Endeavour Silver Announces Q3 Financial Results; Earnings Conference Call at 10am PST (1pm EST) Today
Endeavour Silver Announces Q3 Financial Results; Earnings Conference Call
at 10am PST (1pm EST) Today
VANCOUVER, British Columbia, Nov. 07, 2023 -- Endeavour Silver Corp. (“Endeavour” or the “Company”) (NYSE:
EXK; TSX: EDR) announces its unaudited financial and operating results for the three and nine months ended September 30,
2023. All amounts reported are in United States (US) dollars.
“Our third quarter was challenging on a number of fronts, marking the lowest quarterly production for the Company in over two
years. We were negatively impacted by several factors, however reduced productivity at Guanacevi is what led to a production
shortfall. This reduced productivity was the result of mine sequencing changes that were initiated to improve access and
ventilation, which have resulted in a significant reduction in ore grades. These lower silver and gold grades, combined with
lower precious metals prices, a stronger Mexican Peso, and increased operating development and maintenance and repairs,
have negatively impacted our financial performance this quarter.” stated Dan Dickson, Chief Executive Officer. “With mine
sequencing back on track in Q4, we are now mining in wider, higher-grade areas of the orebody, which has significantly
improved mine output and grades. While there is never a good time for these corrective measures to be taken, especially with
additional macro pressures, they were necessary, and we have already seen the benefits from the actions implemented in the
third quarter.”
Q3 2023 Highlights
• Production Tracking In-Line with Guidance: 1,148,735 ounces (oz) of silver and 9,089 oz of gold for 1.9 million oz
silver equivalent (AgEq) (1), totaling 6.5 million AgEq oz for the 9 months ended September 30, 2023.
• Revenue : $49.4 million from the sale of 1,370,032 oz of silver and 8,760 oz of gold at average realized prices of $23.99
per oz silver and $1,948 per oz gold.
• Cash Flow : $3.3 million in operating cash flow before working capital changes (2) and $10.6 million in Mine operating
cash flow before taxes(2).
• Negative Earnings: Net loss of $2.3 million, or $0.01 per share. Adjusted net loss of $7.4 million (2) after adjusting for a
$7.0 million gain on disposal of the Cozamin royalty and a $1.9 million reduction in the fair value of investments.
• Significant Production Shortfall at Guanacevi, Among Other Items, Resulted in Escalated Costs: Cash costs (2)
of $17.94 per oz payable silver and all-in sustaining costs (2) of $29.64 per oz payable silver, net of gold credits. Cost
metrics were significantly impacted by lower production at the Guanacevi mine and increased operating development
resulting from mine sequencing changes required to focus on improved access and ventilation as well as plant
maintenance required during the last week of September. Macro pressures such as inflation, and a strengthened
Mexican Peso also contributed to higher costs.
• Management Continues to Monitor Costs: Additional repair work related to the plant shut down continued for the first
week of Q4 and increased operating development continued into Q4 to access high grade ore and open more stopes.
Although cost pressures will continue, management anticipates that cost metrics will improve as productivity and
production will return to expected levels.
• Healthy Balance Sheet: Cash position of $41.0 million and working capital (2) of $75.9 million. Cash decreased as
funds were spent on development activities at Terronera. During Q3, 2023 the Company raised gross proceeds of $23.4
million through equity issuances, primarily to fund these activities.
• Construction and Development Update at Terronera : The Company has made significant progress on development
activities, with overall construction progress 38% complete. The project remains on schedule for initial production in Q4
2024. (see news release dated October 26, 2023)
• Obtained US$120 Million Project Financing for Terronera : Societe Generale and ING Capital LLC (together with
ING Bank N.V.) have signed a definitive credit agreement for a senior secured debt facility of US$120 million (see news
release dated October 10, 2023).
