MAG Announces Second Quarter 2024 Production From Juanicipio and Increases Grade Guidance
24 July 2024 - 8:55PM
MAG Silver Corp. (TSX / NYSE American: MAG) (“MAG”
or “MAG Silver”) reports production from Juanicipio (56% / 44%
Fresnillo plc (“Fresnillo”) and MAG, respectively) for the second
quarter (“Q2”) ended June 30, 2024.
Q2 Highlights
- Expanding
throughput: Juanicipio processed 336,593 tonnes of ore in
Q2 continuing to build on daily milling rates. Consistent with Q1,
all ore was processed at the Juanicipio plant in Q2.
- Continued
strong grades: The average silver head grade for the
quarter was 498 grams per tonne (“g/t”), surpassing the previous
quarter and reaffirming the high-grade nature of the Juanicipio
deposit which continues to demonstrate its significant long-term
potential.
- Enhanced
recovery: Metal recovery rates improved compared to the
previous quarter showcasing the ongoing operational enhancements
and circuit optimization efforts at Juanicipio.
- Commercial
pyrite production: Commenced commercial production of
pyrite concentrate during the quarter delivering incremental silver
and gold recovery.
- Robust
production: Juanicipio exceeded expectations with
preliminary production estimates of 5.0 million silver ounces and
9,267 gold ounces.
- Grade
guidance increased: With the continued operational
outperformance in the first half of 2024, grade guidance has been
revised upwards. Silver head grade at Juanicipio is expected to be
between 420g/t and 460g/t for 2024 (previously 380g/t to 420g/t).
Comprehensive financial and operational results along with a
definitive guidance update are expected to be released on August 2,
2024.
Compared to Q2 2023, Juanicipio's performance
significantly improved reflecting the progress made since the
commencement of mining ramp-up and plant commissioning in February
2023. Importantly performance in Q2 was achieved solely at the
Juanicipio plant, without incremental processing at the Fresnillo
and Saucito plants.
Comparative production highlights (100%
basis):
|
|
|
|
|
|
|
|
|
|
|
|
Q2 2024 |
Q1 2024 |
% Chg |
Q2 2023^ |
% Chg |
H1 2024 |
H1 2023^ |
% Chg |
Tonnes processed |
t |
336,593 |
325,684 |
3.3 |
% |
377,718 |
-10.9 |
% |
662,276 |
599,741 |
10.4 |
% |
|
|
|
|
|
|
|
|
|
|
Head grades |
|
|
|
|
|
|
|
|
|
Silver |
g/t |
498 |
476 |
4.6 |
% |
498 |
0.0 |
% |
488 |
448 |
8.9 |
% |
Gold |
g/t |
1.2 |
1.32 |
-9.1 |
% |
1.25 |
-4.0 |
% |
1.26 |
1.18 |
6.8 |
% |
Lead |
% |
1.56 |
1.35 |
15.6 |
% |
1.05 |
48.6 |
% |
1.45 |
0.94 |
54.3 |
% |
Zinc |
% |
2.99 |
2.49 |
20.1 |
% |
1.92 |
55.7 |
% |
2.74 |
1.74 |
57.5 |
% |
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|
|
|
|
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|
|
Production |
|
|
|
|
|
|
|
|
|
Silver |
koz |
4,984 |
4,445 |
12.1 |
% |
5,207 |
-4.3 |
% |
9,429 |
7,377 |
27.8 |
% |
Gold |
oz |
9,259 |
9,927 |
-6.7 |
% |
10,573 |
-12.4 |
% |
19,186 |
16,543 |
16.0 |
% |
Lead1 |
klb |
9,956 |
8,704 |
14.4 |
% |
7,500 |
32.8 |
% |
18,664 |
10,700 |
74.4 |
% |
Zinc2 |
klb |
18,850 |
14,653 |
28.6 |
% |
11,944 |
57.8 |
% |
33,502 |
16,964 |
97.5 |
% |
^ Includes material processed at the Fresnillo, Saucito and
Juanicipio beneficiation plants.1 Lead recovered to lead
concentrate.2 Zinc recovered to zinc concentrate.
