Key Investor Takeaways
- Hole DSB-96 returned 87.1 meters grading 73.26 g/t silver and 0.18% tin, and nearer surface, 17.9 meters grading 190.5 g/t silver and 0.45% tin.
- DSB-94 added silver and tin on the western side of the potential starter pit, and DSB-95 returned gold, silver, zinc, and lead on the eastern side.
- The three holes open an initial phase of about 10,000 meters in about 30 holes that the CEO says is on track to finish by year-end, part of a 40,000-meter program that will continue into 2027.
- The drilling aims to expand and upgrade an indicated resource of 85.17 million tonnes grading 40 g/t silver ahead of a planned PEA.
- Cantor Fitzgerald maintained a Speculative Buy rating and CA$5.00 target, calling the DSB-96 results "exceptional," and saying it expects a resource update and PEA in 2027.
- The silver market is headed for a sixth straight annual deficit, and tin is up 47.6% from a year earlier.
First Expansion Holes Hit Higher-Grade Silver and Tin Near Surface
Eloro Resources Ltd. (ELO:TSX; ELRRF:OTCQX; P2QM:FSE) reported assays from the first three holes of its expansion drilling program at the Iska Iska project in southern Bolivia, led by 87.1 meters grading 73.26 grams per tonne (g/t) silver and 0.18% tin in hole DSB-96, according to an October 7 release.
The interval began at 40.4 meters, within a broader 126.1 meters grading 54.92 g/t silver, the company said. Nearer surface, the hole cut 17.9 meters grading 190.50 g/t silver and 0.45% tin, within 48 meters grading 83.28 g/t silver and 0.3% tin. DSB-96 was drilled 70 meters south of hole DSB-61 in the central Polymetallic Domain.
The program aims to expand and upgrade the indicated resource ahead of a planned preliminary economic assessment (PEA).
"These higher-grade polymetallic intercepts indicate a consistent mineralization trend in the central part of the Potential Starter Pit," Chief Executive Officer Tom Larsen said.
Silver, Tin, Gold, and Zinc Across Both Sides of the Starter Pit
DSB-94, collared 78 meters northwest of discovery hole DSB-87 in the Silver-Tin Domain on the western side of the potential starter pit, returned 42 meters grading 38.98 g/t silver within 79.50 meters grading 30.83 g/t silver. Deeper, it cut 7.50 meters grading 71.96 g/t silver and 43.50 meters grading 0.16% tin.
DSB-95, drilled 91 meters northwest of hole DHK-31 in the Gold-Silver-Zinc-Lead Epithermal Domain on the eastern side, returned 6 meters grading 1.15 g/t gold, 42.50 g/t silver, 8.07% zinc, and 1.23% lead. It also cut 3 meters grading 48.50 g/t silver, 11.37% zinc, and 2.30% lead.
True width is about 80% of core length, the company said.
The three holes total 1,459 meters of an initial phase of about 10,000 meters in about 30 holes on a 50-meter grid. Larsen said the phase is on track to finish by year-end. DSB-96 will resume after a roughly 45-day suspension, the company attributed to technical and logistical issues.
"These higher-grade mineralized zones remain open in all directions and at depth," said Dr. Osvaldo Arce, executive vice president of exploration and operations for Latin America.
A Mostly Inferred Silver Resource and a 40,000-Meter Push to Upgrade It
Iska Iska is a silver-tin polymetallic project 48 kilometers north of Tupiza in Bolivia's Potosí Department. Eloro holds a 99% joint venture interest and a 100% economic participation interest through its Bolivian subsidiary, Minera Tupiza S.R.L.
An April 22 resource estimate by Micon International Ltd. put the indicated resource at 85.17 million tonnes grading 40 g/t silver, or 109.53 million ounces. The inferred resource was 945.43 million tonnes grading 8.5 g/t silver, or 248.6 million ounces.
Cantor maintained its Speculative Buy rating and CA$5.00 target price.
Since September 4, 2024, Eloro has completed 27 holes totaling 14,085.80 meters in the potential starter pit area, including DSB-93, which returned 72 meters grading 294.81 g/t silver and 0.44% lead.
In July, after road blockades in Bolivia were resolved, the company launched a 40,000-meter program of about 75 holes in two stages that will continue into 2027, Streetwise Reports previously reported.
On September 17, Eloro announced plans to establish a Hong Kong subsidiary, Eloro Resources (Asia) Ltd., as a base for investor relations, capital-markets engagement, and other strategic activities in Asia-Pacific.
Silver Dips on a Stronger Dollar While Its Deficit Widens and Tin Climbs
Silver fell to around US$59 per ounce on October 7, its lowest level since early August, as a stronger U.S. dollar weighed on prices ahead of the release of the Federal Reserve's September meeting minutes, Trading Economics reported. December futures had opened at US$61.78, up 30.3% from a year earlier and down 7.1% from a month ago, according to Yahoo!Finance's Tim Manni.
