VANCOUVER, BC, Oct. 18,
2023 /CNW/ - Santacruz Silver Mining
Ltd. (TSXV: SCZ) ("Santacruz" or "the Company")
reports its Q3 2023 production results from its Bolivar mine ,
Porco mine, Caballo Blanco Group of mines ("Caballo Blanco") and
the San Lucas feed sourcing
business ("San Lucas"), all located in Bolivia, and the Zimapan mine located in Mexico.
Highlights:
- Q3 2023 metals production included:
- 1,728,863 ounces of silver;
- 3,370 tonnes of lead;
- 23,095 tonnes of zinc;
- 252 tonnes of copper;
- For silver equivalent production of 5,669,905 ounces.
- Bolivar mine processed 77,298 tonnes of mineralized material
and produced 1,343,000 silver equivalent ounces in Q3 2023, a 16%
and 40% increase, respectively, when compared to Q2 2023.
- Zimapan mine processed 192,158
tonnes of mineralized material and produced 1,183,606 silver
equivalent ounces in Q3 2023, a 12% and 35% increase, respectively,
when compared to Q2 2023.
Arturo Préstamo, Executive Chairman and Interim CEO of
Santacruz, commented, "Our multi-asset portfolio has been able to
deliver consistent production so far this year, and in total we
have produced almost 17 million silver equivalent ounces, including
just over 5 million ounces of silver. While we do expect operations
to vary by asset quarter to quarter, our objective is to deliver
stable production throughout the year, while at the same time
reviewing and streamlining operations to achieve efficiencies and
reduce costs."
Santacruz processed 467,563 tonnes of material in Q3 2023, a
slight increase from the previous quarter. Silver equivalent ounces
produced of 5,669,905 included 1,728,863 ounces of silver, 3,370
tonnes of lead, 23,095 tonnes of zinc and 252 tonnes of
copper. The positive impact of a slight increase in material
processed combined with an increase in metal production from the
Zimapan and Bolivar mines resulted
in stable silver equivalent ounce production overall.
The upgraded water handling infrastructure servicing the
higher-grade Central Zone of the Bolivar mine installed last
quarter helped stabilize production from this area, and the mine
processed 77,298 tonnes of mineralized material, a 16% increase
when compared to the 66,689 tonnes processed in Q2 2023. This
resulted in 1,343,000 silver equivalent ounces being produced in Q3
2023, a 40% increase when compared to the 961,580 silver equivalent
ounces produced in Q2 2023.
The Zimapan mine is realizing
benefits from a shift in mining strategy to higher grade areas,
which is part of the ongoing optimization of the mine plan in
response to metals prices. In Q3 2023 the mine processed 192,158
tonnes of mineralized material, a 12% increase when compared to the
171,668 tonnes processed during Q2 2023. Zimapan also produced 1,183,606 silver
equivalent ounces during Q3 2023, a 35% increase when compared to
the 878,854 silver equivalent ounces produced in Q2 2023.
The integration ramp connecting the Tres Amigos and
Colquechaquita mines at the Caballo Blanco Group of mines continues
to progress well and is now 73% complete. The integration ramp
consists of approximately 1,177 meters of development including
primary ramp and auxiliary drives and it is designed to facilitate
increased productivity from Colquechaquita and total production
from the Caballo Blanco Group of mines. This project is expected to
be completed by the end of Q1 2024.
In Q3 2022, 500,956 tonnes of material was processed, and
5,832,882 silver equivalent ounces was produced. While total
material processed in Q3 2023 was 7% less compared to Q3 2022,
total silver equivalent ounce production was down only 3%. This was
a result of higher grades mined and an increase in metal recoveries
at Bolivar and Zimapan.
Third Quarter 2023 Production Summary – Consolidated
|
2023-Q3
|
2023-Q2
|
Change
Q3 vs Q2
(%)
|
2022-Q3
|
Change
Q3 vs
Q3
(%)
|
2023
YTD
|
2022
YTD(1)(2)
|
Change
'23 vs
'22
(%)
|
|
Material Processed
(tonnes milled)
|
467,563
|
443,969
|
5
|
500,956
|
(7)
|
1,394,029
|
1,163,645
|
20
|
|
Silver Equivalent
Produced (AgEq ounces) (3)
|
5,669,905
|
5,569,535
|
2
|
5,832,822
|
(3)
|
16,883,779
|
12,368,597
|
37
|
|
Silver Ounces
Produced
|
1,728,863
|
1,786,461
|
(3)
|
1,924,973
|
(10)
|
5,284,841
|
3,805,287
|
39
|
|
Lead Tonnes
Produced
|
3,370
|
2,824
|
19
|
2,997
|
12
|
9,237
|
7,165
|
29
|
|
Zinc Tonnes
Produced
|
23,095
|
22,281
|
4
|
22,830
|
1
|
67,839
|
49,422
|
37
|
|
Copper Tonnes
Produced
|
252
|
297
|
(15)
|
364
|
(31)
|
964
|
901
|
7
|
|
Development
Metres
|
10,838
|
10,922
|
(1)
|
10,423
|
4
|
32,333
|
23,802
|
36
|
Third Quarter 2023 Production Summary – By Mine
|
Bolivar
(4)
|
Porco
(4)
|
Caballo
Blanco
Group(5)
|
San Lucas
Feed
Sourcing(6)
|
Zimapan
|
|
Material Processed
(tonnes milled)
|
77,298
|
47,786
|
76,864
|
73,456
|
192,158
|
|
Silver Equivalent
Produced (AgEq ounces) (3)
|
1,343,000
|
625,401
|
1,118,711
|
1,399,187
|
1,183,606
|
|
Silver Ounces
Produced
|
502,931
|
165,066
|
319,674
|
362,443
|
378,748
|
|
Lead Tonnes
Produced
|
449
|
190
|
684
|
522
|
1,526
|
|
Zinc Tonnes
Produced
|
5,214
|
2,891
|
4,805
|
6,454
|
3,731
|
|
Copper Tonnes
Produced
|
N/A
|
N/A
|
N/A
|
N/A
|
252
|
|
Average head grades per
mine:
|
|
|
|
|
|
|
Silver (g/t)
|
221
|
119
|
144
|
183
|
80
|
|
Lead
(%)
|
0.79
|
0.52
|
1.22
|
1.06
|
0.97
|
|
Zinc
(%)
|
