Amerigo reports strong Q1 2021 production results in Chile
(Kitco News) - Amerigo Resources (TSX: ARG; ARREF:OTC) reported today that the Minera Valle Central ("MVC"), the company's 100% owned operation located near Rancagua, Chile, produced 15.5 million pounds of copper at a cash cost of $1.89 per pound and 0.4 million pounds of molybdenum in Q1 2021.
The company's copper output was 28% higher compared to the corresponding period of 2020, whereas molybdenum production increased 111%.
With respect to the company's Q1 2021 guidance provided on January 14, 2021, copper production results were at 99% of guidance, molybdenum production was 1% over guidance and cash cost was 3% over guidance ($0.4 million) due to higher-than-expected maintenance work carried out at the MVC plant in the quarter.
"We are pleased to report a strong operational quarter. The MVC team continued to meet production targets and to operate safely despite a significant spike in COVID-19 cases in Chile in recent weeks. At a quarterly average copper price of $4.08 per pound, Amerigo will be posting strong quarterly financial results, which will be released on May 5, 2021", said Aurora Davidson, Amerigo's President and CEO.
Amerigo Resources is an innovative copper producer with a long-term relationship with Codelco, the world's largest copper producer. Amerigo produces copper concentrate and molybdenum concentrate as a by-product at the MVC operation in
Chile by processing fresh and historic tailings from Codelco's El Teniente mine, the world's largest underground copper mine.