Silver Elephant Delivers 24,153 Tonnes of Paca Minerals Grading 197 g/t Silver in November 2024

Rhea-AI Summary

Silver Elephant Mining reports mining 24,153 wet tonnes of silver oxide materials averaging 197 g/t silver from its Paca project in November 2024. Since operations began in October 2023, the company has mined and shipped 261,530 wet tonnes grading 183 g/t silver, totaling 1,440,219 oz of silver.

The company plans to sell up to 800,000 tonnes of Paca oxide materials to Andean Precious Metals for US$5-7 million. At current rates, Silver Elephant expects to receive US$2.5 million before January 31, 2025. The Paca project contains indicated oxide resources of 800,000 tonnes at 231 g/t silver and indicated sulfide resources of 1,810,000 tonnes at 256 g/t silver.

Positive

• Monthly production of 24,153 tonnes at 197 g/t silver, above the average grade of 183 g/t
• Expected revenue of US$2.5 million by January 31, 2025
• Company maintains debt-free status
• Operating expenses reimbursement agreement with Andean Precious Metals

Negative

• November production volume decreased from October's 31,693 tonnes to 24,153 tonnes

Vancouver, British Columbia--(Newsfile Corp. - December 9, 2024) - Silver Elephant Mining Corp. (TSX: ELEF) (OTCQB: SILEF) (FSE: 1P2) ("Silver Elephant" or the "Company") announces that in November 2024, the Company mined a total of 24,153 wet tonnes of silver oxide bearing materials with an average grade of 197 g/t silver from its Paca project ("Products") and trucked the Products to Andean Precious Metals Corp. ("Andean") in Potosi department, Bolivia.

The Company has mined and shipped 261,530 wet tonnes of silver-bearing oxide materials grading 183 g/t silver, which is 1,440,219 oz of silver based on reported government tax records, since Paca's operation began in October 2023.

Paca Production by Month
Month	Wet Tonnes	Grade g/t
23-Oct	4,501	243
23-Nov	7,264	156
23-Dec	19,074	145
24-Jan	4,283	146
24-Mar	15,809	182
24-Apr	20,894	195
24-May	25,992	180
24-Jun	29,280	175
24-Jul	27,039	185
24-Aug	22,669	193
24-Sep	28,879	189
24-Oct	31,693	184
24-Nov	24,153	197
Total	261,530	183

 

Silver Elephant plans to sell and deliver up to 800,000 tonnes of Paca oxide materials to Andean for a total of between US$5 million and US$7 million. At the current silver price and production run rate, the Company expects to receive US$2.5 million before January 31, 2025 and remain debt-free. In addition, Andean has also agreed to reimburse Silver Elephant for operating expenses under the sales and purchase agreement detailed in the news release dated September 12, 2023.

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

 

Mineral Resources are effective October 13, 2020. 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*89.2%) +((Pb%*(US$0.95/lb. Pb/14.583 Troy oz./lb./US$17 per Troy oz. Ag) *(10,000*91.9%)) +((Zn%*(US$1.16/lb. Zn/14.583 Troy oz./lb./US$17 per Troy oz. Ag) *(10,000*82.9%)). Sulfide zone metal recoveries of 89.2% for Ag, 91.9% for Pb, and 82.9% for Zn were used in the Silver Equivalent (Recovered) equation and reflect metallurgical testing results disclosed previously for the Pulacayo Deposit. Matthew Harrington P. Geo. is the independent Qualified Person for the resource estimate.

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 $35 million on Pulacayo and Paca, which is considered to be an advanced project with over 96,000 meters of drilling, and a historic feasibility study.

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

 

Mineral Resources are effective October 13, 2020. 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*89.2%)+((Pb%*(US$0.95/lb. Pb/14.583 Troyoz./lb./ US$17 per Troy oz. Ag)*(10,000*91.9%))+((Zn%*(US$1.16/lb. Zn/14.583 Troy oz./lb./US$17 per Troy oz. Ag)*(10,000*82.9%)). Sulfide zone metal recoveries of 89.2% for Ag, 91.9% for Pb, and 82.9% for Zn were used in the Silver Equivalent (Recovered) equation and reflect metallurgical testing results disclosed previously for the Pulacayo Deposit. Matthew Harrington P. Geo. is the independent Qualified Person for the resource estimate.

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 Carlos Zamora, who is an employe of the Company and is not considered independent. Mr. Zamora is a qualified person as defined byf National Instrument 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"
CEO and 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 and other news releases includes, but not limited to, the expected amount and timing for delivery of 800,000 tonnes of ore to Andean, the timing for any payments from Andean under its agreements with the Company, including but not limited to, the receipt of $2,000,000 before January 31, 2025, re-crowning Pulacayo-Paca as a major silver producer, any anticipated ramp up Paca silver production, the impact of the Company's growth plans in 2025 the timing for the Company's plans and the expected timing to begin production and revenue generation for the sulfide production at 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/232995

FAQ

What was Silver Elephant Mining's (SILEF) silver production volume in November 2024?

In November 2024, Silver Elephant Mining produced 24,153 wet tonnes of silver oxide materials with an average grade of 197 g/t silver from its Paca project.

How much revenue does Silver Elephant Mining (SILEF) expect from its Paca oxide materials sale?

Silver Elephant Mining expects to receive US$2.5 million before January 31, 2025, with total planned sales of up to 800,000 tonnes potentially generating US$5-7 million.

What is the total silver production from Silver Elephant's (SILEF) Paca project since October 2023?

Since October 2023, Silver Elephant has mined and shipped 261,530 wet tonnes of silver-bearing oxide materials grading 183 g/t silver, totaling 1,440,219 oz of silver.