7.41
|
6.40
|
6.80
|
9.55
|
2.49
|
|
Copper (%)
|
N/A
|
N/A
|
N/A
|
N/A
|
0.29
|
|
Metal recovery per
mine:
|
|
|
|
|
|
|
Silver (%)
|
92
|
90
|
90
|
84
|
76
|
|
Lead
(%)
|
74
|
76
|
73
|
66
|
82
|
|
Zinc
(%)
|
91
|
95
|
92
|
92
|
78
|
|
Copper (%)
|
N/A
|
N/A
|
N/A
|
N/A
|
46
|
|
Development
Metres
|
2,736
|
1,891
|
3,992
|
N/A
|
2,220
|
|
(1)
|
On March 18, 2022 the
Company closed the acquisition of all Bolivian assets from Glencore
and the results of the Bolivian Operations are included in the
consolidated results of the Company from that date.
|
|
(2)
|
Bolivian production
from March 18, 2022 to September 30, 2022.
|
|
(3)
|
Silver Equivalent
Produced (ounces) have been calculated using prices of $21.86/oz,
$0.91/lb, $1.52/lb and $3.67/lb for silver, lead, zinc and copper
respectively applied to the metal production divided by the silver
price.
|
|
(4)
|
Bolivar and Porco are
presented at 100% production, whereas the Company records 45% of
revenues and expenses in its consolidated financial
statements.
|
|
(5)
|
The Caballo Blanco
Group consists of the Colquechaquita, Tres Amigos and Reserva
mines.
|
|
(6)
|
San Lucas sources
mineralized material from regional suppliers and utilizes
processing capacity at the Bolivar, Porco and Don Diego
plants.
|
Qualified Person
Wayne
Corso, Chief Operating Officer of the Company is a qualified
person under NI 43-101 and has approved the scientific and
technical information related to operational matters contained in
this news release.
About Santacruz Silver Mining Ltd.
Santacruz Silver is engaged in
the operation, acquisition, exploration, and development of mineral
properties in Latin America. The
Bolivian operations are comprised of the Bolivar, Porco and the
Caballo Blanco Group, which consists of the Tres Amigos, Reserva
and Colquechaquita mines. The Soracaya exploration project and
San Lucas ore sourcing and trading
business are also in Bolivia.
The Zimapan mine is in Mexico.
'signed'
Arturo Préstamo Elizondo,
Executive Chairman and Interim CEO
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Forward looking information
This news
release includes certain statements and information that may
constitute forward-looking information within the meaning of
applicable Canadian securities laws. Forward-looking statements
relate to future events or future performance and reflect the
expectations or beliefs of management of the Company regarding
future events. Generally, forward-looking statements and
information can be identified by the use of forward-looking
terminology such as "intends", "expects" or "anticipates", or
variations of such words and phrases or statements that certain
actions, events or results "may", "could", "should", "would" or
will "potentially" or "likely" occur. This information and these
statements, referred to herein as "forward‐looking statements", are
not historical facts, are made as of the date of this news release
and include without limitation, statements regarding the expected
completion of the integration ramp at Caballo Blanco, and
the benefits derived therefrom, the Company's current focus on
certain business objectives, and the expectation that operations
will vary by asset quarter to quarter.
These forward‐looking statements involve numerous risks and
uncertainties and actual results might differ materially from
results suggested in any forward-looking statements. These risks
and uncertainties include, among other things, risks that the
integration ramp at Caballo Blanco will not be completed on the
expected timeline, or at all, that the integration ramp will not
provide the benefits currently expected by management, that the
Company's focus will not remain on delivering stable production
while also reviewing and streamlining operations to achieve
efficiencies and reduce costs, that operations will not vary by
asset quarter to quarter to the degree currently expected by
management, risks related to changes in general
economic, business and political conditions, including changes in
the financial markets, changes in applicable laws, and compliance
with extensive government regulation, as well as those risk
factors discussed or referred to in the Company's disclosure
documents filed with the securities regulatory authorities in
certain provinces of Canada and
available at www.sedarplus.ca.
In making the forward-looking statements in this news
release, the Company has applied several material assumptions,
including without limitation, the assumption that the integration
ramp at Caballo Blanco will be completed on the expected timeline,
that the Company will derive the expected benefits from the
integration ramp, that the Company's focus will remain on
delivering stable production while also reviewing and streamlining
operations to achieve efficiencies and reduce costs, and that the
operations will vary by asset quarter to quarter to the degree
currently expected by management.
There can be no assurance that any forward-looking
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, the reader should not place any undue
reliance on forward-looking information or statements. The Company
undertakes no obligation to update forward-looking information or
statements, other than as required by applicable
law.
SOURCE Santacruz Silver Mining Ltd.
