Production Starts at High Grade Potosi Silver / Zinc Mine -
Reports Oxide Zinc Assays Results Averaging 30%
Located next to Mag Silver (MAG.T) in the historic Santa Eulalia mining district, largest carbonate replacement deposit (CRD) in Mexico. Production and reserves for the district have been estimated at 50 million metric tons with grades of 125-350 g/t silver, 2-8% lead and 3-12% zinc
The first phase of production starts with stopes on levels 1 and 2.
Extracted material sent to the Aldama flotation plant, 42 kilometers from the Potosi mine. The Aldama plant has a capacity of 100 metric tons per day.
The lead and zinc concentrates produced are shipped to Trafigura Mexico.
The company is evaluating and preparing for exploiting the Santo Domingo body as well as the preparation of a 43-101 resource calculation report.