91 5.78 2.40 1.26
Socorro V Luz 1250 Zn Pct 2,642 0.001 16.80 2.55 6.36 2.52 0.99
Socorro V Socorro 3 1340 Ag oz/t 2,040 0.001 43.00 8.04 55.13 7.43 0.92
Socorro V Socorro 3 1340 Pb Pct 2,040 0.001 18.72 2.10 9.30 3.05 1.45
Socorro V Socorro 3 1340 Zn Pct 2,040 0.001 22.00 4.06 15.90 3.99 0.98
Socorro V Sonia Norte 1362 Ag oz/t 1,702 0.001 43.00 9.60 81.30 9.02 0.94
Socorro V Sonia Norte 1362 Pb Pct 1,702 0.001 16.28 4.40 14.55 3.82 0.87
Socorro V Sonia Norte 1362 Zn Pct 1,702 0.001 22.42 5.65 17.37 4.17 0.74
Socorro V Vanessa 1390 Ag oz/t 1,284 0.001 48.00 6.08 45.01 6.71 1.10
Socorro V Vanessa 1390 Pb Pct 1,284 0.001 16.56 1.78 7.32 2.71 1.52

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Vein
Zone Vein Element Units Count Minimum Maximum Mean Variance Std. Dev Coef. Var.
Code
Socorro V Vanessa 1390 Zn Pct 1,284 0.001 24.50 6.16 20.22 4.50 0.73
Socorro V Xiomara 1400 Ag oz/t 1,481 0.001 116.00 28.12 789.66 28.10 1.00
Socorro V Xiomara 1400 Pb Pct 1,481 0.001 19.44 1.69 5.24 2.29 1.36
Socorro V Xiomara 1400 Zn Pct 1,481 0.001 14.83 1.88 5.28 2.30 1.22
Socorro V Sistema Giovana 1420 Ag oz/t 1,048 0.001 94.00 20.56 445.07 21.10 1.03
Socorro V Sistema Giovana 1420 Pb Pct 1,048 0.001 2.85 0.43 0.21 0.46 1.08
Socorro V Sistema Giovana 1420 Zn Pct 1,048 0.001 4.07 0.54 0.37 0.61 1.12
Socorro Cpo Analucia 1430 Ag oz/t 1,495 0.001 147.00 22.46 498.57 22.33 0.99
Socorro Cpo Analucia 1430 Pb Pct 1,495 0.001 8.12 0.32 0.63 0.80 2.47
Socorro Cpo Analucia 1430 Zn Pct 1,495 0.001 9.81 0.48 0.74 0.86 1.82
Socorro Cpo Eliana 1441 Ag oz/t 2,218 0.001 81.00 18.27 221.55 14.89 0.82
Socorro Cpo Eliana 1441 Pb Pct 2,218 0.001 2.30 0.21 0.07 0.26 1.21
Socorro Cpo Eliana 1441 Zn Pct 2,218 0.001 3.73 0.31 0.10 0.32 1.00
Socorro Cpo Gio 1 1461 Ag oz/t 1,185 0.001 40.00 8.49 74.30 8.62 1.02
Socorro Cpo Gio 1 1461 Pb Pct 1,185 0.001 1.51 0.14 0.03 0.17 1.23
Socorro Cpo Gio 1 1461 Zn Pct 1,185 0.001 10.00 0.27 0.24 0.49 1.82
*The information of selected domains was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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¡Error! No se encuentra el origen de la referencia. shows a histogram and probability plot of Gina
Vein for Ag (composites). A lower dispersion of information is observed. Likewise, the evaluation
of these plots also helps in the identification of restriction values.

Figure 11-9: Histogram and cumulative probability plot for Ag (oz) composites in Gina vein (1130).

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

¡Error! No se encuentra el origen de la referencia. shows the distance restriction values applied
in the estimation stage. In general, a distance of 3mx3mx3m has been considered for such
restriction.

Table 11-8: Ag (oz/t) statistics in the main veins after applying distance restriction
Vein No. of %MC Total
Vein Restriction (oz/t)
Code composites Restricted Composites
Cachipampa 1060 40 24 1.3% 1,674
Gina 1130 100 132 0.7% 16,164
Lesly 1160 50 25 0.2% 1,751
Lilia 1200 80 105 1.4% 3,172
Luz 1250 54 84 1.7% 2,590
Socorro 1340 35 22 0.7% 1,987
Sonia Norte 1362 35 43 1.2% 1,624
Vanessa 1390 30 19 2.5% 1,266
Xiomara 1400 100 39 0.9% 1,410
Sistema Giovana 1420 75 42 2.5% 1,015
CPO Ana Lucia 1430 114 21 1.4% 1,431
CPO Eliana 1441 70 37 0.7% 2,093
CPO Gio 1 1461 35 34 1.3% 1,078

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Vein No. of %MC Total

Vein Restriction (oz/t)
Code composites Restricted Composites
Rosa 2300 60 68 1.5% 4,399
Rosa 2 2310 90 15 2.0% 1,184
Veta 3A 3010 130 51 2.1% 3,611
Veta 4A 3020 133 50 2.3% 2,507
Esmeralda 3120 80 11 0.8% 1,077
Sarita 3320 160 25 2.4% 1,690
CPO Edith 3371 200 40 2.5% 1,521
Jacqueline 4070 47 49 3.3% 1,513
Sandra 4110 62 9 0.9% 1,401
Violeta 4120 88 11 1.1% 1,197
*The information of selected domains was included.
**MC restricted: Metal content restricted.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.2.5 Declustering
Due to the spatial distribution of data, it was decided to decluster information, in order to give an
equal weight to data that were clustered and those that were not. Declustering was done based on
the distribution of drillhole information in each structure, opting to minimize the mean value. Figure
11-10 shows different mean values at different cell sizes. The purple mark indicates the lowest
mean value, which is 45m x 75m x 10m.

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Figure 11-10: Declustering of Ag (oz/t) for composites in Ada vein (1030).

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.3 Mineral Resources Estimate

11.3.1 Estimation Plan
Minera Uchucchacua carried out the estimation of the following elements: Silver (Ag) in oz, Lead
(Pb) in pct, and Zinc (Zn) in pct. Estimation domains were generated for each element according
to the stationarity conditions.

Boundary conditions at Uchucchacua are well established with underground workings, and strong
contact was identified between mineralized vein structures and host rock in all veins. Subsequently,
domain boundaries were treated as hard boundaries. Only samples coded within a vein were used
to estimate blocks within that vein, to prevent high-grade samples from the vein from being stained
by the low-grade host rock, and vice versa.

For resource estimation, Supervisor ® (Statistical Analysis), Leapfrog Geo ® (Structure Modeling)
and Vulcan ® (Resource Estimation) software were used.

11.3.2 Qualitative Kriging Neighborhood Analysis (QKNA)

Kriging neighborhood analysis was performed to define the estimation parameters, such as,
minimum and maximum number of samples, maximum number of samples from the same drillhole,
and search distances.

Scenarios of block sizes close to the one used to build the block model were analyzed, using the
values obtained in the variographic analysis shown in the previous section, checking that the kriging
efficiency and slope of regression have adequate values.

In general, a minimum of 2 samples and a maximum of 24 have been used as a starting point, with
a maximum of 2 samples per drillhole. From this configuration, it was possible to determine which
are the appropriate parameters for each domain.

¡Error! No se encuentra el origen de la referencia., ¡Error! No se encuentra el origen de la

referencia. and ¡Error! No se encuentra el origen de la referencia., and show the Supervisor
environment for the KNA analysis, where the appropriate neighborhood for Gina Vein (1130) is
finally determined.

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Figure 11-11: Determination of the minimum and maximum number of samples

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Figure 11-12: Behavior of KE and slope of regression, according to the number of samples (top),
and the negative weights generated (bottom).
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Figure 11-13: The plot shows that neighborhood 12,9,6 has the best values for KE and slope of
regression.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.3.3 Continuity Analysis

Continuity analysis refers to the analysis of spatial correlation of a score value between pairs of
samples to determine the main axis of spatial continuity.

Grade distribution has a log-normal distribution, so traditional experimental variograms tend to be

of poor quality. To counter this, the data were transformed to a normal score distribution for
continuity analysis.

Minera Uchucchacua examined horizontal, across strike, and down dip continuity maps (and their
underlying variograms) for Ag, Pb, and Zn to determine the directions of greatest and least
continuity.

Continuity analysis confirmed that some veins have insufficient data to allow variogram modeling.
In the case of these veins, inverse distance (ID3) was used as an alternative estimation technique.

11.3.4 Variable Orientation Modeling

The next step is to model the variograms for the major, semi-major, and minor axes. This exercise
creates a mathematical model of the spatial variance that can be used by the ordinary kriging
algorithm. The most important aspects of the variogram model are the nugget effect and the short-
range characteristics. These aspects have the most influence on estimation.

The nugget effect is the variance between sample pairs at the same location (zero distance). The
nugget effect contains components of inherent variability, sampling error, and analytical error. A
high nugget effect implies that there is a high degree of randomness in the sample grades (i.e.,
samples taken even at the same location can have quite different grades). The best technique for
determining the nugget effect is to examine the downhole variogram calculated with lags equal to
the composite length.

After determining the nugget effect, the next step is to model directional variograms in the three
main directions for Ag, Pb, and Zn based on the directions chosen from the variogram fans. It was
not always possible to generate a variogram for minor axes, and in these cases the ranges for the
minor axes were taken from the downhole variograms, which have a similar orientation
(perpendicular to the vein) as the minor axes. Modeled variogram results were back transformed
to define the estimation parameters. Variogram parameters are detailed in ¡Error! No se
encuentra el origen de la referencia.. ¡Error! No se encuentra el origen de la referencia.
shows the variography of domain 1461 for the Gio 1 vein.

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Figure 11-14: Variography of Ag (oz/t) for Gio 1 vein (1461).

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

¡Error! No se encuentra el origen de la referencia. shows the variography (by domain) of the main
structures in each zone. All veins were estimated using OK (ordinary Krigging) and ID3 (Inverse
Distance), but the method with the smallest percentage difference from the NN (nearest neighbor)
estimate was chosen. A method that was used in all the veins, the exponent (3) based on historical
comparisons of previous estimates, the ID3 vs. ID2 results confirmed that ID3 outperforms for this
deposit. For structures estimated by the Inverse Distance method, variograms were prepared to
define the search ellipsoids.

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Table 11-9: Variography parameters in the estimation files for the main veins.
Bearing Plunge Str1 Major Semi-Major Minor Str2 Major Semi- Minor
Vein Vein Code Element Unit Dip (°) Nugget
(°) (°) Sill Axis Axis Axis Sill Axis Major Axis Axis
Cachipampa 1060 Ag oz 59.686 17.229 -58.433 0.129 0.535 13 17 7 0.336 72 28 8

Cachipampa 1060 Pb pct 51.118 41.641 -62.764 0.067 0.501 3 3 3 0.432 15 18 13

Cachipampa 1060 Zn pct 229.494 -67.731 62.727 0.085 0.362 4 4 4 0.553 29 43 38

Gina 1130 Ag oz 36.102 25.659 56.31 0.25 0.51 18 12 7 0.24 173 43 12

Gina 1130 Pb pct 51.485 -31.321 -60.349 0.27 0.299 3 5 5 0.432 450 352 48

Gina 1130 Zn pct 223.492 34.847 83.904 0.113 0.534 30 20 15 0.344 804 461 38

Lesly 1160 Ag oz 47.042 -60.48 -60.48 0.11 0.637 16 15 9 0.253 113 86 13

Lesly 1160 Pb pct 42.904 18.747 -68.827 0.256 0.372 7 60 15 0.372 102 115 21

Lesly 1160 Zn pct 233.466 69.409 75.651 0.106 0.545 30 20 8 0.35 100 85 25

Lilia 1200 Ag oz 40 -30 -90 0.162 0.601 21 14 8 0.236 231 55 9

Lilia 1200 Pb pct 29.225 -8.178 -125.413 0.39 0.437 15 15 13 0.173 98 68 14

Lilia 1200 Zn pct 211.508 34.847 96.096 0.356 0.338 3 12 8 0.306 35 30 14

Luz 1250 Ag oz 48.246 9.847 -79.849 0.0629 0.755 15 7 4 0.182 78 32 5

Luz 1250 Pb pct 5.768 -26.065 44.311 0.394 0.3 85 32 20 0.306 386 265 40

Luz 1250 Zn pct 157.376 61.095 -29.032 0.129 0.479 9 10 5 0.392 14 74 8

Rosa 2300 Ag oz 10 -10 -90 0.123 0.583 43 7 6 0.294 530 18 11

Rosa 2300 Pb pct 75 30 -90 0.198 0.418 55 54 7 0.384 287 161 14

Rosa 2300 Zn pct 274.07 49.741 -82.249 0.224 0.454 14 5 7 0.322 100 12 8

Rosa 2 2310 Ag oz 90 20 -90 0.1 0.569 21 71 23 0.331 122 72 26

Rosa 2 2310 Pb pct 47.904 -18.747 68.827 0.087 0.415 8 15 18 0.499 155 54 145

Rosa 2 2310 Zn pct 288.018 74.207 71.323 0.187 0.459 44 16 5 0.354 164 85 30

Veta 3A 3010 Ag oz 126.384 19.683 -79.372 0.102 0.675 26 15 10 0.223 225 128 11

Veta 3A 3010 Pb pct 123.703 4.829 -74.945 0.367 0.145 14 8 5 0.489 54 60 10

Veta 3A 3010 Zn pct 109.494 67.731 117.273 0.171 0.268 11 6 17 0.561 73 59 29

Veta 4A 3020 Ag oz 286.659 -29.499 42.394 0.0638 0.636 30 4 7 0.3 181 45 14

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Bearing Plunge Str1 Major Semi-Major Minor Str2 Major Semi- Minor
Vein Vein Code Element Unit Dip (°) Nugget
(°) (°) Sill Axis Axis Axis Sill Axis Major Axis Axis
Veta 4A 3020 Pb pct 130 0 -65 0.311 0.291 40 8 5 0.399 151 30 10

Veta 4A 3020 Zn pct 328.466 69.409 -104.349 0.232 0.323 25 35 17 0.445 480 180 18

Esmeralda 3120 Ag oz 70 20 -90 0.0625 0.672 19 16 8 0.266 174 24 11

Esmeralda 3120 Pb pct 80 0 65 0.276 0.336 10 4 7 0.388 24 19 10

Esmeralda 3120 Zn pct 142.727 67.731 -154.494 0.059 0.783 13 17 5 0.158 51 82 6

Sarita 3320 Ag oz 81.71 39.273 -77.038 0.0884 0.558 13 13 6 0.353 97 71 14

Sarita 3320 Pb pct 85 0 -105 0.408 0.188 19 29 5 0.404 87 57 6

Sarita 3320 Zn pct 45.968 -61.095 -122.376 0.183 0.352 4 6 3 0.464 76 68 21

CPO Edith 3371 Ag oz 57.693 6.409 39.569 0.0558 0.708 13 11 7 0.237 143 98 11

CPO Edith 3371 Pb pct 50 0 -125 0.244 0.128 2 7 11 0.628 67 40 19

CPO Edith 3371 Zn pct 194.21 41.561 131.93 0.144 0.385 5 3 19 0.47 170 50 26

Jacqueline 4070 Ag oz 42.76 33.826 -127.005 0.0838 0.55 9 7 2 0.366 57 33 10

Jacqueline 4070 Pb pct 15 0 60 0.522 0.247 36 20 6 0.231 324 43 9

Jacqueline 4070 Zn pct 168.952 22.521 117.226 0.319 0.258 9 14 7 0.423 15 15 8

Sandra 4110 Ag oz 83.451 9.391 -110.264 0.0861 0.701 31 24 4 0.213 111 94 10

Sandra 4110 Pb pct 95 0 -95 0.468 0.301 55 3 5 0.231 136 24 8

Sandra 4110 Zn pct 80 5 -90 0.055 0.695 26 23 4 0.25 35 84 6

Violeta 4120 Ag oz 82.732 24.404 32.732 0.142 0.688 5 9 5 0.17 43 50 8

Violeta 4120 Pb pct 51.466 7.644 -130.432 0.187 0.43 3 9 7 0.383 56 16 8

Violeta 4120 Zn pct 140 40 -180 0.547 0.127 8 14 10 0.325 28 47 11

*The information of selected domains was included.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.3.5 Anisotropic Model

Given the difficulty of determining the preferential orientation of the mineralization continuity in
complex structures, the application of Vulcan's Locally Varying Anisotropy (LVA), which builds
an anisotropic model from modeled structures, was evaluated. LVA generates orientation
variations over short distances and allows the orientation of the mineralization continuity to be
incorporated into the estimation with greater accuracy.

The anisotropic model allows rotation angles to be defined individually, considering the local
trend, being assigned to each model cell, and assumes that the dimensions of the ellipsoid
remain constant.

A point file, where each point has a value for dip and dip direction, is created from the roof and
floor surfaces of the structure and would be representing the preferential direction that varies
locally over the extension of surfaces.

A plan view of the calculated LVA values for the Cachipampa Vein model is shown in ¡Error!
No se encuentra el origen de la referencia..

LVA - Bearing

0 25 50 m

Figure 11-15: LVA-bearing in Cachipampa vein

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.3.6 Block Model

The block size was selected based on the needs of the Planning area, which are linked to the
mining methods at Uchucchacua mine; cell dimensions are 3 m x 3 m x 3 m and are represented
on the X, Y, and Z axes.

The block model consists of cells and sub-cells that fill the entire volume of interest. Each cell
occupies a discrete volume that can be assigned whatever information is deemed necessary
to accurately and precisely describe and interpret the deposit; the entire block model or fraction
thereof can be evaluated, and tonnage and grades reported.

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Block Model Characteristics

Dimensions were based on the mining SMU, since the mining method used is cut-and-fill
stoping and, in areas with lower rock quality, breasting.

Four resource models were made using Vulcan software, based on the main structures of the
mine (Carmen, Casualidad, Huantajalla, and Socorro), whose characteristics are presented
below:

Table 11-10: Block model dimensions

Bearing (°)

Size X (m)

Size Y (m)
Extension

Extension

Extension

Size Z (m)
Plunge (°)
Origin Origin Dip
Zone Origin Y
X Z (°)

Z
Carmen 318,650 8,826,200 3,600 282 0 0 2,901 1,602 1,701 3 3 3
Casualidad 315,900 8,824,300 3,700 50 0 0 2,220 1,500 1,500 3 3 3
Huantajalla 317,070 8,823,520 3,900 40 0 0 1,650 1,551 852 3 3 3
Socorro 316,000 8,825,100 3,200 40 0 0 3,699 1,902 1,710 3 3 3
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Figure 11-16 shows that all the zones are independent, so they can be worked as separate
block models.

1000 m

Figure 11-16: Distribution of Uchucchacua block models.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.3.7 Grade Interpolation

The methods used for estimation in Uchucchacua include: Ordinary Kriging (OK), Inverse
Distance (ID3), and Nearest Neighbor (NN), the first two will be used to report resources and
categorize them; NN, due to its characteristics, will be used to validate the interpolation of OK
and ID3 methods. These methods were used for the estimation of the year 2020 and were
validated by SRK, however, these elements do not intervene in the calculation of the NSR nor
in the commercialization; the estimation is for internal control purposes only.

Estimation Parameters
Parameters were derived from block size selection, search neighborhood optimization, and
variogram modeling. Sample data were composited and, when required, capped prior to
estimation.

Sample data and blocks were categorized into mineralized domains for estimation. Each block
is discretized (a matrix of points to ensure that score variability is represented within the block).

The estimation plan was defined with 4 passes with incremental search radii with outlier
restriction; minimum and maximum number of composites; minimum and maximum number of
drillholes; and number of composites per drillhole/channel so that the interpolation of grades
respects the composite information locally and globally. The fourth pass is to generate potential
resources.

Table 11-11 : Estimation parameters of the main veins

Max. Samples
Min. Samples
Composites

Composites

composites
Minor Axis
Major Axis

Semi Axis
Estimator

Vein
Vein
Element

per Drill
Code
Pass

Max.
Unit

Cachipampa 1060 Ag oz 1 ok 12 9 6 3 8 2

Cachipampa 1060 Ag oz 2 ok 24 18 12 3 8 2

Cachipampa 1060 Ag oz 3 ok 48 36 44 3 8 2

Cachipampa 1060 Ag oz 4 ok 100 80 60 1 12 2

Cachipampa 1060 Pb pct 1 ok 15 12 10 3 6 2

Cachipampa 1060 Pb pct 2 ok 30 24 20 3 12 2

Cachipampa 1060 Pb pct 3 ok 60 48 40 3 8 2

Cachipampa 1060 Pb pct 4 ok 120 96 80 1 8 1

Cachipampa 1060 Zn pct 1 ok 30 45 37 5 10 2

Cachipampa 1060 Zn pct 2 ok 40 50 45 3 8 2

Cachipampa 1060 Zn pct 3 ok 60 90 70 3 8 2

Cachipampa 1060 Zn pct 4 ok 90 120 105 5 10 1

Gina 1130 Ag oz 1 ok 15 12 3 3 8 2

Gina 1130 Ag oz 2 ok 30 24 6 3 8 2

Gina 1130 Ag oz 3 ok 48 36 44 3 8 2

Gina 1130 Ag oz 4 ok 100 80 60 1 12 2

Gina 1130 Pb pct 1 ok 15 12 10 3 6 2

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Max. Samples
Min. Samples
Composites

Composites

composites
Minor Axis
Major Axis

Semi Axis
Estimator
Vein
Vein

Element

per Drill
Code

Pass

Max.
Unit
Gina 1130 Pb pct 2 ok 30 24 20 3 12 2

Gina 1130 Pb pct 3 ok 60 48 40 3 8 2

Gina 1130 Pb pct 4 ok 120 96 80 1 8 1

Gina 1130 Zn pct 1 ok 26 15 12 3 6 2

Gina 1130 Zn pct 2 ok 52 30 24 3 8 2

Gina 1130 Zn pct 3 ok 75 45 36 3 8 2

Gina 1130 Zn pct 4 ok 100 60 50 1 12 2

*The information of selected domains was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Distance restriction was applied at the time of interpolation for values above the thresholds
listed in ¡Error! No se encuentra el origen de la referencia.. These values were defined
based on the Probability plot of each domain (by composites) and the evaluation of their metal
content; at the 95-98th percentile of each population, less than 20% of the metal content is
generally discounted.

Table 11-12: Table of restrictions for Cachipampa, Gina, Lesly, Lilia, and Luz veins.
Distance Restriction (m)

High
Vein High High High
Vein Element Unit Yield Estimator
Code
Limit Yield Yield Yield
Major Semi Minor

Cachipampa 1060 Ag oz 28 3 3 3 ok

Cachipampa 1060 Pb pct 17.34 3 3 2 ok

Cachipampa 1060 Zn pct 19 8 12 10 ok

Gina 1130 Ag oz 0 3 3 3 ok

Gina 1130 Pb pct 2.5 3 3 3 ok

Gina 1130 Zn pct 3.5 3 3 3 ok

Lesly 1160 Ag oz 35 3 3 3 ok

Lesly 1160 Pb pct 6 8 7 2 ok

Lesly 1160 Zn pct 0 7 4 2 ok

Lilia 1200 Ag oz 0 3 3 3 ok

Lilia 1200 Pb pct 11.5 8 5 2 ok

Lilia 1200 Zn pct 4 3 3 3 ok

Luz 1250 Ag oz 0 3 3 3 ok

Luz 1250 Pb pct 13 7 7 2 ok

Luz 1250 Zn pct 0 3 10 2 ok

*The information of selected domains was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.3.8 Validation
Techniques to validate the estimation included visual inspection of the model, with plan, section,
and 3D composites; cross validation; validation of global estimates through statistical
comparison of average estimated values per domain between the Ordinary Kriging (OK) or
inverse distance (ID3) with the nearest neighbor (NN); and validation of local estimates through
the generation of Swath Plots.

Cross Validation
When defining the modeled variograms, estimation, and search neighborhoods, there is a
range of potential values that can be set. In order to optimize these values, a cross validation
was performed. This technique involves excluding a sample point and estimating a grade in its
place using the remaining composites.

With this methodology at Uchucchacua, a variety of estimation techniques, search

neighborhoods, and variogram models were tested to establish the parameters that provided
the most precise result.

Cross-validation results confirmed that ordinary kriging is a reasonable estimation method

when sufficient data is available for variogram analysis. For veins with insufficient data, inverse
power of distance proved to be a superior estimation technique. Cross validation also helped
in adjusting the variogram and search neighborhood parameters, an example of this is shown
in Figure 11-17.

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Figure 11-17: Cross Validation of Ag for Gina Vein (1130), showing a correlation coefficient of
0.72.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Visual Inspection
Visual inspection is an important tool to detect spatial artifacts; it entails the visual comparison
of composites and block grades. This step is also particularly useful to ensure that the block
model respects the drillhole data and/or channel samples. Composite data, block model, and
geological interpretations were considered for visual examination.

Both drillhole and block coding were checked during the visual inspection to ensure that coding
is appropriate and respects the interpretation. Additionally, the estimated grades show a
reasonable correspondence between samples and blocks where we have a fair population of
drillholes.

Figure 11-18 shows the variation of Ag grades both transversely and longitudinally. The
addition of envelopes prevents high grades from being extrapolated to zones with little
information (low grade zones).

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Figure 11-18: Gina-Socorro vein - visual validation.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Validation of the Global Estimate

Uchucchacua compared the model estimated with Ordinary Kriging or Inverse Distance vs. the
Nearest Neighbor model. The estimation results are considered reasonable, with differences
generally below 5%. Differences greater than 5% are due to overestimation of the Nearest
Neighbor degree due to the presence of isolated high degree compounds; low overall grade
concentrations; or presence in areas classified as inferred resources.

Table 11-13: shows the overall validation results within the Measured and Indicated
categories. As can be seen, 90% of results are below ±5%. However, there are some structures
with a variation greater than 10%. Upon closer examination, these structures contain isolated
high grades in their domains, which have been restricted in the estimation; after analysis, the
estimation method with the lowest percentage difference for each vein was chosen.

Table 11-13: Global validation for main veins

Percentage Diff.

Vein Vein Code Element Unit NN ID OK ID-NN OK-NN

Cachipampa 1060 Ag oz 4.33 4.33 4.29 0.00% 0.96%
Gina 1130 Ag oz 14.12 14.17 14.04 -0.37% 0.52%

Lesly 1160 Ag oz 6.62 6.45 6.51 2.67% 1.63%

Lilia 1200 Ag oz 17.65 17.37 17.20 1.58% 2.59%

Luz 1250 Ag oz 12.41 9.85 9.92 26.05% 25.07%

Socorro 1340 Ag oz 6.50 6.44 6.46 0.93% 0.62%

Sonia Norte 1362 Ag oz 8.26 8.27 8.24 -0.13% 0.21%

Vanessa 1390 Ag oz 4.47 4.45 4.45 0.29% 0.43%

Xiomara 1400 Ag oz 7.40 7.41 7.19 -0.16% 3.01%

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Percentage Diff.

Vein Vein Code Element Unit NN ID OK ID-NN OK-NN

Sistema Giovana 1420 Ag oz 18.46 17.75 17.58 4.01% 4.98%

CPO Ana Lucia 1430 Ag oz 16.17 16.61 16.81 -2.66% -3.80%

CPO Eliana 1441 Ag oz 13.82 13.57 13.62 1.86% 1.44%

CPO Gio 1 1461 Ag oz 7.97 8.15 8.42 -2.23% -5.29%

Rosa 2300 Ag oz 8.27 8.06 7.97 2.58% 3.74%

Rosa 2300 Zn pct 0.65 0.63 0.63 3.50% 3.99%

Rosa 2 2310 Ag oz 9.53 9.04 9.08 5.33% 4.90%

Rosa 2 2310 Zn pct 0.41 0.42 0.42 -0.48% -0.48%

Veta 3A 3010 Ag oz 5.21 5.52 5.44 -5.51% -4.07%

Veta 4A 3020 Ag oz 5.18 5.09 5.10 1.69% 1.55%

Sarita 3320 Ag oz 11.66 11.25 11.43 3.61% 2.00%

CPO Edith 3371 Ag oz 27.07 27.29 27.19 -0.81% -0.46%

Jacqueline 4070 Ag oz 6.67 6.45 6.40 3.41% 4.22%

Sandra 4110 Ag oz 4.40 4.68 4.91 -5.84% -10.38%

Violeta 4120 Ag oz 13.21 13.60 13.64 -2.87% -3.11%

*The information of selected domains was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Local Validation
Validations were generated using Swath Plots of blocks estimated by Ordinary Kriging (OK)
and Inverse Distance (ID3) versus their respective Nearest Neighbor (NN) models, and
declustered composites for each of the veins in the east, north, and elevation directions to
validate the estimates on a local scale with an average bandwidth of 10 meters. Local estimate
validation evaluates each model to ensure that the estimation process does not introduce
excessive or conditional bias and that there is an acceptable level of score variation.

The plots show good continuity between Ordinary Kriging estimates and declustered nearest
neighbor estimates, which indicates that the kriging is not overly smoothed. The areas that do
not correlate well, generally at the extremes of veins, are related to areas with limited number
of samples. Based on the above results, it was concluded that ordinary kriging was an adequate
interpolation method and provided reasonable global and local estimates for all economic
metals.

¡Error! No se encuentra el origen de la referencia. shows the swath plot of Sistema Giovana
vein (1420), which was executed in all 3 directions. Except for the peaks, which correspond to
unconcentrated high grades, we observe that, on average, the estimates by Inverse Distance
(n=3) and Ordinary Kriging remain below the average of composites.

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Figure 11-19: Swath plot - veins for Ag (g/t) - Sistema Giovana Vein (1420) - Axis X, Y, Z, and 135°
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.3.9 Depletion
Minera Uchucchacua identifies mined zones with coding to exclude them from resource reports.
All underground developments and pits are regularly surveyed using topographic methods with
total station equipment. The survey data generates mining polygons and then three-dimensional
solids which are identified within the "Type=1" resource models. 3D solids are used to identify the
resource blocks that have been mined.

Removal of extracted material often leads to the following: blocks of resource remain in the model
that will likely never be mined. These represent unavoidable components of mining, such as pillars
and crown pillars, or material that due to problems in mining was left unextracted. Minera
Uchucchacua's planning department identified areas as fully mined, and the remaining blocks
within these areas were identified in the block model with the code "Condition = 1, 2, and 3" and
excluded from the reported Mineral Resources as shown in ¡Error! No se encuentra el origen de
la referencia..

Table 11-14: Values assigned to the condition variable.

Classification Value Type
0 Mineral In Situ
Mineral
1 Mineral Extracted
0 In Situ Resource
1 Pillars
Remnant
2 Crown pillars
3 Crusts or Remnants (Mining Loss)
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

S N

CONDI
TION

MINING

Figure 11-20: Classification by mining and condition variables in Gina vein

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Finally, zones that comply with: Mining = "0 - Mineable Zone" and Condition = "0 - Mineable" are
reported, these conditions are shown in Figure 11-20.

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11.3.10 Bulk Density

A total of 984 density measurements have been made at the Uchucchacua unit; these density
samples correspond to 112 veins representing 5 domains. Outliers that are not representative of
the sample population were discarded reducing the total density measurement numbers used in
the analysis to 948. The veins that have no density sample information were associated according
to their mineralogical characteristics, location, structural family, and tectonic regime with veins that
did have density samples.

The calculation of overall statistics was performed with data filtered by limits of Mean ± 2 Standard
Deviation without Independent Veins (domain, lithology, alteration, etc.) and by domain (¡Error!
No se encuentra el origen de la referencia.), then the statistics of data filtered by limits of Mean
± 2 Standard Deviation for Independent Veins were calculated (¡Error! No se encuentra el origen
de la referencia.).

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Table 11-15 : Density(g/cm³) statistics with data filtered by Mean ± 2SD without considering independent veins
Descriptive Data Statistics
Standard Standard
Zone Domain # Data Minimum Maximum Range Mean Median Variance CV Skewness Kurtosis
Deviation Error
Vein 363 2.68 5.19 2.51 3.89 3.93 0.574 0.329 0.148 0.0301 -0.198 -0.856
Socorro
Host rock 51 2.66 2.86 0.2 2.75 2.75 0.0463 0.00214 0.017 0.00648 0.163 -0.0826

Vein 26 2.97 4.12 1.15 3.53 3.57 0.315 0.099 0.089 0.0617 -0.113 -0.883
Carmen
Host rock 3 2.46 2.7 0.24 2.62 2.7 0.139 0.0192 0.053 0.08 -1.73 -

Vein 94 2.93 4.17 1.24 3.64 3.66 0.261 0.0679 0.072 0.0269 -0.309 -0.0527
Huantajalla
Host rock 20 2.43 2.99 0.56 2.72 2.73 0.0963 0.00927 0.035 0.0215 -0.392 7.3

Vein 118 2.62 4.53 1.91 3.46 3.49 0.444 0.197 0.129 0.0409 0.0837 -0.68
Casualidad
Host rock 8 2.53 2.95 0.42 2.74 2.75 0.118 0.0139 0.043 0.0416 -0.105 2.11

Vein 46 2.74 3.72 0.98 3.22 3.26 0.281 0.0791 0.087 0.0415 -0.00522 -1.116
Mn
Host rock 5 2.68 2.76 0.08 2.73 2.74 0.0327 0.00107 0.012 0.0146 -0.849 -0.666

Oxides 11 1.18 3.16 1.98 2.14 2.15 0.603 0.363 0.281 0.182 -0.17 0.0634
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-16: Density(g/cm³) statistics of independent veins with data filtered by Mean ± 2SD
Descriptive Data Statistics
Standard Standard
Zone Domain # Data Minimum Maximum Range Mean Median Variance CV Skewness Kurtosis
Deviation Error
1130 151 2.65 4.64 1.99 3.55 3.46 0.544 0.296 0.153 0.0443 0.35 -0.86

3010 10 2.96 3.9 0.94 3.53 3.6 0.325 0.106 0.092 0.103 -0.483 -1.12
Independent 3.79
1441 7 2.69 3.95 1.26 3.55 3.67 0.414 0.171 0.117 0.156 -1.78
Veins
1160 5 2.76 3.62 0.86 3.03 2.89 0.354 0.126 0.117 0.158 1.55 2.18

1461 30 2.73 3.74 1.01 3.08 3.07 0.291 0.0845 0.094 0.0531 0.467 -0.861
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.3.11 Resource Classification and Criteria

The Confidence Limits methodology was used to categorize the resources. First, the panel that
will be evaluated is defined according to the production volume of a month (Table 11-17: ).

Table 11-17: Defining the panel to be evaluated

UCHUCCHACUA CONFIDENCE LIMITS
Tonnes per day 3,000

Tonnes per month 90,000

Tonnes per quarter 270,000

Volume per quarter (SG = 2.6) 26,471

Volume 50x50x10m block 30,000

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

A fictitious drilling pattern is defined every 10 meters, results are shown in Table 11-18: . Based
on EDA and variography, the Kriging variance (OKV) and the Coefficient of variation (CV) of
composites are determined. These two parameters are used to calculate the Relative Standard
Error (RSE) and subsequently the Confidence Limit at 90% for an annual production volume
(A90%), and the Confidence Limit at 90% for a quarterly production volume (Q90%).

Table 11-18: Calculation of A90% and Q90%, based on OKV and CV for each spacing
Ind. Meas.
Spacing CV Comp OKV RSE A90% Q90% Slope BDV KV/BDV
100x100 1.110 0.0564 0.26 13% 26% 0.41 0.023 2.51

80x80 1.110 0.0653 0.28 14% 27% 0.29 0.023 2.90

60x60 1.110 0.0648 0.28 14% 27% 0.30 0.023 2.88

50x50 1.110 0.0637 0.28 14% 27% 0.32 0.023 2.83

40x40 1.110 0.0556 0.26 13% 25% 0.44 0.023 2.47

Source: BVN

A90% and Q90% values are plotted on a graph versus spacing in Figure 11-21.

Spacing (m) vs
E
r

Figure 11-21: Spacing vs Error plot for Vein 2090

The mesh for indicated resources is defined in 15% of annual errot; and for measured resources is defined in 15%
(0.15)(Red Line) of quarterly error (10%)

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Finally, the Measured Resource is represented by spacing with a margin of error less than or equal
to 15% at Q90% while the Indicated Resource is represented by the spacing with a margin of error
less than or equal to 15% at A90%. These values are calculated from the graph in Table 11-19:.

The variable "d3h_avgdist_anisot" was calculated as the average anisotropic distance of the three
closest drillholes. Based on this variable and number of holes involved in the block estimation,
categorization was performed.

In this way, the estimation parameters at Uchucchacua Mine have been simplified, considering:

x Measured resource, when there are 3 or more drill holes within a 10 m search radius.
x Indicated resource, when there are 2 or more drill holes within a 28 m search radius.
x Inferred resource, when there is 1 or more drill holes within a 60 m search radius.
In addition to the process described above, a procedure for smoothing the categorization has been
defined to eliminate any risk of generating the "spotted dog" effect. Minera Uchucchacua generated
polygons based on the initial categorization in measured and indicated resources to adequately
manage the distribution of resource categorization and its continuity. Table 11-19: below shows
the summary criteria of distance between samples and number of drillholes for each category. As
a result, a classification like the one shown in Figure 11-22 for the Gina-Socorro vein is obtained.

Table 11-19: Categorization summary table

Category Distance(m) Pass No. of Drills
Measured 0 to 10 <=3 >=3
0 to 10 <=3 2
Indicated
10 to 20 <=3 >=2
0 to 20 <=3 1
Inferred
20 to 60 <=3 >=1
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

In addition to the described procedure, a number of aspects affecting confidence in the estimate
were considered for resource classification at Minera Uchucchacua, such as:

x Geological continuity (including geological understanding and complexity).

x Data density and orientation
x Data accuracy and precision
x Grade continuity (including spatial continuity of mineralization)
x Density sampling

Geological continuity
Substantial geological information exists to support a good understanding of the geological
continuity on Minera Uchucchacua's property. Detailed surface mapping that identifies vein
structures is supported by extensive exploration drilling.

Minera Uchucchacua's exploration geologists record drill cores in detail, including textural,
alteration, structural, geotechnical, mineralization, and lithological properties, and continue to
develop a detailed understanding of the geological controls on mineralization.

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Understanding of vein systems is greatly enhanced by the presence of extensive underground

workings, which allow for detailed geology mapping. Underground observations have greatly
increased the ability to accurately model mineralization. The proximity of resources to underground
workings was considered during resource classification.

Data density and orientation

The estimate is based on two types of data, drillhole and channel samples. Minera Uchucchacua
has explored the veins using a drilling pattern spaced approximately 60 m apart along strike. Each
drillhole is intended to intercept the vein perpendicular to the mineralization strike, but in most
intercepts the actual intercept angle varies between 70 and 90 degrees.

Exploration drilling data is supplemented by a wealth of underground information, including channel

samples taken at approximately 3 m intervals perpendicular to the strike of mineralization.
Geological confidence and quality of estimation are closely related to data density, and this is
reflected in the classification of resource confidence categories.

Data accuracy and precision

Resource confidence classification is also influenced by the accuracy and precision of available
data. The accuracy and precision of data can be determined by QAQC programs and through an
analysis of the methods used to measure data.

SRK has noted that the database has a number of minor findings or inconsistencies, the vast
majority of which are historical information derived from data migration; however, they have no
significant impact on the Resource Estimate.

Spatial Continuity
Spatial continuity of values, as shown in the variogram, is an important consideration when
assigning resource classification. The variogram characteristics greatly influence estimation quality
parameters such as kriging efficiency and slope of regression.

The nugget effect and short-range variance characteristics of the variogram are the most important
measures of continuity. For the Uchucchacua veins, the variogram nugget variance for Ag is
between 6% and 25% of the population variance, demonstrating the low variability of this precious
metal. This shows that, in general, silver grades have good continuity over short distances,
resulting in higher confidence in these estimated grades. The variogram nugget variance for Pb
and Zn is higher and is between 4% and 55%. This shows that, in general, lead and zinc grades
also have good continuity over short distances, resulting in higher confidence in these estimated
grades.

Density Samples
Density samples are not representative of the entire deposit; 112 veins out of a total of 275 veins
that are included in this report have density sampling. The veins without density samples were
associated with other veins as they have the same mineralogical characteristics, location, structural
family, and tectonic regime. The distribution of density samples in each of the veins does not cover
all vein levels; in many cases samples were taken only in the mined levels, which could generate
an underestimation or overestimation in the average values used. The limited information compiled
for density is one of the factors for not reporting measured resources in certain veins.

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Mea
sure

Figure 11-22: Block classification of Gina-Socorro vein.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.4 Cut-Off Grade Estimates

The cut-off value used to report mineral resources is based on the average operating costs for the
operation 2021 as determined by the finance and operations departments of Uchucchacua Mine.
There are two extraction methods (Bench & Fill and Cut & Fill) divided into 2 circuits (the first
corresponds to the high-grade silver circuit and the second corresponds to the polymetallic circuit)
as shown in ¡Error! No se encuentra el origen de la referencia., that have been taken into
account to determine the value of Mineral Resources cutoff during 2021.

The veins selected by the planning area for extraction with the Bench & Fill mining method for
circuit 1 have a variable cost of US$/t 68.28 (Mining, processing and off-site costs). Taking into
account a 10% contingency on mining and processing costs a final NSR marginal cut-off value of
US$/t 74.99 was defined for this method, which is applied to the Angelica, Camucha, Deyssi, Gina,
Lesly, Rita, Rosa and Liliana veins. The veins that can be extracted using the Bench & Fill mining
method for circuit 2 have a variable cost of US$ 52.85/t. Taking into account a 10% contingency
on mining and processing costs a final NSR marginal cut-off value of US$/t 58.01 was defined for
this method, which is applied to the Andrea 1, Cachipampa, Lesly Sur, Luz, Sonia, Vanessa and
Socorro 3 veins.

The veins selected by the planning area for extraction with the Cut & Fill mining method for circuit
1 have a variable cost of US$/t 76.00 (Mining, processing and off-site costs). Taking into account
a 10% contingency on mining and processing costs a final NSR marginal cut-off value of US$/t
83.48 was defined for this method, which is applied to the Brenda, Irma Viviana, Nora, Petra
Branch, Guisel, Jackie, Karina and Marcia veins. The veins that can be extracted using the Cut &
Fill mining method for circuit 2 have a variable cost of US$/t 60.57. Taking into account a 10%
contingency on mining and processing costs a final NSR marginal cut-off value of US$/t 66.50 was
defined for this method, which is applied to the Ada 2, Ada, 7A, Edith and Providencia veins.

