NYSE-MKT: ASM
TSX-V: ASM
FSE: GV6
VANCOUVER, Oct. 17, 2016 /CNW/ - Avino Silver & Gold Mines Ltd. (ASM: TSX-V,
ASM: NYSE–MKT, GV6: FSE, "Avino" or "the Company") is pleased
to report its third quarter 2016 production results from its Avino
property near Durango, Mexico.
Consolidated Production Highlights for Third Quarter 2016
(Compared to Third Quarter 2015)
- Silver production increased by 3% to 410,908 oz
- Gold production increased by 10% to 1,813 oz
- Copper production decreased by 22% to 1,045,091 Lbs
- Silver equivalent production decreased by 16% to 649,831
oz*
* Metal Production is expressed in terms of silver equivalent
ounces, (oz Ag Eq.), the formula for which depends on the gold and
silver metal prices used in each year and hence are only
indicative.
We are pleased to report another quarter of consistent
production from our operations in Mexico. With higher projected production in
the fourth quarter, we are on pace to meet our internal annual
budgeted production targets, despite the challenges faced in the
second quarter. Although our overall output was down slightly this
quarter, we are encouraged that the decrease was mainly the result
of lower recoveries at the Avino Mine where mining activities took
place in a new zone. Moving forward, we expect recoveries to
improve as we optimize the plant for material from this new zone.
Advancing our underground operations into new areas is fundamental
to our goal of expanding both mining and processing operations.
Further to this goal, we have commenced exploration drilling in the
gap zone between ET and San Luis
located within the Avino mine which we expect could significantly
add to our current resource block at the Avino Mine.
-David Wolfin,
President, CEO & Director, Avino
Silver & Gold Mines Ltd.
Consolidated Third Quarter 2016 Production Highlights (Avino
Mine plus San Gonzalo Mine)
Comparative production results from the third quarter 2016 and
the third quarter 2015 are presented below:
|
Q3
2016
|
Q3
2015
|
%
Change
|
YTD
2016
|
Total Silver Produced
(oz) calculated
|
410,908
|
399,836
|
3%
|
1,192,704
|
Total Gold Produced
(oz) calculated
|
1,813
|
1,644
|
10%
|
4,538
|
Total Copper Produced
(Lbs) calculated
|
1,045,091
|
1,344,174
|
-22%
|
3,450,940
|
Total Silver Eq.
Produced (oz) calculated*
|
649,831
|
770,004
|
-16%
|
1,986,965
|
* Metal Production is expressed in terms of silver equivalent
ounces, (oz Ag Eq.), the formula for which depends on the gold and
silver metal prices used in each year and hence are only
indicative.
Avino Mine Third Quarter 2016 Production Highlights
Comparative figures for the third quarter 2016 and the third
quarter 2015 for the Avino Mine are as follows:
|
Q3
2016
|
Q3
2015
|
Quarterly
Change
%
|
YTD
2016
|
Notes
|
Tonnes
Mined
|
116,154
|
105,674
|
10%
|
347,015
|
1
|
Underground
Advancement (m)
|
866
|
1,477
|
-41%
|
3,249
|
1
|
Mill Availability
(%)
|
96
|
97
|
-1%
|
94
|
4
|
Total Mill Feed (dry
tonnes)
|
111,042
|
106,589
