Cerro Bayo Drilling Yields 59.6m at 80g/t Silver Equivalent Outside Current Resource

Expanding the Resource Base

Andean Silver Limited (ASX – ASL) has reported compelling new drilling results from its Cerro Bayo Silver-Gold Project in Chile, highlighting significant extensions of mineralisation beyond the current resource boundaries. The latest assays from key prospects; Cristal, Coyita North, and Pegaso 7; demonstrate high-grade silver and gold intercepts that not only expand the known resource but also confirm the potential for further growth along strike and at depth.

The Cerro Bayo Project already hosts a substantial resource of approximately 111 million ounces silver equivalent, underpinned by about 47 million ounces of silver and 800,000 ounces of gold. These recent drilling successes reinforce Andean’s strategy to grow this resource base as it advances plans to restart high-grade mining operations.

Highlights from Drilling Campaigns

At the Cristal Central prospect, drilling has intercepted broad mineralised zones including a standout 59.6 meters grading 80 grams per tonne silver equivalent, featuring high-grade shoots such as 1.6 meters at over 1,000 grams per tonne silver equivalent. Coyita North drilling has effectively doubled the vertical extent of mineralisation, revealing high-grade veins below existing resources with intercepts like 2.8 meters at 679 grams per tonne silver equivalent.

Meanwhile, Pegaso 7 continues to yield new vein discoveries with impressive grades, including intercepts of 1.2 meters at 794 grams per tonne silver equivalent. These veins have been traced over 100 meters vertically, underscoring the prospect’s untapped potential.

Strategic Outlook and Next Steps

Chief Executive Officer Tim Laneyrie emphasised the effectiveness of the company’s exploration strategy, noting the low discovery cost per ounce and the abundance of “low-hanging fruit” mineralisation yet to be tested. The company is deploying multiple drill rigs and a skilled geological team to systematically target lodes within 1.5 kilometers of the processing facility, while also preparing to explore regional targets such as the Marcela and Guanaco vein systems.

An updated resource estimate is expected later this year, which will form the foundation for Andean’s restart strategy. This update aims to increase confidence in the resource categories and support the company’s ambition to capitalise on growing investor demand for silver exposure amid strong precious metals markets.

Positioning Cerro Bayo Among Global Silver Leaders

With a resource growth of over 340% in the past year and multiple new vein systems discovered, Cerro Bayo is rapidly advancing into the ranks of world-class silver projects. The project benefits from existing underground infrastructure, a 1,500 tonnes per day processing plant currently on care and maintenance, and a supportive regulatory environment in Chile’s Aysen region.

Andean’s comprehensive approach combines extensional and infill drilling, regional mapping, and geophysical surveys to build a robust pipeline of exploration targets. The company’s strong balance sheet and operational momentum position it well to unlock the full value of Cerro Bayo in the coming years.