E79 Resources

Silvercorp Reports Q2 Fiscal 2016 Financial and Operating Results

VANCOUVER, Nov. 12, 2015 /CNW/ - Silvercorp Metals Inc. ("Silvercorp" or the "Company") (TSX: SVM) reported its financial and operating results for the second quarter ended September 30, 2015 ("Q2 Fiscal 2016").  All amounts are expressed in US Dollars.

SECOND QUARTER HIGHLIGHTS

  • Cash flows from operations of $4.6 million, or $0.03 per share;
  • Repurchased 1,638,252 common shares of the Company;
  • Ended the quarter with $70.7 million in cash and short term investments;
  • Net income attributable to equity shareholders of $2.2 million, or $0.01 per share;
  • Silver sales of 1.3 million ounces, lead sales of 13.2 million pounds, and zinc sales of 4.6 million pounds, down 7%, 7%, and 11%, respectively, from the prior year quarter;
  • Realized selling price for silver, lead, and zinc at the Ying Mining District dropped by 26%, 8%, and 19%, respectively, compared to the same prior year quarter;
  • Sales of $27.2 million, down 27% from the prior year quarter;
  • Significant increase of silver-lead concentrate inventory from 430 tonnes to 2,228 tonnes (containing approximately 0.2 million ounces of silver and 2.0 million pounds of lead) at the Ying Mining District, compared to the prior year quarter;
  • Gross margin of 32% compared with 49% in the prior year period;
  • Cash cost per ounce of silver, net of by-product credits, of $1.52, compared to negative $0.98 in the prior year quarter; and
  • All-in sustaining cost per ounce of silver, net of by-product credits, of $12.40, compared to $9.68 in the prior year quarter.

FINANCIALS

Net income attributable to the shareholders of the Company in Q2 Fiscal 2016 was $2.2 million, or $0.01 per share compared to $7.2 million, or $0.04 per share for the three months ended September 30, 2014 ("Q2 Fiscal 2015").

In the current quarter, the Company's financial results were mainly impacted by the following: i) lower metal prices, as the realized selling price for silver, lead, and zinc at the Ying Mining District dropped by 26%, 8%, and 19%, respectively, compared to the same prior year quarter, ii) lower gold production and sales as operations at BYP mine have been suspended since August 2014; iii) higher production costs; and iv) lower amount of metals sold as increase in silver-lead and zinc concentrate inventory.

Sales in Q2 Fiscal 2016 were $27.2 million compared to $37.3 million in Q2 Fiscal 2015.  Silver and gold sales represented $14.7 million and $0.5 million, respectively, while base metals represented $12.0 million of total sales in this quarter compared to silver, gold and base metal sales of $21.7 million, $0.7 million, and $14.9 million, respectively, in Q2 Fiscal 2015.

Cost of sales in Q2 Fiscal 2016 was $18.4 million compared to $18.9 million in Q2 Fiscal 2015.  The cost of sales included $14.4 million (Q2 Fiscal 2015 - $14.2 million) cash costs and $4.0 million (Q2 Fiscal 2015 - $4.7 million) depreciation, amortization and depletion charges. The decrease in cost of sales is mainly due to lower amount of metals sold in the quarter, offset by the increase in per tonne mining production costs.

Gross profit margin in Q2 Fiscal 2016 was 32% compared to 49% in Q2 Fiscal 2015.  The decrease in gross profit margin is mainly due to the decline of metal prices, increases in smelter charges, and increased per tonne production costs.

Cash flows provided by operating activities were $4.6 million or $0.03 per share in Q2 Fiscal 2016 compared to $20.1 million or $0.12 per share in Q2 Fiscal 2015. 

OPERATIONS AND DEVELOPMENT

In Q2 Fiscal 2016, the Company sold 1.3 million ounces of silver, 13.2 million pounds of lead, and 4.6 million pounds of zinc, compared to 1.3 million ounces of silver, 14.1 million pounds of lead, and 5.2 million pounds of zinc, respectively, in Q2 Fiscal 2015.  The decrease of metal sales is mainly due to the Company intentionally increasing its inventory of concentrates in reaction to lower metal prices. As at September 30, 2015, the Ying Mining District had 2,228 tonnes of lead concentrates and 260 tonnes of zinc concentrates in inventory, 1,798 and 220 tonnes higher, respectively, compared to 430 tonnes of lead concentrates and 40 tonnes of zinc concentrates in stock as at September 30, 2014. The estimated metals contained in the concentrates inventory as at September 30, 2015, are approximately 0.2 million ounces of silver, 2.0 million pounds of lead, and 0.2 million pounds of zinc higher, respectively, compared to the metals contained in concentrates inventory as at September 30, 2014.

For the six months ended September 30, 2015, the Company sold 2.6 million ounces of silver, 27.5 million pounds of lead, and 9.0 million pounds of zinc, compared to 2.5 million ounces of silver, 25.6 million pounds of lead, and 6.4 million pounds of zinc, respectively, in the same prior year period.

