AbraSilver's Definitive Feasibility Study Positions Diablillos Among the Premier Undeveloped Silver-Gold Projects Globally with CAD$4.2B After-Tax NPV5% & 42% IRR

AbraSilver released the Definitive Feasibility Study (DFS) for its 100%-owned Diablillos silver-gold project in Argentina. The study establishes a 9,000 tpd tank leach processing plant with a 25-year mine life, producing an average of 20 Moz AgEq annually over the first five years and a LOM average of 10 Moz AgEq (5.9 Moz Ag, 62 koz Au).
At base-case metal prices ($50/oz Ag, $3,650/oz Au) the after-tax NPV5% jumps to $3.0 billion USD ($4.2 billion CAD) with a 41.9% IRR and a 1.7‑year payback. Using spot prices, NPV swells to $4.8 billion USD and IRR to 56.5%.
Initial pre‑production capex is $722M (including $98M contingency), with LOM sustaining capital of $520M. LOM AISC is an extremely low $19.89/oz AgEq.
The DFS benefits from Argentina’s RIGI regime (25% corporate tax, 0% export duties) and already‑approved Salta environmental permit. Key next steps are early works in Q3 2026, project financing in Q4 2026, and FID targeted for Q2 2027, with first production before year‑end 2029.

The DFS is materially positive and qualifies as a game‑changer.
- The after-tax NPV of C$4.2B is approximately double the company’s current market capitalization (~C$2.17B), indicating a deep value disconnect if the project can be fully financed and built.
- Compared to the December 2024 PFS (NPV $747M USD, IRR 28%) the economics have expanded by more than 4× in NPV terms. While much of the increase stems from higher metal price assumptions ($50/$3,650 vs $25.50/$2,050), the DFS also incorporates a significantly enlarged mineral reserve (77.9 Mt grading 146 g/t AgEq), a longer mine life, lower AISC, and the fiscal certainty of RIGI, which were not fully captured in the earlier study.
- The DFS confirms Diablillos as a rare, large‑scale, high‑margin, multi‑decade silver‑gold asset with a clear path to construction. This dramatically de‑risks the project’s technical and economic viability, though financing execution remains a key risk.
- While the market had anticipated a DFS in Q2 2026, the sheer magnitude of the updated economics is likely to force a material re‑rating of the stock, especially when combined with the pending heap‑leach PEA (expected imminently) that may further extend mine life and returns.

AbraSilver Resource Corp. is an advanced‑stage exploration and development company. Its 100%‑owned Diablillos project, located in the Salta‑Catamarca region of Argentina, hosts a world‑class silver‑gold oxide and sulphide resource.
The May 2026 M&I resource (tank + heap leach) totals 232 Mt containing 248 Moz Ag and 2.5 Moz Au (454 Moz AgEq). The DFS is based on an updated reserve of 77.9 Mt grading 146 g/t AgEq (183 Moz Ag and 1.8 Moz Au) within an open‑pit shell, feeding a stand‑alone 9,000 tpd tank leach plant.
The Company has also consolidated a large district land package (>6,200 ha added in 2026) that includes the high‑grade Condoryacu discovery and water‑rights properties. An earn‑in JV with Teck Resources on the La Coipita copper‑gold‑molybdenum project provides additional upside exposure.