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Table 11-20: Cut Off grade calculation for Resources

Variable Cost (US$/t) *
Circuit 1 Circuit 2
Bench &
Area Bench & Fill Cut & Fill Cut & Fill
Fill
Mine 39.26 46.98 39.26 46.98
Plant Circuit 1 27.76 27.76 12.33 12.33
Off-Site costs 1.26 1.26 1.26 1.26
Sub-Total Variable Costs 68.28 76.00 52.85 60.57
Contingency (10%) ** 6.71 7.48 5.16 5.93
Marginal Cut-Off Value *** 74.99 83.48 58.01 66.50
Source: Buenaventura
* For the Marginal cut off Value estimation was considered the variable costs
** Contingency is applied only on the mining and processing costs
*** Marginal cut-off value includes contingency

The following considerations were taken into account in the reporting of resources:

Ore mined: the mining variable provides this information where value 0 means available and value
1 means mined. For the report, the value used was value 0.

Crusts, crown pillars, and pillars: the condition variable provides this information, where 1
represents the blocks that are deducted and 0 represents the blocks that remain in resources. For
the report, the value used was value 0.

Category: the category variable provides this information, where 1: measured, 2: indicated, 3:
inferred, 4: potential.

NSR (Net Smelter Return) calculation considers variable metallurgical recoveries according to
grade ranges and metal prices (Table 11-21).

Table 11-21: NSR calculation formula

Unit NSR Formula

Ag grade (oz/t/t)*16.84*Ag Recovery(oz/t/t) + Pb grade (%)*10.10*Pb Recovery(%)+ Zn
Uchucchacua grade (%)*9.24*Zn Recovery(%)

Source: BVN

It is the opinion of the QPs that by reporting resources based on actual mining, processing and
smelting costs; actual metallurgical recoveries achieved at the plant; reasonable long-term metal
prices; and the application of transparent court laws, mineral resources have "reasonable
prospects for economic extraction."

11.5 Reasonable Potential for Economic Extraction (RPEE)

To prove reasonable perspectives for an economic extraction, Uchucchacua Mine constructed
restrictive conceptual stopes for the mineralized structures using Deswik Stope Optimizer ™; this
included measured, indicated and inferred mineralized material; considered the structure’s width
as well as the net smelter return (NSR); and was limited to a differentiated Cut Off to limit the stopes
generated.

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x Stope height: 3.00 m

x Stope length: 3.00 m
x Minimum width: 0.75 m
x Optimization variable: NSR
x Optimization is performed following the azimuth of the vein, with a tolerance of 90°.
x Cut-Off: Differentiated by Mining Method, as shown in the Table 11-22:

Table 11-22: Cut-Off differentiated by mining method

Metallurgical Circuit
Mining Method
Circuit 1 Circuit 2
Bench & Fill 74.99 58.01
Cut & Fill 83.48 66.5
Source: Buenaventura Planning Area (Buenaventura, 2021)

x Circuit 1 or high-grade Ag circuit and circuit 2 or polymetallic circuit.

x It is considered within the optimization of Measured, Indicated and Inferred Resources in
the same process.
x Measured, Indicated and Inferred Resources are considered within the optimization in the
same process.

Additional terms Deswik

x Pillar Length: 0.01 m
The information received from the Planning area includes the resource model, stope control
surfaces and stope geometry controls; this information is crossed with the wireframe files, string
files and the files are verified to obtain a detailed summary of resources, such as shown in Figure
11-23.

Figure 11-23: Input and output files after RPEE analysis

Source: Buenaventura Planning Area (Buenaventura, 2021)

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11.6 Uncertainty
SRK evaluated the uncertainty of Mineral Resources considering the following items:

x Database and QAQC: the database is in an MsSQL engine and the storage structure has
been generated in Acquire software. For information management, an InHouse BVN
implementation is used, which guarantees the traceability of information. SRK evaluated
the documents supporting (certificates) this information and was able to identify that
around 25% had no such support documents, mainly for information collected prior to 2010.
In the case of QAQC, problems were identified with accuracy and precision (especially for
duplicates).
x Density: only the 112 most important veins have been sampled to obtain density
measurements. SRK has defined a methodology to assign density values to unsampled
veins that clusters by geological similarity to the 112 sampled veins. SRK recommends
improving the distribution of density samples in subsequent updates to cover the entire
volume of structures and include density interpolations in line with industry best practices.
x Geological Model: the deposit has a lithological and structural model with a basic level of
detail, which facilitates efforts to identify litho-structural domains in the deposit.
Additionally, Uchucchacua has defined solids that represent the deposit's mineralized
structures; these are prepared based on mapping, channel sampling, and drillhole
information. SRK reviewed the solids for 58 major veins in the deposit (representing about
75% of Measured and Indicated Resources) and believes that these have been prepared
consistently. Given the importance of this deposit structure, SRK recommends creating
and periodic updating information to add further detail to the structural model.
x Resource Estimation: the process has been carried out following Best Practices for
Resource Reporting proposed by the CIM. During the Exploratory Data Analysis, BVN
assigned boundedness that in SRK's opinion are conservative, which makes grade
estimation in the deposit conservative as well. The existence of artifacts was visually
checked as the estimation is highly local. SRK recommends using search parameters and
block size to provide a smoothed estimate. Other stages of the estimation process have
also been reviewed by SRK, and the results can generally be validated satisfactorily.
x Resource categorization: the criteria used consider the number of composites and the
average distance of three initially closest drillholes. Some artifacts generated by grade
extrapolation are generally outside of the ore considered a Mineral Resource. After the first
stage of categorization, BVN performed an additional process to avoid the Spotted Dog
effect and downgraded Measured and Indicated Resources generated in veins of less than
5 kt to Inferred Resources (these Resources are usually generated around drillhole
sampling and workings). The Spotted Dog effect was eliminated in 58 veins subject to
classification smoothing; the remaining veins continue to exhibit this effect. Consequently,
this risk was downgraded to a lower category than initially reported. In SRK's opinion, the
categorization is relatively conservative for Measured, Indicated, and Inferred Resources.
The current classification reduces the risk of potential overestimation.
x No reconciliation information is available to validate the results between estimates and ore
processing results. For the next update, to faciltate resource and reserve validations
processes, it is important to incorporate the results of a reconciliation of main processes
as well as results from resource models and the metallurgical plant.
Based on the level of uncertainty outlined above and the means designed to address uncertainty
in the estimation - categorization process, SRK believes that the stated mineral resources are
appropriate and adequate for public disclosure.

11.7 Summary Mineral Resources

The summary of variables and filters used in the report are listed in ¡Error! No se encuentra el
origen de la referencia..

Table 11-23: Description of variables and condition used for reporting

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Variable Description Default Condition

Ag_oz Ag content in ounces 0 -

Ag_ppm Ag content in ppm 0 -

Category Category 1: measured, 2: indicated, 3: Inferred, 4: Potential 0 -

Density Density in g/cm³ - -

Fe_pct Iron content in % 0 -

Mn_pct Manganese content in % 0 -

Pb_pct Lead content in % 0 -

Vein Vein code - -

Zn_pct Zinc content in % 0 -

Mining 0: available, 1: mined 0 Mining = 0

Deductions for crown pillars, crusts, and pillars Condition = 0

Condition 0
0: available 1: not available
NSR (Cut-off) Net Smelter Return in US$/t (considers variable recoveries) 0 NSR >= 70

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Table 11-24: Mineral Resource Statement

Resource Report as of June 30, 2021
Unit: Uchucchacua
Date: 03/16/2022
Summary Resources- Cut-off Differentiated
Zone Category Tonnes Ag Pb Zn Mn Fe NSR Width
(000) oz/t PCT PCT PCT PCT US$/t m
Carmen Measured 143 7.84 0.74 1.16 6.00 1.13 126.70 1.71
Indicated 311 9.04 0.90 1.18 6.44 3.10 147.00 2.01
Measured & Indicated 454 8.66 0.85 1.17 6.30 2.48 140.61 1.91
Inferred 2,344 14.54 1.09 1.33 7.03 3.43 236.25 3.50
Casualidad Measured 18 6.90 1.53 2.04 3.83 4.64 127.77 1.44
Indicated 125 6.70 1.55 2.98 2.83 7.51 133.17 1.85
Measured & Indicated 143 6.73 1.54 2.86 2.95 7.15 132.49 1.79
Inferred 381 8.98 2.37 3.21 3.14 8.89 178.22 2.05
Huantajalla Measured 9 16.37 1.66 2.20 3.33 9.73 281.40 1.51
Indicated 92 11.06 1.61 1.95 5.50 10.03 193.04 2.15
Measured & Indicated 101 11.54 1.61 1.97 5.31 10.00 200.97 2.09
Inferred 808 13.74 2.01 2.43 4.00 11.07 242.85 2.31
Socorro Measured 450 7.86 1.14 1.83 7.44 4.71 136.90 1.72
Indicated 1,079 7.38 1.06 1.90 7.55 5.74 129.38 2.07
Measured & Indicated 1,529 7.52 1.08 1.88 7.52 5.44 131.59 1.97
Inferred 3,496 9.69 1.54 2.62 7.24 7.38 176.01 2.85
Total Measured 620 7.95 1.06 1.69 6.94 3.96 136.38 1.71
Indicated 1,607 7.86 1.10 1.85 6.85 5.61 136.71 2.04
Measured & Indicated 2,227 7.88 1.09 1.80 6.87 5.15 136.62 1.95
Inferred 7,029 11.73 1.49 2.20 6.58 6.57 203.90 2.96
Note: Resources do not include reserves, no ore loss or dilution has been included.
The prices used are US$ 25.00 per ounce Ag, US$ 2,286.00 per MT Pb, US$ 2,385.00 per MT Zn
Source: BNV

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Table 11-25: Summary excluded Mineral Resources

Tonnes Ag Pb Zn Mn Fe NSR Width
Classification
(000) oz/t pct pct pct pct US$/t m
Measured 620 7.95 1.06 1.69 6.94 3.96 136.38 1.71
Indicated 1,607 7.86 1.1 1.85 6.85 5.61 136.71 2.04
Measured &
2,227 7.88 1.09 1.8 6.87 5.15 136.62 1.95
Indicated
Inferred 7,029 11.73 1.49 2.2 6.58 6.57 203.9 2.96
Source: BVN
Notes on mineral resources:
x Mineral Resources are defined by the SEC Definition Rules for Mineral Resources and Mineral Reserves.
x Mineral Resources are exclusive of Mineral Reserves
x Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability
x The reference point for the Mineral Resources estimate is insitu. Mineral Resources were estimated as of
june 30,2021. The estimate has an effective date of 31 december, 2021. The Qualified Person Firm
responsible for the resource estimate is SRK Consulting (Peru) S.A.
x Mineral Resources are reported above a differentiated NSR cut-off grade for structures based on actual
operating costs
x Metal prices used in the NSR assessment are US$27.5/oz for silver, US$2,515/t for lead and US$2,624/t for
zinc.
x Extraction, processing and administrative costs used to determine NSR cut-off values were estimated based
on actual operating costs as of 2021
x Cesar Cerdán, Engineer. (AIG #7206) is the Qualified Person for the resources being an employee of SRK
Consulting Peru.
x Tons are rounded to the nearest thousand
x Totals may not add due to rounding.

11.7.1 Mineral Resources Sensitivity

Factors that may affect estimates include metal price and exchange rate assumptions; changes
in the assumptions used to generate the cut-off grade; changes in local interpretations of the
geometry of mineralization and continuity of mineralized zones; changes in geological form and
mineralization and assumptions of geological and grade continuity; variations in density and
domain assignments; geometallurgical assumptions; changes in geotechnical, mining, dilution
and metallurgical recovery assumptions; changes in design and input parameter assumptions
pertaining to conceptual stope designs that constrain estimates; and assumptions as to the
continued ability to access the site, retain title to surface and mineral rights, maintain
environmental and other regulatory permits, and maintain the social license to operate.

There are no other known environmental, legal, title, tax, socioeconomic, marketing, political or
other factors that could materially affect the estimate of Mineral Resources or Mineral Reserves
that are not discussed in this Report.

A grade-tonnage curve was estimated for each mining method to show the effect of varying the
NSR cut-off value in tons and the NSR value (Figure 11-24, Figure 11-25, Figure 11-26 and
Figure 11-27).

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Metallurgical Circuit 1: High Grade Ag Circuit

Bench & Fill Measured & Indicated Resources

Figure 11-24: Grade-Tonnes curve for Bench & Fill at High Grade Ag circuit.
Source: Buenaventura Planning Area (Buenaventura, 2021)

Cut & Fill Measured & Indicated Resources

Figure 11-25: Grade-Tonnes curve for Cut & Fill at High Grade Ag circuit
Source: Buenaventura Planning Area (Buenaventura, 2021)

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Metallurgical Circuit 2: Polymetallic Circuit

Bench & Fill Measured & Indicated Resources

Figure 11-26: Grade-Tonnes curve for Bench & Fill at Polymetallic circuit
Source: Buenaventura Planning Area (Buenaventura, 2021)

Cut & Fill Measured & Indicated Resources

Figure 11-27: Grade-Tonnes curve for Cut & Fill at Polymetallic circuit
Source: Buenaventura Planning Area (Buenaventura, 2021)

11.8 Opinion On Influence for Economic Extraction

The QP is of the opinion that the Mineral Resources for the Uchucchacua Mine, which have
been estimated using core drill and channel data, have been performed in accordance with
industry best practices and with the regulations of SEC S-K 1300.The Mineral Resources are
acceptable to support the declaration of Mineral Reserves. Furthermore, the QP is opinion that,
based on the fact that Uchucchacua performs an annual depletion exercise where material
identified as inaccessible to underground mining due to economic or geotechnical reasons is

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sterilized, and given that the unit’s resource evaluation is based on actual mining, processing
and smelting costs; actual metallurgical recoveries achieved in the plant; reasonable long-term
metal prices; and the application of a transparent cut-off grade, the Mineral Resources have
‘reasonable prospects for economic extraction.’

B.- Yumpag Unit

11.9 Key Assumptions, Parameters, and Methods Used

The 2021 Mineral Resource estimates at the Yumpag Project (Camila, Candela, Carmela, La
Nena, Natalia, Tensional and Carolina Bodies) were prepared in the following steps by BVN
and supervised by SRK:

x Data validation
x Data preparation, including import into various software packages.
x Review of geological interpretation and modeling of mineralization domains
x Coding of drillhole and channel data within mineralized domains
x Sample length composition of both drill holes and channel samples
x Analysis of extreme data values and application of top cut
x Analysis of exploratory data of the key elements: silver and density
x Analysis of boundary conditions
x Analysis and modeling of variograms
x Estimation plan
x Kriging neighborhood analysis and creation of block models
x Grade interpolation of Ag and sample length, assignment of density values
x Validation of grade estimates against original data
x Classification of estimates with respect to the CIM guidelines
x Assignment of an NSR based on long-term metal prices, metallurgical recoveries,
smelter costs, commercial contracts and average concentrate grades.
x Exhaustion of blocks identified as mined or inaccessible
x Tabulation and reporting of mineral resources based on NSR cut-off grades

Reviewed methodology, estimation results, and updated metal prices, recoveries, and costs
applied to the calculation of NSR values. This was carried out for the 07 bodies of Yumpag
(Camila, Candela, Carmela, La Nena, Natalia, Tensional and Carolina).

11.10 Geological Model

In Yumpag, the Camila and Tomasa corridors, which are mineralized Riedel structures related
to the movement of the Cachipampa fault, crossing the βeta horizon or Gastropods (pure
limestone with bioclastic packstone to grainstone facies) of the upper Jumasha, has allowed
the formation of high-grade silver mineralized bodies. Additionally, mineralization grades from
a distal Ag-Mn halo to proximal Pb-Zn-(Cu)-enriched mineralization, following subsidence to
the southwest.

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The Camila corridor consists of mineralized structures made up of veins, bodies and faults with
an anastomosed geometry with a N60° direction that, when they intersect favorable prospective
levels such as Beta horizons and/or Gastropods, allow the precipitation of Ag-Mn- (Pb- Zn)
under an impermeable and plastic “seal” horizon, which are the overlying marly limestones of
Upper Jumasha.

Camila in its southwestern extension grades to higher pyrite content with better silver grade.
Likewise, two argentiferous stages have been defined: a first stage, replacement with
alabandite- (silver sulfosalts); a second stage, where the filling of cavities prevails with the
pyrite-silver sulfosalts-sphalerite-galena association.

The Candela structure (part of the Camila corridor anastomosed system), which is quite
irregular and has a structural control that follows the N60° trend, is located on the floor of
Camila. Like Camilia, it develops in the Beta horizon; however, it is observed that the best cuts
occur at the top of the Gastropod horizon, which, added to the high silver values, adds
significant gold values, which are associated with a silver-arsenopyrite-pyrite-electrum-sulfosalt
structure. (alabandite).

The Tomasa Corridor (Tomasa, Almendra and Coqueta structures), corresponds to an

anastomosed system of mineralized vein-like structures and bodies with azimuth between N60°
and N65°, hosted mainly in the Beta and Gastropod horizons of the Upper Jumasha, with
economic mineralization high-grade Ag-(Pb-Zn) over 600m long and open to the SW along the
strike to the Cachipampa fault (of which it is a stress structure), has 200m camp; the average
thickness of the mineralized cuts is 12m.

The economic mineralization consists mainly of Ag-alabandite sulfosalts, containing galena-

sphalerite; they show a gradation from the northeast with higher alabandite content to the
southwest with an increase in sulfosalts of Ag-red silvers, base metals such as galena-
sphalerite and pyrite.

Studies show elements that support a superimposition of events, whose interpretation

evidences, as the first event, a distal skarn with a prograde phase characterized by pyrite-
chalcopyrite-pyrrhotite mineralization plus a retrograde phase with an actinolite-tremolite-
rhodonite-carbonate assemblage, with galena-sphalerite mineralization. After collapsing the
skarn event, it is superimposed by an Intermediate Sulfidation (IS) epithermal event with a
quartz-adularia-Ag-alabandite sulfosalt assemblage.

Conditions for geological modeling at Yumpag are well established with underground work
identifying strong contact between mineralized vein structures and host rock in all veins.
Subsequently, domain boundaries were treated as hard boundaries. Coded samples within a
vein were used to estimate blocks within that vein, to prevent samples within veins from
including host rock information.

The wireframes of mineralized structures were constructed by Yumpag Project's geology

department based on the deposit geology interpretation, using information from the mapping of
mine workings, drillhole sections obtained from logging, and other geological controls.

The structures geological model was built using Leapfrog implicit modeling tools (¡Error! No se
encuentra el origen de la referencia.). The modeling baseline database considered the
chemical analyses (assays) of mine channels and diamond drill holes.

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Figure 11-29 shows the structure modeling flowchart that initially collects information from
drilling, channels, topography and Laboratory that is stored in a database to be used in the
modeling of structures, interpretations of the Geologist, visualization of sampling and
identification of mining areas.

The Yumpag Project contains seven structures that were modeled: Camila (10), Candela (20),
Carmela (30), La Nena (40), Natalia (50), Tensional (60) and Carolina (70) as shown in Figure
11-30.

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Figure 11-28: Yumpag Implicit modeling flowchart.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Figure 11-29: Yumpag Structures modeling flowchart.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Figure 11-30: Modeled structures in the Yumpag Project

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.10.1 Exploratory Data Analysis

Sample length compositing was performed so that the samples used in statistical analysis and
estimation have similar support (i.e., length). The Yumpag Project samples diamond drill holes
and mine channels at different interval lengths depending on the length of the intercepted
geological features and the actual width of the vein structure. Sample lengths were examined
for each vein and composited according to the most frequently sampled length interval. Data
from composited and unprocessed samples were compared to ensure that no loss of sample
length or loss of metal content had occurred.

Exploratory data analysis was performed on the composites identified for each of the veins.
Statistical and graphical analysis (including histograms, probability plots, scatter plots) was
performed for each vein to evaluate if additional subdomains were required to achieve
stationarity.

The estimation process only considers samples within wireframes and/or mineralized structures
(7 structures).

Statistical study of the original samples (raw data) for Ag, Pb, Zn, Fe and Mn, was performed
as shown in Table 11-26.

Table 11-26: Summary statistics of original Ag, Pb, Zn, Fe, and Mn samples by mineralized
structures from the Yumpag Project - Camila and Candela structures.
Structure Std. Coef.
Structure Element Unit Count Minimum Maximum Mean Variance
Code Dev Var.

Camila 10 Ag oz 1,951 0.02 388.22 30.12 1,271.90 35.66 1.18

Camila 10 Pb pct 1,951 0.001 29.71 0.75 1.63 2.16 2.66

Camila 10 Zn pct 1,951 0.001 11.24 1.28 3.55 1.88 1.48

Camila 10 Fe pct 1,951 0.21 32.40 5.10 31.47 5.61 1.10

Camila 10 Mn pct 1,951 0.02 55.60 21.95 192.98 13.89 0.63

Candela 20 Ag oz 615 0.02 341.30 22.87 1,021.40 31.96 1.40

Candela 20 Pb pct 615 0.001 7.14 0.40 0.80 2.00 0.65

Candela 20 Zn pct 615 0.001 6.70 0.70 1.18 1.09 1.55

Candela 20 Fe pct 615 0.001 26.80 3.18 11.06 3.33 1.05

Candela 20 Mn pct 615 0.001 57.10 20.09 211.89 14.56 0.73

*The information of selected structures was included.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.10.2 Outliers and Compositing

Top cuts of grade outliers avoid overestimation in domains due to disproportionately high grade
samples. Whenever the domain contains an outlier, this extreme grade will overly influence the
estimate.

If the outliers are supported by surrounding data, they are considered a valid part of the sample
population and are not considered to pose a risk to the estimation quality, then they can be
discarded. If the outliers are not considered a valid part of the population (e.g., they belong to

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another domain or are simply incorrect), they should be removed from the domain dataset. If
the outliers are considered a valid part of the population but are deemed to represent a risk to
the quality of the estimate (e.g., they are poorly supported by neighboring values), they should
be cut to the value selected as the upper bound. Top cut is the practice of resetting all values
above a certain cut off value to the threshold value.

Yumpag Project examined the grades of all metals that were estimated (Ag, Pb, Zn, Fe, and
Mn) to identify the presence and nature of grade outliers. This was done by examining sample
histogram, log histogram, log probability plot, and by examining the spatial location of outliers.
Top cut thresholds were determined by examining the same statistical plots and examining the
effect of top cuts on the mean, variance, and coefficient of variation (CV) of the sample data
and loss of metal content. The top cut thresholds used for each vein are shown in Table 11-27.

Table 11-27: Yumpag, Top cut values for Camila (10) and Camila (20) structures.
Structure No. of Total
Structure Element Unit Capping %CM red.**
Code Samples Samples

Camila 10 Ag oz 120 66 4.2% 1,885

Camila 10 Pb pct 9.90 13 4.8% 1,938

Camila 10 Zn pct 9.16 8 0.3% 1,943

Camila 10 Fe pct 25.47 19 0.6% 1,932

Camila 10 Mn pct 52.46 8 0.0% 1,943

Candela 20 Ag oz 120 13 4.5% 602

Candela 20 Pb pct 6.86 1 0.1% 614

Candela 20 Zn pct 6.70 1 0.0% 614

Candela 20 Fe pct 16.65 2 0.6% 613

Candela 20 Mn pct 45.45 14 0.4% 601

*The information of selected structures was included.

** CM red.: Metal Content Reduction
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

The limits were established between the 95th and 99th percentiles of the population of each
domain, considering that metal content loss is confined to the 2-5% range and the value of the
coefficient of variation should not exceed 2; for this purpose, each domain was evaluated to
calculate the most appropriate value.

An example of the analysis is shown in Figure 11-31, and the statistical comparison of the
results is shown in ¡Error! No se encuentra el origen de la referencia..

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Figure 11-31: Yumpag, Top cut analysis of Ag(oz/t) in domain 10 - Cut at 120 Ag(oz/t) with
4.2% of metal content
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-28: Comparison between statistics before and after applying top cut 120 oz/t to
Ag(oz/t) in Camila structure
Statistics Mean Maximum SD CV Samples Num cut Metal cut
Raw Data 30.12 388.2 35.66 1.18 1,951 - -
Top Cut 28.87 120 30.24 1.05 1,885 66 4.20%
% Difference 4.20% 69.10% 15.20% 11.50% 3.40% - 95.80%
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.10.3 Determination of Regularized Length (Composite)

Sample length compositing was performed so that the samples used in statistical analysis and
estimation have similar support (i.e., length). Yumpag Project samples drillholes at different
interval lengths according to the length of the intercepted geological features and the actual
thickness of structures. Sample lengths were examined for each structure and composited
according to the most frequently sampled length interval (¡Error! No se encuentra el origen de
la referencia.). Data from composited and unprocessed samples were compared to ensure that
no loss of sample length or loss of metal had occurred, and where the mean and coefficient of
variation are affected as little as possible.

The mean was used to define the width of the composite; most of the samples are separated
by at least 1 m, this result was obtained supported by the frequency histograms, as shown in
Figure 11-32.

Figure 11-32: Yumpag Histogram of drillhole width values.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.10.4 Geological distribution (Compositing)

Table 11-29 shows the statistics of composites by domain and element. The coefficient of
variation of silver (Ag), lead (Pb), zinc (Zn), iron (Fe), and manganese (Mn) values is relatively
low (less than 1.6), so we have less dispersed values than the raw data when estimating.

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Table 11-29: Yumpag Statistics of composites in Camila and Candela structures

Structure
Structure Element Unit Count Min Max Mean Variance Std. Dev.
Code
Camila 10 Ag Oz 1,153 0.02 120 26.86 655.7 25.61 0.95
Camila 10 Pb Pct 1,153 0.001 6.88 0.64 0.79 0.89 1.4
Camila 10 Zn Pct 1,153 0.001 9.16 1.22 2.73 1.65 1.36
Camila 10 Fe Pct 1,153 0.25 25.47 4.96 25.95 5.09 1.03
Camila 10 Mn Pct 1,153 0.02 50.94 21.38 169.96 13.04 0.61
Candela 20 Ag Oz 299 0.03 120 20.68 462.21 21.5 1.04
Candela 20 Pb Pct 299 0.001 3.69 0.37 0.33 0.58 1.58
Candela 20 Zn Pct 299 0.001 6.3 0.67 0.94 0.97 1.45
Candela 20 Fe Pct 299 0.15 18.54 3.06 9.08 3.01 0.98
Candela 20 Mn Pct 299 0.04 45.16 19.18 187.88 13.71 0.72
*The information of selected veins was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

¡Error! No se encuentra el origen de la referencia. shows the histograms and probability plots
of Ag in the Camila (10) structure (composites). A lower dispersion of information is observed.
Likewise, the evaluation of these plots also helps in the identification of restriction values.

Figure 11-33: Yumpag, Histogram and cumulative probability plot for Ag (oz/t) composites in
the Camila (10) and Candela (20) structures.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.11 Mineral Resources Estimate

11.11.1 Estimation Plan
Yumpag Project performed estimation of the following elements: Silver (Ag), Lead (Pb), Zinc
(Zn), Iron (Fe), and Manganese (Mn). Estimation domains were generated for each element
according to the stationarity conditions.

Boundary conditions at Yumpag are well established with underground workings, which
identified strong contact between mineralized vein structures and host rock in all veins.
Subsequently, domain boundaries were treated as hard boundaries. Only samples coded within
a vein were used to estimate blocks within that vein to prevent high-grade samples from the
vein from being stained by the low-grade host rock and vice versa.

Variography was performed in composites and estimation plan. The validation tools available
were visual validation, cross validation, global validation, and local validation or Swath Plot.

For resource estimation, Supervisor ® (Statistical Analysis), Leapfrog Geo ® (Structure

Modeling), and Vulcan ® (Resource Estimation) software were used.

11.11.2 Qualitative Kriging Neighborhood Analysis (QKNA)

Kriging neighborhood analysis was performed to define the estimation parameters, such as,
minimum and maximum number of samples, maximum number of samples from the same
drillhole, and search distances.

Scenarios of block size close to the one used to build the block model were analyzed, using
the values obtained in the variographic analysis shown in the previous section, checking that
the kriging efficiency and slope of regression have adequate values.

In general, a minimum of 2 samples and a maximum of 24 have been used as a starting point,
with a maximum of 2 samples per drillhole. From this configuration, it was possible to determine
the appropriate parameters for each domain.

Figure 11-34, ¡Error! No se encuentra el origen de la referencia., and ¡Error! No se

encuentra el origen de la referencia. show the Supervisor environment for the KNA analysis,
where the appropriate neighborhood for each domain is finally determined.

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Figure 11-34: Yumpag, Determination of the minimum and maximum number of samples
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Figure 11-35: Yumpag, Behavior of KE and slope of regression, according to the number of
samples (top), and the negative weights generated (bottom).
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Figure 11-36: Yumpag, The plot shows that neighborhood 12,5,3 has the best values for KE
and slope of regression.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.11.3 Continuity Analysis

Continuity analysis refers to the analysis of spatial correlation of a score value between pairs
of samples to determine the main axis of spatial continuity.

Grade distribution has a log-normal distribution, so traditional experimental variograms tend to

be of poor quality. To counter this, the data were transformed to a normal score distribution for
continuity analysis.

Yumpag Project examined horizontal, across strike, and down dip continuity maps (and their
underlying variograms) for Ag, Pb, Zn, Fe, and Mn to determine the directions of greatest and
least continuity.

Continuity analysis confirmed that some veins have insufficient data to allow variogram
modeling. In the case of these veins, inverse distance (ID3) was used as an alternative
estimation technique.

11.11.4 Variable Orientation Modeling

The next step is to model the variograms for the major, semi-major, and minor axes. This
exercise creates a mathematical model of the spatial variance that can be used by the ordinary
kriging algorithm. The most important aspects of the variogram model are the nugget effect and
the short-range characteristics. These aspects have the most influence on estimation.

The nugget effect is the variance between sample pairs at the same location (zero distance).
The nugget effect contains components of inherent variability, sampling error, and analytical
error. A high nugget effect implies that there is a high degree of randomness in the sample
grades (i.e., samples taken even at the same location can have quite different grades). The
best technique for determining the nugget effect is to examine the downhole variogram
calculated with lags equal to the composite length.

After determining the nugget effect, the next step is to model directional variograms in the three
main directions for Ag, Pb, Zn, Fe, and Mn based on the directions chosen from the variograms.
It was not always possible to generate a variogram for minor axes, and in these cases the
ranges for the minor axes were taken from the downhole variograms, which have a similar
orientation (perpendicular to the vein) to that of the minor axes. Modeled variogram results were
back transformed to define the estimation parameters. Variogram parameters are detailed in
¡Error! No se encuentra el origen de la referencia..

¡Error! No se encuentra el origen de la referencia. shows the variography of Camila structure's

domain 10; its different populations were treated as one when the respective variography was
developed.

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Figure 11-37: Yumpag, Variography of Ag (oz/t) for Camila structure's domain 10.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Table 11-30 shows the variography (by domain) of main structures. All veins were estimated using OK (ordinary Krigging) and ID3 (Inverse
Distance), but the method with the smallest percentage difference from the NN (nearest neighbor) estimate was chosen. A method that was used
in all the veins, the exponent (3) based on historical comparisons of previous estimates, the ID3 vs. ID2 results confirmed that ID3 outperforms for
this deposit. For structures estimated by the Inverse Distance method, variograms were prepared to define the search ellipsoids.

Table 11-30: Yumpag, Variography parameters in the estimation files of main structures
Semi- Semi-
Structure Str 1 Major Minor Str 2 Major Minor
Structure Element Unit Bearing (°) Plunge (°) Dip (°) Nugget Major Major
Code* Sill Axis Axis Sill Axis Axis
Axis Axis

Camila 10 Ag oz 240 -5.00 -90.00 0.13 0.23 8 2 34 0.65 101 51 35

Camila 10 Pb pct 8.00 -51.71 36.20 0.15 0.61 10 27 4 0.23 30 30 30
Camila 10 Zn pct 178.67 54.69 -7.10 0.13 0.42 6 6 6 0.45 35 97 15
Camila 10 Mn pct 240 -5.00 -90.00 0.13 0.23 8 2 34 0.65 101 51 35
Candela 20 Ag oz -141.47 7.64 49.57 0.65 0.38 35 24 1 0.56 71 65 15
Candela 20 Pb pct 8.003 -51.71 36.20 0.17 0.63 5 30 4 0.21 11 45 12
Candela 20 Zn pct 148.67 54.69 7.10 0.14 0.70 31 57 3 0.16 109 251 10
Candela 20 Mn pct 64.12 9.96 95.08 0.15 0.27 48 9 5 0.59 80 58 15
*The information of selected structures was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.11.5 Block Model

The block size was selected based on the needs of the Planning area, which are linked to the
mining methods at Minera Uchucchacua; cell dimensions are 3 m x 3 m x 3 m and are
represented on the X, Y, and Z axes.

The block model consists of cells and sub-cells that fill the entire volume of interest. Each cell
occupies a discrete volume that can be assigned whatever information is deemed necessary
to accurately and precisely describe and interpret the deposit; the entire block model or fraction
thereof can be evaluated, and tonnage and grades reported.

Block Model Characteristics

For the Yumpag Project, the dimensions of cells making up the block model will be a function
of the composite length, characteristics of the structure to be evaluated, and mining methods;
cell dimensions will be 5 m x 5 m x 5 m which are represented on the X, Y, and Z axes.

Dimensions were based on the mining SMU, since the mining method used is cut-and-fill
stoping and in areas with lower rock quality, breasting.

A resource model was made using Vulcan software, based on the main structures of the mine
(Camila, Candela, Carmela, La Nena, Natalia, Tensional, and Carolina), whose characteristics
are presented below:

Table 11-31: Block model dimensions

Extension

Extension

Extension
Structure

Size Size Size

Origin Origin Bearing Plunge Dip
X

Origin X X Y Z
Y

Z
Y Z (°) (°) (°)
(m) (m) (m)

Yumpag 320,200 8,829,000 3,900 65 0 0 1500 330 600 3 3 3

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

¡Error! No se encuentra el origen de la referencia. shows that each structure is independent,

so they can be worked as separate block models.

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Figure 11-38: Distribution of Yumpag Block Models

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.11.6 Grade Interpolation

The methods used for estimation in the Yumpag Project include Ordinary Kriging (OK), Inverse
Distance (ID3), and Nearest Neighbor (NN); the first two will be used to report resources and
categorize them while NN, due to its characteristics, will be used to validate the interpolation of
OK and ID methods.

Estimation Parameters
Parameters were derived from block size selection, search neighborhood optimization, and
variogram modeling. Sample data were composited and, when required, capped prior to
estimation.

Sample data and blocks were categorized into mineralized domains for estimation. Each block
is discretized (a matrix of points to ensure that score variability is represented within the block).

The estimation plan was defined with 4 passes with incremental search radii with outlier
restriction, minimum and maximum number of composites, minimum and maximum number of
drillholes, and number of composites per drillhole/channel so that the interpolation of grades
respects the composite information locally and globally. The fourth pass is to generate potential
resources.

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Table 11-32: Discretization parameters and number of samples per searches

Max. Number of
Min.Number of

-based search
Discretization

Discretization

Discretization
steps in X Dir

steps in Y Dir

steps in Z Dir

Samples per

Samples per
estimate

estimate

Octant
Structure Element Unit

PASS 1 Ag oz 3 3 3 3 6 2

PASS 1 Fe, Mn pct 3 3 3 3 6 2

PASS 1 Pb, Zn pct 3 3 3 2 8 2

PASS 2 Ag oz 3 3 3 3 8 2

PASS 2 Fe, Mn pct 3 3 3 3 8 2

PASS 2 Pb, Zn pct 3 3 3 3 12 2

PASS 3 Ag oz 3 3 3 3 8 2

PASS 3 Fe, Mn pct 3 3 3 3 8 2

PASS 3 Pb, Zn pct 3 3 3 3 12 2

PASS 4 Ag oz 3 3 3 1 10 2

PASS 4 Fe, Mn pct 3 3 3 1 10 2

PASS 4 Pb, Zn pct 3 3 3 1 12 2

*The information of selected structures was included.

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.11.7 Validation
Techniques to validate the estimation included visual inspection of the model, with plan, section,
and 3D composites; cross validation; validation of global estimates through statistical
comparison of average estimated values per domain between the Ordinary Kriging (OK) or
inverse distance (ID) with the nearest neighbor (NN); and validation of local estimates through
the generation of Swath Plots.

Cross Validation
When defining modeled variograms, estimation, and search neighborhoods, there is a range of
potential values that can be set. In order to optimize these values, a cross validation was
performed. This technique involves excluding a sample point and estimating a grade in its place
using the remaining composites. This process is repeated for all compounds used for estimation
and the estimated average grade is compared to the compounds' actual average grade.

By using this methodology in the Yumpag Project, a variety of estimation techniques, search
neighborhoods, and variogram models were tested to establish the parameters that provided
the most precise result.

Cross-validation results confirmed that ordinary kriging is a reasonable estimation method

when sufficient data is available for variogram analysis. For veins with insufficient data, inverse

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power of distance proved to be a superior estimation technique. Cross validation also helped
in adjusting the variogram and search neighborhood parameters as shown in Figure 11-39.

Figure 11-39: Cross validation for Camila structure's Domain 20410, showing a correlation
coefficient of 0.83.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Visual Inspection
Visual inspections constitute an important tool to detect spatial artifacts and entails a visual
comparison of composites and block grades. This step is also extremely useful to ensure that
the block model respects the drillhole data and/or channel samples. Composite data, block
model, and geological interpretations were considered for visual examination.

Both drillhole and block coding was checked during the visual inspection to ensure that the
coding is appropriate and respects the interpretation. Additionally, the estimated grades show
a reasonable correspondence between samples and blocks, where we have a fair population
of drillholes. ¡Error! No se encuentra el origen de la referencia. shows the variation of Ag
grades both transversely and longitudinally.

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Figure 11-40: Camila structure - visual validation

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Validation of the Global Estimate

Yumpag Project compared the model estimated with Ordinary Kriging or Inverse Distance vs.
the Nearest Neighbor model. The estimation results are considered reasonable, with
differences generally below 5%. Differences greater than 5% are due to overestimation of the
Nearest Neighbor degree due to the presence of isolated high degree compounds or due to
low overall grade concentrations or in areas classified as inferred resources.

Table 11-33 shows the overall validation results within the Measured and Indicated categories
for Camila and Candela structures. It is evident that 80% of results are below ±10%. Upon
closer examination, these structures contain isolated high grades in their domain, which have
been restricted in the estimation. After the analysis, the estimation method with the lowest
percentage difference for each vein was chosen.

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Table 11-33: Global validation in Camila and Candela structures

Structure Interpolate Interpolate
Structure Element Unit NN % diff % diff
Code (OK) (ID)
Camila 10 Ag oz/t 21.31 22.82 -7.08 22.83 -7.15
Camila 10 Pb Pct 0.47 0.50 -6.30 0.50 -5.78
Camila 10 Zn Pct 0.85 0.90 -6.28 0.90 -6.00
Camila 10 Fe Pct 3.70 3.85 -4.01 3.86 -4.25
Camila 10 Mn Pct 19.91 20.34 -2.14 20.56 -3.28
Candela 20 Ag oz/t 17.83 18.20 -2.08 18.20 -2.08
Candela 20 Pb Pct 0.33 0.31 4.38 0.32 1.30
Candela 20 Zn Pct 0.46 0.49 -7.54 0.49 -7.06
Candela 20 Fe Pct 2.53 2.62 -3.71 2.62 -3.71
Candela 20 Mn Pct 18.02 18.09 -0.37 18.02 0.00
*The information of selected structures was included.
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Local Validation
Validations were generated using Swath Plots of blocks estimated by Ordinary Kriging (OK)
and Inverse Distance (ID3) versus their respective Nearest Neighbor (NN) models, and
declustered composites for each of the structures in the east, north, and elevation directions to
validate the estimates on a local scale with an average bandwidth of 10 meters. Local estimate
validation evaluates each model to ensure that the estimation process does not introduce
excessive or conditional bias and that there is an acceptable level of score variation.

The plots show good continuity between Ordinary Kriging estimates and declustered nearest
neighbor estimates, which indicates that the kriging is not overly smoothed. The areas that do
not correlate well, generally at the extremes of veins, are related to areas with limited number
of samples. Based on the above results, it was concluded that ordinary kriging was an adequate
interpolation method and provided reasonable global and local estimates for all economic
metals.

Figure 11-41 shows the swath plot of Camila structure (10) in 3 directions. Except for the peaks,
which correspond to unconcentrated high grades, we observe that, on average, the estimates
by Inverse Distance (n=3) and Ordinary Kriging remain below the average of composites.

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Figure 11-41: Yumpag, Swath plot - Ag (oz/t) analysis for the Camila (10) structure in directions
X, Y, Z, and 135°
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.11.8 Bulk Density

Yumpag has performed a total of 189 density measurements; these density samples
correspond to 3 structures. Outliers that are not representative of the sample population were
discarded reducing the total density measurements used in the analysis to 180. The structures
that have no density sample information were associated according to their mineralogical
characteristics, location, structural family, and tectonic regime with veins that did have density
samples.

The general statistics of density data were calculated (¡Error! No se encuentra el origen de
la referencia.) and then an analysis was performed without considering samples above the
mean ± 2 Standard Deviation (domain, lithology, alteration, etc.) and by domain (¡Error! No se
encuentra el origen de la referencia.), which was finally used in the resource estimation.