1. Ying Mining District, Henan Province, China

In Q2 Fiscal 2016, the total ore mined at the Ying Mining District was 171,014 tonnes compared to total ore production of 197,135 tonnes in Q2 Fiscal 2015.  Silver and lead head grades improved by 10% and 15%, respectively, to 246 grams per tonne ("g/t") for silver and 3.8% for lead from 223 g/t for silver and 3.3% for lead, respectively, in Q2 Fiscal 2015.

In Q2 Fiscal 2016, the Ying Mining District sold 1.1 million ounces of silver, 700 ounces of gold, 11.5 million pounds of lead, and 1.5 million pounds of zinc, compared to 1.3 million ounces of silver, 788 ounces of gold, 12.7 million pounds of lead, and 1.9 million pounds of zinc in Q2 Fiscal 2015.  The decrease of metal sales is mainly due to the Company intentionally increasing its inventory of concentrates in reaction to the low metal prices.

As disclosed in the prior quarter, the mining contractor changeover disruptions have impacted not only the production but also resulted in additional costs at the SGX mine, including approximately $0.5 million in the current quarter and $1.5 million in total.  In Q2 Fiscal 2016, the cash mining costs at the Ying Mining District were $10.6 million or $62.15 per tonne, compared to $8.6 million or $43.62 per tonne in Q2 Fiscal 2015. The increase in cash mining costs was mainly due to: i) $0.5 million or $2.6 per tonne arising from the mining contractor changeover interruption; ii) $2.1 million or $14.5 per tonne increase in mining preparation costs as approximately 22,846 metres ("m") of underground diamond drilling and 6,507 m of preparation tunnelling were conducted in the current quarter, compared to 7,104 m of underground diamond drilling and 4,503 m of preparation tunnelling expensed in Q2 Fiscal 2015; iii) $0.1 million or $0.8 per tonne increase in mine administration costs; offset by iv) $0.3 million or $0.9 per tonne decrease in labour costs and v) $0.2 million decrease in mining contractors' costs, but lower production output resulting in a higher per tonne costs. 

Compared to the cash mining cost of $9.5 million or $56.65 per tonne in Q1 Fiscal 2016, the cash mining cost increased by $1.1 million or $5.50 per tonne in Q2 Fiscal 2016. Excluding the additional costs arising from the mining contractor interruption, the increase in cash mining costs was mainly due to: i) a $1.4 million increase in mining preparation costs as 22,846 m of underground diamond drilling and 6,507 m of preparation tunnelling were completed, and ii) a $0.2 million or $0.6 increase in mining contractors' costs as more re-suing mining methods were employed.

In Q2 Fiscal 2016, total ore milled at the Ying Mining District was 176,936 tonnes, a decrease of 7% compared to 190,831 tonnes in Q2 Fiscal 2015. Cash milling costs were $2.0 million or $11.55 per tonne, a decrease of $0.4 million or $1.22 per tonne, compared to $2.4 million or $12.77 per tonne in Q2 Fiscal 2015.

All in sustaining costs and all in costs, net of by-product credits, at the Ying Mining District in Q2 2016 was $9.88 and $12.06 per ounce of silver compared to $7.68 and $23.49, respectively, in Q2 Fiscal 2015.

For the six months ended September 30, 2015, the total ore mined at the Ying Mining District was 338,120 tonnes compared to 370,619 tonnes in the same prior year period.  Correspondingly, total ore milled was 337,213 tonnes compared to 360,311 tonnes.  Head grades were 252 g/t for silver and 3.7% for lead compared to 225 g/t for silver and 3.3% for lead, respectively.

During the same time periods, the Ying Mining District sold 2.3 million ounces of silver, 1,500 ounces of gold, 23.5 million pounds of lead, and 2.8 million pounds of zinc, compared to 2.4 million ounces of silver, 1,610 ounces of gold, 24.2 million pounds of lead, and 3.2 million pounds of zinc in the prior year.

For the six months ended September 30, 2015, the cash mining costs at the Ying Mining District were $20.1 million or $59.43 per tonne, compared to $16.7 million or $45.18 per tonne in the same prior year period.  The increase in cash mining costs per tonne was mainly due to: i) a $1.5 million or $4.5 per tonne increase arising from the mining contractor changeover interruption; ii) a $2.4 million or $9.6 per tonne increase in mining preparation costs as approximately 39,212 m of underground diamond drilling and 12,563 m of preparation tunnelling were conducted in the current period, compared to 15,709 m of underground diamond drilling and 9,251 m of preparation tunnelling expensed in the same prior year period, and iii) lower production output resulting in a higher per unit fixed costs allocation. 

All in sustaining costs and all in costs, net of by-product credits, at the Ying Mining District for the six months ended September 30, 2015 was $9.52 and $10.86 per ounce of silver compared to $8.44 and $17.79, respectively, in same prior year period.

In Q2 Fiscal 2016, in additional to approximately 22,846 m of underground diamond drilling and 6,507 m of preparation tunnelling, which were expensed and included in the mining preparation costs, Ying Mining District completed and capitalized approximately 17,271 m of horizontal tunnels, raises and declines. Total exploration and development expenditures capitalized for the Ying Mining District were $5.7 million compared to $9.0 million in Q2 Fiscal 2015.

