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
    AllGeotechnicalMiningInfrastructureMaterialsHazardsEnvironmentalSoftwarePolicy
    Projects

    Silver price plunges again: volatility and project economics lens for miners

    February 5, 2026|

    Reviewed by Tom Sullivan

    Silver price plunges again: volatility and project economics lens for miners

    First reported on MINING.com

    30 Second Briefing

    Silver plunged more than 15% to about $75/oz on Thursday, extending last week’s record crash and leaving prices roughly 35% below the $121.64/oz all‑time high reached last month after a 130% year‑on‑year surge. Metals Daily CEO Ross Norman blames heavy speculation in China for “wreaking havoc” on bullion price discovery, with Sucden Financial’s Daria Efanova and Viktoria Kuszak describing a “flow‑driven” market dominated by CTA and speculative positioning rather than physical fundamentals. Gold also slipped about 3% to $4,800/oz, now 10% below pre‑crash levels.

    Technical Brief

    • Intraday silver move exceeded 15% during Thursday’s New York session, erasing two days of gains.
    • Selling pressure began in Asian hours and continued through the New York open, mirroring last Friday’s crash.
    • One‑year silver price appreciation above 130% has been driven by both industrial and safe‑haven demand.
    • Chinese speculative buying since late 2025 produced a parabolic price path before the recent collapse.
    • Ross Norman (Metals Daily) describes current bullion pricing as detached from underlying physical‑market drivers.
    • Sucden Financial’s Daria Efanova and Viktoria Kuszak characterise silver as in a “highly flow‑driven” phase.
    • Their view is that CTA and speculative positioning now dominate price action over structural physical tightness.
    • Bloomberg’s Mark Cranfield flags $71 as this week’s low and $70 as a technically more important support.

    Our Take

    With silver still up more than 130% year-on-year even after a 35% pullback from the $121.64/oz peak, many primary and by-product silver projects in the USA and elsewhere are likely to remain well in the money, which can encourage operators to press ahead with marginal expansions despite the volatility.

    The related 2 February piece on JPMorgan’s $6,300/oz gold target underscores that major banks still see structurally high precious metal pricing, so the current silver drawdown towards the $70–$75/oz area may be treated by project financiers more as a stress-test scenario than a base case in economic models.

    Our database shows silver and gold recurring across hundreds of recent Mining items, but this kind of extreme price swing is relatively rare in the coverage, signalling that risk teams on US- and Asia-focused projects may need to revisit hedging strategies and covenant thresholds to cope with similar shocks.

    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

    Boss Energy sticks to Honeymoon guidance: wet-season lessons for ISR engineers
    Mining
    about 9 hours ago

    Boss Energy sticks to Honeymoon guidance: wet-season lessons for ISR engineers

    Boss Energy will keep its 2025–26 production guidance for the Honeymoon in-situ recovery uranium project in South Australia despite a rain-hit quarter that reduced output. Heavy rainfall disrupted wellfield access and slowed resin loading from the ion-exchange columns, temporarily constraining plant throughput. Management is banking on improved dry-season access and additional production wells coming online to recover volumes, signalling confidence in the leach circuit and groundwater management strategy rather than revising guidance after a single weather-affected quarter.

    Sandvik Ranger DX1010i drill rig: design and productivity notes for mine planners
    Mining
    about 10 hours ago

    Sandvik Ranger DX1010i drill rig: design and productivity notes for mine planners

    Sandvik is set to launch the Ranger DX1010i top hammer surface drill rig at CONEXPO‑CON/AGG 2026, targeting high‑productivity mining and quarry bench drilling. The DX1010i builds on the Ranger DXi platform with 290°–360° revolving superstructure coverage and an integrated Sandvik rock drill, enabling fewer set‑ups and faster drilling cycles on 76–127mm holes. For mine planners and drill‑and‑blast engineers, the extended reach and automated drilling controls are aimed at tighter pattern accuracy and reduced non‑drilling time on large benches.

    Kalamazoo’s new CEO: development and de-risking lens on 1.44Moz gold projects
    Mining
    about 11 hours ago

    Kalamazoo’s new CEO: development and de-risking lens on 1.44Moz gold projects

    Kalamazoo Resources has appointed seasoned mining executive Andrew McDougall as chief executive officer to drive development of its 1.44-million-ounce gold portfolio in Western Australia and Victoria. McDougall, who previously held senior roles with mid-tier producers and project developers, is expected to focus on advancing the Castlemaine and Ashburton projects through resource growth and study de-risking. The leadership change signals a push from exploration-led value to near-term development, with implications for drilling contractors, study consultants and potential JV or farm-in partners.

    Related Industries & Products

    Mining

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