Santacruz Silver Reports Q1 2022 Production of 1,391,590 Silver Equivalent Ounces
TSX.V: SCZ
FSE: 1SZ
May 12, 2021
Santacruz Silver Reports Q1 2022 Production of 1,391,590 Silver Equivalent Ounces
Vancouver, B.C. – Santacruz Silver Mining Ltd. (TSX.V:SCZ) (the “Company” or “Santacruz”)
reports production of 1.39 million silver equivalent ounces from its Zimapan Mine in Mexico (the
“Mexican Operations”) and its operations in Bolivia (the “Bolivian Operations”) which includes the
a 45% interest in the Bolivar Mine and the Porco Mine, and a 100% i nterest in the Caballo Blanco
group of mines and the San Lucas Trading Company. Santacruz acquired the Bolivian Operations
from Glencore on March 18, 2022 (see the Company’s press release dated March 18, 2022 ).
Accordingly, Santacruz’s first quarter production results include only 13 days producti on from the
Bolivian Operations.
Consolidated First Quarter 2022 Production Highlights:
• silver 469,829 oz (+47.6% vs Q4 2021 and +44.4% vs Q1 2021);
• lead 1,493 tonnes (+47.5% vs Q4 2021 and +58.0% vs Q1 2021);
• zinc 6,325 tonnes (+83.8% vs Q4 2021 and +176.8% vs Q1 2021);
• copper 419 tonnes (-14.1% vs Q4 2021 and +18.4% vs Q1 2021)
• Consolidated Production expressed in silver equivalent ounces 1,391,590 AgEq; (+ 65.3% vs Q4
2021, and +96.8% vs Q1 2021)
Carlos Silva, Santacruz’s C EO stated, “The inclusion of 13 days of production from our Bolivian
Operations have made a significant contribution to our Q1 2022 operating results. Based on current
metals prices, we expect that our cash flow from operations will fund the deferred purchase price for
the acquisition of the Bolivian Operations from Glencore. At our Mexican Operations, we set a 2021
objective of replacing the production from the now closed Rosario mine by deploying its
underground mining equi pment to Zimap an to increase production at Zimapan with no additional
capital investme nt. This equipment has been initially deployed on past producing areas at the
Zimapan mine leading to an increase in tons mined with a small reduction in head grade resul ting in
increased production in Q4 21 and Q1 22 . We continue to anticipate additiona l growth at Zimapan
as the mine ramps up to higher throughput levels as well as improved silver head grades due to
ongoing developments to higher grade areas over the next few quarters”.
Mr. Silva added; “The acquisition of Glencore´s Bolivian assets is a major development for our
Company. We are continuing to advance the transition process, and similarities in culture, ideology
and values appear to be resulting in a smooth and efficient progression of synergies with respect to
the Bolivian Operations. We will keep executing our planned integration process with discipline and
industry best practices while incorporating the Santacruz philosophy, with the goal of creating value
to our stakeholders”
CONSOLIDATED PRODUCTION RESULTS – (Mexico and Bolivia Operations*)
Q1 2022 Q4 2021 Q1 2021
Material Processed (tonnes milled) 227,570 192,901 176,239
Silver equivalent production (oz) 1,391,590 842,027 706,978
Silver production (oz) 469,829 318,374 325,376
Lead production (tonnes) 1,493 1,012 945
Zinc production (tonnes) 6,325 3,442 2,285
Copper production (tonnes) 419 488 354
Average Head Grade (g/t Ag Eqv.) 235 184 176
Development (metres) 3,572 2,865 2,212
*Only 13 days of production from our Bolivian Operations has been included in the production resu lts for Q1
2022.
MEXICO CONSOLIDATED PRODUCTION RESULTS
Q1 2022 Q4 2021* Q1 2021
Material Processed (tonnes milled) 191,413 192,901 176,239
Silver equivalent production (oz) 901,184 842,027 706,978
Silver production (oz) 307,371 318,374 325,376
Silver head grade (g/t) 69 76 82
Lead head grade (%/t) 0.72 0.60 0.60
Zinc head grade (%/t) 2.31 2.26 1.94
Copper head grade (%/t) 0.29 0.35 0.27
Silver recovery (%) 72.2 67.2 70.0
Lead production (tonnes) 1,214 1,012 945
Zinc production (tonnes) 3,380 3,442 2,285
Copper production (tonnes) 419 488 354
Average Head Grade (g/t Ag Eqv.) 192 184 176
Development (metres) 2,765 2,865 2,212
* The Rosario mine was place d on care a nd ma intenance during Q3 2021 and as such no production
numbers were reported for Q4 2021.
