Advance Metals Achieves 100% Hit Rate at Gavilanes With High-Grade Silver

Advance Metals Drills Into a 100% Hit Rate: Every Hole at Gavilanes Returns High-Grade Silver

Advance Metals (ASX: AVM) has reported a fourth consecutive high-grade silver intersection from its maiden drilling programme at the Gavilanes Silver Project in western Durango, Mexico, extending the mineralised system a further 55 metres south. The Advance Metals Gavilanes high-grade silver drilling results confirm that drill hole GV-26-004 returned 13.2 metres at 311g/t silver, including a high-grade core of 6.0 metres at 612g/t silver, with mineralisation reported to remain open in every direction.

With assays still pending from two additional holes, GV-26-005 and GV-26-006, representing the company's largest southern step-outs drilled to date, Gavilanes is emerging as what the company describes as its flagship asset.

"Four holes into our programme at Gavilanes and every single one has hit high-grade silver. GV-26-004 has now extended the high-grade mineralised system another 55 metres south and returned six metres at 612 grams per tonne, which ranks among the strongest intersections delivered by our drilling to date. Importantly, we are continuing to expand the system rather than define its limits." — Managing Director & CEO Dr Adam McKinnon

A Perfect Scorecard: All Four Holes Hit High-Grade Silver

According to the announcement, Advance's maiden programme has now produced a 100% hit rate across four completed and assayed holes, each intersecting meaningful widths of high-grade silver along the Descubridora structure.

The table below summarises the headline silver intersections reported from all four completed holes:

The company reports that every hole has delivered grades above typical silver mine cut-off thresholds, with each successive hole extending the footprint of the system rather than simply confirming previously known mineralisation.

Furthermore, GV-26-004 also returned a second silver zone lower in the hole, reported as 6.0 metres at 199g/t Ag from 150.6 metres, including 2.4 metres at 367g/t Ag. The company suggests this points to structural complexity and multiple mineralised horizons within the same drill section.

Something Larger Appearing Beneath the Silver

One notable development from the Gavilanes programme relates to intersections at depth. Beneath the near-surface silver mineralisation, two earlier holes — GV-26-002 and GV-26-003 — intersected broad zones of copper, gold and silver that the company suggests point to a second, potentially larger target evolving with depth.

According to the company, these broad polymetallic intervals — including notable gold grades and base metal credits — support an interpretation of a vertically stacked mineralised system. Near-surface silver-rich mineralisation transitions to a copper-gold-silver polymetallic association at depth. This deeper zone represents a second exploration target that sits beneath the silver system being drilled today and has not yet been fully tested.

What Is an Epithermal Silver System? A Primer for Investors

What it is

Gavilanes is classified as a low- to intermediate-sulphidation epithermal deposit. These deposits form when hot, mineral-rich fluids move through fractures and structures in volcanic rock at relatively shallow depths within the earth's crust.

Why does the geology matter?

Epithermal systems hosted in the Sierra Madre Occidental volcanic belt in Mexico are associated with some of the region's most significant silver and gold mines. The style of mineralisation reported at Gavilanes — structurally controlled veins and breccia zones associated with rhyolite dikes — is described by the company as consistent with the geological setting that underpins major producing operations in the district.

Why do grades matter here?

The silver grades reported across the Advance Metals Gavilanes high-grade silver drilling results — consistently in the hundreds of grams per tonne range, with high-grade cores exceeding 600g/t — compare favourably to industry benchmarks. Many operating silver mines globally report resource grades well below 200g/t Ag.

Glossary of key terms

• g/t Ag: grams of silver per tonne of rock, the standard unit for expressing silver grade
• Epithermal: a deposit type formed at shallow crustal depths, typically from warm hydrothermal fluids, often associated with high-grade precious metal concentrations
• Strike length: the horizontal distance along which a mineralised structure has been identified or inferred
• JORC Mineral Resource: a formally defined, publicly reportable estimate of the quantity and grade of mineralisation, prepared under the Australasian JORC Code by a qualified Competent Person
• Foreign Estimate: a mineral estimate not yet compliant with the JORC Code; Advance's existing Foreign Estimate at Gavilanes has not been classified as a Mineral Resource or Ore Reserve under JORC, and it is uncertain that following further evaluation it will be able to be so reported
• AgEq (Silver Equivalent): a combined grade metric that converts gold, copper and other metals into a silver-equivalent value using assumed prices and recoveries

The Project Context: A 136 Square Kilometre System With Limited Modern Testing

Gavilanes sits within the Sierra Madre Occidental Volcanic Belt, a geological region associated with much of Mexico's silver mining industry. According to the announcement, the project is located 23 kilometres from First Majestic Silver Corp's San Dimas Mine, a district reported to have historically produced 745 million ounces of silver and 11 million ounces of gold across more than 125 recognised veins.

