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50 www.resourceworld.com A P R I L / M A Y 2 0 1 7 T his year, Avino Silver and Gold Mines Ltd. [ASM-TSXV, NYSE MKT; GV6-FSE] made the transition to full produc- tion at the company's namesake mine in Mexico and decided to move forward with their mining plans for the Bralorne Project in British Columbia. Avino produces silver, gold and copper from its wholly-owned Avino and San Gonzalo mines near Durango, and is currently ramping up for future production at the Bralorne Gold Mine, 240 km north of Vancouver. The company has a diversified pipeline of gold, silver and base metals properties in Mexico and Canada and currently employs about 500 people. During 2016, the company generated revenues of $39.9 mil- lion, a 109% increase compared with the previous year due to the Avino Mine entering production as of April 1, 2016. Higher gold and silver prices were also cited as a contributing factor. The company produced 2.67 million silver equivalent ounces, which included 1.6 million ounces of silver, 7,119 ounces of gold and 4.2 million lbs of copper at a total cash cost of $11.24 (US $8.48) per equivalent ounce. The all in sustaining cost was $13.70 (US $10.34) per payable silver ounce which represented a 13% increase compared to last year. The average realized selling price for silver and gold were US $17.71 and US $1,258 per ounce, respectively. Silver Equivalent prices were calculated using metals prices of US $17.10 oz silver, US $1,248 oz gold and US $2.21 lb copper. Avino reported that its net income after taxes amounted to $2 million for a basic (earnings per share (EPS) of $0.05. "I am very pleased to report that Avino continued to deliver strong financial and operating results in 2016," commented com- pany President, David Wolfin. Wolfin went on to say that the company's solid performance from its cornerstone assets, the Avino and San Gonzalo mines, have met expectations. The company's focus in 2017 will be to move forward with plans for plant and mine expansion, advance the Oxide Tailings Resource Project, and a three-phased expan- sion program at the Bralorne Mine. At the Avino Mine, the silver equivalent ounces produced during 2016 tallied to 1.6 million ounces which was a decrease of 11%, mainly due to a decrease in the grade of the copper in the concentrate as well as changes in the feed grades processed and required maintenance on the mill circuit 3 ball mill. At the San Gonzalo Mine, the silver equivalent ounces pro- duced during 2016 totaled 1.07 million ounces compared to the 1.22 million ounces produced in 2015. This represents a 12% decrease compared to 2015 mainly due to mining taking place in different areas in 2016, as well as mill circuit 2 primarily devoted to processing Avino Mine material. It appears odd that comparable year-over-year revenues are up 109% while comparable production is down; however, this is due to the fact that in 2015, the Avino Mine was in development phase and proceeds from the sale of concentrate were classified as a recovery of exploration and evaluation expenditures. Since acquiring the Bralorne gold mine in 2014, Avino has been working on its long-term commitment to bring the historical mine back to life. Historically, the Bralorne camp consisted of a number of separate mines with a combined capacity of more than 500 tons per day (TPD) at a head grade of approximately 0.5 oz/ ton. Avino now owns all of the old mines of any significance. "We are dedicated to this project and the community in which it is situated," stated Wolfin. In 2016, the company completed an updated NI 43-101 compli- ant resource estimate that increased tonnage and gold ounces. The deposit now hosts a measured and indicated resource containing 273,123 tons averaging 0.33 oz/ton (11.31 g/t) gold which tallies to 91,528 contained ounces gold. An additional 363,527 tons aver- aging 0.22 oz/ton (7.54 g/t) gold adds another 83,900 contained ounces gold in the inferred category. Last year, Avino also upgraded the tailings storage capacity Production growth adds luster to Avino's bottom line by Thomas Schuster MINING The Avino Mine is in the Durango region of north-central Mexico in the heart of the Sierra Madre Silver Belt. Photo courtesy Avino Silver and Gold Mines Ltd.