en.Wedoany.com Reported - Australian listed company Silver Mines Limited (ASX: SVL) announced on July 21, 2026, that it has completed the Definitive Feasibility Study (DFS) for its Bowdens silver project in New South Wales (NSW). The study shows that the project has ore reserves of 47.9 million tonnes, with a silver grade of 60.8 grams per tonne, containing 93.5 million ounces of silver, representing a 30% increase in silver content and a 46% increase in tonnage compared to the 2024 reserve estimate. Silver Mines is an Australian resource company focused on silver exploration and development, dedicated to advancing its wholly-owned Bowdens silver project.
The Bowdens silver project is located approximately 26 kilometers east of Mudgee in central-western New South Wales, covering a mining tenement area of 2,115 square kilometers. It is the largest known undeveloped silver deposit in Australia and one of the largest undeveloped silver deposits globally. The DFS adopts a phased development plan: Phase 1 plans to mine 29.9 million tonnes of ore at a silver grade of 68 grams per tonne, expected to produce 65.4 million ounces of silver over 16 years, with a low strip ratio of 1.47:1; Phase 2 will process an additional 18.3 million tonnes of ore, extending the mine life to 26 years. Silver is expected to contribute 91% of the project's total revenue.
The study is based on a silver price of $45 per ounce and an AUD/USD exchange rate of 0.70, yielding a pre-tax net present value of A$1.04 billion and an internal rate of return of 31.5%, with payback within three years of production. Initial capital expenditure is estimated at A$455 million, with all-in sustaining costs of A$32.91 per ounce. Average annual silver production in the first five years is expected to be 4.7 million ounces, with sustaining costs of A$20.47 per ounce. At a spot silver price of $61 per ounce, the pre-tax net present value would rise to A$2.01 billion. The project is expected to create over 200 local jobs once operational.
Silver Mines Managing Director Jo Battershill stated that the completion of the DFS is a significant milestone for the company, positioning the Bowdens project as a potential next major primary silver mine globally. The project's development application has been submitted to the New South Wales government and the Independent Planning Commission for approval. While awaiting approval, the company will advance Front-End Engineering Design (FEED) studies and a biodiversity offset strategy review. The completion of the DFS marks the Bowdens silver project's official transition from the feasibility study phase to development and approval advancement, with its large scale, low strip ratio, and high silver contribution making it highly competitive among undeveloped silver projects worldwide.
