SilverCrest's Las Chispas mine fully connected to power grid

Vancouver-based SilverCrest Metals completed the final permanent connection of a 33kV power line to the Las Chispas mine in Mexico’s Sonora state.

The company commissioned Las Chispas at the end of the third quarter and declared commercial production on November 1.

Public utility CFE completed the remodeling of a 27km stretch of the line and connected it to the 54km stretch owned by the company's subsidiary.

The miner said in a statement that Las Chispas is now fully connected to the power grid at the design capacity of 7.6MW, expected to be sufficient for the life of the mine.

CEO Eric Fier said, “we are satisfied that the power line is finally complete and fully energized to ensure adequate permanent electricity for Las Chispas. We look forward to concluding a milestone year which has included the on-time and on-budget construction of Las Chispas, ramp up of the mine and plant, declaration of commercial production, refinancing debt, and now the issuance of our inaugural TCFD and water stewardship reports.” 

The miner expects the modernized line to improve reliability, also replacing more polluting diesel power generation.

SilverCrest refinanced its US$120mn secured project financing facility, from which US$90mn was drawn, with a new US$120mn senior secured credit facility through a syndicate of lenders consisting of Bank of Nova Scotia and Bank of Montreal.