Pirquitas Performance Improves, but Tin Start-up Still Delayed

SHANGHAI, Aug. 18 -- Silver Standard Resources reported increased output and falling operating costs at its Pirquitas silver-tin-zinc project in Argentina, but has further downgraded its estimate of tin-in-concentrate production in 2010 to some 270 tonnes. The operation has a theoretical annual tin capacity of some 2,500 tpy .

In its latest quarterly results statement the company confirmed that it plans to produce seven million ounces of silver at a net cost (after by-product credits) of $10/ounce. However it has advanced plans for zinc production but delayed tin production relative to its initial plans. Due to high zinc values encountered in the mine, the company is now anticipating producing 3.0 million pounds of zinc (1,360 tonnes) in 2010, commencing zinc concentrate shipments at the end of June. In a statement Silver Standard said that "the tin circuit is commissioned and will be operated when suitable material is available. Due to the lower tin grades in the initial levels of the mine, tin production is now estimated at 600,000 pounds for 2010 compared to the previous estimate of 800,000 pounds."