TORONTO (miningweekly.com) – Vancouver-based Minefinders Corp produced 2 700 oz of gold and 50 000 oz of silver in January at its new Dolores mine, in Mexico, the firm reported on Monday.

Further, by mid-February, production had already topped January's performance, and Minefinders expects the rate of production of gold and silver “to continue to escalate rapidly”.

The company expects to achieve commercial production in the second quarter of this year at Dolores, which produced its first gold and silver dore in November.

Costs are continuing to decline, and the firm expects that cash costs will decrease to the life-of-mine average during the second quarter.

The grades in the ore stacked to the leach pad and solution grade to the pond also continue to increase, as mining heads into the mineral deposit and tons under leach increase, Minefinders reported.

So far this month, the crushing and stacking rate has averaged approximately 16 500 t/d, compared with approximately 13 000 t/d processed in January.

The firm hosted an official “inauguration” of the mine on February 17 and 18, which was attended by  representatives from the Mexican and Canadian governments, community leaders and members and company shareholders and employees.

The Dolores mine is expected to produce more than 1,7-million ounces of gold and 64-million ounces of silver over a more than 15-year mine life.

To subscribe to Mining Weekly's print magazine email subscriptions@creamermedia.co.za or buy now.