Silver production fell four percent last quarter on increased manganese content mined from one of First Majestic Corp.'s three Mexican plants, but gold production rose sharply, the Vancouver-based company said Wednesday.
Silver production for the quarter ended Sept. 30 totaled 1,708,865 ounces, a decrease of four percent from the previous quarter and six percent less than the same quarter in 2010.
Gold production was tallied at 409 ounces, 21 percent more than in the previous quarter and 27 percent more than the previous year.
While the concentration of silver in the ore from its La Encantada silver mine has decreased, First Majestic expects the installation of a new flotation circuit at its La Parrilla silver mine to significantly raise output in the next quarter. The circuit doubles the processing capacity at La Parrilla, the company said.
The way is now paved for a record fourth quarter and a great start to 2012, CEO Keith Neumeyer said in a statement.
Shares of First Majestic rose 3.4 percent, or 58 cents, to $17.56.