Financial Overview (see appendix for consolidated financial statements)
Three Months Ended September 30 Q3 2023 Highlights Nine Months Ended September 30
2023 2022 % Change 2023 2022 % Change
Production
1,148,735 1,458,448 (21%) Silver ounces produced 4,266,280 4,132,610 3%
9,089 9,194 (1%) Gold ounces produced 28,250 27,178 4%
1,140,597 1,445,880 (21%) Payable silver ounces produced 4,231,064 4,095,696 3%
8,929 9,039 (1%) Payable gold ounces produced 27,749 26,705 4%
1,875,855 2,193,968 (14%) Silver equivalent ounces produced(1) 6,526,280 6,306,850 3%
17.94 10.32 74% Cash costs per silver ounce(2) 13.80 10.21 35%
24.10 14.31 68% Total production costs per ounce(2) 18.85 14.56 30%
29.64 20.27 46% All-in sustaining costs per ounce (2) 23.41 20.24 16%
214,270 202,745 6% Processed tonnes 653,918 610,253 7%
152.04 131.61 16% Direct operating costs per tonne(2) 140.76 128.99 9%
176.37 146.30 21% Direct costs per tonne (2) 171.78 147.65 16%
20.03 13.12 53% Silver co-product cash costs (2) 17.09 14.15 21%
1,626 1,144 42% Gold co-product cash costs (2) 1,396 1,163 20%
Financial
49.5 39.7 25% Revenue ($ millions) 155.0 128.2 21%
1,370,032 1,327,325 3% Silver ounces sold 4,337,112 3,647,987 19%
8,760 8,852 (1%) Gold ounces sold 27,769 27,025 3%
23.99 19.24 25% Realized silver price per ounce 23.75 22.24 7%
1,948 1,678 16% Realized gold price per ounce 1,940 1,827 6%
(2.3) (1.5) (55%) Net earnings (loss) ($ millions) 3.1 (1.8) 275%
(7.4) (3.1) (135) Adjusted net earnings (loss) (2) ($ millions) (1.9) (1.1) (70%)
2.7 5.1 (48) Mine operating earnings ($ millions) 31.3 29.9 5%
10.6 12.3 (14%) Mine operating cash flow before taxes ($
millions)(2) 51.8 47.8 9%
3.3 7.3 (55%) Operating cash flow before working capital
changes(2) 27.2 31.6 (14%)
8.8 7.9 11% EBITDA(2) ($ millions) 39.5 29.2 35%
75.9 101.6 (25%) Working capital (2) ($ millions) 75.9 101.6 (25%)
Shareholders
(0.01) (0.01) 0% Earnings (loss) per share – basic ($) 0.02 (0.01) 300%
(0.04) (0.02) (100%) Adjusted earnings (loss) per share – basic
($)(2) (0.01) (0.01) 0%
0.02 0.04 (50%) Operating cash flow before working capital
changes per share(2) 0.14 0.17 (18%)
194,249,283 189,241,367 3% Weighted average shares outstanding 192,003,752 180,655,842 6%
(1) Silver equivalent (AgEq) is calculated using an 80:1 silver:gold ratio.
(2) These are non-IFRS financial measures and ratios. Further details on these non-IFRS financial measures and ratios are
provided at the end of this press release and in the MD&A accompanying the Company’s financial statements, which can be
viewed on the Company’s website, on SEDAR at www.sedar.com and on EDGAR at www.sec.gov.
For the three months ended September 30, 2023, revenue increased by 25% to $49.5 million (Q3 2022: $39.7 million).
Gross sales of $49.9 million in Q3 2023 represented a 24% increase over the $40.3 million in Q3 2022. Silver oz sold
increased by 3%, primarily due to the timing of silver sales with less silver withheld during the current quarter offsetting the
decrease in silver production. Compared to Q3, 2022, there was a 25% increase in the realized silver price resulting in a 29%
increase in silver sales. Gold oz sold decreased 1% with a 16% increase in realized gold prices resulting in a 15% increase in
gold sales. The decrease in gold ounces sold is primarily driven by the 1% decrease in gold production as gold inventory levels
are comparable. During the period, the Company sold 1,370,032 oz silver and 8,760 oz gold, for realized prices of $23.99 and
$1,948 per oz, respectively, compared to sales of 1,327,325 oz silver and 8,852 oz gold, for realized prices of $19.24 and
$1,678 per oz, respectively, in the same period of 2022. For the three months ended September 30, 2023, the realized prices
of silver and gold were within 2% of the London spot prices. Silver and gold London spot prices averaged $23.57 and $1,928,
respectively, during the three months ended September 30, 2023.
The Company decreased its finished goods to 424,217 oz silver and slightly increased its finished goods gold inventory to
1,689 oz gold at September 30, 2023 compared to 637,439 oz silver and 1,519 oz gold at June 30, 2023. The cost allocated to
these finished goods was $11.0 million as at September 30, 2023, compared to $13.8 million at June 30, 2023. At
September 30, 2023, the finished goods inventory fair market value was $12.9 million, compared to $17.6 million at June 30,
2023.