For the six months ended September 30, 2015, in additional to approximately 39,212 m underground diamond drilling and 12,563 m preparation tunnelling, which were expensed and included in the mining preparation costs, Ying Mining District completed and capitalized approximately 35,790 m of horizontal tunnel, raises, and declines. Total exploration and development expenditures capitalized for the Ying Mining District were $11.8 million in the six months ended September 30, 2015 compared to $17.1 million in the same prior year period.

The operational results at the Ying Mining District for the past five quarters are summarized in the table below:

Operational results - Ying Mining District            
    Q2 2016 Q1 2016 Q4 2015 Q3 2015 Q2 2015
    30-Sep-15 30-Jun-15 31-Mar-15 31-Dec-14 30-Sep-14
Ore Mined (tonne)   171,014 167,107 112,327 175,782 197,135
Ore Milled (tonne)    176,936 160,277 99,478 187,154 190,831
Head Grades             
  Silver (gram/tonne)   246 250 268 253 223
  Lead (%)   3.8 3.6 3.7 3.6 3.3
  Zinc (%)   0.7 0.8 0.8 1.0 0.7
Recovery Rates            
  Silver (%)   94.8 94.7 94.8 94.7 94.4
  Lead (%)   95.0 94.9 95.3 95.9 95.2
  Zinc (%)   55.1 53.5 52.4 66.8 56.7
Metal Sales             
  Silver (in thousands of ounce)   1,132 1,190 822 1,421 1,251
  Gold (in thousands of ounce)   0.7 0.9 0.6 0.9 0.8
  Lead (in thousands of pound)   11,529 12,454 8,312 14,168 12,665
  Zinc (in thousands of pound)   1,459 1,529 875 2,531 1,944
Cash mining cost ($ per tonne   62.15 56.65 53.25 57.79 43.62
Total mining cost ($ per tonne   86.29 75.00 74.84 73.28 55.41
Cash milling cost ($ per tonne   11.55 12.98 16.20 13.63 12.77
Total milling cost ($ per tonne   13.70 15.40 20.09 15.77 14.85

2.  GC Mine, Guangdong Province, China

Commercial production at GC mine commenced on July 1, 2014, and the trial mining operation results in Q1 Fiscal 2015 have been excluded from the consolidated operation results discussed above and revenue realized from metal sales during the trial period was offset against costs capitalized.

The operational results at the GC mine for the past five quarters are summarized in the table below:

Production results - GC Mine       Q2 2016 Q1 2016 Q4 2015 Q3 2015 Q2 2015
        30-Sep-15 30-Jun-15 31-Mar-15 31-Dec-14 30-Sep-14
                 
Ore Mined (tonne)       69,546 66,727 46,111 87,916 70,898
Ore Milled (tonne)        68,465 66,679 46,100 90,287 69,144
Head Grades                 
  Silver (gram/tonne)       107 93 107 104 107
  Lead (%)       1.4 1.7 1.2 1.3 1.4
  Zinc (%)       2.8 2.5 2.6 2.6 2.8
Recovery Rates                
  Silver (%)       77.0 79.3 76.1 75.9 79.4
  Lead (%)       89.5 89.7 84.9 85.9 88.1
  Zinc (%)       82.7 85.1 80.0 80.6 81.0
Metal Sales                 
  Silver (in thousands of ounce)       128 181 99 251 97
  Lead (in thousands of pound)       1,632 2,420 867 2,500 1,428
  Zinc (in thousands of pound)       3,172 3,029 1,668 4,452 3,259
Cash mining cost ($ per tonne)        36.49 48.74 86.35 33.11 29.25
Total mining cost ($ per tonne)        44.68 56.83 132.41 55.20 51.69
Cash milling cost ($ per tonne)        15.81 15.52 42.70 15.82 17.59
Total milling cost ($ per tonne)        18.05 17.83 58.58 19.88 22.81

Total ore mined at GC mine in Q2 Fiscal 2016 was 69,546 tonnes at a total mining cost and cash mining cost of $44.68 and $36.49, compared to 70,898 tonnes mined in Q2 Fiscal 2015 at a total mining cost and cash mining cost of $51.69 and $29.25. The increase in cash mining cost was mainly due to $0.6 million or $8.5 per tonne increase in mining preparation cost offset by $0.1 million or $1.7 per tonne in mining contractor's cost. 

Total ore milled at GC mine in Q2 Fiscal 2016 was 68,465 at a total milling cost and cash milling cost of $18.05 and $15.81, compared to 69,144 tonnes milled in Q2 Fiscal 2015 at a total milling cost and cash milling cost of $22.81 and $17.59.

The head grades at GC mine were 107 g/t for silver, 1.4% for lead, and 2.8% for zinc in Q2 Fiscal 2016, which are comparable to the head grades in Q2 Fiscal 2015.

