Steady Revenues Amidst Challenges
Americas Gold and Silver Corporation unveiled its Q3-2023 financial performance, reporting a consistent revenue of $18.3 million, mirroring the same period in 2022. This outcome was driven by a rise in silver production and pricing at the Galena Complex, counterbalanced by a decrease in base metal output and a drop in zinc prices at the Cosalá Operations. The quarter concluded with a net loss of $10.5 million, translating to a loss of $0.04 per share, marking a decline from the previous year’s same quarter.
Operational Dynamics and Silver Production
The period saw a 17% increase in consolidated attributable silver production, reaching around 0.39 million ounces, compared to 0.33 million ounces in Q3-2022. The Galena Complex experienced a five-day electrical outage, and equipment availability issues also impeded production. The Cosalá Operations suffered from several mill outages, totaling 14 days, primarily due to heavy rainfall and tailings maintenance activities.
Anticipations and Strategic Plans
The company’s outlook for the final quarter of 2023 appears optimistic, with October’s silver production exceeding 190,000 ounces. The subsequent months are expected to surpass this figure. Despite maintaining its 2023 production guidance, Americas Gold and Silver anticipates achieving the lower spectrum of the 2.2 to 2.6 million ounces silver production range. Current negotiations are underway for concentrate prepayment financing, vital for capital needs at the El Cajón and Zone 120 projects, with closure expected by year’s end. Additionally, Moran Mining and Tunnelling Limited has been appointed to complete the repair work at the Galena Shaft, slated for completion by the end of Q1-2024.