What is the significance of the new drilling campaign at the Gavilanes Silver Project?

Advance Metals (ASX:AVM) has launched its maiden 4,500-metre diamond drilling program, marking the first major on-ground exploration since acquiring the asset. This campaign is critical because it aims to convert "foreign estimates" into a formal JORC-compliant resource.

What are the specific exploration targets for Advance Metals (ASX:AVM) in Mexico?

The company is focusing on three main areas: extending known high-grade zones at depth and testing the El Nopal, La Cruz, and La Tuna prospects.

How does the current Gavilanes resource estimate compare to previous drilling results?

The project currently holds a foreign estimate of 22.4 million ounces of silver equivalent (AgEq) at a grade of 246g/t. Historical drilling has yielded exceptional high-grade hits, such as 6.3 metres at 2,016g/t silver.

What is the management strategy for Advance Metals (ASX:AVM) following this news?

Managing Director Dr. Adam McKinnon is implementing a "systematic approach" modeled after the company’s recent success at its Yoquivo project. The strategy involves simultaneous diamond drilling and a re-analysis of historical core samples.

What are the primary risks for AVM shareholders during this drilling phase?

As with any junior explorer, the primary risk is "drill bit disappointment," where results may not return the high grades suggested by historical data. Additionally, since the current 22.4Moz estimate is a "foreign estimate," there is no guarantee it will meet the strict JORC standards required for Australian reporting without significant further work.

Why did Advance Metals (ASX:AVM) acquire the Gavilanes project in early 2025?

Advance Metals acquired the 135 square kilometre project from Sailfish Royalty Corp as a low-cost entry into the Mexican silver sector. The acquisition was a strategic pivot to increase the company’s exposure to precious metals during a period of rising silver demand.

Image for illustrative purposes only. Not a real photo.

Advance Metals starts major drilling at Gavilanes Project

Written by Mahathir BayenaPublished May. 6 2026Last Updated May. 6 2026

Advance Metals (ASX:AVM) entered a high-gear exploration phase, announcing the commencement of its maiden 4,500-metre diamond drilling campaign at the wholly owned Gavilanes Silver Project.

The move follows a month of intensive site preparation, including the construction of drill pads and access routes, as the company seeks to unlock the full potential of its Mexican silver portfolio.

The drilling programme is engineered to test the depth and lateral extensions of known high-grade mineralisation.

Beyond the core deposit, Advance is prioritising greenfield targets at the El Nopal prospect to the southeast, alongside the La Cruz and La Tuna prospects to the west.

Success at these peripheral sites could expand the project's mineralised footprint beyond the current foreign estimate of 22.4 million ounces of silver equivalent.

Acquired from Sailfish Royalty Corp in early 2025, Gavilanes spans 135 km² of prospective terrain.

Despite historical intercepts including a stellar 6.3m at 2,016g/t silver, the vast majority of the 2-kilometre vein system remains untested.

Managing Director Dr Adam McKinnon noted that the company is applying the same disciplined, systematic approach that yielded success at their Yoquivo project.

The maiden campaign serves a dual purpose: exploring for new discoveries and generating the critical data required to support a formal JORC resource upgrade later this year.

At the time of reporting, Advance Metals’ share price was $0.086.