March 16, 2011 / 1:37 PM / in 7 years

UPDATE 2-Great Panther Silver sees higher '11 production, shares up

* Q4 EPS $0.01 vs $0.01 yr ago

* Q4 rev up 40 pct to $13.8 mln

* Q4 silver production 385,022 ounces

* Sees 2011 silver production at 1.94 mln ounces

* Shares rise as much as 12 percent (Adds details on production forecast)

March 16 (Reuters) - Great Panther Silver expects to raise its production in 2011, sending its shares up 12 percent even as it reported a lower quarterly profit because of higher mining costs.

The miner expects to produce 1.94 million ounces of silver in 2011, up from the 1.5 million ounces it produced in 2010.

On an equivalent basis, which includes the production of gold, lead and zinc, Great Panther expects combined production of 2.87 million silver equivalent ounces this year.

The company also backed its target of increasing annual production to 3.8 million silver equivalent ounces by 2012.

Silver prices have risen to their highest level since 1980 as the global financial crisis boosted interest in precious metals as a haven from risk.

The price tripled between September 2008 and January’s high. The price of spot silver is hovering around $35 an ounce.

Great Panther’s fourth-quarter profit was $800,000, or a cent per share, on revenue of $13.8 million. Last year it reported a profit of $1 million on revenue of $9.9 million.

Great Panther produced 385,022 ounces of silver in the quarter at a total cash cost of $8.41 an ounce, which was 75 percent more than last year.

Shares of the Vancouver-based company rose to much as C$4.17, before paring some of the gains to trade at C$4.12, on Wednesday morning on the Toronto Stock Exchange. (Reporting by Abhiram Nandakumar. Editing by Joyjeet Das and Robert MacMillan; abhiram.nandakumar@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: abhiram.nandakumar.thomsonreuters.com@reuters.net)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below