BUENAVENTURA MINING CO INC | CIK:0001013131 |

 

 

		2017			2016
		US$(000)			US$(000)
Finished goods			6,151			12,763
Products in process			56,190			66,651
Spare parts and supplies			84,787			63,946
			147,128			143,360
Provision for impairment of value of inventory (b)			(11,603)			(8,386)
			135,525			134,974
Classification by use:
Current portion			132,287			120,947
Non-current portion			3,238			14,027
			135,525			134,974

 

Products in process include mineral deposits located in the Tajo Norte mining unit (El Brocal). The detail of this mineral as of December 31, 2017 and 2016 is presented below:

 

		2017						2016
		US$(000)			DMT			US$(000)			DMT
Mineral in stock piles			7,173			463,746			16,793			1,085,696
Fresh mineral in plant			11,983			835,613			1,248			74,260
Tail mineral			279			30,110			203			24,629
			19,435			1,329,469			18,244			1,184,585
Provision for impairment of value in mineral classified in process			(1,467)			-			(123)			-
			17,968			1,329,469			18,121			1,184,585
Classification by use:
Current portion			14,730						5,586
Non-current portion			3,238						12,535
			17,968						18,121

 

As part of the preparation of the mining unit to extract and process ore at a volume of 18,000 DMT/ day, Management of El Brocal decided to accumulate mineral with metal content in the proximity of the Tajo Norte mine, which has been treated since the first quarter of 2015.

 

 

		2017			2016			2015
		US$(000)			US$(000)			US$(000)
Beginning balance			8,386			20,472			7,735
Transfer from mining units held for sale			-			1,448			-
Changes in provision for impairment of finished goods, (continuing operations), note 21(a)			2,118			(7,581)			13,096
Changes in provision for impairment of finished goods (discontinued operations), note 1(e)			(1,345)			(706)			(1,474)
Changes in provision for impairment of spare parts and supplies			2,444			(110)			1,115
Reversal in provision for impairment of inventories			-			(5,137)			-
Final balance			11,603			8,386			20,472

 

In the opinion of Group’s Management, the provision for impairment of value of inventory adequately covers this risk as of the date of the consolidated statements of financial position.