Gatos Silver Reports Record Production in Q2 2024

By Bobby Samwell • Wednesday, July 10 15:13 • Permanent Link

Gatos Silver, Inc. has reported its production results for the quarter and six months ended June 30, 2024, at its 70%-owned Cerro Los Gatos ("CLG") mine in Mexico. The company's CEO, Dale Andres, highlighted the strong operational performance in the second quarter of 2024, with record zinc production and the sixth consecutive quarterly record for mill throughput.

Key Production Metrics: Tonnes milled (dmt) in Q2 2024: 294,869, compared to 265,342 in Q2 2023 Average tonnes milled per day in Q2 2024: 3,240, up 11% from Q2 2023 Silver equivalent production for the quarter: 3.88 million ounces, an 18% increase from Q2 2023 Silver production: 2.30 million ounces, a 15% increase from Q2 2023 Zinc production: 19.1 million pounds, a 29% increase from Q2 2023 Lead production: 12.0 million pounds, a 24% increase from Q2 2023 * Gold production: 1.36 thousand ounces, a 14% increase from Q2 2023

Recoveries: Silver recovery in both lead and zinc concentrates: 88.9% in Q2 2024, up from 88.6% in Q2 2023 Zinc recovery in zinc concentrate: 64.6% in Q2 2024, up from 63.5% in Q2 2023 Lead recovery in lead concentrate: 89.5% in Q2 2024, up from 89.1% in Q2 2023 Gold recovery in lead concentrate: 48.8% in Q2 2024, down from 53.9% in Q2 2023

Financial Position: * As of June 30, 2024, the company and the Los Gatos joint venture ("LGJV") reported cash and cash equivalents of $82.5 million and $45.5 million, respectively.

Future Outlook: The company expects both silver equivalent and silver production to be in the top half of the previously announced guidance ranges for the full year in 2024. Gatos Silver is focused on maintaining and gradually increasing daily mine production rates through optimization and improvement projects across maintenance and mine operation functions over the next 6 to 12 months.

Gatos Silver is a silver-dominant exploration, development, and production company primarily focused on operating the Cerro Los Gatos mine and the growth and development of the Los Gatos district in southern Chihuahua state, Mexico. The market has reacted to these announcements by moving the company's shares 21.6% to a price of $13.56. Check out the company's full 8-K submission here.

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