MTH confirms high-grade silver-gold at Target 3 and makes a new discovery at Target 5
Our Investment Mithril Silver and Gold (ASX: MTH) just reported drilling results from two separate target areas at its project in Mexico.
MTH's project currently has a 373k ounce gold, 11M ounces of silver JORC resource estimate in Mexico's sierra madre region.
One of the biggest silver producing regions in the world - home to over 2 billion ounces of silver. (source)
MTH's project sits across a ~70km^2 ground position with 6 main target areas currently.
At the moment, MTH's focus is on three main target areas:
- Target 1 - where MTH is drilling to expand that existing resource from 373k ounce gold, 11M ounce silver.
- Target 5 - where MTH recently sampled the highest grade silver (up to 4,520g/t silver) and was drilling to confirm continuation of a recently discovered vein from surface.
- Target 3 - where MTH reported drill results from today.
(source)
Today MTH announced that Target 3 drilling has confirmed extensive epithermal silver-gold mineralisation across a 1.2km x 1.2km area including visible gold in drill core.
Plus a single discovery hole at Target 5 (La Maquina) returned 0.85m @ 6.20g/t gold and 764g/t silver from 122.8m.
Target 3 - High-grade silver AND gold confirmed for the first time in the eastern district
The key takeaway for us from today's announcement was from "Target 3" - where MTH tested vein extensions from four of several mapped historic workings.
Highlights from the drilling results include:
(source)
MTH's VP of Exploration flagged that the intersection of both high-grade silver AND gold at Target 3 is "unique, so far, for the eastern part of the district." (source)
The geological team notes the vein style and grades indicate the drilling is still at a high level in the system with the best intercepts and vein thicknesses found deeper in the holes.
That suggests the potential to find wider and higher-grade zones with deeper drilling, we have mentioned this running theory that MTH have before and why the refer to the vertical extent:
(source)
IF the intersection of the Jabali and Guadalupe structures (projected approximately 950m west) can be tested, it would be a priority target for the next round of drilling.
Target 5 - La Maquina discovery adds another new centre of mineralisation
A single discovery hole at the northern end of Target 5 (La Maquina) confirmed high-grade silver-gold mineralisation 68m down-dip from surface:
(source)
The veins sit within a parallel set trending northwest, running approximately on trend from El Gallo, where 2021 drilling hit high-grade veins.
As a result MTH is continuing to prepare Target 5 for its next phase of drilling.
This district keeps growing and two-thirds of it hasn't even been mapped yet.
So taking a step back and take a look at the Copalquin project as a whole, the scale here is striking:
(source)
Only about one-third of the 70km² mining concession has been mapped in detail since early 2025, with this mapping ongoing.
The LiDAR survey shows numerous historic workings across the district that haven't been systematically evaluated.
Meanwhile at Target 1 (the most advanced area with the current JORC), two drill rigs are continuing the resource upgrade drilling, with the first resource estimate on schedule for later in H1 2026.
MTH is planning up to 25,000m of drilling across the district in the first 6-8 months of 2026.
Today's results at Target 3 and the La Maquina discovery at Target 5 are evidence that the system extends well beyond what's currently defined, so it appears like it's only going to get bigger.
What's next for MTH?
🔄 Target 1 resource estimate - on schedule for H1 2026
Two drill rigs are completing the resource upgrade program. This will be the first JORC resource upgrade for Copalquin, a key milestone for the project.
🔲 Deeper drilling at Target 3 to follow up the geological indicators that grades and vein widths increase at depth.
Today MTH reported that the initial results from here were from an upper part of the system, with the better intercepts coming from deeper in the hole so we expect more drilling to occur at his target area in the near future.
🔲 Target 5 next-phase drilling
Following the La Maquina discovery and the Apomal results (reported in February), Target 5 is being prepared for a more substantial drill program.
🔄 District-wide exploration with aerial magnetics and a structural geology study
MTH has completed an aerial magnetic survey that is now being processed with a district structural geology study to follow. This is about understanding the plumbing system so to speak that controls mineralisation across the 70km² project area.
🔄 La Dura property - Recently acquired 20km² brownfield asset
The recently added La Dura property has a 1.5km mineralisation corridor identified from LiDAR, including the historic 4-level La Dura mine.
A 1.5km long mineralised corridor has been identified with an aerial magnetic survey compete with the results being processed, so we could see come activity in the near term here also. (source)
We covered an update form this asset recently here.
