Mithril Silver and Gold (ASX:MTH) Confirms 550 Metres of Strike and 200 Metres of Depth at Target 4

Aditi Sarkar

28 October 2026 04:10 PM AEDT

Mithril Silver and Gold (ASX:MTH) Confirms 550 Metres of Strike and 200 Metres of Depth at Target 4

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Highlights

First systematic drilling at Target 4 confirmed mineralisation over 550 metres of strike and 200 metres vertically.
Hole CO26-001 returned 11.70 metres at 456 grams per tonne silver equivalent from 22.0 metres.
The upgraded Target 1 resource holds 464,000 Indicated ounces and 151,000 Inferred ounces of gold equivalent, effective 29 June 2026.
Cash fell to about A$4.13 million, and the company estimated about 1.3 quarters of funding at the current rate.

A 0.60 metre slice at 3,877 grams per tonne silver equivalent sits inside one of the first systematic holes at Target 4. Mithril Silver and Gold Limited (ASX:MTH) reported in its September 2026 quarterly that initial drilling on the Copalquin-Zaragoza Structure, known as Target 4, has confirmed mineralisation over 550 metres of strike and 200 metres vertically. The structure remains open, with two drills still active and assays pending.

Target 4 intercepts

Results are reported as silver equivalent (AgEq). Hole CO26-001 returned 11.70 metres at 456 grams per tonne AgEq from 22.0 metres, including 0.60 metres at 3,877 grams per tonne. CO26-002 returned 13.95 metres at 387 grams per tonne from 88.85 metres, including 1.00 metre at 1,747 grams per tonne, and CO26-003 returned 6.50 metres at 320 grams per tonne from 93.4 metres, including 0.50 metres at 1,890 grams per tonne.

The equivalent figures use prices of US$3,300 per ounce for gold and US$50 per ounce for silver, with recoveries of 96 per cent for gold and 91 per cent for silver. Low-grade zinc, lead and copper were found but excluded from the calculations. All intervals are downhole lengths, and true widths have not been established. About 400 metres of strike to the northwest toward Target 1 and 600 metres to the southeast toward San Manuel remain to be tested.

Other drilling

At Target 5, known as La Maquina, hole MA26-002 returned 0.50 metres at 12.20 grams per tonne gold and 848 grams per tonne silver from 168.25 metres, which the company said extends the discovery 150 metres to the northwest.

Around the Target 1 resource, LS26-008 at La Soledad returned 13.45 metres at 1.55 grams per tonne gold and 16.6 grams per tonne silver from 30.4 metres, and El Refugio returned 0.55 metres at 7.54 grams per tonne gold from 404.95 metres. Western holes at El Gallo, La Guacima and El Platano had no reportable grades.

Target 1 resource and studies

The upgraded Target 1 Mineral Resource comprises 3.39 million tonnes Indicated at 4.26 grams per tonne gold equivalent for 464,000 ounces, and 1.44 million tonnes Inferred at 3.28 grams per tonne for 151,000 ounces. About 75 per cent of the contained metal is Indicated. A Scoping Study and preliminary economic assessment has begun, with results targeted for early 2027, and permitting continues.

The company also holds an option over the 20 square kilometre La Dura property, where an aerial magnetic survey is complete and drilling is planned as early as 2027.

Cash and next steps

Cash at 30 September 2026 was about A$4.13 million, down from about A$7.26 million, with no debt. Operating outflow was about A$0.54 million and exploration spending about A$2.58 million. Mithril plans to rely on existing cash plus future raisings under its ASX placement capacity.

The company intends to finish its 25,000 metre 2026 drill program in late October 2026 and then report Target 4 results. It also plans to advance Target 1 assessment and permitting, prepare drilling for La Dura, Targets 3 and 5 and Cucaracha in 2027, and hold its annual general meeting on 27 November 2026. The studies are not complete, and outcomes are uncertain.

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