Shafter has a NI 43-101 silver resource of 24.6 million ounces measured and indicated , v22.8 million ounces inferred and a feasibility completed .
Aurcana acquired Shafter in 2008 . The mine has all necessary infrastructure in place , as a major power line and paved highway cross the property . In addition , there is an electrical substation on site and a 1,050-foot shaft serviced by an 80-tonsper-hour hoist , as well as more than 5,000 feet of underground development .
According to the feasibility study , Shafter ’ s annual production is forecast at 3.8 million ounces silver recovered once the mine and mill are operating at capacity . When it is running at full steam , Shafter could be the second-largest producing pure silver mine in the United States and could supply 10 percent of all U . S . silver .
“ We are bringing in some additional equipment to Shafter , and we expect to be increasing production later in the year ,” Rodriguez says .
“ We expect to have substantial increases in revenue and silver production , and we expect to reach capacity at Shafter in the first quarter of 2014 ,” he adds .
Exploration will continue at both La Negra and Shafter . As studies are completed , updated resources will be announced . In the meantime , Aurcana will continue to focus on future growth .
Because of the potential of both of its properties , Aurcana believes that it is in a strong position to realize its organic growth potential . The company is confident that its existing mines will help it successfully pursue its goals as it looks to emerge as a senior silver producer .
“ In the short term , low metal prices are a concern , but we are a lowcost producer and are very efficient and productive ,” Rodriguez says .
“ We know we will have to engage in some feasibility studies and improve our plant and equipment to accommodate larger production levels ,” he continues . “ Over the next three to five years , we expect La Negra to be producing as one of largest underground mines in Mexico .” ■
[ Details correct at time of writing ]
www . aurcana . com m-mtoday . com 47