First Silver Reserve Inc.
TSX : FSR

First Silver Reserve Inc.

October 05, 2005 12:02 ET

First Silver Increases Mining Capacity

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 5, 2005) - First Silver Reserve Inc. (TSX:FSR) announced today that the company recently purchased a number of pieces of underground mining equipment to strengthen its mining fleet for its wholly owned San Martin silver mine located in Jalisco State, Mexico. During the first half of the year the mine production was below normal due to reduced mechanical availability of the scooptrams and underground haul trucks. This additional equipment has allowed the Company to increase production levels and has been funded from cash flow.

Major pieces of underground mining equipment purchased included: two 3.5 yard scooptrams, a rebuilt 5 yard scooptram, and three underground 12 ton haul trucks. In addition two Company scooptrams, a 5 yard and a 3.5 yard, have been reconditioned with rebuilt engines. Mr. Davila Santos, President of the Company, commented: "with the new addition of these scooptrams, underground haul trucks and motors, equipment availability should be increased significantly in the last quarter of the year and the Company is expected to achieve its forecasted production of 2.0 million ounces of silver for the year."

To date, the San Martin mine has produced 28.1 million oz. of silver from 3.4 million tonnes of ore. The structure containing the Zuloaga vein has been traced for 5 km west of the main portal but only 2.5 km has been partially explored and mined.

First Silver Reserve is a company focused on the production and exploration of precious metals in Mexico. First Silver, through its wholly owned subsidiary Minera El Pilon, owns 100% of the San Martin Silver Mine in Jalisco State, Mexico. The Company is in the process of developing an extensive exploration program with the goal of expanding reserves that may allow for increased production beyond the 2.1 million ounces per year average annual silver production. According to the 2003 World Silver Survey, First Silver's San Martin mine was the 14th largest primary producing silver mine in the World.

On behalf of the Board of Directors

"Len Brownlie"

Director

Note: This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents, filed by the Company on SEDAR at www.sedar.com, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • First Silver Reserve Inc.
    Len Brownlie
    Director
    (604) 602-9973
    or
    First Silver Reserve Inc.
    Rod Shier
    CFO
    (604) 689-0489
    or
    First Silver Reserve Inc.
    Suite 584 - 885 Dunsmuir Street
    Vancouver, B.C., Canada ,V6C 1N5
    Toll Free 1-888-377-6676
    (604) 681-5910 (FAX)
    Email: info@firstsilver.com
    Website: www.firstsilver.com