After cost of sales of $46.7 (Q3 2022: $34.5 million), an increase of 35%, mine operating earnings were $2.8 million (Q3 2022:
$5.1 million). The increase in the cost of sales compared to the prior period was driven by a strengthened Mexican peso and
higher labour, power and consumables costs as the Company, as well the industry, has experienced significant inflationary
pressures. Additionally, the Company incurred increased royalty costs during Q3, 2023 compared to the prior period. At
Guanacevi additional operating development, decreased mine productivity, an increase in the purchase of third-party ore and
additional repair costs associated with the plant shutdown also negatively impacted costs. Including royalties and special
mining duty, direct costs per tonne increased 21% to $176.37. Compared to Q3, 2022, royalties have increased 77% from
$2.8 million to $4.8 million with the increase occurring at Guanaceví. At Guanaceví the increase in royalty expense recognized
during Q3, 2023 is due to the increase in production coming from concessions subject to royalties and an increase in the
realized silver price. The royalty increased to 13% from 9% when the realized silver price crossed a price threshold of $20 per
oz.
The Company had an operating loss of $3.8 million (Q3 2022: $1.3 million) after exploration and evaluation costs of $4.2 million
(Q3 2022: $4.0 million) and general and administrative expense of $2.4 million (Q3 2022: $2.2 million). In the three months
ended September 30, 2022, the operating loss also included $0.2 million in care and maintenance costs related to the
suspension of the operations at the El Compas mine.
Earnings before income taxes was $$0.8 million (Q3, 2022: $1.7 million) after a gain on the sale of the Cozamin Royalty of
$7.0 million (Q3 2022: $2.8 million, finance costs of $0.3 million (Q3 2022: $0.3 million), a foreign exchange loss of $0.4
million (Q3 2022: foreign exchange gain of $0.8 million) and investment and other expenses of $1.6 million (Q3 2022: $0.3
million).
The Company realized a net loss for the period of $2.3 million (Q3 2022: $1.5 million) after an income tax expense of $3.1
million (Q3, 2022: $3.2 million). Current income tax expense decreased to $3.1 million (Q3 2022: $3.2 million) due to
decreased profitability impacting the income tax and special mining duty, while deferred income tax expense of $0.9 million is
derived from changes in temporary timing differences between deductions for accounting versus deductions for tax (Q3 2022:
$2.0 million).
Direct operating costs (2) on a per tonne basis increased to $152.04, up 16% compared with Q3 2022 due to both a
strengthening of the Mexican peso and higher operating costs at both Guanacevi and Bolanitos from inflationary pressure
during the lasts half 2022 and into 2023. As the Mexican peso strengthens, the Company’s Mexican peso denominated costs
are increased in US dollar terms. Guanacevi and Bolanitos have experienced increased labour, power and consumables costs.
Additionally, the Company incurred increased royalty costs during Q3, 2023 compared to the prior period. At Guanacevi
additional operating development, decreased mine productivity, an increase in the purchase of third-party ore and additional
repair costs associated with the plant shutdown also negatively impacted costs
Consolidated cash costs per oz( 2), net of by-product credits, increased to $17.94 primarily driven by a reduction in silver
production, an increase in direct operating costs, an increase in royalties and special mining duties which are partially offset
by an increase in by-product gold sales. AISC( 2) increased by 46% on a per oz basis compared to Q2 2023 due to the
increase in cash costs and decreased silver production.
The complete financial statements and management’s discussion & analysis can be viewed on the Company’s website, on
SEDAR at www.sedar.com and on EDGAR at www.sec.gov. All shareholders can receive a hard copy of the Company’s
complete audited financial statements free of charge upon request. To receive this material in hard copy, please contact
Investor Relations at 604-640-4804, toll free at 1-877-685-9775 or by email at [email protected].
Conference Call
A conference call to discuss the Company’s Q3 2023 financial results will be held today at 10:00 a.m. PST / 1:00 p.m. EST.
To participate in the conference call, please dial the numbers below.
Date & Time: Tuesday, November 7, 2023 at 10:00 a.m. PST / 1:00 p.m. EST
Telephone: Toll-free in Canada and the US +1-800-319-4610
Local or International +1-604-638-5340
Please allow up to 10 minutes to be connected to the conference call.
