MTH - targets getting bigger ahead of drilling this quarter

Our Investment Mithril Silver and Gold (ASX: MTH) announced a set of sampling results from its project in Mexico.

Tuesday's results came from MTH’s target’s 5 and 6.

The biggest takeaway for us from Tuesday’s announcement came from Target 5 - which is now bigger, spanning across a ~2km x 8km area and a ~1,200m elevation profile.

MTH is currently drilling with 2 rigs on site with the first still drilling at target area 1.

The target there is to double MTH’s existing 373Koz gold and 11Moz silver JORC resource estimate.

The second drilling rig is drilling just east of target 5 and is expected to be at target 5 by the middle of August.

MTH expects to add a third rig to the fleet later this year AND is expecting to drill targets 3 and 5 this quarter…

Here is a before and after of how the target areas have grown:

(Before Tuesday’s announcement)

(After Tuesday's announcement)

We covered MTH’s existing drilling as well as targets 3 and 5 in our latest note here: MTH: Third drill rig on the way, More silver and gold results any day now…? Can they repeat “the big one”?

We were just on a site visit for MTH:

We were on an MTH site visit a few weeks ago.

Here are some pictures from the site visit:

And here are a few more of us going through some of the historical workings from the last 100 years dotted across MTH’s land holding, where old timers have mined out gold and silver:

Check out our full site visit write up here: Silver price breakout during our MTH Silver and Gold Site visit

What’s next for MTH?

Over the coming months we will have two big catalysts to look forward to:

🔄 Additional assays (Target 1)

In the March quarterly report we noticed MTH mention that drilling was ongoing for targets at depth around Target 1, with this announcement mentioning that drilling is still continuing at target 1.

In an announcement a few weeks back, MTH said these assays were pending.

We are looking forward to those results. Any hint of high grade mineralisation could add to MTH’s eventual resource upgrade in a big way.

Here is the section we want to see MTH hit high grade silver/gold:

🔲 Double the existing JORC resource

We want to see MTH get close to a doubling of its current JORC resource.

This should come once MTH has officially declared a cut-off for its drilling at target area 1.

🔲 Drilling at regional targets

Next we want to see MTH start drilling Targets 3 & 5.

MTH said in Tuesdays’s announcement that drilling would start at target 5 in mid-August.