It was no coincidence IMO that IPT came out with that report late on a friday. I think the earnings were are total disappointment. The operating numbers were okay, but the market values a company on net earnings. The company reported a net loss however on the basis of a high Candian dollar, and that does not cut it, because the silver and base metals prices were also higher due to the same weak US dollar that propped up the Cando. I mentioned to Fred about a year ago that it was time to lock in some form of currency hedging. Nothing speculative, just an investment to insure against unprecidented Cando strength and ensure that the earnings do not go down the drain when converting operating results back into Canadian dollars. Perhaps the company will take the suggestion more seriously now.

IPT is still positioned to be a home run play in the future, especially if silver really breaks out, but lets not forget about delivering strong results quarter-over-quarter. At least now I know why the stock sold off with a 20% haircut during the last month. And probably EGD is also in the same boat.

cheers!

mike

IMPACT Announces Operating Earnings of $358,000


http://biz.yahoo.com/ccn/07112......html?.v=1

Press Release Source: IMPACT Silver Corp.


IMPACT Announces Operating Earnings of $358,000
Friday November 23, 2:17 pm ET


VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 23, 2007) - IMPACT Silver Corp. (TSX VENTURE:IPT - News; "IMPACT" or "the Company") is pleased to announce its results for the quarter ended September 30, 2007. The Company's consolidated financial statements include the results of Royal Mines of Zacualpan Project ("Zacualpan") that was purchased on January 16, 2006 and resumed production on January 18, 2006.
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Results for the quarter reflected slightly lower revenues, $1,603,907 compared to $1,676,896 in the prior quarter, due to third quarter weakness in silver and zinc prices. The Company was able to further reduce operating costs per tonne to $38.34 with the result that mine operating earnings were $358,117 or only $14,749 lower than the second quarter.

After recording foreign exchange adjustments of $394,086 and a stock-based compensation expense of $140,986, the Company incurred a small loss for the year to date of $68,344 compared to a profit of $242,404 for 2006. The loss for the quarter was $287,322 ($0.01 per share) after stock-based compensation expense of $140,986 and foreign exchange losses totalling $175,608.

In the third quarter of 2007, IMPACT increased the throughput at the Zacualpan mill averaging 296 tonnes per day ("tpd") for the quarter as part of the program to bring production up to the current mill's capacity of approximately 500 tpd. Programmed underground development for the last nine months resulted in higher production of lead and zinc, while silver grades generally have declined. Commencing in late fall, development production from El Chivo and in early 2008 the San Ramon mines are expected to improve silver throughput.




Quarterly Comparison (t equals tonnes)

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Three Months Ended Three Months Ended
September 30 2007 September 30 2006
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Total tonnes (t) Produced 27,273 18,705
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Tonnes Produced per Day 296 203
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Silver Production (ounces) 85,610 117,381
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Lead (t) 155.01 103.36
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Zinc (t) 229.69 194.21
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Cdn. $ direct costs per tonne 38.34 53.96
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Guadalupe Mine

During the first nine months of 2007, mining of lower grade mineral at the Guadalupe Mine continued principally on the Lipton, Lipton del Bajo Paulina, Intermediate and Liptonia Veins, as well as exploiting the Liptonia Vein on the 140m Level. An intensive program of remapping and exploration is continuing at the Guadalupe Mine. Material from the Guadalupe Mine is brought to surface on a skip and transported approximately 100m to the plant and it remains the lowest cost producer for the mines supplying the mill.

La Gallega (Salvadora) Mine

Success in exploration drilling in 2006 led to the commencement of mining in late 2006 from the Gallega adit. Mining began on the high grade Salvadora stopes and in the first quarter also commenced on the Lipton Vein and the recently discovered San David Vein. Material is transported by truck from Gallega approximately 500m to the mill and is forming an increasingly important source of mill feed.

El Chivo Mine

During the quarter, construction of the new El Chivo Mine began. El Chivo will be the third producing mine at the Royal Mines of Zacualpan Silver Project and the second put into production by the IMPACT team. El Chivo Mine is located in the central part of the district. Underground access reached the main El Chivo Silver Shoot in late October. On the vein the Company is developing multiple headings on the mineralization, creating development muck that will be processed in the mill. Production from stoping will commence in early 2008 and should boost the Company's overall silver production.

Over the next six months, the Company anticipates that fluctuating mill grades will continue due to dilution from development muck, as it emphasizes an underground development program in order to increase production. Moreover, because the value of Lead and Zinc have risen dramatically since this time last year, increased emphasis has been put on improving recoveries of the production areas including previously mined stopes by redefining cut-off grades. The mine has also completed negotiations for a new smelter contract and its ongoing union contracts.

IMPACT Silver Corp. is a Tier 1 silver-focused mining and exploration company with two producing silver mines at Zacualpan, Mexico; exploration rights to two Mexican mining districts, an advanced-stage silver project at Zacatecas, Mexico; and, other projects in the Dominican Republic. Energold Drilling Corp. (TSX VENTURE:EGD - News) owns 6.6 million shares of IMPACT.

On behalf of the Directors of IMPACT Silver Corp.

Frederick W. Davidson, President & CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.



Contact:
Darrell Rader
IMPACT Silver Corp.
Corporate Development
(604) 681-9501
(604) 681-6813 (FAX)
Email: inquiries@IMPACTSilver.com
Website: www.IMPACTSilver.com


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Source: IMPACT Silver Corp.