Silvercrest Mines discloses intention to expand production at Mexican mine
The first quarter of the year saw mine optimisation at a Mexican site of Silvercrest Mines, where the company achieved a second consecutive quarter of strong production of ore, according to Mineweb.
Sixteen percent more ore than projected was generated by the Santa Elena site, located in East Central Mexico. The mine also had an increase in production for additional precious metals.
The average daily production was 2,900 tons per day, significantly larger than the 2,500 tons per day that had been forecast. The company's silver production was 134,528 ounces and 9,405 ounces of gold.
During the fourth quarter of last year, Silvercrest Mine produced 131,045 ounces of silver and 9,536 ounces of gold.
Now in its second year as a producer, the mining company is projected to meet if not exceed its forecasts for this year. It aimed to generate 33,000 ounces of gold and 435,000 ounce of silver for the year.
The company also kicked off 2012 by having remitted $12.5 million in debt to banks, which was achieved in the final quarter of last year.
Its war chest is well supplied to finance some plans the firm has to develop and grow its operation. Silvercrest would like to double production at the site southwest of the Southern Texas tip, which is likely to run around $84 million.
Part of the growth includes widening the mill from 3,000 to 3,500 tons.
Reuters reports China is the globe's top consumer of ore.