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Table 11-34 : General density (g/cm³) statistics for Yumpag

Descriptive Data Statistic

Structure Standard Standard

Structure # Data Minimum Maximum Range Mean Median Variance CV Skewness Kurtosis
Code Deviation Error

Camila 10 141 2.19 4.28 2.09 3.26 3.32 0.474 0.225 0.15 0.0399 -0.0963 -0.647

Candela 20 42 2.43 3.83 1.4 3.34 3.41 0.378 0.143 0.11 0.0583 -0.946 0.373

Carmela 30 6 2.69 3.83 1.14 3.08 2.86 0.446 0.199 0.15 0.182 1.23 0.222

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Table 11-35: Yumpag, Density (g/cm³) statistics with data filtered according to Mean ± 2SD

Descriptive Data Statistic

Structure Standard Standard
Structure # Data Minimum Maximum Range Mean Median Variance CV Skewness Kurtosis
Code Deviation Error

Camila 10 136 2.37 4.19 1.82 3.27 3.32 0.44 0.194 0.135 0.0378 -0.0696 -0.839

Candela 20 38 2.91 3.83 0.92 3.43 3.46 0.266 0.0705 0.077 0.0431 -0.302 -0.964

Carmela 30 6 2.69 3.83 1.14 3.08 2.86 0.446 0.199 0.145 0.182 1.23 0.222

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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11.11.9 Resource Classification and Criteria

The Confidence Limits methodology was used to categorize the resources, where first of all, a
panel to be evaluated is defined according to the production volume of a month (Table 11-36).

Table 11-36 : Defining the panel to be evaluated

Yumpag D1 Confidence Limits
Tonnes per day 1,500.00

Tonnes per month 45,000

Tonnes per quarter 135,000

Volume per quarter (SG = 2.6) 13,636

Volume 50x50x10m block 12,500

Source: BVN

A fictitious drilling pattern is defined every 10 meters as shown in Table 11-37. Based on EDA
and variography, the Kriging variance (OKV) and the Coefficient of variation (CV) of composites
are determined. These two parameters are used to calculate the Relative Standard Error (RSE)
and subsequently, the Confidence Limit at 90% for an annual production volume (A90%), and
the Confidence Limit at 90% for a quarterly production volume (Q90%).

Table 11-37: Calculation of A90% and Q90%, based on OKV and CV for each spacing
Ind. Meas.

Spacing CV Comp OKV RSE A90% Q90% Slope BDV KV/BDV

80x80 0.990 0.1071 0.32 16% 31% 0.88 0.170 0.63

60x60 0.990 0.1043 0.32 16% 31% 0.91 0.170 0.61

50x50 0.990 0.0951 0.31 15% 29% 0.92 0.170 0.56

40x40 0.990 0.0812 0.28 14% 27% 0.95 0.170 0.48

30x30 0.990 0.0542 0.23 11% 22% 0.98 0.170 0.32

KV = Kriging Variance for the estimation of a Monthly volume

RSE = Relative Standard Error = CVComps x √KV

Q90% = Confidence Limit at 90% for a Quarterly Volume = (1.645 x RSE) / √3

A90% = Confidence Limit at 90% for an Annual Volume = (1.645 x RSE) / √12

BDV = Block Dispersion Variance

Source: BVN

A90% and Q90% values are plotted on a graph versus spacing in Figure 11-42.

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S i ( )

Figure 11-42: Yumpag, Spacing vs. error graph

Source: Buenaventura Mineral Resources Area (Buenaventura, S
2021)

Finally, Measured Resource is represented by spacing with a margin of error less than or equal
to 15% at Q90% while the Indicated Resource is represented by spacing with a margin of error
less than or equal to 15% at A90%. These values are calculated from the graph in Figure 11-42.

The variable "d3h_avgdist_anisot" was calculated as the average anisotropic distance of the
three closest drillholes. Based on this variable and number of holes involved in the block
estimation, categorization was performed according to Table 11-38: .

Thus, estimation parameters have been simplified in the Yumpag Project, considering:

x Measured resource, when there are 3 to more drill holes within a 10 m search radius.
x Indicated resource, when there are 2 or more drill holes within a 28 m search radius.
x Inferred resource, when there is 1 or more drill holes within a 60 m search radius.
In addition to the process described above, a procedure for smoothing the categorization has
been defined in order to eliminate any risk of generating the "spotted dog" effect. Yumpag
Project generated polygons based on the initial categorization in measured and indicated
resources that allows to adequately manage the distribution of resource categorization and its
continuity. Table 11-38 below shows the summary criteria of distance between samples and
number of drillholes for each category.

Table 11-38: Categorization summary table

Category Distance(m) Pass No. of Drills

Measured 0 to 10 <=3 >=3

0 to 10 <=3 2
Indicated
10 to 20 <=3 >=2

0 to 20 <=3 1
Inferred
20 to 60 <=3 >=1

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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In addition to the described procedure, a number of aspects affecting confidence in the estimate
were considered for resource classification in the Yumpag Project, such as:

x Geological continuity (including geological understanding and complexity).

x Data density and orientation
x Data accuracy and precision
x Grade continuity (including spatial continuity of mineralization)
x Density sampling

Geological continuity
Substantial geological information exists to support a good understanding of the geological
continuity on Yumpag Project's property. Detailed surface mapping identifying vein structures
is supported by extensive exploration drilling.

Yumpag Project's exploration geologists record drill cores in detail, including textural, alteration,
structural, geotechnical, mineralization, and lithological properties, and continue to develop a
detailed understanding of the geological controls on mineralization.

Understanding of vein systems is greatly enhanced by the presence of extensive underground

workings that allow for detailed geology mapping.

Data density and orientation

The estimation is made using diamond drilling data. Yumpag Project has explored the
structures using a drilling pattern spaced approximately 60 m apart along strike. Each drillhole
is intended to intercept the structure perpendicular to the mineralization strike, but in most
intercepts the actual intercept angle is between 75 and 90 degrees.

Geological confidence and quality of estimation are closely related to data density, and this is
reflected in the classification of resource confidence categories.

Data accuracy and precision

Resource confidence classification is also influenced by the accuracy and precision of available
data. The accuracy and precision of data can be determined by QAQC programs and an
analysis of the methods used to measure data.

SRK has found the accuracy and precision results to be acceptable; however, control sample
insertion rates are low. SRK recommends improving the incorporation of duplicate and standard
samples in the batches sent to laboratories in the future.

Spatial Continuity
Spatial continuity of values, as shown in the variogram, is an important consideration when
assigning resource classification. The variogram characteristics greatly influence estimation
quality parameters such as kriging efficiency and slope of regression.

The nugget effect and short-range variance characteristics of the variogram are the most
important measures of continuity. For Yumpag structures, the variogram nugget variance for
Ag is between 7% and 13% of the population variance, demonstrating the low variability of this

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precious metal. This shows that, in general, silver grades have good continuity over short
distances, resulting in higher confidence in these estimated grades. The variogram nugget
variance for Pb, Zn, Fe, and Mn is lower and is between 12% and 14%. This shows that, in
general, lead, zinc, iron, and manganese grades also have good continuity over short
distances, resulting in higher confidence in these estimated grades.

Figure 11-43: Camila structure blocks classification

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.11.10 Cut-Off Grade Estimates

The cut-off value used to report mineral resources is based on the cost estimated in the PFS
study developed by Agnitia consultants for Yumpag Project (mining cost) and the historical cost
database of the period 2018-2020 (processing cost and G&A).. There are three extraction
methods (Bench & Fill, Ascending Sublevels with cemented fill SARC and ODF), shown in
Table 11-39, that were taken into account to determine the cut-off value of Mineral Resources
during 2021.

The veins selected by the planning area for extraction with the Over Drift and Fill mining method
for circuit 1 have a variable cost of US$/t 64.55 (Mining, processing and off-site costs). Taking
into account a contingency on mining and processing costs a final NSR marginal cut-off value
of US$/t 72.03 was defined for this method,

The veins selected by the planning area for extraction with the Bench & Fill mining method for
circuit 1 have a variable cost of US$/t 58.14 (Mining, processing and off-site costs). Taking into
account a contingency on mining and processing costs a final NSR marginal cut-off value of
US$/t 65.62 was defined for this method.

The veins selected by the planning area for extraction with the Overhand Sublevel Stoping
(SARC) mining method for circuit 1 have a variable cost of US$/t 56.11 (Mining, processing and
off-site costs). Taking into account a contingency on mining and processing costs a final NSR
marginal cut-off value of US$/t 62.81 was defined for this method.

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Table 11-39: Cut Off grade calculation for Resources

Variable Cost (US$/t) *
Area ODF BF SARC
Mine 35.43 29.02 26.99
Plant Circuit 1 27.86 27.86 27.86
Off-Site costs 1.26 1.26 1.26
Sub-Total Variable Costs 64.55 58.14 56.11
Contingency (10%-16%) ** 7.48 7.48 6.70
Marginal Cut-Off Value *** 72.03 65.62 62.81
Source: Buenaventura
* For the Marginal cut off Value estimation was considered the variable costs
** Contingency is applied only on the mining and processing costs. For mining cost the contingency is variable
between 13% to 16%. For processing cost the contingency is 10%
*** Marginal cut-off value includes contingency

A net smelter return (NSR) was calculated for each metal, which included the expected
commercial terms for 2021, average metallurgical recovery, average grade in concentrate, and
long-term metal prices. In this way, the value of all metals produced during the operation can
be considered in the Mineral Resource report.

Metallurgical parameters and concentrate characteristics have been based on historical

recoveries observed at the plant by Yumpag Project.

NSR (Net Smelter Return) calculation considers variable metallurgical recoveries according to
grade ranges and metal prices (Table 11-40).

Table 11-40: NSR calculation formula

Unit NSR Formula
Yumpag Ag grade (oz/t/t)*18.6576650157041*Ag Recovery(oz/t/t)

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

It is the opinion of the QPs that by reporting resources based on actual mining, processing and
smelting costs; actual metallurgical recoveries achieved at the plant; reasonable long-term
metal prices; and the application of transparent court laws, mineral resources have "reasonable
prospects for economic extraction."

11.11.11 Reasonable Potential for Economic Extraction (RPEE)

To prove reasonable perspectives for an economic extraction, Yumpag Project constructed
restrictive conceptual stopes for the mineralized structures using Deswik Stope Optimizer ™;
which included measured, indicated and inferred mineralized material; considered the structure
width and the net smelter return (NSR); and was limited the differentiated Cut Off to limit the
stopes generated.

x Stope height: 3.00 m

x Stope length: 3.00 m
x Minimum width: 0.75 m
x Optimization variable: NSR

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x Optimization is performed following the azimuth of the vein, with a tolerance of 90°.
x Cut-Off: Differentiated by Mining Method
x Measured, Indicated and Inferred Resources are considered within the optimization in
the same process.

Additional terms Deswik

x Pillar Length: 0.01 m

The information received from the Planning area includes the resource model, stope control
surfaces and stope geometry controls; this information is crossed with the wireframe files, string
files and the files are verified to obtain a detailed summary of resources, which is shown in
Figure 11-44.

Figure 11-44: Input and output files after RPEE analysis

Source: Buenaventura Planning Area (Buenaventura, 2021)

11.11.12 Uncertainty
SRK evaluated the uncertainty of Mineral Resources considering the following items:

x Database and QAQC: the database is in an MsSQL engine, and the storage structure
has been generated in Acquire software. For information management, an InHouse
BVN implementation is used, which guarantees the traceability of information. In the
case of QAQC, control samples generally identify problems mainly in accuracy.
x Density: only the 3 most important structures have been sampled to obtain density
measurements. SRK has defined a methodology that facilitates assignments of density

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values to unsampled structures based on a clustering by geological similarity to those

3 sampled structures.
x Geological model: the deposit has a lithological, mineralization, and structural (basic)
model. Buenaventura has defined solids that represent the deposit's mineralized
structures, which are prepared based on logging and drill hole sampling information.
SRK reviewed the solids and believes they have been developed in a consistent
manner.
x Resource Estimation: the process has been carried out following the Best Practices for
Resource Reporting proposed by the CIM; each stage of the estimation process has
been reviewed by SRK and in general, the results can be validated satisfactorily.
x Resource categorization: the criteria used consider the number of composites and the
average distance of the three closest drillholes. In SRK's opinion, the categorization is
appropriate for the Measured, Indicated, and Inferred Resource.
Based on the points assessed above, and in view of the questions raised regaring the quality
of information used to estimate Mineral Resources, SRK believes that geological confidence
has been substantiated with regard to all the points reviewed above and that uncertainty has
been adequately defined through the categorization criteria applied.

11.11.13 Summary Mineral Resources

The fields used for reporting are shown in ¡Error! No se encuentra el origen de la referencia.

Table 11-41: Report fields

Item Description
Tonnes Value of volume by density

Ag (oz/t) Ag value ppm / 31.10348

Pb (pct) Pb value in pct

Zn (pct) Zn value in pct

Fe (pct) Fe value in pct

Mn (pct) Mn value in pct

NSR (US$/t) Value in NSR of the resource (US$/t)

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

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Table 11-42: Total Resource Report

Summary Excluded Mineral Resources
Tonnes Ag Pb Zn Fe Mn NSR Width
Zone Category
(000) oz/t pct pct pct pct US$/t m

Yumpag Measured 9 20.76 0.44 0.65 3.41 22.33 269.40 11.86

Indicated 195 16.07 0.31 0.56 2.98 19.53 207.32 9.41
Measured
204 16.28 0.32 0.57 3.00 19.65 210.07 9.52
& Indicated
Inferred 125 26.17 0.63 0.96 4.27 22.32 350.32 4.29
Total Measured 9 20.76 0.44 0.65 3.41 22.33 269.40 11.86
Indicated 195 16.07 0.31 0.56 2.98 19.53 207.32 9.41
Measured
204 16.28 0.32 0.57 3.00 19.65 210.07 9.52
& Indicated
Inferred 148 27.18 0.65 1.07 4.35 22.83 363.25 4.44

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Table 11-43: Summary excluded Mineral Resources

Tonnes Ag Pb Zn Fe Mn NSR
Classification
(000) oz/t pct pct pct pct US$/t
Measured 9 20.76 0.44 0.65 3.41 22.33 269.40
Indicated 195 16.07 0.31 0.56 2.98 19.53 207.32
Measured
& 204 16.28 0.32 0.57 3.00 19.65 210.07
Indicated
Inferred 148 27.18 0.65 1.07 4.35 22.83 363.25
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)
Notes on mineral resources:
x Mineral Resources are defined by the SEC Definition Rules for Mineral Resources and Mineral
Reserves.
x Mineral Resources are exclusive of Mineral Reserves
x Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability
x Mineral Resources were estimated as of December 31, 2021 and reported as of August 31, 2021 taking
into account production-related depletion for the period through December 31, 2021.
x Mineral Resources are reported above a differentiated NSR cut-off grade for structures based on actual
operating costs
x Metal prices used in the NSR assessment are US$27.5/oz for silver, US$2,515/t for lead and
US$2,624/t for zinc.
x Extraction, processing and administrative costs used to determine NSR cut-off values were estimated
based on actual operating costs as of 2021
x Cesar Cerdan, Engineer. (AIG #7206) is the Qualified Person for the resources being an employee of
SRK Consulting Peru.
x Tonnes are rounded to the nearest thousand
x Totals may not add due to rounding.

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11.11.14 Mineral Resources Sensitivity

Factors that may affect estimates include metal price and exchange rate assumptions; changes in
the assumptions used to generate the cut-off grade; changes in local interpretations of the
geometry of mineralization and continuity of mineralized zones; changes in geological form and
mineralization and assumptions of geological and grade continuity; variations in density and
domain assignments; geometallurgical assumptions; changes in geotechnical, mining, dilution and
metallurgical recovery assumptions; changes in design and input parameter assumptions
pertaining to conceptual stope designs that constrain estimates; and assumptions as to the
continued ability to access the site, retain title to surface and mineral rights, maintain environmental
and other regulatory permits, and maintain the social license to operate.

There are no other known environmental, legal, title, tax, socioeconomic, marketing, political or
other factors that could materially affect the estimate of Mineral Resources or Mineral Reserves
that are not discussed in this Report.

A grade-tonnage curve was estimated for each mining method to show the effect of varying the
NSR cut-off value in tons and the NSR value (Figure 11-45 and Figure 11-46).

Bench & Fill Measured & Indicated Resources

Figure 11-45: Grade-Tonnes curve for Bench & Fill

Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

Ascending Sublevels with Cemented Fill Measured & Indicated Resources

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Figure 11-46: Grade-Tonnes curve for ascending sublevels with Cemented Fill
Source: Buenaventura Mineral Resources Area (Buenaventura, 2021)

11.11.15 Opinion On Influence for Economic Extraction

The QP is of the opinion that the Mineral Resources for the Yumpag Project, which have been
estimated using core drill, have been performed to industry best practices, and conform to the
regulations of SEC S-K 1300. The Mineral Resources are acceptable to support declaration of
Mineral Reserves. Furthermore, it is the opinion of the QP that by Yumpag resource evaluation is
based on actual mining, processing and smelting costs; test metallurgical recoveries, reasonable
long-term metal prices; and the application of a transparent cut-off grade, the Mineral Resources
have ‘reasonable prospects for economic extraction’.

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12 Mineral Reserve Estimates

Uchucchacua is an operating mine that uses conventional underground methods to extract mineral
reserves. The underground mining methods used are Bench & Fill (BF) and Cut & Fill (CF) in the
Uchucchacua Zone; Over Drift & Fill (ODF), Bench & Fill (BF) and Overhand Sublevel Stoping
(SARC) in the Yumpag Zone. The underground mining areas and its facilities are located entirely
on land owned by Buenaventura or under surface use agreements with the owners. There are no
royalties applicable on the reported mineral reserves areas.

Proven and probable mineral reserves are converted from measured and indicated mineral
resources. Conversion is based on, mine design, mine sequence and economic evaluation. The
in-situ value is calculated from the estimated grade and certain modifying factors.

The mine LoM plans and resulting mineral reserves stated in this report are based on pre-feasibility
level studies.

Mineral reserves effective date is December 31st, 2021

12.1 Underground Mineral Reserves

12.1.1 Introduction
The underground mine was operated using two mining methods: Bench & Fill and Cut & Fill.
Material is hauled by truck from the underground zone to an existing crusher facility located on
processing plant zone. Currently the mine operations are stopped and planned to start in 2024 in
the Uchucchacua Zone and additionally starting operations in the Yumpag Zone. Mineral reserve
estimation is focused in both zones.

A block model cell size of 3 m x 3 m x 3 m is used for the underground mineral reserves estimation
process. This block size is considered appropriate for the ore selectivity and mine design process.
A dilution between 4% and 10% was introduced for the designed stope and an ore loss between
5% and 10% was considered for the ore materials depending of the mining method used. No further
ore losses or ore dilution were applied.

12.1.2 Key Assumptions, Parameters, and Methods Used

The underground mineral reserves are reported within mine stopes designed using the software
Deswik®. Stope design included an internal dilution sourced from inferred material and non-
categorized material (hanging wall and footing wall).

Stope designs are generated automatically using the “Deswik stope optimizer” (DSO), which is a
module of Deswik® software. Parameters for the application of DSO algorithm are according to the
geotechnical evaluation detailed in Section 13.

The process to define mineral reserves was developed considering specific conditions of the
mining method, which allow differentiated parameters and operating cost schemas. Mining
methods considered are:

x Bench & Fill (Uchucchacua and Yumpag)

x Cut & Fill (Uchucchacua)
x Over Drift & Fill (Yumpag)
x Overhand Sublevel Stoping (Yumpag)

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Designed stopes and their internal materials consider the following criteria:

x Characteristics of material inside stope wireframe are calculated considering it as a unique

entity, including total tonnage, diluted grades and diluted NSR;
x The mineral resource category assigned to the whole material inside the wireframe
corresponds to the lowest category existing inside the solid. Due to this process, part of
material initially categorized as measured resources is reassigned to indicated resources
and, as a consequence, becomes part of probable reserves;
x An additional dilution percentage was considered for external (or unplanned) dilution. This
percentage is assigned evenly to the reported material inside designed stopes wireframes;
x Inferred and non-categorized material within the stope designed wireframes was treated
as waste and given a zero value (grade and NSR).
For internal dilution purposes and according to geotechnical evaluation, the ELOS parameter used
in the configuration of DSO for mine design stopes process is shown in Table 12-1.

Table 12-1: Deswik parameters

ELOS parameter *

Hanging wall Footing wall

Mining Method
(m) (m)

Uchucchacua Zone

Bench & Fill 0.20 0.20

Cut & Fill 0.20 0.20

Yumpag Zone

Over Drift & Fill (ODF) 0.20 0.20

Bench & Fill (BF) 0.30 0.30

Overhand Sublevel Stoping (SARC) ** 0.00 0.00

Source: Buenaventura, SRK

* Parameter applied to configure the Deswik DSO® module used for stope design

** Overhand Sublevel Stoping with Cemented Backfill named as SARC by its Spanish acrony. It considers that diluting
material adjacent to the stope is ore

Methodology Mineral Reserves Estimation

A 3D mine design was completed using Deswik® software and is the basis for the underground
reserves.

The steps applied in the conversion process from mineral resources to mineral reserves included:

x Import resource block model;

x Assignment of metallurgical recoveries into an attribute of the block model;
x Compute NSR cut-off (economic and marginal);
x Compute economic revenue per block of the resource model (measured and indicated
categories);
x Identify and analyze the economic envelope (revenue ≥ NSR cut-off);
x Identify the isolated and remote zones with regard to main operating zones or in relation
to the principal zone defined as mineral resources;
x Design mine development, access and preparation headings for new mining areas;

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x Set up Deswik® “Deswik Stope Optimiser” (DSO) module with mining unit dimension,
mining dilution and NSR cut-off;
x Run Deswik® DSO module in the economic envelope. Review and adjust inputs as
necessary, rerun Deswik DSO module in the economic envelope as needed;
x Validate the equipment fleet;
x Preliminary reserve confidence categories whereby measured and indicated mineral
resource portions of stopes were modified to proven and probable mineral reserves
respectively;
x Final operational and economic stope review (only stopes that have mineral reserves
classified) to eliminate stopes that do not comply with the pre-set operational and economic
criteria;
x Mine planning;
x Tabulate mineral reserves

12.1.3 Mining Dilution and Mining Recovery

Mining dilution and mining recovery for each stope were estimated taking into consideration the
planned mining method and stope design.

Mining dilution is assumed to be from an inferred resource, non-categorized material or low-grade

material entering the stope during mining, backfilling material and shotcrete. Mining dilution was
incorporated considering two sources:

x Internal or planned dilution corresponds to material included as part of designed stopes

that is different from measured or indicated mineral resources;

x External or unplanned dilution is generated by the impact of different activities of the mining
cycle (blasting, loading, hauling, others). This material is included in the form of a
percentage allowance of the in-situ estimated tonnage of the stope.

Mining dilution formula used for the mineral reserves estimation and calculations is:
࢕࢘ࢋ
ࢊ࢏࢒࢛࢚࢏࢕࢔ሺΨሻ ൌ
࢕࢘ࢋ ൅ ࢝ࢇ࢙࢚ࢋ
Mining recovery was defined on the basis of historical topographic records.

Consolidated values for mining recovery and mining dilution are shown in Table 12-2.

Table 12-2: Underground dilution percentages

Mining Method Dilution Recovery
Uchucchacua Zone
Bench & Fill 10% 90%
Cut & Fill 4% 95%
Yumpag Zone
Over Drift & Fill (ODF) 4% 95%
Bench & Fill (BF) 10% 90%
Overhand Sublevel Stoping (SARC) ** 4% 95%
Source: Buenaventura, 2021 (reviewed by SRK)

** Overhand Sublevel Stoping with Cemented Backfill named SARC by its Spanish acronym. It considers that diluting
material adjacent to the stope is ore

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12.1.4 Cut Off Grades

An NSR cut-off was used rather than a grade cut-off, considering that Uchucchacua is a
polymetallic mine that sells a different type of concentrates. Valuable contents are: silver, lead and
zinc.

Cut-off grades definition are based on the historical cost of the last three years (2018-2020) and
consider a detailed analysis process including:

x Analysis of the complete operating cost database managed through SAP System
(Datamart);

x Analysis of Buenaventura corporative and headquarters costs (Uchucchacua is 100%

owned by Buenaventura);

x Comparative analysis of Buenaventura costs reported in public domain sources;

x Identification of the one-off costs and other expenses non-related to mine operations;

x Estimation of sustaining CAPEX;

x Assessment of current and future conditions of mine operations.

For Uchucchacua underground mine, three variances of mining method were considered and for
each mining method, two NSR cut-off values were defined:

x Economic cut-off: including fixed and variable costs for mining, processing plant and
administrative costs;

x Marginal cut-off: including only variable cost.

Mineral reserves were stated using the marginal NSR cut-off value.

Inputs for NSR cut-off calculation and estimated NSR cut-off are listed in Table 12-3 and Table
12-4.

Table 12-3: UG NSR cut-off Input parameters for underground operations

Uchucchacua
Yumpag Zone *
Zone *

Bench Cut & Over Drift Bench

Item Unit SARC **
& Fill Fill & Fill & Fill

Mining cost US$/t ore 60.60 69.09 44.58 37.46 41.21

Process cost
Plant - Circuit 1 *** US$/t processed 30.54 30.54 30.65 30.65 30.65
Plant - Circuit 2 US$/t processed 13.56 13.56
General and Adm. costs US$/t processed 25.15 25.15 25.54 25.54 25.54
Sustaining capital cost US$/t processed 5.45 5.45 5.45 5.45 5.45
Off site cost (corporate) US$/t processed 7.11 7.11 7.11 7.11 7.11
Source: Buenaventura, 2021 (compiled by SRK)

* Costs listed include a contingency percentage

10%: Mining (except Yumpag), processing, general and administrative and sustaining
Average15%: Mining costs of Yumpag (considering the status of a project)

** Overhand Sublevel Stoping with Cemented Backfill named SARC by its Spanish acronym
*** Portion of concentrate produced in Circuit 1 is sent to Rio Seco plant

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Table 12-4: UG NSR cut-off value for underground operations

Uchucchacua Zone* Yumpag Zone *

Bench Over Drift Bench

Item Unit Cut & Fill SARC **
& Fill & Fill & Fill

NSR Economic cut-off

Plant - Circuit 1 *** US$/t processed 128.85 137.34 113.33 106.21 109.96

Plant - Circuit 2 US$/t processed 111.87 120.36

NSR Marginal cut-off

Plant - Circuit 1 *** US$/t processed 74.99 83.48 72.03 65.62 62.81

Plant - Circuit 2 US$/t processed 58.01 66.51

Source: Buenaventura, 2021 (compiled by SRK)

** Overhand Sublevel Stoping with Cemented Backfill named SARC by its Spanish acronym

*** Portion of concentrate produced in Circuit 1 is sent to Rio Seco plant

12.2 Metallurgical Recovery

Uchucchacua operates one plant and produces three types of products:

x Lead-silver concentrate;
x Zinc concentrate;
x Pyrite concentrate.
Part of lead-silver concentrates (with high manganese content) are processed in the Rio Seco
plant.

Metallurgical recoveries were estimated considering operational conditions and were assigned to
the block model as an attribute.

Recovery percentages are defined using formulas and grade range of application (when it applies).
These formulas were developed based on:

x Analysis of the last three years of statistical data and metallurgical performance of the
plant;
x Historical metallurgical testing results, and the latest results (2021) from the metallurgical
testing campaign using representative samples collected from the mineral reserve sectors.
Using the available information from the mining metallurgical disciplines, SRK developed specific
mathematical expressions for the metallurgical recovery. Data support and details of analysis
(formulas and graphic representation) are included in chapters 10 and 14.

SRK considers that there are significant room to improve the accuracy of the mathematical
expressions, and strongly recommends continuing efforts to collect detailed operational data as
well as executing metallurgical tests to increase the accuracy of the Reserves & Resources
estimates.

Curves and formulas are shown as follows by element according to products and recoverable
elements showed in Table 12-5.

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Table 12-5: Uchucchacua processing plants and products

Throughput Processed
Plant Products
(tpd) Ore *

Concentrate Pb-Ag
Ore Pb-Zn-Ag
Circuit 1 3,000 Concentrate Zn-Ag
(high Mn)
Concentrate Py

Concentrate Pb-Ag
Circuit 2 ** 1,200 Ore Pb-Zn-Ag
Concentrate Zn-Ag

Source: Buenaventura, 2021 (compiled by SRK)

* Circuit 1 preferably treats the material with high manganese contents

** Some concentrates from Circuit 2 can be sent to Rio Seco plant to complete its capacity (36,000 t/year)

For material processed through processing plant, functions are detailed in Table 12-6 and graphs
are shown in ¡Error! No se encuentra el origen de la referencia., ¡Error! No se encuentra el
origen de la referencia. and ¡Error! No se encuentra el origen de la referencia., differentiated
by metal and grade ranges.

Table 12-6: Metallurgical recovery functions

Metal Applicable Grade Range Metallurgical Recovery function *
0.00 < Pb Grade (%) <= 0.40 2.28290 * Pb Grade (%)
Pb
0.40 < Pb Grade (%) 0.0024 * Pb Grade (%) + 0.9122
0.00 < Zn Grade (%) <= 0.55 1.11224 * Zn Grade (%)
Zn
0.55 < Zn Grade (%) 0.1172 * Ln [ Zn Grade (%) ] + 0.6818
0.00 < Ag Grade (oz/t) <=
0.28877 * Ag Grade (oz/t)
Ag 2.80
2.80 < Ag Grade (oz/t) 0.0422 * Ln [ Ag Grade (oz/t) ] + 0.7651
Source: SRK, 2021

* Grades expressed as a percentage must be considered in the same units in the recovery functions

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Figure 12-1: Ag recovery

Source: SRK, 2021

Figure 12-2: Pb recovery

Source: SRK, 2021

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Figure 12-3: Zn recovery

Source: SRK, 2021

12.3 NSR Block value

Uchucchacua is a polymetallic mine operation, producing three types of products with three
payable elements. Accordingly, the mineral reserves were estimated under the concept of multiple
commodity ore.

NSR block value estimation considers the contribution of the different elements that generate value
in the sale of products, taking into consideration the following aspects:

x Metal prices;
x Metallurgical recovery, included as an attribute in the block model;
x Payable contents in the saleable product;
x Commercial deductions, as such: RC, TC, penalties
x Selling expenses, as such: transport, insurance, supervision, sampling, logistic costs.
NSR value calculation uses a serie of “unit values” calculated for each metal, which contributes to
the saleable products' value. The “unit value” consolidates the following aspects into a unique
factor: payable contents, commercial deductions and selling expenses

Metal prices were stated by Buenaventura, based on market study and long-term consensus
sources. Metal prices are listed in Table 12-7 and are coherent with the results of Market Study
(Chapter 16) carried out by CRU Group.

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Table 12-7: Metal Prices for mineral reserves definition

Metal and Units Price
Silver (US$/oz) 25

Lead (US$/t) 2,286

Zinc (US$/t) 2,385

Source: Buenaventura

Currently, Uchucchacua has eight active contracts (six for lead concentrate) with different traders
with terms between one to three years.

Most of the terms and conditions of the contracts between Buenaventura and traders are covered
by confidentiality clauses. Notwithstanding, SRK has had access to the contracts and commercial
clauses stated in each and confirmed that these parameters were used to define each “unit value”.

Unit values calculated used to determine the NSR block value are shown in Table 12-8.

Table 12-8: Estimated unit value by metal and type of concentrate

Unit value by Metal (US$ / unit of grade) *
Saleable product
Ag Pb Zn

All 16.84 10.10 9.24

Grade units ** Ag (oz/t) Pb (%) Zn (%)

Source: Buenaventura (compiled and verified by SRK)

* Unit value is used as a factor (multiplied by recoverable content) to calculate the value contribution (US$/t)

** Grades must be expressed in the indicated units to use the formula

12.4 Material Risks Associated with the Modifying Factors

SRK has identified the following material risks associated with the modifying factors:

Mining Dilution and Mining Recovery:

The mining dilution estimate depends on the accuracy of the resource model as it relates to internal
waste. SRK considers that dilution and mine recovery assumed is reasonable but requires deeper
analysis, and it represents a risk that could impact grades and tonnage of Run of Mine ore.

Impact of Currency Exchange Rates on Production Cost:

The operating costs are modeled in US Dollars (US$) within the cash flow model. The foreign
exchange rate profile has not been analyzed in detail. Considering that only a portion of the cost
and expenses are in local currency (Peruvian Soles), and given the high variability of the exchange
rate over the last two years, the operating cost could be impacted.

Additionally, inflation rates, which were very stable in Peru over the ten years prior to 2021, have
started to show variations and their evolution down the line is unpredictable.

Geotechnical Parameters:

Geotechnical parameters used to estimate the mineral reserves can change as mining progresses.

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Mine stopped:

Currently, the mine is stopped and there is a structured plan to re-start the operation during 2024,
including the zone named Yumpag. Mineral reserves were estimated under the assumption of re-
start success. Any issue in the process could impact the mineral reserves estimation, including
mine plan and financial results.

Metallurgical aspects:

SRK considers that some metallurgical aspects can have an impact in the results of mineral
reserves estimation and must be adequately monitored and supported:

x Support for silver recovery in the different products.

x Incorporate performance and results of Rio Seco as part of Uchucchacua evaluation,

considering that Rio Seco is dedicated to treat only materials from Uchucchacua

x Improvements in the assignment of destination (circuit 1 and 2) for in situ material

Commercial aspects:

Changes in the traceability and assignment of commercial conditions into the different saleable
products could impact in the value assignment and mineral reserves estimation.

Lack of reconciliation:

The modifying factors require adequate feedback from operational results, which helps ensure that
said factors are representative of current operations. This must be based on a systematic
reconciliation process that is not available for Uchucchacua. Inconsistencies in the general mass
balance and fine content traceability force would cause an impact in the mineral reserves
estimation.

Political situation:

Uncertainty in the local political situation can generate impacts on the cost, facilities, or conditions
to operate the mining unit, subsequently impacting mineral reserves.

12.5 Mineral Reserves Statement

The conversion of mineral resources to mineral reserves has been completed in accordance with
CFR 17, Part 229 (S-K 1300). The reserves are based on underground operations. Appropriate
modifying factors have been applied as previously discussed. The positive economics of the
mineral reserves have been confirmed by LoM production scheduling and cash flow modeling as
discussed in sections 13 and 19 of this report, respectively.

The reference point for the mineral reserve estimate is the point of delivery to the process plant.
The Qualified Person Firm responsible for the estimate is SRK consulting (Peru) SA.

In the QP’s opinion, the mineral reserves estimation is reasonable in the context of the available
technical studies and information provided by Buenevantura.

Table 12-9 shows the Uchucchacua mineral reserves as of December 31st, 2021.

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Table 12-9: Uchucchacua Underground Summary Mineral Reserve Statement as of December

31st, 2021

Silver Lead Zinc Manganese

Mining Confidence Tonnage
Grade Grade Grade Grade
Method category (kt)
(gr/t) (%) (%) (%)

Proven 513 213.55 1.27 2.18 4.75

Uchucchacua Probable 3,662 220.54 1.34 2.22 4.72
Bench
& Fill Sub-total
Proven & 4,175 219.68 1.33 2.22 4.72
Probable
Proven 70 234.06 1.45 3.22 1.74
Probable 355 300.66 1.17 2.24 2.69
Uchucchacua
Cut & Fill Sub-total
Proven & 425 289.68 1.22 2.40 2.53
Probable
Proven 19 451.87 0.24 0.29 17.59
Yumpag Probable 544 545.05 0.39 0.75 16.72
Over Drift
& Fill Sub-total
Proven & 562 541.97 0.39 0.73 16.75
Probable
Proven 3 1,104.34 1.02 1.95 15.47
Yumpag Probable 857 640.24 0.51 0.93 16.45
Bench
& Fill Sub-total
Proven & 860 641.95 0.51 0.93 16.45
Probable
Proven 0 0.00 0.00 0.00 0.00
Probable 96 613.65 0.41 0.84 17.31
Yumpag
SARC ** Sub-total
Proven & 96 613.65 0.41 0.84 17.31
Probable
Proven 605 227.93 1.26 2.24 4.85
Probable 5,514 329.78 1.09 1.85 7.82
TOTAL
Total
Proven & 6,119 319.72 1.11 1.89 7.52
Probable
Source: SRK, 2021

(1) Buenaventura's attributable portion of mineral resources and reserves is 100.00%

(Amounts reported in the table corresponds to the total mineral reserves)
(2) The reference point for the mineral reserve estimate is the point of delivery to the
process plant.
(3) Mineral reserves are current as of December 31th, 2021 and are reported using the
mineral reserve definitions in S-K 1300. The Qualified Person Firm responsible for the
estimate is SRK Consulting (Peru) SA
(4) Key parameters used in mineral reserves estimate include:

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Silver Lead Zinc Manganese

Mining Confidence Tonnage
Grade Grade Grade Grade
Method category (kt)
(gr/t) (%) (%) (%)

(a) Average long term prices of silver price of 25.00 US$/oz, lead price
of 2,286 US$/t, zinc price of 2,385 US$/t
(b) Variable metallurgical recoveries are accounted for in the NSR
calculations and defined according to recovery functions, that
average 83% for silver, 64% for lead and 44% for zinc
(c) Mineral reserves are reported above a marginal net smelter return
cut-off of:
Uchucchacua Zone (Circuit 1): 74.99 US$/t for bench & fill and 83.48
US$/t for cut & fill mining methods;
Uchucchacua Zone (Circuit 2): 58.01 US$/t for bench & fill and 66.51
US$/t for cut & fill mining methods;
Yumpag Zone: 72.03 US$/t for over drift & fill, 65.62 US$/t for bench
& fill and 62.81 US$/t for overhand sublevel stoping mining methods.
.
(d) Ore from Uchucchacua Zone is scheduled to be processed throught
circuit 1 and circuit 2.
Ore from Yumpag Zone is scheduled to be processed throught
circuit 2.
(5) Mineral reserves tonnage, grades and contained metal have been rounded to reflect the
accuracy of the estimate, and numbers may not add due to rounding

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13 Mining Methods
It should be noted that the Uchucchacua MU considers, within its scope as a mine, the Yumpag
project located 1 km north-east of its operations. Mining method selection considerations for both
Uchucchacua and Yumpag are independent of each other. Both will be mentioned and detailed in
the following paragraphs.

Uchucchacua is a polymetallic deposit associated with replacement bodies and veins containing
Ag, Zn, Pb, Fe, and Mn. The mineralization processes at Uchucchacua have been complex and
multiple, therefore its mineralogy is unusually varied. Among the main mineral groups are: Oxides,
Silicates, Carbonates, Sulfides and Sulfosalts. The style of mineralization, in general, is given by
fracture filling and metasomatic replacement. The following figure shows the configuration of
mineralized structures and the current zoning of the mine:

x Socorro Zone: mineralization mainly in the form of veins.

x Carmen Zone: veins and bodies in the form of sills and replacement raises.
x Huantajalla Zone: veins and replacement raise
x Casualidad Zone: veins

Figure 13-1: Cross section of Uchucchacua Mine.

The Uchucchacua mine veins are located in three main systems:

x NW-SE system, which generally predominates in the Socorro area, bounded by the
Uchucchacua and Cachipampa faults.
x E-W system with N 80° to E-W strike and quasi-vertical dips.
x NE-SW system dominating the entire southern part of the deposit.
Mineralized structures are mostly between 1 and 4 meters thick, with occurrences in some sectors
with thicknesses in the order of 15 meters.

At the operational level, the Uchucchacua mining unit is divided into five sectors, which are listed
below:

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x Socorro (Alto)
x Socorro (Bajo)
x Casualidad
x Huantajalla
x Carmen

Figure 13-2: Uchucchacua mining areas

Source: BVN

Since the beginning of the Uchucchacua operation, the mining method applied has been Cut and
Fill. In recent years, a variant of the OCF has been applied to all sectors of the mine─ the Bench
and Fill (B&F) method─ which was mainly used in the Socorro Bajo sector, where this method is
100% applied. This has allowed productivity and production levels to rise.

The Uchucchacua mining unit applies two underground mining methods:

x Bench & Fill with long holes. This method corresponds to an adaptation of sublevel stoping
(SLS).
x Overhand Cut & Fill (OCF) with stoping-like vertical raiseboring

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A. Bench & Fill (B&F)

Bench & fill entails longitudinal mining of the vein. A lower and upper sublevel are built, and leaving
an ore bench between them, which is mined by long-hole drilling. As the ore is broken from the
bench on one face and the ore is cleaned from the lower sublevel, the stope is backfilled from the
upper sublevels with detrital fill.

Figure 13-3: B&F mining diagram

Source: BVN

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Figure 13-4: Bench & Fill method at Uchucchacua: Sequence

Source: BVN

B. Overhand Cut and Fill (OCF)

Overhand Cut and Fill basically involves two activities:

x Stoping: sub-vertical drilling

x Backfill: 80% of the backfill is detrital fill from development/preparations and 20% is
hydraulic fill.
In this method, the ore is fragmented in horizontal strips starting at the bottom of the stope. When
a complete horizontal strip has been mined, the stope is backfilled with 80 and 20% detrital material
and hydraulic fill, respectively. This backfill serves as a work floor for overhand mining. In each ore
cut, support work must be done to ensure the stability and safety of personnel and equipment, as
this method requires that personnel enter the area.

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Figure 13-5: OCF mining cycle.

Source: BVN

Figure 13-6: Mechanized Overhand Cut and Fill method at Uchucchacua: Sequence
Source: BVN, modified by SRK

The table below shows the distribution of reserves according to mining methods at the
Uchucchacua mining unit; this information corresponds to the mineral reserves for the year 2021.

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Table 13-1: Distribution of UCH ore reserves according to mining methods applied.
Mining method Tonnes (t) Share (*)
Bench & Fill 4,629,176 91%
Overhand Cut & Fill 435,955 9%
TOTAL 5,065,131 100%
*Includes 2021 Reserves
Source: BVN

In turn, based on the same distribution of reserves according to mining method, the share of each
method in each zone and sector is detailed:

Table 13-2: Distribution of ore reserves according to mining methods applied by Sector
Zone Sector Mining method Tonnes (t) Participation (*)
1 Socorro Bajo Bench & Fill 1,063,492 21%
Socorro Alto Bench & Fill 2,244,161 44%
Overhand Cut & Fill 256,307 5%
2 Casualidad Bench & Fill 210,374 4%
Overhand Cut & Fill 13,214 1%
3 Huantajalla Bench & Fill 151,658 3%
Overhand Cut & Fill 105,360 2%
4 Carmen Bench & Fill 959,491 19%
Overhand Cut & Fill 61,074 1%

TOTAL 5,065,131 100%

*Includes 2021 Reserves

Source: BVN

The YUMPAG project seeks to mine mainly Ag, Pb, Zn, and Mn. The selected mining methods are
Bench&Fill (B&F), Overhand Drift & Fill (ODF), and SLS in its variant Overhand Sublevel Stoping
with Cemented Backfill (SARC). These mining methods have been defined based on the thickness
of structures:

x Thicknesses greater than 10 m: The mining method has been defined as the crosscutting
sublevel stoping (SLST) through primary and secondary stoping, with the use of cemented
backfill or alternatively the Drift and Fill (ODF) method by panels for Mantos.
x Thicknesses less than 10 m: Bench & fill method with the use of detrital fill has been
defined.
A. Overhand Drift & Fill (ODF)

The Overhand Drift & Fill method is described below:

The mining block will be accessed perpendicularly from the main ramp accesses. Once reached,
entry will be made by developing a working sublevel. If the ore body extension is sufficient, two
working sublevels will be developed, starting from the center with one to the left and the second to
the right.

