Jaguar Mining Inc. announced an increase in gold production at the underground Pilar Mine, which is expected to continue for the next 36 months.
Jaguar Mining Inc. (TSX: JAG) announced an increase in gold production at the underground Pilar Mine, which is expected to continue for the next 36 months.
Highlights are as follows:
- Gold production at Pilar over the next 36 months is expected to nearly double to 55,000–60,000 ounces annually compared to the 2017 production of 34,017 ounces
- 2018 Pilar gold production guidance increased to approximately 39,000–47,000 ounces
- Roça Grande mine to be placed on care and maintenance; focus turns to a larger regional growth exploration program expected to prove up mineral resources and mineral reserves
- 2018 annual gold production unchanged at 90,000–105,000 ounces
Rodney Lamond, president and CEO of Jaguar Mining, commented:
We are now seeing the benefits of the significant investment we made in growth exploration projects over the last 24 months at our core operating assets of Pilar and Turmalina. Pilar’s increasing grade profile and greater gold ounces per vertical metre have positioned the mine to deliver strong production growth over the next 36 months, approximately 55,000–60,000 ounces annually, nearly double its production in 2017. Capital spending during this period is also forecast to remain stable as a significant amount of development has already been completed. Over the past two years, Pilar has completed 4.53 kilometres of primary waste development and 3.85 kilometres of sub-level ore development. We recognized an opportunity to turn Pilar’s operations into a high performing mine and took the necessary steps to deliver on that opportunity. We continue to invest in growth projects at Pilar given the significant upside potential that still exists.
With our higher cost Roça Grande mine on care and maintenance, we are working to strategically rebuild this mine for the future. As we have done with our other assets, we will focus on very promising growth exploration projects that will prove up existing mineral resources and provide a more complete understanding of unknown mineral resources to ensure our investment continues to provide a strong return.
For 2018, we now expect Pilar’s gold production to increase to between 39,000–47,000 ounces, offsetting the reduction of ounces from the RG Mine. We are maintaining the overall Company’s annual production guidance between 90,000–105,000 ounces for 2018.