Recovery rates at GC mine were 77% for silver, 89.5% for lead, and 82.7% for zinc in Q2 Fiscal 2016 compared to 79.4% for silver, 88.1% for lead, and 81.0% for zinc, respectively in Q2 Fiscal 2015.

In Q2 Fiscal 2016, in additional to approximately 6,882 m of underground diamond drilling and 677 m of preparation tunnelling, which were expensed and included in the mining preparation costs, GC mine completed and capitalized approximately 3,090 m of horizontal tunnels, raises and declines. Total exploration and development expenditures capitalized at the GC mine were $0.3 million compared to $1.9 million in Q2 Fiscal 2015.

For the six months ended September 30, 2015, in additional to approximately 14,298 m of underground diamond drilling and 1,962 m of preparation tunnelling, which were expensed and included in the mining preparation costs, GC mine completed and capitalized approximately 6,459 m of horizontal tunnel, raises, and declines. Total exploration and development expenditures capitalized at the GC mine were $0.5 million in the six months ended September 30, 2015 compared to $2.3 million in the same prior year period.

Alex Zhang, P.Geo., Vice President, Exploration, is the Qualified Person for Silvercorp under NI 43-101 and has reviewed and given consent to the technical information contained in this news release.

This earnings release should be read in conjunction with the Company's Management Discussion & Analysis, Financial Statements and Notes to Financial Statements for the corresponding period, which have been posted on SEDAR at www.sedar.com and are also available on the Company's website at www.silvercorp.ca. All figures are in United States dollars unless otherwise stated.

About Silvercorp

Silvercorp is a low-cost silver-producing Canadian mining company with multiple mines in China. The Company's vision is to deliver shareholder value by focusing on the acquisition of under developed projects with resource potential and the ability to grow organically. For more information, please visit our website at www.silvercorp.ca.

CAUTIONARY DISCLAIMER - FORWARD LOOKING STATEMENTS

Certain of the statements and information in this press release constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian provincial securities laws. Any statements or information that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects", "is expected", "anticipates", "believes", "plans", "projects", "estimates", "assumes", "intends", "strategies", "targets", "goals", "forecasts", "objectives", "budgets", "schedules", "potential" or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements or information.  Forward-looking statements or information relate to, among other things: the price of silver and other metals; the accuracy of mineral resource and mineral reserve estimates at the Company's material properties; the sufficiency of the Company's capital to finance the Company's operations; estimates of the Company's revenues and capital expenditures; estimated production from the Company's mines in the Ying Mining District; timing of receipt of permits and regulatory approvals; availability of funds from production to finance the Company's operations; and access to and availability of funding for future construction, use of proceeds from any financing and development of the Company's properties.

Forward-looking statements or information are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks relating to: fluctuating commodity prices; calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; feasibility and engineering reports; permits and licences; title to properties; property interests;  joint venture partners; acquisition of commercially mineable mineral rights; financing; recent market events and conditions; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into the Company's existing operations;  competition;  operations and political conditions; regulatory environment in China and Canada;  environmental risks; foreign exchange rate fluctuations; insurance; risks and hazards of mining operations; key personnel; conflicts of interest; dependence on management; internal control over financial reporting as per the requirements of the Sarbanes-Oxley Act; and bringing actions and enforcing judgments under U.S. securities laws.

This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements or information. Forward-looking statements or information are statements about the future and are inherently uncertain, and actual achievements of the Company or other future events or conditions may differ materially from those reflected in the forward-looking statements or information due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Company's Annual Information Form for the year ended March 31, 2015 under the heading "Risk Factors".  Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated, described or intended.  Accordingly, readers should not place undue reliance on forward-looking statements or information.  

The Company's forward-looking statements and information are based on the assumptions, beliefs, expectations and opinions of management as of the date of this press release, and other than as required by applicable securities laws, the Company does not assume any obligation to update forward-looking statements and information if circumstances or management's assumptions, beliefs, expectations or opinions should change, or changes in any other events affecting such statements or information. For the reasons set forth above, investors should not place undue reliance on forward-looking statements and information.

SILVERCORP METALS INC.
Condensed Consolidated Interim Balance Sheets
(Unaudited - Expressed in thousands of U.S. dollars)
             
    As at September 30,     As at March 31,
      2015     2015
ASSETS            
Current Assets            
  Cash and cash equivalents   $ 67,216   $ 60,179
  Short-term investments     3,439     9,343
  Trade and other receivables     1,846     1,278
  Inventories     9,928     6,899
  Due from related parties     147     33
  Prepaids and deposits     6,284     5,745
      88,860     83,477
             
Non-current Assets            
  Long-term prepaids and deposits     4,670     2,945
  Reclamation deposits     2,068     2,112
  Investment in an associate     3,362     3,449
  Other investments     614     892
  Plant and equipment     65,340     64,779
  Mineral rights and properties     214,439     214,792
TOTAL ASSETS   $ 379,353   $ 372,446
             
LIABILITIES AND EQUITY            
Current Liabilities            
  Accounts payable and accrued liabilities   $ 34,256   $ 21,768
  Mine right fee payable     4,259     4,292
  Deposits received     5,783     8,303
  Dividends payable     -     674
  Income tax payable     673     662
      44,971     35,699
             
