Gatos Silver, Inc. - GATO STOCK NEWS

Gatos Silver announced the retirement of its 70%-owned Los Gatos Joint Venture's Term Loan as of July 26, 2021, involving approximately $155.9 million. This significant move was funded through a public offering and cash reserves, along with a $13 million draw from a Revolving Credit Facility. The retirement is expected to boost Gatos Silver's balance sheet by eliminating over $31 million in annual principal payments and removing cash reserve requirements. The Cerro Los Gatos mine has achieved record production, contributing to strong cash flows for future initiatives.

Gatos Silver has priced a public offering of 8,930,000 shares at $14.00 each, alongside 2,500,000 shares from selling stockholders, potentially raising $125 million before costs. The offering is set to close on July 19, 2021, pending customary conditions. Underwriters have a 30-day option to purchase additional shares. The registration statement became effective on July 15, 2021. The proceeds will aid in expanding the company's silver and zinc-rich exploration and production initiatives in Mexico's Chihuahua State.

Gatos Silver (NYSE/TSX: GATO) has announced a public offering of 6,500,000 shares, alongside 1,820,000 shares from selling stockholders. The offering includes a 30-day option for underwriters to purchase additional shares. The primary goals are to create a more cost-efficient capital structure and enhance liquidity. Electrum Group will remain the largest shareholder, aiming to diversify Gatos Silver's stockholder base. The offering is subject to market conditions and is made under a preliminary prospectus in the U.S. and Canada.

Gatos Silver has finalized an agreement with Dowa Metals & Mining to retire its approximately $154.8 million Los Gatos Joint Venture Term Loan. This move is expected to close soon and is viewed as a significant deleveraging event for the company. CEO Stephen Orr emphasized that this agreement marks a crucial step in creating value for stakeholders and strengthens Gatos Silver's position in the silver market. The company continues to develop its silver and zinc-rich mineral district in southern Chihuahua, Mexico, where it holds a 70% stake in the joint venture.

Gatos Silver, Inc. (NYSE/TSX: GATO) reported record production from its Cerro Los Gatos mine in Q2 2021, achieving a record of 240,047 tonnes mined and 230,656 tonnes milled, a 13% increase over Q1 2021. Key metrics include silver production of 2.1 million ounces and average grades of 322 g/t for silver and 0.35 g/t for gold. CEO Stephen Orr highlighted that higher grades and throughput contributed to these records, reinforcing the company's production guidance for the year. A conference call discussing Q2 financial results is scheduled for August 9, 2021 at 12:00 PM ET.

Gatos Silver, Inc. (NYSE: GATO) has appointed Dale Andres as President and CEO of its Mexican subsidiary, effective June 1, 2021. Andres brings over 30 years of mining experience, including significant roles at Teck Resources. His expertise encompasses base and precious metals, notably overseeing Teck's $5 billion Quebrada Blanca copper project. Gatos Silver aims to enhance value through Andres’ leadership as it operates in a prime silver district in Mexico, with substantial mineral rights yet to be explored.

Gatos Silver (GATO) announced positive results from its drilling program at Cerro Los Gatos (CLG), identifying significant mineralization in both Southeast (SE) and Northwest (NW) zones. The initiative has so far completed 23 holes in the SE zone and 8 in the NW zone, upgrading 3.7 million tonnes of inferred resources to measured and indicated. Notable drill results include hole GA385 with 13.5m @236.0g Ag/T and increased thicknesses in mineralization. The company also plans to start drilling at the Esther zone, expected to yield an updated resource report in Q1 2022.

Gatos Silver reported its Q1 2021 operational and financial results, highlighting the repurchase of an 18.5% interest in the Los Gatos Joint Venture, raising its stake to 70%. The company extinguished a $60 million working capital facility, with a $42 million pro-rata share. Mined 209,832 tonnes of ore from the Cerro Los Gatos mine, achieving 85% silver recovery, 87% lead recovery, and 71% zinc recovery. Exploration drilling commenced at the Santa Valeria property. However, the company incurred a net loss of $2.2 million compared to a $15 million income the previous year.

Gatos Silver (GATO) will hold its 2021 Annual Meeting of Stockholders virtually on May 26, 2021, at 10:00 a.m. Mountain Time. Only stockholders of record as of April 1, 2021, can participate. Registration is required at register.proxypush.com/GATO, where attendees will receive a unique link via email. The company operates in southern Chihuahua, Mexico, focusing on exploring and producing silver and zinc, with 85% of its mineral rights still to be drilled.