(Ecofin Agency) - Like gold’s, silver’s prices also surged in recent months. Aya Gold & Silver, a mining company that recently boosted its silver production capacity in Morocco, stands to gain substantially from this rise. 

On May 13, Aya Gold & Silver announced a remarkable 192% year-over-year increase in silver output at its Zgounder mine for Q1 2025. Coupled with a 50% rise in the average silver selling price per ounce, the company reported revenues of $33.8 million, marking a 566% increase compared to the previous year. 

In Q1 2025, Zgounder produced 1.07 million ounces of silver and sold 1.06 million ounces, at an average price of $31.87 per ounce. Compared to Q1 2024, the mine’s sales shot up 346%.

@AyaGoldSilver reports Q1-2025 earnings results, achieving record #silver production and revenues.
Read the full release here:$AYA $AYASF #mining #earningsresults #Morocco #growth pic.twitter.com/z0HkaFPfLm

— Aya Gold & Silver (@AyaGoldSilver) May 13, 2025

The output and sales boost was driven by Zgounder’s expansion at the end of 2024; a processing unit was added at the site. This year, the firm hopes to produce 5 to 5.3 million ounces of silver, up from 1.63 million ounces in 2024.

Aya’s higher average silver price reflects rising global market prices. The World Bank reports a 2% year-on-year price increase in the first quarter, building on gains since 2024. 

Silver hit $34.25 an ounce last October on the CME futures, the highest since 2012. A strong demand and a market deficit drove the boost. Also, according to the World Bank, silver’s appeal as a safe-haven asset grows amidst economic and geopolitical uncertainty.

Aya’s production and revenue growth improved its profits, though less sharply. The company posted a net profit of $6.9 million in Q1 2025, reversing a $2.6 million loss in the same period last year. Future profit gains depend on further ramping up Zgounder’s output and maintaining high silver prices.

“Backed by strong cash flow generation, improving cost performance, growing production, and a solid liquidity position, Aya is well-positioned to drive sustainable growth, maximize profitability, and deliver strong returns to shareholders,” CEO Benoit La Salle said.

This article was initially published in French by Emiliano Tossou

Edited in English by Ola Schad Akinocho