Dwindling deposits and high production costs are contributing to Mexico's current silver shortage. As Mexico is the world's largest silver producer, this situation has rendered silver mining economically unfeasible, causing a 24% production loss.
Environmental and labor groups in Mexico are actively opposing mining operations due to their adverse impacts on local communities and ecosystems, leading to the shutdown of several mining operations and further exacerbating the silver shortage.
Occurring amid spiking silver demand, this crisis has underscored a significant opportunity in the industry. (Source: https://thesilveracademy.com/news/silver-shortage-in-mexico-worsens-labor-and-environmental-activism-silver-belongs-to-mexico/)
The Santa Ana Project
As one of the highest grade silver projects globally, Outcrop Silver & Gold's (OCG.v OCGSF) Santa Ana has impressive silver grades, with significant potential for further resource expansion through ongoing exploration.
Boasting approximately 37M ounces at a grade of 73% silver, Santa Ana has unique minerology allowing for a high 93% silver recovery by floatation making it economically viable even at today's silver price.
Significantly, this is a very rare project as it is very hard to find a comparable project that has an indicated silver resource as large as Santa Ana.
2024 Strategy
Strategically designed to underscore the scalability of the project, OCG has mobilized a second drill rig amid its 2024 drill program to demonstrate the project's economic viability and provide a quicker route to cash flow.
Underpinning its expansion strategy, the results of initial core holes from the Aguilar Vein confirms the continuity of high-grade silver, demonstrating the corridor's potential, confirms high-grade mineralization at the vein and extends the known drilled mineralization by 5km south of the Mineral Resource Area.
For more information, check out OCG's latest news release regarding achieving exceptional recovery of 96.3% silver and 98.5% gold in an updated metallurgical testing at Santa Ana: https://outcropsilver.com/news/outcrop-silver-achieves-exceptional-recovery-of-96.3-silver-and-98.5-gold-in-updated-metallurgical-testing-at-santa-ana/
Posted on Behalf of Outcrop Silver & Gold Corporation.