Santacruz Silver Mining Ltd (TSX-V:SCZ, OTC:SZSMF) released its first quarter financial and operating results showcasing a solid start to the year.
The Vancouver-based silver mining company posted an adjusted EBITDA of US$12.6 million, a 335% increase from the previous quarter.
Revenue also rose quarter-over-quarter to nearly US$65.4 million, a 2% increase from 4Q 2022.
The company reported processing 482,497 tonnes of material, maintaining production levels in line with the previous quarter. That led to over 5.6 million silver ounces produced at an average head grade of 132 grams per tonne from its Bolivian and Mexican mines.
The firm’s all-in sustaining cost (AISC) also decreased by 4% to reach $20.76, while cash costs fell by 9% to $17.30.
“The first quarter has provided us with a strong start to the year,” Arturo Préstamo, Santacruz’s executive chairman said in a statement. “We maintained production levels while considerably improving our cash position, which provides us with a solid base from which we will keep moving forward.”
Préstamo further outlined the company's plans for the year, highlighting various projects that are expected to bring significant value. Santacruz aims to complete updated NI 43-101 technical reports for all operating mines by the third quarter of 2023 and is working towards completing the integration drift between the Colquechaquita and Tres Amigos mines at Caballo Blanco by the first quarter of next year.
The moves are anticipated to enhance operational efficiency at each mine, according to Préstamo.
Santacruz’s Bolivian operating mines include the Bolivar, Porco and the Caballo Blanco Group, which consists of the Tres Amigos, Reserva and Colquechaquita mines, as well as the Zimapan mine is in Mexico. It also owns the Soracaya exploration project and San Lucas ore sourcing and trading business, also in Bolivia.
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