The Canadian mining company announced a robust Prefeasibility Study for its silver and gold project Diablillos, located in the province of Salta. The study process was conducted by SGS Geological Services with support from Knight Piésold, SGS Bateman, Bmining (Chile), and INSA.
By Panorama Minero
Among the highlights of the PFS, AbraSilver reported an after-tax Net Present Value (NPV) of US$494 million, discounted at 5% per year, and an after-tax Internal Rate of Return (IRR) of 25.6%. This financial performance is based on base metal prices, with an investment payback period of 2.4 years. However, at current prices, the after-tax NPV rises to US$661 million, with an IRR of 30.3% and a payback period of 2.1 years.
Additionally, substantial production of silver and gold is forecasted over the mine's lifespan, with an average annual production of 13.3 million equivalent ounces of silver (AgEq), composed of 7.7 million ounces of silver (Ag) and 71,000 ounces of gold (Au). During the first five years of full production, an average annual production of 17.9 million ounces AgEq is estimated, consisting of 14.5 million ounces of silver and 44,000 ounces of gold, reflecting the project's operational robustness in its initial stages.
The Average All-in Sustaining Costs (AISC) are US$12.40 per ounce AgEq over the mine's lifespan, and it boasts a low capital cost with an initial pre-production expenditure of US$373 million and sustainable capital of US$65 million. "This cost efficiency allows AbraSilver to maximize the project's value and ensure long-term profitability," they noted.
Based on the Preliminary Feasibility Study (PFS), Diablillos has Proven and Probable Mineral Reserves containing 210 million ounces of equivalent silver. These reserves support the project's strength and guarantee a constant and sustainable production of precious metals throughout the mine's lifespan.
Following the presentation, John Miniotis, President and CEO, commented, "We are pleased to share the positive results of the PFS which demonstrate that Diablillos is economically robust, reaffirming our confidence in its development. Unlike many other silver projects, the PFS highlights that Diablillos is a true primary silver project, with a substantial amount of gold and no base metals. The PFS indicates that Diablillos may produce an average of 17.9 million equivalent silver ounces annually in the first five years, making it one of the top ten primary silver mines in the world. Additionally, we are very excited to have identified several opportunities to further improve and optimize the PFS economy, which we will evaluate as we progress towards a Feasibility Study. This PFS is an excellent starting position from which we plan to continue unlocking value for all stakeholders."
Join our mining community!
Subscribe to our newsletter for exclusive news, insights, and updates on the mining industry and Panorama Minero's latest initiatives.
AbraSilver: Step-Out Drilling at Diablillos Expands High-Grade Silver Mineralization
AbraSilver Resource Corp. announced assay results from the ongoing, fully-funded 20,000 metre (“m”) Phase IV drill program, on its wholly-owned Diablillos project, located in Salta province. Step-out drilling at the JAC Zone continues to deliver high-grade silver intercepts, further expanding the mineralized footprint of the deposit. Key highlights from the latest assay results include:
Gold in Argentina, with Great Prospects
The golden metal is the leading actor in Argentina's mining exports. Its future is largely tied to copper.
Argentina Reaches Record Figures in Mining Exploration in 2024, with San Juan Leading Investments
According to data presented by the Group of Exploration Companies of Argentina (GEMERA) at the "Argentina Gold, Silver and Copper" seminar, organized last week by Panorama Minero, foreign investment in mining exploration reached US$493.4 million in 2024, representing a 15.7% increase compared to the previous year. This progress positions Argentina as the sixth global destination for mining investments, surpassing countries such as Peru and Brazil.
McEwen Copper Secures Environmental Permit for Los Azules
McEwen Copper Inc., a subsidiary of McEwen Mining Inc., has obtained approval for the Environmental Impact Assessment (EIA) of the Los Azules copper project. The Environmental Impact Declaration (DIA), issued by the Ministry of Mining of the Province of San Juan, marks a crucial step toward the project's feasibility, construction, and future operation.
Argentina Exports US$3.611 Billion in Mining in 2024
Mineral product exports from Argentina reached a total of US$442 million in October 2024, bringing the total for the first 10 months of the year to US$3.611 billion. This performance represents a 61% year-on-year increase in October and a 12.6% growth for the year-to-date, compared to the same period in 2023. Mining exports accounted for 7.0% of Argentina's total exports in October and 5.6% for the year-to-date, exceeding the average mineral exports from 2010 to 2023 by 17.8%. This was reported in the latest update from the Ministry of Mining.
Aldebaran Reports a Very Significant Increase in Mineral Resources at the Altar Copper-Gold Project in San Juan
Aldebaran Resources Inc. announced the results of an updated mineral resource estimate for the Altar copper-gold project in San Juan province. This updated resource estimate includes three main porphyry discoveries (Altar Central, Altar East, and Altar United) reported within a single conceptual open pit. The 2024 Altar Resource Estimate is reported using the same cut-off (US$13.99 NSR/t) as the 2021 mineral resource estimate, to allow for a direct comparison.
Filo Drills 1,270m at 0.92% CuEq in Aurora and 529m at 0.97% CuEq in Bonita
Filo Corp. announced assay results from six holes from the Filo del Sol Project, located in San Juan province.
Aldebaran Announces Commencement of 2024/2025 Altar Project Field Program
Aldebaran Resources Inc. announced that field activities are underway and drilling has commenced at the Altar project in San Juan province.. The Company has secured five drill rigs for the 2024/2025 field program, with an option on a sixth, and is targeting approximately 25,000 m of drilling.
Events: The Mining Industry Gathers in Buenos Aires to Close Out 2024
Panorama Minero will organize its double event, "Argentina Gold, Silver & Copper" and the annual sector dinner "The Mining Awards Night", on December 4-5 in Buenos Aires, with an estimated audience of over 650 people. This platform will highlight the current state of the mining industry.
The Revolution of Artificial Intelligence in Mining: Insights from the AI Symposium in Salta
The National University of Salta (UNSa) hosted the 2nd Symposium on Artificial Intelligence (AI) in the Mining Industry, bringing together key stakeholders to discuss the opportunities and challenges posed by this transformative technology.
Mendoza Senate Approves Copper Exploration in 34 Projects in Malargüe
With a broad majority, the Mendoza Senate has approved the environmental impact declarations for 34 copper exploration projects in the Western Mining District of Malargüe, opening the door to mining activities in the southern part of the province. This decision, already endorsed by the Chamber of Deputies, was ratified with 33 votes in favor and only 3 against, reflecting political consensus on the importance of this initiative for the regional economy.
San Juan: Minas Argentinas Unveils $1 Billion Investment Plan under RIGI Program
Mining company Minas Argentinas SA, a subsidiary of AISA Group and operator of the Gualcamayo mine, has submitted a $1 billion investment plan to Argentina’s Incentive Regime for Major Investments (RIGI), making it the first company in San Juan to join this program. This marks the largest proposed investment under the RIGI in the region, with the potential to bring significant economic and employment opportunities.