AbraSilver Extends Gold Zone at Diablillos Project with Additional Broad Intercepts at Oculto East

Rhea-AI Summary

AbraSilver Resource Corp. (OTCQX: ABBRF) has announced significant drill results from its Phase V exploration program at the Diablillos project in Argentina. The company reported notable gold intercepts at Oculto East, including 60 meters at 1.05 g/t gold (including 17m at 2.83 g/t gold) in hole DDH 25-060A, 16 meters at 1.74 g/t gold in hole DDH 25-067, and 21 meters at 1.51 g/t gold in hole DDH 25-068.

The drilling program has successfully extended the gold mineralization zone 200 meters east of the current open pit boundary, demonstrating strong potential for mineral resource expansion. The company is currently operating with three active rigs and plans to commence drilling at the nearby Cerro Blanco porphyry target to test a promising copper-gold system.

Positive

• Significant gold intercepts including 60m at 1.05 g/t gold in hole DDH 25-060A
• Mineralization extended 200 meters east of current open pit boundary
• All intersections are in oxide material, which typically has favorable metallurgical characteristics
• Three drilling rigs actively operating, indicating strong exploration momentum

Negative

• True widths of mineralization remain unknown
• Gold grades in some intercepts are relatively modest (below 1 g/t)

Latest Results Include 60 m at 1.05 g/t Gold Including 17 m at 2.83 g/t Gold

Toronto, Ontario--(Newsfile Corp. - August 25, 2025) - AbraSilver Resource Corp. (TSX: ABRA) (OTCQX: ABBRF) ("AbraSilver" or the "Company") is pleased to announce assay results from three new drill holes from the ongoing Phase V exploration program at its wholly-owned Diablillos project in Argentina (the "Project").

The latest drill holes continue to expand the gold-bearing zone at Oculto East, intersecting consistent mineralization well beyond the current Mineral Resource outline. These results reinforce the potential for continued growth and highlight Oculto East as a key focus area in the current exploration program.

Highlight Drill Results

• DDH 25-060A: 60.0 metres ("m") grading 1.05 g/t gold from 230 metres, including:
  • 17.0 m at 2.83 g/t gold
  • 4.0 m at 6.68 g/t gold
• DDH 25-067: 16.0 m grading 1.74 g/t gold & 17.3 g/t silver from 245 metres
• DDH 25-068: 21.0 m grading 1.51 g/t gold & 49.5 g/t silver from 188 metres, and
  • 64.0 m grading 0.54 g/t gold & 19.8 g/t silver from 314 metres,

Table 1 - Summary of Key Drill Intercepts: Oculto East

Intercepts greater than 25 gram-metres Au shown in bold text:

Drill Hole	Area	From (m)	To (m)	Type	Interval (m)	Ag g/t	Au g/t
DDH-25-060A	Oculto East	124.0	128.0	Oxides	4.0	58.5	-
		134.0	136.0	Oxides	2.0	78.9	-
		188.0	189.0	Oxides	1.0	-	0.76
		209.0	214.0	Oxides	5.0	-	1.15
		230.0	290.0	Oxides	60.0	-	1.05
	Including	230.0	247.0	Oxides	17.0	-	2.83
	Including	230.0	234.0	Oxides	4.0	-	6.68
DDH-25-067	Oculto East	124.0	125.0	Oxides	1.0	-	0.62
		167.0	170.0	Oxides	3.0	8.0	0.84
		177.0	178.0	Oxides	1.0	-	1.17
		245.0	261.0	Oxides	16.0	17.3	1.74
		276.0	277.0	Oxides	1.0	10.7	0.83
		286.0	292.0	Oxides	6.0	5.9	0.65
DDH-25-068	Oculto East	188.0	209.0	Oxides	21.0	49.5	1.51
		307.0	308.0	Oxides	1.0	17.7	1.37
		314.0	378.0	Oxides	64.0	19.8	0.56
	Including	342.0	346.0	Oxides	4.0	25.1	1.23
	Including	354.0	378.0	Oxides	24.0	11.2	0.90

 
Note: All results in this news release are rounded. Assays are uncut and undiluted. Widths are drilled widths, not true widths. True widths are unknown.

John Miniotis, President and CEO, commented, "We are very encouraged that our drilling continues to expand the footprint of the gold zone at Oculto East. These latest results demonstrate the continuity of mineralization well beyond the current open pit constrained Mineral Resource and further strengthens our confidence in the growth potential at Diablillos. With three rigs active, we remain focused on delivering additional Mineral Resource growth while advancing the Definitive Feasibility Study in parallel."

