Pan American Silver In Turnaround Mode

August 21, 2015 at 05:49PM

  • PAAS is in recovery mode despite weak second quarter results as investors seem to have recognized the company’s long-term potential.
  • PAAS has struggled due to weak silver prices, but this could change as silver demand has improved substantially of late while supply is coming down, creating a favorable pricing scenario.
  • PAAS is shifting its operations from open-pit mining to underground mining, which will increase its recovery rate to 90%-95% from 65%-85%, leading to better production at lower costs.
  • Due to its focus on underground mining, cash costs and AISC were down 24% and 20%, respectively, last quarter and more reductions cannot be ruled out.

from Jru RSS http://ift.tt/1h1UKID

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s