Due to the morphology of the body and to exploit as many panels as possible simultaneously, said
panels have been classified as primary and secondary and are situated in an intercalated manner.

The explotation sequence is subdivided into two stages

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x The first stage corresponds to the exploitation of primary panels, using the secondary
panels as temporary natural pillars to ensure the stability of the production area. The
mining sequence in the primary panels involves exploiting the panels on one side of the
working sublevel before moving to the other side. Additionally, panels are mined from the
ends to the center of the block. The cycle of a mining panel includes immediate backfilling
at the end of exploitation; this ensures that the smallest possible number of cavities are
open simultaneously. The backfill will be cemented.
x For the second stage, it is expected that the primary panels are duly filled and set prior to
beginning exploitation of secondary panels. This will be carried out using the same
methodology as for the primary panels. The backfill will be detrital.

Figure 13-7: OCF mining method diagram.

Source: BVN

B. Bench & Fill (B&F)

As in Uchucchacua, this method does not consider primary or secondary stopes and is for
maximum thicknesses of 10m. The mining block will be accessed through two accesses from the
main ramp (which will have a perpendicular orientation to that of the mining panels), one upper
and one lower. When the mining block is reached, drilling and hauling sublevels will be developed
starting from the accesses. The backfill will be detrital.

C. Overhand Sublevel Stoping with Cemented Backfill (SARC)

The mining block will be accessed through two accesses from the main ramp, which will have a
parallel orientation to the direction of the mining panels: one upper and one lower. When the mining
block is reached, drilling and hauling sublevels will be developed.

Due to the morphology of the body and to exploit as many benches simultaneously as possible,
the blocks have been classified into primary and secondary and are situated in an intercalated
manner.

As in the ODF method, the mining sequence is repeated in two stages:

x Initial mining of primary panels, where secondary panels act as temporary natural pillars.
Once mined, immediate backfilling is carried out, thus generating the least number of open
cavities at the same time. The backfill will be cemented.

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x For the second stage, once the primary panels are duly filled and cemented, exploitation
of secondary panels begins. This will be carried out using the same methodology as that
employed for the primary panels. The backfill will be detrital.

Figure 13-8: SARC mining method diagram.

Source: BVN

The table below shows the distribution of reserves according to mining methods at the Yumpag
project; this information corresponds to the mineral reserves for the year 2021.

Table 13-3: Distribution of YPG ore reserves according to mining methods applied.
Mining method Tonnage (t) Share (*)
Overhand Drift & Fill 52,641 3%
Bench & Fill 605,735 40%
SARC 860,224 57%
TOTAL 1,518,600 100%
*Includes 2021 Reserves
Source: BVN

13.1 Parameters Relevant to Mine Designs and Plans

13.1.1 Geotechnical
The Uchucchacua mine database has 62 drillholes with geomechanical information (6708 linear
meters) and 16 drillholes (4340 linear meters) in the Yumpag sector and 62 geomechanical
stations distributed in the hanging wall, footwall, orebody, and distant wall domains of the different
veins; at each station, the characteristics of the main discontinuity families were identified and
quantified (orientation, spacing, persistence, roughness, wall strength, opening, filling, degree of
weathering and presence of water). In addition, there are 28 simple compression tests, 15 triaxial
tests, and 20 physical property tests. Additional information from geomechanical zoning plans by
levels, developed by Uchucchacua, was reviewed and incorporated. Figure 13-9 and 13-10 shows
the distribution of drillholes with geotechnical information for Uchucchacua and Yumpag
respectively.

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Figure 13-9: Distribution of drillholes and mapping with geotechnical information at the
Uchucchacua mine.
Source: BVN

Figure 13-10: Distribution of drillholes and mapping with geotechnical information at the Yumpag
mine
Source: BVN

13.1.2 Geomechanical characterization

From the geotechnical investigations carried out at Uchucchacua for all structures, it has been
found that the frequency of fractures in the rock mass generally varies between 2 to 6 F/m
(fractures per meter), and RQD indices indicate a fair to good rock quality (RQD = 60 to 90%).
Localized zones with low RQD (RQD = 10 - 40) are associated with zones of altered rock and
weak geologic structures such as faults. Table 13-4 summarizes the uniaxial strength of intact
rock, "mi" values obtained from triaxial tests, and rock density for each sector. In general, the
intact rock strength for Uchucchacua is in the range of 50 to 75 MPa conformed by limestones and
for Yumpag; the walls exhibit values of around 100 MPa.

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Table 13-4: Summary of intact rock compressive strength and "mi" values by domain and sector
Density UCS
Sector/Zone Domain mi
(KN/m³) (MPa)
HW 26.4 62 9
Socorro Vein 34.6 66 15
FW 27.1 63 9
HW 27.1 68 9
Casualidad
FW 27.3 60 6
Carmen HW 26.8 61 11
Huantajalla HW 27.0 63 6
HW 27.0 104 11
Yumpag
FW 26.7 105 13
Source: BVN

In general, vein rock quality in the RMR76 classification system for the hanging wall ranges from
41 to 65. In the footwall and mineralized structure, RMR76 values range from 40 to 70. Table 13-
5 summarizes the average geomechanical classification values in the RMR76 System for the host
rock and mineralized structure for the main veins in each zone; additionally, RMR values have
been determined by calculating the mean minus 50% of the standard deviation. For the body and
vein at Yumpag, the ore RMR has been found to vary between 38 to 42 and the host rock RMR
between 38 to 46. The main discontinuities system presents a sub-parallel orientation along the
bodies and veins.

Table 13-5: Summary of rock quality by sector and mineralized structure at Uchucchacua
from logging and geomechanical mapping
RMR´76
Zone Structure
DFW CFW Vein CHW DHW
1060 V Cachipampa 53 57 55 53 58
1130 V_Gina 49 44 46 48 52
1151 V_Marisol 43 46 40 43 44
Socorro 1250 V_Luz 48 38 41 41 53
1291_V_system_Maricela 57 47 53 48 63
1362 V_Sonia 61 68 68 66 52
1390 V_Vanessa 53 65 47 48 55
2300 V_Rosa 57 40 - - 56
Carmen
2400 Verónica 63 64 60 - 52
3010 Vein 3A 59 61 - - 57
3020 V_4A 55 43 52 63 55
Huantajalla 3030 Vein 7A 61 63 65 65 60
3130 V Eugenio 63 63 63 63 -
3320 V Sarita 52 50 - 63 59
4070 V_Jacqueline 59 50 51 52 57
4110 v_Sandra 60 49 56 56 61
Casualidad
4120 v_Violeta 65 70 70 65 55
4151 v_Plomopampa 62 55 56 67 59
Yumpag Body 41 43 40 46 40

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RMR´76
Zone Structure
DFW CFW Vein CHW DHW
Mantle 41 36 42 38 42
Vein 45 38 38 42 43
Source: BVN

The discontinuity systems of the close wall and mineralized structure at Uchucchacua present a
sub-parallel to parallel orientation to the mineralized structures, so the workings or stopes along
these veins will present an unfavorable structural control, which will have a relevant incidence for
the stability of the stopes' hanging wall in the bench & fill mining method.

Figure 13-11: Stereographic analysis of discontinuities by sector

Source: BVN

13.1.3 In situ and induced stress condition

A program of in situ stress measurements was performed at three mine locations using the CSIRO
Hollow Inclusion methodology. Point P1 (Lvl 4120) was measured at a depth of 430 m from surface
where a major principal stress (σ1) with magnitude between 22 to 24 MPa, an average azimuth of
N110°, and an inclination varying between -7 to -7.6° was obtained. Point 2 (Lvl 3850) was taken
at a depth of 640 m with a major principal stress (σ1) between 25 to 28 MPa, with an azimuth of
185°, and an inclination between 31 to 34°. Point 3 (Lvl 3610) was measured at a depth of 1200
m with a major principal stress in the order of 40 MPa, with an azimuth between 300 to 340°, and
an inclination between -60 to -80°. The following table shows the results of stress measurements.

Table 13-6: Results of in situ stress measurements performed at Uchucchacua mine

LVL 4120 (P1) Principal stresses measured at 430 m depth

σ1 (MPa) AZ1 (º) I1 (º) σ2 (MPa) AZ2 (º) I2 (º) σ3 (MPa) AZ3 (º) I3 (º)

23.4 110.6 -7.6 18.8 246.2 -79.5 7.7 19.6 -7.3

24.4 106.9 -6.8 23 296.7 -83.1 13.3 197.0 -1.2

LVL 3850 (P2) Principal stresses measured at 640 m depth

σ1 (MPa) AZ1 (º) I1 (º) σ2 (MPa) AZ2 (º) I2 (º) σ3 (MPa) AZ3 (º) I3 (º)

25.2 185 -31.8 18.7 84 -17.1 5.2 330 -52.9

28.3 21.6 -34.8 21.9 181.6 -53.5 7.1 284.8 -9.6

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LVL 3610 (P3) Principal stresses measured at 1200 m depth

σ1 (MPa) AZ1 (º) I1 (º) σ2 (MPa) AZ2 (º) I2 (º) σ3 (MPa) AZ3 (º) I3 (º)

40.3 344.2 -78.4 23.7 119.6 -8.3 17.9 210.8 -8.0

39.5 301.9 -59.0 21.8 151.0 -27.7 11.6 54.2 -12.8

Source: BVN

Figure 13-12 shows the stereographic projection of the in-situ principal stress orientations. The
first test in Lvl 4120 at a depth of 432 m shows that the principal stress orientation is distinctly
horizontal in the NW direction, and in the last test in Lvl 3610 at 1220 m depth the major principal
stress orientation is found to be sub vertical. The stress distribution constant below 600 m varies
between 1 to 1.2 and for deep zones greater than 600 m the constant is around 0.5 to 0.6.

Figure 13-12: Orientation of in situ stresses measured at Uchucchacua

Source: BVN

The levels of induced stresses in the boundary of underground workings have been determined
by using three-dimensional numerical modeling tools with the boundary element program Map 3D
Fault slip vs 63. The model considered the old, exploited zones, infrastructures such as main
ramps, shafts, and others. The stress levels induced in the perimeter of linear workings, between
elevations 3600 to 3800, have determined principal stress magnitudes up to 45 MPa and minor
principal stress up to 15 MPa. The major principal stress levels are lower than the simple
compressive strength. The σ1/UCS ratio in the periphery of linear workings is between 0.4-0.6,
which indicates that in some sectors there could be a spalling of the excavation walls, so that a
support formed by hydrabolt + double metallic mesh in the most critical and deepest zones could
absorb this energy originated by the over stresses in the periphery of workings.

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Figure 13-13: Isovalues of induced stresses at Socorro mine

Source: BVN

13.1.4 Seismic conditions

The microseismic database recorded by Uchucchacua contains the record of seismic events from
2019 to 2021; each seismic event includes the hypocentral location, date, moment magnitude (Mw)
and focal energy. However, important seismic events originating in previous years have also been
documented, such as the event of August 5, 2017, with a magnitude of 3.5 Mw, which caused
considerable damage to the workings walls between levels 3710 and 3780 with fault thicknesses
of about 1 m in the perimeter of the workings.

In the seismic history between 2019 and 2021, a concentration of events has been found between
levels 3600 to 3800, which are correlated with the current exploitation activities. A statistical
analysis of the events recorded between 2019 to 2021 indicate an incidence of 39% for events
with negative magnitudes, 41% of events with magnitudes between 0 to 0.5 Mw, 17% of events
between 0.5 to 1Mw, 2.6% for events between 1 to 1.5 Mw, and only 0.4% of events between 1.5
to 2 0 of Mw. It can be deduced that in 2019-2021, seismic events greater than 1.0 Mw have been
controlled, since events with magnitudes greater than 1.0 Mw could cause significant damage to
the workings. Regarding the influence of blasting on seismic activity, the cumulative of seismic
events in a 24-hour period has been plotted, showing a concentration of seismic events in the post-
blasting hours. Blasting may be inducing the generation of microseismic events, so it is important
to control or reduce the working charge in order to reduce the seismic magnitudes caused by
blasting.

13.1.5 Dimensioning of SLS stopes for Uchucchacua Mine

The recommended mining method for Uchucchacua is bench & fill with detrital fill. This method
involves mining from two sublevels and the use of detrital fill. The backfill must be deposited in a
continuous manner starting from a mining sublevel. Stope stability for narrow veins is controlled
by the dimensions of the exposed stope face (inclined height and stope length), which is
represented by the hydraulic radius (HR). Increasing the hydraulic radius of walls has a direct link
to waste rock slough, which means an increase in dilution.

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13.1.6 Vein geometry

As part of the definition of mining method and stope sizing, it has been possible to determine the
incidence of horizontal width and dip of the mineralized structures. From the results, it has been
observed that the veins belonging to Socorro, Carmen, Huantajalla, and Casualidad zones present
widths between 1.7 to 2.6 m, averaging 2.3 m; additionally, vein dips present angles between 70
to 90°, with the exception of Casualidad, where dips of less than 60° have been found. Table 13-
7 shows a summary of the widths and dips of each structure.

Table 13-7: Incidence of horizontal width and dip of mineralized structures.

% Incidence Width (m) % Incidence Dip
Zone Vein 50- 70- 80-
<2 2-4 4-6 6-8 8-10 >10 <50° 60-70°
60° 80° 90°

1060 V Cachipampa 52 32 9 5 2 8 2 67 23

1130 V_Gina 84 14 2 7 56 37

1151 V_Marisol 79 18 3 30 70

Socorro 1250 V_Luz 100 6 12 43 39

1291_V _Maricela 60 18 9 4 6 3 11 74 15

1362 V_Sonia 74 15 3 2 2 4 2 53 45

1390 V_Vanessa 66 31 3 4 32 64

2300 V_Rosa 100 16 43 41

Carmen
2400 V_Veronica 98 2 1 99

3010 Vein 3A 97 3 17 83

3020 V_4A 99 1 5 2 8 85

3030 Vein 7A 92 8 4 6 44 46
Huantajalla
3130 V Eugenio 36 61 3 6 24 70

3320 V Sarita 85 15 2 8 14 76

3371 Cpo Edith 76 18 6 14 63 21 2

4070 V_Jacqueline 97 3 100

4110 v_Sandra 86 14 56 26 18
Casualidad
4120 v_Violeta 100 45 52 3

4151 v_Plomopampa 100 47 53

Source: BVN

13.1.7 Retro-analysis of stope sizing

In order to know the degree of stope wall sloughing, SRK proceeded to estimate the overbreak in
the stope walls, using the ELOS (Equivalent Linear Overbreak) criterion, which is based on the
calculation of sloughed volume and exposed area of the planned stope wall. The calculation of
volume and exposed area was determined from the planned stope and the exploited stope
measured with the optech scanner.

Table 13-8 details the ELOS calculation for the walls of 10 typical stopes using the Cavity
Monitoring System CMS). An ELOS of 0.2 and 1.14 m was obtained for both walls respectively in

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the TJ6790_B0_SW stope with a length of 30 m, an ELOS of 0.23 to 0.37 m was obtained for the
TJ186_B1 stope, and an ELOS of 0.22 to 0.3 m for the TJ051_NE_B1 stope. In summary, the
stopes with lengths between 20 to 45 m have an average ELOS of 0.3 m per wall.

Table 13-8: ELOS results for stopes TJ6790_B0_SW, TJ186_B1, and TJ051_NE_B1.

Stope Geometry Area

Broken
with HR
Pit Wall Inclined volume ELOS (m)
Width Length sublevel (m)
height (m³)
(m) (m) (m²)
(m)

West 417.7 4.8 83.3 0.20

TJ 6790_B0_SW 1.9 14 30
East 417.7 4.8 474.2 1.14

North 550.8 4.8 125.7 0.23

TJ 186_B1 2 12 45
South 550.8 4.8 201.1 0.37

West 122.9 2.8 5.88 0.05

TJ 6048-1 N_B2 2 11 11
East 122.9 2.8 46.5 0.38

North 181.5 3.3 1.27 0.01

TJ 6191_B0 2 16 11
South 181.5 3.3 94.57 0.52

South 232.6 3.5 5.3 0.02

TJ 6432_NE_B0 3 10 23
North 232.6 3.5 1.35 0.01

North 550.8 4.8 123.1 0.22

TJ 051_NE_B1 2 12 45
South 550.8 4.8 157.3 0.30

North 244.3 3.9 23.1 0.10

TJ 051_B1_SW 2 14 17
South 244.3 3.9 32.3 0.13

West 73.4 2.0 22.98 0.31

TJ 6490_B1_SW 1 12 6
East 73.4 2.0 25.33 0.34

North 57.5 1.6 7.01 0.12

TJ 110_B0 1 14 4
South 57.5 1.6 15.36 0.27

West 141.6 2.9 23.8 0.17

TJ 273_B3 3 10 14
East 141.6 2.9 9.52 0.07

Source: BVN

Figure 13-14 shows a longitudinal scheme of the bench & fill mining method with detrital fill and
for a bench height of 10m. Table 13-9 shows the calculation of the stope's top and bottom length
for a total ELOS of 0.4 (hanging wall + footwall) as well as the acceptable hydraulic radius
according to the depth and quality of the rock. Additionally, SRK recommends installing a bolting
cable in the walls to control resuing in critical sectors, which occurs when the mining width is
narrower than the sublevel width.

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Figure 13-14: Bench & fill longitudinal mining diagram

Source: BVN

Table 13-9: Top and bottom length of bench and fill stopes recommended for Uchucchacua with
an ELOS of 0.4 m
Total ELOS:
Top Bottom Additional
footwall + HR
Depth RMR Q´ A B C N´ length length support
hanging (m)
(m) (m) recommended
wall

Bolting cable to
< 600 m > 50 1.95 0.8 0.3 6.5 3 0.4 m 4.5 35 12
the walls

600- Bolting cable to

> 50 1.95 0.5 0.3 6.5 2.1 0.4 m 4.0 30 7
1200 m the walls

Bolting cable to
- < 50 1.0 0.8 0.3 6.5 1 0.4 m 3.5 26 4
the walls

Source: BVN

13.1.8 Dimensioning of stopes for Yumpag Mine

Based on the geometric characteristics and rock quality at Yumpag, the bench and fill (B&F) mining
method has been considered for veins with widths under 10 m. For mining widths greater than
10 m, SRK recommends using the transverse sublevel stoping with cemented backfill (SLST);
additionally, for bodies or mantles, the method of drift and fill (D&F) in panels could be an
alternative. The following table shows the recommended lengths for bench & fill for a 12 m high
bench and a total ELOS of 0.6 m (hanging wall and footwall).

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Table 13-10: Top and bottom length of bench and fill stopes recommended for an ELOS of 0.6m
Bottom
Total ELOS: Top length Additional
Mining HR length of
RMR Q´ A B C N´ footwall + of the stope support
width (m) the stope
hanging wall (m) recommended
(m)

<6m 42 0.8 1 0.3 8 2.0 0.6 4.0 25 5 -

Bolting cable to
6 - 10
42 0.8 1 0.3 8 2.0 0.6 4.0 30 10 the hanging wall
m
and stope walls
Source: BVN

Figure 13-15: Longitudinal bench & fill mining scheme for a bench height of 12 m.
Source: BVN

For transverse sublevel stoping, mining widths of 10 m and bench heights of 12 and 16 m have
been considered; additionally, considering an acceptable ELOS of 0.6 m, a stope length of 20 m
for a 12 m bench and a length of 17 m for a 16 m bench are obtained. The use of bolting cable is
recommended to maintain the stability of the stopes dome. The cemented backfill should reach a
strength of 0.6 MPa after 28 days.

Table 13-11: Recommended stope length for transverse sublevel stoping with an ELOS of 0.6m
Total ELOS:
Additional
footwall + HR Stope
Bench height RMR Q´ A B C N´ support
hanging (m) length (m)
recommended
wall

Bolting cable to
12 m 40 0.64 1.0 0.6 8.0 3.0 0.6 m 5.0 20
the hanging wall

Bolting cable to
16 m 40 0.64 1.0 0.6 8.0 3.0 0.6 m 5.0 17
the hanging wall

Source: BVN

For the Overdrift and fill (ODF) method alternative, panels may be 4.5 x 4.5 m and must be
supported with 7 ft. systematic hydrabolt plus a 2" shotcrete layer. Mining starts with primary panels
in retreat from the hanging wall to the footwall, followed by secondary panels once the primary
panels have been backfilled. For the primary panels, cemented paste backfill with a strength of 0.3
MPa is used. In this case, the backfill should be topped on the hanging wall to improve stability.

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Figure 13-16 on the left shows a schematic of the transverse sublevel stoping mining method
(SLST) and the image on the right shows the overdrift and fill (ODF) method by panels.

Figure 13-16: Diagram of the transverse sublevel stoping (SLST) on the left and drift and fill
(D&F) on the right
Source: BVN

13.1.9 Hydrogeological
In-mine water management system - Uchucchacua A.E.U.

Uchucchacua A.E.U. currently has an underground pumping system of 1350 L/s through two (02)
main stations located at the Socorro (level 3850) and Carmen (level 3970) mines, which receive
the water coming from the drifts (lower and upper levels) and discharge it to the Patón tunnel (level
4120). The water above level 4120 is conveyed by gravity also to the Patón tunnel. (Figure 13-17).

There is a main pumping station at the Socorro mine at level 3850, which has a storage capacity
of 2300 m³ and a pumping capacity of 750 L/s and is equipped with three (03) pumping lines (250
L/s and 500 HP guide pumps). This station receives water from Ramps 626-1 and 626 and pumps
approximately 400 L/s and 750 L/s, respectively.

Carmen mine has the second main pumping station, located at level 3970, with a storage capacity
of 2,400 m³ and a pumping capacity of 1,350 L/s, equipped with 04 Goulds 250 l/s 500 HP pumps,
02 Hidrostal pumps, and 03 Tsurumi 150 HP pumps. This main station receives waters coming
from the Socorro main station and from Ramp 760 (whose pumping flows are unknown) to then
evacuate to level 4120 (Patón tunnel), where the waters are evacuated by gravity along with the
flows from the upper levels to the surface with approximate flows of 1665 to 2500 L/s (See Figure
13-18, which shows the Patón tunnel discharge record for 2014 and 2018). The distribution of
seepages inside the mine shows that approximately 46% of the average drained flow comes from
a zone above level 4120 and is conveyed by gravity. For this reason, the 1350 L/s of pumping
capacity would be sufficient for current mine conditions. However, given the significant seasonal
effect of drainage flows and the high flows recorded, a more detailed water balance by level is
recommended to verify the adequacy of the current pumping capacity should high flow peaks
occur.

The Uchucchacua A.E.U. currently has a pumping capacity of 1,350 l/s from the depths of the
underground drifts; however, BVN plans to expand it to 1,500 l/s (Figure 13-19) , but according to

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the conceptual groundwater balance that was carried out, it was observed that at maximum
pumping capacities carried out in the underground works, there would be a storage of 4,708 l/s in
the underground aquifer that could cause the flooding of some underground workings. Therefore,
an update of the groundwater balance must be carried out, taking into account the current
underground seepage. SRK also recommends instrumenting the Patón tunnel outlet channe to
obtain a continuous and reliable record of the variation of evacuated flows.

Figure 13-17: Current pumping system of Uchucchacua A.E.U.

Source: BVN

Figure 13-18: Paton tunnel discharge record (2014 - 2018)

Source: Hidroandes (2014) and WSP (2017)

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PUMPING PLAN 2021 PROJECTED FUTURE P i C it Q

Figure 13-19: Projected future pumping system of the Uchucchacua A.E.U.

Source: BVN

In-mine water management system - Yumpag Project

The Yumpag project has a pumping system that evacuates an effective flow of 38.98 L/s (Figure
13-19). This pumping system consists of five (05) ponds distributed at different levels of the
underground workings.

x Pond 05 is located at Lvl. 4212 in the "Tope Rampa" zone, which evacuates an effective
flow of 36.50 L/s, of which a flow of 19.52 l/s is evacuated to pond 03 and the remaining
flow of 16.98 l/s to pond 04.
x Pond 04 is located at Lvl 4244 and has a storage capacity of 50.66 m³ and evacuates a
flow of 41.60 L/s to pond 02 through 8" diameter pipes.
x Pond 03 is located at Lvl 4266 and has a storage capacity of 89.87 m³ and evacuates an
effective flow of 37.10 l/s.
x Pond 02 is located at Lvl 4320 and has a storage capacity of 80.59 m³ and evacuates an
effective flow of 41.11 l/s to pond 01 through 4” and 8” pipes.
x Pond 01 is located at Lvl 4404, has a storage capacity of 102 m³, and evacuates an
effective flow of 38.98 l/s to the surface through 8" diameter pipes. The water that reaches
the surface is evacuated to two (02) ponds with capacities of 510 and 560 m³.
It is not known if BVN has a medium and long-term pumping plan. Therefore, SRK suggests using
the groundwater balance of underground workings on the Yumpag project to determine adequate
sizing when developing pumping plans.

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Figure 13-20: Current pumping system of Yumpag project

Source: BVN

13.2 Production Rate Expected Mine Life, Mining Unit Dimensions,

and Mining Dilution and Recovery Factors
13.2.1 Production rate
Uchucchacua has a daily production of 3,500 TPD, approximately.

13.2.2 Life of Project (LOM)

With the estimated reserves as of December 2021, a LOM is estimated until 2028.

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Table 13-12: Uchucchacua Mining Plan

LOM - UCHUCCHACUA

2022-
Description 2024 2025 2026 2027 2028 Total
2023(*)

Ore Treated
(DMT) 785,400 1,071,000 1,071,000 1,194,600 478,010 4,600,010

Ag grade (Oz/MT) 7.09 7.08 7.01 7.33 8.45 7.27

Pb Grade (%) 1.28 1.31 1.41 1.17 1.61 1.32

Zn Grade (%) 2.22 2.44 2.39 1.85 2.41 2.23

Mn Grade (%) 3.93 4.68 4.40 5.54 2.87 4.52

NSR 116 117 116 119 137 119

Ag Fines (Oz) 4,518,064 6,153,734 6,096,477 7,273,268 3,289,310 27,330,854

Pb Fines (FMT) 6,648 9,226 9,638 9,144 4,526 39,182

Zn Fines (FMT) 8,727 13,070 12,809 11,098 5,771 51,475

Source: Buenaventura

Table 13-13: Yumpag Mining Plan

LOM - YUMPAG
2022-
Description 2024 2025 2026 2027 2028 Total
2023(*)
Ore Treated (DMT) 357,000 428,400 428,400 304,800 1,518,600

Ag grade (Oz/MT) 22.99 21.93 18.16 13.35 19.39

Pb Grade (%) 0.54 0.52 0.40 0.35 0.46

Zn Grade (%) 1.09 0.92 0.69 0.71 0.85

Mn Grade (%) 18.35 17.05 15.84 15.07 16.61

NSR 357 341 282 207 301

Ag Fines (Oz) 7,007,803 8,021,800 6,641,645 3,474,074 25,145,323

Pb Fines (FMT) 1,118 1,300 1,119 610 4,148

Zn Fines (FMT) - - - - -

Source: Buenaventura

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Table 13-14: Uchucchacua + Yumpag Mining Plan

LOM - UCHUCCHACUA + YUMPAG

2022-
DESCRIPTION
2023 (*) 2024 2025 2026 2027 2028 Total

Ore Treated (DMT) 1,142,400 1,499,400 1,499,400 1,499,400 478,010 6,118,610

Ag grade (Oz/MT) 12.06 11.32 10.19 8.55 8.45 10.28

Pb Grade (%) 1.05 1.08 1.12 1.01 1.61 1.11

Zn Grade (%) 1.87 2.00 1.90 1.62 2.41 1.89

Mn Grade (%) 8.43 8.21 7.67 7.48 2.87 7.52

NSR 191 181 163 137 151 165

Ag Fines (Oz) 11,525,867 14,175,535 12,738,122 10,747,343 3,289,310 52,476,177

Pb Fines (FMT) 7,766 10,526 10,758 9,754 4,526 43,329

Zn Fines (FMT) 8,727 13,070 12,809 11,098 5,771 51,475

Source: BVN

(*)Note: Uchucchacua MU temporarily closed operations from 2021 to 2024.

13.2.3 Mining Unit Dimensions (stope dimensions)

The mining unit dimensions based on the mining method for Uchucchacua are as follows:

Table 13-15: Dimensions of Uchucchacua mining units by mining method.

Mining Methods
Parameters
Bench & Fill Overhand Cut & Fill
Minimum mining width (m) 0.5 0.5
Maximum mining width (m) 25 20
Stope height (m) 10-15 3
Stope length (m) 3 3
Footwall dilution (m) 0.20 0.20
Hanging wall dilution (m) 0.20 0.20
Dip (o) >55 >45
Source: BVN

The mining unit dimensions based on the mining method for Yumpag are as follows:

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Table 13-16: Dimensions of Yumpag mining units by mining method.

Mining Methods
Parameters
Bench & Fill Overhand Drift & Fill SARC

Minimum mining width (m) 2 2 2

Maximum mining width (m) 25 -- 12

Stope height (m) 14 4 14

Stope length (m) 2 3 8

Footwall dilution (m) 0.3 0.2 0

Hanging wall dilution (m) 0.3 0.2 0

Dip (o) >50 <50 --

Source: BVN

13.2.4 Dilution and Mining Recovery

The reserves stopes already incorporates a dilution by cleaning and backfilling; additionally, mining
recovery has also been defined (both due to operational aspects).

During the cleaning process, ore is usually contaminated when the workings are cleaned with
mechanized equipment and both materials (ore and detrital fill) are loaded. This is called a Clean-
and-Fill Dilution.

Figure 13-21: Diagram of dilution by cleaning

Source: BVN

Mining recovery refers to the mean percentage of mineral that is recovered when the panels are
mined, which does not reach 100% because mineral remains in the crown of the panels. In other
words, this refers to the mineral that remains at the time of cleaning at the edges of the ore body
and in the corners of workings.

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Figure 13-22: Mining recovery diagram

Source: BVN

Table 13-17: Uchucchacua-Yumpag Mine Dilution and Recovery by mining method

Uchucchacua Yumpag
Item
B&F OCF B&F ODF SARC
Dilution 10% 4% 10% 4% 4%
Mining recovery 90% 95% 90% 95% 95%

Source: BVN

13.3 Requirements for Stripping, Underground Development, and

Backfilling
13.3.1 Developments and preparations
In accordance with the LOM 2021 presented by BVN, the development and preparation of the
Uchucchacua mine and the Yumpag project are shown in the table below.

Table 13-18: Development and preparation works - UCH LOM

UCHUCCHACUA LOM

Work (m) 2022 2023 2024 2025 2026 2027 2028 Total
Development - - 342 342 342 342 114 1,482

Preparation - 4,900 22,443 30,606 30,606 34,135 6,833 129,523

Exploration 7,450 7,750 3,000 3,000 3,000 3,000 1,000 28,200

Total advances 7,450 12,650 25,785 33,948 33,948 37,477 7,947 159,205

DDH 80,000 80,400 86,400 86,400 86,400 86,400 28,800 534,800

RB - - 1,050 1,050 760 760 - 3,620

Source: BVN

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Table 13-19: Development and preparation works - YPG LOM

YUMPAG LOM

Work (m) 2022 2023 2024 2025 2026 2027 2028 Total

Development 2,917 2,582 1,891 14 - - - 7,403

Preparation 5,689 7,352 8,146 6,892 1,431 - - 29,510

Exploration - - - - - - - -

Total advances 8,605 9,934 10,037 6,906 1,431 - - 36,913

RB 946 974 1,114 - - - - 3,034

Ch 1,080 1,080 1,080 450 - - - 3,690

Source: BVN

13.3.2 Mine backfill

Currently, there is no system in place for the generation and distribution of "cemented backfill".

The waste rock generated in the development and preparation work is used as "detrital fill" for the
primary pits mined to improve the stability of openings and to reduce the costs of transporting
waste to the dumps. The detrital fill is moved and distributed using scooptrams.

Figure 13-23: Backfill: Cross and longitudinal section

Source: BVN

13.4 Required Mining Equipment Fleet and Machinery

Specialized contractors were operating the mine (before it stops in October 2021): CONGEMIN,
CMBSAA, MCEISAA, MEZA, COPSEM; which have their own fleet of operating equipment,
auxiliary services, ventilation and electrical power, and are detailed below:

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Table 13-20: Development and preparation works - YPG LOM

Zone Fleet Equipment Brand Model Capacity Company Total
HUANTAJALLA Scoop ATLAS
SC-25 ST-2G 2.2 Yd3 CONGEMIN 1
-OXIDES Diesel COPCO

Subtotal 1

MUKY
Jumbo TL JUM-14 RESEMIN 6Ft CMBSAA 1
LHP

MUKY
JUM-10 RESEMIN 8 Ft CMBSAA 1
FF
Jumbo
MUKIF
J-02 RESEMIN 10 Ft MCEISA 1
F 420

MUKI
Bolter MJ-03 RESEMIN 10 Ft MCEISA 1
FF

CASUALIDAD- ATLAS
SCO-41 ST-2G 2.2 Yd3 CMBSAA 1
CARMEN COPCO

Scoop ATLAS MCEISA

SC-44 ST-2G 2.2 Yd3 1
Diesel COPCO (Congemin)

ATLAS
SC-22 ST-2G 2.2 Yd3 MCEISA 1
COPCO

ATLAS EST- MCEISA

SCO-39 2.2 Yd3 1
Electric COPCO 2D (CMBSAA)
Scoop ATLAS EST- MCEISA
SCO-34 2.2 Yd3 1
COPCO 2D (CMBSAA)

Subtotal 9

NAUTI
J-2 RESEFER LUS 20 m 1
DSB
Jumbo TL
NAUTI
J-3 RESEFER LUS 20 m 1
PS

TROID
JUM-09 RESEMIN 12 Ft CMBSAA 1
ON 44

DD-
SOCORRO JB-10 SANDVIK 14 Ft CONGEMIN 1
311
ALTO
DD-
JB-13 SANDVIK 12 Ft CONGEMIN 1
Jumbo 210

DD-
JB-16 SANDVIK 12 Ft CONGEMIN 1
210

TROID
JB-24 RESEMIN ON 44- 12 Ft CONGEMIN 1
XP

Scoop CATERPILLA R1300

CAT-42 4.1 Yd3 CONGEMIN 1
Diesel R G

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Zone Fleet Equipment Brand Model Capacity Company Total

CATERPILLA R1300
CAT-43 4.1 Yd3 CONGEMIN 1
R G

CATERPILLA R1300
CAT-45 4.1 Yd3 CONGEMIN 1
R G

CATERPILLA R1300
CAT-50 4.1 Yd3 CONGEMIN 1
R G

Remote CATERPILLA R1300

CAT-04 4.1 Yd3 CONGEMIN 1
Control R G
Scoop CATERPILLA R1300
Diesel CAT-39 4.1 Yd3 CONGEMIN 1
R G

DP-32 SANDVIK TH-320 20 Tn CONGEMIN 1

Dumper
DP-33 SANDVIK TH-320 20 Tn CONGEMIN 1

MERCEDES
V-1 (blank) (blank) MEZA 1
BENZ
Dump truck
MERCEDES
V-2 (blank) (blank) MEZA 1
BENZ

Subtotal 17

DD311
MJ-17 SANDVIK 14 Ft MCEISA 1
-40
Jumbo
QUAS
MJ-05 SANDVIK 12 Ft MCEISA 1
AR

CATERPILLA R1300
S-18 4.1 Yd3 MCEISA 1
R G

Scoop CATERPILLA R1300

S-26 4.1 Yd3 MCEISA 1
Diesel R G

CATERPILLA R1300
SOCORRO S-28 4.1 Yd3 MCEISA 1
R G
BAJO I
Electric ATLAS EST-
SCO-42 2.2 Yd3 CMBSAA 1
Scoop COPCO 2D

ATLAS MT201
MD-18 20 Tn MCEISA 1
COPCO 0

ATLAS MT201
MD-19 20 Tn MCEISA 1
Dumper COPCO 0

ATLAS MT201
MD-20 20 Tn MCEISA 1
COPCO 0

MD-23 SANDVIK TH 320 16 Tn MCEISA 1

Subtotal 10

NAUTI
SOCORRO
Jumbo TL J-1 RESEFER LUS 20 m 1
BAJO
DS

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Zone Fleet Equipment Brand Model Capacity Company Total

ATLAS SIMBA
JUM-12 8 Ft CMBSAA 1
COPCO S7C

RAPT
JUM-13 RESEMIN OR 6 Ft CMBSAA 1
44XP

ATLAS SIMBA
JUM-16 8 Ft CMBSAA 1
COPCO S7C

DD311
MJ-116 SANDVIK 14 Ft MCEISA 1
-40

DD311
MJ-15 SANDVIK 14 Ft MCEISA 1
-40
Jumbo
DD321
MJ-201 SANDVIK 14 Ft MCEISA 1
-40

DD311
MJ-09 SANDVIK 14 Ft MCEISA 1
-40

SMALL
ATLAS
EMP-03 BOLTE 8 Ft CMBSAA 1
COPCO
Bolter C

MUKI
MJ-01 RESEMIN 10 Ft MCEISA 1
FF

CATERPILLA R1300
S-27 4.1 Yd3 MCEISA 1
R G

SC-04 SANDVIK LH307 4.1 Yd3 COPSEM 1

Scoop
Diesel CATERPILLA R1600
SC-06 6.1 Yd3 MCEISA 1
R H

CATERPILLA R1600
SC-29 6.1 Yd3 MCEISA 1
R H

SC-03 SANDVIK LH307 4.1 Yd3 COPSEM 1

Remote
Control SC-12 SANDVIK LH 410 6.0 Yd3 COPSEM 1
Scoop
CATERPILLA R1600
Diesel SC-14 6.0 Yd3 COPSEM 1
R G

MT201
DC-02 Atlas 20 Tn COPSEM 1
0

MD-04 SANDVIK TH 320 20 Tn MCEISA 1

MD-13 SANDVIK TH 320 20 Tn MCEISA 1

Dumper MD-14 SANDVIK TH 320 20 Tn MCEISA 1

MD-15 SANDVIK TH 320 20 Tn MCEISA 1

MD-11 SANDVIK TH 320 20Tn MCEISA 1

MT201
DC-10 Atlas 20 Tn COPSEM 1
0

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Zone Fleet Equipment Brand Model Capacity Company Total

MT201
DC-09 Atlas 20 Tn COPSEM 1
0

V-3 VOLVO (blank) (blank) MEZA 1

V-4 VOLVO (blank) (blank) MEZA 1

Dump truck
V-5 VOLVO (blank) (blank) MEZA 1

V-6 VOLVO (blank) (blank) MEZA 1

DES-03 PAUS 853-S8 - CMBSAA 1

Scaler
DES-04 PAUS 853-S8 - CMBSAA 1

MTX10
Telehandler MAN-01 MANITOU 3 Tn MCEISA 1
30ST

Subtotal 32

PASSPOR
Atlas ST7 4.1 Yd3 COPSEM 1
Scoop T # 13
Diesel CATERPILLA R1300
SC-08 4.1 Yd3 COPSEM 1
R G

MT201
Dumper DC-08 Atlas 20 Tn COPSEM 1
0

P27.6E
Telehandler TH-01 Merlo 2700 KG COPSEM 1
E
SERVICES
LP12S
Lifter ELE-01 BTI - CMBSAA 1
L6-712

CATERPILLA
Tractor TR-01 D5K 9,418 KG COPSEM 1
R

CATERPILLA
MN-01 246D 0.5 TN COPSEM 1
Skid-steer R
loader CATERPILLA
MN-03 246D 0.5 TN COPSEM 1
R

Subtotal 8

TOTAL GENERAL 77

Source: BVN

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13.5 Final Mine Outline Map

13.5.1 Plan of surface components

Figure 13-24: Drawing of underground mine surface components

Source: BVN

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13.5.2 Plan and longitudinal views

Figure 13-25: Plan and longitudinal drawings of underground mines

Source: BVN

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14 Processing and Recovery Methods

Ore is sourced from multiple vein systems, namely Carmen, Casualidad, Huantajalla, Cancha
Superficie, Socorro Alto, Socorro Bajo. Typically, the mining operation uses dump trucks, and in a
minor proportion rail cars to deliver is ore to multiple stockpiles located in the vicinity of the primary
crusher feed hopper. The stockpiles are sampled and assayed before being selectively fed to the
process using front-end loaders.

Manganese is pervasive in Uchucchacua’s ore and is largely deported to final concentrates. To

improve the value of its production, manganese is removed by acid leaching Uchucchacua’s
concentrates at Rio Seco, a processing facility located in Huaral.

Uchucchacua operates a conventional concentration operation that processes polymetallic ores to

produce mineral concentrates of varying quality. The processing plant consists of two parallel
processing lines namely Circuito 1 (C1) and Circuito 2 (C2), see Figure 14-1.

Figure 14-1: Uchuchaccua, Operation Overview

Source: BVN

The Circuit 1’s final product includes Zn-Ag concentrate, Py-Ag concentrate, Pb-Ag concentrate,
and Unitario Pb-Ag concentrate. The Circuit 2’s final product includes Zn concentrate, Py-Ag
concentrate, Rio Seco concentrate. Final tailings from both circuits are delivered to a common
conventional tailing’s storage facility. Dump truck transport the final concentrates off site to Rio
Seco facilities for refining.