Non-current Liabilities            
  Mine right fee payable     9,650     9,746
  Deferred income tax liabilities     22,480     21,592
  Environmental rehabilitation     12,821     12,898
Total Liabilities     89,922     79,935
             
Equity            
  Share capital     232,246     233,513
  Share option reserve     12,249     11,741
  Reserves     25,409     25,409
  Accumulated other comprehensive loss     (33,989)     (26,697)
  Deficit     (1,244)     (5,089)
Total equity attributable to the equity holders of the Company     234,671     238,877
             
Non-controlling interests     54,760     53,634
Total Equity     289,431     292,511
             
TOTAL LIABILITIES AND EQUITY   $ 379,353   $ 372,446
                   
SILVERCORP METALS INC.
Condensed Consolidated Interim Statements of Income
(Unaudited - Expressed in thousands of U.S. dollars, except for per share figures)
                   
    Three Months Ended September 30, Six Months Ended September 30,
      2015   2014   2015   2014
                   
Sales   $ 27,213 $ 37,333 $ 59,433 $ 67,949
Cost of sales     18,385   18,894   39,149   33,857
Gross profit     8,828   18,439   20,284   34,092
                   
General and administrative     4,907   6,099   10,251   10,867
Government fees and other taxes     1,847   1,396   3,196   2,977
Foreign exchange gain     (1,984)   (1,594)   (1,397)   (469)
(Gain) loss on disposal of plant and equipment     (22)   14   (15)   14
Share of (gain) loss in associate     (179)   (90)   (101)   42
Loss on investments     -   -   -   15
Other income     (124)   (891)   (114)   (1,047)
Income from operations     4,383   13,505   8,464   21,693
                   
Finance income     264   268   541   432
Finance costs     (139)   (39)   (471)   (71)
Income before income taxes     4,508   13,734   8,534   22,054
                   
Income tax expense     1,529   4,120   1,784   7,805
Net income   $ 2,979 $ 9,614 $ 6,750 $ 14,249
                   
Attributable to:                  
  Equity holders of the Company   $ 2,234 $ 7,228 $ 4,530 $ 9,972
  Non-controlling interests     745   2,386   2,220   4,277
    $ 2,979 $ 9,614 $ 6,750 $ 14,249
                   
Earnings per share attributable to the equity holders
of the Company
                 
Basic and diluted earnings per share   $ 0.01 $ 0.04 $ 0.03 $ 0.06
Weighted Average Number of Shares Outstanding
- Basic and Diluted
    170,307,013   170,881,836   170,593,834   170,883,808
                   
SILVERCORP METALS INC.
Condensed Consolidated Interim Statements of Cash Flow
(Unaudited - Expressed in thousands of U.S. dollars)
                   
    Three Months Ended September 30, Six Months Ended September 30,
      2015   2014   2015   2014
Cash provided by                  
Operating activities                  
  Net income   $ 2,979 $ 9,614 $ 6,750 $ 14,249
  Add (deduct) items not affecting cash:             -   -
    Unwinding of discount of environmental
rehabilitation
    124   39   248   71
    Depreciation, amortization and depletion     4,400   5,269   9,377   8,692
    Share of (gain) loss in associate     (179)   (90)   (101)   42
    Income tax expense     1,529   4,120   1,784   7,805
    Finance income     (264)   (268)   (541)   (432)
    Loss on investments     -   -   -   15
    (Gain) loss on disposal of plant and equipment     (22)   14   (15)   14
    Share-based compensation     343   445   508   796
  Income taxes refund (paid)     56   (2,151)   (303)   (3,447)
  Interest received     264   268   541   432
  Changes in non-cash operating working capital     (4,599)   2,845   (297)   5,694
Net cash provided by operating activities     4,631   20,105   17,951   33,931
                   
Investing activities                  
  Mineral rights and properties                  
    Capital expenditures     (1,364)   (7,430)   (8,730)   (13,735)
  Plant and equipment                  
    Additions     (2,272)   (2,549)   (2,990)   (4,127)
    Proceeds on disposals     25   -   30   -
  Reclamation deposit paid     -   -   (9)   -
  Net redemptions of short-term investments     5,658   (1,850)   5,707   (119)
Net cash provided by (used in) investing activities     2,047   (11,829)   (5,992)   (17,981)
                   
Financing activities                  
  Non-controlling interests                  
    Distribution     -   (2,563)   -   (2,563)
  Cash dividends distributed     (638)   (796)   (1,323)   (1,571)
  Common shares repurchased as part of normal
course issuer bid
    (1,267)   -   (1,267)   -
Net cash used in financing activities     (1,905)   (3,359)   (2,590)   (4,134)
                   
Effect of exchange rate changes on cash and cash
equivalents
    (2,990)   (1,056)   (2,332)   244
                   
Increase in cash and cash equivalents     1,783   3,861   7,037   12,060
                   
Cash and cash equivalents, beginning of the period     65,433   68,813   60,179   60,614
                   
