Make Kitco Your Homepage

Santacruz reports 18% silver production growth in first quarter

Kitco News

Editor's Note: With so much market volatility, stay on top of daily news! Get caught up in minutes with our speedy summary of today's must-read news and expert opinions. Sign up here!

(Kitco News) - Santacruz Silver Mining (TSX.V:SCZ) reported Thursday that the company produced 706,978 silver equivalent ounces from the Zimapan mine located in Zimapan, Hidalgo, Mexico and the Rosario project located in Charcas, San Luis Potosi, Mexico.

The company said that there is a significant reduction in silver equivalent ounces produced in Q1 2021 as compared to that produced in Q1 2020 (902,765 ounces) and Q4 2020 (943,103 ounces). The company explained that this negative change in production is due in large part to the metal prices used for the silver equivalent ounces calculation in 2021 as compared to 2020.

Santacruz added that silver output of 325,376 ounces achieved in Q1 2020 is higher compared to both Q1 2020 (274,678 ounces) and Q4 2020 (318,764 ounces) production. The company also produced 72 ounces of gold, 945 tonnes of lead, 2,285 tonnes of zinc and 354 tonnes of copper.

Carlos Silva, Santacruz's COO stated, "As we keep advancing our workings deeper into the higher-grade Lomo del Toro manto and increase the tonnage mined from this zone, we are seeing a corresponding increase in head grades at our Zimapan mine. We are progressing well towards our objective of reaching 15,000 tonnes per month of mill feed from this higher-grade area by the end of the second quarter".

Mr. Silva continued, "We expect further efficiencies at our Rosario project during Q2 as a result of a revised mining plan which results in less waste material being handled. These very encouraging improvements were unfortunately partially offset by an unstable power supply from Mexico´s Comision Federal de Electricidad (Mexico´s power supply Company). The unstable power supply impacted the mill throughput at both mines in February as motors for the ball mills were damaged.  The matter was resolved in early March but mill throughput was materially reduced for eight days".      

Santacruz is a Mexican focused silver company with two producing silver projects (Zimapan and Rosario) and two exploration properties, the La Pechuga property and Santa Gorgonia prospect.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.