For things at the mine delivered consistent production results for the quarter of 996,000 ounces of silver and 5,845,000 ounces of gold. This represents increments of 110% for silver and 816% for gold, with respect to the second quarter of 2011.The production growth is attributable to a contribution of our San Jose mine of 486,000 ounces of silver and 5,000 ounces of gold. Silver production at Caylloma was 7% above the comparable period. The company sold silver at an average market price of $29.42 versus $38.17 for the comparable period. For the quarter, silver comprised 64% of revenue. Price growth of gold accounted for 21% of revenues for a combined 85% issued met of contribution. Consolidated cash cost per ounce of payable silver, net of by upgrade, remains well below the medium facility uses, at $3.75. Cost at the San Jose mine are slightly below budget at $66.50 per tonne or negative $1.36 per silver ounce net of by-product credits. We do not expect material variations in cost at the San Jose mine for the year at this point. At Caylloma, costs are slightly below budget as well at $85.65 per tonne or $8.52 per silver ounce net of by-product credits. We're starting to see cost pressures re-surfing at the Caylloma mine or license related to concentrated funds or oil transport increased to technical expenditures for roof support on the upper levels of the Animas vein. Diesel power generation and higher preparation requirements for narrow vein mine. We're implementing cost cutting measures, mains one including securing required power to some degree, assessing with the rebalancing of the ore contribution from label and preparation intensive narrow veins. Without any containment, these cost pressures can potentially amount between 6 and 8% of cost increase against our $86 per tonne budget for the year the Caylloma Mine.
We continue planning for production rates of 5 million ounces of silver and 25,000 ounces of gold, by mid-2013 as we materialize expansion of the San Jose mine. The capital projects including the construction of the Dore plant and the throughput expansion of San Jose are advancing according to plan. We are in the process of securing a five hectored property in an industrial part in Mexico for a construction of facility. And also we're well advanced with the procurement of the key items of the San Jose expansion which is the volume.At Caylloma, companies have secured failing holding capacity in the current facility until the first quarter of 2013 to a phased expansion of the systems facility. Intermeeting process is advanced. We have addressed all technical and legal observations for renewed facility which is planned to information in the late September. Also Mr. Robert Brown joined the company in August 1st, taking over a new post of Vice President of Corporate Development. This addition to our team is strategic and aligned with our objective to continue growing Fortuna as a leading low cost silver gold producer. The company has too many resulting data realities to develop an operating jurisdictions. And with the strength of our balance sheet, we plan to take advantage of business opportunities in the cooling market. Robert will be heading this initiative for Fortuna. For 2012 exploration budget, it was 15 million and includes right now are 35,000 meters of planned grid. (Inaudible) reporting at Caylloma at San Jose. We have two dual rig strain and we are testing and developing new targets in a brownfield exploration package both in San Jose. Read the rest of this transcript for free on seekingalpha.com