Mr. David Wolfin reports
AVINO ANNOUNCES Q1 2018 PRODUCTION RESULTS
Avino Silver & Gold Mines Ltd. has released first quarter 2018 production results from its Avino property near Durango, Mexico.
The silver equivalent production in the first quarter of 2018 increased by 9 per cent compared with the first quarter of 2017 due to an increase in the tonnage processed and higher gold grades at the Avino mine, together with higher silver grades at the San Gonzalo mine. The gold production in the first quarter of 2018 increased by 12 per cent compared with the first quarter of 2017 whereas the silver and copper production decreased by 3 per cent and 5 per cent, respectively.
Consolidated production highlights for the first quarter of 2018 (compared with first quarter 2017):
Silver equivalent production increased by 9 per cent to 656,699 ounces (1). Gold production increased by 12 per cent to 2,065 ounces. Silver production decreased by 3per cent to 309,927 ounces. Copper production decreased by 5 per cent to 970,165 pounds.
(1) For comparison purposes, the silver equivalent ratio has been calculated using metal prices of $16.77 per ounce Ag, $1,330 per ounce Au and $3.16 per pound 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're pleased with our first quarter production results, as well as the progress being made around our expansion of the Avino mine and processing plant," said David Wolfin, president and chief executive officer. "We anticipate that the expansion at the Avino mine will be completed early in the second quarter of 2018, and we look forward to an enhanced production profile by the end of the year."
Production tables for the first quarter of 2018
Comparative production results from the first quarter 2018 and the first quarter 2017 are presented in the associated tables.
Q1 2018 Q1 2017Total AgEq produced (oz) calculated* 656,699 604,643Total gold produced (oz) calculated2,065 1,837Total silver produced (oz) calculated309,927 320,082Total copper produced (lb) calculated970,165 1,024,853 PRODUCTION TABLE FOR FIRST QUARTER 2018Tonnes GradeGradeGradeRecoveryProduction concentrateAg Au Cu Ag AuCuSilverGold Copper AgEqby mine produced (g/t)(g/t)(%)(%)(%) (%)(oz)(oz) (lb)Avino2,17756 0.58 0.43 81 6884 178,848 1,544970,165480,315San Gonzalo841 264 1.07n/a 79 75 n/a 135,079 521n/a176,384Consolidated 3,01886 0.65 0.43 80 7084 309,927 2,065970,165656,699For comparison purposes, the silver equivalent ratio has been calculated using metal prices of $16.77 per ounce Ag, $1,330 per ounce Au and $3.16 por poudn 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 2018 production results
Comparative figures for the first quarter 2018 and the first quarter 2017 for the Avino mine are shown in the associated table; production figures for the first quarter 2018 include production from mill circuit 2 and mill circuit 3.
Q1 2018 Q1 2017Total mill feed (dry tonnes)120,631 116,553Feed grade silver (g/t)5661Feed grade gold (g/t)0.580.50Feed grade copper (%)0.430.44Recovery silver (%)8186Recovery gold (%)6867Recovery copper (%)8491Total silver produced (kg)5,438 6,083Total gold produced (g)48,03638,935Total copper produced (kg)440,060 464,866Total silver equivalent produced (oz) calculated* 480,315 439,163* For comparison purposes, the silver equivalent ratio has been calculated using metal prices of $16.77 per ounce Ag, $1,330 per ounce Au and $3.16 per pound 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.
At the Avino mine during the first quarter, the company advanced 1,188 metres of underground development, and 116,155 tonnes of mill feed were trucked to the plant for processing. An additional 4,476 tonnes from historic stockpiles were also processed during the quarter. The blending of the historic stockpile material with fresh underground material resulted in lower copper and silver recoveries for the quarter. Gold feed grade for the quarter increased by 16 per cent and gold production for the quarter increased by 23 per cent.
The construction of mill circuit No. 4 is almost complete, and the installation of a filter press and a bank of flotation cells from Outotec and piping for the thickener are now under way. This work is expected to be completed later this month. The start-up and commissioning of the ball mill for mill circuit 4 commenced during the quarter with the flotation feed from the new ball mill reporting to mill circuit 3's flotation cells. There have been no issues encountered, and the mill is operating at design capacity.
Development is now taking place at level 16.5 near a high-grade gold zone for potential future mill feed. Rehabilitation work at the San Luis portal has also started. The portal entrance has been stabilized with shotcrete and the areas with poor ground conditions have been reinforced with wire mesh and rock anchors. A new electrical substation near the portal has been installed to provide power to the mine and piping for a new water line to the portal is currently being installed.
San Gonzalo mine first quarter 2018 production highlights
Comparative figures for the first quarter 2017 and the first quarter 2016 for the San Gonzalo mine are shown in the associated table.
Q1 2018Q1 2017Total mill feed (dry tonnes)20,186 20,133Feed grade silver (g/t)264229Feed grade gold (g/t)1.11.2Recovery silver (%) 79 84Recovery gold (%) 75 76Total silver produced (kg) 4,2013,873Total gold produced (g) 16,206 18,182Total silver equivalent produced (oz) calculated*176,384165,480 * For comparison purposes, the silver equivalent ratio has been calculated using metal prices of $16.77 per ounce Ag, $1,330 per ounce Au and $3.16 perpound 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.
The silver grades at San Gonzalo for the first quarter of 2018 increased by 15 per cent and the gold grades decreased by 10 per cent compared with the first quarter of 2017, as a result of the mineralization of the area being mined. Mill feed for the quarter came for levels 4-020, 5-020 and 6-020.
Underground development consisted of 362 metres of drifts, 255 metres of raises and 134 metres of crosscuts for a total of 751 metres.
Additionally, the tonnage broken for the quarter was 14,677 tonnes. The plant availability for the first quarter 2018 was 96 per cent, and there were were no major shutdowns other than the normal scheduled daily monthly maintenance.
Zinc circuit
The company continued its testing program for recovery of precious metals and zinc from the San Gonzalo tailings. In the first quarter of 2018, the company produced 233 tonnes of low-quality zinc concentrate grading 1,582 g/t silver, 6.96 g/t gold and 13.35 per cent zinc for an additional 22,343 AgEq ounces. This product is currently being marketed and if successful, this program will continue.
Quality assurance/quality control
Mill assays are performed at the Avino'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, Inspectorate in the United Kingdom and LSI in the Netherlands.
Qualified person(s)
Avino's Mexican projects are under the supervision Jasman Yee, PEng, Avino director, who is a qualified person within the context of National Instrument 43-101, he has reviewed and approved the production data in this news release.
Company announcements
Avino is pleased to introduce Peter Latta to the technical team as senior technical adviser where he will work closely with Avino's metallurgical team in Vancouver and with company-wide operations teams. Mr. Latta is a professional engineer, registered in British Columbia, with over 12 years experience in the mining and minerals sector. He has a bachelor's degree from UBC in metals and materials engineering and also received his MBA from Simon Fraser University. He has spent his career at mine operations around the world with a mixture of on-site equipment operation, installation, commissioning and troubleshooting, as well as on the commercial side with business development and contract negotiation. Mr. Latta brings his energy and experience to the Avino team and the company looks forward to his contributions for many years to come.
About Avino Silver & Gold Mines Ltd.
Avino is a silver and gold producer with a diversified pipeline of gold, silver and base metals exploration 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 ramping up for future production at its Bralorne gold mine in British Columbia, Canada. Avino's silver and gold production remains unhedged.
We seek Safe Harbor.
© 2018 Canjex Publishing Ltd. All rights reserved.