Mithril Silver and Gold (ASX:MTH) is continuing step-out drilling at Target 4 after extending ‘high-grade’ mineralisation at its Copalquin property in Durango State, Mexico, to 700m of strike.
The mineralisation sits across two sub-parallel veins about 10–15m apart. The projected structure remains open for about 400m northwest towards Target 1 and 400m southeast towards the historical San Manuel mine. The company sees a potential strike length of 1.5km.
Hole CO26-006 returned 1.15m @ 1,048 grams per tonne silver equivalent (AgEq) comprising 2.76g/t gold (Au) and 855g/t (Ag) from 104.75m. It also hit 2.65m @ 411g/t AgEq from 109.8m, including 0.90m @ 622g/t AgEq.
Concurrently, hole CO26-009 intersected 0.50m @ 1,738g/t AgEq for 3.11g/t Au and 1,520g/t Ag from 154.50m.
All lengths are downhole, with further drilling required to estimate true widths.
Mapping now covers an additional 80 hectares around San Manuel, the second-largest historical producer in the district. More than 50 of 135 channel samples returned more than 1g/t gold equivalent (AuEq).
Meanwhile, underground sampling at the Mina del Aire workings returned up to 16.55g/t Au and 616g/t Ag over 0.60m.
The drill program continues to expand the system’s footprint, with the company also advancing economic studies at a nearby target.
Managing Director John Skeet says the ongoing step-outs are defining a ‘larger mineralised trend’.
“Extending high-grade mineralisation along the Copalquin-Zaragoza structure to 700m, with further step-out results pending, highlights the growing potential of Target 4,” Skeet notes.
“We’re focused on unlocking the potential between these targets while advancing the Target 1 Scoping Study/PEA [preliminary economic assessment].”
Two rigs continue to drill, with 24,181m of the 25,000m 2026 program completed and assays pending for eight holes.
Target 1 hosts a mineral resource estimate of 464,000 ounces AuEq indicated and 151,000 ounces AuEq inferred, with a Scoping Study targeted for early 2027.
The company holds an option to buy 100% of the Copalquin concessions for US$10 million ($14 million) on or before 7 August 2028.
Mithril Silver and Gold is an Australian explorer advancing a portfolio of silver-gold and base metals assets across Mexico and Australia.
Write to JC Villarba at Mining.com.au
Images: Mithril Silver and Gold
