TORONTO, April 30, 2020 /CNW/ - Excellon Resources
Inc. (TSX:EXN, EXN.WT, OTC:EXLLF and FRA:E4X1) ("Excellon" or
the "Company") is pleased to announce first quarter
2020 production results from the Platosa Mine in Durango, Mexico.
Q1 2020 Production (compared to Q1 2019)
- Silver equivalent ("AgEq") production of 523,742 oz (Q1 2019
– 522,261 AgEq oz)
-
- Silver production increased 14% to 296,281 oz (Q1 2019 –
260,445 oz)
- Lead production increased 37% to 1.9 million
lb (Q1 2019 – 1.4 million lb)
- Zinc production decreased 4% to 2.1 million lb
(Q1 2019 – 2.2 million lb)
"We had a strong start to the year with production improving
from previous quarters," stated Brendan
Cahill, President and CEO. "Silver and lead production,
in particular, were significantly higher than recent quarters.
Unfortunately, our base metal production contributed fewer silver
equivalent ounces due to current prices. During the ongoing
suspension of operations mandated by the government of Mexico, we are implementing a number of
business improvement initiatives including preparing for the switch
to a private electrical energy provider, reviewing maintenance
programs, designing an underground communications system to
optimize the dewatering system and implementation of a new ERP
system. We expect these initiatives will drive further cost
efficiencies on the restart of operations."
Production Results
|
Q1
2020*
|
Q1
2019*
|
Tonnes Mined from
Platosa
|
19,899
|
19,496
|
Ore processed
(t)
|
19,042
|
16,769
|
Historical
stockpile processed (t)
|
-
|
1,450
|
Platosa ore
processed (t)
|
19,042
|
18,219
|
Ore
grades
|
Silver
(g/t)
|
542
|
534
|
Lead
(%)
|
5.44
|
5.01
|
Zinc
(%)
|
6.78
|
8.00
|
Historical
stockpile grades
|
Silver
(g/t)
|
-
|
123
|
Lead
(%)
|
-
|
1.22
|
Zinc
(%)
|
-
|
1.44
|
Blended head
grades
|
Silver
(g/t)
|
-
|
502
|
Lead
(%)
|
-
|
4.71
|
Zinc
(%)
|
-
|
7.48
|
Recoveries
|
Silver
(%)
|
89.3
|
89.7
|
Lead
(%)
|
82.8
|
74.6
|
Zinc
(%)
|
74.9
|
78.1
|
Metal
Production*
|
Silver
(oz)
|
296,281
|
260,445
|
Lead
(lb)
|
1,890,456
|
1,376,423
|
Zinc
(lb)
|
2,131,034
|
2,209,624
|
AgEq
(oz)**
|
523,742
|
522,261
|
Average Realized
Prices
|
Silver
|
$15.04
|
$15.45
|
Lead
|
$0.79
|
$0.92
|
Zinc
|
$0.90
|
$1.26
|
San Sebastián ore
processed (t)
|
4,785
|
-
|
* Subject to
adjustment following settlement with concentrate purchaser, 2019
tonnes mined in DMT.
|
** AgEq ounces
established using average realized metal prices during the period
indicated applied to the recovered metal content of
concentrates.
|
Production during Q1 2020 accessed multiple ore faces in the
Rodilla, 623, Guadalupe and Pierna mantos with improved grades for
silver and lead. Zinc grades were more variable than expected
due to grade variability among the four mantos.
While silver and lead recoveries continued to improve, zinc
recoveries were impacted by ongoing adjustments designed to
stabilize mill performance, including the use of different reagents
to optimize recoveries of all three metals.
COVID-19 Update
The Mexican Federal Government has extended the suspension of
all non-essential activities until May 30, 2020 to slow
the spread of COVID-19. The directive also includes a potential
restart of activities after May 18,
2020 for operations located in municipalities with few cases
of COVID-19.
On April 2, 2020, the Company
announced the temporary suspension of mining, milling and
exploration activities with critical pumping, safety, security and
environmental management continuing. To date, there have been no
reported cases of COVID-19 at the Company's operations. The Company
will continue to prioritize the health and safety of its workforce
and neighbouring communities, while evaluating opportunities for a
potential safe restart.
Qualified Persons
Jeremy Ouellette, P. Eng., has
acted as the Qualified Person, as defined in NI 43-101, with
respect to the disclosure of the scientific and technical
information relating to production results contained in this press
release.
About Excellon
Excellon's vision is to create wealth by realizing strategic
opportunities through discipline and innovation for the benefit of
our employees, communities and shareholders. The Company is
advancing a precious metals growth pipeline that includes: Platosa,
Mexico's highest-grade silver mine
since production commenced in 2005; Kilgore, a high quality gold development
project in Idaho with strong
economics and significant growth and discovery potential; and an
option on Silver City, a high-grade epithermal silver district in
Saxony, Germany with 750 years of
mining history and no modern exploration. The Company also aims to
continue capitalizing on current market conditions by acquiring
undervalued projects.
Additional details on Excellon's properties are available at
www.excellonresources.com.
Forward-Looking Statements
The Toronto Stock Exchange has not reviewed and does not
accept responsibility for the adequacy or accuracy of the content
of this Press Release, which has been prepared by management. This
press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act and Section 27E of the
Exchange Act. Such statements include, without limitation,
statements regarding the future results of operations, performance
and achievements of the Company, including potential property
acquisitions, the timing, content, cost and results of proposed
work programs, the discovery and delineation of mineral
deposits/resources/reserves, geological interpretations, proposed
production rates, potential mineral recovery processes and rates,
business and financing plans, business trends and future operating
revenues. Although the Company believes that such statements are
reasonable, it can give no assurance that such expectations will
prove to be correct. Forward-looking statements are typically
identified by words such as: believe, expect, anticipate, intend,
estimate, postulate and similar expressions, or are those, which,
by their nature, refer to future events. The Company cautions
investors that any forward-looking statements by the Company are
not guarantees of future results or performance, and that actual
results may differ materially from those in forward looking
statements as a result of various factors, including, but not
limited to, variations in the nature, quality and quantity of any
mineral deposits that may be located, significant downward
variations in the market price of any minerals produced, the
Company's inability to obtain any necessary permits, consents or
authorizations required for its activities, to produce minerals
from its properties successfully or profitably, to continue its
projected growth, to raise the necessary capital or to be fully
able to implement its business strategies. All of the Company's
public disclosure filings may be accessed via www.sedar.com and
readers are urged to review these materials, including the
technical reports filed with respect to the Company's mineral
properties, and particularly the September
7, 2018 NI 43-101 technical report prepared by SRK
Consulting (Canada) Inc. with
respect to the Platosa Property. This press release is not, and is
not to be construed in any way as, an offer to buy or sell
securities in the United States.
SOURCE Excellon Resources Inc.