Alexco Resource Corp (TSX:AXR,NYSE-American:AXU) and company President, Brad Thrall were recently featured in a Kitco news article talking about the dropping silver prices and the factors that silver producers should look at when they evaluate the marketplace.
Alexco Resource Corp (TSX:AXR,NYSE-American:AXU) and company President, Brad Thrall were recently featured in a Kitco news article talking about the dropping silver prices and the factors that silver producers should look at when they evaluate the marketplace. And while the price of the precious metal may be at the bottom of its range near a “six-month” low, Alexco President, Brad Thrall believes that there is a lot of value in the marketplace for silver producers than just the price of silver, especially in Canada.
“Thrall explained that one of the most significant advantages of being a Canadian silver producer has been the price of the raw commodity in Canadian dollar terms. While silver priced in U.S. dollars is hovering below $16 an ounce, the Canadian price has been relatively stable, with prices hovering above $21 an ounce.”
Further, the article also talked about the rising zinc prices that are supporting the silver market. Finally, the third factor supporting the silver market is the smelting costs. “Alexco, when it is back in production, will create a silver-lead-zinc concentrate that will be shipped to a smelter to be produced. Thrall explained that smelters are desperate for raw material and as a result mining companies are seeing fees drop by more than one-third from previous years.”
The company is currently in the process of finalizing permitting and in a recent company presentation, Thrall said that the company expects to make a production decision by the end of 2018. A lot of the preliminary has already been completed and once a production decision is made by the company, new silver production could begin early 2019.
To read the full interview, click here.