Silver-Gold Mine Hits 672 Tpd as Production Expansion Nears Completion - Streetwise Reports

AI desk brief

Sierra Madre Gold and Silver says Phase I of the La Guitarra expansion is nearing completion, with throughput already reaching as much as 672 tpd versus the prior 500 tpd nameplate and management targeting 750-800 tpd by end-Q3 2026. The company is installing a new paste fill/thickener plant, fourth ball mill, second cone crusher and larger material-handling capacity, with Phase II later aiming for 1,200-1,500 tpd by Q3 2027.

Q2 2026 operating data showed 41,567 tonnes milled and 123,483 AgEq oz sold, while cash cost rose to US$49.28/oz from US$42.55 in Q1, reflecting ramp-up issues, lower recoveries, outages, royalties, FX and inflation. Sierra Madre also said two 1,500-kW diesel generators are now installed and functional after grid interruptions caused 278 hours of downtime Jan-Aug, and it expects higher grades as fresh material from Coloso and Nazareno reaches the plant.

The article also notes gold at US$4,329.63/oz and silver at US$65.60/oz on Sept. 22, both still sharply higher year over year despite recent pressure from expectations for further U.S. rate hikes. Trading Economics cited continued central-bank buying, geopolitical uncertainty and currency-debasement concerns as support for gold, while silver remains influenced by both investment demand and industrial use.