NYSE-MKT: ASM
TSX-V: ASM
FSE: GV6
VANCOUVER, April 13, 2017 /CNW/ - Avino Silver & Gold Mines Ltd.
(NYSE-MKT:ASM: TSX.V, ASM; "Avino" or the "Company") announces
first quarter 2017 production results from its Avino property near
Durango, Mexico.
Consolidated Production Highlights for First Quarter 2017
(Compared to First Quarter 2016)
- Silver equivalent decreased by 16% to 604,643 oz*
- Gold production increased by 23% to 1,837 oz
- Silver production decreased by 21% to 320,082 oz
- Copper production decreased by 24% to 1,024,853
lbs
For comparison purposes, the silver equivalent ratio has been
calculated using metal prices of $17.42 oz Ag, $1,220 oz Au and $2.65 Lb Cu. Mill production figures have
not been reconciled and are subject to adjustment with concentrate
sales. Calculated figures may not add up due to
rounding.
"We have experienced lower production and development numbers
this quarter compared to the first quarter of last year, with the
exception of gold production, which has increased by 23%. While the
results are lower mainly due to lower grade material, we are still
looking to achieve another solid year. We anticipate that the
grades will improve for the balance of the year as we enter a new
high grade zone at San Gonzalo which is currently being developed,
and should allow the yearly production levels to be consistent with
the Company's internal expectations. In 2017, our objectives are to
continue working towards our growth strategy which includes the
plant and mine expansion to increase throughput capacity at the
processing plant by an estimated 70%. We also remain focused
on the optimization of the mill and plant with full automation to
improve efficiencies and potentially increase recovery rates."
David Wolfin,
President, CEO & Director, Avino
Silver & Gold Mines Ltd.
Consolidated First Quarter 2017 Production Highlights
Comparative production results from the first quarter 2017 and
the first quarter 2016 are presented below:
|
Q1
2017
|
Q1
2016
|
%
Change
|
Total Silver Eq.
Produced (oz) calculated*
|
604,643
|
715,933
|
-16%
|
Total Gold Produced
(oz) calculated
|
1,837
|
1,497
|
23%
|
Total Silver Produced
(oz) calculated
|
320,082
|
403,447
|
-21%
|
Total Copper Produced
(Lbs) calculated
|
1,024,853
|
1,350,912
|
-24%
|
For comparison purposes, the silver equivalent ratio has been
calculated using metal prices of $17.42 oz Ag, $1,220 oz Au and $2.65 Lb Cu. Mill production figures have
not been reconciled and are subject to adjustment with concentrate
sales. Calculated figures may not add up due to
rounding.
Avino Mine First Quarter 2017 Production Results
Comparative figures for the first quarter 2017 and the first
quarter 2016 for the Avino Mine are as follows; production figures
for the first quarter 2017 include production from Mill Circuit 2
and Mill Circuit 3:
|
Q1
2017
|
Q1
2016
|
Quarterly
Change
%
|
Notes
|
Tonnes
Mined
|
102,005
|
99,199
|
3%
|
1
|
Underground
Advancement (m)
|
646
|
1,143
|
-43%
|
1
|
Mill Availability
(%)
|
98%
|
97%
|
1%
|
|
Total Mill Feed (dry
tonnes)
|
116,553
|
119,515
|
-2%
|
|
Feed Grade Silver
(g/t)
|
61
|
68
|
-10%
|
1
|
Feed Grade Gold
(g/t)
|
0.50
|
0.27
|
83%
|
1
|
Feed Grade Copper
(%)
|
0.44
|
0.58
|
-24%
|
1
|
Recovery Silver
(%)
|
86.11
|
87%
|
-1%
|
2
|
Recovery Gold
(%)
|
67.44
|
67%
|
1%
|
2
|
Recovery Copper
(%)
|
90.87
|
89%
|
2%
|
2
|
Copper Concentrate
(dry tonnes)
|
2,396
|
2,712
|
-12%
|
3
|
Copper Concentrate
Grade Silver (kg/t)
|
2.54
|
2.60
|
-4%
|
4
|
Copper Concentrate
Grade Gold (g/t)
|
16.25
|
7.87
|
106%
|
4
|
Copper Concentrate
Grade Copper (%)
|
19.4
|
22.6
|
-14%
|
4
|
Total Silver Produced
(kg)
|
6,083
|
7,038
|
-14%
|
5
|
Total Gold Produced
(g)
|
38,935
|
21,353
|
82%
|
5
|
Total Copper Produced
(Kg)
|
464,866
|
612,764
|
-24%
|
5
|
Total Silver Produced
(oz) calculated
|
195,562
|
226,264
|
-14%
|
5
|
Total Gold Produced
(oz) calculated
|
1,252
|
687
|
82%
|
5
|
Total Copper Produced
(Lbs) calculated
|
1,024,853
|
1,350,912
|
-24%
|
5
|
Total Silver
Equivalent Produced (oz) calculated*
|
439,163
|
474,206
|
-7%
|
5
|
* For comparison purposes, the silver equivalent ratio
has been calculated using metal prices of $17.42 oz Ag, $1,220 oz Au and $2.65 Lb Cu. Mill production figures have
not been reconciled and are subject to adjustment with concentrate
sales. Calculated figures may not add up due to
rounding.