ZIMAPAN MINE PRODUCTION RESULTS – (Mexico)
Q1 2022 Q4 2021 Q1 2021
Material Processed (tonnes milled) 191,413 192,901 156,433
Silver equivalent production(oz) 901,184 842,027 646,085
Silver production (oz) 307,371 318,374 294,099
Silver head grade (g/t) 69 76 85
Lead head grade (%/t) 0.72 0.60 0.63
Zinc head grade (%/t) 2.31 2.26 1.99
Copper head grade (%/t) 0.29 0.35 0.31
Silver recovery (%) 72.2 67.2 70.0
Lead production (tonnes) 1,214 1,012 892
Zinc production (tonnes) 3,380 3,442 2,067
Copper production (tonnes) 419 488 354
Average Head Grade (g/t Ag Eqv.) 192 184 182
Development (metres) 2,765 2,865 1,724
BOLIVIA CONSOLIDATED Q1 2022 PRODUCTION RESULTS*
Q1 2022 BOLIVAR PORCO CABALLO
BLANCO SAN LUCAS TOTAL
Material Processed (tonnes milled) 9,612 10,237 5,669 10,640 36,157
Silver equivalent production (oz) 120,127 125,243 66,855 178,180 490,405
Silver production (oz) 49,742 35,476 26,099 51,140 162,458
Silver head grade (g/t) 191 138 152 165 162
Lead head grade (%/t) 0.63 0.66 1.54 1.08 0.91
Zinc head grade (%/t) 7.00 8.40 6.05 11.55 8.59
Silver recovery (%) 84.4 78.1 94.1 90.5 86.1
Lead production (tonnes) 54 56 79 90 279
Zinc production (tonnes) 636 822 331 1,155 2,944
Average Head Grade (g/t Ag Eqv.) 433 426 386 565 462
Development (metres) 183 201 423 - 808
*Only 13 days of production from the Bolivian Operations have been included in the production results set out
in the table above for Q1 2022.
BOLIVIA CONSOLIDATED TOTAL Q1 2022 PRODUCTION RESULTS*
Q1 2022 BOLIVAR PORCO CABALLO
BLANCO SAN LUCAS TOTAL
Material Processed (tonnes milled) 67,424 45,461 67,836 73,428 254,149
Silver equivalent production (oz) 896,670 515,053 820,269 1,186,083 3,418,075
Silver production (oz) 368,860 147,723 312,376 364,931 1,193,890
Silver head grade (g/t) 192 116 160 182 167
Lead head grade (%/t) 0.64 0.64 1.57 1.29 1.08
Zinc head grade (%/t) 7.58 7.73 6.47 10.61 8.19
Silver recovery (%) 88.5 87.3 89.5 85.1 87.5
Lead production (tonnes) 386 246 963 779 2,374
Zinc production (tonnes) 4,788 3,350 4,143 7,309 19,590
Average Head Grade (g/t Ag Eqv.) 453 381 408 557 458
Development (metres) 1,685 1,744 892 - 4,321
*The table above includes all production in Q1 2022, including production which occurred while the Bolivian
Operations were owned by Glencore (prior to completion of the acquisition of the Bolivian Operations from
Glencore).
BOLIVIA AND MEXICO CONSOLIDATED PRODUCTION RESULTS –
(Considering a full Q1 2022 production for Bolivia and Mexico)*
Q1 2022
Material Processed (tonnes milled) 445,562
Silver equivalent production (oz) 4,319,260
Silver production (oz) 1,501,262
Silver head grade (g/t) 125
Lead head grade (%/t) 0.92
Zinc head grade (%/t) 5.66
Copper head grade (%/t) 0.12
Silver recovery (%) 83.9
Lead production (tonnes) 3,589
Zinc production (tonnes) 22,970
Copper production (tonnes) 419
Average Head Grade (g/t Ag Eqv.) 344
Development (metres) 7,086
*The table above includes all production in Q1 2022, including production which occurred while the Bolivian
Operations were owned by Glencore (prior to completion of the acquisition of the Bolivian Operations from
Glencore).
The Company has calculated the Ag Eq for the tables set out above using the following metal prices:
• 2022 Ag Eq was calculated using metal prices of: Ag $25.60/oz, Pb $0.94/lb, Zn $1.20/lb and Cu
$4.01/lb.
