AVM drilling for a JORC resource on silver-gold project this month

Our silver and gold Investment Advance Metals (ASX: AVM) just released impressive drilling results from its Yoquivo Silver-Gold Project in Mexico.

AVM has three silver assets in Mexico with a combined ~100M silver ounces in foreign resources across 3 projects:

1. Guadalupe y Calvo (60.6M oz silver equivalent foreign resource estimate)
2. Yoquivo (17.2M Oz silver equivalent foreign resource estimate)
3. Gavilanes (22.4M Oz silver equivalent foreign resource estimate)

Today, AVM reported results from drilling at its Yoquivo project.

At Yoquivo AVM is currently drilling to extend and convert the project's current foreign resource into JORC status.

The strongest hit was a 67.88m at 134g/t silver equivalent (from 305.9m), including a higher-grade portion of 23.89m at 257g/t silver equivalent.

This hole was drilled as a scissor hole, so it wasn’t drilled parallel to the prior drilling but at an angle in the opposite direction.

Scissor holes are common for companies defining resources because it helps work out true widths and any hidden mineralisation.

Here is a look at the scissored hole:

(source)

Up until now (or at least recently) the resource was thought to be mainly narrow high grade veins.

However with the recent drilling and the historical core retesting program on historical cores it looks like AVM is extending the mineralisation on the project.

We covered the recent results from the resampling program here.

The key takeaway for us is how AVM is showing that an open pit mining scenario may be viable for the project, rather than an underground scenario which would target the high grade veins.

We also notcied AVM hit silver in targets outside of the area where the resource sits:

• Drilling from the Esperanza North and South Prospects (2.7km to the west of the Pertencia target) also hit silver (10.4m at 102g/t silver equivalent)
• Drilling from the San Francisco Prospect (700m west of the Pertencia target) hit a vein that included 0.3m at 727g/t silver equivalent within a 1.3m zone.

So overall, this points to a potential strike doubling across this area to 2.7km:

(source)

AVM is targeting a Mineral Resource Estimate by the end of the month, which will also aim to upgrade on the current 17.2M Oz silver equivalent foreign resource estimate.

What’s next for AVM?

AVM provided a nice outlook chart so which details what we can expect to see and when:

(source)

Assay results from AVM’s Victorian gold project 🔄

With drilling continuing at the Victorian gold project, assays have started to be released so we await for the results to continue.

AVM had a second drill rig arrive on site recently, so we expect the rate of assays to ramp up, with AVM confirming 2 assays from here are due in February. (source)

(Source)

Drilling results from the Yoquivo silver project in Mexico 🔄

These recent results will be used in a Mineral Resource Upgrade which will also convert the current foreign resource into JORC status by the end of this month (March). (source)

We are especially interested in those holes testing for depth extensions of the current resource on the project:

(source)

Sampling of old drillcore at the Yoquivo silver project in Mexico 🔄

We are also looking forward to seeing the sampling results from the untested parts of AVM’s Yoquivo project in Mexico continuing.

The old drilling hadn’t been completely tested in the past so we should see the results from this in the coming weeks (hopefully the gaps in the veins from the image below are also mineralised)

The company has detailed that results from this are ongoing and will be used along with the recent diamond drilling results to update the JORC Resource for the project in Q1 next year.

(Source)