Resource Expansion at Joaquin Hinges on Breccia Puntudo Breakthrough and Deep La Negra SE Drilling

Exploration Breakthrough at Breccia Puntudo

Unico Silver Limited (ASX:USL) has delivered a significant exploration update from its 100%-owned Joaquin Project in Argentina’s Santa Cruz Province. The company announced assay results from 56 drill holes, totaling 7,823 metres, as part of a broader 30,000-metre drilling campaign. Notably, the first-ever drilling at the Breccia Puntudo prospect has confirmed shallow oxide gold-silver mineralisation, a promising development outside the historical resource footprint.

Highlights from Breccia Puntudo include impressive intercepts such as 28 metres at 284 grams per tonne silver equivalent (AgEq), including a high-grade 13-metre section at 513gpt AgEq. These results validate historical indications and reveal a mineralised trend extending over approximately 3 kilometres, with ongoing drilling focused on resource expansion and new discoveries.

Extending the Limits at La Negra SE

At La Negra SE, infill and step-out drilling continues to reinforce the prospect’s potential. The deepest hole to date, JDD161-26, intersected 27 metres at 162gpt AgEq from 215 metres depth, confirming mineralisation beyond the current resource model. Multiple other holes returned strong gold-silver intercepts, including intervals exceeding 60 metres at grades above 160gpt AgEq, underpinning the upcoming JORC Mineral Resource Estimate (MRE) update.

These results are critical as they support the ongoing Pre-Feasibility Study (PFS) for Joaquin, which aims to delineate a high-confidence, pit-constrained resource of free-milling silver ounces. The company is concurrently advancing geotechnical and comminution testwork to refine mine design and processing parameters.

Broader Project and Environmental Progress

Beyond Breccia Puntudo and La Negra SE, drilling at La Morocha SE continues to yield wide oxide silver-gold intercepts, further enhancing the project’s resource base. Unico Silver is also progressing Phase 2 environmental baseline studies, scheduled to commence in April, which are essential for provincial Environmental Impact Assessment approvals.

The company’s portfolio includes the Cerro Leon Project, boasting a JORC-compliant resource of 162 million ounces silver equivalent, and the recently acquired Joaquin Project, which holds a historical foreign resource estimate of 73 million ounces silver equivalent. While the Joaquin resource awaits formal JORC classification, these drilling results mark a pivotal step towards upgrading and expanding the resource base.

Managing Director Todd Williams emphasised the significance of these findings, highlighting the potential for new discoveries along the emerging Breccia Puntudo corridor and the ongoing success in extending mineralisation at La Negra SE. The combination of exploration success and advancing feasibility studies positions Unico Silver well for the next phase of development.