Dave O'Connor, Chief Geologist, commented, "These latest intercepts clearly demonstrate that gold mineralization extends further east than previously modeled. Our drilling continues to concentrate in this area to determine the full size and continuity of this expanding higher-grade gold zone."

Figure 1 -Plan View of Drill Results

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/11792/263657_489e76d844da088e_001full.jpg

Additional Details on Drill Results

Hole DDH 25-060A was drilled more than 50 metres east of the current Mineral Resource boundary to test the width of the high-grade gold zone intersected in hole DDH 25-024 (31m @ 10.0 g/t Au). The hole intersected a broad zone of continuous gold mineralization, highlighted by 60.0 m grading 1.05 g/t gold, starting at 230 m down-hole. These results confirm that the gold zone extending eastwards from the Oculto deposit is very robust.

Hole DDH 25-067 located approximately 150 metres east of the current Mineral Resource boundary, intersected 16.0 m grading 1.74 g/t gold with 17.3 g/t silver, from 245 m down-hole. The intercept demonstrates the continuity of the gold-bearing system in the Oculto East area and shows the potential for a major eastwards extension of the Mineral Resource.

Hole DDH 25-068 located approximately 90 metres east of the current Mineral Resource open pit boundary, intersected 21.0 m grading 1.51 g/t gold with 49.5 g/t silver, from 188 m down-hole. This was followed by an additional 64.0 m grading 0.54 g/t gold with 19.8 g/t silver from 314 m down-hole. These results confirm the depth continuity of the mineralized system at Oculto East.

Figure 2 - Section Through Latest Drill Holes Looking Northwest

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/11792/263657_489e76d844da088e_002full.jpg

Note: Widths are drilled widths, not true widths. True widths are unknown.

Phase V Exploration Update

The Company's ongoing 20,000-metre Phase V drill program is progressing well, with three active rigs. Drilling at Oculto East remains the top priority, where multiple step-out holes are being completed to further extend the gold zone beyond the existing Mineral Resource boundary. Results received to date confirm a broad zone of gold-dominant mineralization that extends at least 200 metres east of the current open pit boundary, underscoring the strong potential for further Mineral Resource expansion.

In parallel, the Company will shortly commence drilling a minimum of two deep holes at the nearby Cerro Blanco porphyry target, to test the promising copper-gold system. Together, these initiatives are designed to expand known mineralization at Oculto East while also testing new targets that could further enhance the overall scale of the Diablillos project.

Collar Data

Hole Number	UTM Coordinates		Elevation	Azimuth	Dip	Depth (m)	Area
DDH 25-060A	720867	7199537	4,397	325	-70	305	Oculto East
DDH 25-067	720845	7199833	4,317	180	-60	308	Oculto East
DDH 25-068	720855	7199636	4,351	180	-60	400	Oculto East

 

About Diablillos

The Diablillos property is located within the Puna region of Argentina, in the southern part of Salta Province along the border with Catamarca Province, approximately 160 km southwest of the city of Salta and 375 km northwest of the city of Catamarca. The property comprises 15 contiguous and overlapping mineral concessions acquired by AbraSilver in 2016. The project site has good year-round accessibility through a 150 km paved road, followed by a well-maintained gravel road, shared with other adjacent projects.

There are several known mineral zones on the Diablillos property. Approximately 150,000 m have been drilled to date, which has outlined multiple occurrences of epithermal silver-gold mineralization at Oculto, JAC, Laderas and Fantasma. Several satellite zones of silver/gold-rich epithermal mineralization have been located within a 500 m to 1.5 km distance surrounding the Oculto/JAC epicentre. In addition, a large porphyry complex is centered approximately 4 km northeast of Oculto which includes outcropping porphyry intrusions within a major zone of alteration, and associated gold rich epithermal mineralization.

Comparatively nearby examples of high sulphidation epithermal deposits include: La Coipa (Chile); Yanacocha (Peru); El Indio (Chile); Lagunas Nortes/Alto Chicama (Peru) Veladero (Argentina); and Filo del Sol (Argentina). The most recent Mineral Resource estimate for Diablillos is shown in Table 3:

