Silverco’s La Negra PEA: NPV, IRR and restart economics for mine planners
Reviewed by Joe Ashwell

First reported on MINING.com
30 Second Briefing
Silverco Mining’s PEA for the past-producing La Negra underground mine in Querétaro, 160 km north of Mexico City, assigns a post-tax NPV5 of US$329 million and 131% IRR against about US$21 million in initial capital, leveraging existing infrastructure to restart output. At 2,500 t/d over 8.2 years, the plan forecasts 19.3 Moz silver, 39.8 Mlb copper, 93.5 Mlb lead and 197.1 Mlb zinc, with commercial production targeted for H2 2027. Resources stand at 15.2 Mt indicated at 106 g/t Ag plus Pb-Zn-Cu credits, with a 15,000 m surface and underground drill campaign now in progress.
Technical Brief
- PEA economics use price assumptions of US$50/oz Ag, US$4.50/lb Cu, US$0.88/lb Pb, US$1.30/lb Zn.
- Indicated resource: 15.2 Mt at 106 g/t Ag, 0.59% Pb, 1.81% Zn, 0.47% Cu, totalling 51.9 Moz Ag.
- Indicated base metals inventory: 199 Mlb Pb, 608 Mlb Zn and 158 Mlb Cu contained.
- Inferred resource: 2.2 Mt at 92 g/t Ag, 1.0% Pb, 1.92% Zn, 0.21% Cu, for 6.7 Moz Ag.
- Inferred base metals add 49.7 Mlb Pb, 95.7 Mlb Zn and 10.6 Mlb Cu, offering upside for conversion.
- Current 15,000 m surface and underground drilling is the first large-scale exploration at La Negra in ~20 years.
- Existing underground and plant infrastructure from operations dating back to 1971 under Peñoles underpins the low initial capex.
Our Take
The indicated and inferred resource split at La Negra, with substantial contained silver, zinc and lead, resembles other mature underground polymetallic camps in central Mexico in our coverage, where operators have often extended mine life beyond initial PEAs through incremental underground drilling and step-out exploration.
Silverco’s exposure to both La Negra in Querétaro and the NICO deposit in Canada (with 12% of global bismuth reserves and over 1.1 million oz of in-situ gold) positions the company in our database as one of the relatively few juniors combining precious metals with critical-mineral style bismuth and cobalt optionality.
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.
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