First Majestic 2Q Silver-Equivalent Production Rises
(Kitco News) - First Majestic Silver Corp. (NYSE: AG; TSX: FR) on Monday reported that second-quarter production was 6.4 million silver-equivalent ounces, up from 2% from 6.3 million in the first quarter and a jump of 25% from 5.1 million in the second quarter of 2018.
The April-June output consisted of 3.2 million ounces of silver, 33,576 ounces of gold, 2.5 million pounds of lead and 1.4 million pounds of zinc.
Production in the first half of the year was 12.7 million silver-equivalent ounces, which was 49% of the company’s 2019 guidance midpoint to produce 24.7 million to 27.5 million.
“Our two primary assets, the San Dimas and Santa Elena mines, saw strong growth during the quarter, producing approximately 80% of our total metal production,” said Keith Neumeyer, president and chief executive officer. “San Dimas continues to exceed guidance due to higher-than-expected grades and mining rates from the Jessica and Victoria veins.
“At Santa Elena, the newly installed HIG mill is in its final commissioning stage and is expected to ramp up to reach design capacity of 3,000 tpd [tones per day] in the third quarter. The HIG mill is anticipated to improve overall metallurgical recoveries and lower energy costs compared to traditional ball milling.”
The consolidated silver grade in the quarter averaged 159 grams per tonne, compared to 153 g/t in the previous quarter. This 4% increase was primarily the result of higher grades at San Dimas, La Parrilla, San Martin and Del Toro, First Majestic said.
The consolidated gold grade was an average of 1.48 g/t compared to 1.26 g/t in the prior quarter. The 18% increase was due to improved grades from the Jessica and Victoria veins at San Dimas.