Replay: A replay of the conference call will be available by dialing (toll-free) +1-800-319-6413 in Canada
and the US (toll-free) or +1-604-638-9010 outside of Canada and the US. The replay passcode
is 0484#. The replay will also be available on the Company’s website at www.edrsilver.com.
About Endeavour Silver – Endeavour is a mid-tier precious metals mining company that operates two high-grade
underground silver-gold mines in Mexico. Endeavour is advancing construction of the Terronera Project and exploring its
portfolio of exploration projects in Mexico, Chile and the United States to facilitate its goal to become a premier senior silver
producer. Our philosophy of corporate social integrity creates value for all stakeholders.
Contact Information
Galina Meleger, Vice President of Investor Relations
Tel: (604)640-4804
Email: [email protected]
Website: www.edrsilver.com
Follow Endeavour Silver on Facebook, Twitter, Instagram and LinkedIn
Endnotes
1 Silver equivalent (AgEq)
AgEq is calculated using an 80:1 silver:gold ratio.
2 Non-IFRS and Other Financial Measures and Ratios
Certain non-IFRS and other non-financial measures and ratios are included in this press release, including cash costs per
silver ounce, total production costs per ounce, all-in costs per ounce, all-in sustaining cost (“AISC”) per ounce, direct operating
costs per tonne, direct costs per tonne, silver co-product cash costs, gold co-product cash costs, realized silver price per
ounce, realized gold price per ounce, adjusted net earnings (loss) adjusted net earnings (loss) per share, mine operating cash
flow before taxes, working capital, operating cash flow before working capital adjustments, operating cash flow before working
capital changes per share, earnings before interest, taxes, depreciation and amortization (“EBITDA”), adjusted EBITDA per
share and sustaining and growth capital.
Please see the September 30, 2023 MD&A for explanations and discussion of these non-IFRS and other non-financial
measures and ratios. The Company believes that these measures and ratios, in addition to conventional measures and ratios
prepared in accordance with International Financial Reporting Standards (“IFRS”), provide management and investors an
improved ability to evaluate the underlying performance of the Company. The non-IFRS and other non-financial measures and
ratios are intended to provide additional information and should not be considered in isolation or as a substitute for measures
or ratios of performance prepared in accordance with IFRS. These measures and ratios do not have any standardized meaning
prescribed under IFRS, and therefore may not be comparable to other issuers. Certain additional disclosures for these non-
IFRS measures have been incorporated by reference and can be found in the section “Non-IFRS Measures” in the September
30, 2023 MD&A available on SEDAR at www.sedar.com.
Reconciliation of Working Capital
Expressed in thousands US dollars As at September 30, 2023 As at December 31, 2022
Current assets $131,436 $146,333
Current liabilities 55,487 52,749
Working capital $75,949 $93,584
Reconciliation of Adjusted Net Earnings (Loss) and Adjusted Net Earnings (Loss) Per Share
Expressed in thousands US dollars Three Months Ended
September 30
Nine Months Ended
September 30
(except for share numbers and per share amounts) 2023 2022 2023 2022
Net earnings (loss) for the period per financial statements ($2,328) ($1,499) $3,074 ($1,760)
Gain on sale of Cozamin royalty (6,990) - (6,990) -
Gain on disposal of El Compas mine and equipment, net
of tax - (2,733) - (2,733)
Change in fair value of investments 1,944 1,097 1,997 3,366
Adjusted net earnings (loss) ($7,374) ($3,135) ($1,919) ($1,127)
Basic weighted average share outstanding 194,249,283 189,241,367 192,003,752 180,655,842
Adjusted net earnings (loss) per share ($0.04) ($0.02) ($0.01) ($0.01)
Reconciliation of Mine Operating Cash Flow Before Taxes
Expressed in thousands US dollars Three Months Ended
September 30
