VANCOUVER – First Majestic Silver Corp. has entered into a US$30-million forward sale contract for 35% of the company's future lead production. The Bank of America Merrill Lynch will pay US$0.945/lb and take delivery of 15,911.3 tonnes of lead between now and September 2017.
First Majestic operates five silver mines in Mexico and is exploring several additional properties. In 2013 the company produced 12.8 million oz of silver equivalent.
The recent forward sale is in addition to a similar $50 million deal announced in December 2012. That sale included both lead and zinc production. The most recent forward sale does not include zinc because the company feels there is upside potential for the price of that metal.
First Majestic said it is now hedged to the extent of 52% of its estimated lead production to September 2017 and remains 49% hedged on its estimated zinc production to July 2016.
Read about First Majestic's Mexican mines and projects at FirstMajestic.com.