Americas Gold and Silver narrows net loss in 'difficult' third quarter
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(Kitco News) - Americas Gold and Silver (TSX: USA) (NYSE: USAS) yesterday reported Q3 2023 consolidated attributable silver production of 0.39 million ounces, up 18% compared to Q3 2022 (0.33 million ounces), while silver equivalent production decreased by 26% y-o-y.
The company said Q3 2023 production was negatively impacted early in the quarter by a planned five-day electrical shutdown at the Galena complex, as well as mobile equipment availability, while the Cosalá operations had various mill outages totalling 14 days due to heavy rain and tailings work.
The company’s Q3 2023 revenue was $18.3 million, in line with Q3 2022, resulting from higher silver production and silver price from the Galena complex, offset by slightly lower base metal production and much lower zinc prices from the Cosalá operations.
Americas also reported net loss of $10.5 million for Q3 2023, or an attributable loss of $0.04 per share, representing a decrease in net loss of $14.1 million compared to Q3 2022.
The company noted that Q4 2023 production has been strong to date with over 190,000 ounces of attributable silver ounces produced in October, adding that attributable silver production in November and December is expected to exceed October actuals.
According to Americas, its production guidance for 2023 remains unchanged but the company expects to be at lower end of both the consolidated attributable silver production range of 2.2 and 2.6 million ounces and consolidated attributable silver equivalent production range of 5.5 and 6.0 million ounces at budgeted prices.
“The operations had strong silver production in October which is expected to continue for the balance of the year, positioning the company to meet the lower end of its full year silver production targets following a difficult Q3 2023,” stated Americas President and CEO Darren Blasutti.
Americas Gold and Silver owns and operates the Cosalá operations in Sinaloa, Mexico, manages the 60%-owned Galena complex in Idaho, USA, and is re-evaluating the Relief Canyon mine in Nevada, USA. The company also owns the San Felipe development project in Sonora, Mexico.