VANCOUVER (miningweekly.com) – TSX-listed Great Panther Resources produced 597 057 oz of silver equivalent (includes gold) during the third quarter, an increase of 34% compared with a year earlier, the firm said on Tuesday.
Silver production from the company's two Mexican mines increased 41% year-on year, to 398 811 oz, which was a new record for the company.
Gold production also set a new high, at 1 951 oz.
So far this year, metal production from both operations, at 1,58-million silver-equivalent ounces, is ahead of plan and Great Panther remains on target to meet or exceed its annual goal of 2,07-million silver-equivalent ounces, the company said.
Great Panther has drawn up a new operational strategy, that is expected to boost the firm's yearly production to about 3,8-million silver-equivalent ounces by 2012.
“Increased throughput and operating efficiencies should allow for further increases beyond this level such that production upside will remain,” the company added.
The new plan calls for output of 2,5-million silver-equivalent ounces next year, three-million ounces in 2011, ramping up to 3,8-million a year later.
Operating costs are anticipated to continue to decrease from existing levels towards $4/oz of silver net of by-product credits.
The new strategy will require capital expenditure of about $22-million over the next three years, plus some $14-million in exploration funding.
“It is anticipated that the vast majority of this will be funded internally from cash flows,” Great Panther said.