en.Wedoany.com Reported - Canadian mining company Silverco Mining Ltd. has officially initiated the mobilization of an underground contractor at its 100%-owned Cusi silver mine in Chihuahua, Mexico. The company has signed contracts with local firms Mafrissa Transportes y Maquinaria SA de CV and Rencer Servicio a la Minería, SA de CV to undertake development and mining operations.

Silverco CEO Mark Ayranto stated that this move is a significant milestone in the restart plan for the Cusi mine. These two contractors have deep local roots and extensive underground mining experience. Combined with the ongoing rehabilitation of the processing plant, the company plans to produce its first batch of silver concentrate in the fourth quarter of 2026, with the goal of achieving operations at both of its Mexican mines by the end of that year.

Underground development will focus on two main areas, Promontorio and San Miguel, each managed independently by its respective contractor. The Promontorio area was mined until 2023 and has now been dewatered and rehabilitated, with first ore production expected by the end of the third quarter of 2026. The San Miguel area is considered to have significant potential but has not been previously mined using modern methods, requiring the construction of new portals and ramps, with formal production expected to begin in the first half of 2027.

According to the 2026 Preliminary Economic Assessment (PEA), the Cusi project is expected to produce an average of 2.5 million ounces of silver equivalent annually, with an initial capital requirement as low as $19.2 million. The project presents a key opportunity for Silverco to achieve its institutional target of 10 million ounces of annual production within the next three years.

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