Cash and cash equivalents, end of the period   $ 67,216 $ 72,674 $ 67,216 $ 72,674
         
SILVERCORP METALS INC.
Mining Data
(Expressed in thousands of U.S. dollars, except for mining data figures)
         
        Three months ended September 30, 2015
        Ying Mining
District1
GC2 Total
             
Production Data        
  Mine Data        
    Ore Mined (tonne)   171,014 69,546 240,560
    Ore Milled (tonne)   176,936 68,465 245,401
             
  + Mining cost per tonne of ore mined ($)   86.29 44.68 74.26
      Cash mining cost per tonne of ore mined ($)    62.15 36.49 54.73
      Non cash mining cost per tonne of ore mined ($)   24.14 8.19 19.53
             
  + Unit shipping costs ($)   4.25 - 3.02
             
  + Milling cost per tonne of ore milled ($)    13.70 18.05 14.91
      Cash milling cost per tonne of ore milled ($)    11.55 15.81 12.74
      Non cash milling cost per tonne of ore milled ($)   2.15 2.24 2.17
             
  + Average Production Cost        
      Silver ($ per ounce)   7.77 7.40 7.89
      Gold ($ per ounce)   502 654 523
      Lead ($ per pound)   0.45 0.54 0.47
      Zinc ($ per pound)   0.37 0.47 0.39
             
  + Total production cost per ounce of Silver ($)   4.86 2.99 4.67
  + Total cash cost per ounce of Silver ($)   1.88 (1.69) 1.52
             
  + All-in sustaining cost per ounce of Silver ($)   9.88 13.73 12.40
  + All-in cost per ounce of Silver ($)   12.06 14.80 14.47
             
    Recovery Rates        
      Silver (%)   94.8 77.0 89.8
      Lead (%)   95.0 89.5 93.5
      Zinc (%)   55.1 82.7 62.8
             
    Head Grades        
      Silver (gram/tonne)   246 107 207
      Lead (%)   3.8 1.4 3.1
      Zinc (%)   0.7 2.8 1.3
             
  Concentrate in stock         
    Lead concentrate (tonne)    2,228 728 2,956
    Zinc concentate (tonne)   260 456 716
             
Sales Data         
  Metal Sales         
    Silver (in thousands of ounces)   1,132 128 1,260
    Gold (in thousands of ounces)   0.7 - 0.7
    Lead (in thousands of pounds)   11,529 1,632 13,161
    Zinc (in thousands of pounds)   1,459 3,172 4,631
    Other (in thousands of pound)   - 14,317 14,317
             
             
  Metal Sales         
    Silver (in thousands of $)   13,561 1,151 14,712
    Gold (in thousands of $)     506 13 519
    Lead (in thousands of $)    8,039 1,083 9,122
    Zinc (in thousands of $)    838 1,820 2,658
    Other (in thousands of $)    - 202 202
        22,944 4,269 27,213
  Average Selling Price, Net of Value Added Tax and Smelter Charges        
    Silver ($ per ounce)    11.98 9.02 11.68
    Gold ($ per ounce)   773 797 774
    Lead ($ per pound)   0.71 0.66 0.69
    Zinc ($ per pound)   0.57 0.57 0.57
1 Ying Mining District includes mines: SGX, TLP, HPG,LM, BCG and HZG.
2GC Silver recovery rate consists of 55.3% from lead concentrates and 21.7% from zinc concentrates. 
2GC Silver sold in zinc concentrates is subjected to higher smelter and refining charges which lower the net silver selling price. 
+Non-IFRS measures.
         
SILVERCORP METALS INC.
Mining Data
(Expressed in thousands of U.S. dollars, except for mining data figures)
         
        Three months ended September 30, 2014
        Ying Mining
District1
  BYP   GC   Total
                     
                     
Production Data                
  Mine Data                
    Ore Mined (tonne)   197,135   10,344   70,898   278,377
    Ore Milled (tonne)   190,831   18,296   69,144   278,271
                     
  + Mining cost per tonne of ore mined ($)   55.41   29.93   51.69   53.52
      Cash mining cost per tonne of ore mined ($)    43.62   23.38   29.25   39.21
      Non cash mining cost per tonne of ore mined ($)   11.79   6.55   22.44   14.31
                     
  + Unit shipping costs ($)   4.38   -   -   3.10
                     
  + Milling cost per tonne of ore milled ($)    14.85   11.73   22.81   16.62
      Cash milling cost per tonne of ore milled ($)    12.77   10.56   17.59   13.82
      Non cash milling cost per tonne of ore milled ($)   2.08   1.17   5.22   2.80
                     
  + Average Production Cost                
      Silver ($ per ounce)   7.43   -   12.79   8.16
      Gold ($ per ounce)   383   227   -   441
      Lead ($ per pound)   0.36   -   0.58   0.39
      Zinc ($ per pound)   0.32   -   0.61   0.38
                     
  + Total production cost per ounce of Silver ($)   2.35       4.39   2.50
  + Total cash cost per ounce of Silver ($)   (0.16)       (11.59)   (0.98)
                     