First Quarter 2017 Highlights
- Tonnes mined are up 3%, which is a lower increase than
anticipated, due to mechanical issues with some of the equipment,
which is being addressed. Underground advancement decreased
by 43% due to the higher grade lower levels not being available due
to water issues, which have since been controlled. Therefore the
upper levels took priority. Feed from the new zone resulted in an
increase of 83% in gold, 10% decrease in silver and 24% decrease in
copper.
- Copper, silver and gold recoveries were stable with slight
variances.
- Copper concentrate production decreased by 12% due to the lower
copper grade in the feed potentially due to the dilution from
material being mined.
- Gold in the concentrate increased by 106% whereas the silver
and copper decreased by 4% and 14% respectively.
- The change in feed grade resulted in an increase of 82% in gold
production, a decrease of 24% and 14% in copper and silver
production, respectively.
San Gonzalo Mine First Quarter 2017 Production
Highlights
Comparative figures for the first quarter 2017 and the first
quarter 2016 for the San Gonzalo mine are as follows:
|
Q1
2017
|
Q1
2016
|
Quarterly
Change
%
|
Notes
|
Tonnes
Mined
|
23,259
|
24,402
|
-5%
|
|
Underground
Advancement (m)
|
831
|
1,183
|
-30%
|
1
|
Mill Availability
(%)
|
96
|
95
|
1%
|
|
Total Mill Feed (dry
tonnes)
|
20,133
|
20,601
|
-2%
|
|
Feed Grade Silver
(g/t)
|
229
|
318
|
-28%
|
2
|
Feed Grade Gold
(g/t)
|
1.188
|
1.49
|
-20%
|
2
|
Recovery Silver
(%)
|
84
|
84
|
-
|
3
|
Recovery Gold
(%)
|
76
|
82
|
-7%
|
3
|
Bulk Concentrate (dry
tonnes)
|
698
|
800
|
-13%
|
4
|
Bulk Concentrate
Grade Silver (kg/t)
|
5.55
|
6.85
|
-19%
|
5
|
Bulk Concentrate
Grade Gold (g/t)
|
26
|
27
|
-4%
|
5
|
Total Silver Produced
(kg)
|
3,873
|
5,511
|
-30%
|
6
|
Total Gold Produced
(g)
|
18,182
|
25,193
|
-28%
|
6
|
Total Silver Produced
(oz) calculated
|
124,520
|
177,183
|
-30%
|
6
|
Total Gold Produced
(oz) calculated
|
585
|
810
|
-28%
|
6
|
Total Silver
Equivalent Produced (oz) calculated*
|
165,480
|
241,727
|
-32%
|
6
|
* For comparison purposes, the silver equivalent ratio has
been calculated using metal prices of $17.42 oz Ag, $1,220 oz Au and $2.65 Lb Cu. Mill production figures have
not been reconciled and are subject to adjustment with concentrate
sales. Calculated figures may not add up due to
rounding.
First Quarter 2017 Highlights
- There was a reduction of 30% in underground development metres
as the number of faces for development work had been reduced
pending further geological interpretation and exploratory
drilling.
- The silver and gold in the feed grade decreased by 28% and 20%
respectively due to the ore blocks that are presently being
mined. The grade has been highly variable due to the
mineralisation encountered.
- There were no changes in the silver recovery of 84%, however
the gold recovery decreased by 7% due to the change in
mineralization. Some of the gold was found to be associated
with sphalerite; and as a result a test zinc flotation circuit has
been implemented to improve the gold recovery.
- Concentrate production decreased by 13% mostly on account of
the lower feed grade.
- Silver and gold grade in the concentrate also decreased by 19%
and 4%, respectively.
- The lower feed grade reduced the silver and gold production by
30% and 28% respectively.
Quality Assurance/Quality Control
Mill assays are performed at the Avino property's on-site lab.
Check samples are sent to SGS Labs in Durango, Mexico for verification. All
concentrate shipments are assayed by one of the following
independent third party labs: AHK, LSI, Alex Stewart and SGS and 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 silver and gold producer with a diversified pipeline
of gold, silver and base metals properties in Mexico and Canada employing approximately 500
people. Avino produces from its wholly owned Avino and San
Gonzalo Mines near Durango,
Mexico, and is currently planning for future production at
the Bralorne Gold Mine in British
Columbia, Canada. The Company's gold and silver production
remains unhedged. The Company's mission and strategy is to create
shareholder value through its focus on profitable organic growth at
the historic Avino Property near Durango,
Mexico, and the strategic acquisition of mineral exploration
and mining properties. 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.
ON BEHALF OF THE BOARD
"David Wolfin"
David
Wolfin
President & Chief Executive
Officer
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 use
of proceeds from the Offering and the Company's plans for
production for its Avino property and Bralorne Mine property. 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, our ability
to use the proceeds from the Offering as expected, 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 of with certain
other projects; the absence of dividends; currency fluctuations;
competition; dilution; the volatility of the 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 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.