• 2021 Ag Eq was calculated using metal prices of: Ag $25.00/oz, Pb $0.85/lb, Zn $1.05/lb and Cu
$3.00/lb.
About Santacruz Silver Mining Ltd.
The Company is engaged in the operati on, acquisition, exploration and development of minera l
properties in Latin America , with a primary focus on silver a nd zinc, but also including lead and
copper. The Company currently has four producin g projects which include the Zim apan mine in
Mexico and recently the Caballo Blanco mine, the Bolivar mine (45% interest) and Porco mine
(45%). The Company also has a 100% interest in the San Lucas ore sourcing and t rading business.
The Comp any hold s three exploration properties in its mineral property por tfolio, being the La
Pechuga Property (Mexico), the Santa Gor gonia Prospect (Mexico) and the Soracaya Prospect
(Bolivia).
‘signed’
Arturo Préstamo Elizondo,
Executive Chairman
For further information please contact:
Mars Investor Relations
Telephone: (778) 999 4653
Arturo Prestamo
Santacruz Silver Mining Ltd.
Email: [email protected]
Telephone: (528) 183 785707
Neither the TSX Venture Exchange no r its Regulation Services Provider ( as that term is defined in
the policies of t he TSX Venture Exchange) accepts respons ibility for the adequacy or accuracy of
this release.
Scientific and Technical Information
Scientific and technical information in this news release related to production results from Santacruz
managed assets has been reviewed and approved by Wayne Corso P.E. Mr. Corso is independent
of the Company as defined by National Instrument 43 -101 – Standards of Disclosure for Mineral
Projects (“NI 43-101”).
Zimapan Mine
Production at the Zimapan Mine is not supported by a feasibility study on mineral reserves demonstrating
economic or technical viability or any oth er independent economic study under NI 43-101. Accordingly,
there is increased uncertainty and higher economic and technica l r isks of failure associated with
production operations at t he Zimapan Mine. Pro duction and economi c variables may vary considerably
due to the absence of a complete and detailed site analysis according to and in accordance with NI 43 -
101. Project failure may adversely impact the Company’s future profitability.
Bolivian Operations
Production with resp ect to the B olivian Operations is not supported by a feasibility study on mineral
reserves demonstrating economic or technical viability or any other independ ent economic study under
NI 43-101. Accordingly, there is increased uncertainty and higher economic and technical risks of failure
associated with production operations at the Bolivi an Operations. Production and economic variables
may vary considerably due to the absence of a complete and det ailed site analysis according to and in
accordance with NI 43-101. Project failures may adversely impact the Company’s future profitability.
Forward looking information
Certain statements contained in this news release constitute "forward-looking information" as such term
is used in applicable Canadian securities la ws, including statements relating to production at the
Zimapan Mine the Bolivian Operations and the Company's plans relating to such properties. Forward-
looking information is based on plans, ex pectations and estimates of management at the d ate 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 a pplied several material assumptions.,
including, but not limited to, assumptions as the Company's financial condition and development plans do
not change as a result of unforeseen events, that the Company will receive all required regulatory
approvals, and that future metal prices and the demand and market outlook for metals will remain s table
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 v ary materially from thos e projected i n 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 above prove not to be valid or reliable; market conditions and volatility and global economic conditions,
including increased volatility and potentially negative capital raising conditions resulting from the
continued COVID-19 pandemic and risks rel ating to the extent and duration of s uch pandemic and its
impact on global markets ; risk of delay and/or cessation in planned work or changes in the Company's
financial condition and development plans; risks associated with the interpretation of data (incl uding in
respect of thir d party miner alized material) regarding the geology, grade a nd continuity of mineral
deposits; the uncertainty of the geology, grade and continuity of mineral deposits and the risk of
unexpected variations in mineral resources, grad e and/or recovery rates; risks relate d to gold, silver,
base metal and other commodity price fluctuations; risks relating to environmental regulation and liability;
the possibility that results will not be consistent with the Company's expectations, as wel l as the other
risks and uncertainties applicable to mineral exploration and develop ment activities and to the Comp any
as set forth in the Company's continuous disclosure filings filed under the Company's profile at
www.sedar.com. There can b e no assuranc e that any forward -looking information will pro ve to be
accurate, as actual re sults 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 ob ligation to up date forward -looking information or
statements, other than as required by applicable law.