  + Total production cost per ounce of Gold ($)       229       229
  + Total cash cost per ounce of Gold ($)       386       386
                     
  + All-in sustaining cost per ounce of Silver ($)2   7.68   180.25   (4.21)   9.68
  + All-in cost per ounce of Silver ($)2   23.49   205.25   6.65   25.05
                     
    Recovery Rates                
      Silver (%) 3   94.4       79.4   90.4
      Gold (%)       89.1       89.1
      Lead (%)   95.2       88.1   93.3
      Zinc (%)   56.7       81.0   63.2
                     
    Head Grades                
      Silver (gram/tonne)   223       107   192
      Gold (gram/tonne)       2.3       2.3
      Lead (%)   3.3       1.4   2.8
      Zinc (%)   0.7       2.8   1.2
                     
  Concentrate in stock                 
    Lead concentrate (tonne)    430   -   528   958
    Zinc concentate (tonne)   40   -   238   278
                     
Sales Data                 
  Metal Sales                 
    Silver (in thousands of ounce)   1,251   -   97   1,348
    Gold (in thousands of ounce)   0.8   0.1   -   0.9
    Lead (in thousands of pound)   12,665   -   1,428   14,093
    Zinc (in thousands of pound)   1,944   -   3,259   5,203
    Other (in thousands of pound)   -   -   11,343   11,343
                     
  Metal Sales                 
    Silver (in thousands of $)   20,148   -   1,585   21,733
    Gold (in thousands of $)     655   94   -   749
    Lead (in thousands of $)    9,759   -   1,060   10,819
    Zinc (in thousands of $)    1,364   -   2,538   3,902
    Other (in thousands of $)    -   -   130   130
        31,926   94   5,313   37,333
  Average Selling Price,Net of Value Added Tax and
Smelter Charges
               
    Silver ($ per ounce)    16.11   -   16.35   16.12
    Gold ($ per ounce)   831   1,313   -   871
    Lead ($ per pound)   0.77   -   0.74   0.77
    Zinc ($ per pound)   0.70   -   0.78   0.75
    Other ($ per pound)   -   -   0.01   0.01
1 Ying Mining District includes mines: SGX, TLP, HPG&LM.
2 BYP gold ounces converted to silver equivalent using a ratio of 50:1.
3 GC silver recovery rate consist of 55.8% from lead concentrate and 23.6% from zinc concentrate.
+ Non-IFRS measures.
         
SILVERCORP METALS INC.
Mining Data
(Expressed in thousands of U.S. dollars, except for mining data figures)
         
        Six months ended September 30, 2015
        Ying Mining
District1
GC2 Total
             
Production Data        
  Mine Data        
    Ore Mined (tonne)   338,120 136,273 474,393
    Ore Milled (tonne)   337,213 135,145 472,358
             
  + Mining cost per tonne of ore mined ($)   80.71 50.63 72.06
      Cash mining cost per tonne of ore mined ($)    59.43 42.49 54.56
      Non cash mining cost per tonne of ore mined ($)   21.28 8.14 17.50
             
  + Unit shipping costs ($)   4.15 - 2.96
             
  + Milling cost per tonne of ore milled ($)    14.51 17.94 15.49
      Cash milling cost per tonne of ore milled ($)   12.23 15.67 13.21
      Non cash milling cost per tonne of ore milled ($)   2.28 2.27 2.28
             
  + Average Production Cost        
      Silver ($ per ounce)   7.81 8.80 8.17
      Gold ($ per ounce)   499 707 535
      Lead ($ per pound)   0.44 0.61 0.47
      Zinc ($ per pound)   0.39 0.55 0.41
             
  + Total production cost per ounce of Silver ($)   4.53 5.91 4.69
  + Total cash cost per ounce of Silver ($)   1.44 1.52 1.45
             
  + All-in sustaining cost per ounce of Silver ($)   9.52 11.04 11.65
  + All-in cost per ounce of Silver ($)   10.86 11.55 12.88
             
    Recovery Rates        
      Silver (%)   94.7 77.5 89.8
      Lead (%)   95.0 88.6 93.1
      Zinc (%)   54.1 82.9 62.3
             
    Head Grades        
      Silver (gram/tonne)   252 107 211
      Lead (%)   3.7 1.4 3.0
      Zinc (%)   0.8 2.8 1.3
             
  Concentrate in stock         
    Lead concentrate (tonne)    2,228 728 2,956
    Zinc concentate (tonne)   260 456 716
             
Sales Data         
  Metal Sales         
    Silver (in thousands of ounces)   2,321 309 2,630
    Gold (in thousands of ounces)   1.5 - 1.5
    Lead (in thousands of pounds)   23,456 4,052 27,508
    Zinc (in thousands of pounds)   2,831 6,201 9,032
    Other (in thousands of pound)   - 26,532 26,532
             