14.1 Fresh Ore Supply

The ore supply and its veins make up for the 2017 to 2020 period is presented in Figure 14-2,
Figure 14-3, and Table 14-1.

x Socorro Bajo vein is the largest overall contributor to tonnage and metal for the period in
question. The results were as follows:
x In terms of tonnage, 58.3% of total tonnage, or 2.7 million tonnes, was contributed by
Socorro Bajo. Annual tonnage in 2020 was 387,266 tonnes which is significantly lower to
previous years when the range was between 700-800 kilo tonnes.

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x Silver head grade is suggesting a downward trend that started with 16.63 ounces per tonne
in 2017; dropped to 14.27 oz/t in 2018; and declined further to 10.28 oz/t and 11.21 oz/t in
2019 and 2020 respectively. Socorro Bajo’s contribution represented approximately 66%
of total silver metal.
x Lead head grade shows a trend comparable to that of silver. In 2017-2019, lead head
grade ranged between approximately 1.1% and 1.3% then dropped to 0.85% in 2020.
Socorro Bajo averaged 1.18% and represented approximately 48% of total lead metal in
2017- 2020.
x Zinc head grade ranged between 1.25% and 1.95%. Over the four-year period, zinc
assayed 1.70% and represented 49.3% of the total metal feed.
x Manganese’s head grade ranged between 6.18% and 7.88% and averaged 6.98% over
the period. Socorro Bajo’s contribution represented 68% of the total manganese feed to
Uchucchacua.
x Socorro Alto vein is the second largest contributor of tonnage and metal to Uchucchacua
mill as follows:
x In terms of tonnage, Socorro Alto contributed approximately 21.1% of the total tonnage or
982,109 tonnes. Between 2017 and 2019, annual tonnage averaged approximately
300,000 tonnes, then dropped to 74,147 tonnes in year 2000.
x Silver head grade is suggesting a downward trend that started with 11.96 ounces per tonne
in 2017; fell to 8.7 oz/t in 2018; and dropped further to 6.99 oz/t and 7.71 oz/t in 2019 and
2020 respectively. The overall silver grade during the period was 9.07 oz/tonne, which
translates into 16.6% of the total silver metal in the mill feed.
x Lead head grade ranged between 1.71% and 3% with an overall weighted average of
2.43%. Socorro Alto accounted for 35.9% of the total lead metal.
x Zinc’s head grade ranged between 2.21% and 4.21%. The overall weighted average was
3.29%, which is equivalent to 35% of the total zinc metal in the mill feed.
x Manganese head grade averaged 4.7% and ranged between 2.12% and 7.34%. Socorro
Alto contributed with 17% of the total mill feed.
Combined, Socorro Alto and Socorro Bajo accounted for 80% of the tonnage; 83% of the silver
metal; 84% of the lead metal; 84% of the zinc metal; 85% of the manganese metal, and 81% of
the iron metal.

Table 14-1: Uchucchacua, Ore Supply Composition by Vein

Ore Source 2017 2018 2019 2020 Total

Ore, tonnes 16,496 24,597 68,171 18,268 127,532

Ag oz/t 11.89 12.12 7.10 10.10 9.12
Pb % 0.86 % 1.27 % 1.39 % 1.11 % 1.26 %
Carmen
Zn % 1.44 % 1.40 % 1.65 % 1.78 % 1.59 %
Mn % 4.90 % 5.60 % 4.45 % 4.78 % 4.78 %
Fe % 4.23 % 6.22 % 5.05 % 5.48 % 5.23 %
Ore, tonnes 50,897 147,773 185,181 47,445 431,296
Ag oz/t 12.72 11.38 8.13 6.26 9.58
Pb % 1.01 % 0.77 % 0.80 % 1.36 % 0.88 %
Casualidad
Zn % 1.40 % 1.02 % 1.36 % 1.94 % 1.31 %
Mn % 3.66 % 4.22 % 3.66 % 3.18 % 3.80 %
Fe % 6.22 % 6.01 % 5.22 % 5.83 % 5.68 %
Ore, tonnes 123,225 28,536 5,854 157,615
Ag oz/t 11.98 13.59 18.97 12.53
Huantajalla
Pb % 1.32 % 0.98 % 0.79 % 1.24 %
Zn % 1.80 % 1.40 % 1.45 % 1.71 %

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Ore Source 2017 2018 2019 2020 Total

Mn % 3.70 % 3.91 % 3.27 % 3.72 %

Fe % 5.83 % 6.75 % 5.47 % 5.99 %
Ore, tonnes 292,841 315,190 299,930 74,147 982,109
Ag oz/t 11.96 8.70 6.99 7.71 9.07
Pb % 1.71 % 2.71 % 3.00 % 1.73 % 2.43 %
Socorro Alto
Zn % 2.21 % 3.61 % 4.21 % 2.59 % 3.29 %
Mn % 7.34 % 4.92 % 2.12 % 3.77 % 4.70 %
Fe % 5.58 % 7.33 % 10.60 % 6.64 % 7.75 %
Ore, tonnes 784,093 822,855 715,586 387,266 2,709,801
Ag oz/t 16.63 14.27 10.28 11.21 13.46
Socorro Pb % 1.27 % 1.31 % 1.12 % 0.85 % 1.18 %
Bajo Zn % 1.69 % 1.95 % 1.67 % 1.25 % 1.70 %
Mn % 7.88 % 7.00 % 6.18 % 6.60 % 6.98 %
Fe % 5.65 % 6.67 % 6.51 % 5.47 % 6.16 %
Ore, tonnes 102,595 49,783 60,296 23,592 236,266
Ag oz/t 11.51 9.73 9.06 7.20 10.08
Cancha Pb % 1.22 % 1.85 % 1.24 % 1.27 % 1.36 %
Superficie Zn % 1.64 % 2.53 % 1.88 % 2.41 % 1.96 %
Mn % 5.79 % 4.31 % 5.11 % 4.52 % 5.18 %
Fe % 6.34 % 8.09 % 7.21 % 5.19 % 6.81 %
Ore, tonnes 1,370,149 1,388,734 1,335,018 550,718 4,644,618
Ag oz/t 14.63 12.48 9.06 10.10 11.85
Pb % 1.35 % 1.58 % 1.51 % 1.04 % 1.43 %
Total
Zn % 1.79 % 2.23 % 2.20 % 1.56 % 2.01 %
Mn % 7.04 % 6.05 % 4.77 % 5.77 % 5.94 %
Fe % 5.71 % 6.79 % 7.20 % 5.64 % 6.45 %
Source: BVN

Figure 14-2: Uchuchaccua, Annual Ore Supply by Vein System

Source: BVN

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Figure 14-3: Uchuchaccua, Monthly Ore Supply by Vein System

Source: BVN

14.2 Mine to Plant, Ore tonnage Reconciliation

The ore reconciliation between mine and plant over the 2017 to 2020 period is presented in Table
14-2. For tonnage and all metals, the mine’s figures are systematically higher than the plant’s
figures. Mine’s ore tonnage is 2.7% higher than that reported by the plant. Similar to tonnage, head
grades for all metals reflect differences exceeding 2.7%, with manganese as the only exception.
SRK is of the opinion that reconciliation between the major areas in a mining operation are critical
to ensure the business efficiency, and that a sound management practice is to develop practices
and procedures to ensure a tight reconciliation on a regular basis, ideally no longer than a monthly
basis.

Table 14-2: Uchucchacua, Mine-to-Plant, Ore Reconciliation

Parameter Mine Plant Difference

tonne 4,644,618 4,521,233 2.7 %
Ag oz/t 11.85 11.84
Ag oz 55,042,520 53,544,154 2.8 %
Pb % 1.43 % 1.39 %
Pb tonne 66,381 62,766 5.8 %
Zn % 2.01 % 1.99 %
Zn tonne 93,529 90,172 3.7 %
Mn % 5.94 % 5.99 %
Mn tonne 275,886 270,633 1.9 %
Fe % 6.45 % 6.39 %
Fe tonne 299,745 288,893 3.8 %
Source: BVN

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14.3 Processing Plant, Data Consistency Analysis

SRK performed a metallurgical recovery consistency analysis on the available data from
Uchucchacua. The analysis calculated the overall recovery for the main credit metals using two
methods:

x Method 1 (M1) calculated the recovery in terms of final concentrate’s reported figures as
follows:
100 xConcentrate tonnage x Metal grade in Concentrate
Recovery% (M1) =
Metal in mill feed

x Method 2 (M2) calculated the recovery in terms of fresh feed and reported recovery as
follows:

100 x Ore tonnes x Head grade x Recovery

Recovery% (M2) =
Metal in mill feed

Results from the calculation are presented in Table 14-3, Table 14-4, and Table 14-5. The
conclusion are as follows:

x Analysis of the combined C1+C2 circuit shows that using M1, zinc recovery significantly
exceeds 100%.
x When performing the same analysis for the individual circuits, the results indicate the same
inconsistency for zinc in C1 when using M1.
x Recover calculations using M2 show consistency for the combined circuits as well as for
individual circuits.
x Based on these results, SRK decided that all further analysis will be performed using a
single calculation criteria: method M2.
Possible explanations for the inconsistency observed in the data are multiple, and its negative
consequences in Uchucchacua’s economics are multiple, and at least include the followings:

x Systematic error in the sampling of final concentrates

x Systematic deficiencies in the chemical assaying laboratory
x Calculation error of the moisture content
x Lack of calibration of the truck scale for dump trucks leaving the site loaded with final
concentrate
x It is highly probable that biased, unrealistic figures were fed back to the mine planning
group, which negatively impacted the mining sequence, forcing additional and
unnecessary operating expenditure.
x It is highly probable that the assay exchange with concentrate buyers uses the plant’s
declared assays and weights, and consequently the overestimation of the concentrate’s
weight and/or assay leads to a reduction in the value of Uchucchacua’s final products.
Parameters used for mineral resources and reserves estimation must include the detailed
commercial terms as stated by currently applicable contracts. For some saleable or
penalizable elements, the impact of commercial terms on the ore value could be material.

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Table 14-3: Uchucchacua, Data Consistency Analysis, Combined Circuits

C1 + C2 M1 M2

Rec Ag 92.8% 88.5%

Rec Pb 95.1% 92.6%
Rec Zn 112.8% 76.7%
Rec Mn 36.5% 34.8%
Rec Fe 29.1% 27.6%
Source: BVN

Table 14-4: Uchucchacua, Data Consistency Analysis, Circuit 1

C1 M1 M2

Rec Ag 94.7% 89.1%

Rec Pb 96.8% 93.1%
Rec Zn 130.2% 75.1%
Rec Mn 37.8% 35.7%
Rec Fe 32.8% 31.9%
Source: BVN

Table 14-5: Uchucchacua, Data Consistency Analysis, Circuit 2

C2 M1 M2

Rec Ag 86.2% 86.2%

Rec Pb 91.6% 91.7%
Rec Zn 79.6% 79.7%
Rec Mn 31.8% 31.8%
Rec Fe 23.0% 20.4%
Source: BVN

14.4 Processing Plant Performance

Uchucchacua operates two parallel conventional flotation circuits namely Circuito 1 (C1) and
Circuito 2 (C2); see simplified block flow diagrams and detailed flowsheet in Figure 14-4 to Figure
14-8.

The Circuit 1’s nominal capacity of 3,000 tonnes per day of fresh feed but in 2017-2019, the circuit
operated at only 2,600 tonnes/day (approx.).

The Circuit 2’s nominal capacity is 1,200 tonnes/day, but during the same period this circuit
operated only at approximately 1,000 tonnes/day. See Table 14-6.

Uchucchacua registered a major drop in ore processing in year 2020. In 2017-2019,

Uchucchacua’s ore throughput was uncharacteristically steady at 1.34 million tonnes per year,
then dropped to 0.5 million tonnes in 2020. SRK is of the understanding that 2020’s performance
is the result of a combination of labor issues and COVID-related restrictions.

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Table 14-6: Uchuchaccua, Metal Recovery

Circuit Units 2017 2018 2019 2020

Ore tonne 962,316 945,018 974,341 405,085

Ore tonnes/day (@365 d/y) 2,636 2,589 2,669 1,110
Grade Ag oz/t 15.77 13.67 9.64 11.25
Circuit 1 Grade Pb % 1.3 % 1.4 % 1.3 % 3.2 %
Grade Zn % 1.8 % 2.0 % 1.8 % 1.3 %
Grade Mn % 7.3 % 6.6 % 5.4 % 6.7 %
Grade Fe % 5.2 % 5.9 % 5.9 % 4.5 %
Ore tonne 377,571 402,734 360,677 93,493
Ore tonnes/day (@365 d/y) 1,034 1,103 988 256
Grade Ag oz/t 11.77 9.68 7.30 5.64
Circuit 2 Grade Pb % 1.3 % 1.7 % 2.1 % 1.5 %
Grade Zn % 1.8 % 2.5 % 3.3 % 2.5 %
Grade Mn % 6.5 % 4.8 % 3.1 % 3.1 %
Grade Fe % 6.8 % 8.7 % 10.8 % 9.0 %
Source: BVN

Figure 14-4: Uchuchaccua, Metal Recovery

Source: BVN

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Figure 14-5: Uchucchacua, Processing Circuit 1, Block Flow Diagram

Source: BVN

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Figure 14-6: Uchucchacua, Processing Circuit 1, Flowsheet

Source: BVN

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Figure 14-7: Uchucchacua, Processing Circuit 2, Block Flow Diagram

Source: BVN

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Figure 14-8: Uchucchacua, Processing Circuit 2, Flowsheet

Source: BVN

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Uchucchacua’s individual circuits and metal recovery by metal is depicted in Figure 14-9 and Table
14-7. It is important to note the following:

x Circuit 1 recovers the largest portion of the metal produced at Uchucchacua.

x Global silver recovery reached stood at 89% or 47.4 million ounces in the 2017 to 2020
period. Circuit 1 contributed 70% of total silver ounces produced and Circuit 2, 19%.
x Silver recovery was reasonably consistent between 2017 to 2019, ranging between 67%
and 69%, but increased to 88% in 2020, which was more than likely due to a decrease in
ore throughput, which resulted in a more finely ground product and an uptick in the flotation
residence time.
x Lead achieved global recovery of 92%, or 58,134 tonnes in the 2017 to 2020 period. Circuit
1 produced 39,131 tonnes, which represented 62% of total lead recovery. Circuit 2
produced 19,003 tonnes, which was represented 30% of total lead recovery.
x Zinc achieved global recovery of 76%, or 69,177 tonnes in the 2017 to 2020 period. Circuit
1 produced 44,547 tonnes, which represented 49% of total zinc recovery. Circuit 2
produced 24,629 tonnes, which represented 27% of total zinc recovery.
x Manganese achieved global recovery of 35%, or 94,281 tonnes, in the 2017 to 2020 period.
Circuit 1 produced 75,812 tonnes, which represented 28% of total manganese recovery.
Circuit 2 produced 18,469 tonnes, which represented 7% of total zinc recovery.
x Iron achieved global recovery of 28%, or 79,755 tonnes in the 2017 to 2020 period. Circuit
1 produced ,57, which represented 08% of total manganese recovery. Circuit 2 produced
22,013 tonnes, which represented 8% of total zinc recovery.
Table 14-7: Uchuchaccua, Over all Metal Recovery

Circuit / Metal 2017 2018 2019 2020 Total

C1 Metal Ag oz 13,412,051 11,302,762 8,272,744 4,487,749 37,475,307

C2 Metal Ag oz 3,877,989 3,356,989 2,236,472 444,079 9,915,528
C1 Rec Ag % 68 % 67 % 69 % 88 % 70 %
C2 Rec Ag % 20 % 20 % 19 % 9% 19 %
C1 Metal Pb t 11,793 12,462 11,404 3,471 39,131
C2 Metal Pb t 4,560 6,367 6,788 1,287 19,003
C1 Rec Pb % 66 % 61 % 58 % 69 % 62 %
C2 Rec Pb % 26 % 31 % 35 % 26 % 30 %
C1 Metal Zn t 11,424 15,424 13,384 4,315 44,547
C2 Metal Zn t 4,433 8,369 9,894 1,933 24,629
C1 Rec Zn % 48 % 53 % 46 % 56 % 49 %
C2 Rec Zn % 19 % 29 % 34 % 25 % 27 %
C1 Metal Mn t 24,488 23,144 18,985 9,195 75,812
C2 Metal Mn t 7,155 6,941 3,369 1,004 18,469
C1 Rec Mn % 26 % 28 % 30 % 31 % 28 %
C2 Rec Mn % 8% 8% 5% 3% 7%
C1 Metal Fe t 17,712 16,644 15,648 7,738 57,742
C2 Metal Fe t 5,706 7,146 7,606 1,555 22,013
C1 Rec Fe % 23 % 18 % 16 % 29 % 20 %
C2 Rec Fe % 8% 8% 8% 6% 8%
Source: BVN

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Figure 14-9: Uchucchacua, Overall Performance

Source: BVN

Information on Uchucchacua’s final concentrate quality for Circuit 1 and Circuit 2 is presented in
Table 14-8 and Table 14-9 respectively. Note that all concentrates exhibit grades that are not
typically commercialized in the industry; their quality also varies widely.

Concentrate produced in Circuit 1 exhibit the following characteristics:

x Silver is preferentially deported to the Concentrate Unitario with 50.3%

x Lead is preferentially deported to Concentrate Unitario with 64.2%
x Zinc is preferentially deported to Concentrate Zinc with 60.3%
x Manganese is pervasive in all final products, with recoveries ranging from 1.4% up to
13.2%.
x Concentrate Unitario’s head grade are 198 oz/tonne silver, 25.3% lead, 2.6% Zn, and 11%
manganese.
x Concentrate Cleaner registered the largest manganese concentration: 28.4% and also
reported 99 oz/tonne silver, 9.3% Pb, 2.3% Zn.
x Concentrate Rio Seco’s grades are 41 oz/tonne silver, 2.5% lead, 0.8% zinc, and 11.4%
manganese
x Concentrate Pyrites assays 31 oz/tonne silver 1.3% lead, 3.0% zinc, and 23.1%
manganese
x Concentrate Zinc assays 19 oz/tonne silver, 0.8% lead, 37.3% zinc, and 6.1% manganese.

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Table 14-8: Uchucchacua, Concentrate Quality, Circuit 1

Circuit 1 - 2017 to 2020
Stream Unit
Ag oz/t Pb Zn Mn
concentrate tonne 106,659 106,659 106,659 106,659
Grade 198 25.3% 2.6% 11.0%
Concentrate Unitario
Rec 50.3% 64.2% 4.6% 5.5%
Mass pull 3.2% 3.2% 3.2% 3.2%
concentrate tonne 99,291 99,291 99,291 99,291
Grade Ag oz/t 99 9.3% 2.3% 28.4%
Concentrate Cleaner
Rec 23.4% 22.0% 3.8% 13.2%
Mass pull 3.0% 3.0% 3.0% 3.0%
concentrate tonne 26,408 26,408 26,408 26,408
Grade Ag oz/t 41 2.5% 0.8% 11.4%
Concentrate Rio Seco
Rec 23.6% 17.9% 4.2% 11.1%
Mass pull 6.5% 6.5% 6.5% 6.5%
concentrate tonne 116,877 116,877 116,877 116,877
Grade Ag oz/t 31 1.3% 3.0% 23.1%
Concentrate Pyrites
Rec 8.7% 3.5% 5.9% 12.7%
Mass pull 3.6% 3.6% 3.6% 3.6%
concentrate tonne 95,831 95,831 95,831 95,831
Grade Ag oz/t 19 0.8% 37.3% 6.1%
Concentrate Zinc
Rec 4.2% 1.8% 60.3% 2.8%
Mass pull 2.9% 2.9% 2.9% 2.9%
Note: The total sum of the metal recoveries reported for individual metals does not add up to 100% because
some are not produced regularly.
Source: BVN

Concentrate produced in Circuit 2 exhibit the following characteristics:

x Silver is preferentially deported to the Concentrate Unitario with 52.1%

x Lead is preferentially deported to Concentrate Unitario with 66.9%
x Zinc is preferentially deported to Concentrate Zinc with 71.8%
x Manganese is pervasive in all final products, and the largest recovery is observed in
Concentrate Pyrites at 24.9%, Concentrate Cleaner at 23.2% and Concentrate Rio Seco
at 19.7%.
x Concentrate Unitario’s head grade are 151 oz/tonne silver, 34.8 lead, 2.9% Zn, and 7.4%
manganese.

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Table 14-9: Uchucchacua, Concentrate Quality, Circuit 2

Source: BVN

Circuit 1 - 2017 to 2020

Stream Unit
Ag Pb Zn Mn
concentrate tonne 39,748 39,748 39,748 39,748
Concentrate Grade 151 34.8% 2.9% 7.4%
Unitario Rec 52.1% 66.9% 3.7% 5.0%
Mass pull 3.2% 3.2% 3.2% 3.2%
concentrate tonne 29,688 29,688 29,688 29,688
Concentrate Grade 85 13.8% 2.1% 23.2%
Cleaner Rec 23.1% 21.2% 2.2% 12.5%
Mass pull 2.6% 2.6% 2.6% 2.6%
concentrate tonne 3,007 3,007 3,007 3,tirr
Concentrate Rio Grade 47 12.5% 3.0% 19.7%
Seco Rec 26.8% 26.8% 3.8% 20.8%
Mass pull 3.2% 3.2% 3.2% 3.2%
concentrate tonne 21,633 21,633 21,633 21,633
Concentrate Grade 29 1.0% 2.6% 24.9%
Pyrites Rec 5.6% 1.1% 2.0% 9.7%
Mass pull 1.9% 1.9% 1.9% 1.9%
concentrate tonne 55,693 55,693 55,693 55,693
Concentrate Grade 11 0.9% 39.8% 4.8%
Zinc Rec 5.5% 2.3% 71.8% 4.6%
Mass pull 4.5% 4.5% 4.5% 4.5%
Note: summation of individuals metal’s recovery does not add up to 100% because not all of them were
produced regularly

x Concentrate Cleaner registered the largest manganese concentration of 23.2.%, also 85

oz/tonne silver, 13.8% lead, and 2.1% zinc.
x Concentrate Rio Seco’s grades are 47 oz/tonne silver, 12.5% lead, 3.0% zinc, and 19.7%
manganese
x Concentrate Pyrites assayed 29 oz/tonne silver, 1.0% lead, 2.6% zinc, and 24.9%
manganese
x Concentrate Zinc assayed 11 oz/tonne silver, 0.9% lead, 39.8% zinc, and 4.8%
manganese.

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14.5 Uchucchacua Equipment List

A list of the Uchucchacua’s major equipment list is presented in Table 14-10.

Table 14-10: Uchucchacua, Major Equipment List

Area Equipment Description
plate feeder NICO FD4486 N°5
Shaker Metso GN-2010 N°1 3x6
Jaw Crusher Faco N°1 25”x40”
Conveyor belt Armco N°1 146m x 36”
Conveyor belt N°2 31m x 36”
Dynamic weighing scale Thermo N°1
Lunch fines hopper 1000 N°1
Lunch fines hopper 2000 N°2
Pump horizont Shneider ME33200 N°61 20 HP
Coarse ore hopper N°7
Coarse ore hopper N°4 800 tonne
Chain feeder N°1
Chain feeder N°2
Chain feeder N°3
Chain feeder N°4
Conveyor belt 24”
Crushing
Conveyor belt 34m x 36”
Grill shaker N°3 3x4
Jaw Crusher Funcal N°3 15”x24”
Upright Pump Galigher 2.5”
Conveyor belt 97m x 24”
Dynamic weighing scale Thermo Ramsey N°3
Conveyor belt 24”
Conveyor belt 18mx24”
Shaker Tyler N°4 5x12
Conveyor belt 45m x 24”
Cone crusher Symons N°4 4”
Conveyor belt 24”
Conveyor belt 24”
Conveyor belt 24”
Fines hopper D.E. Langer N°5
Fines hopper D.E. Langer N°6
Feeder ore belt 25mx26”
Feeder ore belt 25mx26”
Feeder ore belt 25mx26”
Feeder ore belt 25mx26”
Vertical Pump Galigher 3.5”
Conveyor belt N°3 36”
Dynamic weighing scale Thermo Ramsey N°2
Conveyor belt N°6 36”
Conveyor belt N°4 36”
Conveyor belt N°5 24”
Cone crusher Trio TC 36 N°2
Ball mill Kooper SAG N°1 15.5x11
Compressor Tor Sullair T1109 N°2 125 PSI
Shaker Sizetec N°2 6x12
Vertical Pump Galigher 3.5”
Horizontal Pump Warman 10x8 G-AH
Horizontal Pump Warman 10x8 G-AH
Horizontal pump Metso MDM 250 THC C5HC
Horizontal pump Metso MDM 250 THC C5HC
Grinding Ball mill Morgard Shammer N°2 13x20
Horizontal pump Warman 6/4 E-AH
Horizontal pump Warman 6/4 E-AH
Ball mill Magensa 8x14 N°4
Horizontal pump Warman 6x4 E-AH N°53
Horizontal pump Warman 6x4 E-AH N°54
Vertical Pump Epiasa 2.5x48
Vertical Pump Epiasa N°9 2.5x48
Conveyor belt 8mx24”
Conveyor belt 14mx24”
Conveyor belt 24”
Conveyor belt 24”
Conveyor belt 28mx24”
Dynamic weighing scale Thermo Ramsey N°5
Rod Mill Fima N°3 7’x12’
Horizontal pump Warman 6x4 E-AH
Horizontal pump Warman 6x4 E-AH
Vertical Pump Galigher 2.5x48
Horizontal pump Warman N°5 9x13
Vertical Pump Galigher 2.5”
Flotation Cell Bank Fima Sun A-1500 N°1
Flotation Cell Outotec SK240 N°1
Flotation Cell Outotec SK240 N°2
Flotation Cell Outotec TCE 30I N°4
Flotation Cell Outotec TCE 30II N°5
Flotation Cell Outotec OK20-I N°15
Flotation Cell Outotec OK20-II N°16
Flotation Cell Bank Fima Sun A-24 N°6
Flotation Cell Bank Outotec OK-8U (01-09)
Flotation
Flotation Cell Bank Fima Sun A-30 N°5
Flotation Cell Bank Outotec OK-8U (10-13)
Flotation Cell Bank Outotec OK-8U (14-19)
Flotation Cell Metso RCS20-1 N°6
Flotation Cell Metso RCS20-2 N°7
Flotation Cell Bank Denver Agitair N°7
Conditioner tank N°1 10x12
Flotation Cell Metso RCS20-3 N°8
Flotation Cell Metso RCS20-4 N°9

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Area Equipment Description

Flotation Cell Metso RCS20-5 N°10
Flotation Cell Metso RCS20-6 N°11
Flotation Cell Metso RCS20-7 N°12
Flotation Cell Metso RCS20-8 N°13
Column Flotation Cell N°21
Column Flotation Cell Cominco N°14
Vertical Pump Galigher 2.5”
Vertical Pump Galigher 2.5”
Horizontal Pump Warman 8x6 AH
Horizontal Pump Warman 8x6 AH
Horizontal Pump Warman 8x6 AH
Horizontal Pump Warman 8x6 AH
Vertical Pump Fima 2.5x48
Horizontal Pump Galigher Vacseal 6x4
Horizontal pump Warman 6x4 E-AH
Vertical Pump Galigher 2.5”
Holding Tank ZnAg N°4
Holding Tank PbAg N°2
Horizontal Pump ASH N°42 4x3, 10 HP
Horizontal pump Warman 6x4 E-AH
Vertical Pump Galigher 2.5”
Horizontal Pump Galigher Vacseal 6x4
Vertical Pump Galigher 2.5”
Vertical Pump Galigher 2.5”
Horizontal Pump Warman 6x4 AH
Horizontal Pump Warman 8x6 AH
Horizontal pump Warman 6x4 E-AH
Horizontal Pump Warman 4x3 C-AH
Horizontal pump Warman 6x4 E-AH
Horizontal pump Warman 6x4 E-AH
Horizontal pump Warman 6x4 E-AH
Horizontal pump Warman 6x4 E-AH
Vertical Pump Galigher 2.5”
Vertical Pump Galigher 2.5”
Vertical Pump Galigher 3.5”
Horizontal Pump Fowler 3.5”
Vertical Pump Fowler 3.5”
Horizontal pump Warman 6x4 E-AH
Horizontal pump Warman 6x4 E-AH
Horizontal pump Warman 6x4 E-AH
Vertical Pump Espiasa 2.5x48
Vertical Pump Galigher 2.5”
Horizontal Pump Warman 1-1/2”x1 B-AH
Horizontal Pump Warman 4x3 C-AH
Horizontal Pump Warman 3x2 C-AH
Horizontal Pump Warman 6x4 E-AH
Flotation Cell Outotec SK80
Flotation Cell Outotec SK81
Flotation Cell RCS20 N°19
Flotation Cell Bank Denver Sub A24 N°9
Flotation Cell Bank Outotec OK-8U N°10
Flotation Cell Bank Denver Sub A30 N°19
Flotation Cell Bank Outotec OK-8U N°11
Flotation Cell Bank Denver Sub A24 N°10
Conditioner tank N°7 10x12
Flotation Cell Bank Outotec OK-8U N°13
Flotation Cell Bank Denver Sub A24 N°12
Conditioner tank N°8 10x12
Flotation Cell Bank Outotec OK-8U N°14
Flotation Cell Bank Outotec OK-8U N°15
Flotation Cell Bank Denver Sub A30 N°6
Column Flotation Cell N°20
Vertical Pump Galigher 2.5x48
Horizontal Pump Warman AH 4x3 N°80
Horizontal Pump Warman E-AH 4x3 N°70
Horizontal Pump Fima SRL 1 1/2x1 ¼ N°20
Vertical Pump Galigher 2.5”
Horizontal Pump Warman 4x3 N°68
Horizontal Pump Warman 6x4 N°61
Horizontal Pump Warman D255RA102 6x4 N°59
Vertical Pump Galigher N°63 2.5”
Vertical Pump Galigher N°64 2.5x48
Horizontal Pump Warman 4x3 N°81
Horizontal Pump Warman AH 6x4 N°49
Horizontal Pump Warman 6x4 E-AH
Horizontal Pump Warman D-AH 4x3 N°79
Vertical Pump Galigher 2.5”
Horizontal Pump Warman E-AH 6x4 N°78
Horizontal Pump Warman D-AH 4x3 N°76
Horizontal Pump Warman 6x4 E-AH
Vertical Pump Galigher N°69 2.5x48
Vertical Pump Galigher N°65 2.5x48
Horizontal Pump Warman AH 6x4 N°71
Vertical Pump Galigher N°73 2.5”
Compressor Torn Atlas Copco GA315
Compressor Torn Atlas Copco GA160
Compressor Torn Sullair TS32S 450 WC
Horizontal Pump Warman 10x8 F-AH
Horizontal Pump Warman 10x8 F-AH
Tailings Pumping Horizontal Pump Warman 8x6 AH
Horizontal Pump Warman 8x6 AH
Vertical Pump Galigher 3.5”
Screw feeder N°6
Reagents Ball mill N°6 3’x5’
Horizontal Pump Warman 4x3 C-AH

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Area Equipment Description

Horizontal Pump Warman 3x2 C-AH
Vertical Pump Galigher N°70 2.5x48
Vertical Pump Galigher 2.5x48
Horizontal Pump Warman 3x2 C-AH
Agitator Tank N°5
Agitator Tank N°6
Horizontal Pump Fima SRL 1 1/2x1 ¼ N°61
Peristaltic Pump Albin ALH-65 7.5 HP
Horizontal Pump Warman 3x2 C-AH
Agitator Tank N°10
Agitator Tank N°9
Horizontal Pump ASH 5x4 N°48
Vertical Pump Galigher 2.5”
Horizontal Pump ASH SRC 5x4 N°50
Horizontal Pump Warman SRC 5x4 N°51
Horizontal Pump ASH 4x3 N°52
Horizontal Pump Warman SRC 5x4 N°53
Vertical Pump Galigher 2.5”
Thickener AgPb N°4 50x10
Thickener Fima AgPb N°3 25x10
Thickener Fima AgPb N°1 25x8
Thickener AgPb N°2 25x8
Holding Tank N°3
Thickening and Filtering Thickener ZnAg N°5 30x12
Vertical Pump Galigher N°55 3.5”
Filter Press Netzsch 1500/15 PbAg N°2
Filter Press Netzsch 1500/30 PbAg N°3
Filter Press Diemme GHT 1500 F8
Vertical Pump 65QV-SPx900
Filter Press Netzsch 1500/15 PbAg N°1
Thickener Outokumpo N°6 30x10
Thickener Outokumpo N°7 30x10
Thickener Outokumpo N°8 30x10
Horizontal Pump ASH SRC 4x3
Vertical Pump Galigher 3.5”
Thickener Denver Mymsa 30H N°10
Horizontal Pump Warman 6x4 E-AH N°40
Horizontal Pump Warman 6x4 E-AH N°41
Bridge Crane Bracket Monorail N°9 5 tonne
Bridge Crane Bracket Monorail N°1 2 tonne
Bridge Crane Bracket Monorail N°2 2.5 tonne
Bridge Crane Bracket Monorail N°3 5 tonne
Bridge Crane Bracket Monorail N°4 2 tonne
Bridge Crane Bracket Monorail N°5 1 tonne
Bridge Gantry Crane N°6 25 tonne
Ancillary Equipment Bridge Gantry Crane N°7 3 tonne
Bridge Gantry Crane N°10 5 tonne
Bridge Gantry Crane N°11 2.5 tonne
Bridge Gantry Crane N°12
Bridge Gantry Crane N°8 3 tonne
Vertical Pump Galigher 2.5”
Vertical Pump Galigher 2.5”
Vertical Pump Galigher 2.5”
Source: BVN

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14.6 Rio Seco Processing Unit

Rio Seco processing facilities include leaching and flotation to selectively remove manganese from
the concentrates. The main ancillary facility includes an acid plant to generate sulfuric acid for the
leaching stage. See flowsheet in Figure 14-10.

The main products and by-products from Rio Seco are as follows:

x A polymetallic concentrate with elevated silver content

x Manganese sulfate
x Multiple calcium-derived compounds, which result from the neutralization of solutions and
gases

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Figure 14-10: Rio Seco Flowsheet

Source: BVN

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x Production from Rio Seco for the 2017 to 2020 periods is presented in Table 14-11, Figure
14-11 and Figure 14-12. The total concentrate production was 65,148 tonnes of
concentrate, assaying 148 ounces of solver, 17.6% lead, 3.7% manganese, 2% arsenic,
4.0% zinc, 21.7% iron, and 0.6% antimony. Concentrate was trucked off site with 10.8%
moisture.
x Concentrate tonnage production profile shows a consistent downward trend, starting at
17,778 tonnes in 2017 and dropping to 6,290 tonnes in 2021.
x Concentrate moisture has been consistent at approximately 10% w/w.
x Silver grade also shows a downward trend, consistent with its feed grade, starting at 20.4
oz/tonne in 2017 and dropping to approximately 10 oz/tonne in 2020 and 2021.
x Manganese shows a consistent downward trend, starting at 6.0% in 2017 and falling below
1.4% in 2021. Throughput is one of the possible drivers of lower manganese grades in the
final concentrate.
x Zinc was not reported in 2017 2018. In 2019-2021, the zinc grade averaged 4.0%.
x Arsenic was not reported in 2017-2018. In 2019-2021, the arsenic grade averaged 2.0%.
x Additional assays available for the 2017 to 2021 period are Fe, Ca, and Sb, whose
respective averages are 21.7%, 1.7%, and 0.6%.
Table 14-11: Rio Seco, Annual Concentrate Production
Concentrate Moisture Ag x
year Pb Mn Fe% Ca% As% Sb% Zn%
, tonnes % 10oz/tonne
2017 17,778 11.0 20.4 16.6 6.0
2018 19,035 11.1 16.3 22.1 3.2
2019 12,561 10.9 10.4 18.2 3.0 20.7 1.7 1.8 0.6 3.7
2020 9,485 10.4 9.7 12.5 2.8 21.6 2.1 2.1 0.5 4.3
2021 6,290 9.9 10.9 13.0 1.4 23.9 1.1 2.3 0.7 4.1
Total 65,148 10.8 14.8 17.6 3.7 21.7 1.7 2.0 0.6 4.0

Source: BVN

Figure 14-11: Rio Seco, Annual Concentrate Production

Source: BVN

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Figure 14-12: Rio Seco, Monthly Concentrate Production, 2017 to 2021

Source: BVN

14.7 Conclusions & Recommendations

SRK can offer the following comments about its visit to Uchucchacua facilities:

x Overall, the mechanical and structural competence of the facilities is substandard to the
point that some areas feel unsafe to walk around.
x The visual inspection of the semiautogenous mill suggests the mill was leaking slurry for a
long time. A major repair will be necessary.
x Major repairs and refurbishments will be necessary before the plant resumes operation.
Most likely, electrical motors of all sizes will need replacement. A rough cost estimate is
USD10.0 million over a period of six to eight months.
x The need for the re-starting capital mentioned in the bullet list above is a reflection of the
poor operating and maintenance practices at Uchucchacua.
x Between 2017 to 2019, both circuits operated in the range of 87% to 88% of their nominal
capacity. Considering that a comparable well-operated plant should reach, at a very
minimum, 90% mechanical availability, then it is reasonable to estimate that
Uchucchacua’s current mechanical availability is below 79%. In other words,
Uchucchacua’s mechanical availability is likely poor by the mining industry’s operating
practices.
x Uchucchacua’s high manganese concentrates are refined at Rio Seco processing facilities
to add commercial value by lowering their manganese content. The products and by-
products from Rio Seco include a polymetallic concentrate with low manganese and
elevated silver content, manganese sulfate, and multiple calcium-derived compounds
resulting from the neutralization of solutions and gases.
x Rio Seco plant is dedicated to processing Uchucchacua’s production. At the time of SRK’s
visit, Rio Seco was not operating. Nevertheless, it appears to be a well-operated and
maintained facility.
x There are a limited number of comparable metallurgical facilities in the global industry that
process feeds similar to that of Rio Seco; many of them source feed from the Andean
region. SRK is of the opinion that Rio Seco has the potential to become an independent
(from Uchucchacua) custom processing company given that it has the strategic advantage
of being close to the one of the world’s main sources of polymetallic ores.

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15 Infrastructure
15.1 Waste Rock Management Facility
15.1.1 Colquicocha - 2017
The Colquicocha waste rock management facility is located on top of a former tailings and waste
rock management facility, which was closed as part of the PAMA program and rehabilitated in
2010.

Engineering studies on the rehabilitation and the management facility were developed by OM
Ingeniería y laboratorio S.R.L. (OM) in 2010 and 2017, respectively. The facility design has an
extension of 1.44 hectares for a storage of 40 K t of temporary ore and 10 k t of waste rock.

The geometric configuration of the facility considers an overall slope of 2.5(H):1(V) until reaching
the maximum elevation of 4,447 MASL

Geotechnical investigations carried out by OM in 2017 were complemented with those executed in
2010, which allowed characterizing the waste rock, ore, and foundations of the facility. The latter
consists of old tailings located at the base, which maintains the positioning of the nearby water
table, which could trigger liquefaction phenomena.

The design criteria adopted are consistent with engineering practice. It is also stated that the
stability results in static, pseudo-static, and post-earthquake scenarios comply with the evaluated
criteria; however, foundation analyses are limited, and the residual behavior of old tailings should
be explored in greater detail, in addition to updating the Seismic Hazard Study, which was based
on instrumental information collected up to 2005. In addition, deformation analyses are
recommended, considering the presence of the old tailings management facility at the base of the
facility.

Static geochemical studies show no generation of acid mine drainage from the waste rock;
however, the number of tests is reduced, and this study should be complemented with dynamic
leaching tests to validate the environmental conditions.

Additionally, the design includes a crown ditch calculated for maximum precipitations of 24 hours
with a return period of 500 years, which evacuates the collected water to sedimentation ponds.
There is also a drainage system on the platform to manage the infiltration water collected and
transferred to water control ponds located below the facility; however, there is no infiltration analysis
to support the design used.

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Figure 15-1: Colquicocha waste rock management facility

Source: BVN

15.1.2 Huantajalla LVL360 JMF 2014

The Huantajalla LVL 360 waste rock management facility is located in the Huantajalla Valley
between 4,340 and 4,390 meters above sea level, downstream of the Huantajalla mine entrance.

The detailed engineering design was developed by JMF in 2014 considering an area of 40,950 m²
for a storage volume of 745,000 m³ and a material density of 2.4 t/m³. The facility will be built in
two stages, the first will consist of a 288,500 m³ (0.69 Mt) storage volume, while the second stage
foresees a volume of 456,500 m³ (1.79 Mt). Its useful life considers periods of 11.4 years for the
first stage and 29.3 years for the second stage.

The facility geometry contemplates the construction of 5 to 10 m high benches with berm widths of
6 m and overall slopes of 2.5H: 1V until reaching the maximum elevation of 4390 MASL

In 2009, SVS Ingenieros conducted geotechnical investigations in the area, which were
complemented by JMF in 2013 to further characterize the foundation and waste rock material. This
information suggests that the foundation would be made up of rock outcrops and competent
colluvial deposits, while the waste rock has grain sizes ranging from sands to blocks with a
maximum diameter of 50 cm.

The geotechnical design criteria used are consistent with international practice. Physical stability
analyses of the waste dump showed factors of safety above the design criteria for both static and
pseudo-static cases. For the latter analysis, the seismic hazard study performed by Knigth Piesold
in 2009 was used.

It is worth mentioning that, towards the east zone, the facility will be supported in an area with an
existing sedimentation pond; therefore, its removal is planned, prior to the expansion of the tailings
management facility in that sector.

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From an environmental standpoint, geochemical tests classify waste as a material with no acid
drainage generation, based on static tests carried out in studies of 2009 and 2014.

Surface runoff diversion works consider channels and ditches calculated for the evacuation of
maximum rainfall in 24 hours with a return period of 500 years.

Finally, recommendations are outlined for closure, post-closure, maintenance, and monitoring
activities of the facilities to be considered in the Environmental Impact Study; however, costs and
schedules for these activities are not provided.

Figure 15-2: Huantajalla LVL 360 waste rock management facility

Source: BVN

15.1.3 Huantajalla Lvl 500-2014

The waste rock management facility (DME) Level 500 belonging to the Uchucchacua mining unit,
is located at the foot of level 500 mine entrance.

This facility's detailed engineering was conducted by OM Ingeniería y Laboratorio (OM) in 2014,
covering an extension of 4 hectares with a storage capacity of 567,000 m³ for an estimated useful
life of 4 months.

