Silvercorp Metals Inc (NYSEAMERICAN:SVM) (TSE:SVM) (FRA:S9Y) told investors on Friday it is set to achieve its annual production guidance for fiscal 2021 as the miner posted operating results for its third quarter to end-December, 2020.
The metals producer generates gold, silver, lead and zinc from two sites - its Ying project and the GC mine - both in China.
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Consolidated silver production for the three months to December 31 last year was 1,676 ounces, down from 1,779 ounces in the same quarter in fiscal 2020.
Gold output for the period came in at 900 ounces (the same as in 3Q, 2020), while the company produced 17,111 pounds of lead, down from 20,044 pounds in the same quarter last year. It generated 8,673 pounds of zinc, up from 8,035 pounds in the same period of fiscal 2020.
For fiscal 2021 as a whole (to end March this year), Silvercorp said it was on track to produce between 6.2 and 6.5 million ounces of silver, between 66.1 and 68.5 million pounds of lead, and between 24.5 and 26.7 million pounds of zinc.
In terms of sales for the latest quarter, on a consolidated basis, the company sold around 1.6 million ounces of silver, 800 ounces of gold, 16.8 million pounds of lead, and 9 million pounds of zinc in fiscal 3Q, 2021.
That represented an increase of 14% in gold sold, 7% in zinc sold, and decreases of 4% and 11% in silver and lead sold respectively, compared to 3Q, fiscal 2020, the company said.
Looking at numbers for the company's flagship Ying project alone, which comprises six separate mines and two mills, Silvercorp mined 182,268 tonnes of ore in fiscal 3Q, 2021. That was a 3% increase on fiscal 3Q, 2020 and it milled 162,905 tonnes of ore - a 7% decrease on the same period last year.
This lower figure was caused by power rationing in December 2020 as the local government there is subject to an annual environmental emissions KPI assessment.
From Ying, around 1.5 million ounces of silver, 900 ounces of gold, 14.4 million pounds of lead, and 1.9 million pounds of zinc were produced, the firm added.
That represented a 7% increase in gold production, and decreases of 6% in silver, 13% in lead, and 25% in zinc production compared to the previous year's third quarter.
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