USAS Boosts Mine Efficiency With Galena No. 3 Shaft's Phase 1 Upgrades

Americas Gold and Silver Corporation USAS announced the completion of Phase 1 upgrades to increase the hoisting capacity of the No. 3 Shaft at its fully owned Galena Complex. This will help the company proceed with its production growth strategy at the Galena Complex.

Details of USAS’s Galena No. 3 Shaft Upgrade

Phase 1 was completed within 10 days instead of the planned 14 days. This phase is part of Americas Gold and Silver’s two-phase upgrade project on the No. 3  Shaft, which is expected to boost hoisting capabilities to 100 tons per hour from 40 tons. 

The completion of the initial phase has increased material movement to 80 tons per hour. Key upgrades from Phase 1 include expanding the No. 3 Hoist motor's power from 1,750 hp to 2,250 hp. It allows for full skips to be pulled from the mine's deepest level. A second 2,250 hp spare motor has been installed, providing backup capacity and reducing operational risks. 

Phase 2 will upgrade the hoist pads and braking system to raise creep times in loading and dump zones. The upgrades are expected to install a new hoisting control console with innovative technology to house further hoist automation.

The Phase 2 upgrades will take around 10 days to complete. It is expected to be completed before the end of the year.

The completion of both phases is expected to increase the Galena mine’s overall productivity and cost efficiencies by 2025-end.

Americas Gold and Silver’s Galena Complex

In late 2024, the company closed the acquisition of the remaining 40% interest in the Galena Complex in Idaho from an affiliate of Eric Sprott.

The Galena Complex is located in Idaho’s prolific Silver Valley, a district known for producing silver, lead, zinc and copper from well-known operations such as the Bunker Hill, Sunshine and Lucky Friday mines. The complex was acquired by USAS through the business combination with U.S. Silver & Gold Inc. in 2014. In late 2019, Americas Gold and Silver formed a joint venture with Eric Sprott, holding a 40% interest in the property.

USAS Stock’s Price Performance

Shares of USAS have gained 301.4% in the past year compared with the industry's 15.4% growth.

America Gold and Silver’s Zacks Rank & Stocks to Consider

Americas Gold and Silver currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks from the basic materials space are The Mosaic Company MOS, Agnico Eagle Mines AEM and Carpenter Technology Corporation CRS. MOS and AEM flaunt a Zacks Rank #1 (Strong Buy) at present, and CRS carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here. 

The Zacks Consensus Estimate for The Mosaic Company’s 2025 earnings is pegged at $3.17 per share, indicating year-over-year growth of 60.1%. The Mosaic Company’s shares jumped 31.5% last year. 

The consensus estimate for Agnico Eagle Mines’ 2025 earnings is pegged at $6.94 per share. The estimate suggests a year-over-year surge of 64.1%. It has an average trailing four-quarter earnings surprise of 10%. Agnico Eagle Mines’ shares have soared 79.1% in a year.

Carpenter Technology has an average trailing four-quarter earnings surprise of 8.4%. The Zacks Consensus Estimate for CRS’s 2025 earnings is pegged at $9.36 per share. Its shares surged 68% last year.

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This article originally published on Zacks Investment Research (zacks.com).

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