Silver Elephant Announces Monthly Record 20,894 Tonnes of Oxide Averaging 194.2 g/t Silver Delivered to Andean Precious Metals in April 2023
Silver Elephant Mining announced a record monthly delivery of 20,894 tonnes of Paca oxide materials averaging 194.2 g/t silver in April 2023 to Andean Precious Metals. The company has been increasing its Bolivian activities since October 2023, benefiting from cash-flow from Paca oxide sales. CEO John Lee highlighted that the operation averaged 700 tonnes per day, with a focus on transitioning to phase 2 sulphide production. Silver Elephant plans to deliver up to 800,000 tonnes of Paca oxide materials for US$5-7 million, depending on silver prices. The Paca project hosts significant silver resources as detailed in a 2020 technical report by Mercator Geological Services. The report indicates high-grade silver and additional potential from sulphide resources, promising further revenue streams for the company.
- Record monthly delivery of 20,894 tonnes of Paca oxide materials in April 2023.
- Average grade of 194.2 g/t silver delivered.
- Average daily production rate of 700 tonnes.
- Increased Bolivian activities since October 2023 with stable cash-flow.
- Potential additional revenue stream from phase 2 sulphide production.
- Up to 800,000 tonnes of Paca oxide materials planned for delivery, worth US$5-7 million.
- High-grade silver resources indicated in the 2020 technical report.
- Company has become a major employer in Pulacayo township.
- Mineral resources are not mineral reserves and do not have demonstrated economic viability.
- Uncertainty in potential revenue as it depends on fluctuating silver prices.
- No detailed financial figures or earnings reported in the PR.
- The company relies heavily on its Bolivian operations for revenue.
Vancouver, British Columbia--(Newsfile Corp. - May 14, 2024) - Silver Elephant Mining Corp. (TSX: ELEF) (OTC PINK: SILEF) (FSE: 1P2) ("Silver Elephant" or the "Company") announces in April, the Company mined a total of 20,894 tonnes of Paca oxide materials with an average grade of 194.2 g/t silver ("Products") and trucked the Products to Andean Precious Metals Corp. ("Andean").
John Lee, CEO of Silver Elephant commented: "Our Bolivian operation set a new monthly record in both Product tonnages (averaging 700 tonne-per-day) and gross metals content delivered to Andean.
The Company has been expanding Bolivian activities with the cash-flow from Paca oxide sales since October 2023. Silver Elephant has become a major employer at the Pulacayo township, and we would like to thank the local community and our partners for their continued support.
The Company is stabilizing the Paca oxide production rate and advancing towards Paca's phase 2 sulphide production. Paca's potential future sulphide production would provide additional revenue stream to Silver Elephant."
| Month | Tonnes | Grade g/t |
| Oct-23 | 4,502 | 244.9 |
| Nov-23 | 7,269 | 156.5 |
| Dec-23 | 19,704 | 144.9 |
| Jan-24 | 4,283 | 146 |
| Mar-24 | 15,809 | 176.6 |
| Apr-24 | 20,894 | 194.2 |
| Total | 72,461 | 173.5 |
Pursuant to the sales and purchase agreement and master services agreement detailed in the news release dated September 12, 2023, Silver Elephant plans to sell and deliver up to 800,000 tonnes of Paca oxide materials to Andean for a total of between US
The Paca project hosts a high grade silver resource according to a technical report by Mercator Geological Services, dated effective October 13, 2020 titled "Mineral Resource Estimate Technical Report for the Pulacayo Project, Potosi Department Antonnio Quijarro Province Bolivia" (the "Technical Report"). The mineral resource estimate from the Technical Report is as follows:
| Paca | Zone | Category | Tonnes | Ag g/t | Ag Moz | Zn% | Pb % |
| Phase 1 | Oxide In Pit | Indicated | 800,000 | 231 | 5.9 | - | - |
| Inferred | 235,000 | 159 | 1.2 | - | - | ||
| Phase 2 | Sulfide In Pit | Indicated | 1,810,000 | 256 | 14.9 | 1.22 | 1.22 |
| Inferred | 190,000 | 338 | 2.1 | 0.61 | 0.98 |
Oxide resources are based on a Pit-constrained estimate using a 90 g/t Ag cutoff. Sulfide resources are based on a pit-constrained estimate using a 200 g/t Ag Eq cutoff. Ag Eq = Silver Equivalent (Recovered) = (Ag g/t*
The Technical Report was filed on October 26, 2020 and is available under the Company's profile on SEDAR+ at www.sedarplus.ca. This news release includes an estimate of mineral resources as disclosed in the Technical Report. Mineral resources that are not mineral reserves do not have demonstrated economic viability.
