Goldcorp Updates Pe�asquito and Luismin Silver Production Estimates
Vancouver, British Columbia - Silver Wheaton Corp. ("Silver
Wheaton") (TSX,NYSE:SLW) has been advised by Goldcorp Inc. ("Goldcorp")(TSX:G.
NYSE:GG) that the silver production estimates for both the Pe�asquito Project
and Luismin's San Dimas operations have been recently updated as part of
Goldcorp's annual budgeting process.
PE�ASQUITO
The mine plan for the Pe�asquito Project has been revised to reflect
exploration success reported in Goldcorp's updated resource and reserve
report of July 2007. As a result, Goldcorp has decided to construct a larger
mill than previously contemplated, increasing annual production levels by 30%
and ramping up production faster than previously projected. Average annual
silver production attributable to Silver Wheaton is expected to approximate
7.8 million ounces, a 44% increase compared with the 2006 feasibility study. Life-of-mine
silver production attributable to Silver Wheaton has increased to 140 million
ounces, representing a 52% increase over the June 2006 Feasibility Study
levels.
|
Production Update (Nov. 2007)
|
Feasibility Study Levels (June, 2006)
|
Change (%)
|
Average annual silver sales attributable to Silver
Wheaton
|
7.8 M oz
|
5.4 M oz
|
44%
|
Life-of-mine
silver production attributable to Silver Wheaton
|
140 M oz
|
92 M oz
|
52%
|
Anticipated
mine life
|
19 years
|
17 years
|
12%
|
Silver
production at the Pe�asquito Project attributable to Silver Wheaton is now
expected to approximate 560,000 ounces, 2,600,000 ounces, 5,100,000 ounces
and 6,000,000 ounces, respectively, in 2008, 2009, 2010 and 2011.
In addition
to the updated production schedule for Pe�asquito, Goldcorp recently
announced it has focused exploration efforts on the new manto-skarn discovery
at depth. High grade intercepts discovered to date indicate the possibility
of a resource that could be mined, by underground methods, concurrent with
open pit operations. This newly discovered area lies within the boundaries of
Silver Wheaton's existing silver stream purchase contract. See Goldcorp's
November 26th, 2007 news release for more detail.
LUISMIN
Silver Wheaton has been advised by Goldcorp that the production increase at
Luismin's San Dimas operations in Mexico, originally scheduled for 2009, has
now been deferred to 2010. Expected production levels at San Dimas are now
expected to be 7 million ounces in 2008, 8 million ounces in 2009, increasing
to 12 million ounces in 2010 and thereafter. This compares to previous
guidance of 7 million ounces in 2008 increasing to 13 million ounces in 2009
and thereafter.
"Silver
Wheaton benefits from the continuing exploration efforts and increased
production levels at Pe�asquito and is very pleased to see the planned 30%
increase in mill throughput and the early ramp up to full production. The 52%
increase in expected silver production over the mine life demonstrates the
strength of this world-class deposit and the excellent progress that Goldcorp
is making in maximizing value," said Peter Barnes, President and Chief
Executive Officer of Silver Wheaton. "Silver Wheaton's 2008 silver sales
are expected to approximate 15 million ounces, in line with previous
guidance, increasing to 19 million ounces in 2009 and 25 million ounces in
2010. With its strong ongoing operating cash flow, the Company continues to
pursue additional silver stream opportunities."
Sales
guidance from the Zinkgruvan, Stratoni and Yauliyacu mines is currently
unchanged with updates expected in early 2008.
Silver
Wheaton is the largest public mining company with 100% of its operating
revenue from silver production. Silver Wheaton is unhedged and well
positioned for further growth.
Mr.
Randy Smallwood, P.Eng., Executive Vice President of Corporate Development of
Silver Wheaton, who is a "qualified person" as such term is defined
under National Instrument 43-101, has reviewed and approved the contents of
this news release.
CAUTIONARY
NOTE REGARDING FORWARD LOOKING-STATEMENTS
This news release contains "forward-looking statements" within the
meaning of the United States Private Securities Litigation Reform Act of 1995
and applicable Canadian securities legislation. Forward-looking statements
include, but are not limited to, statements with respect to the future price
of silver, the estimation of mineral reserves and resources, the realization
of mineral reserve estimates, the timing and amount of estimated future
production, costs of production, reserve determination and reserve conversion
rates. Generally, these forward-looking statements can be identified by the
use of forward-looking terminology such as "plans",
"expects" or "does not expect", "is expected",
"budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of
such words and phrases or state that certain actions, events or results "may",
"could", "would", "might" or "will be
taken", "occur" or "be achieved". Forward-looking
statements are subject to known and unknown risks, uncertainties and other
factors that may cause the actual results, level of activity, performance or
achievements of Silver Wheaton to be materially different from those expressed
or implied by such forward-looking statements, including but not limited to:
risks related to the integration of acquisitions, the absence of control over
mining operations from which Silver Wheaton purchases silver and risks
related to these mining operations, including risks related to international
operations, actual results of current exploration activities, actual results
of current reclamation activities, conclusions of economic evaluations,
changes in project parameters as plans continue to be refined, as well as
those factors discussed in the section entitled "Description of the
Business - Risk Factors" in Silver Wheaton's annual information form for
the year ended December 31, 2006 incorporated by reference into Silver
Wheaton's Form 40-F on file with the U.S. Securities and Exchange Commission
in Washington, D.C. Although Silver Wheaton has attempted to identify
important factors that could cause actual results to differ materially from
those contained in forward-looking statements, there may be other factors
that cause results not to be as anticipated, estimated or intended. There can
be no assurance that such statements will prove to be accurate, as actual
results and future events could differ materially from those anticipated in
such statements. Accordingly, readers should not place undue reliance on
forward-looking statements. Silver Wheaton does not undertake to update any
forward-looking statements that are incorporated by reference herein, except
in accordance with applicable securities laws.
David Awram
Director, Investor Relations
Silver Wheaton Corp.
Tel: 1-800-380-8687
Email: info@silverwheaton.com
Website: www.silverwheaton.com
|