#Canada #Vancouver #Vizsla Silver #Panuco #Equipment Supply

Vizsla Silver Secures Crucial Supply Agreement for Panuco

Vizsla Silver Corp. has made a significant stride in advancing its Panuco silver-gold project located in the Sinaloa region of Mexico. The company has recently formalized an Equipment Supply Agreement with the renowned FLSmidth, a leading provider of mineral processing technology. This crucial agreement is poised to streamline the engineering and supply of major equipment necessary for the process plant at Panuco.

Details of the Agreement

The Equipment Supply Agreement encompasses the engineering and provision of essential process plant equipment across the complete proposed flowsheet, as detailed in Vizsla’s 2025 Feasibility Study. Engineering work is set to commence without delay, with a formal notice to begin manufacturing expected soon. The agreement includes eight critical equipment packages, which cover various stages of the production process, including crushing, grinding, thickening, and refining. This setup is designed to support an initial operation capacity of 3,300 tonnes per day (tpd), with plans to expand to 4,000 tpd as outlined in the feasibility study.

In an effort to minimize operational downtime in future transitions, the contract’s framework facilitates necessary modifications, especially regarding the integration of the Napoleon mine set to occur in Year 4.

Milestones and Processing Efficiencies

Simon Cmrlec, Chief Operating Officer at Vizsla Silver, has highlighted the significance of this partnership, stating, "The award of this major equipment package to FLS represents a key procurement milestone for the Panuco Project." He expressed satisfaction with FLS's robust technical support, which aligns with the budgetary constraints established in the feasibility study while ensuring essential support throughout the project’s commissioning and operational phases.

Qasim Abrahams, President of Products Business Line at FLS, echoed this excitement, mentioning their anticipation in being selected as the primary technology partner for this comprehensive silver processing project. Their leading technologies, paired with lifecycle service offerings, will assist Vizsla Silver in maximizing silver recovery and ensuring smooth operations throughout the project lifecycle.

About FLSmidth

FLSmidth stands out as a prominent supplier of mineral processing technology, serving numerous mining operations across 125 countries. They provide comprehensive service solutions, covering all aspects of mining operations, from comminution and classification to tailings management. Their local presence in Mexico enhances their ability to support Vizsla Silver adequately during all phases of the project.

Vizsla Silver's Commitment

As a dedicated Canadian mineral exploration and development entity, Vizsla Silver aims to position itself as a preeminent leader in the silver industry. Their flagship Panuco project is designed to yield an impressive 17.4 million ounces of AgEq annually across a viable nine-and-a-half-year mine lifecycle, with a remarkable after-tax NPV(5%) of $1.8 billion, indicating a solid 111% IRR. The company recently completed a feasibility study that underpins these projections, positioning them favorably for growth and further exploration through low-cost methods.

The Panuco project not only emphasizes advanced production potentials and economic viability but also represents Vizsla's strategic dual-track development approach, advancing mine development while continuing extensive exploration efforts.

Closing Thoughts

With the agreement in place, Vizsla Silver is preparing to transition from planning to active implementation, aiming to bring the Panuco project into production efficiently. As they embark on this ambitious journey, stakeholders are keenly observing how these developments will unfold and the impact they will have on the silver market at large. The preparation for commissioning and operations at the Panuco project heralds a promising future for both Vizsla Silver and its investors.

For more detailed information about the agreement and ongoing developments, please visit Vizsla Silver website.