Juanicipio Underground Mine Production
VANCOUVER - MAG Silver Corp. reported on the second quarter production of underground development material from the Juanicipio Project joint venture. 44,435 tonnes of development material were processed during the quarter ended. Total Juanicipio production for the quarter based on provisional estimates before off take agreement adjustments, totaled 434,885 silver ounces and 787 gold ounces. The associated lead and zinc production will be reported with MAG’s second quarter filings.
Mineralized development material from the Juanicipio Project is being processed through the nearby Fresnillo beneficiation plant with the lead (silver rich) and zinc concentrates treated at market terms under off-take agreements with Met-Mex Penoles, S.A. de C.V. in Torreon, Mexico. The revenue from this production, net of processing and treatment charges, is being used by the joint venture to offset initial project capital cash requirements.
Construction of the Juanicipio processing plant continues to make good progress, with the mechanical installation of the flotation cells and filters completed in the quarter ended June 30, 2021. According to the operator, Fresnillo, the plant remains on schedule to commence commissioning in Q4 2021. Mineralized development material will continue to be batch processed on commercial terms at a targeted rate of 16,000 tonnes per month at the Fresnillo plant until the Juanicipio plant is commissioned.