The facility’s maximum height is 35 m until reaching a maximum elevation of 4,498 MASL They
present 2.4H:1V slopes and 8 m berm widths. This infrastructure also has a gabion wall of 2 m at
the foot, with an extension of 224.5 m.

Geotechnical investigations carried out by OM to characterize waste rock and foundation materials
revealed the localized presence of very wet silty soils, for which the placement of sub-drains was
recommended.

The physical stability assessment of the waste rock dump showed factors of safety exceeding the
design criteria for both static and pseudo-static cases.

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Geochemical results show that the waste rock material does not generate acid rock drainage for
static tests; however, the number of tests is of limited representativeness.

For runoff water management, crown ditches were considered on the north and east sides with
lengths of 285.7 m and 177.7 m, respectively, and designed for a maximum rainfall of 24 hours in
a return period of 500 years.

Figure 15-3: Huantajalla Lvl 500-2014 waste rock management facility

Source: BVN

15.1.4 Uchucchacua Lvl 600

Similar to Lvl 500 waste rock management facility (DME), this deposit is located at the foot of level
620 mine entrance.

This facility's detailed engineering was conducted by OM Ingeniería y Laboratorio (OM) in 2014,
covering an area of 1 Ha, with a storage capacity of 48,800 m³ of waste rock, and an estimated
useful life of 2 months.

The facility has a maximum height of 13 meters with slopes of 2.4H:1V and berm widths of 8 meters,
until reaching a maximum elevation of 4,625 MASL In addition, this infrastructure will have a 2 m
gabion wall at the foot, with a 109 m extension.

Geotechnical investigations conducted by OM to characterize the foundation revealed the

presence of loose clayey gravels with no presence of fine soils, so it is considered a competent
site for the management facility.

The physical stability assessment of the waste rock dump showed factors of safety exceeding the
industry design criteria for both static and pseudo-static cases. Geochemical results show that the
waste rock material does not generate acid rock drainage for static tests.

For the management of runoff water, a 148 m long crown ditch was considered, designed for a
maximum rainfall of 24 hours in a return period of 500 years.

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Figure 15-4: Huantajalla Lvl 600 waste rock management facility

Source: BVN

15.2 Tailings Management Facility

Cía. de Minas Buenaventura S.A.A. (Buenaventura) is a Peruvian company dedicated to the
exploration, extraction and commercialization of gold, silver, and other metals, which is listed on
the Stock Exchanges of Peru (1971) and New York (1996).

In the Uchucchacua Mining Unit, located in the district and province of Oyon, in the department of
Lima, at an altitude of 4 300 masl, Buenaventura exploits four underground mines: Socorro,
Carmen, Huantajalla y Casualidad, from which it extracts silver, lead and zinc, in addition to
manganese, as a by-product, which is processed in the Rio Seco industrial plant. The Yumpag
project, located 5 km to the northeast, was integrated into the Uchucchacua Unit at the end of 2019.

The Uchucchacua mine is an argentiferous deposit with base metals and a high content of
manganese hosted in carbonate rocks of the Jumasha formation of the Upper Cretaceous, related
to Miocene intrusives. The mineralogy is varied and complex with the occurrence of silver in
sulfides and sulfosalts, with abundant alabandite and manganese calcosilicates. Lead and zinc
increase in the vicinity of intrusives. The metallurgical process consists of two circuits: Circuit 1,
with a capacity of 2 810 t/d, and Circuit 2, with a capacity of 1 190 t/d.

The tailings that are generated in the metallurgical process are stored in the Uchucchacua Tailings
Facility, known as "Relavera 3". Knight Piésold Consultores S.A. (Knight Piésold) has provided
the engineering design for its various stages together with some of the construction oversight,
Quality Assurance and operational assistance, while Buenaventura has provided the other
construction oversight and has directed the operation.

The Relavera 3 is located in a glacial valley flanked by high hills with large rocky prominences,
which initially had had two exits, where were constructed two dams: Principal (to the east) and
Auxiliary (to the west), as per the initial design developed by Knight Piésold in 1995.

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The design of the early stages of the Relavera 3 was based on a 500-year return period earthquake
and 100-year return period storm event, which was typical of the design criteria applied at the time
in Peru (1995); it was expected a useful life of the Relavera 3 to be 20 years. From the first raise
of the Relavera 3 (2008), the design parameters were selected in accordance with the Canadian
Dam Association (CDA) guidelines, with the Relavera 3 dams being categorized as having “High”
consequences, in the event of a fault. A subsequent recategorization of the Relavera 3 dams,
based on the results of a dam break analysis (developed in 2021 as part of the feasibility study
to again raise the Relavera 3 dams), resulted in “Very High” consequences, therefore, the
maximum credible earthquake (MCE) is being used as the design earthquake and to estimate the
design flood, the precipitation that results from the 2/3 between the 1000-year return period
precipitation and the probable maximum precipitation, is used.

Seven geotechnical investigations have been developed between 1995 and 2021, to characterize
the existing materials in the foundations of the dams, as well as the materials used in the
construction of the various infrastructure (other consultants developed additional geotechnical
investigations). Site investigations consisted of geotechnical drilling, test pits excavation, cone
penetration tests with pore pressure measurement (SCPTu) and geophysics tests; soil mechanics
tests were also developed in situ and in the laboratory. The respective reports of the geotechnical
investigations are available.

In 1995, the Principal Dam was built in two stages: the first stage up to an elevation of 4 380,0
masl, through the construction of a starter dam made up of rockfill compacted in layers to a
maximum height of 10,0 m; and, the second stage up to the elevation 4 392,0 masl, that consisted
in raising downstream the starter dam with the coarse particles of the cyclone tailings (the second
stage did not reach the design elevation of 4 395,0 masl), to complete a total heigh of 22,0 m.
Filters were incorporated to prevent the migration of fines and a drain with rock at the base, to favor
the capture and recovery of infiltrated water.

The Auxiliary Dam was designed to be raised downstream in several stages, according to
operating requirements, up to the final elevation of 4 393,0 masl. The body of the dam was formed
with rockfill placed and compacted in layers. On the upstream slope that is in contact with the
tailings, filters and geotextile were incorporated to prevent the migration of fines, and a drain with
rock at the base of the dam, as in the case of the Principal Dam. The diversion channels
(east and west), tailings transport system and supernatant water decantation system were
also designed and built as part of the early stages of the Relavera 3.

In 2008, Knight Piésold designed the first raise of the Relavera 3 to reach an elevation of 4 397,0
masl. In addition to raise the Principal and Auxiliary Dams, four minor dams were designed between
the Principal and Auxiliary Dams, the west diversion channel was extended, an infiltration collection
pond downstream of the Auxiliary Dam and an emergency channel for extreme storm events.

It is during the rise to 4 397,0 masl that Buenaventura stops using the decant system implemented
in the initial stages of construction, to avoid the discharge of tailings water into the environment,
for which a pumping system was implemented, located in the opposite end of the dams (north
end). The decant system consisted of a "quena" pipe to capture the supernatant water, to
discharged it under the Auxiliary Dam through a solid high-density polyethylene (HDPE) pipe
embedded in a reinforced concrete block, which crosses the body of the Auxiliary Dam.

The “quena” pipe was sealed and abandoned and finally covered with the tailings. The downstream
end was extended further down as the Auxiliary Dam was raised to maintain it as operational

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because a small amount of water still running. Buenaventura plans to close the old decant system
with the new Auxiliary Dam that is going to be built downstream of the existing one.

Between 2014 and 2015, Knight Piésold designed the second raise of the Relavera 3, in two
stages: Stage 1 to elevation 4 401,0 masl and Stage 2 to elevation 4 416,0 masl (to be built
progressively in four phases). In practice, Dams were raised according to the operation
requirements, and not necessarily to reach the proposed design elevations.

The Stage 1 added a storage capacity of 2,52 Mt and the Stage 2 an additional capacity of 9,45
Mt. The embankments raise was designed considering a tailings production of 2 700 t/d that would
be increased up to 3 200 t/d; the extreme event flood storage was 0,82 Mm³, the wave run-up was
estimated in 600 mm and the freeboard was 1,0 m high.

It was during the construction of the dams rise to 4 401,0 masl, that the lining of the upstream
slopes of the dams began, with a smooth high-density polyethylene (HDPE) geomembrane, to
minimize infiltrations towards the dams, since limestone dissolution (karst) was detected between
the Principal and Auxiliary Dams, in the Jumasha limestone only; the geomembrane lining was
extended to the natural slopes of the basin between the Principal and Auxiliary Dams. The
geomembrane was anchored to the existing tailings elevation of 4 395,5 masl and to the dam’s
crests, as they were raised; the geomembrane was not deployed at the lower levels because
in previous geotechnical investigations it had not seen any evidence of karst.

During the rise to 4 405,0 masl, it was necessary to relocate the public road that passes
below the Principal Dam and the construction of the Plomopampa Dam, located 700 m north of
the Principal Dam, to prevent tailings from flooding the Plomopampa camp.

All the raises up to the current level of the dams of 4 411,0 masl have been by the downstream
method, and it is expected to continue in this way. It is during this construction stage that the HDPE
geomembrane was extended to the east side, between the Principal and the Plomopampa Dams,
to prevent infiltration of tailings water, because dissolution of the limestone rock was detected;
prior to the geomembrane installation, the dissolution zones were treated by cleaning the cracks
and filling them with shotcrete. The geomembrane will continue to be extended, both on the
dam’s upstream slopes, and in the eastern sector, until the final elevation of the dams.

Buenaventura has a construction permit up to an elevation of 4 416,0 masl, for which it is planned
to continue raising the dams. However, on October 15, 2021, Buenaventura made public the
temporary suspension of its operations at the Uchucchacua Unit, due to conflicts with the
communities; Buenaventura estimates that the suspension will last two years. Figure 15-5, taken
from the drone's flight in December 2021, shows the current situation of the Relavera 3.

The initial construction of the infrastructure of the Relavera 3 to 4 392,0 masl was executed directly
by Buenaventura, without having implemented Quality Control and Quality Assurance (QC/QA)
procedures, for which there are no construction reports neither construction “as built”
drawings. Since 2008, Buenaventura Ingenieros S.A.A. (BISA) directs the construction and QC
activities, with the participation of the Empresa Comunal de Servicios Multiples Oyon
(ECOSERMO), as construction contractor and in the last two stages of construction (to 4 409,0
and 4 411,0 masl) also as responsible for the QC.

Knight Piésold was not involved in the initial infrastructure construction of the Relavera 3,
and only responded to those inquiries that Buenaventura proposed, as well as made some site
visits. It is in 2008 when Knight Piésold is hired to carry out the QA of the dams raise from 4 409,0

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to 4 411,0 masl (current elevation); Knight Piésold was not involved in the construction to raise the
embankments from 4 405,0 to 4 409,0 masl, when the QA was overseeing by BISA. The
corresponding construction reports and 'as-built' drawings are available.

Although there is no information on the initial stages of construction, it is known that the preparation
of the foundations of the dams consisted in excavating the unsuitable materials until a competent
foundation was found, but there is no information on whether there was a need to treat karst areas.
There are documented records of the treatment of the foundation, of those stages in which Knight
Piésold was responsible for the QA.

Similarly, there is no information on the conformation of the fill materials during the initial stages of
construction, although subsequent field investigations have confirmed that the compactness
achieved is adequate. As of 2008, there is documented information that the construction materials
were placed in accordance with the requirements of the technical specifications.

The existing mineral reserves in the Uchucchacua Mining Unit make it necessary to increase the
storage capacity of the Relavera 3 or build new tailings facilities. Based on the trade-off studies
results that have been developed, in November 2019 Buenaventura commissioned Knight Piésold
to develop the feasibility engineering to raise the Relavera 3 to 4 429,0 masl; the study includes
the change of technology to store conventional and thickened tailings, which was commissioned
to Paterson & Cooke Chile S.P.A. The feasibility study report will be available in May 2022.

The feasibility design to raise the Relavera 3 embankments to 4 429,0 masl, considers a new
Auxiliary Dam slightly downstream after the raise to 4 016,0 masl. The realignment of the Auxiliary
Dam is necessary to provide a better enclosure for the facility and facilitate its construction, since
at the beginning of the design no one could have anticipated that the Principal and Auxiliary
Dams would become one (to join both dams the alignment was very intricate).

Currently, the remaining capacity in the Relavera 3 up to an elevation of 4 411,0 masl is 0,25 Mt
and up to an elevation of 4 416,0 masl, 3,22 Mt could be stored. Although Buenaventura plans to
raise the dams to 4 413,0 masl, and later reach an elevation of 4 416,0 masl, it has not been
necessary due to the temporary suspension of activities in the Uchucchacua Unit, which will last
until 2023. The elevation of the dam to 4 416,0 masl is the level currently allowed (construction
permit approved).

The raise up to 4 429,0 masl will provide the Relavera 3 with an additional storage capacity of
15,21 Mt, managing to extend the operation of the Uchucchacua Mining Unit until July 2032. At the
end of the operation, the final capacity of the Relavera 3 will be 26,27 Mt, for an estimated density
of conventional tailings of 1,26 t/m³ and for the thickened tailings of 1,6 t/m³; the discharge of
thickened tailings will start in 2027. All future raises will continue to be implemented by the
downstream method.

The stability reviews of the Principal and Auxiliary Dams made it possible to identify safety factors
that do not meet the value required for seismic condition analysis, which is due to: (1) during the
raise up to 4 409,0 masl, weak materials, unsuitable as a foundation surface, were left under the
raising areas of the Principal and Auxiliary Dams; and, (2) Buenaventura commissioned the update
of the seismic hazard study of the Uchucchacua Unit to ZER Geosystem Perú S.A.C., whose
results indicated design accelerations greater than those of the previous seismic hazard study.

Commissioned by Buenaventura, Knight Piésold has developed the design of reinforcement

buttresses to improve the stability conditions of the Principal and Auxiliary Dams up to 4

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416,0 masl, whose construction will take place in 2022. The main restriction for the design of the
buttress of the Principal Dam was the public road, as it cannot be relocated; however, the design
proposed by Knight Piésold accounts for keeping the road in its current location while still meeting
seismic design requirements. To raise the Principal Dam above the elevation 4 416,0 masl, it will
be necessary to relocate the public road with due anticipation. A preliminary cross section of the
Principal Dam is presented in Figure 15-6.

The Principal Dam was initially formed with cyclone tailings, whose potential to liquefy is being
evaluated as part of the feasibility study. Although, location of these tailings is favorable since they
are contained both downstream and above, in the upcoming detailed design of the 4 429,0 masl
arrangement, Knight Piésold will conduct full dynamic deformation analyses of the dams under the
MCE to confirm the security of the design for the long term under earthquake loading; this
deformation analysis is planned to be done with FLAC (Fast Lagrangian Analysis of Continua),
to demonstrate that the entire dam, including the cyclone sand, that is well confined, will
perform adequately.

Water management is always important for the safe operation of any tailings facility and is of
importance for the Relavera 3 to keep the pore pressures in and under the dams within acceptable
limits and to maintain an appropriate level of flood storage capacity and freeboard. The contributing
basin is extensive upstream of the Relavera 3, although the location of the Colquicocha lagoon is
conducive to attenuating surface runoff avenues. However, the east diversion channel construction
is pending, since the water balance models consider this diversion structure, necessary in extreme
storm events, and for the dewatering of the Colquicocha lagoon. Although due to the temporary
suspension of the Uchucchacua Unit operation, there are currently favorable conditions for the
management of water caused by extreme rainfall, Buenaventura must finish the construction of the
east diversion channel towards the start of operations in 2023.

In 2019, during heavy rain events, the supernatant water pond reached the Principal Dam and
significant springs water and wetting of the downstream slope occurred (it is also likely that some
water flows came from the karst area in the east abutment). Similar events have not occurred
because Buenaventura improved tailings discharge, allowing it to maintain an extensive beach to
prevent supernatant water from approaching the dams during the rainy season; in addition, the
current elevation of the discharged tailings has increased the length of the path for the water to
infiltrate and reach the anchored geomembrane at 4 395,5 masl. Maintaining an extensive beach
against the dams and continuing the geomembrane up the remaining height of the facility will be
key elements of the Relavera 3 plans going forward.

The geotechnical instrumentation installed in the Relavera 3 consists of open tube piezometers
(Casagrande type) and topographic landmarks, which are regularly monitored. The piezometric
levels measured at the foundations of the dams suggest that the conditions are favorable for static
slope stability but not yet favorable for earthquake slope stability, until the buttresses are built.
Additionally, many of the piezometers and topographic landmarks were lost during the different
construction stages, for which the geotechnical instrumentation currently installed in the Relavera
3 must be updated and extended, for which it has been recommended to develop a plan that
includes a trade-off of the best available technologies, to select the instruments that best adapt to
the needs of the Uchucchacua Unit.

The protests of the communities are experienced by some regularity and accessing the
Uchucchacua Unit is restricted, which made it difficult to monitor the installed geotechnical
instrumentation. Buenaventura is working to resolve the issues and the automation of the
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instrumentation will improve this situation. By way of an overall conclusion, Knight Piésold
believes that the Relavera 3 will be able to be re-commissioned, expanded and utilized for
resumed operations through 2032 and up to elevation 4 429,0 masl in a secure manner
provided that:

x suitable downstream buttresses are built against the current embankments in 2022 before
operations resume,
x all future embankment raises above the buttresses are completed following the
downstream method of construction with competent, drained fill that is placed and well
compacted to form a dense and stable structure,
x the geomembrane liner is continued on the upstream side of the embankments and the
east side of the facility following good quality installation practices,
x a new water diversion channel system is installed upstream of the Relavera 3 in
accordance with its plans,
x the water balance is extended into the future through the full life of mine period and refined
to include an initial calibration and a probabilistic component, and is updated
periodically throughout the operation,
x all construction is completed in accordance with the objectives of the designs and
specifications with good quality oversight and QA/QC services provided, and with good
quality documentation,
x a high level of operational attention is paid to maintaining long drained tailings beaches
against the dams at all times with the supernatant water pond kept small and well removed
from the dams, in accordance with the tailing’s deposition plans and the updated water
balance requirements, and
x the surveillance and monitoring system is updated and expanded to provide the information
needed to confirm that the Relavera 3 will meet all required stability and security objectives,
and appropriate regular and event driven are conducted.
Knight Piésold will provide the designs, specifications and other engineering inputs to facilitate the
above.

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Figure 15-5: Relavera 3 current situation

Source: BVN

Figure 15-6: Principal Dam cross section (after buttress implementation)

Source: BVN

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15.3 Mine Operations Support Facilities

15.3.1 Underground Workshop
This facility is placed for minor repairs and immediate support of equipment. It is located on Nv
3920.

15.3.2 Pumping System

The mine drainage has two discharge systems to the surface: the Patón and the Huantajalla
tunnels. All the water collected from the deep levels is sent up to Lv. 4120, where the Patón tunnel
is located; this is where drainage for the entire mine is carried out.

The pumping stations are located in:

x Carmen mine at levels 3970, 3830, 3690, and 3550.

x Socorro mine at levels 3830, 3690, and 3550

15.3.3 Mine Administration and Warehouse

The Mine Administration and Workshop building have an area of 1,500 m². The building is divided
in:

x Administration building
x Main Warehouse

15.3.4 Other facilities

Workshop
There are different areas within the workshops, such as tire station, lubrication station, truck repairs
area, welding area, and truck wash facility.

Truck Fuel Facility

The fueling facility has a storage capacity of 88,236 gals. This facility is consigned to the Primax
company.

Explosives Storage
The building is located in the Socorro mine at level 3990.

15.4 Processing Plant Support Facilities

15.4.1 Laboratory
The laboratory building has an area of 578 m², built with thermoacoustic panels for the roof and
walls. The facility has the following working areas: sample preparation, assaying, testing facilities,
warehouse, offices, men & women toilets, and dressing room.

15.4.2 Warehouse
This facility is located close to the processing plant with an area of 1,632 m².

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15.5 Man Camp

The Plomopampa housing area and executive accommodation are located in Plomopampa area.
U.E.A Uchucchacua offers housing for up to 1,271 company employees and contractors. In the
Patón area, there are rooms for seven workers and the rest of the rooms for visitors. Finally, both
facilities have a capacity of 1,278 employees.

15.6 Power Supply and Distribution

The energy from the national network is taken from the substation Paragsha II located in Cerro de
Pasco. Energy is transmitted through the L-1123 transmission line at a voltage of 138 kV via 240
mm² aluminum cables that are supported by metal towers. The line runs the length of 47.8 km to
the Uchucchacua substation, where the voltage is reduced from 138 kV to 10 kV through an 18/22
MVA transformer.

Another source of energy that supplies the operations of Uchucchacua is the Otuto hydroelectric
plant, which has a generating capacity of 3,300 kW in the short rainy season and 1,800 kW in the
dry season.

U.E.A Uchucchacua has a thermal power plant, which is equipped with a CAT 3612 generator set
of 2,400 nominal kW and a generator set Sulzer of 1,100 nominal kW. Together, they have a
generation capacity effective 2,500 kW.

15.7 Water Supply

The water supply is obtained by pumping water from Chacra or Caballococha lagoon, Cutacocha
lagoon, Culicocha or Culquicocha lagoon, Patón lagoon, and Qda. Jachacancha or Querurum. This
source of water is used for industrial and domestic purposes.

15.8 Waste Water Treatment and Solid Water Disposal

15.8.1 Waste Water Treatment
Industrial effluents were generated as part of the mining and metallurgical activities from the U.E.A.
Uchucchacua at 6,000 TPD. These come from the Socorro mine (4'952,894 m³/year), Carmen
(1'908,395 m³/year), Casualidad (3'126,755 m³/year) and Huantajalla (455,976 m³/year).

Domestic effluents come from the domestic wastewater treatment system (15,768 m³/year) of the
Huantajalla office and the treatment system of activated sludge (236,520 m³ / year) from the
effluents of the Plomopampa camp and the industrial zone.

15.8.2 Solid Waste Disposal

Domestic Waste Disposal

The domestic waste disposal is located on the path from the Plomopampa Camp to the Huantajalla
mine facilities. It has a ventilation and gas evacuation system. In this facility are deposited all the
domestic waste generated in the U.E.A Uchucchacua that cannot be reused. Due to the
characteristics of the terrain, the domestic sanitary landfill, the combined method (trench and area)
is considered for filling, which covers an approximate area of 0.40 ha and has been designed to
store an estimated volume for ten years 13,000 m³ of waste.

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Industrial Waste Disposal

It is the final disposal deposit for hazardous waste, also called landfill industrial. Hazardous waste
generated in the U.E.A Uchucchacua, flammable, hospital, non-reusable waste, among others, are
deposited in this landfill prior to encapsulation. The area of this landfill is approximately 0.60 ha
and has been projected to store for 19 years an estimated volume of 10,000 m³ of industrial waste.

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16 Market Studies
16.1 Uchucchacua markets
16.1.1 Zinc market

Overview of the zinc market

Zinc – the fourth most widely consumed metal in the world following iron, aluminium and copper –
is an excellent anti-corrosion agent and bonds well with other metals. It is also moderately reactive
and a fair conductor of electricity. It is well-recognised for its effectiveness in protecting steel
against corrosion by galvanising, and as such this accounts for 60% of total zinc consumption.
Galvanised zinc is widely used in multiple industrial applications such as automobile bodies, air
conditioners and more. Zinc is also commonly used for alloy production, as well as chemical uses
and battery production.

By end-use sector, construction and transportation add up to ~70% of total demand. In the
transportation sector, the automotive industry accounts for around 10% of global zinc demand.

Figure 16-1: Global zinc demand by first-use sector and end-use sector
Source: CRU

In terms of mine production, around 80% of zinc mines are underground, only 8% are open pit
mines and the remaining 12% are a combination of both. Zinc ores contain only around 5-15% zinc
and need to be concentrated before being processed by smelters. A typical zinc concentrate
contains 50-62% Zn and other elements such as Pb, S, Fe, SiO2 and silver. Metallic zinc can be
recovered from the concentrate by using either hydrometallurgical or pyrometallurgical techniques.
Today, over 90% of zinc is produced hydrometallurgically in electrolytic plants.

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Figure 16-2: Zinc value chain

Source: CRU

Zinc value chain

The following figure shows a simplified version of the zinc value chain:

Figure 16-3: Simplified zinc value chain

Source: CRU

Mine production accounts for the vast majority of refined zinc supply. In 2020, ~89% of the refined
zinc was produced from concentrates.

Zinc concentrates are an intermediate product in the production of refined zinc, and typically
contain 50-62% zinc. In addition, concentrates may contain economic levels of gold and silver
which can be recovered during the smelting process and are therefore typically paid for by the
smelter. Recovery rates depend on the smelter setup but, given that lead smelters are able to reach
high recovery rates for silver, it is often the case that the silver-lead residue is captured and then
processed at a sister lead smelter. This means that payables are not necessarily linked to

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recoveries in the zinc smelter itself, but that residue processing and transportation costs are taken
into account when negotiating them.

Metallic zinc can be recovered from the concentrate by using either hydrometallurgical or
pyrometallurgical techniques. Today over 90% of zinc is produced hydrometallurgically in
electrolytic plants. The pyrometallurgical process is a less common type of metallurgical process.

The majority of zinc producers are not fully integrated from mine to finished product. As a result,
zinc concentrates are widely traded by mines to smelters, often through a merchant.

Zinc concentrate

The miner usually gets paid certain percentage of zinc, gold and silver contents in the concentrates
sold:

The industry-standard zinc payable formula states that the buyer will pay for a certain proportion
of the contained zinc, typically 85%, subject to a minimum deduction levied on the overall grade of
the zinc concentrate. This minimum deduction typically stands at eight units (or eight percentage
points). A well-run modern smelter will now recover between 90-99% of the zinc content of its feed.
The remaining “free zinc” the smelter gets becomes part of the smelter's expected revenue from a
purchase of concentrates.

x In most occurrences, zinc concentrates have a naturally low gold content. However, given
the high value of gold units, these are attractive to recovered even at low levels, with
recovery rates varying depending on the smelter. Typically, payable terms range between
70-80% of the gold content with a minimum deduction of 1g Au per tonne of concentrate
with no RC.
x Silver is a relatively common occurrence in zinc deposits, and if present in sufficient
quantities, will be payable in a zinc concentrate contract. However, fewer zinc smelters can
recover silver as easily or effectively as smelters of other metals, hence less silver is paid
for in a typical zinc concentrate contract than other concentrates. Silver in zinc concentrate
is usually subject to a 3 troy ounce deduction (93.3 g/t) and then a 70% payability.
In addition to the main payable metals above, indium can be paid by some smelters if it is present
in high quantities. However, this happens in rare occasions, and it is usually recovered by the
smelters but not paid to the miner.

Zinc concentrates all contain a host of other elements, and some of these can create operational
difficulties for smelters and refineries. Actual penalties will vary according to the ability of the
specific smelter to handle each impurity. Typical elements which receive penalties when above
certain thresholds include arsenic, bismuth, antimony, mercury, fluorine and magnesium.

Zinc concentrates are also subject to a treatment charge (TC). The spot TC market is almost
entirely constituted of China, whereas negotiations in the European market are mainly negotiated
on an annual contract basis. Hence, benchmark price for China is spot TC, while for Europe is
annual TC.

In Western markets, it is also common to find price participation clauses. These represent a form
of profit-sharing between the smelter and the miner, such that depending on the LME zinc price,
then the TC on the zinc concentrate is adjusted by an escalator to transfer some of the price risk
to the smelter. Chinese smelters usually do not apply price participation clauses, meaning that
there is a fixed TC charge for Chinese smelters to process concentrates, and this is not affected
by the prevailing zinc price.

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Zinc market balance and price

The following price forecast represents CRU’s forecast as of January 2022 for period 2021-2026.
Long term prices represent CRU’s forecast as of April 2021.

The global refined zinc market was in deficit with demand exceeding supply in most of the years
between 2015 and 2019. The only exception was 2015 when the market was in high surplus due
to a demand depression driven by a slowdown of industrial production, automotive and construction
sectors, together with a moderate growth (~3.6% y/y) of refined zinc production. This relatively tight
market supported an environment of rising prices between 2015 and 2018, with prices going from
US$1,928 to US$2,922 per tonne. With a reduced refined zinc market deficit, an accumulation of
concentrate market surplus and the exit of bullish investors, LME zinc cash prices fell dramatically
to US$2,546/t in 2019.CRU estimates that the market has moved from a moderate deficit of -235
kt Zn in 2019 to a considerable surplus of 536 kt Zn in 2020, driving prices down to US$2,267/t.

Going forward, global smelter output growth is expected to slow but refined zinc surpluses will
continue to build, as demand growth is expected to remain lacklustre. The cumulative refined
surplus is expected to continue to increase to 2025, the majority of which will be in the world ex.
China. Although prices are expected to increase in 2021, the overall surplus in the following five
years will result in lower prices, with the average annual price expected to reach US$1,955/ t in
2025 in nominal terms.

In the long term, CRU expects smelting capacity will be able to support the demand for primary
zinc, as new smelting capacity can come on stream relatively easily if the market requires it. Mined
zinc supply will therefore be the bottleneck to global zinc market growth, and prices will need to
adjust in order to incentivize investment into new mining capacity. Based on the supply-demand
gap expected at a mine level, new mining projects will be needed from 2026 forward.

Figure 16-4: Zinc supply-demand gap analysis, 2021 - 2026, kt

Source: CRU

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Figure 16-5: Zinc supply-demand gap analysis, 2021 - 2026, kt

Source: CRU

Smelter disruption affected the supply sector in a transversal way in 2021. Refined supply was
supplemented by the release of zinc stocks, but an outperforming demand growth mainly in Europe
and the USA, and a weak response from the supply-side, led to a tightly refined surplus of 60 kt in
2021, pressing prices up to $3,033 /t. CRU expects the global refined market to switch to deficit in
2022 and 2023, generating supportive fundamentals for the metal price increase, but returning to
surplus from 2024 onwards. Thereafter, CRU expects prices to fall deep against a backdrop of
cumulative surpluses to bring the market back to a sensible balance, hitting its lowest point in 2025,
equivalent to $2,134 /t. Nevertheless, prices will need to correct to rebalance the market, pushing
prices up again in 2026, leaping up to $2,348 /t.

Figure 16-6: LME zinc cash prices, 2021-2036 (US$/t)

Source: CRU

Table 16-1: Zinc LME cash prices 2021 – 2036 (US$/t)

Source: CRU

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16.1.2 Lead & silver markets

Overview of the lead market

Historically, lead was used in a wide variety of applications, but these have narrowed in time due
to technological advances as well as environmental & health pressures. Currently, lead
consumption has become dominated by its application in lead-acid batteries (LABs), which
accounts for ~85% of total lead consumption.

The greater portion of lead consumed in the battery sector is dedicated to SLI Batteries (Starting,
Lighting and Ignition), which are mostly found in cars and motorcycles. Going forward, both
production of new vehicles (or OE, Original Equipment) and replacement of failed batteries in
existing vehicles are important demand drivers. These are followed by industrial batteries,
accounting for nearly a third of lead demand. The rest is for non-battery uses including submarine
cables, some chemicals and radiation shielding. Lead’s incorporation into paint, petrol, solders,
galvanising alloys and other less relevant uses is fast disappearing.

Figure 16-7: Lead demand by end-use sector

Source: CRU

On the supply side, due to the polymetallic nature of most lead mines, lead production is
significantly impacted by the production of other metals. The main minerals where lead is found
often contain silver, zinc, and copper, and commercial ores can have a lead content from 2% to
>20%.

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Figure 16-8: Lead industrial value chain

Source: CRU

Lead value chain

Lead is normally found as an accessory mineral within the ores of other base metals such as zinc,
silver, copper and sometimes gold. Due to the polymetallic nature of the vast majority of lead mines,
production is significantly impacted by the production of other metals, in particular by that of zinc
and silver. Indeed, in many of these mines, lead is the by-product, or at least not the main focus of
mining.

The following figure shows the value chain for lead production:

Figure 16-9: Simplified lead value chain

Source: CRU

Most of lead supply is obtained from recycled material, accounting for 63-65% of total production.

The remaining ~35% of lead supply comes from mine production, specifically from concentrates
containing lead. The concentrate is an intermediate product generated when the more diluted lead
content of the mined ore is beneficiated at a concentrate plant. Lead concentrates can have a lead
content of up to 50% Pb and are sold by mines directly to lead smelters or to traders.

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Lead concentrate
Unlike other types of concentrate, estimating the specifications of a ‘typical’ lead concentrate is
difficult due to the wide range of lead concentrate qualities produced at individual mines and the
differing preferences of smelters to treat the array of material being offered by the market.

On the mine supply side, there is a clear split between higher volumes of more complex ‘high-silver’
lead concentrates and a much scarcer flow of ‘low-silver’ lead concentrates.

On the concentrate demand side, most smelters have some ability to recover silver, though it
typically comes down to the payment terms in order to make it sufficiently attractive to process
such material. This is particularly important for Chinese smelters, where Chinese silver prices are
lower than international prices. Though this discourages them from treating ‘high-silver’ feed,
Chinese smelters will continue to buy ‘high-silver’ concentrates because ‘low-silver’ concentrates
are in short supply. They will also strive for terms that reflect the associated tighter margins of
treating such material. As a result, lead concentrates attract different treatment charges (TCs)
depending on whether they are catalogued as low-silver or high-silver concentrates. For TC
purposes, a ‘high-silver’ lead concentrate has ~3,100g/t of silver and ~70% lead content, while a
‘low-silver’ concentrate has less than 400g/t of silver and ~65% lead content.

It is also common to find price participation clauses in lead concentrate sales. These represent a
form of profit-sharing between the smelter and the miner, such that depending on the LME lead
price, then the TC on the lead concentrate is adjusted by an escalator to transfer some of the price
risk to the smelter. It is usually the case that contracts for ‘low-silver’ lead concentrates include
price participation, whereas ‘high-silver’ terms usually do not include price participation. Terms for
concentrates with a silver content between 400 and 3,100g/t vary as they can follow either structure
and, as the case with all concentrates regarding of their silver content, the structure of the final
contract is ultimately the result of negotiations between parties and there are no rules set in stone.

When it comes to metal payables, payable terms do not discriminate based on silver content.
Regardless of the silver content, the payable stays the same for main payable materials of lead,
gold and silver:

x Modern smelters are quite efficient. A typical smelter recovers around 97% of the lead.
Hence, the lead payable terms are high at 95% of the concentrate content subject to a
minimum deduction of 3%.
x Silver is usually the second most valuable material in the lead concentrate. The terms are
95% payable, subject to minimum deduction of 30g/t with RCs applied on payable silver
content. RCs can vary depending on silver content and market conditions, and have
fluctuated between US$0.6-1.5/oz in later years.
x Gold is less often found with lead-zinc deposits. Having said that, typical terms consider a
95% payable, subject to minimum deduction of 1g/t with RCs applied on payable gold
content. RCs are relatively standard at US$5.0/oz.
In addition to the main payable metals above, lead concentrates all contain a host of other
elements, and some of these can create operational difficulties for smelters and refineries. Actual
penalties will vary according to the ability of the specific smelter to handle each impurity. Some
typical elements which could attract penalties when above certain thresholds include arsenic
(penalized when levels are above 0.1%), mercury (penalized when levels are above 15ppm),
bismuth (penalized when levels are above 0.02%) and antimony (penalized when levels are above
0.3%).

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Lead market balance and price

The following price forecast represents CRU’s forecast as of November 2021 for period 2021-2026.
Long term prices represent CRU’s forecast as of April 2021.

The global refined lead market moved steadily from a small surplus of only ~20 kt in 2015 to a
deficit of 113 kt in 2018 and a slightly lower deficit of 72kt in 2019. From a price perspective, there
was a downward correction in 2015 to reflect a relatively high stock level, before lifting to
US$2,317/t in 2017 owing to tight concentrate and refined lead markets. Lead prices continued to
stay high at US$2,242/t in 2018 but fell to US$2,000/t in 2019, primarily due to the breakdown of
US-Chinese trade talks and the return of further import tariff hikes.

CRU estimates the refined lead market saw a global surplus of 91 kt in 2020 as demand decreased
more than production in the midst of the Covid-19 pandemic. As a result, prices dropped
significantly to US$1,826 /t.

In 2021, CRU expects another year of surplus – both demand and supply are expected to pick up
from 2020 levels, but consumption is still expected to lag slightly behind supply. The shrinking
surplus in 2021 heralds a change towards 2025, one of a re-tightening path. The key dynamic at
play will be a greater slowdown in primary than in secondary production growth. This will trigger
overall production growth to slow by more than consumption growth, thus moving the global market
back into deficit in 2023-2025. As a result of these changes, CRU expects an LME lead cash price
recovery from US$1,980/t in 2022 to US$2,240/t in 2025.

In the long term, lead will continue to be weighed down in investors’ eyes by a lack of a compelling
positive narrative in the 2020s, not least relative to other ‘battery’ metals like lithium, cobalt and
nickel in the vehicle electrification story. We believe that lead’s tarnished image among the
investment community is somewhat misplaced, given its current and future dominant role in most
battery sectors and impressive ‘green’ recycling record. Yet the very success of lead recycling will
perhaps act as a drag on lead prices, with this ‘closed loop’ resulting in smaller market imbalances
ahead compared to other more primary supply-driven metals like copper.

Figure 16-10: Lead supply-demand gap analysis, 2021 - 2026, kt

Source: CRU

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Figure 16-11: Lead Market Balance 2021 – 2026 (kt)

Source: CRU

The market surplus generated coming out of the Covid-19 pandemic is expected to slow down the
upwards price trend that has been taking place since early 2020 and, consequently, nominal price
is expected to hit 2,271 US$/t in 2022 before dropping to 2,239 US$/t in 2023. After 2023, prices
are forecast to rise as the World’s refined lead demand progressively outpaces production going
to 2026. Subsequently, as this imbalance turns into deficit, prices are expected to hit 2,391 US$/t
by the end of the forecasted period.

Figure 16-12: LME cash lead prices 2021 – 2036, US$/t

Source: CRU

Table 16-2: Lead LME cash prices 2021-2036 US$/t

Source: CRU

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Overview of the silver market

Silver is often compared to gold given its ancient usage in jewellery and coinage, which now
account for 30% and 8% of silver demand respectively. The main distinction between both markets
is that silver has more extensive uses in industrial applications, with electrical/electronic uses
accounting for 23% of demand. Like gold, silver is used in electronics for its excellent electrical
conductivity, lack of corrosion, and ease of mechanical use – but given its lower price point and
higher availability, it sees far more widespread usage than gold in this area.

Figure 16-13: Silver demand b end-use

Source: CRU

In terms of supply, mined silver makes up ~80% of this total silver production, with recycled silver
scrap accounting for the rest. Furthermore, only 25% of mined silver comes from mine which
produce silver as their primary metal, while the remainder of mined supply is produced as a by-
product from polymetallic mines that may also produce zinc, lead, or copper. Because of this, the
silver market is highly diversified with the top eight producers only making up less than 30% of
global mined supply.

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Figure 16-14: Silver value chain

Source: CRU

Silver market balance and price

The following price forecast represents CRU’s forecast as of January 2022 for period 2021-2026.
Long term prices represent CRU’s forecast as of April 2021.

The silver market is currently going through a phase of rapid market rebalancing as it shifts from a
period of deficit from 2016 to 2019, to a surplus in 2020 and forward. With the Covid-19 pandemic,
fabrication demand was hit harder than supply, which resulted in a small surplus for the year. Both
supply and demand are expected to rebound in 2021, bringing the market back into a deficit. In the
medium term, the market is expected to remain relatively well balanced, alternating between years
of surplus and undersupply. Demand is expected to peak in 2024 as increases in the jewelry sector
– the main end use for silver –are not enough to offset dwindling demand from other end uses, and
the market is expected to see an increasing surplus into the long term.

On the price side, and similarly to gold, silver prices do not tend toward equilibrium like other
commodities. Instead, price is often linked to sentiment rather than fundamental market forces.
Since 2015, prices have been relatively stable, ranging between US$16 and US$17 per troy ounce
between 2015 and 2019. The uncertainly brought by Covid-19 pushed prices up to US$20 /oz in
2020. This tendency is expected to continue out to 2025, when prices are expected to peak at
US$34 /oz.

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Figure 16-15: Silver supply-demand gap analysis, 2021 - 2026, kt

Source: CRU

Figure 16-16: Silver Market Balance 2021 – 2026 (kt)

Source: CRU

Rising uncertainty about the strength of the post-pandemic global economic recovery will keep
reining in growth in industrial demand. This, combined with a robust recovery in metal supply, will
reduce the fundamental deficit, leading to a more balanced silver market in 2022-2023. CRU does
not expect to see a sustainable return in buying interest towards this precious metal until late 2022
with the nominal annual average silver price dropping from $25.1/oz in 2021 to $23.3/oz in 2022.
Starting from 2023, market fundamentals will start to retighten as industrial demand for silver (ex-
coins) fully recovers from the pandemic shock and mine supply weakens driven by grades
degradation, reserves exhaustion and mine closures. This will spark a resumption of the silver bull
rally and pushing nominal prices all the way up to $31.1/oz in 2026.

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Figure 16-17: Silver price forecast, 2021 – 2036, US$/oz

Source: CRU

Tabla 16-1: Silver prices 2021 - 2036, US$/oz

Source: CRU

16.2 Uchucchacua products

16.2.1 Summary of Uchucchacua products
The following tables summarizes the main specifications and production of each concentrate and
doré produced by Uchucchacua:

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Table 16-3: Typical specifications of Uchucchacua’s concentrates

Note: Over 70% of Uchucchacua´s “Cleaner” concentrate is sent to Rio Seco plant in order to process it further and obtain
the “Lixiviado” or leached material.

Source: Buenaventura

This section aims to assess and compare Uchucchacua’s products to other players in the industry.
This is done by showing where each product stands when compared to estimated specification
from a large sample of mines. The figures presented show the minimum and maximum content of
each element under analysis in the samples of mines used, as well as the median and the
distribution around it segmented in quartiles in the following way:

Figure 16-18: Sample boxplot

Source: CRU

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16.2.2 Zn concentrate
The following charts show Uchucchacua’s zinc, gold and silver content in their zinc concentrate
when compared to a sample of mines from CRU’s Zinc and Lead Cost Model, looking at data
between 2015 and 2019. A sample of 229 mines (out of which 60 are located in Latin America)
was used to evaluate standard zinc content in concentrates across the industry, while gold and
silver content was evaluated using smaller samples of 63 and 166 mines, respectively.

