Prime Mining tables drilling status update for Mexico gold-silver project
Prime Mining Corp. [PRYM-TSX, PRMNF-OTCQX, 04V3-Frankfurt] has released a drilling status update and 2025 outlook for its high-grade Los Reyes gold-silver project in Sinaloa, Mexico.
The company said it plans to continue its success-base approach to drilling in 2025, with an initial program of 40,000 metres to further identify new prospects on the company’s vast property. To identify, both extensions to known structures and further discovery areas, the company said it will continue the successful geological mapping and geochemical sampling program.
Prime said it has completed approximately 1,500 metres of drilling year to date, prior to the temporary suspension of drilling on January 28, 2025, in response to recent changes to the security situation in parts of Sinaloa, including the Los Reyes area. The suspension is not expected to have an impact on the company’s ability to execute the 2025 drill program described, as drill rigs remain on site and drill contractors are on standby to resume drilling as soon as the local security situation improves. The company said it will continue to work with local authorities to monitor the situation.
Prime shares advanced on the news, rising 1.9% or $0.03 to $1.60. The shares trade in a 52-week range of $2.50 and $1.13.
Prime CEO Stock Hicks commented: “The current drill program delay is not anticipated to affect our overall plans, as we have ample drilling capacity to make up lost time,’’ he said. “Prime is well funded four our upcoming programs with approximately $19 million in cash, unaudited as at December 31, 2024, and approximately $19 million of in-the-money warrants and options that we anticipate will fund us through the end of 2025 and well into 2026.’’
Los Reyes is a high-grade, low-sulphidation epithermal gold-silver project. Since acquiring the project in 2019, Prime has spent more than $59 million on direct exploration activities and has completed over 210,000 metres of drilling. On October 15, 2024, Prime announced an updated multi-million-ounce high-grade open pit constrained resource based on exploration drilling up to July 17, 2024.
The company said open-pit milled indicated and inferred resources have grown to 1.27 million indicated ounces of gold equivalent (AuEq) (24.7 million tonnes at 1.60 g/t AuEq) and 335,000 inferred ounces (7.2 million tonnes at 1.45 g/t AuEq, respectively.
New underground milled indicated and inferred resources stand at 664,000 indicated ounces AuEq (4.1 million tonnes of 5.00 g/t AuEq) and 406,000 inferred ounces AuEq (4.1 million tonnes at 3.12 g/t AuEq), respectively.
Open pit heap indicated and inferred resources have grown to 261,000 indicated ounces AuEq (20.3 million tonnes at 0.40 g/t AuEq) and 76,000 inferred ounces AuEq (5.9 million tonnes at 0.40 g/t AuEq) respectively.