TORONTO, Sept. 9, 2020 /CNW/ - Excellon Resources
Inc. (TSX: EXN) (OTC: EXLLF) ("Excellon" or the
"Company") is pleased to provide an operations update
following the resumption of mining and milling activities at its
Mexican operations in mid-June
2020.
"We realized strong production in July after restarting the
Platosa Mine in mid-June and that trend continued through August,"
stated Brendan Cahill, President
& CEO. "The cost reduction measures we implemented in Q2 are
delivering results, even prior to the pending switch to a private
electricity supplier. Underground exploration has resumed at
Platosa and we are about to resume surface drilling on potential
extensions to the Platosa resource and the Jaboncillo and PDN targets north of the mine.
With silver prices at 10 year highs, we expect to have positive
cashflow from our Platosa operation going forward."
July 2020 Production
Results
Production in Dry
Metric Tonnes (DMT)
|
July
2020
|
Tonnes Mined from
Platosa
|
7,044
|
Tonnes
Processed*
|
7,408
|
Ore
Grades
|
|
Silver
(g/t)
|
528
|
Lead
(%)
|
5.85
|
Zinc
(%)
|
7.66
|
Recoveries
|
|
Silver
(%)
|
92.4
|
Lead
(%)
|
85.7
|
Zinc
(%)
|
77.6
|
Metal
Production**
|
|
Silver
(oz)
|
116,324
|
Lead
(lb)
|
972,066
|
Zinc
(lb)
|
818,730
|
AgEq
(oz)**
|
198,458
|
Average July 2020
Commodity Prices
|
|
Silver
($)
|
20.42
|
Lead
($)
|
0.82
|
Zinc
($)
|
0.98
|
*
Processed tonnes includes June 2020 stockpile
|
** Subject to
final settlement prices and assays with concentrate
purchaser/AgEq ounces calculated using average July 2020 metal
prices
|
Cost reduction measures at Platosa included material reductions
to the workforce, changes to shift schedules and mining methods,
and the renegotiation of treatment charges on zinc concentrates.
The changes to shift schedules resulted in a more productive
operation despite reductions in the workforce; as a result, the
Company continues to benefit from lower operating costs and higher
commodity prices. The shift to a private electricity provider is
expected to be completed in the third quarter, with further
reductions to operating costs expected in Q4.
COVID-19 Mitigation and Response Plans
On the restart of operations, following the
government-mandated suspension of non-essential business activities
in Q2, the Company provided two days of safety and COVID-19
exposure prevention training, reorganized the workforce and
implemented more efficient work schedules and various ventilation,
mining method and other business improvements. COVID-19 prevention,
hygiene and safety measures, health screening, travel restrictions,
contact tracing, testing and quarantine protocols are in place and
have so far proven effective in protecting the workforce from
confirmed COVID-19 cases that originated from community spread.
To date there has been no material impact to production or
shipment of concentrate from any of the Company's operations as a
result of COVID-19. Additionally, there has been no significant
disruption to the supply chain of the Company's operations.
Excellon continues to monitor and implement business continuity
measures to mitigate and minimize to the extent possible any
potential impacts of the pandemic that might emerge in our
operations, procurement and commercial activities.
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.