|
4%
|
328,223
|
4
|
Feed Grade Silver
(g/t)
|
71
|
65
|
10%
|
68
|
3
|
Feed Grade Gold
(g/t)
|
0.47
|
0.23
|
105%
|
0.334
|
3
|
Feed Grade Copper
(%)
|
0.48
|
0.65
|
-27%
|
0.534
|
3
|
Recovery Silver
(%)
|
85%
|
88%
|
-3%
|
85%
|
6
|
Recovery Gold
(%)
|
58%
|
81%
|
-29%
|
61%
|
6
|
Recovery Copper
(%)
|
89%
|
87%
|
2%
|
89%
|
6
|
Copper Concentrate
(dry tonnes)
|
2,362
|
2,408
|
-2%
|
7,296
|
5
|
Copper Concentrate
Grade Silver (kg/t)
|
2.83
|
2.53
|
12%
|
2.60
|
5
|
Copper Concentrate
Grade Gold (g/t)
|
12.81
|
8.19
|
56%
|
9.17
|
5
|
Copper Concentrate
Grade Copper (%)
|
20.07
|
25.3
|
-21%
|
21.45
|
5
|
Total Silver Produced
(kg)
|
6,681
|
6,092
|
10%
|
18,968
|
2
|
Total Gold Produced
(g)
|
30,250
|
19,718
|
53%
|
66,921
|
2
|
Total Copper Produced
(Kg)
|
474,046
|
609,708
|
-22%
|
1,565,322
|
2
|
Total Silver Produced
(oz) calculated
|
214,785
|
195,862
|
10%
|
609,836
|
2
|
Total Gold Produced
(oz) calculated
|
973
|
634
|
53%
|
2,152
|
2
|
Total Copper Produced
(Lbs) calculated
|
1,045,091
|
1,344,174
|
-22%
|
3,450,940
|
2
|
Total Silver
Equivalent Produced (oz)
calculated*
|
396,397
|
493,455
|
-20%
|
1,226,105
|
2
|
* Metal Production is expressed in terms of silver
equivalent ounces, (oz Ag Eq.), the formula for which depends on
the gold and silver metal prices used in each year and hence are
only indicative.
Third Quarter 2016 Highlights
- There was a 10% increase in tonnes mined during the quarter.
However, underground development metres decreased by 41% due to
excess water in the ramp leading down to levels 15.5 and 16. An
extra 6" pipeline has been installed to surface, meaning the
additional water can now be pumped out so the lower workings will
be accessible again
- Gold and silver production increased by 53% and 10%,
respectively. Copper production was down 22%, resulting in overall
silver equivalent ounces being down 20% for the quarter.
- The lower production is a reflection of the grade and
recoveries of the material being processed. The copper grade is
down 27% whereas the gold and silver grades are up 105% and 10%
respectively. This lower production is due to mining in a new
mineralized zone located on the hanging wall side of the Avino vein
beyond the fault.
- Tonnage processed during the quarter increased by 4% despite
plant availability being down by 1%.
- The increased tonnage processed, combined with the lower copper
feed grade, resulted in 2% fewer tonnes of concentrate produced.
The copper grade of the concentrate decreased by 21%, whereas the
silver and gold grades increased by 12% and 56%, respectively.
- Since mining took place in a new mineralized zone, which is
partially oxidized near the fault, the gold and silver recoveries
have decreased by 29% and 3%, respectively, compared with the
corresponding period last year when ET vein material was processed.
More metallurgical testing will be carried out on this new hanging
wall mineralized zone, with the aim of improving the
recoveries.
