Business
Americas Gold and Silver Pours First Gold at Relief Canyon, Provides 2-Year Outlook and 2019 Operating Results
TORONTO, Feb. 18, 2020 /CNW/ -- Americas Gold and Silver Corporation (TSX: USA) (NYSE American: USAS) ("Americas" or the "Company"), a growing North American pr
About this update from Americas Gold And Silver Corporation
[{"type":"text","content":" TORONTO, Feb. 18, 2020 /CNW/ -- Americas Gold and Silver Corporation (TSX: USA) (NYSE American: USAS) (\"Americas\" or the \"Company\"), a growing North American precious metals producer, is pleased to announce that Relief Canyon poured its first gold over the weekend and provide the Company's production outlook for 2020 and 2021 as well as operating results for 2019. As previously released, the Galena Complex is not included in any projections as the focus is on the recapitalization plan. All amounts are expressed in US dollars unless otherwise noted. Highlights The Company successfully poured first gold at its Relief Canyon gold mine and has completed initial construction within the estimated budget of $28 to $30 million. Relief Canyon ramp up is proceeding well with approximately 200,000 tonnes stacked on the leach pad. The mine is now running 24-hours a day which will enable the operation to reach design capacity of 14,500 tonnes per day. Precious metals production is expected to significantly increase over the next two years as production ramps up at Relief Canyon coupled with an anticipated increase in silver production from the Cosalá Operations starting in the second half of 2020. The Company's gold equivalent1 production is expected to increase from approximately 14,000 ounces in 2019 to a range of 60,000 to 70,000 ounces in 2020 and 90,000 to 110,000 ounces in 2021, greater than a 300% and 500% increase, respectively, in gold equivalent production compared with 2019. The two-year outlook does not include production from the Galena Complex following the announcement of the recapitalization plan for 2020. Production from the Cosalá Operations increased year-over-year across key metrics including ore processed, silver production, zinc production and lead production. Silver production increased by 28% to 572,036 silver ounces in 2019 from 448,150 silver ounces in 2018. Cash costs2 and all-in sustaining costs2 (\"AISC\") were negatively impacted by lower zinc and lead prices as well as increased concentrate treatment charges. Recapitalization of the Galena Complex began in mid-October 2019 with the focus over the next 18 months on mine development, new equipment purchases and exploration to define and expand silver resources. As a result, the Company has suspended disclosure ...