Great Panther Mining Limited (TSE:GPR) (NYSEAMERICAN:GPL) (FRA:G3U) has released its 2Q results, featuring a 135% uptick in silver production, putting the precious metals company on track to meet its guidance.
The miner holds a diversified portfolio of assets in Brazil, Mexico, and Peru, including three operating gold and silver mines, four exploration projects and an advanced development project.
The 2Q results include output tallies from all three of Great Panther’s mines, Tucano in Brazil, as well as Topia and the Guanajuato Mine Complex (GMC) in Mexico.
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Highlights from the quarterly report include consolidated metal production of 27,722 gold equivalent ounces (Au eq oz), inclusive of 22,804 gold ounces and 334,423 silver (Ag) ounces.
The three-month period also produced 20,696 ounces of total gold production from Tucano, total silver equivalent production from the Topia mine of 312,259 silver equivalent ounces and total silver equivalent production from the GMC of 284,883 silver equivalent ounces.
Gold equivalent ounces for 2021 were calculated using a 1:85 gold:silver ratio, and ratios of 1:0.0005 and 1:0.0006 for the price/ounce of gold to price/pound of lead and zinc, respectively, consistent with the company's guidance for the year.
According to the statement, a temporary production halt at the Tucano mine had little impact on the total ore processed, which climbed 9.7% compared to the same period last year. The short-term work stoppage at the Brazil mine occurred after heavy rainfall, well above the seasonal average, triggered higher phreatic levels in the west wall impacting slope stability of the south-central portion of the Urucum Central South (UCS) open pit at Tucano.
"I am pleased to report that mining of ore has resumed ahead of schedule in the Urucum Central South pit as the conditions affecting the stability of the west wall have improved significantly," Robert Henderson, President and CEO said in the report.
Approximately 1.4 million tons of unstable weathered waste material has been removed from the upper west wall of the UCS pit and operations have improved water drainage in the upper oxide area of the deposit while pushback activities continue.
A further 1.2 million tons of waste material is expected to be removed as part of the designed pushback. Strict safety protocols are being followed to ensure continued health and safety of workers, which includes radar monitoring for wall movement, prisms and drone surveys.
Henderson added: "The radar measurements of the west wall have shown a considerable reduction of movement compared to the earlier levels recorded over the past two months, and improved weather conditions are resulting in greater wall stability. Although the delay in safely accessing ore from UCS resulted in low production for the second quarter, production has begun ramping up in July and the higher grade ore not mined in the second quarter will be mined in upcoming quarters."
Great Panther reported it is on track to meet the previously announced consolidated production guidance for 2021 of 125,000 to 140,000 gold equivalent ounces. The miner expects to make up 60% of its annual guidance in the second half of the year, with the dry season in Northern Brazil.
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