The silver market is headed for a sixth straight annual deficit, expected to widen to 46.3 million ounces in 2026 from 40.3 million ounces in 2025, Mexico Business News reported, citing the World Silver Survey 2026 produced by Metals Focus for the Silver Institute. That would bring the cumulative deficit since 2021 to about 760 million ounces, drawn from above-ground stocks. Mine production is expected to remain flat this year.
Tin traded at US$54,314 per tonne on October 5, up 47.6% from a year earlier, according to Trading Economics. The firm has cited that demand comes from AI infrastructure and semiconductor production, and tighter export licensing in Indonesia.
Analyst Sees 'Exceptional' Results and a Funded Path to a 2027 PEA
Cantor Fitzgerald analyst Matthew O'Keefe called the news positive in an October 7 research note and described the DSB-96 intercepts as "exceptional results for Iska Iska." He added that DSB-94 "was also good."
O'Keefe wrote that Eloro is "well-funded" to keep advancing the project with more drilling and metallurgical work, with the aim of delivering a resource update and PEA in 2027 focused on a higher-grade, silver-rich starter pit area. The company is budgeted and financed for the full 40,000-meter program, he wrote. Cantor listed Eloro's cash at CA$21.8 million with no debt.
Cantor maintained its Speculative Buy rating and CA$5.00 target price, which implied a 209% return from the CA$1.62 share price at the time of the report. The firm values Eloro by applying US$1.50 per ounce of silver equivalent to the Indicated resource and US$1.00 per ounce of equivalent to the Ag Dominant domain of the Inferred resource.
Streetwise Ownership Overview*
Eloro Resources Ltd. (ELO:TSX; ELRRF:OTCQX; P2QM:FSE)
| Date | Old Symbol | Old Shares | New Symbol | New Shares |
|---|---|---|---|---|
| 10/01/14 | ELO:TSX | 10 | ELO:TSX | 1 |
| 06/19/12 | ELRRD:OTCQX | 1 | ELRRF:OTCQX | 1 |
| 08/15/11 | ELO:TSX | 4 | ELO:TSX | 1 |
| 08/15/11 | ELRRF:OTCQX | 4 | ELRRD:OTCQX | 1 |
| 10/05/05 | ELO.H:TSX | 1 | ELO:TSX | 1 |
| 08/18/03 | YEL.T:TSX | 1 | ELO.H:TSX | 1 |
| 12/10/02 | YEL:TSX | 1 | YEL.T:TSX | 1 |
| 10/10/00 | ELOR:TSX | 1 | YEL:TSX | 1 |
In a July 9 update, Sphene Capital's Peter Thilo Hasler maintained a Buy rating and a CA$18.00 target and wrote that because the drilling feeds the PEA, successful holes could directly affect the future mine plan.
Ownership and Share Structure1
About 17% of Eloro Resources Ltd. is owned by insiders, approximately 32% by institutions, and around 2% by strategic investors. The remainder is held by retail investors.
Its market cap is approximately CA$192.04 million, with 118.54 million shares outstanding. It trades in a 52-week range of CA$1.15 to CA$3.42.
Common Questions from Investors
What were the key results from the first three expansion holes at Iska Iska? DSB-96 returned 87.1 meters grading 73.26 g/t silver and 0.18% tin, plus 17.90 meters grading 190.50 g/t silver and 0.45% tin nearer surface. DSB-94 returned 42 meters grading 38.98 g/t silver, and DSB-95 returned 6 meters grading 1.15 g/t gold, 42.50 g/t silver, 8.07% zinc, and 1.23% lead.
How does this drilling support the PEA? The program aims to expand and upgrade the indicated resource ahead of the planned preliminary economic assessment. Cantor Fitzgerald expects a resource update and the PEA in 2027.
Where is Iska Iska, and how large is the resource? The project is 48 kilometers north of Tupiza in Bolivia's Potosí Department. An April 22 estimate put the indicated resource at 85.17 million tonnes grading 40 g/t silver, or 109.53 million ounces, and the inferred resource at 945.43 million tonnes grading 8.5 g/t silver, or 248.60 million ounces.
What is the status of the drilling program? The first three holes total 1,459 meters of an initial phase of about 10,000 meters in about 30 holes, which the CEO says is on track to finish by year-end. DSB-96 will resume after a roughly 45-day suspension. The full 40,000-meter program will continue into 2027, the company said.
What do analysts say? Cantor Fitzgerald's Matthew O'Keefe maintained a Speculative Buy rating and CA$5.00 target and called the DSB-96 results "exceptional results for Iska Iska." Sphene Capital's Peter Thilo Hasler maintained a Buy rating and CA$18.00 target in a July 9 update.
What is happening in the silver and tin markets? Silver fell to around US$59 per ounce on October 7, but the market is headed for a sixth straight annual deficit, bringing the cumulative shortfall since 2021 to about 760 million ounces, according to the World Silver Survey 2026.
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Important Disclosures:
- Eloro Resources Ltd. is a billboard sponsor of Streetwise Reports. The company pays a monthly sponsorship fee of US$3,000–US$6,000 for banner advertising and an enhanced company profile page. Streetwise Reports’ editorial content is fully independent and is not influenced by sponsorship.
- As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of Eloro Resources Ltd.
- Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
- This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.
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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.
