TSX-V-listed Silverco Mining has reached key operational and technical milestones at its 100%-owned Cusi silver project, in Mexico, signalling progress towards a planned restart of production.

Crucially, the company has successfully completed the dewatering of underground workings at the Promontorio area and has begun early-stage rehabilitation as part of its efforts to return the mine to active operation.

Following the dewatering, Silverco has mobilised crews to rehabilitate the underground workings. Early-stage works include scaling ramps, installing ground support and identifying, repairing and replacing underground infrastructure.

The company has also hired a project manager in Mexico to oversee the mine restart, while key discipline managers are being recruited to build out the operations team.

Rehabilitation efforts are focused on restoring primary access and essential services, including electrical, ventilation and water infrastructure, to meet the requirements of an active production environment. These upgrades also extend utility services into priority exploration areas to prepare for the 2026 underground drill programme.

Silverco has engaged JDS Energy & Mining to produce a restart study for the Cusi project, leveraging the recently updated mineral resource estimate (MRE). The study is designed to define the economic and operational parameters necessary for resuming mining, with results expected late in the first quarter of this year.

Concurrently, metallurgical optimisation test work is being conducted by Forte Analytical on mineralised composites from the Promontorio and San Miguel zones. This programme is aimed at maximising metal recoveries, optimising processing parameters, and defining concentrate specifications for potential off-take agreements.

“Completing the dewatering of Promontorio is a critical operational milestone that paves the way for our return to production at Cusi. With JDS now advancing the restart study and our crews on the ground beginning essential rehabilitation, we are rapidly transitioning from exploration and maintenance into an active development phase,” Silverco CEO Mark Ayranto said on January 6.

Promontorio will serve as Silverco’s initial mine restart area, given its significant existing development infrastructure, with Ayranto adding that the restart study and the remaining 2025 drill results will be delivered early this year.

“With silver spot prices hitting all-time highs, Silverco is positioned to take imminent benefit of the current metal price regime. The Cusi project benefits from being a permitted operation with significant existing infrastructure – including a 1 200 t a day mill and the now-dewatered underground workings at Promontorio.

“This advantage allows us to move quickly with urgency to transition Cusi back into production to capture this value, derisking the project at an opportune time when the market is demanding high-quality silver projects,” Ayranto said.

The company is also continuing its exploration efforts, integrating recently flown light detection and ranging survey data to refine high-priority targets for the 2026 programme, while the remainder of the 2025 drill results is expected in early quarter one.

The updated MRE, published on December 9, 2025, confirmed Cusi as a high-grade, silver-primary project. Silverco is finalising the supporting technical report, which is expected to be filed this month.