Great Panther Exceeds Production Target

 

VANCOUVER, BC - Great Panther Silver reported record 2009 production of 2,202,456 silver equivalent ounces ("Ag eq oz"), a 22% increase over 2008, and 6% higher than the target for 2009 of 2.07 million Ag eq oz. Total metal production for the year includes 1,456,830 ounces silver, 7,151 ounces gold, 871 tonnes lead, and 1,057 tonnes zinc.

The fourth quarter ("Q4") production of 625,288 Ag eq oz is a record and a 26% increase over Q4 2008. It includes 390,026 ounces silver, 2,456 ounces gold, 205 tonnes lead and 248 tonnes zinc. This marks 13 out of 16 successive quarterly increases since the Company commenced production in 2006, and 2009 represents the fourth consecutive year of production growth for GPR.

The Guanajuato Mine in Guanajuato, Mexico had a record breaking fourth quarter, achieving records for both gold and combined metal production. Metal production totaled 287,101 oz Ag and 2,367 oz Au, or 470,025 Ag eq oz, from 39,853 tonnes of ore with an average grade of 271g/t Ag and 2.14g/t Au. The quality of ore represents excellent silver values and the highest gold value to date.

Metal production for the year was 1,019,751 oz Ag and 6,748 oz Au, or 1,541,220 Ag eq oz, which was 4% greater than planned and a 37% increase over 2008.

Mining of the Cata Clavo reached the 490 level where development was carried out on the Veta Madre and Alto 1 veins. Stoping from the 460 level advanced well such that production from Cata averaged more than 250 tonnes per day, or 50% of the total Guanajuato production, at grades of 277g/t Ag and 1.6g/t Au.

The Topia Mine in Durango State, Mexico produced 102,925 oz of silver, 89 oz of gold, 453,216 lbs of lead, and 547,047 lbs of zinc from milling 7,268 tonnes of ore. This equates to 155,263 Ag eq oz, which is 1% higher than Q4 2008. Overall ore grades were maintained at a high level at 481g/t Ag, 0.46g/t Au, 2.99% Pb and 3.78% Zn.

Metal production for the year was 437,079 oz Ag, 403 oz Au, 1,919,816 lbs Pb, and 2,331,015 lbs Zn, or 661,236 Ag eq oz, which was 12% greater than planned and within 4% of 2008.

Great Panther Silver has initiated its new strategy to accelerate production and increase resources at both Guanajuato and Topia. The new plan forecasts increases to 2.5 million Ag eq oz in 2010 and to 3.8 million Ag eq oz by 2012. In the fourth quarter of 2009, the Company successfully raised the financing required to initiate and accelerate this strategy. Consequently, new equipment has been ordered and is being delivered to the mines, and exploration drill programs will start in the first quarter of 2010. Great Panther Silver is confident that the targets outlined in its new strategy will be achieved or exceeded.

The company’s address is Suite 2100, 1177 W. Hastings St., Vancouver, BC V6E 2K3, 604-608-1766, fax: 604-608-1744, email: [email protected].