“The second quarter continued to validate the
strength and quality of our operations at Juanicipio,” said George
Paspalas, MAG Silver’s President and CEO. “We achieved solid
milling rates, improvements in recovery and exceptional head grades
in a very supportive commodity price environment. With the robust
foundation of the first half of 2024, increased silver grade
guidance and ongoing project optimization we remain confident we
are well positioned for continued growth and long-term
success.”
Qualified Person: All
scientific or technical information in this press release is based
upon information prepared by or under the supervision of, or has
been approved by Gary Methven, P.Eng., who is a “Qualified Person”
for purposes of National Instrument 43-101, Standards of Disclosure
for Mineral Projects (“National Instrument 43-101” or “NI 43-101”).
Mr. Methven is not independent as he is Vice President, Technical
Services of MAG.
About MAG Silver Corp.
(www.magsilver.com)
MAG Silver Corp. is a growth-oriented Canadian
mining and exploration company focused on advancing high-grade,
district scale precious metals projects in the Americas. MAG is a
top-tier primary silver mining company through its (44%) joint
venture interest in the 4,000 tonnes per day Juanicipio Mine,
operated by Fresnillo plc (56%). The mine is located in the
Fresnillo Silver Trend in Mexico, the world's premier silver mining
camp, where in addition to mining and processing operations, an
expanded exploration program is in place targeting multiple highly
prospective targets. MAG is also executing multi-phase exploration
programs at the 100% earn-in Deer Trail Project in Utah and the
100% owned Larder Project, located in the historically prolific
Abitibi region of Canada.
Neither the Toronto Stock Exchange nor the NYSE
American has reviewed or accepted responsibility for the accuracy
or adequacy of this press release, which has been prepared by
management.
This release includes certain statements that
may be deemed to be “forward-looking statements” within the meaning
of the US Private Securities Litigation Reform Act of 1995 or
“forward-looking information” within the meaning of applicable
Canadian securities legislation (collectively, “forward-looking
statements”). All statements in this release, other than statements
of historical facts are forward looking statements, including
statements that address our expectations with respect to the timing
and success of the full-scale ramp up of milling activities,
provisional estimates relating to production at Juanicipio for Q2
2024, processing rates of development materials, future mineral
production, and events or developments. Forward-looking statements
are often, but not always, identified by the use of words such as
"seek", "anticipate", "plan", "continue", "estimate", "expect",
"may", "will", "project", "predict", "potential", "targeting",
"intend", "could", "might", "should", "believe" and similar
expressions. These statements involve known and unknown risks,
uncertainties and other factors that may cause actual results or
events to differ materially from those anticipated in such
forward-looking statements. Although MAG believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in the forward-looking statements. Factors
that could cause actual results to differ materially from those in
the forward-looking statements identified herein include, but are
not limited to, a subsequent change in the Company’s approach to
executive compensation from that approach approved by Shareholders,
failure of the Company to receive approval from the Toronto Stock
Exchange of the renewal of the unallocated entitlements under the
Plans, changes in applicable laws, continued availability of
capital and financing, and general economic, market or business
conditions, political risk, currency risk and capital cost
inflation. In addition, forward-looking statements are subject
to various risks, including those risks disclosed in MAG Silver’s
filings with the Securities Exchange Commission (the “SEC”) and
Canadian securities regulators. All forward-looking statements
contained herein are made as at the date hereof and MAG Silver
undertakes no obligation to update the forward-looking statements
contained herein. There is no certainty that any forward-looking
statement will come to pass, and investors should not place undue
reliance upon forward-looking statements.
Please Note: Investors are urged to consider
closely the disclosures in MAG's annual and
quarterly reports and other public filings, accessible through
the internet at www.sedar.com and www.sec.gov.
For further information on behalf of MAG Silver Corp.
Contact Fausto Di Trapani, Chief Financial Officer
Phone: (604) 630-1399
Website:www.magsilver.com
Toll Free:(866) 630-1399
Email: info@magsilver.com
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