Pinnacle Silver and Gold (TSX-V:PINN) has received environmental approval for surface drilling at its El Potrero Gold-Silver Project in Durango, Mexico.
The two-year permit covers 110 drill sites. Pinnacle’s initial program comprises 48 holes totalling approximately 5,540m.
Drilling will test gaps surrounding historical mine workings and the extension of the Dos de Mayo vein. Other targets include the El Capulín vein system and the Estrella vein.
The property’s environmental classification required a full environmental impact permit rather than a standard drilling authorisation. Pinnacle says the baseline work completed for the application also supports permitting underway for a potential mine, processing plant, tailings storage facility, powerline, and water licence.
President and CEO Robert Archer says the approval allows Pinnacle to expand beyond its underground drilling campaign.
“We have laid the groundwork for much of the permitting that is required to bring the project back into production,” Archer says.
Underground drilling at the Pinos Cuates mine has concluded after 73 holes totalling 1,452.2m. Assays are expected within three to four weeks.
The underground rig has moved to Dos de Mayo, where Pinnacle plans 27 holes totalling approximately 555m. That work is expected to finish around the end of November, after which the company will demobilise the underground equipment and crew.
Pinnacle says it is considering adding a second surface rig at Estrella once drilling is established at Dos de Mayo.
The company aims to use its drilling results to compile a mineral inventory, develop a mine plan, and support a formal production decision in early 2027.
The permit follows Pinnacle’s closing of the approximately C$1 million ($1.01 million) final tranche of its private placement.
Pinnacle Silver and Gold is a Canadian explorer holding an option to acquire the 1,074-hectare El Potrero gold–silver project in Durango.
Write to France Pinzon at Mining.com.au
Main image: Pinnacle Silver and Gold
