Article content

Silver prices below US$20 per ounce should have some investors worried as several miners may need to adjust their plans if spot prices weaken further.

Silver has fallen 30% since March 2013, when it was trading at more than US$28.

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or Which miners can survive weak silver prices? Back to video

Some of the metal’s recent weakness is being blamed on the U.S. Federal Reserve, since new chair Janet Yellen suggested interest rates could be hiked sooner than expected. Talk about QE tapering by her predecessor, Ben Bernanke, in the spring of 2013 is also considered a reason for silver’s decline in the past year.

Chris Lichtenheldt, a mining analyst at Dundee Capital Markets, looked at his coverage universe to determine how companies will be impacted by declining silver prices.

Endeavour Silver Corp., for example, is essentially break-even at US$19. Mr. Lichtenheldt also noted it still needs to aggressively spend on exploration.

Silver Standard Resources Inc., which has been the top performer in the group in 2014, continues to be a high-cost operator.