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Endeavour Silver’s (TSX:EDR) Q2 production falls 43pc

Mining
TSX:EDR
09 July 2020 06:50 (EDT)
Endeavour Silver Corp - CEO, Bradford Cooke

Source: The Wall Street Transcript

Endeavour Silver (EDR) has reported a dramatic drop in its silver and gold production for the second quarter of 2020.

The company produced 596,545 silver ounces for the quarter, alongside 5,817 gold ounces, for a total silver equivalent of 1.06 million ounces at an 80:20 silver to gold ratio.

This represents a 43 per cent drop on the year before, when the company produced 1.039 million silver ounces for the quarter, and a 39 per cent drop in gold produced.

The company’s mining operations were suspended on April 1 due to coronavirus-related shutdowns in Mexico.

The company restarted production in late May, but plant throughout was already down 52 per cent and silver equivalent production was down 42 per cent compared to last year’s same period.

However, production numbers could have been worse if the company not started pre-emptively stockpiling ore before the shutdown.

The company did have higher than average silver grades, and significantly higher gold grades.

This is evidenced when you look at the 52 per cent throughput drop, while the company only dropped gold production by 39 per cent.

Bradford Cooke, Endeavour’s CEO, is pleased with the personnel’s proactive measures to minimise COVID-19’s impact on mining operations.

“We implemented our coronavirus prevention and response plan in mid-March, and it has been very effective.

“During the mine suspension period, we sent our employees home on full salary while keeping essential personnel working at each mine site to maintain safety, security and equipment,” he said.

Endeavour Silver (EDR) is trading up 3 per cent to C$3.38 per share at 10:00 am EDT.

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