About Pulacayo-Paca
The Paca project is part of the Company's Pulacayo project with a total indicated resource of 106.7 million oz silver, 1.4 billion pounds of zinc and 690 million pounds of lead published in the Technical Report and tabulated below. Silver Elephant and its subsidiaries have spent over
| Combined Pulacayo and Paca Indicated Mineral Resources | ||||
| Tonnes | Ag g/t | Pb % | Zn % | |
| Oxide | 2,185,000 | 155 | - | - |
| Sulfide | 45,855,000 | 65 | 0.69 | 1.37 |
Combined Indicated Mineral Resources includes Pulacayo pit-constrained and out-of-pit plus only Paca pit-constrained resources. Oxide resources use a 50 g/t Ag cutoff. Sulfide resources use a 100 g/t Ag Eq cutoff. Ag Eq = Silver Equivalent (Recovered) = (Ag g/t*
A subsidiary of Silver Elephant entered into a Mining Production Contract ("MPC") with Corporación Minera de Bolivia ("COMIBOL"), a branch of the Bolivian Ministry of Mining and Metallurgy on October 3, 2019. The MPC grants the Company's subsidiary an exclusive right to develop and mine at the Pulacayo and Paca concessions for up to 30 years.
The Pulacayo Project is at the center of a major silver mining district in Bolivia and is within 250 km driving distance to the San Cristobal mine, the Cerro Rico mine, Pan American's San Vicente mine, Eloro's Iska Iska project, and New Pacific's Silver Sands project.
Qualified Person
The technical contents of this news release have been prepared under the supervision of Bill Pincus, who is an independent consultant of the Company. Mr. Pincus is a qualified person as defined by the guidelines of NI 43-101.
About Silver Elephant Mining Corp.
Silver Elephant is a silver mining company, with its flagship Pulacayo-Paca silver project in production since October 2023 in Bolivia.
Further information on Silver Elephant can be found at www.silverelef.com.
SILVER ELEPHANT MINING CORP.
ON BEHALF OF THE BOARD
"John Lee"
Executive Chairman
For more information about Silver Elephant, please contact Investor Relations:
+1.604.569.3661 ext. 101
info@silverelef.com
www.silverelef.com
FORWARD-LOOKING INFORMATION
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable securities laws. Forward-looking information is generally identifiable by use of the words "believes," "may," "plans," "will," "anticipates," "intends," "could", "estimates", "expects", "forecasts", "projects" and similar expressions, and the negative of such expressions. Such forward-looking information, which reflects management's expectations regarding Silver Elephant's future growth, results of operations, performance, business prospects and opportunities, is based on certain factors and assumptions and involves known and unknown risks and uncertainties which may cause the actual results, performance, or achievements to be materially different from future results, performance, or achievements expressed or implied by such forward-looking information. Forward-looking information in this news release includes the expected amount and timing for delivery of Product to Andean, and expected timing and benefits of phase 2 sulphide production for the Paca project.
Forward-looking information involves significant risks and uncertainties, should not be read as a guarantee of future performance, events or results, and may not be indicative of whether such events or results will actually be achieved. A number of risks and other factors could cause actual results to differ materially from expected results discussed in the forward-looking information, including but not limited to: changes in operating plans; ability to secure sufficient financing to advance the Company's project; conditions impacting the Company's ability to mine at the project, such as unfavourable weather conditions, development of a mine plan, maintaining existing permits and receiving any new permits required for the project, and other conditions impacting mining generally; maintaining cordial business relations with strategic partners and contractual counter-parties; meeting regulatory requirements and changes thereto; risks inherent to mineral resource estimation, including uncertainty as to whether mineral resources will be further developed into mineral reserves; political risk in the jurisdictions where the Company's projects are located; commodity price variation; and general market, industry and economic conditions. Additional risk factors are set out in the Company's latest annual and interim management's discussion and analysis and annual information form (AIF), available on SEDAR+ at www.sedarplus.ca.
Forward-looking information is based on reasonable assumptions by management as of the date of this news release, and there can be no assurance that actual results will be consistent with any forward-looking information included herein. Readers are cautioned that all forward- looking statements in this news release are made as of the date of this news release. The Company undertakes no obligation to update or revise any forward-looking information in this news release to reflect circumstances or events that occur after the date of this news release, except as required by applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/209114
FAQ
What record did Silver Elephant Mining set in April 2023?
How much silver did Silver Elephant deliver to Andean Precious Metals in April 2023?
What is the average daily production rate for Silver Elephant's Bolivian operation?
What future production phase is Silver Elephant advancing towards?
How much Paca oxide material does Silver Elephant plan to deliver under their sales agreement?
What is the value range of the Paca oxide materials Silver Elephant plans to deliver?
What does the technical report by Mercator Geological Services indicate about the Paca project?
What are the challenges mentioned in the press release regarding the mineral resources?
