Historic Cascada Mine Revival: Andean Silver’s High-Grade Discovery Challenges Resource Limits

Exceptional Grades Revive Cerro Bayo Prospects

Andean Silver Limited (ASX: ASL) has announced a breakthrough in its exploration efforts at the Cerro Bayo Silver-Gold Project in Chile, reporting rock chip samples with silver equivalent grades reaching an unprecedented 135,800g/t AgEq. This result, from the historic Cascada underground mine area, marks the highest grades recorded in the project’s 40-year exploration history, underscoring the district’s untapped potential despite previous mining activity.

The Cascada vein system, previously mined between 2006 and 2008, is now showing promising extensions both along strike and down plunge, with surface sampling revealing significant mineralisation outside the depleted underground workings. This discovery suggests that the mineralised system is more extensive than previously understood and could materially add to Cerro Bayo’s resource base.

Droughtmaster Corridor Expansion and New Vein Discoveries

Alongside Cascada, Andean Silver’s field teams have confirmed mineralisation along a 3km strike of the Droughtmaster corridor, nearly doubling the known extent of the Claudia vein. The corridor also hosts recently discovered veins such as Pegaso 7 and Cristal, which lie outside the current resource envelope but have yielded strong drilling results. These findings are expected to be incorporated into the upcoming resource update.

Notably, the company has identified east-west trending vein extensions up to 300m in strike length with vein widths reaching 2 meters, a structural orientation historically overlooked but now recognised as significant within the regional Deseado Massif context. These veins exhibit high-grade epithermal characteristics consistent with other productive veins in the district.

Aggressive Exploration and Resource Growth Strategy

Andean Silver is advancing a multi-year exploration campaign supported by a fleet of three drill rigs currently operating at key targets including Coyita North. The company plans to complete a comprehensive geophysical survey by late Q2 2025 to refine drill targets across the Pampa, Droughtmaster, and Sinter Hill areas.

The imminent resource update, targeted for Q1 2025, is anticipated to reflect the impact of recent discoveries and drilling success. With an existing resource base of 91 million ounces silver equivalent at 342g/t AgEq, these new results could significantly enhance Cerro Bayo’s standing as a globally significant silver-gold asset.

Looking Beyond Cerro Bayo

Beyond the core project, Andean Silver is systematically evaluating regional targets to build a robust pipeline for future exploration. This includes greenfield drilling campaigns and regional mapping at Cerro Diablo and Los Domos, aiming to sustain growth momentum and resource expansion over the coming years.

CEO Tim Laneyrie highlighted the significance of the discoveries, stating that the high-grade results near previously mined areas demonstrate the district’s ongoing potential and justify the company’s aggressive exploration approach.