AbraSilver logs new high-grade gold hits at Diablillos

AbraSilver Resource (TSX: ABRA) said new drill results at its flagship Diablillos project in northwestern Argentina have expanded the high-grade gold zone east of the Oculto deposit.“Numerous” broad zones of gold and silver mineralization were found in the Oculto East zone, AbraSilver said Tuesday in a statement. They include hole DDH 25-077, which cut 8.5 metres of 13.81 grams gold and 14.3 grams silver from 317 metres depth, and 44 metres of 0.65 gram gold and 3.6grams silver starting at 368 metres.“We view this news as positive for AbraSilver shares as assay results show extensions of gold and silver zones beyond known mineralized boundaries,” Scotia Capital mining analyst Eric Winmill said in a note Tuesday. The results also reinforce the potential for resource expansion in the upcoming definitive feasibility study, which the company is looking to complete by the end of March 2026, he added.AbraSilver shares climbed 3.8% to C$6.55 Tuesday morning in Toronto, boosting the company’s market value to about C$1 billion. The stock has traded between C$2.22 and C$8.09 in the past year.Large silver-gold resourceLocated in Argentina’s Puna region, about 160 km southwest of the city of Salta, Diablillos is one of the more advanced undeveloped silver-gold projects in South America, with year-round road access and nearby power infrastructure. AbraSilver bought the property, which includes 15 contiguous and overlapping mineral concessions, in 2016. More than 150,000 metres have been drilled so far.Other drill highlights included hole DDH 25-073, which cut 10 metres grading 59 grams silver per tonne from 117 metres downhole and 20 metres grading 0.66 grams gold from 223 metres depth. Hole 25-076, meanwhile, cut 12 metres grading 62 grams silver from 128 metres downhole and 180 metres grading 0.65 grams gold from 170 metres depth, including 15 metres at 1.36 grams gold.“Drilling at Oculto East continues to confirm broad, high-grade gold mineralization extending well beyond the eastern margin of the conceptual open pit,” chief geologist Dave O’Connor said in the statement. “The consistency of these strong intercepts points to a large, continuous mineralized envelope with significant potential for further expansion.”Besides the oxide-focused drilling, AbraSilver is conducting exploration work at a porphyry complex located about 4 km northeast of Oculto. Crews are evaluating the potential for a large-scale mineralized system at depth, and assay results for these deeper holes are expected to be received by year-end.Tuesday’s drill results come about three months after AbraSilver released an updated estimate that boosted the project’s measured and indicated resources by 34% for silver ounces and 14% for gold.The revised estimate includes 104 million measured and indicated tonnes grading 59.5 grams silver and 0.51 gram gold for 199 million oz. contained silver and 1.72 million oz. gold, the company said in late July. That’s up from 76.2 million tonnes grading 60.5 grams silver and 0.62 gram gold for 148 million oz. silver and 1.51 million oz. gold in a November 2023 estimate.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com