TORONTO, July 12, 2018 /CNW/ -
Excellon Resources Inc. (TSX:EXN, EXN.WT and EXN.WT.A;
OTC:EXLLF) ("Excellon" or the "Company") is pleased to
announce second quarter 2018 production results from the Platosa
Mine in Durango, Mexico.
Q2 2018 Production (compared to Q2 2017)
- Silver equivalent ("AgEq") production increased 120% to
637,205 AgEq oz
(Q2 2017 – 289,566 AgEq oz)
-
- Silver production increased 73% to 277,701 oz (Q2 2017 –
160,820 oz)
- Lead production increased 117% to 1.8 million lb (Q2 2017 –
0.9 million lb)
- Zinc production increased 152% to 2.8 million lb (Q2 2017 –
1.1 million lb)
- All-in sustaining cost ("AISC") of less than $10 per payable silver ounce achieved for the
quarter
"We realized further improvements at the Platosa Mine and
Miguel Auza concentrator during
the second quarter, including the most tonnes processed at
Miguel Auza since the Company
acquired the mill in 2009," stated Brendan
Cahill, President and CEO. "We also achieved AISC of
less than $10 per payable silver
ounce for the quarter. While there is more work to do to increase
production, we're making strong progress. Most importantly, we
now have a stable, cash-flowing operation at Platosa that provides
a platform for our greater exploration and growth goals."
Productions Results
|
Q2
2018
|
Q2
2017
|
6-mos
2018
|
6-mos
2017
|
Tonnes
Mined
|
16,146
|
10,840
|
29,930
|
22,904
|
Tonnes of ore
processed
Tonnes of
historical stockpile processed
|
16,580
6,291
|
11,051
2,826
|
29,601
12,155
|
22,087
3,723
|
Tonnes
Milled
|
22,872
|
13,877
|
41,756
|
25,810
|
Ore
grades
|
Silver
(g/t)
|
507
|
451
|
478
|
390
|
Lead
(%)
|
5.67
|
4.00
|
5.27
|
3.51
|
Zinc
(%)
|
8.38
|
5.29
|
8.32
|
4.82
|
Historical
stockpile grades
|
Silver
(g/t)
|
172
|
171
|
174
|
172
|
Lead
(%)
|
1.76
|
1.46
|
1.68
|
1.40
|
Zinc
(%)
|
2.38
|
1.46
|
2.39
|
1.40
|
Blended head
grades
|
Silver
(g/t)
|
415
|
394
|
390
|
358
|
Lead
(%)
|
4.59
|
3.48
|
4.23
|
3.21
|
Zinc
(%)
|
6.73
|
4.51
|
6.59
|
4.33
|
Recoveries
|
Silver
(%)
|
89.6
|
89.8
|
89.2
|
89.8
|
Lead
(%)
|
80.2
|
80.4
|
80.8
|
80.8
|
Zinc
(%)
|
82.2
|
80.7
|
82.9
|
81.3
|
Metal
Production*
|
Silver
(oz)
|
277,701
|
160,820
|
472,163
|
268,938
|
Lead
(lb)
|
1,847,967
|
850,111
|
3,123,385
|
1,460,144
|
Zinc
(lb)
|
2,810,564
|
1,116,367
|
5,064,014
|
1,989,343
|
AgEq
(oz)**
|
637,205
|
289,566
|
1,119,284
|
494,880
|
|
|
*
|
Subject to
adjustment following settlement with concentrate
purchaser.
|
**
|
AgEq ounces
established using average realized metal prices during the period
indicated applied to the recovered metal content of
concentrates.
|
Production during Q2 2018 improved as multiple, high-grade ore
faces were accessed in the Rodilla, Pierna and 623 mantos. In June,
two bolting units were commissioned underground to expedite ground
support installation as ground conditions have been and remain, at
this point, a primary area of focus to support production
increases.
During the quarter, the Company continued to process low-grade
historical stockpiles and sump material, with minimal associated
mining cost. This mineralized material is blended with mined ore to
improve payability and recoveries (particularly for lead and zinc),
as well as being cash flow positive.
The Company is finalizing an updated mineral resource estimate
and technical report, which has taken longer than originally
anticipated. The technical report is an ordinary course update to
the last mineral resource estimate as of December 31, 2014. Drilling recommenced at
Platosa in mid-2016 and this updated mineral resource estimate will
include drilling up to March 31,
2018. As referenced in a press release dated May 31, 2018, the Company identified additional
optimizations to the resource model and mine plan, which have now
been incorporated.
Qualified Persons
Mr. Denis Flood, P. Eng.,
Vice-President Technical Services, has acted as the Qualified
Person, as defined in NI 43-101, with respect to the disclosure of
the scientific and technical information relating to production
results contained in this press release.
About Excellon
Excellon's 100%-owned Platosa Mine in Durango has been
Mexico's highest-grade silver mine
since production commenced in 2005. The Company is focused on
optimizing the Platosa Mine's cost and production profile,
discovering further high-grade silver and carbonate replacement
deposit (CRD) mineralization on the Platosa Project and epithermal
silver mineralization on the Miguel Auza Property and capitalizing
on the opportunity in current market conditions to acquire
undervalued projects in the Americas.
Additional details on the La Platosa Mine and the rest of
Excellon's exploration properties are available at
www.excellonresources.com.
Forward-Looking Statements
The Toronto Stock Exchange has not reviewed and does not
accept responsibility for the adequacy or accuracy of the content
of this Press Release, which has been prepared by management. This
press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act and Section 27E of the
Exchange Act. Such statements include, without limitation,
statements regarding the future results of operations, performance
and achievements of the Company, including potential property
acquisitions, the timing, content, cost and results of proposed
work programs, the discovery and delineation of mineral
deposits/resources/reserves, geological interpretations, proposed
production rates, potential mineral recovery processes and rates,
business and financing plans, business trends and future operating
revenues. Although the Company believes that such statements are
reasonable, it can give no assurance that such expectations will
prove to be correct. Forward-looking statements are typically
identified by words such as: believe, expect, anticipate, intend,
estimate, postulate and similar expressions, or are those, which,
by their nature, refer to future events. The Company cautions
investors that any forward-looking statements by the Company are
not guarantees of future results or performance, and that actual
results may differ materially from those in forward looking
statements as a result of various factors, including, but not
limited to, variations in the nature, quality and quantity of any
mineral deposits that may be located, significant downward
variations in the market price of any minerals produced
[particularly silver], the Company's inability to obtain any
necessary permits, consents or authorizations required for its
activities, to produce minerals from its properties successfully or
profitably, to continue its projected growth, to raise the
necessary capital or to be fully able to implement its business
strategies. All of the Company's public disclosure filings may be
accessed via www.sedar.com and readers are urged to review
these materials, including the technical reports filed with respect
to the Company's mineral properties, and particularly the
July 9, 2015 NI 43-101-compliant
technical report prepared by Roscoe Postle Associates Inc. with
respect to the Platosa Property. This press release is not, and is
not to be construed in any way as, an offer to buy or sell
securities in the United States.
SOURCE Excellon Resources Inc.