Highlights
Cusi Mine
The Cusi Property is a permitted, past-producing underground mining complex located within the Sierra Madre Occidental belt, historically known for its silver, lead, zinc, and gold deposits.
The project includes 100% ownership of 95 mineral concessions covering 11,665 hectares, along with a 1,200 tonne-per-day mill and permitted tailings capacity. Situated 135 kilometers west of Chihuahua City, the property is supported by strong infrastructure, including paved highway access and a 33 kV connection to the national power grid. Cusi also hosts several historical Ag-Au-Pb-Zn mines, each developed along multiple vein structures.
The site contains a global historic resource of 66 million silver-equivalent ounces, comprising 37 million ounces in the Measured & Indicated category at an average grade of 215 g/t AgEq, and 29 million ounces in the Inferred category at 183 g/t AgEq.
In 2022, the operation produced 1.43 million silver-equivalent ounces at an all-in sustaining cost of $23.17 per ounce, based on 63% mill utilization. The estimated replacement cost of the mine and mill infrastructure is over US$150 million. There is potential to improve project economics through increased mill throughput, higher grades, and lower costs.
Near-Term Production Potential
The Cusi Mine has the potential to be restarted with minimal capital and ramped up to full mill throughput. At 100% utilization, the mine could produce over 2.5 million silver-equivalent ounces annually. Based on current spot prices, the projected all-in sustaining cost (AISC) margin exceeds US$10 per ounce, with additional upside possible through improved economies of scale.
Silverco is advancing a phased development strategy at the Cusi Complex, with key milestones expected in early 2026. This includes a maiden resource estimate incorporating historical and new data, as well as a five-year mine plan and supporting economic study to inform restart decisions. Subject to favourable exploration results, study outcomes, and market conditions, a production restart is targeted for the second half of 2026.
Inset Claims
The 100%-owned claims have been consolidated with the main Cusi property for the first time, expanding the project's footprint along the San Miguel Vein System. Recent drilling and sampling across these newly integrated areas have returned silver grades ranging from 200 to 500 g/t—significantly higher than the current resource average.
With multiple high-grade intercepts and mineralization open for expansion, the San Miguel zone has strong potential to support a third independent mining front and unlock 10–15 Moz AgEq at approximately 250 g/t AgEq, subject to continued drilling success.
2024/2025 Drilling
The company successfully completed a 5,600 m drill campaign focused on testing the San Miguel and La Bamba inset claims and exploring downthrown extensions at Eduwiges. These results demonstrate continuity and the potential for resource expansion in downthrown fault blocks across multiple vein systems.
San Miguel
| Hole ID | From (m) | To (m) | Length (m) | Au ppm | Ag ppm | Pb % | Zn % |
|---|---|---|---|---|---|---|---|
| CU-24-03 | 168.0 | 171.3 | 3.3 | 0.15 | 450 | 0.31 | 0.42 |
| incl. | 171.0 | 171.3 | 0.4 | 0.45 | 2,480 | 0.98 | 0.96 |
| CU-24-04 | 190.0 | 193.0 | 3.0 | 0.19 | 294 | 0.27 | 0.30 |
| incl. | 192.0 | 193.0 | 1.0 | 0.41 | 689 | 0.31 | 0.17 |
| CU-24-06 | 178.9 | 183.3 | 4.4 | 0.22 | 270 | 0.33 | 0.17 |
| incl. | 182.1 | 182.3 | 0.2 | 1.35 | 1,740 | 1.47 | 0.16 |
| CU-24-07 | 177.5 | 180.0 | 2.6 | 0.26 | 385 | 0.29 | 0.13 |
| CU-24-07 | 184.5 | 189.9 | 5.4 | 0.14 | 184 | 0.08 | 0.08 |
| CU-24-08 | 171.4 | 174.4 | 3.0 | 0.37 | 268 | 2.45 | 0.92 |
| incl. | 171.4 | 171.7 | 0.3 | 2.51 | 1,590 | 20.00 | 5.06 |
| CU-24-08 | 237.1 | 244.7 | 7.5 | 0.30 | 291 | 2.17 | 2.45 |
| incl. | 239.0 | 239.7 | 0.7 | 0.96 | 958 | 2.01 | 5.02 |
| CU-24-09 | 188.2 | 197.2 | 9.0 | 0.15 | 288 | 0.40 | 0.12 |
| incl. | 192.5 | 194.3 | 1.8 | 0.20 | 584 | 0.72 | 0.10 |
| CU-24-11 | 165.1 | 168.3 | 3.3 | 0.29 | 335 | 1.39 | 0.67 |
Note: True widths have not been calculated but are estimated to be 85-95% of the stated widths.
Eduwiges Downthrown Highlights
| Hole ID | From (m) | To (m) | Length (m) | Au ppm | Ag ppm | Pb % | Zn % |
|---|---|---|---|---|---|---|---|
| CU-24-01 | 220.3 | 222.0 | 1.7 | 0.13 | 202 | 0.83 | 4.46 |
| CU-24-01 | 415.3 | 417.0 | 1.7 | 0.24 | 54 | 4.26 | 1.39 |
| CU-24-05 | 332.5 | 334.9 | 2.5 | 0.62 | 236 | 0.81 | 0.62 |
| CU-24-10C | 383.2 | 386.4 | 3.2 | 0.23 | 498 | 1.34 | 1.83 |
| CU-24-10C | 647.6 | 649.5 | 1.9 | 0.12 | 78 | 1.76 | 1.53 |
Note: True widths have not been calculated but are estimated to be 85-95% of the stated widths.
The property has seen historical workings at surface along most of the known outcropping veins. Modern production has primarily been limited to the Promontorio and Eduwiges areas.
Until recently, it was believed these veins terminated at the Cusi Fault. However, successful intercepts below the fault have demonstrated significant downthrown extensions, including:
- Promontorio: Mined extension found ~100m below the fault
- San Juan: 2021 drilling intersected downthrown continuity
- Eduwiges: 2024 program revealed new downthrown veins 400m down plunge
- San Miguel: Expected to show similar structural behavior
These findings highlight district-wide continuity and a strong case for future resource growth through step-out drilling.
Drill Targets
San Miguel - Inset Claims
- Consolidated, highly prospective, inset claims with the acquisition of the Cusi Mine
- Consistent high-grade intercepts over wide widths were encountered in 2024 program
- Series of parallel veins with increasing grade and width at depth, remains open in all directions
Promontorio – Carolina Vein Extension
- One of six sub-veins in the eastern Promontorio zone
- Discovered in 2020 and followed along downthrown blocks
- Remains open with step-out hits over 300m from past workings
- Suspension of mining in Sept 2023 offers renewed exploration opportunity
San Juan – Downthrown Block
- Drilled and partially mined near surface, but 2020 drilling confirmed a significant extension east of the Cusi Fault
- Four holes hit mineralization, but no follow-up occurred as Sierra Metals exited the asset
- Next step: Resource definition drilling to evaluate scale
Eduwiges – 2024 Discovery
- Newly identified downthrown block with multiple intercepts
- Intersects located over 400m from nearest known vein exposures
- Adds to the growing list of structurally repeated systems that remain open and underexplored