Press Release Source: IMPACT Silver Corp.
IMPACT Reports $2.4 Million in Operating Earnings for 2006
Thursday April 19, 2:28 pm ET
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 19, 2007) - IMPACT Silver Corp. (TSX VENTURE:IPT - News; "the Company") is pleased to announce its results for the year ended December 31, 2006. The Company's consolidated financial statements include the results of Royal Mines of Zacualpan Project ("Zacualpan") that was purchased on January 16, 2006. For the year 2006, the Company's net earnings per share (EPS) were $0.03.
FULL YEAR RESULTS (CDN$ 000'S EXCEPT PER-SHARE AMOUNTS)
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Full Year, 2006
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Revenue 7,006
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Mine Operating Earnings 2,407
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Net Income 973
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Earnings per Share - basic 0.03
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- diluted 0.02
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The Company's first full day of production was January 18, 2006. Average mill through-put during the year was 196 tons per day (tpd). Revenues for the 50-week period from January 16, 2006 were $7,005,793. Mine operating earnings for the 50-week period were $2,406,827. Total tonnes mined since January 18 to the end of 2006 are 68,173 tonnes or 16,000 tonnes (30%) more than previous year's production. On site operating costs were $59.55 per tonne.
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Full Year, 2006
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Total Tons Produced 68,173
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Tons Produced per Day 196
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Silver Production (Oz) 465,673
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Lead (t) 375.43
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Zinc (t) 725.20
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Cdn.$ direct costs per ton $59.55
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REPORT ON MINING OPERATIONS
Guadalupe Mine
During 2006, mining of medium grade mineral at the Guadalupe Mine continued principally on the 195m Level exploiting the Lipton, Lipton del Bajo Paulina, Intermediate and Liptonia Veins. In late 2006, mining also began to exploit the Liptonia Vein on the 140m Level. With the addition of a Mine Geologist and Mine Surveyor, the Guadalupe Mine is being extensively remapped and explored. Material from the Guadalupe Mine is brought to surface on a skip and transported approximately only 100m to the plant. Guadalupe will continue to be a major source of feed for the plant through 2007.
La Gallega (Salvadora) Mine
Success in exploration drilling earlier in the year led to the commencement of mining in November 2006 from the Gallega adit. Mining began on the high grade Salvadora stopes. Subsequent to year end, mining also commenced on the Lipton Vein and the recently discovered San David Vein is now being prepared for production as well. Material is transported by truck from Gallega approximately 500m to the mill and is forming an increasingly important source of mill feed.
San Ramon
At year end 2005, mining by the previous owner was down to Level 8 at the high grade San Ramon Mine. Since January, IMPACT continued mining remnant high grade (2000g/t+ silver) mineral on Level 8 and continued mining medium grade mineral from Levels 7 and 8; both levels are 10 to 12m apart. The ramp reached Levels 9 and 10 and mining from this area was completed during the month of November. Material from San Ramon was brought to surface on a spiral ramp and trucked from the mine to the central processing plant. Further mining from San Ramon will be deferred until a lower adit (a second access) is completed that will significantly reduce underground and surface hauling costs.
In aggregate, the Royal Mines of Zacualpan now employs a proactive approach to operations and maintenance. Immediate results from the changes include improved worker morale, stronger community support, a significant decrease in operating downtime as well as overall improvements in operating costs and metal recoveries. For 2007, an additional US$1 million has been budgeted to be used towards further upgrades, new equipment purchases and expansion of the operations.
IMPACT Silver Corp. is a Tier 1 silver focused Mexican mining and exploration company with two producing silver mines at the 125 km2 Royal Mines of Zacualpan silver district; a 100% interest in the 200km2 Mamatla silver district; and seventeen advanced-stage silver projects, along with an option to purchase a producing mill at Zacatecas. Energold Drilling Corp. (TSX VENTURE:EGD - News) owns 6.6 million shares of IMPACT.
Frederick W. Davidson, President, CEO
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.
Contact:
Darrell Rader
IMPACT Silver Corp.
Corporate Development
(604) 681-9501
(604) 681-6813 (FAX)
Email: inquiries@IMPACTSilver.com
Website: www.IMPACTSilver.com
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Source: IMPACT Silver Corp.
