EndeavourSilver Corp. has started bringing its silver mine in Mexicoto care and maintenance, CEO Bradford Cooke told Business News Americas on April27.
The move comes despite an increase in the price of silver.
"We would need a higher price than [US$17 per ounce] tochange our decision to go to care and maintenance, and that process of going tocare and maintenance is already underway," Cooke said.
The company undertook its first layoffs in April, Cookesaid, and is planning another round of layoffs in the third and fourthquarters. Layoffs in the fourth quarter should be the final round, he said, asthe mine will go into care and maintenance at the end of the year.
Endeavour is considering several pilot tests of opticalsorting technology, already used in the diamond mining industry.
It could cut costs as it sorts out waste from ore beforeprocessing begins, Cooke said at the European Gold Forum last week.
"Some people have asked, if it works would you be ableto keep the mine open?" Cooke said. "The answer is probably not aswe're not investing the capital needed to continually open up new reserveareas."
El Cubo would need a capital investment of about US$10million to remain operating at capacity.