AbraSilver Intercepts 274 Metres Grading 0.60 g/t Gold from 251 Metres Depth at Oculto East, Highlighting Potential for an Underlying Porphyry System
AbraSilver Hits Deep Gold, Pivots Hunt to Porphyry Giant Beneath Oxide Cap
On December 10, 2025, AbraSilver announced drill results from its Phase V program at the Diablillos project in Argentina. The headline result is from hole DDH-25-085, which intercepted a very wide interval of 274 metres grading 0.60 g/t gold, starting from a depth of 251 metres. This interval also contained associated copper and molybdenum mineralization at depth.
Management frames this discovery as a significant milestone, providing strong evidence for a vertically extensive mineralized system with the potential for an underlying porphyry system. The company's President and CEO, John Miniotis, stated the results reinforce the view that the Oculto deposit "forms part of a much larger precious- and base-metal system."
Operationally, the 60-hole Phase V drill program is nearing completion. A new 15,000-metre Phase VI program is planned to commence in January 2026, which will focus on both expanding the existing oxide resource and testing these new, deeper porphyry targets. The company also reiterated its plan to deliver an updated Mineral Resource Estimate (MRE) in the first half of 2026.
This news is material and positive for the company. While AbraSilver has consistently delivered strong drill results expanding its near-surface oxide resource, this release introduces a fundamentally new and potentially much larger dimension to the Diablillos project.
The primary positive impact comes from the strong indication of a porphyry system at depth. Porphyry deposits can be massive, district-scale systems and are highly sought after by major mining companies. This intercept, while not a "discovery hole" into a high-grade core, is a critical proof-of-concept. It validates the geological model and significantly expands the long-term exploration potential of the property well beyond the oxide cap that has been the focus to date. This long intercept (274m) of continuous gold mineralization, coupled with pathfinder elements like copper and molybdenum, suggests proximity to a large, fertile intrusive center.
This development must be viewed in the context of the company's recent actions. AbraSilver is exceptionally well-funded following a C$48 million financing in October 2025, providing ample capital to aggressively pursue this new target without jeopardizing its existing work plans.
However, a critical perspective is required. The term "potential" is key; a porphyry has not been discovered, only indicated. Porphyry exploration is expensive, requiring deep and systematic drilling. The grades encountered so far (0.60 g/t Au) are moderate and would require significant scale to be economic in an underground or large open-pit scenario. Furthermore, this new target introduces complexity. The company is advancing a Definitive Feasibility Study (DFS) on a straightforward, high-margin oxide silver-gold project. A deep copper-gold porphyry is a completely different mining and processing proposition that could potentially delay or distract from the near-term production goal.
Despite these risks, the sheer scale implied by a potential porphyry system substantially elevates the project's ultimate value proposition. It transforms the investment thesis from a single-asset development story into a district-scale exploration play with a well-defined, near-term development project on top. The news provides a strong fundamental underpinning for the stock's recent price appreciation and sets up the upcoming Phase VI drill program as a major catalyst.
AbraSilver Resource Corp. is a Canadian-based exploration and development company focused on precious metals in Argentina. Its flagship asset is the 100%-owned Diablillos silver-gold project located in the Salta Province. Diablillos is an advanced-stage project hosting a large, high-sulphidation epithermal silver-gold deposit. The company has completed a Pre-Feasibility Study (PFS) and is currently advancing a Definitive Feasibility Study (DFS) for an open-pit, heap-leach operation. Recent exploration has identified the potential for a large copper-gold-molybdenum porphyry system beneath the known oxide resource. The company also holds the La Coipita copper-gold project in a joint venture with Teck Resources.