March 12 Silver Standard Resources Inc's
fourth-quarter profit fell 88 percent
sequentially as the miner was hurt by shut-downs at its only
Net profit for the quarter was $2.6 million, or 3 cents per
share, compared with $21.8 million, or 27 cents per share, in
the third quarter.
Vancouver-based Silver Standard has one producing mine,
Pirquitas in Argentina, which produced 1.8 million ounces of
silver in the fourth quarter, compared with 1.6 million ounces
of silver in the third quarter.
The Pirquitas mill was shut down in July and then again in
September due to a gearbox failure, which prompted the Canadian
miner to cut its 2011 silver production outlook to 7.3-7.6
million ounces in October last year.
The mill was restarted in early November 2011, the company
Total cash cost for the year rose 16 percent to $20.93 per
ounce of silver.
Revenue for the quarter fell 45 percent sequentially to
Silver prices shed 7 percent to average $31.83 an
ounce in the October-December quarter.
The Pirquitas mine, which is located in the Jujuy province
in Argentina, began commercial production in December 2009. The
silver and zinc concentrates produced from the plant are shipped
Silver Standard, which has a pipeline of 15 projects in
Argentina, Peru, Mexico, Canada, Chile and the United States,
expects capital expenditures at Pirquitas of about $19 million
for this year, it said in a statement.
The company maintained its production forecast of 8.2-8.5
million ounces of silver and 10.5-11.5 million pounds of zinc,
for this year.
Shares of the company closed at C$13.34 on Friday on the
Toronto Stock Exchange.