Mithril Resources (ASX:MTH) announced financial results for the quarter ended 30 September 2022.

Exploration work progressed in the Copalquin Mining District where the large hydrothermal gold-silver system has been discovered influencing over 4km of strike at surface and with a highgrade maiden JORC resource at El Refugio.

First holes from deep drilling at El Refugio confirm continuing high-grade gold and silver, important for the considerably greater depth potential of the El Refugio system.

Excellent intercept confirming high-grade gold-silver at the western end of the El Refugio resource area with first drilling on section 800.

Additional drilling on section 600 filled a down dip area and demonstrates the size of the El Refugio structure in the upper brecciation zone with broad 62.4m wide mineralised intercept.

High-grade gold-silver intercepts at the eastern end of the El Refugio resource area, on sections 200 to 360.

A drill core relogging programme progressed during the quarter to update resource modelling work and drill program design for La Soledad-El Refugio and expansion east to Los Pinos.

Study work progressed to optimise a future development of the highly attractive maiden highgrade gold-silver resource at El Refugio ? higher grade indicated-category blocks of the resource containing 51kt at 24.6 g/t gold and 187 g/t silver accessible via a short 300m horizontal tunnel.

Having invested over US$8m in direct exploration costs on the concessions, Mithril via its Mexican subsidiary now holds 50% interest in the mining concessions and can purchase 100% by paying USD10m in cash, shares or a combination of both to the vendor at any time up to August 2026 (extended by 3 years).

At end of the September quarter, the Company has total cash of A$0.6M, plus is due receipt of ~A$1.1M (MXP14.14M) of Mexican VAT refunds having already received refunds for 2021 and partially for 2022.

The Company continues with its community relations in the Copalquin district via support of three district schools and environmental activities/education.

Following the announcement the company?s share price unchanged.