RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:US Board Liisting IMO they were only talking of closing Platosa because the costs were too high to operate it running around US$27AISC in 2021. I think they made that well known to get Mexican authorities and union to work with them to lower costs to keep the mine operating and get them to help settle/dismiss the San Pedro lawsuit. With Platosa now operating under US$19AISC, Excellon can continue to operate the mine and generate profits. What is helping is metal prices are high and rising. For example Zinc prices, which Platosa produces the most of, are up almost 100% in the last 2 years. They have also recently identified high quality resources adjacent to its mining operations per below and if that continues, Platosa could be operating for a long time and making substantial profits.
January 13, 2022 – Excellon Resources Inc. (TSX:EXN; NYSE:EXN; FRA:E4X2) (“Excellon” or the “Company”) is pleased to announce results from underground drilling at the Platosa Mine in Durango, Mexico.
Highlights
- Follow-up drilling on the 817 Zone below Manto 623 defined a zone of high-grade silver mineralization, with underground diamond drilling results including:
- 2,490 g/t silver equivalent (“AgEq”) over 2.9 metres (1,430 g/t Ag, 12.0% Pb, 21.7% Zn) and 5,089 g/t AgEq over 0.4 metres (4,035 g/t Ag, 25.2% Pb, 11.8% Zn) in EX21UG761;
- 3,905 g/t AgEq over 1.8 metres (2,398 g/t Ag, 14.2% Pb and 33.2% Zn) in EX21UG760;
- 2,124 g/t AgEq over 2.8 metres (1,267 g/t Ag, 7.5% Pb and 19.0% Zn) in EX21UG812;
- 4,939 g/t AgEq over 0.9 metres (4,060 g/t Ag, 29.7% Pb, 3.3% Zn) in EX21UG769;
- 3,158 g/t AgEq over 1.0 metres (2,956 g/t Ag, 6.1% Pb and 1.3% Zn) in EX21UG770;
- Underground drilling continues to test below historically-mined areas for potential vertical zones.
“Drilling at Platosa following up on the 817 Zone has defined vertically-oriented, high-grade mineralization over approximately 30 metres of strike and 30 metres of vertical extent,” stated Jorge Ortega, Vice President Exploration. “The proximity of existing infrastructure should allow access to this zone in the coming months and supplement first and second quarter production. We continue underground drilling to target areas ahead of production, test the extent of mineralization around mine workings and test for vertical zones of mineralization.”