11:25 AM EDT, 04/11/2025 (MT Newswires) -- (Adds comment and updates shares.)

Aya Gold & Silver ( AYASF ) on Friday said its silver production surged 192% to a record 1.07-million ounces in the first quarter.

The company rise comes three months after the company declared commercial production for an expanded processing plant at the Zgounder mine in Morocco.

Aya said mill capacity improved during the first quarter and it expects to see recovery improvements throughout the year as plant operations are optimized and as more fresh rock is introduced into the plant.

The company noted that all of Zgounder's silver production is now silver dore, increasing revenue per ounce produced by about 15% compared to the concentrate it previously produced.

"With mining rates steadily increasing in line with our plan, we are well positioned for a strong ramp-up and a solid second half of 2025," chief executive Benoit La Salle said

National Bank of Canada maintained its outperform rating and $19.75 price target on the company's shares following the production data.

The bank reiterated Aya as a top precious metals pick, supported by NAV expansion from production growth and high-grade resource accretion at Zgounder.

National Bank also cited Aya's promising pipeline prospect in Boumadine, and the company being the only pure-play silver producer in its coverage.

Aya shares wee last seen down $0.19 to $10.81 on the Toronto Stock Exchange.

Price: 10.88, Change: -0.12, Percent Change: -1.09