Vancouver, Canada-based Endeavour Silver announced Tuesday that its gold and silver production reached record levels from its two operating silver mines in Mexico in the fourth quarter of 2011.

Compared to the year earlier period, silver production was up 25 percent for the quarter to 1.12 million ounces, while gold production was up 45 percent to 7,045 ounces. Silver and equivalents production was up 29 percent to 1.4 million ounces.

Endeavour said it decided to hold a significant portion of its quarterly gold and silver production in inventory rather than sell the commodities at the lower prices due to the recent correction in metal prices.

Revenue was down 39 percent in the fourth quarter to $17.5 million due to a decline in metal sales.

For all of 2011, silver production was up 14 percent from 2010 to 3.73 ounces while gold production was up 23 percent to 21,810 ounces. Silver and equivalents production was up 15 percent to 4.7 million ounces.

Shares of Endeavour were up 3.75 percent to $10.78 in morning trading.