Located in the Huaron mining district, Chungar encompasses the Islay and Animon mines. The mineralization in Islay comprises a breccia-type fissure fill, mainly with silver mineralization, with subordinated lead and zinc, Animon is a hydrothermal polymetallic deposit consisting of mineralized structures probably related to Miocene aged monzonite dykes principally within, but not confined to the Huaron anticline.

Animon Mine in Peru's Huaron mining district is hydrothermal polymetallic deposit (hosting silver, lead, zinc, and copper) consisting of mineralized structures probably related to Miocene aged monzonite dykes principally within. Mineralization is encountered in veins parallel to the main fault systems, in replacement bodies associated with the calcareous sections of the conglomerates and other favourable stratigraphic horizons, and as dissemination in the monzonitic intrusions at vein intersections.  

Mineralization occurs mainly in veins but also in “mantos” (stratiform deposits) and replacement deposits. Mineralized veins vary from a few centimetres to up to 10 metres wide, and may extend along strike for up to 1,800 metres. Most of the structures show open mineralization at depth and have excellent exploration potential.
  
The first pulse of mineralization was associated with the emplacement of intrusive bodies and the subsequent opening of structures, during which zinc, iron, tin, and tungsten minerals were deposited. This was followed by a copper, lead, and silver rich stage, and finally by an antimony/silver phase associated with quartz.

The average width of the Islay vein is around 4.00 metres, it outcrops at surface and was exploited in small open pits. At the moment, it is being prepared for its next stage as an underground operation. Diamond-drilling has determined an average resource grade of 0.1%Cu, 1.0%Pb, 1.4%Zn and 8.7oz Ag/mt.

The Chungar unit has two underground mines: the Animón mine, with a production capacity of 4,140 tpd and the Islay mine with a production capacity of 813 tpd, the tonnages produced by these two mines are treated at the Animón plant.

The year 2019 meant an improvement in operational standards via the implementation and reinforcement of the Electrical Safety Protocols; Mobile equipment; Fires and Explosions; Response to Emergencies; and Sustainment in order to become a world-class operation.

Animon is exploited using a combination of sub-level stoping and cut-and-fill, while Islay focuses mainly on cut-and-fill.

Animon Mine
In 2019, the Animón mine consolidated its production at 4,140 tpd, achieving better performance due to the established plan to develop and prepare the mine in the upper and lateral zone, as well as the deepening of the mine.

During 2019, the construction of the Esperanza and Montenegro pumping systems continued, a train of pumps was put into operation to guarantee the reliability of the mine's main pumping system.

Islay Mine
It began with the construction of the infrastructure of the pumping system inside the mine for a total capacity of 420 l / s, which will guarantee the development of the deepening and lateral development of the mine.

A brownfield exploration program was started in the lateral extensions of the Animón mine, as well as in the deepening of the operating area, where 2,815 meters were drilled aimed at exploring polymetallic bodies.

This preliminary campaign allowed the discovery of the Esperanza body located 700 m deep from the current infrastructure. The results register an economic intercept of 120 meters with good zinc and copper content.

Likewise, the northwest of the Islay mine is being explored in order to evaluate the potential of finding new structures. For the year 2020, it is planned to continue with surface mapping, geochemical and geophysical work, in order to continue generating drilling targets.

The exploration work at the Animón and Islay mines was aimed at ensuring compliance with the 2019 production plan and extending the life of the mine, through the incorporation of cheap mineral resources and the discovery of new structures with high zinc content. , lead and silver, such as Vein 3 in the Animón mine and the Jazmín and Guadalupe beds, in the Islay mine.

The concentrate plant processed 5,500 tpd of polymetallic ore using selective differential flotation. In 2014, measures taken to increase metallurgical recovery included installation of an automatic lime dosing system, placement of a third flash cell in the lead-silver circuit and modification of the rotation speed in lead and zinc flotation cells. The flotation processes are controlled using real-time information provided by the SCADA analysis system. [2014, AR, p.58]

In 2019, the Animón plant increased its treated tonnage by 0.90% compared to the previous year. In order to improve metallurgical indices and learn about metallurgy, the decision was made to treat ore from the Animón and Islay mines in separate campaigns.

During the year, the Animón concentrator plant achieved a recovery of 92.7% in zinc, 91.4% in lead, 54.4% in copper and 80.7% in silver; compared to 2018, where recoveries were obtained in zinc of 92.3%, in lead of 91.0%, in copper of 60.1% and in ........