  Metal Sales         
    Silver (in thousands of $)   29,523 3,107 32,630
    Gold (in thousands of $)    1,230 23 1,253
    Lead (in thousands of $)    16,691 2,812 19,503
    Zinc (in thousands of $)    1,775 3,896 5,671
    Other (in thousands of $)    - 376 376
        49,219 10,214 59,433
  Average Selling Price, Net of Value Added Tax and Smelter Charges        
    Silver ($ per ounce)    12.72 10.06 12.41
    Gold ($ per ounce)   813 808 813
    Lead ($ per pound)   0.71 0.69 0.71
    Zinc ($ per pound)   0.63 0.63 0.63
1 Ying Mining District includes mines: SGX, TLP, HPG,LM, BCG and HZG.
2GC Silver recovery rate consists of 55.3% from lead concentrates and 22.2% from zinc concentrates. 
2GC Silver sold in zinc concentrates is subjected to higher smelter and refining charges which lower the net silver selling price. 
+ Non-IFRS measures.
         
SILVERCORP METALS INC.
Mining Data
(Expressed in thousands of U.S. dollars, except for mining data figures)
         
        Six months ended September 30, 2014
        Ying Mining
District1
  BYP   GC   Total
                     
Production Data                
  Mine Data                
    Ore Mined (tonne)   370,619   46,547   70,898   488,064
    Ore Milled (tonne)   360,311   48,844   69,144   478,299
                     
  + Mining cost per tonne of ore mined ($)   56.79   30.46   51.69   53.53
      Cash mining cost per tonne of ore mined ($)    45.18   22.85   29.25   40.74
      Non cash mining cost per tonne of ore mined ($)   11.61   7.61   22.44   12.80
                     
  + Unit shipping costs ($)   4.56   -   -   3.46
                     
  + Milling cost per tonne of ore milled ($)    14.69   13.36   22.81   15.72
      Cash milling cost per tonne of ore milled ($)    12.49   12.27   17.59   13.20
      Non cash milling cost per tonne of ore milled ($)   2.20   1.09   5.22   2.52
                     
  + Average Production Cost                
      Silver ($ per ounce)   7.51   -   12.79   7.96
      Gold ($ per ounce)   408   564   -   481
      Lead ($ per pound)   0.36   -   0.58   0.38
      Zinc ($ per pound)   0.32   -   0.61   0.36
      Other ($ per pound)   -   -   0.01   0.01
                     
  + Total production cost per ounce of Silver ($)   2.62       4.39   2.69
  + Total cash cost per ounce of Silver ($)   0.14       (11.59)   (0.32)
                     
  + Total production cost per ounce of Gold ($)       565       565
  + Total cash cost per ounce of Gold ($)       454       454
                     
  + All-in sustaining cost per ounce of Silver ($)2   8.44   19.54   (4.22)   10.74
  + All-in cost per ounce of Silver ($)2   17.79   21.24   11.30   20.14
                     
    Recovery Rates                
      Silver (%) 3   94.0       79.4   91.6
      Gold (%)       89.5       89.5
      Lead (%)   95.5       88.1   94.3
      Zinc (%)   56.7       81.0   60.6
                     
    Head Grades                
      Silver (gram/tonne)   225       107   206
      Gold (gram/tonne)       2.6       2.6
      Lead (%)   3.3       1.4   3.0
      Zinc (%)   0.7       2.8   1.0
                     
  Concentrate in stock                 
    Lead concentrate (tonne)    430   -   528   958
    Zinc concentate (tonne)   40   -   238   278
                     
Sales Data                 
  Metal Sales                 
    Silver (in thousands of ounce)   2,377   -   97   2,474
    Gold (in thousands of ounce)   1.6   2.7   -   4.3
    Lead (in thousands of pound)   24,194   -   1,428   25,622
    Zinc (in thousands of pound)   3,155   -   3,259   6,414
    Other (in thousands of pound)   -   -   11,343   11,343
                     
  Metal Sales                 
    Silver (in thousands of $)   37,927   -   1,585   39,512
    Gold (in thousands of $)     1,396   2,775   -   4,171
    Lead (in thousands of $)    18,412   -   1,060   19,472
    Zinc (in thousands of $)    2,126   -   2,538   4,664
    Other (in thousands of $)    -   -   130   130
        59,861   2,775   5,313   67,949
  Average Selling Price, Net of Value Added Tax and Smelter Charges                
    Silver ($ per ounce)    15.96   -   16.35   15.97
    Gold ($ per ounce)   867   1,024   -   965
    Lead ($ per pound)   0.76   -   0.74   0.76
    Zinc ($ per pound)   0.67   -   0.78   0.73
    Other ($ per pound)   -   -   0.01   0.01
1 Ying Mining District includes mines: SGX, TLP, HPG&LM.
2 BYP gold ounces converted to silver equivalent using a ratio of 50:1.
3 GC silver recovery rate consist of 55.8% from lead concentrate and 23.6% from zinc concentrate.
+ Non-IFRS measures.

SOURCE Silvercorp Metals Inc

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Silvercorp Metals

Last Trade: C$7.24
Daily Change: -0.36 -4.74
Daily Volume: 493,981
Market Cap: C$1.270B
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