Exploration Upside
When I became the CEO of Dolly Varden four years ago, the 3-year trailing price of silver was $16/ounce. At that time, we had 44 million ounces of silver equivalent in the ground. We looked at the project through the lens of $16/ounce silver.
I asked my engineers, “What do we need to do, to make this project economic?” They told me, “We need to double the size of the metal inventory - get it up to 88 million ounces.”
Through aggressive exploration and accretive acquisitions, we're now at 140 million ounces silver equivalent (using only gold and silver). Looking at the project through the lens of $30/ounce silver, the increased indicated & Inferred silver-in-the-ground has added significant value to our project.
In 2023, our drill results from Homestake Silver have been among the highest-grade gold and silver intercepts anywhere in the Golden Triangle.
Given the success we have been having with the drill bit, we intend to continue drilling.
Key Summer 2024 Exploration Drilling Highlights:
Three drill rigs mobilising
Initial 25,000 meters diamond drilling planned
Focus on Homestake Silver and Wolf Deposits
Low snow packs allow for earlier than usual start in May
Follow up on new discoveries
The drill program will be split approximately 50/50 between the Dolly Varden Property and the Homestake Ridge Property, with an overall project split of 1/3 to Homestake Silver deposit area, 1/3 to Wolf deposit area and 1/3 to project wide exploration targets with new discovery potential.
Exploration Drill Programs typically involve testing a theory. In our case, we are trying to verify the presence of mineralised structures underneath the sedimentary cap.
Three drill rigs will test exploration targets at
1. Moose Vein.
2. Chance Vein
3. North Star Deposit
Objectives of the initial targets include testing for new discoveries and following up from high-grade silver mineralization encountered in the 2023 drilling program.
Our 25,000-meter program is the earliest startup for of any season for Dolly Varden Silver and we look forward to building on resource expansion and high-grade mineralization discovered during the 2023 program.
We are excited to continue to grow the premier advanced silver project in Canada, backed by our strong corporate, institutional and strategic investors.
Primary silver mines are rare. They only represent about 28% of the silver market. We think we’ve got something special in the Kitsault Valley. We’ve got good silver grades. But size is also important. Targeted exploration programs are the most efficient way to increase size.
That’s why we’ve allocated 7,500 meters of discovery drilling. As of June, 2024, we've got three rigs turning, at the Chance, Moose and North Star deposits.
After that, we'll move all three rigs to Wolf and then up the valley to Homestake.
Throughout the summer of 2024 we are going to release the drill results in batches. Our current exploration goal is to add high-grade silver inventory to an already large high-grade inventory.
In the next message, I will talk about the importance of our Homestake Deposit.
Shawn Khunkhun
CEO, President & Director of Dolly Varden Silver
Disclaimer / Disclosure / NOT FINANCIAL ADVICE
Information contained herein has been obtained from sources believed to be reliable, but there is no guarantee as to completeness or accuracy. Because individual investment objectives vary, this Summary should not be construed as advice to meet the particular needs of the reader. Any opinions expressed herein are statements of our judgment as of this date and are subject to change without notice. Any action taken as a result of reading this independent market research is solely the responsibility of the reader.
The Silver Academy and MineralWEALTH is not and does not profess to be a professional investment advisor, and strongly encourages all readers to consult with their own personal financial advisors, attorneys, and accountants before making any investment decision. MineralWealth & The Silver Academy and/or independent consultants or members of their families may have a position in the securities mentioned.
Mr. Little does consult on a paid basis both with private investors and various companies including Dolly Varden Silver. Investing and speculation are inherently risky and should not be undertaken without professional advice.
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