Aurcana Corporation (CVE:AUN) (PINK:AUNFF) stock price went up today after the company announced promising updates on both of their silver mines.
AUN gaped up 4.6% in the morning as traders reacted to the latest news. The trading volume quickly reached 1.5 million, which is around the same as the daily average, promising an interesting trading day ahead.
Aurcana announced today to have completed a mine expansion at La Negra, Mexico and entered the last phase of construction at the Shafter Mine in Texas.
La Negra’s capacity was raised by 33.3% to 2 thousand tons per day. The costs of doing so reached $4.5 million. The upgraded mine should produce 176 thousand tons of ore during 2012. The problem is that the company hasn’t completed a feasibility study for La Negra, thus their plans for production capacity might get thrown off by unexpected factors.
The situation at Shafter appears to be more satisfying. The company managed to reach the last phase of construction two months ahead of schedule and even with costs $1 million below the budget. The commissioning of the plant should start on April 1. The mine should be able to reach a capacity of 1.5 thousand tons per day.
