First Majestic Silver boosts production 41% in Q3, suspends silver sales
(Kitco News) - First Majestic Silver announced today that its total production in Q3 2021 reached a new record of 7.3 million silver equivalent ounces (3.3 million ounces of silver and 54,525 ounces of gold), a 41% increase compared to Q3 2020.
In the first nine months of 2021, the company said it has produced 9.5 million ounces of silver and 124,942 ounces of gold for total production of 18.3 million silver equivalent ounces, or approximately 69% of the company's 2021 guidance midpoint of producing 25.7 to 27.5 million ounces.
Importantly, First Majestic added that at the end of the quarter, the company held 1.4 million ounces of silver in inventory due to suppressed silver prices in the third quarter. Silver sales are anticipated to resume in the fourth quarter, the company pointed out.
"We had a very strong quarter with total production achieving a new record of 7.3 million silver equivalent ounces representing a 14% increase compared to the prior quarter," said President and CEO Keith Neumeyer. "The record quarter was primarily due to having a full quarter of production from the Jerritt Canyon operation in addition to continued strong production performance at San Dimas and La Encantada."
He added, "Santa Elena is now at the cusp of a significant step-up in production and cost reduction as we prepare the plant for initial production from the Ermitaño area in the coming months. Looking ahead, we anticipate higher grades to drive production growth at San Dimas, Jerritt Canyon and Santa Elena in the fourth quarter and into 2022."
First Majestic is a publicly traded mining company focused on silver and gold production in Mexico and the United States. The company presently owns and operates the San Dimas silver/gold mine, the Jerritt Canyon gold mine, the Santa Elena silver/gold mine and the La Encantada silver mine.