Pan American Silver has expanded its La Colorada mine in Mexico with the commissioning of a new sulphide ore processing plant.

The company estimated capital spending at the mine to total around $163.8m over the period 2014 to 2017.

The plant started processing sulphide ore, achieving production throughput rates of more than 1,400tpd and more than 14,000t has already been treated.

Until the company completes the mine shaft and additional underground development, throughput rates are planned to be slightly reduced.

"The expansion should lead to lower-cost, higher-margin silver production for Pan American."

Pan American Silver president and CEO Michael Steinmann said: "I am proud of our team's ability to safely and successfully complete the new sulphide plant ahead of schedule and on budget without incurring a single lost-time accident.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

See Also:

"The expansion at La Colorada together with the expansion of our Dolores mine form our core areas of growth in Mexico, and should lead to lower-cost, higher-margin silver production for Pan American."

The expansion also includes construction of a new mine shaft, which is 618m-deep, and additional underground development to sustain production at 1,800tpd, as well as installation of a new 115kV power line.

Pan American said construction of the new mine shaft is progressing and commissioning is expected to occur towards the end of the third quarter of this year.

All surface work including headframe and hoist for the new shaft is functioning completely and shaft construction is also complete.

Mining and processing rates are expected to increase following completion of the mine shaft, increasing up to full processing rates of 1,800tpd of ore by the end of next year.

During 2018, annual production from La Colorada is expected to reach 7.7 million ounces of silver.