Advance Metals (ASX: AVM) has released a maiden mineral resource estimate (MRE) for its Yoquivo silver-gold project in Mexico, confirming a large-scale system with mineralisation extending from surface and strong continuity across key zones.
The resource sits at 8.8 million tonnes grading 80 grams per tonne silver and 0.49g/t gold or 120g/t silver equivalent (AgEq), containing 23 million ounces silver and 140,000oz gold for 33Moz AgEq.
The drilling campaign of 99 diamond holes for more than 26,000m was delivered at a cost of US$0.10 per ounce AgEq, inclusive of purchase and operating costs as well as drilling and historical core sampling programs.
The MRE represents a 92% increase in contained AgEq ounces when compared to an inferred foreign estimate completed for the project in 2023 by former owner Golden Minerals.
Bulk Tonnage Mining
Reported at a 50g/t AgEq cut-off grade, the estimate incorporates broader zones of mineralisation beyond historically targeted high-grade veins, highlighting the potential for bulk tonnage open cut or underground mining scenarios that may support a lower cost development profile.
Assumed prices of US$52 per ounce silver and US$3,910/oz gold correlate to the approximate average daily closing price for each metal in the previous 12-month period.
More than 93% of the contained metal sits within the Pertenencia deposit to the east, with the remainder at the Esperanza deposit, some 2.5 kilometres to the west.
Both deposits remain open at depth and along strike and will potentially be subject to further resource extension and conversion drilling programs.
Extensive Exploration Program
Advance acquired the Yoquivo project in 2024, and subsequently conducted an extensive exploration program that included the completion of a 21-hole diamond drilling campaign for a total 7,000m.
The company also assayed more than 5,000m of historical and unsampled diamond core that showed extensive zones of contiguous silver-gold mineralisation in certain portions of the Pertenencia system.
The new resources at Pertenencia extend to the surface over a strike of more than 750m and up to 250m in width.
“This MRE was delivered less than 18 months after acquiring Yoquivo and confirms the potential of this emerging large-scale silver-gold system,” managing director Dr Adam McKinnon said.
“With a discovery cost of around US$0.10 per ounce, Yoquivo demonstrates the effectiveness of our exploration strategy and strengthens our growing Mexican portfolio, now totalling 116Moz AgEq—we are now focused on the next phase of drilling to drive further resource growth and advance Yoquivo toward development.”
