Silver Tiger gets full approval to build El Tigre mine
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On November 7, 2025, Silver Tiger Metals announced it has received all required approvals and permits from SEMARNAT (Mexico's Ministry of Environment and Natural Resources) to construct its El Tigre Stockwork Zone Silver-Gold Project in Sonora, Mexico. This clears the final environmental and regulatory hurdle, allowing the company to advance the project towards a construction decision. The release reiterates the positive economics from the project's Pre-Feasibility Study (PFS), including a US$222 million after-tax NPV and a 40% IRR.
This is a material and positive development as it significantly de-risks the El Tigre project from a permitting standpoint, which is often a major obstacle for mining projects. The receipt of all construction permits is the final major milestone required before the company can make a formal construction decision.
However, the impact may be somewhat muted as this was a widely expected and necessary step in the project's timeline. The market has been anticipating this news, especially following the company's successful C$28.77 million financing in October 2025.
Tracing the company's progress: - Early 2025: The company was focused on underground drilling and advancing economic studies, with an open-pit PFS completed and an underground PEA expected in H1 2025. - April 2025: Raised C$15 million at $0.33 per share for exploration and development. - August 2025: Provided an exploration update and noted the underground PEA was now expected in Q3 2025, a slight delay from the initial H1 2025 target. - October 2025: Completed a significant C$28.77 million "bought deal" financing at C$0.72 per share, more than doubling the prior financing price. This demonstrated strong institutional support and provided a substantial portion of the equity needed for development. - November 2025 (Current News): Securing the permits fulfills a key promise and logically follows the successful financing.
The primary challenge and key risk remaining for the company is securing the full project financing. The PFS outlines an initial capital cost (CAPEX) of US$86.8 million. The recent C$28.77 million (~US$21 million) financing is a strong start but leaves a significant funding gap of approximately US$66 million. The company's January 2025 outlook stated it planned to "negotiate and conduct due diligence with lenders for project financing." The permit approval now makes these discussions with potential debt providers more concrete.
In conclusion, the news is materially positive as it removes a critical variable. Still, it does not address the larger issue of the remaining capital required for construction. The stock price had a significant run-up ahead of the October financing and has since consolidated, suggesting this permitting news was largely priced in. The focus now shifts entirely to the financing package.
Silver Tiger Metals Inc. is a Canadian mineral exploration and development company focused on its 100%-owned El Tigre Silver-Gold Project in Sonora, Mexico. The 28,414-hectare property is located in the Sierra Madre silver and gold belt and was the site of a historic high-grade underground mine.
The company's current focus is on developing a two-pronged project: 1. Open-Pit Stockwork Zone: This is the most advanced part of the project. An October 2024 Pre-Feasibility Study (PFS) outlined a 10-year mine life with robust economics, including an after-tax NPV of US$222 million and an IRR of 40% (based on US$26/oz silver and US$2,150/oz gold). The initial capital cost is estimated at US$86.8 million. The company has now received all permits for construction. 2. High-Grade Underground Potential: The company is actively exploring the high-grade veins and sulphide/shale zones that were historically mined. An underground drilling program is underway to define a resource for a Preliminary Economic Assessment (PEA), which is expected to be released shortly. This represents significant upside potential to the open-pit plan.