Diablo Resources has cleared a major hurdle with shareholder approval to acquire an 80% stake in the Horn Silver Project, a historically rich silver and gold mining district in Utah. The acquisition unlocks a suite of exploration opportunities with a maiden drill program set for later this year.
- Shareholders approve 80% Horn Silver Project acquisition
- Project includes 17 Moz historic silver and 30,000 oz gold production
- Exploration underway with multiple high-impact drill targets identified
- Project covers 13.2 km2 with 201 claims including 101 patented
- Maiden drilling planned for 2026 pending permitting
Shareholder Approval Unlocks Strategic Acquisition
Diablo Resources (ASX:DBO) has secured shareholder approval to complete its acquisition of an 80% interest in the Horn Silver Project, a high-grade silver and gold asset in Utah’s San Francisco Mining District. This vote, confirmed at the company’s 29 June 2026 General Meeting, clears the way for finalising the deal and launching exploration activities across the 13.2 square kilometre project area.
The Horn Silver Mine has a storied history, with historical production of approximately 17 million ounces of silver and 30,000 ounces of gold, according to legacy data sourced from Alderan Resources and geological surveys. While this data is not JORC-compliant and may be subject to revision, it underscores the project’s potential scale and quality.
District-Scale Exploration Potential with Permitting Advantages
The project comprises 201 claims, including 101 patented claims, which provide Diablo with significant permitting flexibility and the ability to fast-track exploration. Initial on-ground work has commenced, including geological mapping, rock chip sampling, and a thorough review of historical geophysical and geochemical datasets. These efforts aim to prioritise drill targets ahead of the company’s maiden drill program scheduled for later in 2026.
CEO Lyle Thorne highlighted the project’s scale and unexplored upside: "The Horn Silver Project delivers a high-grade historic silver mine with immediate drill-ready targets, part of a broader district-scale mineralised system that has never been systematically explored." He also pointed to multiple underexplored targets for silver, antimony, and copper, which could add substantial value beyond the known mineralisation.
High-Impact Targets Span Near-Mine Extensions and Regional Anomalies
Among the priority targets are untested extensions beneath and adjacent to the historic workings, including a strong induced polarisation (IP) anomaly interpreted as a continuation of the mineralised system. Regional geophysical surveys have revealed IP targets within 500 to 2,000 metres of the mine, prospective for polymetallic mineralisation including silver, gold, copper, antimony, lead, and zinc.
Additionally, rock sampling has identified elevated values of silver, antimony, copper, gold, and other base metals across the project, indicating a significant geochemical footprint. The Imperial Area, approximately 2 kilometres northwest of the Horn Silver Mine, hosts a copper skarn system with old workings that remains open and underexplored.
Next Steps Focus on Drilling and Data Integration
With acquisition completion imminent, Diablo plans to continue regional mapping, sampling, and validate historical data to refine its geological model. Permitting and drill planning are underway, particularly targeting extensions of the historic mine and regional IP anomalies.
The maiden drilling program, contingent on permitting, is expected to commence in 2026, marking a pivotal phase for the company’s growth strategy. This initiative builds on prior capital raises and exploration commitments, positioning Diablo to unlock value from a district-scale system in a favourable U.S. jurisdiction for critical minerals.
Bottom Line?
Diablo’s Horn Silver acquisition sets the stage for a transformative exploration phase, but the true value hinges on upcoming drill results and regulatory approvals.
Questions in the middle?
- Will maiden drilling validate the historic production potential under modern standards?
- How quickly can Diablo navigate permitting to commence drilling in 2026?
- What is the potential scale of polymetallic mineralisation beyond silver and gold?