Silver Storm Hits 1,461 g/t AgEq at San Marcos

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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

New assay results from Silver Storm Mining Ltd (SVRS:TSXV; SVRSF:OTCQX; SVR:FSE) have caught the attention of precious metals investors.

Key Takeaways

• Silver Storm Mining reported drill results from the San Marcos oxide zone at its 100%-owned La Parrilla Silver Mine Complex in Durango, Mexico.
• Hole IDP-SM-26-003A returned 661 g/t AgEq (silver equivalent) over 3.70 m (meters), including a high-grade 1,231 g/t AgEq over 1.60 m.
• Hole EDP-SM-26-006 returned 328 g/t AgEq over 15.35 m, including 1,461 g/t AgEq over 2.00 m.
• The 20-hole infill and exploration program suggests Indicated Resources could extend 100 m toward surface, and Inferred Resources 65 m, along a 425 m strike.
• Silver Storm secured five-year SEMARNAT permits for 13 new drill pads at San Marcos, adding to permits announced in June 2026.

93 Holes Completed at La Parrilla

On July 22, 2026, Silver Storm announced drill results from the past-producing San Marcos underground mine located at the La Parilla Silver Mine Complex in Durango State, Mexico. Greg McKenzie, President and CEO of Silver Storm, said in the press release: "We are impressed with the infill and exploration drill results at San Marcos that demonstrate the potential to grow the La Parrilla oxide Mineral Resource. We plan to follow up on these high-grade near-surface results with further drilling from our recently approved surface drill pads."

Silver Storm reported results from 20 infill and exploration holes targeting oxide mineralization at San Marcos. Estimated true widths (ETW) are shown in parentheses.

Central portion — near-surface drilling:

• EDP-SM-26-006: 328 g/t AgEq over 15.35 m (ETW 11.76 m), including 1,461 g/t AgEq over 2.00 m (ETW 1.53 m)
• IDP-SM-26-015: 617 g/t AgEq over 3.90 m (ETW 2.24 m), including 969 g/t AgEq over 1.90 m (ETW 0.75 m)
• IDP-SM-26-010: 366 g/t AgEq over 5.05 m (ETW 4.97 m), including 554 g/t AgEq over 1.70 m (ETW 1.67 m)

Northern portion:

• IDP-SM-26-003A: 661 g/t AgEq over 3.70 m (ETW 3.48 m), including 1,231 g/t AgEq over 1.60 m (ETW 1.50 m)
• IDP-SM-26-002: 221 g/t AgEq over 8.05 m (ETW 7.56 m), including 744 g/t AgEq over 1.50 m (ETW 1.41 m)

Southern portion:

• IDP-SM-26-017: 468 g/t AgEq over 2.85 m (ETW 2.85 m), including 728 g/t AgEq over 1.00 m (ETW 1.00 m)
• IDP-SM-26-018: 399 g/t AgEq over 1.20 m (ETW 0.98 m), and 241 g/t AgEq over 5.00 m (ETW 4.10 m)

The company states the results demonstrate potential to extend Indicated Resources roughly 100 m toward surface along a 425 m strike length, with Inferred Resources potentially extending a further 65 m toward surface. All intersections reported are close to existing underground development, where rehabilitation work is currently underway.

Basis of reported grades: silver equivalent was calculated using US$30.00/oz Ag, US$2,500/oz Au, US$0.95/lb Pb, and US$1.25/lb Zn, with oxide recoveries of 70.1% for silver and 82.8% for gold. Reported widths are core lengths rather than true widths, and assays are uncut and undiluted. No mineral reserves have been established at La Parrilla.

According to the press release, the company believes that ". . . The infill and exploration drill results from San Marcos have demonstrated the potential to extend the Indicated Resources by an additional 100 m toward the surface along a strike length of 425 m, while Inferred Resources could potentially be extended by an additional 65 m toward the surface." The company has two underground drill rigs and one surface drill rig in operation to advance the current drill program, with a total of 93 drill holes completed to date.

Silver Storm holds an advanced-stage silver project within Durango State, Mexico, and is committed to a potential near-term restart of its 100%-owned La Parilla Silver Mine Complex.