Note: Three mines have an Ag grade of over 1,200 g/t. They were omitted for graphic purposes.

Figure 16-19: Zn concentrate of Uchucchacua mine

Source: CRU

Buenaventura does not have smelting capacity to process zinc concentrate, and therefore needs
to sell the product to the market.

Total smelting capacity in 2019 was ~15 Mt of zinc per year. Zinc concentrates are mostly sold to
Asia, where most of smelting capacity is located. Approximately ~44% of zinc smelting capacity
can be found in China, followed by South Korea (~7% of global smelting capacity) and Japan (~4%
of global smelting capacity). Outside Asia, other relevant location is Europe, which concentrates
17% of smelting capacity worldwide. Central and South America account for ~4% of smelting
capacity, with smelters in Peru and Brazil. Peru has two zinc smelters, La Oroya and Cajamarquilla,
with Cajamarquilla being the seventh largest zinc smelter in the world in terms of processing
capacity.

Most of the zinc smelters in the world are not integrated. According to our estimates, the customs
market volume is estimated to be ~7Mt of zinc concentrates.

Non-integrated smelters are located in all the major zinc consuming regions. Having said that there
are some zinc smelters that are located inland such as CIS smelters, which makes them
unattractive choice for processing. In Europe and North America, there are smelters that will be
more likely to buy concentrates from nearby mines. Nevertheless, there are still smelters that will
accept concentrates from overseas mines. The largest customs market is likely to be located in
Asia, where there are Japanese, South Korean and Chinese smelters which will operate in the
customs market.

Buenaventura’s zinc concentrates from Uchucchacua has very low zinc content and high levels of
manganese. This means the material is sold at a discount and is a good match for traders with a
large portfolio who can use the concentrate for blending. Buenaventura has been able to sell this

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concentrate on the back of the large amount of diverse zinc concentrates extracted in Peru, which
allows for a variety of combinations which are attractive to the market once blended. Looking
forward, Buenaventura has contracts in place covering 100% of Uchucchacua’s zinc concentrate
production for 2022 and 2023, and 60% of production for 2024. Conversations with current buyers
are constant and future production is likely to be secured when the time arrives.

16.2.3 Pb concentrate
Uchucchacua produces two distinct lead concentrates: “unitarias” and “cleaner”. A fraction of the
“cleaner” concentrate is sent to Rio Seco plant for further processing, and the resulting material is
called “lixiviado” or leached material. This product is also analysed in this section.

The following charts show Uchucchacua’s lead, gold and silver content in their lead concentrates
when compared to a sample of mines from CRU’s Zinc & Lead Cost Model, looking at data between
2015 and 2019. A sample of 191 mines (out of which 57 are located in Latin America) was used to
evaluate standard lead content in concentrates across the industry, while gold and silver content
was evaluated using smaller samples of 54 and 179 mines, respectively.

Figure 16-20: Pb concentrate of Uchucchacua mine (1/2)

Source: CRU

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Figure 16-21: Pb concentrate of Uchucchacua mine (2/2)

Source: CRU

The lead market is highly reliant on the secondary market to provide the vast majority of refined
lead. From 11.8 Mt of refined lead production in 2020, just 4.3 Mt of refined lead came directly from
lead mines, equivalent to 37% of production.

Around two thirds of mined lead is produced in China. China does not export any concentrate and
remains a substantial importer of lead concentrates, importing around ~700kt of lead contained in
concentrates every year. Outside of China, the size of smelter’s custom market purchases is
equivalent to ~800 kt Pb contained concentrates annually, which translates into a total custom
market for lead concentrates of ~1.5 Mt Pb. In terms of quality preference, most Chinese smelters
are not overly interested in processing lead concentrates with high silver because of the silver price
arbitrage. The silver price in China is usually lower than international LBMA prices, and a
prospective Chinese smelter would have to pay in LBMA terms when buying the concentrate and
receive the local price when selling. Notably, there are a few lead smelters which have government
permits in place that allow them to process the silver and export it, avoiding price arbitrage in the
process. However, this can be done only if the concentrate being imported into China falls under
the silver concentrate category. Although the smelters which have the necessary permits to
process silver concentrates and then export them are only a few in number, they are relatively large
in terms of capacity.

Uchucchacua’s lead concentrates all have different specifications:

x “Unitarias”: low lead content, high silver content and low manganese content.

x “Cleaner”: low lead content, high silver content and high manganese content. Over 70% of
this material is sent to Rio Seco plant, where it is processed to lower the manganese
content and increase lead and silver content in the product. The remaining material is sold
directly to market.

x “Lixiviado” or leached material: material resulting from leaching a fraction of the “cleaner”
concentrate. As mentioned before, this product has lower manganese content and higher
lead and silver content than the “cleaner” concentrate.

“Unitarias” concentrate, with high silver and low lead, is a good example of a mine where silver
content is its main positive characteristic. This concentrate could be attractive for the Chinese
smelters that have an appetite for high-silver lead concentrate, as well as other locations such as
Germany, South Korea and Japan. The concentrate’s high arsenic content, however, means it
would likely need to be blended.

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The “cleaner” concentrate has just 6% lead content, as well as high silver and high As content.
Given the low amount of lead in the concentrate and the relatively high silver and arsenic levels,
this concentrate is likely to be used for blending and processed as a silver concentrate. Payables
would mostly be linked to silver content and, as the “unitarias” concentrate, markets which value
silver content will be the most likely target markets.

Looking ahead, Buenaventura has secured sales for 68% and 13% of Uchucchacua’s “unitarias”
concentrate production for 2022 and 2023, respectively. Conversations with current buyers are
ongoing and future production is likely to be secured when the time comes.

As far as CRU understands, the leached material catalogued as “lixiviado” concentrate cannot be
exported to China as, having been through additional chemical processes after being concentrated,
it is no longer considered a concentrate. This, combined with the high arsenic content in the
material, would mean this production will likely be used for blending and then exported to markets
other than China. The material’s high silver content will also help increase its attractiveness in
markets where silver is well-valued. Going forward, Buenaventura has secured sales for 80% and
76% of Uchucchacua’s production of its “lixiviado” material for 2022 and 2023, respectively.
Conversations with current buyers are ongoing and future production is likely to be secured when
the time comes.

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17 Environmental Studies, Permitting, and Plans,

Negotiations, or Agreements with Local Individuals
or Groups
According to Peruvian law, any activity that could cause a significant negative environmental impact
must be evaluated prior to its execution, so that a set of commitments about what to do and what
not to do are generated in order to avoid such impacts, or otherwise to mitigate, remedy, or
compensate them. When the environmental study is approved, such commitments become
environmental obligations that can be audited, and non-compliance is punishable.

Similarly, the national regulation requires the mining company to make a technical and economic
proposal on how the intervened areas will be rehabilitated, so that at the end of the mining activity
they are compatible with the surrounding ecosystem; we refer in this case to the Mine Closure Plan
(MCP), which is executed during the useful life (progressive closure), and at the end of operations
(final closure and post-closure).

The aforementioned management instruments also consider approaches for adequate social
relations, for which the regulation requires the mining owner to have a "Social Management Plan",
i.e., a set of "strategies, programs, projects, and social impact management measures to be
adopted in order to prevent, mitigate, control, compensarte, or avoid negative social impacts and
to optimize the positive social impacts of the mining project in their respective areas of social
influence." The Social Management Plan is approved as part of the EIAd.

In addition to the commitments that may be established in the Social Management Plan, derived
from the social impacts related to project implementation, it is important to note that there are also
social commitments that derive from compliance with the "Principles of Social Management" to
which all mine owners must adhere, and which are not necessarily related to the social impacts of
the project, but are equally enforceable.

In addition to the above, the national regulatory framework requires other permits of a sectoral
nature as conditions for the commencement and development of mining activities (permits from the
Ministry of Energy and Mines), such as for the use of other natural resources, protection of natural
heritage or culture, among others.

Below, we report on the performance of the Uchucchacua MU regarding the aspects described
above, pointing out the problems identified, if applicable.

17.1 Environmental Study Results

Due to its age, the activities at Uchucchacua mine were subject to an Environmental Adjustment
and Management Program (PAMA)1 as the primary environmental management instrument (1997),

1
The Environmental Adjustment and Management Program (PAMA) is an environmental management instrument regulated
by the repealed Supreme Decree 016-93-EM. This program was required for mining projects already in operation before

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and subsequently several preventive environmental studies were approved for various areas of the
mining activity, as well as modifications to these (either through EIA modifications, Supporting
Technical Reports -STR-, or prior communications). Therefore, we can conclude that this set of
environmental studies configures the scope of the "Environmental Certification" under which mining
activities must be developed.

In addition to the PAMA, Uchucchacua MU has two EIAs (1997 and 1998) for tailings management
facilities and plant capacity expansion, as well as three EIA Modifications (2006 and two in 2014),
and obtained compliance for minor or environmentally non-significant STR variations (2013, 2014,
2014, 2017, and 2019, in addition to a partial approval of the STR in 2021) and two
communications. Finally, it also has a Detailed Environmental Plan (2021).

A review of the descriptive scope of the documents identified above allows us to point out that the
main activities and components for mining and beneficiation comprising the Uchucchacua MU
comply with the legal requirement of being covered by an Environmental Certification. A similar
appraisal is given regarding its ancillary components.

17.2 Project permitting requirements, the status of any permit

applications, and any known requirements to post performance
or reclamation bonds
17.2.1 Mining operating permits issued by sectoral mining authorities.

a) For mining and ancillary activities

From the review of available documents, SRK corroborated that the Uchucchacua MU has mining
rights for its mining and ancillary activities and possesses the corresponding permit from the mining
authority to operate.
In terms of mining rights, activity is carried out in the Uchucchacua Administrative Economic Unit
(AEU), which comprises a total of 20 mining concessions covering an area of 9,810 ha.
This unit obtained authorization to commence operations in 2010.
SRK has confirmed that the company has submitted annual mining plans for 2020 and 2021 to the
competent authority.
b) For beneficiation and ancillary activities
After the review of available documents, SRK corroborated that Uchucchacua MU currently has
the permits that allow it to expand and consequently operate the "Uchucchacua concentrator"

1993 and had to include the necessary actions and investments to incorporate into mining-metallurgical operations the
technological advances and/or alternative measures aimed at reducing or eliminating emissions and/or discharges in order
to comply with the maximum permissible levels established by the competent authority. The Uchucchacua Mining Unit's
activities were considered within the assumptions of this program and required compliance with the environmental
parameters established by regulation.

Supreme Decree No. 016-93-EM also established that once the mine owner that had submitted a PAMA complied with all
the objectives approved for adequacy, the mining authority would approve the execution of the PAMA, which would imply
recognizing that the Project complied with the allowable environmental levels established in the 1993 regulations. This was
the case with the activities of the Uchucchacua Mining Unit, whose PAMA was approved.

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beneficiation concession at an installed capacity of 4,500 MT/day, as well as to operate the R3

Tailings Storage Facility Dam Stage 2 Phase 2 Subphase 2 of the "Uchucchacua Concentrator"
beneficiation concession at 4411 m.a.s.l, respecting a 1-meter high freeboard of beneficiation.

17.2.2 Other permits required by other sectoral authorities.

It was found that Uchucchacua MU has permits other than the environmental and sectoral permits
mentioned above, which are of utmost importance for the development of mining activities, such
as the ones described below:

a) For the use of water resources

Water supply for domestic use comes from the Caballococha lake, where a reinforced concrete
dam collects water and transports it through various facilities to the Plomopampa reservoir (375
m³), where water is chlorinated for distribution to camps and dining areas.

The water supply for industrial use comes from the Colquicocha lake, where a pumping point with
a pipeline leads to a water tank located at the concentrator plant. The mining unit is also supplied
by the Cutacocha lake, where there is a pumping line that continues through an earthen channel
and is finally distributed through pipes to the mine workings, thermal power plant, concentrator
plant, and changehouse. The supernatant water from tailings management facility No. 3 is
recirculated to the metallurgical process as industrial water.

From the reviewed resolutions approving the water use licenses for the Uchucchacua Mining Unit,
it can be generally concluded that the Uchucchacua Mining Unit has the water use licenses
required to carry out its activities.

b) For discharge into water resources

Water derived from different uses in mining operations must be previously treated and authorized
for discharge into natural bodies of water. In this regard, SRK found that the Uchucchacua MU has
obtained authorizations for its discharges, contained in the discharge authorization, approved by
Directorial Resolution No. 129-2019-ANA-DCERH dated July 26, 2019 (rectified with Directorial
Resolution No. 005-2017-ANA-DGCRH), and in force for 4 years as of August 7, 2019.

c) For drinking water treatment plants

Regulations require that the water provided for human consumption meets the appropriate quality
conditions. To this end, DWTPs must have the corresponding sanitary authorization for the water
treatment system. No documentation has been made available to corroborate these authorizations
for the mining unit's DWTPs.

d) For the protection of cultural heritage

Regarding the protection of cultural heritage, a CIRA for a total area of 6,370.12 ha was found to
be in place, which covers all the surface components of this operation.

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e) Fuel Storage

As stated in the third STR, there are 6 gasoline and oil storage tanks with capacities between
13,844 and 30,000 gallons, for which we have corroborated their registration in the Hydrocarbons
Registry.

f) Powder magazines

There are 5 powder magazines with their respective authorizations.

17.3 Mine closure plans, including remediation and reclamation

plans, and associated costs
Uchucchacua MU's activities comply with the legal requirement of having presented measures for
the progressive, final, and post-closure of its existing and planned components. Thus, the approval
of an initial MCP in 2009 has been corroborated, as well as that of subsequent updates (2017 and
2021). According to the last approved MCP Update, final closure is scheduled to start in the third
quarter of 2022.

The mine owner submitted the first semi-annual closure report in 2018. No further information on
compliance with the obligation to submit semi-annual reports on the execution and projection of
progressive closure has been made available to SRK.

It should be noted that the schedule of closure activities included in the MCPs or their amendments
are mandatory; failure to comply can lead to administrative sanctions and financial guarantees may
be triggered if progressive closure budgets not executed.

17.4 Social relations, commitments, and agreements with individuals

and local groups
The Area of Direct Social Influence (ADSI) of the Uchucchacua AEU includes the rural communities
of: Oyón and San Juan de Yanacocha belonging to the district of Oyón, province of Oyón
department of Lima, as well as the rural communities of San Juan Baños de Rabí, Huachus, and
San Juan de Yanacocha. which belong to the ADSI of the Yumpag-Carama Project located in the
district of Yanahuanca, province of Daniel Alcides Carrión, Pasco region. The AISI is made up of
the district of Oyón in Lima and the district of Yanahuanca in Pasco.

Social Management Plan programs and sub-programs aim to strengthen the mining unit's ties with
the community population and local authorities to build sustainable relationships that will facilitate
the company’s plans to acquire land for the mining operation down the line and bolster its
reputation.

The results of this documentary audit were based on the programs and activities identified through
the information provided by the Uchucchacua AEU regarding socio-environmental obligations and
commitments relative to the EMI and those assumed with the population of the areas of interest
and/or direct and indirect influence, which may have an impact on the declaration of reserves and
resources of the UCHUCCHACUA mining unit.

According to the Uchucchacua 2021 Monitoring Matrix of the Commitment Import Template that
contains the Activities of the Community Relations Plan, which were prepared based on the

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Environmental Impact Assessment and amendments and STR of the MU, this CRP contains six
(06) programs with (36) commitments or periodic auditable obligations:

x Communication and information program

x Local employment program
x Local procurement program
x Local Development Support Program (PRA)
x Aprender para Crecer Program (UPCH agreement)
x Scholarship program

Of these obligations in operation stage, eleven (11) are being fulfilled and are projected to reach
100% execution. The other twenty-five (25) are considered high, medium, and low priority. From
the information contained in the matrix, SRK found that low priority obligations were being fulfilled
while medium priority commitments were on hold.

We note that there is a need to systematize and update the obligations and commitments follow-
up matrix to correctly differentiate obligations and commitments to optimize resources and make
programs and activities more transparent. At the moment, many activities are on hold due to budget
constraints. There was no further information regarding the company's social relations policies and
corporate social responsibility activities that could determine the level of work carried out for social
relations.

The COVID-19 context has weakened community relations due to the lack of visits to the ADSI and
AISI. Nonetheless, it is also true that the Social Affairs Area of the mining unit should have more
support to implement the strategy developed by the Social Affairs team, which seeks to strengthen
and improve community relations to facilitate the company’s plans for land acquisition down the
line. The Social Affairs Area must aim to obtain the Social License to Operate recommended by
international financial institutions.

In general, at Uchucchacua Mining Unit, the mine owner complied with the practice of reporting on
the social components in accordance with SK-1300.

17.5 Mine Reclamation and Closure

17.5.1 Closure Planning

Although the approved closure plan is fairly detailed most of the proposed actions are conceptual
given that detailed engineering has yet to be performed.

Nevertheless, the objective of this technical memo is not to describe components and closure
activities in detail. The general closure actions for the project components that pose the greatest
risks and represent the largest costs are summarized below. Closure of other facilities, such as
civil infrastructure, demolition of structures and buildings, quarries and landfills, are considered in
the closure plan, but are not addressed herein.

Closure actions proposed in the closure plans for the key facilities are summarized below and some
aspects are discussed in more detail in the following sections.

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Underground Openings
The operation includes 22 portals and 34 ventilation shafts. The closure action for the portals is to
construct a 1.5 m thick reinforced concrete bulkhead. The access will be closed with a gravel plug
to prevent any access after closure. Special consideration will be given to Paton tunnel, which
consists of an additional drainage channel. Continuous improvements of the bulkhead’s design are
being carried out. Topsoil and revegetated area is considered. Hydraulic plugs are proposed for
underground openings with high underground water flow. All structures associated with the
underground openings will be demolished.

Waste Rock Dumps

There are three waste rock dumps at the site. The proposed closure actions for the waste rock
dumps include construction of diversion channels, construction of retaining walls, placement of a
cover (the type of which will depend on the material being covered), and revegetation. Slopes are
planned to remain at angle of repose (2H:1V).

Tailings Impoundments
Uchucchacua has three tailings storage facilities (TSF). Closure of the TSF will include settlement
through placement of waste rock and progressive loss of moisture due to the negative water
balance. The waste rock will be placed in layers using trucks. Once placed, the waste rock material
will be spread with bulldozers, which will also facilitate compaction. Following placement of the
waste rock, each TSF will be covered with a low permeability layer and a layer of soil, followed by
revegetation.

Progressive Closure

Included in the closure plan for Uchucchacua is a commitment to progressively close facilities as
they are no longer needed for operations. To date, the following facilities have been, or are being
closed in advance of final closure.

x Two portals
x Ten shafts
x Two waste rock dumps
x Two tailings storage facilities
x Cyanide detoxification plant

17.5.2 Closure Cost Estimate

The estimated closure cost has been based on the approved closure plan (Update of the Mine
Closure Plan of the UEA Uchucchacua through R.D. N ° 142-2017-MEM / DGAAM) and the results
of the additional physical and chemical stability review performed by SRK during this project. SRK
has prepared a revised closure cost estimate incorporating the relevant gaps and an update for
several closure activities. Therefore, this section describes associated costs, and a comparison
between the estimate and the approved closure plan of Uchucchacua.

SRK focused the closure cost update to focus on the most significant cost components, which
comprise approximately 80 percent of the total existing or updated costs. This analysis reviewed

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and, as necessary, updated quantities and unit costs based on the existing information and SRK’s
experience.

The analysis of the most significant closure activities was developed based on an update of the
productivities and unit prices related to the labor, equipment and material. This analysis and update
was based on published cost data2, Peruvian Chamber of Construction CAPECO, (in its Spanish
acronym)3 and internal SRK data from similar projects.

In updating the closure costs, SRK made the assumptions due to limited information available.

x The quantities are preserved from the approved closure plan

x In cases where the estimated unit prices were updated and represent a lower price than
the approved closure plan, SRK conservatively used the unit price presented in the closure
plan.
x For the estimate of Paton portal, three times the cost of the hydraulic bulkhead of the portal
Nv. 4225 from Orcopampa site is considered.
x For the Portal Socorro Nv. 445 -RP Fernando and Casualidad 4460, a length of 4 meter is
considered for the hydraulic bulkhead for each
x A hydraulic bulkhead for the portal below water level 4,470m MASL is considered
Table 17-1: UM Uchucchacua closure cost comparison

Closure Plan Update Closure Cost Percentage

Description -2020 -2022 (%)

Progressive Final Progressive Final Progressive Final
Closure Closure Closure Closure Closure Closure
(USD) (USD) (USD) (US$) (USD) (USD)
Direct cost 11,704.65 8,291.25 15,726.56 14,962.48 34% 80%

Indirect cost 3,043.21 2,155.73 2,709.35 7,909.78 -10% 259%

Contingency 2,765.39 3,430.84 - -

468.19 331.65

Total (without
15,216.05 10,778.63 21,201.30 26,303.10 39% 144%
Taxes)

Source: SRK

17.5.2.1 Post-Closure Costs

Post-closure activities were presented in the approved closure plan. These primarily related to
monitoring and maintenance for the minimum requirement of five years. SRK updated these costs
based on professional experience and internal databases but did not increase the length of the
monitoring and maintenance period. The results are presented in the following Table 17-2.

2 Website: https://costosperu.com/
3 Website: Capeco - Nosotros

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Table 17-2: Post-closure approved closure plan and update (2021)

Approved Update
Closure Plan Closure Cost Percentage
Activity Description (2020) (2021)

(USD) (USD) (%)

Site Visit and Physical

24.990,00 30.219 21%
Maintenance
Maintenance
Geochemical Maintenance 21.560,00 21.56 0%

Hydrological Maintenance 7.84 15.117 93%

Geotechnical 70 70 0%

Piezometers 65.975 65.975 0%

Monitoring Geochemistry 83.628 38.514 -54%

Biological 20.32 33.089 63%

Social 100 168.534 69%

Direct Cost 394.313 443.007 12%

Indirect cost 70.976 265.804 274%

Contingency (15%) 15.773 66.451 321%

Total (without Taxes) 481.062 775.263 61%

Source: SRK

17.5.3 Limitations on the Current Closure Plan and Cost Estimate

Limited information was available in the approved closure plan and cost estimate regarding closure
material quantities and how they were calculated. Because of the limited information available,
particularly the lack of details as to how those costs were calculated basis for the unit rates, SRK
cannot validate the cost estimate in the approved closure plan.

However, in order to assess the impact of changes in unit prices, SRK used the quantities and key
parameters (e.g., topsoil haul distances and cover material thicknesses) that were included in the
approved closure plan and assumptions where details were absent, and applied current unit rates
for labor, equipment, and materials to those quantities. For example, the cost to excavate, haul and
place low permeability cover material did not indicate how far the material would be hauled. In this
case, we used published and internal equipment and labor rates, and estimated an average haul
distance to update the cost. For Uchucchacua, the resulting average factor is 1.24.

17.5.4 Material Omissions from the Closure Plan and Cost Estimate

Based on our review of the available data, SRK has observations with respect to predicting and
designing closure actions to manage the long-term physical stability of the site. Factor of safety
(FOS) criteria established in the studies were the same for the TSFs and the WRD and set a
minimum static FOS at 1.5 and a minimum pseudostatic FOS at 1.0. Pseudostatic analyses of the
various facilities considered a horizontal seismic acceleration of 0.17g, which was specified as 2/3
of the MCE with a long-term recurrence interval of 1/500 years. The results of the stability analyses

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indicated that all analyzed slope configurations satisfied the minimum static and pseudostatic FOS
criteria set in the study

SRK makes the following observations with respect to the available stability analyses:

x Several slopes are proposed in a final closure configuration with reinforcement by gabions
or concrete blocks and geogrid (TSF N⁰4). Gabion or geogrid reinforced slopes are unlikely
to be acceptable slope configurations for long-term closure stability
x Final WRD bench slopes are proposed at 2H:1V and will be difficult to revegetate and
stabilize.
x The established FOS criteria should be reviewed and revised depending on the guidelines
Buenaventura decides to adhere to in demonstrating long-term stabilization.
x The latest stability analyses consider the same seismic acceleration, which satisfies
current Peruvian national regulations, but which does not satisfy the passive-closure
recommendations in the Global Industry Standard on Tailings Management. 4 If
Buenaventura decides to comply with this relatively new standard, additional design and
stabilization work will be required to ensure the facilities meet the seismic criteria of the
GISTM, possibly including the construction of compacted fill buttresses to increase
embankment stability under 1/10,000 year seismic loading.
x Slopes to be covered should be analyzed using the infinite slope method to demonstrate
long-term closure stability of the cover layer.
x Records of tailings and waste rock dump seepage were not available. Phreatic conditions
within the TSFs and WRDs should be modelled for the closure configuration to facilitate
accurate stability analyses and predictions of long-term draindown flows.

Based on our review of the available geochemistry data, SRK has observations with respect to
predicting and designing closure actions to manage the long-term chemical stability of the site and
potential impacts to the surrounding environment, specifically downstream water resources.

x The SNC Lavalin closure cost estimate (CCE) includes no provision of post-closure water
treatment or the use of hydraulic bulkheads. One or both of these solutions are likely
required due to exceedances of manganese at the surface water compliance point.
x There is currently no post-closure water balance or predictions of future water quality at
Uchucchacua. These are required to fully determine the nature of water treatment required
post-closure.
x The available water quality data indicates that the operation causes non-compliance at its
EU-15 surface water compliance point as a result of elevated manganese concentrations.
Based on data reviewed, SRK anticipates that unless mitigation measures are taken, then
discharge water from the site post-closure will result in continued exceedances of the
applicable standards.
x Passive water treatment has been included, where flows at an individual WTP are <5m³/hr.
No bench scale laboratory or field-based pilot testing has been carried out to prove the
feasibility of passive water treatment. No site visits have been undertaken to assess land
or material availability for such schemes. Other factors that could affect the success of
passive water treatment such as climate, regulatory approval, land ownership, deleterious
parameters that cannot be removed by passive techniques or topography have not been
considered. In addition, the type or number of passive water treatment techniques that

ICMM. 2020. International Council on Mining and Metals (ICMM) (2020). “Global Industry Standard on
4

Tailings Management”, August 2020.

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would be required has not been determined. SRK has indicated an approximate CAPEX
and OPEX for schemes of this nature, based on experience only.
x There is the potential that compliance criteria will change in the future - this has not been
accounted for and the possibility remains that the recommended water treatment
techniques will not be adequate should compliance criteria change. For example, if a
parameter is not treatable by HDS WTPs was to be included in discharge criteria then a
new WTP would have to installed.

17.5.4.1 Water Treatment Capital Cost

Post-closure water treatment was omitted from the current closure cost and SRK has determined
that the available data indicate that this will be required. SRK has prepared a high-level estimate
of the capital costs to construct a HDS water treatment plant to treat water from the TSF and WRDs
after closure. Operating costs are included as a post-closure cost. Due to the installation of
hydraulic bulkheads in the portals, water will not discharge from the underground openings after
closure.

The capital costs (Capex) for water treatment have been estimated by using previously received
quotations for the major equipment associated with HDS plants, scaling these appropriately and
adjusting for inflation. Due to time constraints no new quotes have been sought as part of this
project. No optimization of design has been conducted with the scaling of costs being the same for
each WTP. SRK has also used our experience of similar commissions. SRK have included a 50%
buffer in the predicted maximum design flow, in order to provide contingency in the plant sizing.
The Capex for both HDS WTPs at post-closure assume WTP would need to be operational
immediately in the post-closure phase.

Table 17-3: Water Treatment Capex

WTP_01 (new)
Cost (US$)
Item
Predicted Max Flow – 245 m³/hr
Design Flow – 367 m³/hr
General Excavation 82,867

Structures 322,343

Equipment 9,553,680

Electrical 649,058

Piping 559,159

Site Construction Management and Services 351,137

Construction Equipment and Services 260,193

Engineering 1,159,371

Commissioning 102,633

Sub Total 13,040,441

10% Contractor Profit 1,304,044

Total 14,344,486
Source: SRK

SRK has also developed costs for sustaining Capex that would be required to maintain and repair,
build new or refurbish WTP in the future. The expected lifespan of a HDS WTP is estimated at 20
years although the WTP is unlikely to be required after year 10 post-closure on the basis that flows
from the TSF and WRDs will become amenable to passive water treatment. Therefore, only
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minimal sustaining CAPEX would be required to replace or rebuild components during the expected
10 years of operation. This cost is estimated to be USD 200,000.

The CAPEX associated with the passive water treatment plants is estimated at USD 2,000,000.
Sustaining CAPEX for passive treatment is estimated at USD 30,000 per year.

17.5.4.2 Water Treatment Operating Cost

According to the chemical stability analysis and the described section of the capital cost of the
WTP, the CAPEX for the HDS WTP is 14,344,486 USD. The expected lifespan of the HDS WTP
is estimated at 20 years. The sustaining CAPEX is estimated to be USD 200,000 per year (for 10
years) for WTP_01.

The operating costs for the HDS WTP are predicted to be in the order of:

x Years 0 – 5 – USD 2,500,000

x Years 5 – 10 – USD 450,000
x Years >10 - USD 20,000

17.6 Adequacy of Plans

17.6.1 Environmental
The mine owner proposed as one of the objectives of the Third STR, the reprogramming of
activities at the Uchucchacua MU. This, however, was declared inadmissible in the second article
of Directorial Resolution No. 00032-2021-SENACE-PE/DEAR. According to the STR, the "lifespan"
currently considered in the environmental certification would end in 2021.

In the Second Update of the MCP it was proposed to modify the closure schedule, extending the
progressive closure until 2025, which was observed (obs. 13); in response to which the mine owner
justified a rescheduling of the progressive closure until the second quarter of 2022.

In this regard, at the environmental certification level, and considering what was approved at the
MCP level, the environmental studies would only cover the development of operational activities
until 2022, with final closure formally scheduled to begin in the third quarter of that year. However,
the mine owner reports that it is developing a plan with multiple alternatives to extend the schedule
of activities covered by its environmental certification. One of these alternatives is to obtain a
favorable decision in the second administrative instance regarding the STR.

The mining unit has yet to submit an updated EIA, which could result in an administrative fine,
although there is no risk that the continuity of operations will be affected. In this regard, the mine
owner has planned to perform this update when the integration of the environmental studies
integrating the Uchucchacua Unit with the Yumpag project is proposed.

17.6.2 Local Individuals and Groups

We note that there is a need to systematize and update the obligations and commitments follow-
up matrix to correctly differentiate obligations and commitments in order to optimize resources and
make programs and activities more transparent. At the moment, they have been postponed due to
budget constraints. There was no further information regarding the company's social relations
policies and corporate social responsibility activities that could determine the level of work carried
out for social relations.

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17.6.3 Mine Closure

Hydrogeology

x Post-mining simulations should be implemented in the next level of studies to achieve an

accurate estimate of the main hydrogeological parameters' designs (water levels,
groundwater flows and rebound timing). It should include the bulkhead designs and
sensitivity analysis.
Hydrology and Stormwater Management

x Final reclaimed slopes are up from 2% minimum to 2(H):1(V) maximum; regraded slopes
of 2.5(H):1(V) or 3(H):1(V) should be considered to limit erosion by sheet flow.
x Concrete and grouted riprap channel linings are “rigid” systems and are subject to cracking,
spalling and potential for failure over time due to settlement. Future design should consider
flexible channel linings such as riprap, vegetation, or other engineered solutions.
x A comprehensive sitewide stormwater management system for the closed site
configuration should be developed and documented in a design report. The report should
specify all design and input parameters used and should align with Buenaventura’s chosen
final closure criteria (CDA, GISTM, etc.).
x The details of the comprehensive stormwater design should be used to develop accurate
construction costs using local or regional contractors to update the pricing and cost
estimate.
Cover Design

x Once the post-closure water management requirements are known, Buenaventura should
consider a trade-off study to evaluate the potential cost benefit of one type of cover versus
another in limiting infiltration and prevent draindown or seepage that may require post-
closure management.
x The physical stability of the closure covers should be evaluated based on the slopes of the
covered components using the infinite slope method.
Physical Stability – TSFs and Waste Rock Dumps

x Review and revise FOS criteria based on selected guideline for demonstrating long-term
closure stabilization.
x Review and revise closure designs, construction materials, and slope stability analyses to
ensure long-term stability of all construction components.
x Evaluate phreatic conditions within WRD and TSFs and develop a sitewide water balance
model incorporating all predicted flows and informing the potential need for post-closure
water treatment.
Chemical Stability - Geochemistry

Based on the information detailed above, SRK have determined two possible ways to mitigate the
non-compliances with respect to concentrations of manganese at EU-15 downstream of the mine.

x Post-closure water treatment; and

x The installation of hydraulic bulkheads.

SRK is of the opinion that likely both will form part of the solution. Water treatment alone appears
would be a technically challenging solution and would be prohibitively expensive as a standalone
option. Therefore, SRK is of the opinion that hydraulic bulkheads will be required in order to prevent
or significantly reduce groundwater discharges from the underground mine. The use of hydraulic
bulkheads would be subject to detailed studies and engineering design.

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In addition, SRK recommends that a site wide, in-depth study is undertaken to determine the
source(s) of manganese. For example, if it was determined that the manganese loadings could be
attributed to the TSF then this may reduce the overall liability and technical challenges. At the
present, SRK cannot determine the exact or the most significant source of manganese. The results
of these studies will feed geochemical numerical predictions to more accurately predict future water
quality.

Post-mining simulations should be implemented in the next level of studies for an accurate estimate
of the main hydrogeological parameters' designs (water levels, groundwater flows and rebound
timing). It should include the bulkhead designs and sensitivity analysis.

Closure Costs

Details of quantities in the estimate was not traceable and the absence of information made it
difficult to identify or update. This should be improved in the next S-K 1300 update.

x Links regarding with the Excel have some minor differences and were corrected.
x The hydraulic bulkhead was estimated based on similar project and as global cost. For that
reason, SRK recommends that Buenaventura prioritize additional study and design to
improve the estimate.
x The need for and cost of water treatment should be investigated in future studies to
optimize closure activities regarding water management.
x Once the closure and post-closure activities are reviewed and updated in the closure plan,
the requirements and length of time needed for post-closure monitoring and maintenance
should be revised to accommodate those changes.

17.7 Commitments to Ensure Local Procurement and Hiring

The source of information reviewed for this section was the amendment of EIA 2014, which
includes a social commitments matrix.

The information reviewed for this section is related to the programs, subprograms and activities
developed by Uchucchacua mine, during the Operations stage, corresponding to the Social
Management Plan Uchucchacua 2021.

There are two programs related to Local Procurement and Hirings, as follows:

17.7.1 Local Employment Program

The purpose is to achieve 80 local hires from Oyon district, maintaining all other job positions with
contractor services.

In addition, to implement a job bank (Ruana) and a local hire system in Huachus district.

17.7.2 Local Goods and Services Acquisition Program

The purpose is to implement a database with local suppliers, the status is on hold.

In addition, strengthen the administration of the Huachus communal enterprise which is financing
by a fund.

No further information about results of hiring local people or local procurement were found.

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18 Capital and Operating Costs

Estimation of capital and operating costs is inherently a forward-looking exercise. These estimates
rely upon a range of assumptions and forecasts that are subject to change depending upon
macroeconomic conditions, operating strategy and new data collected through future operations.
For this report, capital and operating costs are estimated at PFS-level with a targeted accuracy of
±25%. However, this accuracy level is only applicable to the base case operating scenario and
forward-looking assumptions outlined in this report. Therefore, changes in these forward-looking
assumptions can result in capital and operating costs that deviate more than 25% from the costs
forecast herein.

SRK has reviewed and analyzed the following aspects:

x Historical operating costs from 2018 to 2020, including a detailed analysis of the cost
database and compilation of costs for forecast estimation;

x Projected capital cost for the LOM of Uchucchacua, including sustaining CAPEX

18.1 Capital and Operating Cost Estimates

18.1.1 Operating Costs
The forecast LoM operating unit costs are summarized in Table 18-1.

A contingency of 10% was considered for the operating cost to cover any unpredictable factor or
variation in the future cost with regard to the historical cost used for forecast estimation.

Table 18-1: Operating cost estimate

Forecast Estimated cost *
Item ** Units
Cost (Inc. 10% Conting)

Mining Uchucchacua
Bench & Fill US$ / t ore 54.79 60.27
Cut & Fill US$ / t ore 62.51 68.76
Mining Yumpag
Over Drift & Fill (ODF) US$ / t ore 39.37 44.58
Bench & Fill (BF) US$ / t ore 32.25 37.46
Overhand Sublevel Stoping (SARC) ** US$ / t ore 35.99 41.21
Plant Processing
Circuit 1 US$ / t processed 27.76 30.54
Circuit 2 US$ / t processed 12.33 13.56
Circuit 1 (Yumpag) US$ / t processed 27.86 30.65
G&A Mine Operations
Uchucchacua US$ / t processed 22.86 25.15
Yumpag US$ / t processed 23.22 25.54
Sustaining CAPEX
Processing US$ / t processed 4.95 5.45
Off Site Cost (Corporate) *** M US$ / year 18.83 18.83
Source: Buenaventura

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* Some items, depending on the cost type, do not include a contingency. Contingency applied to
mining cost of Yumpag is between 13% and 16%
** Estimation does not include selling expenses and some commercial costs stated by the contract
with the trader. These costs are included directly in the Cashflow
*** Average forecast corporate cost (2024-2028) attributable to Uchucchacua mining unit

18.1.2 Capital Costs

Capital costs were estimated by Buenaventura based on infrastructure and investment
requirements for the LoM plan.

A contingency of 15% was considered for the capital cost to cover any unpredictable factor or
variation.

Capital costs for the LoM are summarized in Table 18-2. SRK does not have any additional details
about the yearly amounts to support or conduct a detailed analysis on specific infrastructure or
components.

Table 18-2: Capital cost estimation

Capital Cost *

Uchucchacua Yumpag **
Year
(MUS$) (MUS$)

2022 7.60 29.80

2023 *** 21.80 25.70
2024 13.50 7.00
2025 11.07 0.00
2026 11.30 0.00
2027 7.90 0.00
Total 73.17 62.50
Source: Buenaventura, SRK

* It does not include contingency

** Corresponds to pre operational investment

*** Includes 5.5 MUS$ for repairs and spares to re-start the processing plant

18.1.3 Closure Costs

SRK has developed an estimation cost for the three stages of the closure process and an estimated
cost for the water treatment system covering the following aspects:

x Progressive closure

x Final Closure

x Post Closure

x Water treatment

A contingency of 15% was considered for the closure cost to cover any unpredictable factor or
variation.

The total closure cost distributed up to the year 2056 is 73.27 M US$ (without contingency and
selling taxes). The detail of closure cost is shown in Table 18-3.

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Table 18-3: Closure Cost

Progressive closure Final Closure Post Closure Water treatment

Year Direct
Direct Indirect Direct Indirect Direct Indirect Indirect
(M
(M US$) (M US$) (M US$) (M US$) (M US$) (M US$) (M US$)
US$)

2022 2.25 0.39

2023 2.25 0.39
2024 2.25 0.39
2025 2.25 0.39
2026 2.25 0.39
2027 2.25 0.39
2028 2.25 0.39
2029 2.99 1.58 4.78
2030 2.99 1.58 4.78
2031 2.99 1.58 4.78
2032 2.99 1.58 0.02 0.01 2.50

2033 2.99 1.58 0.02 0.01 2.50

2034 0.02 0.01 2.50

2035 0.02 0.01 2.50

2036 0.02 0.01 2.50

2037 0.02 0.01 2.50

2038 0.02 0.01 0.45

2039 0.02 0.01 0.45

2040 0.02 0.01 0.45

2041 0.02 0.01 0.45

2042 0.02 0.01 0.02

2043 0.02 0.01 0.02

2044 0.02 0.01 0.02

2045 0.02 0.01 0.02

2046 0.02 0.01 0.02

2047 0.02 0.01 0.02

2048 0.02 0.01 0.02

2049 0.02 0.01 0.02

2050 0.02 0.01 0.02

2051 0.02 0.01 0.02

Total 15.73 2.71 14.96 7.91 0.44 0.18 14.34 17.00

Source: SRK

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18.2 Basis and Accuracy Level for Cost Estimates

18.2.1 Basis and Premises for operating cost
According to the Life of Mine (LOM) plan, future operations will have conditions similar to those
found in current operations.

The following premises and criteria were considered for the operating cost estimation:

x A 2018-2020 cost database was used for the forecast cost estimation. The cost estimation
process began in May 2021, when information on reported 2021’s costs was not available.
At the moment, a comparison between the estimated forecast cost and 2021 results was
made, resulting in a concordance above 90%;
x Mining operation used contractors and cost estimation considers the same schema. Also,
it is assumed that new zone named Yumpag will be operated with contractors;
x Non-inflation rate was considered in the cost estimation;
x There are no royalties applicable to Uchucchacua mining operaton;
x Exploration costs related to brownfield targets are not included in the operating cost
estimation;
x Differentiated cost for Uchucchacua and Yumpag were estimated;
x Costs estimation are based on mine plan and mining method planned to be used during
the operational stage at each Zone (Uchucchacua and Yumpag).
Estimated operating costs included:

x Mining cost contractors

x Mining cycle activities (drilling, blasting, loading, hauling and ground support)
x Mine development and preparation adits cost
x Cost of auxiliary services
x Energy (mining, processing plant and facilities)
x Processing plant consumables
x Mine equipment maintenance
x Processing plant equipment maintenance
x Supervision and management
x Technical services
x Administrative costs (all areas)
x Environmental costs
x Community relations
x Safety
Operational parameters considered for cost estimation are listed in Table 18-4

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Table 18-4: Operational parameters

Parameters Units Value

Mine production
Underground tpd 4,200
Plant Capacity
Circuit 1 (High Mn) tpd 3,000
Circuit 2 tpd 1,200
Source: Buenaventura

18.2.2 Basis and Premises for capital cost

The following premises and criteria were considered for the capital cost estimation:

x Capital cost of 5.50 MUS$ was considered for the re-start of the processing plant in 2024.

According to references from Buenaventura the estimated capital cost included:

x Mine support facilities and utilities;

x Backfill plant;
x Process plant sustaining investments;
x Tailings storage facilities (growth or elevation increase);
x Waste dump construction;
x Site support facilities and utilities;
x Site power distribution;
x Camps.

