The Black Fox Mine, located in northern Ontario, Canada. — Photo courtesy McEwen Mining Inc. TORONTO, Jan. 15, 2018 (GLOBE NEWSWIRE) -- McEwen Mini
The Black Fox Mine, located in northern Ontario, Canada. — Photo courtesy McEwen Mining Inc.
TORONTO, Jan. 15, 2018 (GLOBE NEWSWIRE) -- McEwen Mining Inc. (NYSE:MUX) (TSX:MUX) reports annual consolidated production in 2017 was 109,947 gold ounces and 3,178,742 silver ounces, or 152,329 gold equivalent ounces(1), at a gold to silver ratio of 75:1.
Production in 2017 was 46,694 gold equivalent ounces, compared to 55,266 gold equivalent ounces in 2016. The mine overcame a production shortfall stemming from a serious mechanical crusher failure at the end of July to achieve 93% of our annual guidance.
In Q4, the mine produced 19,893 gold equivalent ounces, compared to 7,676 gold equivalent ounces during same period in 2016. Production in Q4 was higher as a result of increased crushing capacity, readily available stockpile of ore from previous quarters, and access to higher-grade portions of the orebody.
MUX closed the purchase of the Black Fox Complex on October 6, 2017. During Q4, the mine produced 14,279 gold equivalent ounces from 79,046 tonnes processed at a grade of 6.47 gpt gold. These results are in-line with our production expectations set forth during the acquisition.
Our attributable production from San José in 2017 was 49,233 gold ounces and 3,159,352 silver ounces, for a total of 91,356 gold equivalent ounces. Compared to 2016, gold production was up 6% and silver production was down 4%.
In Q4, attributable production was 14,528 gold ounces and 919,898 silver ounces, for a total of 26,793 gold equivalent ounces.
The semi-annual return of capital of ½ cent per share will be paid on February 14th, 2018 to shareholders of record as of the close of business on February 2rd, 2018. It will be paid to common shareholders of McEwen Mining Inc. from additional paid-in capital. For shareholders in the US and Canada, return of capital is generally not taxed, however we recommend you to obtain advice from a tax professional familiar with your specific situation.
Operating costs for the quarter ended December 31, 2017 will be released with our 10-K Annual Financial Statements in late February 2018.
Footnotes:
- 'Gold Equivalent Ounces' are calculated based on a 75:1 gold to silver ratio.
- The San José Mine is 49% owned by McEwen Mining Inc. and 51% owned and operated by Hochschild Mining plc.
McEwen has the goal to qualify for inclusion in the S&P 500 Index by creating a profitable gold and silver producer focused in the Americas. McEwen’s principal assets consist of the San José mine in Santa Cruz, Argentina (49% interest), the El Gallo Gold mine and El Gallo Silver project in Mexico, the Black Fox mine in Timmins, Canada, the Gold Bar future mine in Nevada, and the Los Azules copper project in Argentina.
