Aya Gold & Silver eyes production growth in Morocco, shares rise
Aya Gold & Silver Inc. [AYA-TSX] said it is eyeing sustained production growth after producing 357,3333 ounces of silver in February, 2025 at its Zgounder Silver Mine, located in the Kingdom of Morocco.
That marked an increase in average daily silver production based on 23 days of operation due to lower availability as a result of a planned shutdown.
Aya shares rallied on the news, rising 10.5% or $1.07 to $11.20. The shares trade in a 52-week range of $19.56 and $10.12.
“I am pleased to share that we continue to improve the production rate at Zgounder,’’ said Aya President and CEO Benoit La Salle. “We see a month-over-month increase in the daily average production, but also in the milling and mining rates from January to February, 2025,’’ he said. “This strong performance is driven by improved mine production alongside sustained processing capacity over 2,800 tonnes per day since January. This achievement included a planned shutdown in a short month, and highlights our disciplined execution and operational strength, setting the stage for sustained production growth and record profitability in 2025.’’
Aya reported production of 1.64 million ounces last year, including 491,310 ounces of silver in the fourth quarter of 2024, and production of 383,515 ounces in January, 2025.
In 2024, the new mill was commissioned and reached commercial production in late December, 2024. Underground stopes were further defined, and levels down to 1900 were developed. The company said the open pit performed well, which gives further flexibility to reach the objective of 3,000 tonnes per day total mining rate in 2025.
Aya operates mining and milling facilities at its Zgounder Silver Mine, an 85%/15% joint venture between an Aya subsidiary and the Office National de Hydrocarbures et des Mines of the Kingdom of Morocco (ONHYM).
Aside from developing Zgounder, the company is exploring its properties along the prospective South-Atlas Fault, several of which have hosted past producing mines and historical resources. The company’s Moroccan mining assets are complemented by its Tijirit Gold Project in Mauritania, which is being advanced to feasibility.
The company’s mining portfolio also includes the Boumadine polymetallic deposit, which is located in the Anti-Atlas Mountains of Eastern Morocco. This project is also held in a joint venture with ONHYM, with Aya retaining an 85% ownership stake.
On February 22, 2022, Aya announced positive results from a feasibility study which examined a proposed expansion of Zgounder from 700 to 2,700 tonnes per day. The expansion outlined a combined open pit and underground mining operation over the projected 11-year life of mine period.
Aya said the first gold pour was achieved on July 2, 2024. It said the first bars were poured with silver cement from the existing cyanidation plant.