TORONTO–(BUSINESS WIRE)–Americas Silver Corporation (TSX: USA) (NYSE American: USAS) (“Americas Silver” or the “Company”) today announced consolidated production and operating cost results for the third quarter of 2017 and individually for its Cosalá Operations and Galena Complex. All figures are in U.S. dollars unless otherwise indicated.
Third Quarter Highlights
- Consolidated silver production for the quarter of approximately 565,000 silver ounces and 1.1 million silver equivalent1 ounces, representing an increase of 1% and decrease of 6%, respectively, when compared to Q2, 2017, and a decrease of 5% and increase 1%, respectively, year-over-year.
- Consolidated cash costs2 for the quarter were approximately $12.61 per silver ounce, an increase of 26% year-over-year, while consolidated all-in sustaining costs2 were approximately $15.92 per silver ounce, an increase of 24% year-over-year.
- The Company processed 69,000 tonnes of silver-copper El Cajón ore producing 160,000 ounces of silver. El Cajón ore was mined in the second quarter as transitional feed to bridge the period until the commencement of San Rafael production. It was not determined to be in commercial production and was omitted from the quarterly consolidated cost calculations. Adjusting for this production, consolidated cash costs and all-in sustaining costs would have been $11.75 and $14.18 per silver ounce, respectively.
- San Rafael ore development continued to increase to approximately 1,000 tonnes per day at the end of October. The Company expects San Rafael to be the sole source of mill feed by mid-November 2017 with commercial production expected before the end of the fourth quarter. The project remains fully funded and is tracking well to budget.
- The Company has performed two test runs of San Rafael ore, one at the end of September and the second at the end of October to test the new flotation and concentrate re-grind circuits. Both tests confirmed circuit performance predicted in the San Rafael Prefeasibility Study.
- Guidance for 2017 remains at 2.0 – 2.5 million ounces of silver production and silver equivalent production of 5.0 – 5.5 million ounces with projected cash costs at the high end of the $4.00 – $5.00 per silver ounce and all-in sustaining cash costs of $9.00 – $10.00 per silver ounce ranges depending on the timing of the declaration of commercial production of San Rafael.
- The Company has cash and cash equivalents of $8.7 million at September 30, 2017. The Company expects to release its third quarter financial results on or before November 14, 2017.