Table 3 - Diablillos Mineral Resource Estimate - As of July 21, 2025

	Zone	Category	Tonnes (000 t)	Ag (g/t)	Au (g/t)	AgEq (g/t)	Contained Ag (000 Oz Ag)	Contained Au (000 Oz Ag)	Contained AgEq (000 Oz Ag)
Tank Leach	Oxides	Measured	26,545	119	0.71	183	101,564	604	156,487
		Indicated	46,584	56	0.63	114	84,430	948	170,592
		Measured &	73,129	79	0.66	139	185,994	1,553	327,078
		Indicated
		Inferred	9,693	34	0.57	86	10,616	176	26,647
Heap Leach	Oxides	Measured	6,673	16	0.14	25	3,486	30	5,342
		Indicated	24,102	12	0.17	23	9,163	133	17,506
		Measured &	30,774	13	0.16	23	12,649	162	22,848
		Indicated
		Inferred	10,024	9	0.20	21	2,811	64	6,850
Total	Oxides	Measured	33,218	98	0.59	152	105,050	634	161,829
		Indicated	70,686	41	0.48	83	93,593	1,081	188,098
		Measured &	103,904	59	0.51	105	198,643	1,715	349,927
		Indicated
		Inferred	19,628	21	0.38	53	13,427	241	33,496

 

Footnotes for Tank Leach Resource:

1. Mineral Resources are not Mineral Reserves and have not demonstrated economic viability.
2. The formula for calculating AgEq is as follows: Silver Eq Oz = Silver Oz + Gold Oz x (Gold Price/Silver Price) x (Gold Recovery/Silver Recovery).
3. The Mineral Resource model was populated using Ordinary Kriging grade estimation within a three-dimensional block model and mineralized zones defined by wireframed solids, which are a combination of lithology and alteration domains. The 1m composite grades were capped where appropriate.
4. The Mineral Resource is reported inside a conceptual Whittle open pit shell derived using US$ 27.50/oz Ag price, US $2,400/oz Au price, 83% process recovery for Ag, and 87% process recovery for Au.
5. The constraining open pit optimization parameters used were US $1.94/t mining cost, US $22.96/t processing cost, US $3.32/t G&A cost, and average 51-degree open pit slopes.
6. The MRE has been categorized in accordance with the CIM Definition Standards (CIM, 2014).
7. A Net Value per block [NVB] calculation was used to constrain the Mineral Resource, determine the "Benefits = Income-Cost", where, Income = [(Au Selling Price (US$/oz) - Au Selling Cost (USD/Oz)) x (Au grade (g/t)/31.1035)) x Au Recovery (%)] + [(Ag Selling Price (US$/oz) - Ag Selling Cost (USD/Oz)) x (Ag grade (g/t)/31.1035)) x Ag Recovery (%)] and Cost = Mining Cost (US$/t) + Process Cost (US$/t) + Transport Cost (US$/t) + G&A Cost (US$/t) + [Royalty Cost (%) x Income]
8. The Mineral Resource is sub-horizontal with sub-vertical feeders and a reasonable prospect for eventual economic extraction by open pit and tank leach processing methods.
9. In-situ bulk density were assigned to each model domain, according to samples averages for each lithology domain, separated by alteration zones and subset by oxidation.
10. All tonnages reported are dry metric tonnes and ounces of contained gold are troy ounces.
11. Mining recovery and dilution factors have not been applied to the Mineral Resource estimates.
12. The Mineral Resource was estimated by Luis Rodrigo Peralta, B.Sc., FAusIMM CP (Geo), Independent Qualified Person under NI 43-101.
13. Mr. Peralta is not aware of any environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues that could materially affect the potential development of the Mineral Resource.
14. All figures are rounded to reflect the relative accuracy of the estimates. Minor discrepancies may occur due to rounding to appropriate significant figures.

Footnotes for Heap Leach Resource:

1. Mineral Resources are not Mineral Reserves and have not demonstrated economic viability.
2. The formula for calculating AgEq is as follows: Silver Eq Oz = Silver Oz + Gold Oz x (Gold Price/Silver Price) x (Gold Recovery/Silver Recovery).
3. The Mineral Resource model was populated using Ordinary Kriging grade estimation within a three-dimensional block model and mineralized zones defined by wireframed solids, which are a combination of lithology and alteration domains. The 1m composite grades were capped where appropriate.
4. The Mineral Resource is reported inside a conceptual Whittle open pit shell derived using US$ 27.50/oz Ag price, US $2,400/oz Au price, 80% process recovery for Ag, and 58% process recovery for Au.
5. The constraining open pit optimization parameters used and overall operational cost of US $11.31/t.
6. The MRE has been categorized in accordance with the CIM Definition Standards (CIM, 2014).
7. A Net Value per block [NVB] calculation was used to constrain the Mineral Resource, determine the "Benefits = Income-Cost", where, Income = [(Au Selling Price (US$/oz) - Au Selling Cost (USD/Oz)) x (Au grade (g/t)/31.1035)) x Au Recovery (%)] + [(Ag Selling Price (US$/oz) - Ag Selling Cost (USD/Oz)) x (Ag grade (g/t)/31.1035)) x Ag Recovery (%)] and Cost = Mining Cost (US$/t) + Process Cost (US$/t) + Transport Cost (US$/t) + G&A Cost (US$/t) + [Royalty Cost (%) x Income]
8. In-situ bulk density were assigned to each model domain, according to samples averages for each lithology domain, separated by alteration zones and subset by oxidation.
9. All tonnages reported are dry metric tonnes and ounces of contained gold are troy ounces.
10. Mining recovery and dilution factors have not been applied to the Mineral Resource estimates.
11. The Mineral Resource was estimated by Mr. Peralta, B.Sc., FAusIMM CP (Geo), Independent Qualified Person under NI 43-101.
12. Mr. Peralta is not aware of any environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues that could materially affect the potential development of the Mineral Resource.
13. All figures are rounded to reflect the relative accuracy of the estimates. Minor discrepancies may occur due to rounding to appropriate significant figures.

