Resource Growth Hinges on Drilling Success at Cerro Bayo’s Newly Found Veins
Andean Silver reveals exceptionally high-grade silver and gold assays across extensive vein systems at its Cerro Bayo project in Chile, signaling strong potential for resource expansion. The company is gearing up for aggressive drilling campaigns in 2026 to capitalize on these discoveries.
- Over 2km of mineralised veins with grades exceeding 10,000g/t silver and 125g/t gold
- New vein corridors identified between Taitao and Cristal, and extended Guanaco vein field
- Current Mineral Resources stand at 111Moz silver equivalent with historical production of 100Moz
- Three drill rigs deployed with plans to increase drilling intensity in 2026
- Robust exploration pipeline underpinned by detailed geological and geophysical studies
Exceptional Assay Results Signal Growth
Andean Silver Limited has announced a series of highly encouraging exploration results from its Cerro Bayo Silver-Gold Project in Chile’s Aysen region. The latest rock chip and channel sampling campaigns have revealed mineralised veins stretching over 2 kilometres with extraordinary grades, including assays surpassing 10,000 grams per tonne (g/t) silver and 125 g/t gold. These findings suggest the project is primed for significant resource growth beyond its current 111 million ounces silver equivalent.
Expanding Known Vein Systems
Key discoveries include multiple parallel veins between the Taitao open pit and the Cristal prospect, an area previously unmapped and untested by drilling. Rock chip samples here returned silver equivalent grades as high as 21,282 g/t, underscoring the exceptional mineralisation. Similarly, in the Guanaco vein field, geological mapping and sampling have extended mineralised corridors by approximately one kilometre, with high-grade rock chips confirming continuity and predictability of the veins.
Strategic Exploration and Drilling Plans
Andean Silver is advancing a multi-pronged exploration strategy, deploying a fleet of three drill rigs on site with intentions to ramp up drilling activity in 2026. The company aims to test brownfield targets for resource expansion while also pursuing greenfield project generation through regional mapping and geophysical surveys. This aggressive approach is designed to convert the promising surface sampling results into substantial resource additions and underpin future mine development.
Robust Historical and Geological Foundations
The Cerro Bayo project benefits from a rich history of exploration and mining, with previous operators including Freeport, Coeur Mining, Mandalay Resources, and Equus Mining. The project hosts a well-established infrastructure including a processing plant and tailings facility. Geological characteristics of the veins are consistent with high-grade epithermal silver-gold deposits, and metallurgical recoveries are expected to be favorable based on historical processing records.
Outlook and Market Implications
Chief Executive Tim Laneyrie emphasized the tangible upside potential, noting that the resource growth is supported not only by favourable geology but also by extensive, well-mineralised veins. As Andean Silver moves into 2026, the combination of high-grade assay results, expanded vein systems, and an aggressive drilling campaign positions Cerro Bayo as a compelling asset in the precious metals exploration sector. Investors will be watching closely for upcoming drilling results and resource updates that could further enhance the project’s valuation and development prospects.
Bottom Line?
With high-grade veins stretching over kilometres and drilling poised to accelerate, Cerro Bayo’s resource story is just beginning.
Questions in the middle?
- How will upcoming drilling results confirm and quantify the resource expansion potential?
- What timelines are anticipated for advancing from exploration to mine development phases?
- How might metallurgical recovery assumptions impact the economic viability of newly discovered veins?
