TORONTO (miningweekly.com) – Mexico-focused Great Panther Silver has increased third-quarter silver-equivalent output by 21%, reporting that record gold output placed it on track to top its 2015 production guidance.

The TSX- and NYSE MKT-listed miner reported silver-equivalent output of 1.08-million ounces for the three months ended September 30, compared with 890 641 oz in the comparable period a year earlier.

Record gold output of 6 079 oz, up 45% year-on-year, and a 4% increase in silver output to 586 918 oz, were ascribable to improved grades at the San Ignacio and the Topia mines. The improved grades also implied a continued strong performance on cash cost and all-in sustaining costs (AISC), the company advised on Wednesday.

At the company’s cornerstone Guanajuato mine complex (GMC), total metal output during the period was 797 119 silver-equivalent ounces, representing an increase of 25%, compared with the third quarter of 2014. The strong increase in production reflected continued growth at San Ignacio, better grade control procedures and higher gold grades.

San Ignacio accounted for 52% of the overall metal output at GMC in the third quarter and 65% of the gold output, compared with 31% and 45% respectively in the second quarter of 2015. The increase in the proportion of production from San Ignacio was achieved through increased output from the wider South Extension zones, which also contributed to higher gold grades. As a result, gold output increased significantly, yielding a new quarterly record for GMC.

Topia achieved a record 283 177 silver-equivalent ounces in metal output, reflecting an increase of 11% compared with the third quarter of 2014. This was achieved on the back of higher grades encountered at various Topia mines, higher recoveries and higher grades of bought ore.

Great Panther expected to beat its production guidance of 3.8-million to 3.9-million silver-equivalent ounces, which was already increased by 8% last quarter, and to achieve a growth rate greater than 20% in full-year output. AISC was expected to range between $15 and $17 a silver-equivalent ounce.

The company’s TSX-listed stock rose 10% on Wednesday, closing at C$0.77 apiece.