San Gonzalo Mine Third Quarter 2016 Production
Highlights
Comparative figures for the third quarter 2016 and the third
quarter 2015 for the San Gonzalo mine are as follows:
|
Q3
2016
|
Q3
2015
|
Quarterly
Change
%
|
YTD
2016
|
Notes
|
Tonnes
Mined
|
30,050
|
23,882
|
26%
|
79,265
|
1
|
Underground
Advancement (m)
|
1,089
|
1,164
|
-6%
|
3,371
|
1
|
Mill Availability
(%)
|
94
|
84
|
12%
|
95
|
3
|
Total Mill Feed (dry
tonnes)
|
26,989
|
23,901
|
13%
|
81,537
|
3
|
Feed Grade Silver
(g/t)
|
272
|
323
|
-16%
|
268
|
2, 4
|
Feed Grade Gold
(g/t)
|
1.30
|
1.81
|
-28%
|
1.29
|
2, 4
|
Recovery Silver
(%)
|
83%
|
82%
|
1%
|
83%
|
5
|
Recovery Gold
(%)
|
75%
|
73%
|
2%
|
71%
|
5
|
Bulk Concentrate (dry
tonnes)
|
923
|
899
|
3%
|
2,985
|
|
Bulk Concentrate
Grade Silver (kg/t)
|
6.61
|
7.06
|
-6%
|
6.074
|
4
|
Bulk Concentrate
Grade Gold (g/t)
|
28.34
|
34.95
|
-19%
|
24.87
|
4
|
Total Silver Produced
(kg)
|
6,100
|
6,344
|
-4%
|
18,129
|
2
|
Total Gold Produced
(g)
|
26,152
|
31,407
|
-17%
|
74,219
|
2
|
Total Silver Produced
(oz) calculated
|
196,123
|
203,974
|
-4%
|
582,868
|
2
|
Total Gold Produced
(oz) calculated
|
841
|
1,010
|
-17%
|
2,386
|
2
|
Total Silver
Equivalent Produced (oz)
calculated*
|
253,434
|
276,549
|
-8%
|
760,860
|
2
|
* Metal Production is expressed in terms of silver equivalent
ounces, (oz Ag Eq.), the formula for which depends on the gold and
silver metal prices used in each year and hence are only
indicative.
Third Quarter 2016 Highlights
- Tonnage mined increased by 26%, whereas the underground
development in metres decreased by 6% due to the reallocation of
manpower as there were fewer accessible areas available for
underground development during the quarter.
- Silver and gold production decreased by 4% and 17%,
respectively, resulting in 8% fewer silver equivalent ounces for
the quarter compared with the comparable quarter of the previous
year. The lower production was mainly due to lower feed grades
being processed, which included marginal material from stockpile;
feed grades for silver and gold decreased by 16% and 28%
respectively.
- Tonnage processed increased by 13% on account of a 12% increase
in plant availability compared with the comparable quarter of the
previous year.
- The lower feed grades resulted in lower gold and silver grades
in the bulk concentrate, which decreased by 19% and 6%,
respectively.
- Silver and gold recoveries improved by 1% and 2%, respectively.
These results do not include the production of a low quality zinc
concentrate with gold values. More testing and marketing of this
concentrate is required before including it as a saleable
product.
Quality Assurance/Quality Control
Mill assays are performed at the Avino property's on-site lab.
Check samples are sent to Inspectorate Labs in Reno, Nevada for verification. All concentrate
shipments are assayed by one of the following independent third
party labs: AHK, LSI, Alex
Stewart, or Inspectorate in the UK.
Qualified Person(s)
Avino's Mexican projects are under the supervision of
Chris Sampson, P.Eng, Avino
consultant, and Jasman Yee P.Eng,
Avino director, who are both qualified persons within the context
of National Instrument 43-101. Both have reviewed and approved the
technical data in this news release.
About Avino
Avino is a low-cost primary silver producer. Avino's mission is
to create shareholder value through profitable organic growth at
the Avino property near the city of Durango, Mexico, and the Bralorne property in
southwestern British Columbia,
Canada. We are committed to managing all business activities
in an environmentally responsible and cost-effective manner while
contributing to the well-being of the communities in which we
operate.
For more information, please visit Avino's website at
www.avino.com
ON BEHALF OF THE BOARD
"David Wolfin"
________________________________
David Wolfin
President & CEO
Avino Silver & Gold Mines
Ltd.
