SilverCrest Mines says Santa Elena mine expansion on track for La Joya by Q4
SilverCrest Mines, a Mexican precious metals producer, has reaffirmed the start date for the Santa Elena mine expansion which plans to double its metal production. Detailed engineering for the facility should reach completion by the first quarter of 2013. SilverCrest stated its target to begin engineering by January 2014 with an initial production rate of 1,000 tonnes per day.
Additionally, it anticipates a resource update for its La Joya exploration-stage property in Durango, Mexico by the fourth quarter of 2012. Results to date from the drilling at La Joya suggest mineralization containing tungsten, tin, lead and zinc that may be by-products to the dominant silver-copper-gold mineralization.
President J. Scott Drever reiterated that most importantly the work receives funding largely from operational cash flow of roughly $2.5 million each month; allowing the treasury of $35 million to go towards larger capital items. In return, the net profits of the Santa Elena mine jumped from the amount of silver and gold sold, amounting to $6.3 million with a profit of 7 cents per share from a loss of 4 cents in the first quarter of 2011.