TSX- and NYSE-listed Americas Silver Corporation raised its silver output for the first quarter by 9% year-on-year to 1.8-million silver equivalent ounces (SEOs), and 395 000 oz of silver, which was consistent with that produced in the first quarter of last year.
The company reported that milled tonnage at the Cosalá operations, in Mexico, increased by 24% year-on-year, with the San Rafael mine sustaining an average milling rate of about 1 750 t per operating day.
Production of around 1.3-million SEOs, including about 170 000 oz of silver, represented year-on-year increases of 39% and 118%, respectively.
However, continuing operational challenges limited production at the company’s Galena Complex, in Idaho, to about 430 000 SEOs, including about 220 000 oz of silver, representing decreases of 15% and 1% respectively, when compared to the first quarter of 2018.
Meanwhile, Americas Silver’s acquisition of Pershing Gold Corporation closed on April 3. The company has financing signed with Sandstorm Gold for gross proceeds of about $42.5-million to fund production at the Relief Canyon project.
“Construction activity at Relief Canyon is ramping up and orders for long-lead items have been placed as the company advances this project towards pouring gold before the end of the year.
“With the addition of this new mine, we expect to increase precious metal production by more than 500% by 2021,” says Americas Silver president and CEO Darren Blasutti.
Americas Silver’s full-year production guidance remains unchanged at between 1.6-million and 2-million ounces of silver and between 6.6-million and 7-million SEOs.