Pan American Silver restarting mining operations

Gold & Silver

Pan American Silver Corp. (NASDAQ: PAAS; TSX: PAAS), the world’s second-largest primary silver producer, reported Monday that the company is resuming some of its operations that have been shuttered due to the COVID-19 pandemic.

In Mexico, operations restarted at the Dolores mine Monday and a ramp-up began at La Colorada in late May. This follows the May restart of operations at Shahuindo and La Arena in Peru, San Vicente in Bolivia and Manantial Espejo in Argentina.

The company said it will update its 2020 guidance once it can better access the impact of new safety and health protocols on operations. Pan American withdrew its previous 2020 operating guidance in March due to uncertainties prompted by the pandemic.

The company said the mines initially will run at a reduced capacity due to the new protocols. Meanwhile, Pan American is still awaiting regulatory approval to resume the Huaron and Morococha operations in Peru.

Mining was suspended in Mexico, Peru, Argentina and Bolivia due to government-mandated quarantines to combat the pandemic. The Timmins West and Bell Creek mines in Canada have continued to operate at 90% of capacity, the company said.

“We are proceeding with a careful approach to restarting operations, as we work towards restoring full production levels at our operations while protecting the health and safety of our people,” said Michael Steinmann, president and chief executive officer.

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