Nine Months Ended
September 30
2023 2022 2023 2022
Mine operating earnings per financial statements $2,692 $5,129 $31,259 $29,870
Share-based compensation 44 113 (118) 353
Amortization and depletion 7,855 5,753 20,704 16,234
Write down of inventory to net realizable value - 1,323 - 1,323
Mine operating cash flow before taxes $10,591 $12,318 $51,845 $47,780
Reconciliation of Operating Cash Flow Before Working Capital Changes and Operating Cash Flow Before Working Capital
Changes Per Share
Expressed in thousands US dollars Three Months Ended
September 30
Nine Months Ended
September 30
(except for per share amounts) 2023 2022 2023 2022
Cash from (used in) operating activities per financial
statements $613 $7,417 $5,065 $10,602
Net changes in non-cash working capital per financial
statements (2,650) 85 (22,158) (20,957)
Operating cash flow before working capital changes $3,263 $7,332 $27,223 $31,559
Basic weighted average shares outstanding 194,249,283 189,241,367 192,003,752 180,655,842
Operating cash flow before working capital changes per
share $0.02 $0.04 $0.14 $0.17
Reconciliation of EBITDA and Adjusted EBITDA
Expressed in thousands US dollars Three Months Ended
September 30
Nine Months Ended
September 30
2023 2022 2023 2022
Net earnings (loss) for the period per financial statements ($2,328) ($1,499) $3,074 ($1,760)
Depreciation and depletion – cost of sales 7,855 5,753 20,704 16,234
Depreciation and depletion – exploration (147) 143 448 348
Depreciation and depletion – general & administration 63 57 179 156
Depreciation and depletion – care & maintenance - 10 - 70
Finance costs 170 194 658 583
Current income tax expense 2,250 1,186 11,137 3,526
Deferred income tax expense 888 2,053 3,330 10,027
EBITDA $8,751 $7,897 $39,530 $29,184
Share based compensation 863 760 2,904 3,259
Gain on sale of Cozamin royalty (6,990) - (6,990) -
Gain on disposal of El Compas mine and equipment, net
of tax - (2,733) - (2,733)
Change in fair value of investments 1,944 1,097 1,997 3,366
Adjusted EBITDA $4,568 $7,021 $37,441 $33,076
Reconciliation of Cash Cost Per Silver Ounce, Total Production Costs Per Ounce, Direct Operating Costs Per Tonne, Direct
Costs Per Tonne
Expressed in thousands US dollars
Three Months Ended September 30,
2023
Three Months Ended September
30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Direct production costs per financial
statements $23,863 $10,157 $34,020 $15,156 $9,354 $24,510
Smelting and refining costs included in
net revenue - 494 494 - 744 744
Opening finished goods (10,257) (962) (11,219) (16,164) (681) (16,845)
Closing finished goods 8,627 656 9,283 18,080 195 18,275
Direct operating costs 22,233 10,345 32,578 17,072 9,612 26,684
Royalties 4,754 67 4,821 2,762 59 2,821
Special mining duty 306 85 391 241 (85) 156
Direct costs 27,293 10,497 37,790 20,075 9,586 29,661
By-product gold sales (5,326) (11,737) (17,063) (5,237) (9,615) (14,852)
Opening gold inventory fair market value 1,629 1,268 2,897 4,662 1,061 5,723
Closing gold inventory fair market value (2,345) (815) (3,160) (5,368) (240) (5,608)
Cash costs net of by-product 21,251 (787) 20,464 14,132 792 14,924
Amortization and depletion 4,684 3,171 7,855 3,119 2,634 5,753
Share-based compensation 31 13 44 56 57 113
Opening finished goods depreciation and
depletion (2,318) (288) (2,606) (3,733) (199) (3,932)
Closing finished goods depreciation and
depletion 1,509 222 1,731 3,776 60 3,836
Total production costs $25,157 $2,331 $27,488 $17,350 $3,344 $20,694
Three Months Ended September 30,
2023
Three Months Ended September
30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Throughput tonnes 103,345 110,925 214,270 97,728 105,017 202,745
Payable silver ounces 1,038,087 102,510 1,140,597 1,328,193 117,687 1,445,880
Cash costs per silver ounce $20.47 ($7.68) $17.94 $10.64 $6.73 $10.32
Total production costs per ounce $24.23 $22.74 $24.10 $13.06 $28.41 $14.31
Direct operating costs per tonne $215.13 $93.26 $152.04 $174.69 $91.53 $131.61
Direct costs per tonne $264.10 $94.63 $176.37 $205.42 $91.28 $146.30
