Is Unico Silver (ASX:USL) on Track to Deliver Its Pre-Feasibility Study in January 2027?

Sonal Goyal

10 November 2026 12:19 PM AEDT

Is Unico Silver (ASX:USL) on Track to Deliver Its Pre-Feasibility Study in January 2027?

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Key Highlights

The pre-feasibility study for Joaquin and Cerro Leon remains on track for release in January 2027.
Infill assays include 9.5 metres at 489 grams per tonne silver equivalent at Achen, supporting conversion of Inferred resources.
An application under Argentina's RIGI regime is being prepared for lodgement shortly after the study.
Unico reported A$100.2 million in cash at 30 September 2026.

Unico Silver Limited (ASX:USL) has provided an update on its maiden integrated pre-feasibility study for the Joaquin and Cerro Leon silver-gold projects in Santa Cruz Province, Argentina. The update, dated 10 November 2026, says the study remains on track for release in January 2027. It also reports assay results from infill and exploration drilling, and progress on the company's application under Argentina's Large Investment Incentive Regime, known as RIGI.

Pre-Feasibility Study Progress

Process flow diagrams for both the dual tank leach and heap leach routes are nearing completion and are under review. The site layout has been established, and Capital and operating cost estimates are in progress. Environmental baseline studies are complete, and the company targets lodging the Environmental Impact Report in January 2027. Planning is also underway for long lead testwork that will feed the later definitive feasibility study, including further metallurgical testwork, pit dewatering and tailings studies.

A pre-feasibility study sets out the technical and economic framework for a project, but its outputs depend on the assumptions adopted for metallurgy, costs and processing route. Until the study is released, the company's view of the project Economics remains provisional.

Infill Drilling and Resource Conversion

Assays for infill holes at Cerro Leon include 9.5 metres at 489 grams per tonne silver equivalent from 81.6 metres at the Achen prospect, with a higher-grade section of 2.9 metres at 1,515 grams per tonne. At the Marta Este prospect, hole P099-26 returned 28 metres at 355 grams per tonne silver equivalent from 22 metres. The company says these results confirm high-grade silver and support converting Inferred Mineral Resources into the Measured and Indicated categories.

Converting resources to higher confidence categories is a technical process that depends on drill spacing, geological continuity and confidence in grade estimates. The company reports that infill drilling is intended to support that conversion, and the outcome will be shown in the study's resource basis.

Exploration Upside

Exploration drilling at La Morena intersected new gold and silver mineralisation in east-west veins, including 36 metres at 122 grams per tonne silver equivalent from 17 metres. A new silver-dominant vein was also identified at La Morocha NE outside the current Mineral Resources. The company describes these as exploration results and has not yet defined resources at either location.

Funding and RIGI Application

Unico reported cash of A$100.2 million at 30 September 2026 and describes itself as fully funded. The company is preparing an application under Argentina's RIGI regime for lodgement shortly after the pre-feasibility study. The company is targeting inclusion under the regime by the second half of 2027, which would depend on government review.

Risks and Matters to Monitor

The project's economics will be set out in the study, and any changes to assumptions for processing, costs or prices could shift the outcome. Argentina's regulatory environment, including the RIGI approval process and permitting for the environmental impact report, is outside the company's control and could affect timing. Exploration results at La Morena and La Morocha NE remain early, and resource conversion depends on further technical work.

Final Word

Unico's update keeps its January 2027 pre-feasibility study on schedule while providing high-grade infill assays that underpin the resource base for the study. The study's economics, the RIGI application and the progress of resource conversion will determine how the project is assessed in the year ahead. Each of those milestones will provide a clearer view of how the Joaquin and Cerro Leon projects compare with the company's stated plans.

FAQs

Q: When is the Unico Silver pre-feasibility study due?

A: The company says the study remains on track for release in January 2027.

Q: What did the infill drilling show?

A: Infill assays confirm high-grade silver, including 9.5 metres at 489 grams per tonne silver equivalent at Achen, and support converting Inferred resources to higher confidence categories.

Q: What is the RIGI application?

A: RIGI is Argentina's Large Investment Incentive Regime. Unico is preparing an application for lodgement shortly after the pre-feasibility study, with inclusion targeted by the second half of 2027.

Q: How much cash does Unico hold?

A: Unico reported A$100.2 million in cash at 30 September 2026.

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