Santacruz Silver ups Q2 production 13% despite challenges at Rosario
(Kitco News) - Santacruz Silver (TSX.V:SCZ) today announced that in Q2 2021, the company produced 799,057 silver equivalent ounces from the Zimapan mine located in Zimapan, Hidalgo, Mexico and the Rosario project located in Charcas, San Luis Potosi, Mexico, which is 13% more than 709,765 ounces produced in Q2 2020.
The company said that the significant increase in silver equivalent ounces produced in Q2 2021 was mainly due to increased production from the Zimapan mine. In particular, as compared to Q2 2020, Zimapan tonnes processed increased by 46% while silver head grade and silver recovery increased by 12% and 5% respectively.
The improved metal head grades in Q2 2021 reflect increased production from the Lomo del Toro zone (12,000 tonnes per month in Q2 2021 as compared to 6,000 tonnes per month in Q1 2021). The company said that it expects production to continue to increase from Lomo del Toro over the coming months.
However, Santacruz noted that while Zimapan is making very positive progress, Rosario continues to present challenges due to the combination of poor rock conditions and a narrow vein system. As a result, the company noted it is actively reviewing its strategy for Rosario.
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. The company's corporate objective is to become a mid-tier silver producer.