AbraSilver Resource’s recent drilling results at the Diablillos project in Argentina show high-grade silver, boosting shares by 8.1%. CEO John Miniotis notes the potential for growth, with a resource update expected soon. Silver prices have risen due to industrial demand, affirming the project’s significance.
AbraSilver Resource (TSX: ABRA) has reported significant high-grade silver results from its completed stage four drilling at the Diablillos project in northwest Argentina, leading to an 8.1% increase in share price. Notable highlights from the JAC Extension target include a 30-metre section reaching 237 grams of silver per tonne, with a subinterval of 11.5 metres grading 417 grams silver. Mineralization at this site remains open to the south beyond the JAC open pit boundaries.
John Miniotis, president and CEO of AbraSilver, emphasized the promising results, stating that the exploration program underscores the potential for growth at Diablillos. The drilling confirms the presence of high-grade silver and gold mineralization across various targets, enhancing confidence in the project’s long-term value.
The upward momentum in silver prices, reaching levels not seen since 2013, is attributed to increased industrial demand, particularly for applications in green energy technology. As of Tuesday morning, silver was priced at $32.73 per ounce, up by 2.4%.
On Tuesday, AbraSilver shares traded at C$3.38, bringing the company’s market capitalization to C$516.3 million. The stock has fluctuated between C$1.42 and C$3.58 over the past year. Additional drilling results include notable grades from various boreholes at the JAC Extension and other targets, underscoring the mineral wealth in the area.
Future exploration plans include an updated resource estimate set for release mid-year, incorporating 21,172 metres of drilling across 106 holes, and a forthcoming stage five which aims to add another 20,000 metres of drilling. Diablillos currently hosts proven and probable reserves of approximately 42.3 million tonnes at 91 grams silver and 0.81 grams gold, equating to 123.5 million ounces of contained silver and 1.1 million ounces of contained gold.
AbraSilver Resource is experiencing significant advancements at its Diablillos project, particularly reflected in high-grade silver drilling results that have positively impacted its share price. The continued exploration indicates strong potential for resource expansion, with an anticipated updated resource estimate on the horizon. The projected growth in silver demand further supports the viability of this project, marking it as a crucial component of AbraSilver’s long-term strategy.
Original Source: www.mining.com
