AVM to announce maiden JORC resource on Mexican silver project any day now

Our silver and gold Investment Advance Metals (ASX: AVM) just released the final batch of drill 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:

• Guadalupe y Calvo (60.6M oz silver equivalent foreign resource estimate)
• Yoquivo (17.2M Oz silver equivalent foreign resource estimate)
• Gavilanes (22.4M Oz silver equivalent foreign resource estimate)

Today’s results are the last holes from the current phase of resource drilling at Yoquivo.

The standout result for us was hole “YQ-26-020” which hit silver from ~118m depths all the way down to ~355m depths in one hole.

Silver across a 230m interval with pockets of really high grade silver (as high as ~2,180g/t silver equivalent in some parts):

(source)

AVM also included an image of the cores from a separate hole with a high grade intercept over 3.23m:

(source)

Seeing more silver at depth, extending the previously known mineralisation is a good sign - especially with AVM looking to put out a maiden JORC resource for the project in the coming weeks.

With silver now trading at ~US$78/oz (more than 3x the US$24/oz price assumed in the original resource) - we are hoping the resource announcement is an upgrade on the existing 17.2M ounce silver equivalent foreign resource estimate.

(source)

The higher silver price also means AVM is looking into at a bulk-tonnage open-pit mining scenario for the project - whereas this type of project would typically be developed as an underground mine that targets the high grade pockets of mineralisation.

We covered the potential bulk tonnage open-pit scenario here: AVM drilling for a JORC resource on silver-gold project this month

What else is AVM up to?

AVM is also currently drilling its gold project in Victoria, where it brought a second drill rig on site toward the end of last year, having seen visual gold in some of the drill cores.

It also recently hit visible gold from an unknown structure ~100m to the east of the known mineralisation:

(source)

Results from that gold visual hole were released earlier in the week, which included a result of 3.7m at 16.6g/t gold, with a deeper section of that hole, which may have interested more mineralisation still to be assayed:

With drilling having been ongoing for a few months now in Victoria - we could see results come out any day now

While still very early days, we think that the market could start to make some comparisons here to $2.3BN capped Southern Cross gold which has several high grade systems and $122M capped Falcon metals which made a similar styled discovery last year..

See our deep dive on the comparisons to Southern Cross and Falcon Metals here: AVM step out drilling hits visible gold - assays in coming weeks

What's next for AVM?

Maiden JORC MRE for Yoquivo 🔄

AVM is targeting delivery of the first JORC-compliant Mineral Resource for Yoquivo in the coming weeks.

This will incorporate all the drilling from the current program, plus all of the historical core resampling work AVM’s done over the past few months.

Here are the milestones we are tracking for the Yoquivo asset:

✅ Resource extension drilling completed (21 diamond holes)

✅ Historical core resampling program (4,500m — results received)

🔄 Geological modelling and MRE compilation underway

🔲 Maiden JORC MRE release (coming weeks)

Gavilanes maiden resource work commencing 🔲

AVM also flagged today that exploration work would start at its other project in Mexico (Gavilanes where AVM has a foreign 22.4M ounce silver equivalent resource).

This is a second project with a foreign resource that also needs JORC conversion, so two potential resource catalysts on the horizon.

Victorian gold project - drilling ongoing 🔄

AVM is also drilling right now at its Victorian gold project.

We are looking forward to seeing if AVM can extend the mineralisation on that project at depth - where the last batch of holes hit visible gold in several holes in January earlier this year. (source)