Silver Elephant to Submit Environmental Impact Assessment for 12,000 Tonne-per-Day Pulacayo-Paca Processing Plant; Environmental License Decision Expected by June 2027
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Silver Elephant Mining (SILEF) plans to submit an environmental assessment for its proposed 12,000-tonne-per-day Pulacayo-Paca processing plant by December 2026. The company expects an environmental license decision by June 2027, with construction expected to begin after approval. The Bolivia plant would process up to 10,000 tonnes per day of sulphide material and 2,000 tonnes per day of oxide material from Pulacayo, Paca and Apuradita.
The environmental assessment and engineering studies are substantially complete; seasonal fieldwork and public consultations remain scheduled through December. Equipment supplier and potential project-equity partner discussions are underway. No current independent feasibility or pre-feasibility study has been completed. The 2020 Paca oxide resource estimate does not represent remaining inventory after subsequent mining, and Apuradita operations have no specific resource or reserve estimate.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Major point. Forward-looking: it has not happened yet and may not happen.Proposed plant would add 12,000 tonnes per day of processing capacity at Pulacayo-Paca.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Silver Elephant expects the on-site plant to improve profit margins.
- Minor pointEnvironmental categorization approval in July 2026 advanced permitting for the plant and associated facilities.
- Minor pointEnvironmental assessment and engineering studies are substantially complete; dry-season fieldwork concluded in September 2026.
- Minor pointEquipment supplier discussions have begun to align procurement with anticipated permitting approval.
8 minor points
- Minor pointPotential joint-venture discussions seek engineering, procurement and construction management support.
- Minor pointApuradita produced and sold 84.7 dry tonnes of concentrate across three batches, reported in August 2026.
- Minor pointApuradita concentrate silver grades increased from 5,916 to 12,283 grams per tonne between first and third batches.
- Minor pointApuradita concentrate lead grades increased from 14.4% to 31.34% between first and third batches.
- Minor pointPaca delivered 261,530 wet tonnes grading 183 grams per tonne silver between October 2023 and November 2024.
- Minor pointPaca's third-party toll processor reported silver recovery of 85–95% for that oxide material.
- Minor pointPulacayo's October 2020 indicated resources totaled 26,350,000 tonnes containing 70.2 million ounces of silver.
- Minor pointPaca's October 2020 indicated resources totaled 21,690,000 tonnes containing 37.0 million ounces of silver, before subsequent oxide mining.
Negative
- Moderate pointPlant construction depends on environmental license approval; a decision is anticipated by June 2027.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Potential project partners would receive an equity stake in the project in exchange for construction-management support.
- Moderate pointPulacayo and Paca have no current independent feasibility or pre-feasibility study supporting the proposed development.
- Moderate pointPaca's 2020 oxide resource estimate does not represent current remaining inventory after mining between 2023 and 2026.
- Moderate pointApuradita underground mining operates without a specific mineral resource or reserve estimate.
3 minor points
- Minor point. Forward-looking: it has not happened yet and may not happen.Category 1 permitting requires a detailed environmental assessment and public consultation, with remaining studies targeted for December 2026.
- Minor pointPulacayo has no current economic analysis; the previous owner's historical feasibility analysis should not be relied upon.
- Minor point. Forward-looking: it has not happened yet and may not happen.Paca pit geometry, waste placement and geotechnical changes may affect sulphide extraction and future mine planning.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Vancouver, British Columbia--(Newsfile Corp. - November 13, 2026) - Silver Elephant Mining Corp. (TSX: ELEF) (OTCQB: SILEF) (FSE: 1P2) ("Silver Elephant" or the "Company") is pleased to announce that it is preparing to submit the Environmental Impact Assessment Study for a proposed 12,000 tonne-per-day ("tpd") mineral processing plant at its Pulacayo-Paca silver mining project ("Pulacayo-Paca"), in the Potosí Department of Bolivia (the "Plant"), by the end of December 2026. The Company expects a government decision to issue the Plant's environmental license by mid-2027.
The Plant is being designed as a dual-circuit facility with a processing capacity of up to 10,000 tpd of sulphide materials and up to 2,000 tpd of oxide materials. The Plant feed will be sourced from the Pulacayo, Paca and Apuradita deposits. Mineralized materials from each of the three deposits have previously been mined and processed to produce high-grade silver concentrates via toll milling. The mining and processing records and experience were fundamental to the proposed Plant design and mine plans. The Plant at the mine site is expected to improve profit margins while demonstrating the Company's commitment to invest in and expand Pulacayo-Paca into an integrated district-scale operation.
Environmental Permitting of the Plant at Pulacayo-Paca
The Company has been methodically advancing environmental permitting of the 12,000 tpd Plant at Pulacayo-Paca since November 2023 and reports the following significant milestone achievements:
In July 2026, Bolivia's national environmental authority approved the Environmental Categorization Form (Formulario de Nivel de Categorización Ambiental, or "FNCA") filed by the Company's Bolivian subsidiary for the Plant, its tailings storage facility, waste rock storage areas and associated facilities, and classified the project as Category 1. Category 1 projects require the most comprehensive level of environmental assessment under Bolivian regulations: a detailed and integrated Environmental Impact Assessment Study (Estudio de Evaluación de Impacto Ambiental Analítico Integral, or "EEIA-AI"), including a public consultation process.
The EEIA-AI, which incorporates engineering and technical studies for the proposed operation on site, including logistics and infrastructure considerations, is substantially complete.
Environmental and socioeconomic baseline studies supporting the EEIA-AI are advancing toward a targeted December 2026 completion. The dry-season field campaign concluded in September 2026. The wet-season campaign is scheduled from November to mid-December 2026. Socioeconomic baseline studies and public consultations are planned throughout November and December 2026. Concurrently, overall engineering and technical studies are substantially complete, which include the Plant design, waste rock storage area and tailings storage facility.