QA/QC and Core Sampling Protocols

AbraSilver applies industry standard exploration methodologies and techniques, and all drill core samples are collected under the supervision of the Company's geologists in accordance with industry best practices. Drill core is transported from the drill platform to the logging facility where drill data is compared and verified with the core in the trays. Thereafter, it is logged, photographed, and split by diamond saw prior to being sampled. Samples are then bagged, and quality control materials are inserted at regular intervals at site; these include blanks and certified reference materials as well as duplicate core samples which are collected in order to assess sampling precision and reproducibility. Groups of samples are then placed in large bags which are sealed with numbered tags in order to maintain a chain-of-custody during the transport of the samples from the project site to the laboratory.

All samples are received by the ASA (Alex Stewart Argentina) preparation laboratory in Salta, where they are prepared, then the pulp sachet is directly dispatched to its facility in Mendoza, Argentina, where they are analyzed. All samples are analyzed using a multi-element technique consisting of a four-acid digestion followed by ICP/AES detection, and gold is analyzed by 50g Fire Assay with an AAS finish. Silver results greater than 100g/t are re-analyzed using four acid digestion with an ore grade AAS finish.

Qualified Persons

David O'Connor P.Geo., Chief Geologist for AbraSilver, is the Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects, and he has reviewed and approved the scientific and technical information in this news release.

About AbraSilver

AbraSilver is an advanced-stage exploration company focused on rapidly advancing its 100%-owned Diablillos silver-gold project in the mining-friendly Salta province of Argentina. The current Measured and Indicated Mineral Resource estimate for Diablillos (tank leach-only) consists of 73.1 Mt grading 79 g/t Ag and 0.66 g/t Au, containing approximately 186Moz silver and 1.6Moz gold, with significant further upside potential based on recent exploration drilling. The Company is led by an experienced management team and has long-term supportive shareholders. In addition, the Company has entered into an earn-in option and joint venture agreement with Teck on the La Coipita project, located in the San Juan province of Argentina. AbraSilver is listed on the Toronto Stock Exchange under the symbol "ABRA" and in the U.S. on the OTCQX under the symbol "ABBRF."

For further information please visit the AbraSilver Resource website at www.abrasilver.com, our LinkedIn page at AbraSilver Resource Corp., and follow us on X at www.x.com/abrasilver

Alternatively, please contact:

John Miniotis, President and CEO
info@abrasilver.com
Tel: +1 416-306-8334

Cautionary Statements

This news release includes certain "forward-looking statements" under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. All statements that address future plans, activities, events or developments that the Company believes, expects or anticipates will or may occur are forward-looking information. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. When considering this forward-looking information, readers should keep in mind the risk factors and other cautionary statements in the Company's disclosure documents filed with the applicable Canadian securities regulatory authorities on SEDAR+ at www.sedarplus.ca. The risk factors and other factors noted in the disclosure documents could cause actual events or results to differ materially from those described in any forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this news release

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/263657

FAQ

What are the latest drilling results from AbraSilver's (ABBRF) Diablillos project?

The latest results include 60 meters at 1.05 g/t gold in hole DDH 25-060A, 16 meters at 1.74 g/t gold in DDH 25-067, and 21 meters at 1.51 g/t gold in DDH 25-068 at the Oculto East zone.

How far has AbraSilver extended the mineralization at Oculto East?

The drilling has confirmed mineralization extending at least 200 meters east of the current open pit boundary of the Mineral Resource.

What is the current status of AbraSilver's Phase V exploration program?

The company is actively conducting a 20,000-metre Phase V drill program with three rigs operating, focusing primarily on the Oculto East zone while planning to test the Cerro Blanco porphyry target.

What type of mineralization is AbraSilver finding at Diablillos?

AbraSilver is finding oxide-type gold and silver mineralization, with consistent gold-dominant zones showing grades ranging from 0.54 to 2.83 g/t gold in the latest results.