Alexco Resource (TSX: T.AXR, Stock Forum) Monday said it has received the completed and signed Water Use Licence amendment from the Yukon Water Board allowing it to process mill feed from its Onek and Lucky Queen mines in the Keno Hill Silver District in Yukon, this according to a company news release.
The miner added that production from these mines would be supplemental to its already-operating Bellekeno mine and not included in its production guidance for 2013 of between 1.9 million and 2.1 million ounces of silver.
"We are pleased to have received this licence, which opens the way for expanded silver production at Keno Hill. However, the recent and continuing decrease in the price of silver has also given us reason to closely evaluate all of our operating plans, and the decision on when to commence production at Onek will depend upon our currently ongoing analysis. In the current unstable metal price environment, it may very well make sense to defer Onek production until conditions stabilize and improve. I expect our analysis and interim plans will be completed within the next couple of weeks," said Alexco President and CEO Clynt Nauman.