Under National Instrument 43-101, the Company is required to
disclose that it has not based its production decisions on NI
43-101-compliant reserve estimates, preliminary economic
assessments, or feasibility studies, and historically production
decisions made without such reports have increased uncertainty and
higher technical and economic risks of failure. These risks
include, among others, areas that are analyzed in more detail in a
feasibility study or preliminary economic assessment, such as the
application of economic analysis to mineral resources, more
detailed metallurgical and other specialized studies in areas such
as mining and recovery methods, market analysis, and environmental,
social, and community impacts. The Company's decision to place a
mine into operation at levels intended by management, expand a
mine, make other production-related decisions, or otherwise carry
out mining and processing operations is largely based on internal
non-public Company data, and on reports based on exploration and
mining work by the Company and by geologists and engineers engaged
by the Company. The results of this work are evident in the
Company's discovery of the San Gonzalo resource, and in the
Company's record of mineral production and financial returns since
operations at levels intended by management commenced at the San
Gonzalo Mine in 2012. This approach was applied for the advancement
of the Avino Mine project, for which similar risks and
uncertainties were identified.
Safe Harbor Statement - This news release contains
"forward-looking information" and "forward-looking statements"
(together, the "forward looking statements") within the meaning of
applicable securities laws and the United States Private Securities
Litigation Reform Act of 1995, including our belief as to the
extent and timing of various studies including the PEA, exploration
results, the potential tonnage, grades and content of deposits, and
timing, establishment and extent of resource estimates. These
forward-looking statements are made as of the date of this news
release and the dates of technical reports, as applicable. Readers
are cautioned not to place undue reliance on forward-looking
statements, as there can be no assurance that the future
circumstances, outcomes or results anticipated in or implied by
such forward-looking statements will occur or that plans,
intentions or expectations upon which the forward-looking
statements are based will occur. While we have based these
forward-looking statements on our expectations about future events
as at the date that such statements were prepared, the statements
are not a guarantee that such future events will occur and are
subject to risks, uncertainties, assumptions and other factors
which could cause events or outcomes to differ materially from
those expressed or implied by such forward-looking
statements.
Such factors and assumptions include, among others, the
effects of general economic conditions, the price of gold, silver
and copper, changing foreign exchange rates and actions by
government authorities, uncertainties associated with legal
proceedings and negotiations and misjudgments in the course of
preparing forward-looking information. In addition, there are known
and unknown risk factors which could cause our actual results,
performance or achievements to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Known risk factors include risks
associated with project development; the need for additional
financing; operational risks associated with mining and mineral
processing; fluctuations in metal prices; title matters;
uncertainties and risks related to carrying on business in foreign
countries; environmental liability claims and insurance; reliance
on key personnel; the potential for conflicts of interest among
certain of our officers, directors or promoters with certain other
projects; the absence of dividends; currency fluctuations;
competition; dilution; the volatility of our common share price and
volume; tax consequences to U.S. investors; and other risks and
uncertainties. Although we have attempted to identify important
factors that could cause actual actions, events or results to
differ materially from those described in forward-looking
statements, there may be other factors that cause actions, events
or results not to be as anticipated, estimated or intended. There
can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
statements. We are under no obligation to update or alter any
forward-looking statements except as required under applicable
securities laws.
Cautionary Note to United States Investors - The information
contained herein and incorporated by reference herein has been
prepared in accordance with the requirements of Canadian securities
laws, which differ from the requirements of United States securities laws. In particular,
the term "resource" does not equate to the term "reserve". The
Securities Exchange Commission's (the "SEC") disclosure standards
normally do not permit the inclusion of information concerning
"measured mineral resources", "indicated mineral resources" or
"inferred mineral resources" or other descriptions of the amount of
mineralization in mineral deposits that do not constitute
"reserves" by SEC standards, unless such information is required to
be disclosed by the law of the Company's jurisdiction of
incorporation or of a jurisdiction in which its securities are
traded. U.S. investors should also understand that "inferred
mineral resources" have a great amount of uncertainty as to their
existence and great uncertainty as to their economic and legal
feasibility. Disclosure of "contained ounces" is permitted
disclosure under Canadian regulations; however, the SEC normally
only permits issuers to report mineralization that does not
constitute "reserves" by SEC standards as in place tonnage and
grade without reference to unit measures.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Avino Silver & Gold
Mines Ltd.