Americas Gold and Silver Corporation announced that it has completed a major grid‑power installation at its Crescent Silver Mine, a project that will lower electricity costs from roughly 55 ¢ per kilowatt‑hour to about 7 ¢ per kilowatt‑hour. The upgrade, completed in the first week of January, is part of a broader effort to bring the high‑grade mine back into production by mid‑2026 and to leverage synergies with the neighboring Galena Complex.
The company acquired the Crescent Mine on December 12 2025 for an estimated $65 million, consisting of $20 million in cash and roughly 11.1 million common shares. Since closing, Americas Gold and Silver has added two 20‑ton haul trucks and three underground loaders, expanded the underground fleet to 11 pieces, and installed a 6‑inch air line to the BC4 adit and new communication lines among the Hooper, BC4, and Countess adits. These upgrades position the mine to restart silver, copper, and antimony production while sharing processing capacity with Galena, thereby reducing operating costs and accelerating cash flow generation.
The power‑cost reduction is a key driver of the company’s margin improvement strategy. By cutting electricity expenses to 7 ¢ per kWh, the mine’s operating margin is expected to rise significantly once production resumes. Management highlighted that the rapid progress—achieved in less than a month after closing—demonstrates strong execution and cost discipline, which are critical as the company continues to invest in high‑grade U.S. assets.
Americas Gold and Silver’s recent quarterly results provide context for the importance of the Crescent restart. In Q1 2025 the company reported revenue of $23.5 million, up 12 % year‑over‑year, and a net loss of $18.9 million. Q3 2025 revenue rose to $30.6 million, a 37 % increase, while the net loss narrowed to $15.7 million. The company’s cash reserves stood at $39.1 million at the end of Q3 2025, and it has secured $132 million in new financing and a $100 million debt facility to fund growth initiatives. The Crescent restart is therefore a critical component of the company’s plan to shift from a loss‑making operation to a cash‑generating producer.
Management emphasized that the Crescent Mine’s high‑grade silver and antimony resources, combined with the Galena Complex’s processing infrastructure, will enable the company to scale production and improve profitability. CEO Paul Andre Huet noted that “in less than a month since closing the Crescent acquisition, our team has achieved remarkable progress toward restarting production, positioning us to deliver stronger cash flow and a higher return on invested capital.” The company’s strategy to focus on U.S. high‑grade assets aligns with broader market demand for domestic silver and antimony, positioning it as a leading North American producer.
The announcement underscores the company’s commitment to operational excellence and cost control. By reducing power costs and expanding the underground fleet, Americas Gold and Silver is setting the stage for a mid‑2026 restart that could significantly boost its production profile and financial performance. Investors and analysts will be watching the mine’s progress closely as it moves toward full production and the realization of the projected cost savings and synergies with Galena.
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