The company notes that Gavilanes has received relatively little modern systematic exploration, with previous operators focused on a limited area around a small number of veins. Advance's maiden programme is described as among the first to apply modern diamond drilling techniques across the broader system.

The scale of ground yet to be tested is summarised as follows:

• The project covers 136 square kilometres across eleven mining concessions
• The mineralised corridor defined to date extends over more than 750 metres of strike
• Multiple mapped vein systems, including San Nicolas, El Nopal, La Cruz and La Tuna, remain undrilled by modern methods
• Key veins reportedly exhibit surface strike lengths of hundreds of metres, with neither their strike nor down-dip limits delineated by drill testing

The existing Foreign Estimate* at Gavilanes stands at 2.83 million tonnes at 246g/t AgEq, containing 22.4 million ounces of silver equivalent. This estimate forms the starting point for a maiden JORC Mineral Resource targeted for Q4 CY2026.

Investors are reminded that this Foreign Estimate is not compliant with the 2012 JORC Code. A Competent Person has not yet done sufficient work to classify it as a Mineral Resource or Ore Reserve under the JORC Code, and it is uncertain that this will be achievable following further evaluation and exploration.

What Comes Next: A Pipeline of Near-Term Catalysts

Advance has outlined a structured programme across Gavilanes, with several near-term catalysts flagged for investor attention.

Immediate priorities

1. Assay results from GV-26-005 and GV-26-006, the largest southern step-outs drilled to date, positioned more than 100 metres further south than GV-26-004
2. Continued systematic drilling of the Descubridora structure, planned over up to 500 metres of strike
3. Commencement of drilling at additional priority targets, including San Nicolas, El Nopal and La Cruz/La Tuna

Medium-term milestones

If delivered as targeted, the maiden JORC Mineral Resource would represent the formal conversion of Gavilanes from a Foreign Estimate-stage project into a JORC-compliant asset — a milestone the company describes as significant for de-risking the project.

The Investment Case: Grade, Scale and Exploration Upside

The investment case for Advance at Gavilanes, as presented in the announcement, rests on three key factors.

1. Consistent high-grade silver results

With four holes returning high-grade silver — including multiple intersections above 500g/t Ag — Gavilanes is demonstrating a grade profile the company considers indicative of a high-quality silver asset. The near-surface nature of the mineralisation is noted as a further consideration for potential future development.

2. A system reported to be expanding

Each successive drill hole has extended the known footprint of the mineralised system, according to the company. GV-26-004 extended the system 55 metres further south, whilst GV-26-005 and GV-26-006 were drilled more than 100 metres beyond that point. Mineralisation is reported to remain open up-dip, down-dip and along strike.

3. A largely unexplored 136 square kilometre landholding

The four holes drilled to date represent exploration of a small fraction of the total project area. Multiple mapped vein systems have not been drill-tested using modern methods, which consequently suggests exploration potential extending well beyond the current focus area.

Alongside Advance's existing 33 million ounce AgEq Inferred JORC Mineral Resource at Yoquivo, established in April 2025, Gavilanes gives the company a second significant silver asset in the region.

Why Investors Should Keep Gavilanes on Their Radar

Advance Metals has reported a 100% drill success rate from its maiden programme at Gavilanes, with grades the company describes as strong relative to industry norms at this stage of exploration. The combination of high-grade near-surface silver, a polymetallic target at depth, and a large, largely untested project area presents an exploration story with several potential layers of value.

The coming months carry multiple catalysts. Assays from the two most southerly holes drilled to date remain pending, additional drilling on new targets is planned, and the company is working toward a maiden JORC Mineral Resource by the end of 2026.

The Advance Metals Gavilanes high-grade silver drilling results to date reflect both the quality of the mineralised system and the strength of the company's exploration approach. With two more holes awaiting assay, new targets queued for drilling, and a maiden JORC Mineral Resource targeted for Q4 2026, news flow from Gavilanes is expected to continue. Investors following the silver exploration sector may, therefore, wish to monitor this project's progress closely.

Want to Follow Gavilanes as It Continues to Expand?

With a 100% drill success rate from its maiden programme, a polymetallic target emerging at depth, and assay results from its two largest southern step-outs still pending, Advance Metals (ASX: AVM) is shaping up as one of the more compelling silver exploration stories on the ASX. A maiden JORC Mineral Resource is targeted for Q4 2026, with multiple drilling catalysts expected before then. Investors looking to stay across the Gavilanes story and Advance Metals' broader project portfolio can find out more at advancemetals.com.au.