Geomechanics.io

  • Free Tools
Sign UpLog In

Geomechanics.io

Geomechanics, Streamlined.

© 2026 Geomechanics.io. All rights reserved.

Geomechanics.io

CMRR-ioGEODB-ioHYDROGEO-ioQCDB-ioFree Tools & CalculatorsBlogLatest Industry News

Industries

MiningConstructionTunnelling

Company

Terms of UsePrivacy PolicyLinkedIn
    Projects

    AbraSilver’s Diablillos drilling: pit expansion and capex lens for mine planners

    July 14, 2026|

    Reviewed by Joe Ashwell

    AbraSilver’s Diablillos drilling: pit expansion and capex lens for mine planners

    First reported on MINING.com

    30 Second Briefing

    AbraSilver Resource reports new drilling at the Diablillos silver-gold project in Salta province, with standout hole DDH-26-036 at Oculto West cutting 109 m from 114 m depth grading 221.2 g/t Ag and 0.72 g/t Au, including 14 m at 580 g/t Ag and 0.23 g/t Au in previously untested ground beyond the DFS pit shell. A second key intercept, DDH-26-022, returned 63 m at 32.8 g/t Ag from 60 m, including 11 m at 101.4 g/t Ag beneath the conceptual open pit, pointing to potential pit deepening and resource expansion. The DFS currently outlines 232 Mt measured and indicated at 33 g/t Ag and 0.34 g/t Au (248.1 Moz Ag, 2.5 Moz Au), with $722 million initial capex and planned first production by end-2029 under Argentina’s 30-year RIGI tax regime.

    Technical Brief

    • Diablillos hosts a high-sulphidation epithermal silver-gold system at the Oculto deposit, drilled >170,000 m.
    • Recent holes followed several weeks of geotechnical and condemnation drilling to de-risk infrastructure siting.
    • The project lies ~160 km south of Salta city in northwestern Argentina, affecting logistics and power access.
    • Inferred resources stand at 49.3 Mt at 12 g/t Ag and 0.26 g/t Au (18.4 Moz Ag, 420 koz Au).
    • DFS economics indicate an after-tax NPV of ~$3 billion and 42% IRR with a 1.7-year payback.
    • Initial capex totals $722 million, including a $98 million contingency, with $520 million sustaining funded from cash flow.
    • Planned output averages 20 Moz AgEq/y in the first 5 years, then 10 Moz AgEq/y over 25 years.
    • RIGI regime grants 30-year stability: corporate tax cut to 25%, export duties removed, accelerated depreciation on plant.

    Our Take

    With Diablillos’ DFS already showing an after-tax NPV of about US$3 billion and a 42% IRR (per our 23 June 2026 coverage), incremental ounces from the Oculto West, Cerro Viejo and JAC-Oculto trend drilling could materially extend the 25-year mine life rather than just lifting early-year throughput.

    AbraSilver Resource now features in our database both for Diablillos in Salta and the Teck-funded La Coipita copper-gold porphyry in San Juan, signalling that the company is evolving from a single-asset silver-gold story into a broader Argentina-focused precious and base metals platform.

    The combination of a US$722 million initial capex and Argentina’s RIGI incentives (locking in a lower 25% federal tax rate for up to 30 years) positions Diablillos competitively against other Latin American silver-gold projects in our coverage, where fiscal instability is often a key discount factor in valuation models.

    Geotechnical Software for Modern Teams

    Centralise site data, logs, and lab results with GEODB-io, CMRR-io, and HYDROGEO-io.

    No credit card required.

    • Save and export unlimited calculations
    • Advanced data visualisation
    • Generate professional PDF reports
    • Cloud storage for all your projects

    Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.

    Related Articles

    Lincom Group Tasmanian branch: downtime and spares benefits for plant engineers
    Mining
    about 2 hours ago

    Lincom Group Tasmanian branch: downtime and spares benefits for plant engineers

    Lincom Group is opening a new branch at St Leonards near Launceston, with an open day on Friday 14 August showcasing equipment including the Powerscreen CT80 tracked conveyor. The Tasmanian facility expands local support for quarrying, recycling, forestry and materials processing operations, reducing freight times for wear parts and mobile plant service across the north of the state. For site and plant engineers, closer access to spares and field technicians should cut downtime on crushers, screens and conveyors during peak production.

    Monash University Critical Minerals Initiative: midstream focus for mine planners
    Mining
    about 2 hours ago

    Monash University Critical Minerals Initiative: midstream focus for mine planners

    Monash University has launched its Critical Minerals Initiative (MCMI), pooling more than 40 researchers from its Business and Economics, Science, Engineering and Arts faculties to address Australia’s limited critical minerals processing capacity. The programme targets midstream processing and value-add rather than just extraction, responding to rapidly rising demand for battery and magnet materials such as lithium, rare earths and nickel. For miners and processors, the move signals more R&D support for flowsheet development, processing technology and policy settings aimed at onshore refining.

    Fine coal recovery and advanced flotation: plant yield and tailings gains for engineers
    Mining
    about 2 hours ago

    Fine coal recovery and advanced flotation: plant yield and tailings gains for engineers

    Fine coal recovery is driving uptake of advanced flotation cells such as Eriez StackCell® units, which use high-shear contacting and a compact, staged design to recover and upgrade ultrafine coal that conventional mechanical cells and column flotation often lose to tailings. By targeting particles typically below 100 microns and improving combustible recovery from existing slurry streams, these systems can lift plant yield and revenue without new mining, while cutting waste volumes and associated tailings storage demands.

    Related Industries & Products

    Mining

    Geotechnical software solutions for mining operations including CMRR analysis, hydrogeological testing, and data management.

    Construction

    Quality control software for construction companies with material testing, batch tracking, and compliance management.

    CMRR-io

    Streamline coal mine roof stability assessments with our cloud-based CMRR software featuring automated calculations, multi-scenario analysis, and collaborative workflows.

    HYDROGEO-io

    Comprehensive hydrogeological testing platform for managing, analysing, and reporting on packer tests, lugeon values, and hydraulic conductivity assessments.

    GEODB-io

    Centralised geotechnical data management solution for storing, accessing, and analysing all your site investigation and material testing data.

    AllGeotechnicalMiningInfrastructureMaterialsHazardsEnvironmentalSoftwarePolicy