Santacruz Silver Produces 5,569,535 Silver Equivalent Ounces in Q2 2023
1
News Release
August 09, 2023
Santacruz Silver Produces 5,569,535 Silver Equivalent Ounces in Q2 2023
Vancouver, B.C. – Santacruz Silver Mining Ltd. (TSX.V:SCZ) ("Santacruz" or "the Company”) reports its Q2 2023
production results from its Bolivar mine , Porco mine, Caballo Blanco Group of mines (“Caballo Blanco") and the
San Lucas ore sourcing and trading business (“San Lucas”), all located in Bolivia, and the Zimapan mine located in
Mexico.
Highlights:
• Produced 5,569,535 silver equivalent ounces including;
o 1,786,461 ounces of silver;
o 2,824 tonnes of lead;
o 22,281 tonnes of zinc and;
o 297 tonnes of copper.
• Water handling infrastructure upgrade completed at the Bolivar mine in the Central zone.
• Integration ramp connecting the Tres Amigos and Colquechaquita mines at Caballo Blanco progressing well
and on track to be completed in Q1 2024.
Arturo Préstamo, Executive Chairman of Santacruz, commented, “During the quarter the Company maintained
steady production levels, despite a temporary interruption in plant feed haulage at the Mexican operation. This
was offset by higher grade ore sourced by San Lucas. In the first half of the year, Santacruz has produced just over
11 million silver equivalent ounces. We have also been making progress on capital projects aimed at streamlining
our operations, such as the integration ramp at Caballo Blanco , and our team is foc used on finding additional
opportunities to further improve operations at each mine.”
Santacruz processed 443,969 tonnes of material in Q2 2023, a slight decrease from the previous quarter. Silver
equivalent ounces produced of 5,569,535 included 1,786,461 ounces of silver, 2,824 tonnes of lead, 22,281 tonnes
of zinc and 297 tonnes of copper. The slight decrease in material processed was offset by an increase in silver
production from San Lucas, which resulted in silver equivalent ounce production being in line with the previous
quarter.
During the same period last year, 435,119 tonnes of material was processed, and 4,922,055 silver equivalent
ounces was produced. While total material processed was relatively consistent when comparing Q2 2023 to Q2
2022, increased production from the higher-grade Bolivian operations offset reduced production from the lower
grade Mexican operation, resulting in an increase in silver equivalent ounces.
The Company also made progress on operational efficiency projects at its various mines. At Bolivar, water handling
infrastructure servicing the Central Zone was upgraded, which should alleviate production interruptions
experienced from this area in Q2 and allow for more consistent production going forward. In addition, the
integration ramp connecting the Tres Amigos and Colquechaquita mines at the Caballo Blanco remains on track
for completion in Q1 2024 . The integration ramp consists of approximately 1,177 meters of development ,
including primary ramp and auxiliary drives , and is more than 60% complete . This is expected to facilitate
2
increased productivity from Colquechaquita and total production from the Caballo Blanco Group of mines by
providing trackless access to Colquechaquita and eliminating the bottleneck created by the current shaft.
Second Quarter 2023 Production Summary – Consolidated
2023-Q2 2023-Q1
Change
Q2 vs Q1
(%) 2022-Q2
Change
Q2 vs Q2
(%) 2023 YTD
2022
YTD(1)(2)
Change
’23 vs ‘22
(%)
Material Processed (tonnes milled) 443,969 482,497 (8%) 435,119 2% 926,466 662,689 40%
Silver Equivalent Produced (AgEq ounces) (3) 5,569,535 5,644,383 (1%) 4,922,055 13% 11,213,918 6,535,775 72%
Silver Ounces Produced 1,786,461 1,769,520 1% 1,410,485 27% 3,555,981 1,880,314 89%
Lead Tonnes Produced 2,824 3,043 (7%) 2,825 -% 5,867 4,169 41%
Zinc Tonnes Produced 22,281 22,463 (1%) 20,433 9% 44,744 26,591 68%
Copper Tonnes Produced 297 415 (28%) 329 (10%) 712 537 33%
Development Metres 10,922 10,573 3% 9,807 11% 21,495 13,379 61%
Second Quarter 2023 Production Summary – By Mine
Bolivar (4) Porco (4)
Caballo
Blanco
Group(5) San Lucas Zimapan
Material Processed (tonnes milled) 66,689 46,085 74,268 85,258 171,668
Silver Equivalent Produced (AgEq ounces) (3) 961,580 689,902 1,211,475 1,827,724 878,854
Silver Ounces Produced 424,664 195,509 399,811 495,344 271,133
Lead Tonnes Produced 302 214 825 635 849
Zinc Tonnes Produced 3,323 3,098 4,804 8,315 2,741
Copper Tonnes Produced N/A N/A N/A N/A 297
Average head grades per mine:
Silver (g/t) 217 154 182 216 69
Lead (%) 0.62 0.58 1.44 1.21 0.67
Zinc (%) 5.57 7.15 6.98 10.69 2.25
Copper (%) N/A N/A N/A N/A 0.33
Metal recovery per mine:
Silver (%) 91 86 92 84 71
Lead (%) 74 80 77 62 74
Zinc (%) 90 94 93 91 71
Copper (%) N/A N/A N/A N/A 53
Development Metres 2,508 1,915 3,867 N/A 2,631
(1) On March 18, 2022 the Company closed the acquisition of all Bolivian assets from Glencore and the results of the Bolivian Operations are includ ed in the consolidated
results of the Company from that date.
