According to a recent report by the Silver Academy, Mexico, the world's top silver producer, is facing a significant silver shortage. This crisis is driven by dwindling deposits and production costs soaring to $32 per ounce, making silver extraction economically unviable.
Shawn Khunkhun, CEO of Dolly Varden Silver (Ticker: DV.v or DOLLF for US investors), has weighed in on the situation. He emphasized the risks involved in silver mining in Mexico, particularly the need to assess jurisdictional risk, understand the political, legal, and regulatory environment, and conduct thorough market analysis to navigate the volatile silver market effectively.
DV is focused on its Kitsault Valley Project, a 163 sq. km. area rich in high-grade silver and gold resources. The project, which includes the historic Dolly Varden and Torbrit mines, boasts 140 million ounces of silver equivalent in the Indicated and Inferred categories.
The company has attracted high-profile investors like Eric Sprott and Rick Rule. It recently launched its 2024 Drill Program, covering 25,000 meters, with a positive outlook based on its strategic location and historical success.
So far, drilling has uncovered significant high-grade mineralization, enhancing the company’s resource base, with intercepts up to 3,670 grams per ton of silver.
As Mexico faces escalating production costs and dwindling deposits, DV is strategically positioning itself to fill future supply gaps.
With a strong focus on its Kitsault Valley Project and the backing of prominent investors, DV is well-positioned to capitalize on its high-grade silver and gold resources.
The success of its 2024 Drill Program, which has already revealed substantial high-grade mineralization, underscores the company's potential to bolster its resource base and thrive in a volatile market.
Full article here: https://thesilveracademy.com/news/silver-shortage-in-mexico-worsens-labor-and-environmental-activism-silver-belongs-to-mexico/
Posted on behalf of Dolly Varden Silver Corp.