Andean Silver uncovers new high-grade shoots near Cerro Bayo plant
Andean Silver has uncovered multiple high-grade silver-gold shoots outside the current resource at Cerro Bayo, including new Lucia veins at Dagny and the Temer 4 vein near the processing plant. The results are being folded into resource growth work and production restart studies, with a resource update due in the first half of 2027.
- Multiple high-grade shoots identified outside the current resource
- Temer 4 vein defined over 350m of strike and 100m of depth
- Dagny drilling outlines Lucia hangingwall veins extending over 600m
- Strongest results include 1,829g/t AgEq over 1.2m at Delia SE
- A$70.5m cash balance supports further drilling and feasibility work
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New Shoots Strengthen Cerro Bayo Growth Case
Andean Silver Limited (ASX:ASL) has reported a fresh run of high-grade silver-gold intersections outside its existing resource at the Cerro Bayo project in Chile, with several targets sitting close to the site’s processing infrastructure. The results from about 11,000 metres of drilling are intended to support both resource expansion and the company’s studies into restarting production.
The most strategically located discovery is Temer 4, about 1 kilometre from the processing plant. Maiden drilling has now traced the vein over roughly 350 metres of length and 100 metres of depth, with results including 1.7 metres at 1,269 grams per tonne silver equivalent, or AgEq, including 489g/t silver and 9.4g/t gold. A narrower 0.2-metre interval returned 1,647g/t AgEq, although the company cautions that reported intersections are downhole widths and may not represent true widths.
The latest work extends the company’s six-rig drilling campaign, which has been aimed at growing and upgrading Cerro Bayo’s resource while restart studies progress. Andean’s current resource stands at 20 million tonnes at 211g/t AgEq for 136 million ounces of contained AgEq, including 60 million ounces in the Indicated category.
Dagny Drilling Defines Lucia Veins
At the Dagny mine area, drilling extended the main shoot beyond the current resource and identified a separate group of hangingwall lodes named the Lucia veins. Andean says the Lucia system extends over more than 600 metres of strike and 300 metres of depth from surface, but it is not yet included in the resource.
Highlighted Dagny results include 1.6 metres at 1,102g/t AgEq, 0.7 metres at 1,251g/t AgEq and 3.3 metres at 628g/t AgEq. A separate 0.3-metre interval returned 2,182g/t AgEq. The company says the drilling has revealed a larger mineralised system and new structural controls that will guide future campaigns, but further drilling and resource estimation remain necessary before the new mineralisation can be assigned economic significance.
Trinidad and Delia SE Add Resource Conversion Data
Elsewhere in the Laguna Verde Mine Complex, final infill drilling at Trinidad returned 1.2 metres at 383g/t AgEq and 1.2 metres at 342g/t AgEq. Surface mapping also suggested the Trinidad shoot extends to surface, with channel samples including 1 metre at 512g/t AgEq. The company says the area above the known shoot remains undrilled and could be tested in future work, while noting that channel sampling alone is not yet sufficient for resource estimation.
Delia SE drilling is complete, with all results scheduled for inclusion in the next resource update targeted for the first half of 2027. Among the results were 6.8 metres at 424g/t AgEq, including 1.2 metres at 1,829g/t AgEq, and 9.2 metres at 503g/t AgEq, including a 0.9-metre interval at 3,317g/t AgEq.
Cash Supports Drilling and Restart Studies
Andean held about A$70.5 million in cash at the end of September, giving it funding for ongoing growth drilling, resource conversion and feasibility-level work. The company plans to continue drilling brownfields targets around the Laguna Verde and Cerro Bayo mine complexes while developing greenfields programs and advancing site capabilities, permitting and early restart planning.
The immediate test is conversion rather than discovery. The new shoots remain open, and the company must establish their continuity, widths, geological confidence and economic potential before they can materially alter the resource or underpin a restart decision. The H1 2027 resource update should provide the first meaningful measure of how much of this exploration success survives that process.
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Bottom Line?
The drilling is expanding the geological story near existing infrastructure, but the next value test is whether open exploration hits become a larger, higher-confidence resource in the H1 2027 update.
Questions in the middle?
- How much of the new Dagny, Temer 4 and Trinidad mineralisation can be converted into Indicated or Measured resources?
- Will the new shoots demonstrate sufficient continuity and mining widths to influence the production restart studies?
- Can the existing processing plant and surrounding infrastructure materially reduce the capital required for any restart scenario?
Sources
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Andean Silver drills multiple new high-grade shoots (opens in a new tab)Verified source. Andean Silver Limited · 9 Nov 2026