(2) Production from March 18, 2022 to June 30, 2022.
(3) Silver Equivalent Produced (ounces) have been calculated using prices of $21.86/oz, $0.91/lb, $1.52/lb and $3.67/lb for silver, lead , zinc and copper respectively applied to
the metal production divided by the silver price.
(4) Bolivar and Porco are presented at 100% production, whereas the Company records 45% of revenues and expenses in its consolidated financial statements.
(5) The Caballo Blanco Group consists of the Colquechaquita, Tres Amigos and Reserva mines.
Qualified Person
Wayne Corso, Chief Operating Officer of the Company is a qualified person under NI 43-101 and has approved
the scientific and technical information related to operational matters contained in this news release.
3
About Santacruz Silver Mining Ltd.
Santacruz Silver is engaged in the operation, acquisition, exploration, and development of mineral properties in Latin
America. The Bolivian operations are comprised of the Bolivar, Porco and the Caballo Blanco Group, which consists of
the Tres Amigos, Reserva and Colquechaquita mines. The Soracaya exploration project and San Lucas ore sourcing and
trading business are also in Bolivia. The Zimapan mine is in Mexico.
‘signed’
Arturo Préstamo Elizondo,
Executive Chairman
For further information please contact:
Arturo Préstamo
Santacruz Silver Mining Ltd.
Email: [email protected]
Telephone: +1 (528) 183 785707
Sabina Srubiski
Manager, Investor Relations
Santacruz Silver Mining Ltd.
Email: [email protected]
Telephone: +1 (604) 351 7909
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
This news release includes certain statements and information that may constitute forward-looking information within
the meaning of applicable Canadian securities laws. Forward -looking statements relate to future events or future
performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally,
forward-looking statements and information can be identified by the use of forward -looking terminology such as
“intends”, “expects” or “anticipates”, or variations of such words and phrases or statements that certain actions, events
or results “may”, “could”, “should”, “would” or will “potentially” or “likely” occur. This information and these
statements, referred to herein as "forward‐looking statements", are not historical facts, are made as of the date of this
news release and include without limitation, statements regarding the expected completion of the integration ramp at
Caballo Blanco, and the benefits derived therefrom, the Company’s current focus on certain business objectives, and the
impact of the water handling infrastructure upgrade completed at the Bolivar mine.
These forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially
from results suggested in a ny forward-looking statements. These risks and uncertainties include, among other things,
risks that the integration ramp at Caballo Blanco will not be completed on the expected timeline, or at all, that the
integration ramp will not provide the benefits c urrently expected by management, that the Company’s focus will not
remain on finding additional opportunities to further improve operations at each mine , that the upgraded water
handling infrastructure at the Bolivar mine will not have the anticipated effects on production, risks related to changes
in general economic, business and political conditions, including changes in the financial markets, changes in applicable
laws, and compliance with extensive government regulation, as well as those risk factors discussed or referred to in the
Company’s disclosure documents filed with the securities regulatory authorities in certain provinces of Canada and
available at www.sedarplus.ca.
4
In making the forward-looking statements in this news release, the Company has applied several material assumptions,
including without limitation, the assumption that the integration ramp at Caballo Blanco will be completed on the
expected timeline, that the Company will derive the expected benefits from the integration ramp, that the Company’s
focus will remain on finding additional opportunities to further improve operations at each mine , and that the
completion of the water handling infrastructure upgrade at the Bolivar mine will help alleviate production interruptions
and lead to more consistent production.
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.