Expressed in thousands US dollars Nine Months Ended September 30, 2023 Nine Months Ended September 30,
2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Direct production costs per financial
statements $56,886 $29,128 $86,014 $40,837 $30,222 $71,059
Smelting and refining costs included in
net revenue - 1,945 1,945 - 2,335 2,335
Opening finished goods (4,953) (245) (5,198) (10,093) (2,857) (12,950)
Closing finished goods 8,627 656 9,283 18,080 195 18,275
Direct operating costs 60,560 31,484 92,044 48,824 29,895 78,719
Royalties 16,904 201 17,105 9,124 208 9,332
Special mining duty 2,800 379 3,179 1,767 286 2,053
Direct costs 80,264 32,064 112,328 59,715 30,389 90,104
By-product gold sales (22,228) (31,654) (53,882) (15,978) (33,405) (49,383)
Opening gold inventory fair market value 2,740 354 3,094 1,900 4,784 6,684
Closing gold inventory fair market value (2,345) (815) (3,160) (5,368) (240) (5,608)
Cash costs net of by-product 58,431 (51) 58,380 40,269 1,528 41,797
Amortization and depletion 11,539 9,165 20,704 7,969 8,265 16,234
Share-based compensation (50) (68) (118) 176 177 353
Opening finished goods depreciation and
depletion (862) (60) (922) (1,965) (635) (2,600)
Closing finished goods depreciation and
depletion 1,509 222 1,731 3,776 60 3,836
Total production costs $70,567 $9,208 $79,775 $50,225 $9,395 $59,620
Nine Months Ended September 30, 2023 Nine Months Ended September 30,
2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Throughput tonnes 322,628 331,290 653,918 292,998 317,255 610,253
Payable silver ounces 3,822,057 409,007 4,231,064 3,649,209 446,487 4,095,696
Cash costs per silver ounce $15.29 ($0.12) $13.80 $11.03 $3.42 $10.21
Total production costs per ounce $18.46 $22.51 $18.85 $13.76 $21.04 $14.56
Direct operating costs per tonne $187.71 $95.03 $140.76 $166.64 $94.23 $128.99
Direct costs per tonne $248.78 $96.79 $171.78 $203.81 $95.79 $147.65
Expressed in thousands US dollars September 30, 2023 September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Closing finished goods 8,627 656 9,283 18,080 195 18,275
Closing finished goods depletion 1,509 222 1,731 3,776 60 3,836
Finished goods inventory $10,136 $878 $11,014 $21,856 $255 $22,111
Reconciliation of All-In Costs Per Ounce and AISC per ounce
Expressed in thousands US
dollars Three Months Ended September 30, 2023 Three Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Cash costs net of by-product $21,251 ($787) $20,464 $14,132 $792 $14,924
Operations share-based
compensation 31 13 44 56 57 113
Corporate general and
administrative 1,087 514 1,601 1,200 414 1,614
Corporate share-based
compensation 475 219 694 405 125 530
Reclamation -
amortization/accretion 77 69 146 64 52 116
Mine site expensed exploration 362 339 701 316 305 621
Equipment loan payments 189 489 678 245 489 734
Capital expenditures sustaining 6,697 2,787 9,484 7,212 3,439 10,651
All-In-Sustaining Costs $30,169 $3,643 $33,812 $23,629 $5,674 $29,303
Growth exploration and evaluation 3,476 3,142
Growth capital expenditures 22,252 6,240
All-In-Costs $59,540 $38,685
Three Months Ended September 30, 2023 Three Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Throughput tonnes 103,345 110,925 214,270 97,728 105,017 202,745
Payable silver ounces 1,038,087 102,510 1,140,597 1,328,193 117,687 1,445,880
Silver equivalent production
(ounces) 1,294,091 581,764 1,875,855 1,623,550 570,418 2,193,968
Sustaining cost per ounce $29.06 $35.54 $29.64 $17.79 $48.21 $20.27
All-In-costs per ounce $52.20 $26.76
Expressed in thousands US
dollars Nine Months Ended September 30, 2023 Nine Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Cash costs net of by-product $58,431 ($51) $58,380 $40,269 $1,528 $41,797
Operations share-based
compensation (50) (68) (118) 176 177 353
Corporate general and
administrative 4,931 1,869 6,800 3,668 1,445 5,113
Corporate share-based
compensation 1,924 730 2,654 1,849 728 2,577
Reclamation -
amortization/accretion 235 197 432 198 158 356
