August 7, 2017. Thompson Falls, Montana. United States Antimony Corporation (“USAC”, NYSE American “UAMY”) reported major cost reductions at its Mexican antimony smelter. As a result of metallurgical changes, the Company has drastically cut costs and increased production rates. The approximate reductions for fuel costs are 50%, electricity 55%, and reagents 75%. Maintenance and other costs are being evaluated. Extra manpower will be assigned to processing Los Juarez production. The Company expects to see these lower costs impacting the Company’s reported financials beginning in Q3 2017.
These cost reductions are coming at an opportune time due to the increasing mine production from Mexico. Production at Wadley is growing with more miners. USAC intends to use its Los Juarez explosives license at Soyatal which will save money, time, and accelerate the production of direct shipping ore from that property. Guadalupe is undergoing road work to re-establish the production of high-grade concentrates.
At the end of July, the inventory of Mexican and North American production awaiting smelting in Montana is now estimated at $550,000.
Following instructions by SEMARNAT (Mexican equivalent of the EPA) to change one item in our application for the cyanide permit for the Los Juarez gold-silver-antimony project, the Company resubmitted its application in Mexico City on 31 July 2017. Approval is expected imminently.
Following are the sales estimates for July 2017:
Product | July 2017 |
Antimony pounds | 159,936 |
Zeolite tons | 833 |
Silver ounces | Accruing for shipment September |
Gold ounces | 7.080 shipped + accruing for shipment September |
At the beginning of July 2017, the average Rotterdam price of Grade I antimony metal per metric ton was $8,450 ($3.832 per pound), and by the end of July, the price had decreased to $8,200 ($3.719 per pound), a decrease of 2.9% which is normal due to summer vacation schedules for many plants.
Zeolite sales were lower in July 2017 due to seasonal scheduling and scheduled maintenance work. The new sales program has resulted in six new multiple truckload customers in the United States and two in Canada.
CEO John Lawrence said, “Antimony remains a core business of USAC and the cost reductions, increase in Mexican production, and the upcoming liquidation of the $550,000 in antimony inventory should increase margins and provide funding for the start-up of the Los Juarez cyanide leach circuit.”
About U.S. Antimony
US Antimony is a growing, vertically-integrated natural resource company that has production and diversified operations in precious metals, zeolite and antimony.
Original Article: http://usantimony.com/2017_newsroom.htm