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19 Economic Analysis
19.1 General Description
SRK prepared a cash flow model to evaluate Uchucchacua’s ore reserves on a real basis. This
model was prepared on an annual basis from the effective date of mineral reserves estimation to
the effective date project for the exhaustion of mineral reserves. This section presents the main
assumptions used in the cash flow model and the resulting indicative economics. The model results
are presented in U.S. dollars (US$), unless otherwise stated.

Technical and cost information is presented on a 100% basis to assist the reader in developing a
clear view of the fundamentals of the operation. Buenaventura's attributable portion of mineral
resources and reserves is 100%.

As with the capital and operating cost forecasts, the economic analysis is inherently a forward-
looking exercise. These estimates rely upon a range of assumptions and forecasts that are subject
to change depending upon macroeconomic conditions, operating strategy and new data collected
through future operations.

According rules S-K 1300, all inputs to the economic analysis are at the minimum of a pre-feasibility
level of confidence and have an accuracy level of ±25% and a contingency range below 15%.

The financial analysis is based on an after-tax discount rate of 6.04%. All costs and prices are in
unescalated “real” dollars expressed as Real US$ 2021. The currency used to document the cash
flow is US$.

19.1.1 Financial Model Parameters

Key criteria used in the analysis are presented throughout this section. Financial model parameters
are summarized in Table 19-1.

Table 19-1: Financial Model Parameters

Item Value
TEM Time Zero Start Date January 1st, 2022
Mine Life 5
Discount Rate 6.04%
Source: Buenaventura, SRK

The model continues after the 5th year to include the whole closure cost in the cash flow analysis.

Buenaventura set a discount rate of 6.04%.

19.1.2 External Factors

Exchange Rates

Uchucchacua’s operations are located in the central Andes of Peru. The official currency in Peru
is the “Peruvian Sol”. However, in accordance with typical practices in the Peruvian mining industry,
most of the payments for services, consumables and others are made directly in US dollars (US$).
Only a minor portion of payments is made in local currency (for example, salaries or some
independent services).

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An official exchange rate is announced daily by the Peruvian Central Bank. The exchange rate in
the last ten years has shown remarkable stability.

The operating and capital costs are modeled directly in US Dollar (US$)

Metal Prices

Modeled prices are based on the prices developed by CRU Group in the Market Study section of
this report. CRU Group developed two metal prices set options, “Nominal USD” and “Real 2021
US$”.

The financial model is based on Real 2021 US$ set price.

Table 19-2: Metal Prices forecast

Projected Metal Prices
Metal Units
2022 2023 2024 2025 2026 2027

Cu US$/t 9,010 8,201 7,752 8,104 8,448 8,244

Zn US$/t 3,490 3,095 2,604 1,975 2,131 2,197

Pb US$/t 2,227 2,152 2,155 2,163 2,170 2,152

Au US$/oz 1,740 1,660 1,580 1,630 1,715 1,677

Ag US$/oz 22.90 23.40 24.20 25.90 28.20 27.30

Projected Metal Prices

Metal Units
2028 2029 2030 2031 2032 2033

Cu US$/t 8,041 7,838 7,634 7,431 7,450 7,469

Zn US$/t 2,264 2,330 2,397 2,463 2,469 2,475

Pb US$/t 2,135 2,117 2,099 2,081 2,086 2,091

Au US$/oz 1,639 1,603 1,567 1,532 1,498 1,465

Ag US$/oz 26.50 25.60 24.80 24.10 23.30 22.60

Source: CRU Group, February 23rd, 2022

* Expressed as Real 2021 US$

Taxes and Royalties

As modeled, the operation is subject to a 29.50% income tax plus a special mining income tax
(variable rate).

Tax depreciation depends on the investment type and is calculated annually on a percentage basis;
this figure is used to estimate the income tax payable. Typical depreciation periods used are 5
years, 10 years and LoM.

There are no third party royalties applicable to Uchucchacua’s operations

SRK notes that the mining units are being evaluated with a corporate structure cost, including the
cost of corporate offices located in Lima. Office costs in Lima are distributed between all managed
mining units.

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Mining concession holders are obligated to pay a Special Mining Tax (IEM) to exploit metallic
mineral resources. For income tax purposes, the IEM is considered an expense in the same year
it is paid. IEM is determined on a quarterly basis and a percentage is applied to the quarterly
operating profit.

Participation of workers in a profit-sharing scheme is a labor benefit that seeks to boost employee
productivity. This charge is set at 8% of the operation’s profit before taxes.

Working Capital

The assumptions used for working capital in this analysis are as follows:

x Accounts Receivable (A/R): 30 day delay

x Accounts Payable (A/P): 30 day delay
x Zero opening balance for A/R and A/P

19.1.3 Technical Factors

Mining Profile

The modeled mining profile was developed by Buenaventura in collaboration with SRK. The details
of mining profile are outlined earlier in this report. The modeled profile is presented on a 100%
basis in Figure 19-1.

Figure 19-1: Uchucchacua Mining profile graphic

Souce: SRK, Buenaventura

A summary of the modeled life of mine mining profile is presented in Table 19-3.

Table 19-3: Uchucchacua Mining Summary

LOM Mining Units Value
Total UG Ore Mined Mt 6.12
Source: SRK

Processing Profile

The processing profile was developed by Buenaventura in collaboration with SRK. No blending
stockpile was considered in the analysis. The modeled profile is presented on a 100% basis in
Figure 19-2.

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Figure 19-2: Uchucchacua Processing profile graphic

Source: SRK, Buenaventura

Yearly Estimated Costs

Main yearly costs were estimated outside of the Cash Flow template and incorporated to the Cash
Flow template as a fixed cost on an annual basis.

Results for the mining cost, processing cost, and administrative cost estimation on an annual basis
are shown in Table 19-4, Table 19-5, Table 19-6 and Table 19-7

Table 19-4: Reference unit cost for Yearly cost calculation

Reference Unit Cost **
Rock / Material Plant *
Mining Proc G&A
Bench & Fill Circuit 1 54.79 27.76 22.86
Bench & Fill Circuit 2 54.79 12.33 22.86
Cut & Fill Circuit 1 62.51 27.76 22.86
Cut & Fill Circuit 2 62.51 12.33 22.86
ODF *** Circuit 1 39.37 27.86 23.22
BF *** Circuit 1 32.24 27.86 23.22
SARC *** Circuit 1 35.99 27.86 23.22
Source: Buenaventura, SRK
* Destination of material
** Reference unit cost expressed as US$/t. It does not include a contingency percentage
*** Material from Yumpag Zone

Table 19-5: Yearly material movement (tonnage)

Production Year (Tonnage)
Rock / Material Plant * (t)

2022 2023 2024 2025 2026 2027 2028

Bench & Fill Circuit 1 0.4 0.6 0.6 0.7 0.3
Bench & Fill Circuit 2 0.2 0.4 0.4 0.4 0.1

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Production Year (Tonnage)

Rock / Material Plant * (t)

2022 2023 2024 2025 2026 2027 2028

Cut & Fill Circuit 1 0.1 0.1 0.0 0.0 0.0
Cut & Fill Circuit 2 0.1 0.0 0.0 0.0 0.0
ODF *** Circuit 1 0.0 0.0 0.0 0.0 0.0
BF *** Circuit 1 0.2 0.1 0.1 0.1 0.0
SARC *** Circuit 1 0.1 0.3 0.3 0.2 0.0
Source: Buenaventura, SRK
* Destination of material
** Reference unit cost expressed as US$/t. It does not include a contingency percentage
*** Material from Yumpag Zone

Table 19-6: Yearly Cost (No contingency)

Production Year (Yearly Cost)
Rock / Material Units
2022 2023 2024 2025 2026 2027 2028
Mining Cost MUS$ 0.00 0.00 56.51 74.36 74.31 76.53 26.49
Processing Cost MUS$ 0.00 0.00 27.30 35.03 35.06 35.11 11.40
G&A Cost MUS$ 0.00 0.00 26.17 34.37 34.44 34.50 10.93
Source: Buenaventura, SRK

Table 19-7: Yearly cost (Including contingency 10%)

Production Year (Yearly Cost)
Rock / Material Units
2022 2023 2024 2025 2026 2027 2028
Mining Cost (Cont) MUS$ 0.00 0.00 62.16 81.79 81.74 84.18 29.14
Processing Cost (Cont) MUS$ 0.00 0.00 30.03 38.53 38.57 38.62 12.54
G&A Cost (Cont) MUS$ 0.00 0.00 28.79 37.81 37.89 37.95 12.02
Source: Buenaventura, SRK

Capital Cost

Capital cost was estimated by Buenaventura on a yearly basis. No further detail is available.

A summary of capital costs is shown in Table 19-8.

Table 19-8: Yearly capital costs

Production Year
Item Units
2022 2023 2024 2025 2026 2027 2028
Capital Cost LoM * MUS$ 37.4 47.5 20.5 11.1 11.3 7.9 0.0
Source: Buenaventura
* It does not include a contingency percentage

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Corporate costs

Corporate cost, including the cost of administrative office in Lima, was estimated by Buenaventura
on a yearly basis. No further detail is available.

A summary of corporate costs is shown in Table 19-9.

Table 19-9: Corporate cost

Production Year
Item Units
2022 2023 2024 2025 2026 2027 2028
G&A Corporate MUS$ 0.0 0.0 19.0 24.8 24.7 19.8 5.8
Source: Buenaventura

19.2 Results
The economic analysis metrics are prepared on an annual after-tax basis in US$. The results of
the analysis are presented in Table 19-4. Note that because the mine is operating and valued on
a total project basis by treating prior costs as sunk, IRR and payback period analysis are not
relevant metrics.

Table 19-10: Indicative Economic Results

Units Value
LoM Cash Flow (Unfinanced)
Total Net Sales M US$ 1,105.85
Total Operating cost M US$ 651.76
Total Operating Income M US$ 183.35
Income Taxes Paid M US$ 22.80
EBITDA
Free Cash Flow M US$ 321.94
NPV @ 6.04% M US$ 249.25
After Tax
Free Cash Flow M US$ 40.78
NPV @ 6.04% M US$ 34.99

Source: BVN

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Table 19-11: Cashflow Analysis on an Annualized Basis

Operational Indicators 2022 2023 2024 2025 2026 2027 2028
Ore Treated 0 0 1,142,400 1,499,400 1,499,400 1,499,400 478,010
Pb Head Grade (%) - - 1.05 1.08 1.12 1.01 1.61
Ag Head Grade (oz/tm) - - 12.06 11.32 10.19 8.55 8.45
Zn Head Grade (%) - - 1.05 1.08 1.12 1.01 1.61
Ag Fines (oz) 0 0 11,503,102 14,156,268 12,719,316 10,733,178 3,286,036
Pb Fines (mt) 0 0 7,759 10,518 10,749 9,747 4,523
Zn Fines (mt) 0 0 8,727 13,070 12,809 11,098 5,771
Operating Cost (US$/tm) - - 106.2 105.6 105.5 106.9 112.3
Mine Cost (US$/tm) - - 54.6 54.6 54.5 56.0 61.0
Plant Cost (US$/tm) - - 26.4 25.7 25.7 25.7 26.2
Services Cost (US$/tm) - - 25.3 25.3 25.3 25.2 25.2
D&A (US$/tm) - - 29.6 25.7 27.4 26.8 0.8

P&L (kUS$)
Net Sales 0 0 223,698 291,099 290,310 232,498 68,250
- Mine - - (62,159) (81,793) (81,736) (84,181) (29,136)
- Plant - - (30,033) (38,529) (38,569) (38,617) (12,543)
- Services - - (28,787) (37,812) (37,887) (37,953) (12,020)
Operating Cost - - (120,979) (158,134) (158,192) (160,751) 53,698)
D&A - - (33,780) (38,495) (41,042) (40,229) (366)
Gross Income 0 0 68,939 94,469 91,076 31,518 14,186
Selling Expenses - - (4,202) (5,689) (5,421) (5,077) (2,296)
G&A - - (19,046) (24,784) (24,717) (19,795) (5,811)
Operating Income 0 0 45,691 63,997 60,937 6,645 6,079
Special Mining Tax * - - (3,296) (4,435) (4,331) (2,458) (804)

FCF (kUS$)
EBITDA 0 0 76,175 98,057 97,648 44,417 5,641
Workers Participation - - (1,696) (2,382) (2,264) (168) (211)
Income Tax - - (5,753) (8,083) (7,682) (568) (716)
CAPEX (43,010) (54,625) (23,575) (12,731) (12,995) (9,085) -
Mine Closure (3,029) (3,029) (3,029) (3,029) (3,029) (3,029) (3,029)
Free Cash Flow (kUS$) *** -46,039 -57,654 42,123 71,833 71,679 31,567 1,685
* Corresponds to Special Mining Tax (IEM) or Windfall Tax.
*** Cash flow and NPV calculation consider amounts up to 2051 to represent the post-closure period. Details of closure
costs after 2028 can be found in Table Closure Costs (Section 18)

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19.3 Sensitivity Analysis

SRK performed a sensitivity analysis to determine the relative sensitivity of the operation’s NPV to
a number of key parameters. This is accomplished by flexing each parameter upwards and
downwards by 10%. Within the constraints of this analysis, the operation appears to be most
sensitive to: commodity prices, metallurgical recovery and ore grades.

SRK cautions that this sensitivity analysis is for informational purposes only and notes that these
parameters were flexed in isolation within the model and are assumed to be uncorrelated; this may
not be an accurate reflection of reality. Additionally, the amount of flex in the selected parameters
may violate physical or environmental constraint that are present at the operation.

Figure 19-3: Uchucchacua NPV Sensitivity Analysis

Source: SRK

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20 Adjacent Properties
Uchucchacua is located in the central Andes of Peru within the XXI metallogenic belt corresponding
to Pb-Zn-Cu (Ag) Skarn type deposits and polymetallic deposits related to Miocene intrusives
(Carlotto et al., 2009). Mines are currently in production in the vicinity of the Uchucchacua Mining
Unit, which have similar geological and mineralization characteristics.

The nearest mining units include: Raura to the north and Iscaycruz to the south.

x Raura is a polymetallic mine. Located between the districts of San Miguel de Cauri
(province of Lauricocha, department of Huánuco) and Oyón (province of Oyón, department
of Lima), this mine is engaged in the mining and processing of copper, lead, silver and zinc
concentrates. Raura has a treatment capacity of 2,500 tons per day (tpd), with an actual
production of approximately 1,600 tons per day of ore (Annual Report, 2016).

x Iscaycruz is a polymetallic deposit located at an altitude of 4,700 masl, in the district of

Pachangara, province of Oyón, department of Lima. It has four mines in production: Limpe,
Chupa, Tinyag 1, and Tinyag 2, from which ore is mined, producing zinc, lead and, to a
lesser extent, copper concentrates.

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21 Other Relevant Data and Information

This Chapter is not relevant to this Report.

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22 Interpretation and Conclusions

22.1 Geology and resources
22.1.1 Uchucchacua
Uchucchacua is a polymetallic deposit associated with replacement bodies and veins. Its
mineralization (Ag, Zn, Pb, Fe and Mn) is located in a sequence of carbonate rocks of the Upper
Cretaceous Jumasha Formation.

Uchucchacua is a polymetallic epithermal deposit of veins (fracture filling) and metasomatic

replacement, emplaced in carbonate rocks of the Jumasha Formation. Mineralization is complex,
occurring in multiple stages or pulses, controlled by well-defined vein structures, replacement
bodies or shoots and skarn

SRK notes that the property is not at an early stage of exploration, and that results and
interpretation from exploration data is generally supported in more detail by extensive drilling and
by active mining exposure of the orebody in multiple underground works.

SRK used the available geological and drill hole data to review geological models.

The procedures used by the Uchucchacua team for drilling, logging, drillhole sampling, and
information gathering are appropriate and follow the best practices of the international codes.

Geology and mineralization are well understood through decades of mining production, and SRK
has used relevant and available data sources to accompany Compañía de Minas Buenaventura in
the scale modeling effort of a long-term resource for public reporting. Additional data is likely to
exist that could be used to drive a very small-scale interpretation but would have very little impact
on mineral resources overall.

The mineral resources have been estimated by Compañía de Minas Buenaventura, who generated
a 3D geological model informed by various types of data (mainly drill holes, mine channels, working
mapping and section interpretation) to constrain and control the shapes of minerals. veins.

Drilling data was used within geological structures, the grades of Ag, Pb, Zn, Fe and Mn were
interpolated into block models for the different zones of the mine using Ordinary Kriging and Inverse
distance methods in its different veins. The results were validated visually and through various
statistical comparisons; classified. Classified consistently with industry standards; and reviewed
with Yumpag staff.

Mineral Resources have been reported using an optimized scenario, based on mining and
economic assumptions to support reasonable potential for economic extraction of the resource. A
cutoff has been derived from these economic parameters, and the resource has been reported
above this cutoff.

In SRK's opinion, the mineral resources set forth herein are appropriate for public disclosure and
meet the definitions of indicated and inferred resources established by SEC guidelines and industry
standards.

22.1.2 Yumpag
SRK has used relevant and available data sources to accompany Compañía de Minas
Buenaventura in the scale modeling effort of a long-term public reporting resource. Additional data

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is likely to exist that could be used to drive a very small-scale interpretation but would have very
little impact on mineral resources overall.

The mineral resources have been estimated by Compañía de Minas Buenaventura, who generated
a 3D geological model informed by various types of data (mainly core drilling and section
interpretation) to constrain and control their body shapes.

Drilling data was used within geological structures, the grades of Ag, Pb, Zn, Fe and Mn were
interpolated into block models for the different zones of the mine using Ordinary Kriging and Inverse
distance methods in its different veins. The results were validated visually and through various
statistical comparisons. Classified consistently with industry standards and reviewed with Yumpag
staff.

Mineral Resources have been reported using an optimized scenario, based on mining and
economic assumptions to support reasonable potential for economic extraction of the resource. A
cutoff has been derived from these economic parameters, and the resource has been reported
above this cutoff.

In SRK's opinion, the mineral resources set forth herein are appropriate for public disclosure and
meet the definitions of indicated and inferred resources established by SEC guidelines and industry
standards.

22.2 QA/QC & data verification

SRK has conducted a comprehensive review of the available QA/QC data as part of the sample
preparation, analysis, and security review. SRK believes that the QA/QC protocols are consistent
with the best practices accepted in the industry.

In SRK's opinion, sample preparation, chemical analysis, quality control, and security procedures
are sufficient to provide reliable data to support the estimation of Mineral Resources and Mineral
Reserves.

In SRK's opinion, the database is consistent and acceptable for Mineral Resource Estimation.

SRK observed that the database has an insignificant quantity of findings or minor inconsistencies
mainly related to historical information obtained from data migration. Although a complete
reconciliation of the certificate information to the digital database could not be completed, SRK
notes that most of the current resource is supported by modern information that which could be
compared to original certificate information. The incidence of error for the data that could be
compared was limited and not deemed material to the disclosure of mineral resources.

22.3 Mineral resource estimates

The block model consists of cells and sub-cells that fill the entire volume of interest. Each cell
occupies a discrete volume that can be assigned whatever information is deemed necessary to
accurately and precisely describe and interpret the deposit; the entire block model or fraction
thereof can be evaluated, and tonnage and grades reported.

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22.4 Uchucchacua resource report

Table 22-1: Uchucchacua Resource Report

Unit: Uchucchacua
Date: 25/11/2021
Cut-off: differentiated
Resource Summary
Width
Zone Category Tonnage Ag Pb Zn Mn Fe NSR AgEq OnzEquiv
Millones m
t Oz/t Pct Pct Pct Pct US$/t Oz/t
Oz
Carmen Measured 404,387 12.01 1.07 1.45 7.34 1.27 196.68 11.71 4.73 1.77

Indicated 739,463 13.39 1.14 1.41 7.28 3.51 218.88 13.03 9.63 2.44
Measured & 2.20
1,143,849 12.90 1.12 1.42 7.30 2.72 211.03 12.56 14.37
Indicated
Inferred 2,120,308 14.80 1.11 1.37 7.21 3.50 240.46 14.31 30.35 3.14

Casualidad Measured 47,284 8.65 2.80 3.00 3.10 7.58 175.89 10.47 0.50 1.71

Indicated 258,768 7.27 2.79 4.09 2.89 9.89 164.95 9.82 2.54 2.63
Measured & 2.48
306,052 7.48 2.80 3.92 2.92 9.53 166.64 9.92 3.04
Indicated
Inferred 345,673 9.08 2.51 3.33 3.09 9.10 183.07 10.90 3.77 1.91

Huantajalla Measured 37,840 19.63 1.97 2.48 3.44 10.22 336.12 20.01 0.76 1.85

Indicated 257,757 16.27 1.80 2.27 5.64 10.62 279.17 16.62 4.28 2.09
Measured & 2.05
295,597 16.70 1.83 2.29 5.36 10.57 286.46 17.05 5.04
Indicated
Inferred 746,874 14.91 2.08 2.51 4.15 11.28 262.66 15.63 11.68 2.07

Socorro Measured 1,526,609 9.95 1.64 2.84 7.70 6.76 183.34 10.91 16.66 2.14

Indicated 2,950,708 9.11 1.71 3.00 7.34 8.57 172.63 10.28 30.32 2.49
Measured & 2.37
4,477,318 9.40 1.69 2.94 7.46 7.95 176.28 10.49 46.98
Indicated
Inferred 3,274,072 10.01 1.61 2.71 7.31 7.53 182.93 10.89 35.65 2.63

Total Measured 2,016,120 10.52 1.56 2.56 7.44 5.74 188.71 11.23 22.65 2.05

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Unit: Uchucchacua
Date: 25/11/2021
Cut-off: differentiated
Resource Summary
Width
Zone Category Tonnage Ag Pb Zn Mn Fe NSR AgEq OnzEquiv
Millones m
t Oz/t Pct Pct Pct Pct US$/t Oz/t
Oz
Indicated 4,206,696 10.19 1.69 2.74 6.96 7.88 186.82 11.12 46.78 2.46
Measured & 2.33
6,222,816 10.29 1.64 2.68 7.11 7.19 187.43 11.16 69.43
Indicated
Inferred 6,486,927 12.09 1.55 2.28 6.69 6.73 210.92 12.56 81.45 2.69

Note: Resources include reserves, no ore loss or dilution has been included
No envelopes have been used to report the resource

Prices used are US$ 20.00 per ounce Ag, US$ 1,900.00 per MT Pb, US$ 2,300.00 per MT Zn.

Source: BVN

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22.5 Yumpag resource report

Table 22-2: Yumpag Resource Report

Resource Report as of August 31, 2021
Unit: Uchucchacua
Date: 10/13/2021
Zone: Yumpag
Cut-off: 150.0
US$/t
Resource Summary
Zone Category Tonnage Ag Pb Zn Fe Mn NSR Ounces Au
Pct Pct Pct Oz
t Oz/t Pct US$/t
66,000 32.27 0.80 1.55 6.11 22.74 1003.72 66.25
01 Camila Body Measured
1,125,200 25.05 0.59 1.11 4.55 22.22 779.17 876.78
Indicated
1,191,200 25.45 0.60 1.13 4.63 22.25 791.61 943.03
Measured & Indicated
115,600 24.78 0.56 1.07 4.13 23.50 770.66 89.16
Inferred
43,000 23.98 0.38 0.50 2.95 24.78 745.77 32.08
02 Candela Body Measured
183,100 20.11 0.41 0.73 3.18 21.53 625.63 114.59
Indicated
226,100 20.85 0.40 0.69 3.13 22.15 648.48 146.68
Measured & Indicated
51,100 23.42 0.68 0.73 4.01 17.59 728.40 37.29
Inferred
2,000 16.95 0.47 0.57 2.95 19.08 527.06 1.10
03 Carmela Body Measured
32,500 17.77 0.31 0.34 2.86 18.74 552.57 18.00
Indicated
34,600 17.72 0.32 0.35 2.87 18.76 551.03 19.10
Measured & Indicated
10,300 14.15 0.14 0.11 2.59 8.08 440.21 4.54
Inferred
300 5.51 0.05 0.15 0.81 23.65 171.42 0.05
07 Carolina Body Measured
8,800 5.55 0.08 0.23 2.28 18.37 172.61 1.52
Indicated
9,000 5.55 0.08 0.23 2.23 18.54 172.57 1.57
Measured & Indicated

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Resource Report as of August 31, 2021

Unit: Uchucchacua
Date: 10/13/2021
Zone: Yumpag
Cut-off: 150.0
US$/t
Resource Summary
Zone Category Tonnage Ag Pb Zn Fe Mn NSR Ounces Au
Pct Pct Pct Oz
t Oz/t Pct US$/t
5,300 7.65 0.18 0.46 3.88 20.33 237.97 1.28
Inferred
111,300 28.71 0.63 1.12 4.82 23.46 893.04 99.48
Total Measured
1,349,600 24.08 0.55 1.03 4.30 22.02 748.91 1010.90
Indicated
1,460,900 24.43 0.56 1.04 4.34 22.13 759.90 1110.38
Measured & Indicated
182,300 23.29 0.56 0.90 4.00 20.88 724.45 132.27
Inferred
Note: Resources include reserves, no ore loss or dilution has been included.

The prices used were US$ 1,600.00 per ounce Au and US$ 20.00 per ounce Ag.

Source: BVN

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22.6 Mining methods

It should be noted that the Uchucchacua MU considers, within its scope as a mine, the
Yumpagproject located 1 km north-east of its operations. Mining method selection considerations
for both Uchucchacua and Yumpag are independent of one other.

The Uchucchacua mining unit applies two underground mining methods:

x Bench & Fill with long holes. This method corresponds to an adaptation of sublevel
stoping(SLS).
x Overhand Cut & Fill (OCF) with stoping-like vertical raiseboring
Life of Project (LOM) with the estimated reserves as of December 2021, a LOM is estimated until
2028.

Table 22-3: LOM Uchucchacua

2022- Total
Description 2024 2025 2026 2027 2028
2023(*)
Ore Treated 4,600,010
(DMT) 785,400 1,071,000 1,071,000 1,194,600 478,010
Ag grade 7.27
(Oz/MT) 7.09 7.08 7.01 7.33 8.45
1.32
Pb Grade (%) 1.28 1.31 1.41 1.17 1.61
2.23
Zn Grade (%) 2.22 2.44 2.39 1.85 2.41
4.52
Mn Grade (%) 3.93 4.68 4.40 5.54 2.87
119
NSR 116 117 116 119 137
27,330,854
Ag Fines (Oz) 4,518,064 6,153,734 6,096,477 7,273,268 3,289,310
Pb Fines 39,182
(FMT) 6,648 9,226 9,638 9,144 4,526
Zn Fines 51,475
(FMT) 8,727 13,070 12,809 11,098 5,771

Source: Buenaventura

22.6.1 Yumpag Mining Plan

Table 22-4: LOM Yumpag
2022- Total
Description 2023(*) 2024 2025 2026 2027 2028
1,518,600
Ore Treated (DMT) 357,000 428,400 428,400 304,800
19.39
Ag grade (Oz/MT) 22.99 21.93 18.16 13.35
0.46
Pb Grade (%) 0.54 0.52 0.40 0.35
0.85
Zn Grade (%) 1.09 0.92 0.69 0.71
16.61
Mn Grade (%) 18.35 17.05 15.84 15.07
301
NSR 357 341 282 207
25,145,323
Ag Fines (Oz) 7,007,803 8,021,800 6,641,645 3,474,074
4,148
Pb Fines (FMT) 1,118 1,300 1,119 610
-
Zn Fines (FMT) - - - -
Source: Buenaventura

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22.6.2 Development and preparation works - UCHUCCHACUA LOM

Table 22-5: Development and preparation works Uchucchacua
UCHUCCHACUA LOM
Total
Work (m) 2022 2023 2024 2025 2026 2027 2028
Development - - 342 342 342 342 114 1,482

Preparation - 4,900 22,443 30,606 30,606 34,135 6,833 129,523

Exploration 7,450 7,750 3,000 3,000 3,000 3,000 1,000 28,200

Total advances 7,450 12,650 25,785 33,948 33,948 37,477 7,947 159,205

DDH 80,000 80,400 86,400 86,400 86,400 86,400 28,800 534,800

RB - - 1,050 1,050 760 760 - 3,620

Source: Buenaventura

22.6.3 Development and preparation works - YUMPAG LOM

Table 22-6: Development and preparation works Yumpag
Total
Work (m) 2022 2023 2024 2025 2026 2027 2028
Development 2,917 2,582 1,891 14 - - - 7,403

Preparation 5,689 7,352 8,146 6,892 1,431 - - 29,510

Exploration - - - - - - - -

Total advances 8,605 9,934 10,037 6,906 1,431 - - 36,913

RB 946 974 1,114 - - - - 3,034

Ch 1,080 1,080 1,080 450 - - - 3,690

Source: Buenaventura

22.7 Infrastructure
The Colquicocha waste rock management facility is located on top of a former tailings and waste
rock management facility, which was closed as part of the PAMA program and rehabilitated in
2010.

Engineering studies on the rehabilitation and the management facility were developed by OM
Ingeniería y laboratorio S.R.L. (OM) in 2010 and 2017, respectively. The facility design has an
extension of 1.44 hectares for a storage of 40 K t of temporary ore and 10 k t of waste rock.

The geometric configuration of the facility considers an overall slope of 2.5(H):1(V) until reaching
the maximum elevation of 4,447 MASL

The Huantajalla LVL 360 waste rock management facility is located in the Huantajalla Valley
between 4,340 and 4,390 meters above sea level, downstream of the Huantajalla mine entrance.

The detailed engineering design was developed by JMF in 2014 considering an area of 40,950 m²
for a storage volume of 745,000 m³ and a material density of 2.4 t/m³. The facility will be built in
two stages, the first will consist of a 288,500 m³ (0.69 Mt) storage volume, while the second stage
foresees a volume of 456,500 m³ (1.79 Mt). Its useful life considers periods of 11.4 years for the
first stage and 29.3 years for the second stage.

Huantajalla Lvl 500-2014 waste rock management facility (DME) Level 500 belonging to the
Uchucchacua mining unit, is located at the foot of level 500 mine entrance.

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This facility's detailed engineering was conducted by OM Ingeniería y Laboratorio (OM) in 2014,
covering an extension of 4 hectares with a storage capacity of 567,000 m³ for an estimated useful
life of 4 months.

Uchucchacua Lvl 600, similar to Lvl 500 waste rock management facility (DME), this deposit is
located at the foot of level 620 mine entrance.

This facility's detailed engineering was conducted by OM Ingeniería y Laboratorio (OM) in 2014,
covering an area of 1 Ha, with a storage capacity of 48,800 m³ of waste rock, and an estimated
useful life of 2 months.

The remaining capacity at Tailings Dam 3 up to elevation 4411.0 MASL is 0.25 Mt and up to
elevation 4416.0 MASL would allow for 3.22 Mt of storage. Although Buenaventura plans to
heighten the bunds to 4413.0 MASL, and later reach elevation 4416.0 MASL The heightening to
4429.0 MASL will provide Tailings Dam 3 with an additional storage capacity of 15.21 Mt, thus
extending the operation of Uchucchacua Mining Unit until July 2032, with the possibility of having
more capacity for increased reserves. At the end of the operation, the final capacity of Tailings
Dam 3 will be 26.27 Mt, for an estimated density of conventional tailings of 1.26 t/m³ and for
thickened tailings of 1.6 t/m³; discharge of thickened tailings will begin in 2024.

22.8 Market studies

Buenaventura’s zinc concentrates from Uchucchacua has very low zinc content and high levels of
manganese. This means the material is sold at a discount and is a good match for traders with a
large portfolio who can use the concentrate for blending. Buenaventura has been able to sell this
concentrate on the back of the large amount of diverse zinc concentrates extracted in Peru, which
allows for a variety of combinations which are attractive to the market once blended. Looking
forward, Buenaventura has contracts in place covering 100% of Uchucchacua’s zinc concentrate
production for 2022 and 2023, and 60% of production for 2024. Conversations with current buyers
are constant and future production is likely to be secured when the time arrives.

As far as CRU understands, the leached material catalogued as “lixiviado” concentrate cannot be
exported to China as, having been through additional chemical processes after being concentrated,
it is no longer considered a concentrate. This, combined with the high arsenic content in the
material, would mean this production will likely be used for blending and then exported to markets
other than China. The material’s high silver content will also help increase its attractiveness in
markets where silver is well-valued. Going forward, Buenaventura has secured sales for 80% and
76% of Uchucchacua’sproduction of its “lixiviado” material for 2022 and 2023, respectively.
Conversations with current buyers are ongoing and future production is likely to be secured when
the time comes.

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23 Recommendations
a. Geological and Mineral Resources

Uchucchacua
x SRK recommends developing detailed geological and structural model to further support
the modeling geology of the deposit.

x Only a minor percentage of density sampling information was available, SRK recommends
that systematic density sampling programs be carried out covering all veins, adequately
distributed along the length and height of the veins.

x The results of QAQC throughout the life of the mine have not been optimal, SRK
recommends that the quality control program be adequately followed up, these
inappropriate results generated the non-declaration of measured resources.

x SRK recommends implementing a reconciliation program that includes the different types
of resource models, reserves, mine plans and plant results.

Yumpag
x SRK recommends developing detailed structural model to further support the modeling
geology of the reservoir.

x Density sampling information for resource estimation was not complete, SRK recommends
that systematic density sampling programs be carried out for all surveyed structures.

b. Sample Preparation, Analysis and Security

x In Uchucchacua mine, more frequent precision monitoring should be carried out (fine
duplicates, coarse duplicates and twin samples) to detect problems or inconsistencies.

x In Uchucchacua mine, more frequent monitoring of accuracy (Zn) should be carried out in
the internal laboratory to detect problems or inconsistencies.

x In Yumpag mine, more frequent precision monitoring (coarse duplicates) should be carried
out to detect problems or inconsistencies.

x In Yumpag mine, more frequent monitoring of accuracy (Ag, Zn) should be carried out in
the external ALS laboratory to detect problems or inconsistencies.

x In Yumpag mine, the percentage of inclusion of standards should be increased according

to the best practices in the industry.

c. Data Verification
x In Uchucchacua and Yumpag mines, SRK recommends conducting is recommended to
carry out internal validations of the database; verification of the data export process; and
issuing of chemical analysis reports from the Internal Laboratory for future reviews and/or
internal audits

d. Mining and Mineral Reserves

x Improvement of metallurgical recovery estimation through on-going performance control of
plant operations and the execution of additional metallurgical tests. SRK finds that
proposed functions are coherent with the current and future processing plant operations;

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however, it is necessary to complete additional analysis. Recoveries for silver, lead and
zinc in low grade ranges show limited information. Silver recovery for different products
must be developed.

x Implement a systematic reconciliation process and improve the traceability of the fine
contents. Following best practices in the industry, this process should involve the following
areas mine operations: geology, mine planning and processing plant under an structured
plan of implementation;

x Improvement of “unit value” calculation by means the parameters traceability and adding
some level of differentiation in the commercial terms, separating commercial terms related
to the metal or payable content and commercial terms related to the mass of the
concentrate.

x Evaluate a simplification of saleable products and adecuate assignment of circuit

destination for the in-situ materials.

x Geotechnical monitoring of underground operations and implement feedback process to

incorporate the monitoring results into the geotechnical model used for underground
design purposes.

e. Mineral Processing
x SRK is of the opinion that the Yumpag Project offers multiple opportunities to improve the
Uchucchacua-Rio Seco integrated business. A good practice that will facilitate timely
evaluation of the business’s potential would be to execute metallurgical testing immediately
after obtaining Yumpag’s DDH geochemistry data.
x SRK is of the opinion that because Uchucchacua´s current mechanical condition, before
restarting operations will require the followings:
x Refurbishment at a cost ranging between USD 7.0 million and USD 10.0 million, and
x To implement the refurbishment will take at least six months.
x Executing the refurbishment in advance of the operation restart will allow Uchucchacua to
reinitiate production at or near full capacity, and better control costs.
x A successful plant start-up (or re-starting for this particular purpose) must be understood
as one that simultaneously achieves: target instantaneous ore throughput (tonnes/hour),
target mechanical availability (hours/day, hours/week, hours/month), and nominal
concentrate production in terms of tonnage and quality over at least four consecutive
months.
x Refurbishment of the plant brings the opportunity to modernize some of the equipment and
ancillary systems.
x It is SRK’s opinion that Rio Seco has significant potential to become a custom refinery for
third-party non-typical quality concentrates in the region.
f. Environmental, Permitting, and Social Considerations
x Continue executing the plans and programs related to:

o Mine closure plans, including remediation and reclamation plans, and associated
costs.
o Social relations, commitments, and agreements with individuals and local groups.
o Mine reclamation and closure.
o Adequacy of plans (environmental, mine closure, local individuals and groups).
o Commitments to Ensure Local Procurement and Hiring (local employment program,
local goods and services acquisition program)
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g. Capital and Operating Costs

x Development of additional technical studies for the mine closure process and to improve
the accuracy of cost estimation. SRK believes that there are opportunities to improve and
reduce the closure costs supported by technical studies;

x Trace and assign amounts of investment and operating costs correctly in the
corresponding accounting items to ensure adequate control, structuring and sorting of the
capital and operating cost.

x Additional support in the trace and assign commercial and selling expenses to the value of
in-situ material

x Continuous monitoring of cost results (yearly, quarterly); these results should be used as
feedback on the operating and capital cost estimation).

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24 References
BISA. (2018). Cartografiado Geológico-Estructural superficial de la mina Uchucchacua y
alrededores.

Buenaventura. (2021). Deposit type, internal report.

Buenaventura. (2021). Geología del Yacimiento Minero de Uchucchacua. Reportes Internos.

Buenaventura. (2021). Internal Reports, History.

Buenaventura. (2021). Reporte de Estimación de Recursos.

Buenaventura. (2021). Reporte de Estimación de Recursos. Imágenes extraídas de archivos de

Supervisor®.

Buenaventura. (2021). Reporte de Estimación de Recursos. Imágenes extraídas de Leapfrog®.

Buenaventura. (2021). Reporte de Sostenibilidad 2020.

Buenaventura. (2021). Reporte de Sostenibilidad Ambiental 2020 - Unidad Minera Uchucchacua.

Buenaventura. (2021). Technical Report Yumpag-Carama. Internal Reports.

Bussell, A., Alpers, C., Petersen, U., Shepherd, T., Bermudez, C., & Baxter, A. (1990). The Ag-Mn-
Pb-Zn Vein, Replacement, and Skarn Deposits of Uchucchacua, Peru: Studies of Structure,
Mineralogy, Metal Zoning, Sr Isotopes, and Fluid Inclusion. Economic Geology, 1348-1383.

INGEMMET. (2021). Plataforma digital única del Estado Peruano. Obtenido de Concesiones
Mineras: https://www.gob.pe/institucion/ingemmet/colecciones/1880-concesiones-mineras

MINAM. (2019). Evaluación del Segundo Informe Técnico Sustentatorio de la Modificación del
Estudio de Impacto Ambiental de la Unidad Económica Administrativa Uchucchacua presentado
por Compañía de Minas Buenaventura S.A.A.

SRK. (2017). Elaboración del Modelo Geológico Estructural de la Unidad Minera Uchucchacua.

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25 Reliance on Information Provided by the Registrant

25.1 Introduction
The QPs fully relied on the registrant for the guidance in the areas noted in the following sub-
sections. Buenaventura has active mining operations in Peru and has considerable experience in
developing mining operations in the jurisdiction.

The QPs undertook checks that the information provided by the registrant was suitable to be used
in the Report.

25.2 Macroeconomic Trends

Information relating to inflation, interest rates, discount rates, foreign exchange rates and taxes.

This information is used in the economic analysis in Chapter 19. It supports the mineral resource
estimate in Chapter 11, and the mineral reserve estimate in Chapter 12.

25.3 Markets
Information relating to market studies/markets for product, market entry strategies, marketing and
sales contracts, product valuation, product specifications, refining and treatment charges,
transportation costs, agency relationships, material contracts (e.g., mining, concentrating, smelting,
refining, transportation, handling, hedging arrangements, and forward sales contracts), and
contract status (in place, renewals).

This information is used when discussing the market, commodity price and contract information in
Chapter 16, and in the economic analysis in Chapter 19. It supports the mineral resource estimate
in Chapter 11, and the mineral reserve estimate in Chapter 12.

25.4 Legal Matters

Information relating to the corporate ownership interest, the mineral tenure (concessions, payments
to retain, obligation to meet expenditure/reporting of work conducted), surface rights, water rights
(water take allowances), royalties, encumbrances, easements and rights-of-way, violations, and
fines, permitting requirements, ability to maintain and renew permits

This information is used in support of the property ownership information in Chapter 3, the
permitting and closure discussions in Chapter 17, and the economic analysis in Chapter 19. It
supports the mineral resource estimate in Chapter 11, and the mineral reserve estimate in Chapter
12.

25.5 Environmental Matters

Information relating to baseline and supporting studies for environmental permitting, environmental
permitting and monitoring requirements, ability to maintain and renew permits, emissions controls,
closure planning, closure and reclamation bonding and bonding requirements, sustainability
accommodations, and monitoring for and compliance with requirements relating to protected areas
and protected species.

This information is used when discussing property ownership information in Chapter 3, the
permitting and closure discussions in Chapter 17, and the economic analysis in Chapter 19. It

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supports the mineral resource estimate in Chapter 11, and the mineral reserve estimate in Chapter
12.

25.6 Stakeholder Accommodations

Information relating to social and stakeholder baseline and supporting studies, hiring and training
policies for workforce from local communities, partnerships with stakeholders (including national,
regional, and state mining associations; trade organizations; fishing organizations; state and local
chambers of commerce; economic development organizations; non-government organizations;
and regional and national governments), and the community relations plan.

This information is used in the social and community discussions in Chapter 17, and the economic
analysis in Chapter 19. It supports the mineral resource estimate in Chapter 11, and the mineral
reserve estimate in Chapter 12.

25.7 Governmental Factors

Information relating to taxation and royalty considerations at the Project level, monitoring
requirements and monitoring frequency, bonding requirements.

This information is used in the economic analysis in Chapter 19. It supports the mineral resource
estimate in Chapter 11, and the mineral reserve estimate in Chapter 12.

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Appendices

Month Year
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Month Year