Mine site expensed exploration 1,068 1,002 2,070 1,028 863 1,891
Intangible payments - - - 29 12 41
Equipment loan payments 679 1,465 2,144 736 1,466 2,202
Capital expenditures sustaining 18,687 8,008 26,695 19,908 8,653 28,561
All-In-Sustaining Costs $85,905 $13,152 $99,057 $67,861 $15,030 $82,891
Growth exploration and evaluation 9,792 8,456
Growth capital expenditures 49,622 16,778
All-In-Costs $158,471 $108,125
Nine Months Ended September 30, 2023 Nine Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Throughput tonnes 322,628 331,290 653,918 292,998 317,255 610,253
Payable silver ounces 3,822,057 409,007 4,231,064 3,649,209 446,487 4,095,696
Silver equivalent production
(ounces) 4,732,278 1,794,002 6,526,280 4,524,110 1,782,740 6,306,850
Sustaining cost per ounce $22.48 $32.16 $23.41 $18.60 $33.66 $20.24
All-In-costs per ounce $37.45 $26.40
Expressed in thousands US dollars
Three Months Ended September
30
Nine Months Ended
September 300
2023 2022 2023 2022
Mine site expensed exploration $701 $621 $2,070 $1,891
Growth exploration and evaluation 3,476 3,142 9,792 8,456
Total exploration and evaluation 4,177 3,763 11,862 10,347
Exploration depreciation and depletion (147) 143 448 348
Exploration share-based compensation 125 117 368 328
Exploration and evaluation expense $4,155 $4,023 $12,678 $11,023
Reconciliation of Sustaining Capital and Growth Capital
Expressed in thousands US dollars
Three Months Ended
September 30
Nine Months Ended September
300
2023 2022 2023 2022
Capital expenditures sustaining $9,484 $10,651 $26,695 $28,561
Growth capital expenditures 22,252 6,240 49,622 16,778
Property, plant and equipment expenditures per
Consolidated Statement of Cash Flows $31,736 $16,891 $76,317 $45,339
Reconciliation of Silver Co-Product Cash Costs and Gold Co-Product Cash Costs
Expressed in thousands US
dollars Three Months Ended September 30, 2023 Three Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Direct production costs per
financial statements $23,863 $10,157 $34,020 $15,156 $9,354 $24,510
Smelting and refining costs
included in net revenue - 494 494 - 744 744
Royalties 4,754 67 4,821 2,762 59 2,821
Special mining duty 306 85 391 241 (85) 156
Opening finished goods (10,257) (962) (11,219) (16,164) (681) (16,845)
Closing finished goods 8,627 656 9,283 18,080 195 18,275
Direct costs $27,293 $10,497 $37,790 $20,075 $9,586 $29,661
Three Months Ended September 30, 2023 Three Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Silver production (ounces) 1,041,211.00 107,524 1,148,735 1,332,190 126,258 1,458,448
Average realized silver price ($) 23.99 23.99 23.99 19.24 19.24 19.24
Silver value ($) 24,976,320 2,579,260 27,555,580 25,634,615 2,429,515 28,064,130
Gold production (ounces) 3,161 5,928 9,089 3,642 5,552 9,194
Average realized gold price ($) 1,948 1,948 1,948 1,678 1,678 1,678
Gold value ($) 6,157,094 11,546,742 17,703,836 6,110,595 9,315,217 15,425,812
Total metal value ($) 31,133,414 14,126,002 45,259,417 31,745,210 11,744,732 43,489,942
Pro-rated silver costs (%) 80% 18% 61% 81% 21% 65%
Pro-rated gold costs (%) 20% 82% 39% 19% 79% 35%
Pro-rated silver costs ($) 21,895 1,917 23,008 16,211 1,983 19,140
Pro-rated gold costs ($) 5,398 8,580 14,782 3,864 7,603 10,521
Silver co-product cash costs ($) 21.03 17.83 20.03 12.17 15.71 13.12
Gold co-product cash costs ($) 1,708 1,447 1,626 1,061 1,369 1,144
Expressed in thousands US
dollars Nine Months Ended September 30, 2023 Nine Months Ended September 30, 2022
Guanaceví Bolañitos Total Guanaceví Bolañitos Total
Direct production costs per
financial statements $56,886 $29,128 $86,014 $40,837 $30,222 $71,059
Smelting and refining costs
included in net revenue - $1,945 $1,945 - 2,335 2,335
Royalties 16,904 201 17,105 9,124 208 9,332
Special mining duty 2,800 379 3,179 1,767 286 2,053
Opening finished goods (4,953) (245) (5,198) (10,093) (2,857) (12,950)
Finished goods NRV adjustment - - - - - 0
Closing finished goods 8,627 656 9,283 18,080 195 18,275
Direct costs 80,264 32,064 112,328 59,715 30,389 90,104