Santacruz Silver Mining Ltd (TSX-V:SCZ, OTC:SZSMF) has produced 3.69 million silver equivalent ounces in the first quarter of 2025, supported by steady output from its Zimapan mine in Mexico and margin-focused operations in Bolivia.
The company reported standalone silver production of 1.59 million ounces, along with nearly 20,700 tonnes of zinc, 2,700 tonnes of lead, and 279 tonnes of copper.
Total underground development reached 10,135 meters across its portfolio of assets.
“Santacruz started 2025 with strong contributions from its Mexican operations, driven by steady production growth, solid mill throughput, and disciplined mine execution,” said CEO Arturo Préstamo.
“Our strategic focus on silver production has proven especially beneficial, considering the favorable silver price environment.”
The company’s operations in Bolivia—spanning the Bolívar, Porco, Caballo Blanco and San Lucas groups—were affected by typical first-quarter seasonality. Bolívar saw a 10% drop in ore processed versus Q4 2024, with silver equivalent output falling 15%. While silver output declined 14% on an 8% drop in recoveries, head grades remained stable.
Compared to Q1 2024, Bolívar processed 14% less ore, but silver production was nearly unchanged year-over-year due to a 19% increase in head grades that offset slightly weaker recoveries.
At Porco, silver production dropped 17% quarter-over-quarter and 32% year-over-year. The decline was attributed to reduced ore volumes and lower head grades, though zinc output was down more modestly. Temporary equipment issues affected throughput early in the quarter but have since been resolved, the company said.
Caballo Blanco processed 15% less ore quarter-over-quarter, with silver equivalent output down 17%. The decrease was in line with planned seasonal production.
Santacruz highlighted its San Lucas feed sourcing business as a flexible contributor to profitability. The unit sources ore externally and helped mitigate volatility in head grades during the quarter.
“Our margin-based model supported profitability through flexible ore sourcing and cost flexibility,” said Préstamo.
The company reaffirmed its plans to maximize silver production and metallurgical recoveries across its portfolio amid a constructive price backdrop for the metal.
Shares of Santacruz traded up 5% on the update.