Sunshine Cuts Loss Despite Silver Prices

Sunshine Mining and Refining Co. reported second-quarter losses of $6.6 million, due to lower silver prices.

Silver dropped about $1 per ounce between the first and second quarters this year, resulting in lower sales prices and write-downs on the value of the company’s silver inventory, company officials said.

The losses amounted to 3 cents per share and compared with losses of $7 million last year for the same period.

Bright spots included lower production costs and increased production at the Sunshine Mine near Kellogg, which should yield 6 million ounces of silver this year, said John Simko, chairman and CEO.

“With silver stockpiles continuing to be reduced, we believe it’s only a matter of time before the silver price moves higher,” he said.