Silverco Mining Announces Filing of Q2 2026 Financial Statements and MD&A and Provides Corporate Update
Silverco reports first revenue but faces a going-concern caveat as its silver project remains thin.
Silverco Mining Ltd. (SICO) filed its unaudited financial statements and management’s discussion and analysis for the second quarter and six months ended June 30, 2026. The company recorded its first revenue of C$10,387,168 from the La Negra Mine during the 43-day post-acquisition period spanning May 19 to June 30, 2026. Mine operating earnings from La Negra were C$374,984, while the net loss for the quarter stood at C$6,102,105, or C$0.13 per share. This loss included C$2,372,538 in provisional pricing adjustments on pre-acquisition concentrate sales, C$2,775,889 in general and administrative expenses, and C$503,789 in transaction expenses. Cash on hand at June 30, 2026, was C$53,619,837.
La Negra production during the post-acquisition period included 73,264 oz of silver, 457,848 lb of copper, 1,368,779 lb of zinc, and 141,644 lb of lead, totaling 158,259 oz of AgEq. The mine remains in a pre-commercial phase, with optimization to a 2,500 tpd nameplate capacity targeted for the first half of 2027. Meanwhile, the Cusi restart is approximately 68% complete as of July 23, 2026, and is on track for first concentrate production in the fourth quarter of 2026.
In leadership changes, Sean Fallis is stepping down as CFO, with Victoria Avila promoted to the role effective September 30, 2026. Dr. Jesus Velador has been appointed VP Exploration, effective September 1, 2026. The release does not highlight the MD&A’s going-concern uncertainty.
Silverco Mining Ltd. (SICO) reported its first revenue as a producer, marking the start of its pre-commercial ramp-up period, though the company continued to post net losses. The net loss for the first quarter of 2026 was C$5.4 million, rising to C$6.1 million in the second quarter.
The management discussion and analysis highlighted going-concern uncertainty, and the company also saw the departure of its chief financial officer. Neither of these developments was emphasized in the release.
At the La Negra mine, gross margin stood at just 3.6%, with C$0.375 million in gross profit generated against C$10.39 million in revenue. This indicates that mine-level earnings barely cover direct costs before corporate general and administrative expenses.
Silverco Mining Ltd. (TSXV: SICO, OTCQB: SICOF) is a Canadian silver producer that owns 100% of the La Negra Mine in Querétaro, Mexico. The underground silver-copper-zinc-lead mine features a 2,500 tpd mill operating at approximately 55% capacity. The company also holds 100% of the Cusi Mining Complex in Chihuahua, Mexico, a past-producing silver-gold-lead-zinc project with a 1,200 tpd mill that is currently being restarted. Silverco’s strategy targets 10M oz AgEq per year within three years.