08:40 AM EST, 11/14/2024 (MT Newswires) -- Aya Gold & Silver ( AYASF ) on Thursday said it swung to a third-quarter loss on lower silver sales and also lowered its 2024 silver production guidance as it readies an expansion of its Zgounder mine in Morocco it said is 99% complete.

The company said it lost US$263,000, or nil per share, in the period, compared to a year-prior profit of US$1.21 million, or US$0.01.

Revenue fell 5.9% to US$11.02 million from US$11.71 million, as silver sales fell 26% to 403,957 ounces while its average price per ounce rose 27% to US$27.29 per ounce. Cash costs per ounce more than doubled to US$23.47 from US$10.73.

"Our third quarter results came in below expectations due to non-recurring challenges at Zgounder, which postponed some operational milestones to the fourth quarter of 2024. These temporary setbacks are now behind us, and our team is on track to deliver commercial production at Zgounder before year-end. Zgounder will be central to our growth plans in the coming years, fueling higher production and increased free cash flow," chief executive Benoit La Salle said in a release.

The company said the expansion of the Zgounder mine in nearly complete, with commissioning underway. Cost for the project to date total US$159 million, with an expected US$7 million of spending remaining.

Aya said it is lowering its 2024 silver production guidance to around 1.7-million ounces from an unspecified prior level following a September issue with the installation of a hydraulic unit of the ball mill at the site that slowed commissioning of the expansion project. It is also withdrawing all other annual guidance.

The company's shares closed down $0.57 to $14.75 Wednesday on the Toronto Stock Exchange.