at least they will continue to stockpile ore, they just won't be producing until the ball mill is up and running again. in other words, another bad quarter.
Silver Standard Resources Inc. ("Silver Standard") (TSX: SSO.TO - News)(NASDAQ: SSRI - News) advises that the Pirquitas mill was shut down due to a gearbox failure September 24, 2011. The process plant, excluding the ball mill, will resume operations this week at reduced levels processing high grade fines from the process water pond. Mine operations are unaffected and will continue to stockpile material at design rates.
"We took added measures to monitor the gearbox and were enjoying average daily production rates of 28,000 ounces of silver and 85% recovery rates in September," said John Smith, President and CEO. "We are refurbishing the gearbox now and in November will take delivery of a new gearbox providing full redundancy, allowing us to continually produce between 8 to 10 million ounces of silver annually."
The ball mill re-start is scheduled for mid-October and is expected to achieve design rates through year-end. As a result, 2011 silver production guidance is revised to 7.3 to 7.6 million ounces. Cost guidance will be re-examined and reported with the third quarter results.
Spot sales of silver concentrate were initiated in late September with revenue being recognized in the fourth quarter 2011 and are expected to continue until year end. Negotiations for long-term contracted silver concentrate sales will be the focus of the London Metals Exchange week event, beginning October 3, 2011.
http://finance.yahoo.com/news/Silver-Standard-Pirquitas-iw-1995578482.html?x=0
