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Gold/Mining/Energy : SILVER (Ag) PRODUCERS -- Ignore unavailable to you. Want to Upgrade?

To: NYBob1 who wrote (87)	6/12/2007 9:51:01 AM
From: NYBob1	Respond to of 144

PanAm’s San Vicente silver mine expansion will yield 2.8m ounces yearly One of the world’s largest primary silver miners, Pan American Silver, Wednesday cast its vote for the future of Bolivian mining by announcing it build a US$40.5 million expansion at its San Vicente operation. Author: Dorothy Kosich Posted: Thursday , 07 Jun 2007 RENO, NV - Vancouver-based silver miner Pan American Silver Wednesday said it will expand production at its San Vicente silver-zinc mine in the Potosí Department of Bolivia. To expand production at San Vicente, Pan American (NASDAQ: PAAS, TSX: PAA) has purchased the 40% interest of Empresa Minera Unificada S.A. in Pan American Silver (Bolivia) S.A. for $9 million and a 2% net smelter royalty. Pan American estimates that--once the US$40.5 million expansion is complete and the mine is operating at capacity - - San Vicente will produce 2.8 million ounces of silver yearly at an average cost of less than $2/oz, net of zinc byproduct credits, during the first five years of the operation. The project is estimated to take 18-20 months to complete. In a statement, Geoff Burns, President and CEO of Pan American, said, "The long mine life, low cast costs and exploration potential combined to make the expansion an extremely attractive investment. It is rewarding to be able to add significant organic growth to our production profile for such a modest capital investment." The project includes underground mine development and construction of a new 750tpd processing facility. With the expansion, San Vicente is anticipated to have a 13-year mine life. As of December 31, 2006, San Vicente was estimated to have 18.82 million ounces of contained silver. A technical report for the project will be made public in 45 days. Meanwhile, Pan American will seek approval for Bolivia state mining company Comibol to continue its toll milling agreement at the nearby Chilcobija mill facility while the new San Vicente mill is being built. San Vicente was operated by Comibol from 1972 until 1993 when mining was suspended, pending privatization. Pan American optioned the San Vicente project from Comibol in 1999 and became its operator. A primary silver producer, Pan American manages eight silver operations, and has forecast 2008 silver production of 25 million ounces. mineweb.net investorshub.com