Silver Rallies 

Silver is recovering from a recent low after "markets reduced bets on Federal Reserve rate hikes after disappointing U.S. jobs data." Despite projections of 110,000 new jobs being added to the market in June, actual numbers came in only around 57,000 — the lowest in four months. Silver also rallied support from rising oil shipments through the Strait of Hormuz and progress in indirect U.S.-Iran talks, which lowered oil prices and eased fears of inflation.

Higher demand from electric cars, solar panels, data centers, and more is shoring up silver's future demand. Yahoo Finance quoted experts from both BlackRock and J.P. Morgan as saying, "By the end of 2026, experts predict silver's price will surpass US$80 per ounce, and it could reach US$100 per ounce by 2030."

The silver sector as a whole is only showing signs of improvement. On May 7, 2026, Brian Taylor of Recycling Today said that the World Bank Group has predicted that overall global metals prices will rise by 17% in 2026, which would mark the first overall market increase since 2022.

Red Cloud Maintains "Buy" Rating, CA$0.80 Target

"Silver Storm has reached another major milestone at its fully owned La Parrilla Silver Mine in Mexico, beginning hot commissioning of the sulphide processing circuit. Importantly, this phase introduces mineralized material into the plant under real operating conditions, bringing the operation one step closer to full production," wrote Peter Krauth for the Silver Stock Investor on July 22, 2026. "Silver Storm secured a non-dilutive US$5 million unsecured loan from First Majestic Silver Corp. (AG:TSX; AG:NYSE; FMV:FSE) The funding will provide additional working capital for the La Parrilla restart, with repayments beginning 15 months after closing and the option to repay early without penalty. Several more great steps of progress towards commercial production. The team is working diligently towards that goal and doing it responsibly. I am impressed and happy to watch the excellent progress as I maintain my shares."

On July 23, 2026, Ron Stewart of Red Cloud released a positive impact report based on Silver Storm's latest news. Stewart wrote: "We view these results as positive given La Parrilla carries a relatively short LOM (we model 6.5 years), so resource additions that convert into mine-life extensions have the potential to be highly accretive to NAV. Near-surface oxide material is particularly valuable in this context, given its proximity to existing development, allowing it to be among the earliest tonnes processed. The oxide material also feeds the simpler oxide doré circuit rather than the sulphide flotation flowsheet. With two underground rigs and one surface rig active (93 holes over ~9,395m completed to date) and 13 newly permitted surface drill sites, we expect continued news flow as SVRS looks to grow the oxide resource. We would look to the next MRE to confirm the extent to which these intercepts translate into incremental ounces and LOM." He continued that Red Cloud maintained its "Buy" rating, with a CA$0.80/share target price.

La Parrilla Ramp-Up Targeted Q3

According to Silver Storm's investor presentation, upcoming catalysts include further drill results from the ongoing La Parilla project, as well as a ramp-up at the project through Q3, 2026.

Ownership & Share Information¹

Silver Storm Mining Ltd. has a market cap of CA$348.01 million, with 809.33 million shares outstanding. The company's 52-week range is CA$0.14-CA$0.80. Institutions own 10.31% of shares, while Strategic Investors own 27.40%. Management & Insiders own 1.64% of shares, and the remaining 60.65% of shares are held by Retail.

Frequently Asked Questions

Q: What is silver equivalent (AgEq)?

A: Silver equivalent (AgEq) is a way of expressing the combined value of silver and other metals, such as gold, in terms of silver. It helps investors compare drill results by converting the value of multiple metals into a single silver grade.

Q: What is an oxide zone?

A: An oxide zone is the portion of a mineral deposit where rocks have been altered by exposure to oxygen and water near the surface. Oxide ore is often less expensive to process than deeper sulphide ore, making it attractive for potential mining operations.

Q: What is a Mineral Resource Estimate (MRE)?

A: A Mineral Resource Estimate (MRE) is a scientific assessment of the amount and grade of minerals believed to be present in a deposit. It provides investors with an estimate of a project's potential based on available drilling and geological data.

Q: What do "Indicated" and "Inferred" Resources mean?

A: Indicated Resources have enough drilling and geological information to provide a reasonable level of confidence in the size and grade of a mineral deposit. Inferred Resources are based on more limited information and require additional drilling before they can be upgraded to a higher confidence category.

Q: What is a mine restart?

A: A mine restart is the process of bringing a previously operating mine back into production. This typically involves upgrading equipment, completing new drilling, securing permits, and confirming that the project can operate economically.