As the world focuses on the growing gold price with a bull market underway, Canadian junior explorers are jumping in on the silver lining as the precious metal reaches similar heights.
Silver is one commodity offering junior explorers the opportunity to cash in on surging prices.
ABC Bullion reports the spot price of silver climbing consistently since 2022, with a recent spike across late May and early June 2025 as a reflection of ongoing concerns for trade negotiations and growing demand.
Trading Economics reports this jump represents a 27.68% increase over the year to date as the commodity hits its highest price since August 2011.
Silver is sitting at $58.01 (US$37.40) per ounce as of 31 July according to ABC Bullion.
Renowned natural resource investor Rick Rule forecasts an incoming bull market, telling Mining.com.au bull markets follow predictable patterns.
According to the Silver Institute, silver producers boosted global output by 0.9% to 819.7 million ounces in 2024.
Australia and Mexico were the leading forces of this growth with increased silver production from lead-zinc mines and recovery of supply. Silver production from lead-zinc mines remained the dominant source of silver, but output was flat year-on-year.
In contrast, silver production from gold mines recorded the strongest growth, up 12% year-on-year to 13.9 million ounces – a three-year high.
Increasing its output by 2% to 54.3 million tonnes produced in 2024, Fresnillo (LSE:FRES) holds the title as the world’s leading silver producer with a portfolio of assets spanning Mexico, as per the Silver Institute.
Canadian silver lining
However, the Silver Institute also lists Canada as one of the top 20 producing countries, growing silver production by 33% in 2024 to 9.5 million ounces.
Canadian junior explorer Silver North Resources (TSX-V:SNAG) is one company that sees the silver lining with discoveries spanning the Keno Hill Silver District of Yukon.
Agreeing with Rick Rule’s market predictions, Silver North CEO Jason Weber tells Mining.com.au that the bull run has begun for junior companies as the TSX Venture Composite Index (VIJX) reaches the 786 mark as of 14 July, indicating a 32.48% return over the past year.
“Silver seemed to wake up after gold had already started with the benefit of not only the economic factors largely driving gold”
“Silver seemed to wake up after gold had already started with the benefit of not only the economic factors largely driving gold, but also silver’s large industrial demand putting upwards pressure on the price,” Weber tells this news service.
Weber believes this is only the beginning for the greater precious metals sector.
“I think the same economic factors at play currently will continue – this is strong for precious metals. I think we are still in the early stages of a bull market so while we might see some pauses as they climb the ‘wall of worry’ the trend will be up,” he adds.
Trickle down effect
Starcore International Mines (TSX:SAM) has taken a different approach to tap into the Canadian rush, with its wholly owned subsidiary EU Gold Mining seeking a separate Canadian listing.
As reported by Mining.com.au, Starcore recently announced its decision to spin out its Côte d’Ivoire projects to the EU Gold, as it pinpoints its focus on the Mexican assets.
The company only operates one project in Canada, with the Ajax property located on the eastern flank of Mount McGuire in British Columbia.
A 2022 sampling program returned up to 210,000 parts per billion along with gold, copper, lead, zinc, cobalt, and tungsten mineralisation.
Silver North on the other hand is ready to pounce on the demand for Canadian silver, as the company plans for a sampling and mapping program of its Veronica claims within the Haldane and GDR mineral properties in Yukon.
Through a private placement, the company is raising up to C$2.1 million to fund exploration, after already receiving C$30,000 from the Yukon Mineral Exploration Program for its ongoing activities.
Silver North is currently investigating a multi-element anomaly that has not been previously trenched, drilled, or explained by prospecting, spanning an area of 450m by 450m.
The total program is expected to cost $100,000 for additional soil geochemical sampling, mapping, and prospecting.
Silver North is looking to beeline drilling at its Haldane Project, following up on the Main Fault zone discoveries to expand by 300m in strike length, as reported by Mining.com.au.
“I believe it is a matter of time before precious metals explorers have their day,” Weber tells this news service.
“In a bull market there is a trickle-down effect in the early days with the producers seeing interest first, then moving down to the developers, advanced explorers, discovery stage and then early stage explorers last.”
Catching a bid
Often undervalued, junior explorers play a crucial role in the precious metals sector.
Although holding significantly smaller market capitalisations, Minex Consulting reports juniors accounted for 44% of exploration costs in Canada between 2011 and 2020.
Silver47 Exploration (TSX-V:AGA) is one junior explorer ready to advance its Canadian assets with exploration, with prospecting and soil geochemical surveys at its Adams Plateau Project in British Columbia.
After receiving a five-year permit for drilling, the company has collected 5,008 soil samples and 76 rock samples along with prospecting to identify targets across the project.
Historical rock samples returned up to 4,000g/t silver in recent rock samples, which will be collated with recent samples returning up to 3,503g/t.
Speaking to Mining.com.au, CEO Gary Thompson agrees with Rick Rule’s assessment and ‘whip analogy’ with the bull market already starting. He sees the silver lining in the precious metals market.
“We are seeing record profits being generated by the major producers over the last few years and in 2025 the juniors are now catching a bid,” Thompson tells this news service.
“In my opinion, this bull run in commodities and resource equities may be the greatest run we all have seen”
“In my opinion, this bull run in commodities and resource equities may be the greatest run we all have seen.
“I think that we will see a $50 silver price and unlike the previous $50 silver spike it will be a sustained higher new base price for silver which is driven by increased industrial demand for all things electronic.”
Silver is used across a range of industries with many designs, including jewellery and decorative use, the renewable energy sector, medicinal purposes, and within the electronics industry.
The commodity plays a crucial role to power electrical devices, able to host conductivity that can transmit and regulate electrical signals.
The demand for the commodity is likely to continue growing amid trade restrictions and the increasing output of electrical devices across the globe.
Write to Maddison Elliott at Mining.com.au
Images: Fresnillo, Starcore Mining.com.au
