Silver Producer First Majestic’s Total Production Reaches a New Company Record In Q3 2018
First Majestic (NYSE: AG) is a mining company focused on silver production in Mexico and is aggressively pursuing the development of its existing mineral property assets. The Company presently owns and operates the San Dimas Silver/Gold Mine, the Santa Elena Silver/Gold Mine, the La Encantada Silver Mine, the La Parrilla Silver Mine, the San Martin Silver Mine and the Del Toro Silver Mine. Production from these mines are projected to be between 12.0 to 13.2 million silver ounces or 20.5 to 22.6 million silver equivalent ounces in 2018.
First Majestic Silver Corp. announced recently that total production in Q3 2018 reached a new Company record of 6.7 million silver equivalent ounces. Total production consisted of 3.5 million ounces of silver, 35,260 ounces of gold, 4.4 million pounds of lead and 1.2 million pounds of zinc. Silver production for the first three quarters of 2018 totaled 8.4 million ounces, or 15.8 million silver equivalent ounces, remaining in-line with the 2018 production guidance of between 12.0 to 13.2 million silver ounces or 20.5 to 22.6 million silver equivalent ounces.
Keith Neumeyer, President and CEO stated, “We had a very strong quarter with total production achieving a new record of 6.7 million silver equivalent ounces representing a 31% increase compared to the prior quarter. The record quarter was primarily due to the Company receiving a full quarter of production from the San Dimas operation, along with increases in consolidated silver and gold grades of 19% and 35%, respectively. In fact, five of our six mines recorded higher production levels as a result of these significant grade improvements. However, due to the prolonged weakness in the silver price we have implemented a 20% cost reduction program across all areas of the business which is expected to be fully realized by the first quarter of 2019.”
The Silver Institute states the following regarding silver use in industry:
From electrical switches and solar panels to chemical-producing catalysts, silver is an essential component in many industries. Its unique properties make it nearly impossible to substitute and its uses span a wide range of applications.
Almost every computer, mobile phone, automobile, and appliance contains silver. It is the perfect substance for coating electrical contacts – like those in printed circuit boards – because of its high electrical conductivity and durability. Painting silver ink on any non-metal surface provides an electrical pathway, eliminating the need for wires. For example, Radio Frequency Identification Device (RFID) chips are replacing bar codes on many items in supermarkets and supply chain inventories. The chips’ paper-thin antennas consist of sprayed-on silver.