TSX.V: SCZ
FSE: 1SZ
VANCOUVER, March 23, 2018 /CNW/ - Santacruz Silver Mining
Ltd. (TSX.V:SCZ) (the "Company" or "Santacruz") reports that
expansion of milling capacity at its Veta Grande Project to 750 tpd
has been completed. The mill is anticipated to be operating
at full capacity by early in the second quarter 2018.
Currently the mill is operating at 450 tpd and will ramp up in
stages until it reaches the new designed capacity.
Management will next focus on enhancing mining efficiencies
including the construction of an underground tunnel system that
will connect the Veta Grande, San
José, Armados and La Flor veins.
Upon completion, all underground mining areas will be connected by
a new ore haulage level. The consolidation of the underground
operations will significantly improve operating efficiencies and is
expected to have a positive impact on cash operating costs.
The completion of the mill expansion was commemorated on
March 20, 2018, at a ceremony in
Veta Grande, Zacatecas, Mexico, in
which approximately 150 people attended including several Mexican
State and Municipal authorities.
Carlos Silva, Santacruz's COO
stated "I commend our Technical Team for achieving this significant
milestone ahead of schedule. This new increased milling capacity
will allow us to shortly achieve positive cash flow at the
Veta Grande operations." Mr. Silva
continued; "Our exploration programs will keep advancing to
establish and increase our mineral resources with the eventual plan
to further expand mill capacity at this historical silver rich
mining district of Veta
Grande".
About Santacruz Silver Mining Ltd.
Santacruz is a Mexican focused silver company with two producing
silver projects, Veta Grande and
Rosario, and two exploration
properties, the Minillas property
and Zacatecas properties. The
Company is managed by a technical team of professionals with proven
track records in developing, operating and discovering silver mines
in Mexico. Our corporate objective
is to become a mid-tier silver producer.
'signed'
Arturo Préstamo Elizondo,
President, Chief Executive Officer and Director
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Forward looking information
Certain statements contained in this news release constitute
"forward-looking information" as such term is used in applicable
Canadian securities laws. Forward-looking information is based on
plans, expectations and estimates of management at the date the
information is provided and is subject to certain factors and
assumptions. In making the forward-looking statements included in
this news release, the Company has applied several material
assumptions, including, but not limited to, assumptions as to the
continuation of payments under the Agreement, the expansion of the
Vita Grande Project, the Company's financial condition and
development plans do not change as a result of unforeseen events,
third party mineralized material to be milled by the Company will
have properties consistent with management's expectations, that the
Company will receive all required regulatory approvals, and that
future metal prices and the demand and market outlook for metals
will remain stable or improve. Forward-looking information is
subject to a variety of risks and uncertainties and other factors
that could cause plans, estimates and actual results to vary
materially from those projected in such forward-looking
information. Factors that could cause the forward-looking
information in this news release to change or to be inaccurate
include, but are not limited to, the risk that any of the
assumptions referred to prove not to be valid or reliable, which
could result in lower revenue, higher cost, or lower production
levels; delays and/or cessation in planned work; changes in the
Company's financial condition and development plans; delays in
regulatory approval; risks associated with the interpretation of
data (including in respect of the third party mineralized material)
regarding the geology, grade and continuity of mineral deposits;
the possibility that results will not be consistent with the
Company's expectations, as well as the other risks and
uncertainties applicable to mineral exploration and development
activities and to the Company as set forth in the Company's
continuous disclosure filings filed under the Company's profile
at www.sedar.com. There can be no assurance that
any forward-looking information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such statements. Accordingly, the reader should not
place any undue reliance on forward-looking information or
statements. The Company undertakes no obligation to update
forward-looking information or statements, other than as required
by applicable law.
Rosario Project
The decisions to commence production at the Rosario Mine,
Cinco Estrellas Property and Membrillo Prospect were not based on a
feasibility study of mineral reserves demonstrating economic and
technical viability, but rather on a more preliminary estimate of
inferred mineral resources. Accordingly, there is increased
uncertainty and economic and technical risks of failure associated
with this production decision. Production and economic variables
may vary considerably, due to the absence of a complete and
detailed site analysis according to and in accordance with NI
43-101.
Veta Grande Project
The decision to commence production at Veta Grande Project
was not based on a feasibility study on mineral reserves
demonstrating economic and technical viability. Accordingly, there
is increased uncertainty and economic and technical risks of
failure associated with this production decision. Production and
economic variables may vary considerably due to the absence of a
complete and detailed site analysis according to and in accordance
with NI 43-101.
SOURCE SantaCruz Silver Mining Ltd.