The Company is scheduled to submit the EEIA-AI to the Ministry of Mining and Metallurgy by the end of December 2026 and anticipates a decision on the Environmental Impact Declaration (Declaratoria de Impacto Ambiental, or "DIA"), which constitutes the environmental license for the construction and operation of the Plant, by June 2027. Construction of the Plant is expected to commence following receipt of the approved DIA.
Processing Plant and Feed Sources
The Plant design includes a tailings storage facility, waste rock storage areas and supporting infrastructure. Metallurgical flowsheets and processing design are based on prior production and toll milling records.
Pulacayo-Paca hosts the mineral resource estimate summarized under "Mineral Resource Estimate" below. Apuradita, located next to the Paca deposit, has supplied mineralized materials for the Company's silver-lead concentrate production since January 2026.
Pulacayo-Paca, administered by Corporación Minera de Bolivia ("COMIBOL"), is the subject of the Mining Production Contract entered into between Silver Elephant's subsidiary and COMIBOL on October 3, 2019 (the "MPC"). The MPC granted Silver Elephant's subsidiary the exclusive right to develop and mine Pulacayo-Paca, covering 2,803 hectares for a term of up to 30 years.
The Apuradita mining concession ("Apuradita"), where the Plant is to be located, is held by the Company's subsidiary under a mining administrative contract (Contrato Administrativo Minero) with the Autoridad Jurisdiccional Administrativa Minera ("AJAM") and is not part of the MPC.
Production and Processing History
Mineralized materials from Pulacayo-Paca and Apuradita have the following production and metallurgical records.
Paca - Oxide Material
Between October 2023 and November 2024, the Company mined and delivered 261,530 wet tonnes of oxide material from the Paca open pit grading 183 g/t silver to a third-party toll-processing plant which had reported silver recovery of between 85 and
Apuradita - Sulphide Material
The Paca mineralization extends into Apuradita, where the Company is currently conducting its underground mining operation. As reported in the Company's news release dated August 21, 2026, the Company has produced and sold three concentrate batches from Apuradita, totaling 84.7 dry tonnes of concentrate containing 24,538 ounces of silver and 20 tonnes of lead (based on provisional assays for the third batch), from 4,547 tonnes of mineralized material grading 297 g/t silver and
Pulacayo - Sulphide Material
Between 2011 and 2013, Apogee Silver Ltd. ("Apogee"), the previous operator of the Pulacayo-Paca, carried out a trial underground mining program at Pulacayo. Apogee reported that more than 11,000 tonnes of mineralized materials with average head grades of 249 g/t silver,
Together, these records provide the Company with production and processing data for each of the Plant's proposed feed sources.
Mine Planning and Equipment Procurement
The Company has initiated discussions with equipment manufacturers regarding indicative quotations and delivery lead times for the Plant's major process equipment. The goal is to align procurement with the anticipated permitting approval. The Company is also in discussion with potential joint-venture partners that can bring turn-key EPCM (Engineering, Procurement, and Construction Management) in exchange for an equity stake in the project.
Historical Feasibility Study
The Pulacayo deposit was previously the subject of a feasibility study prepared for Apogee by TWP Sudamérica S.A. during 2012, the results of which were announced by Apogee on January 17, 2013. The related technical report, titled "NI 43-101 Technical Report - Pulacayo Project Feasibility Study," was filed by Apogee on SEDAR+ on March 1, 2013.
The feasibility study evaluated the development of an underground mine at the Pulacayo deposit, together with a conventional flotation concentrator with a processing capacity of 1,000 tonnes per day, configured as two 500-tonne-per-day modules, each comprising a single ball mill, differential lead and zinc flotation circuits and concentrate pressure filtration. Mining was planned predominantly by mechanized underhand cut-and-fill with long-hole drilling and cemented paste backfill, with limited shrinkage stoping on the uppermost level, and with access by spiral ramps from surface and through the existing underground workings.
The process design was supported by four metallurgical test programs, in which bench-scale, open-circuit and locked-cycle flotation tests indicated that conventional differential lead-zinc flotation provided the best metallurgical performance for Pulacayo sulphide material. Locked-cycle test results from Maelgwyn Mineral Services Africa were used to develop a grade-recovery model which, applied to the life-of-mine feed grades, projected average recoveries of
The economic analysis was described in the feasibility study; however, it is historical in nature: it is based on the historical estimate and on metal prices (
The feasibility study was prepared for a previous owner of the project, is historical in nature and is not current. A qualified person has not done sufficient work to verify the feasibility study or to classify any estimate contained in it as a current mineral resource or mineral reserve, and the Company is not treating the feasibility study, or any mineral reserve estimate or economic analysis contained in it, as current. The historical feasibility study should not be relied upon. The Plant is not based on the historical feasibility study, and the Company has not completed a current independent feasibility study or pre-feasibility study on Pulacayo or Paca.
Mineral Resource Estimate
The mineral resource estimate for Pulacayo and Paca deposits is set out in Table 1 and are derived from the technical report titled "Mineral Resource Estimate Technical Report for the Pulacayo Project, Potosí Department, Antonio Quijarro Province, Bolivia," prepared by Mercator Geological Services Limited ("Mercator"), with an effective date of October 13, 2020, and an amended report date of November 12, 2020 (the "Technical Report"), which is available under the Company's profile on SEDAR+ at www.sedarplus.ca.
The Technical Report outlined a high-grade area at Pulacayo of 5.39 million tonnes of Indicated Mineral Resources grading 249 g/t Ag,
Similarly, the Technical Report outlined a high-grade starter pit at Paca of 800,000 tonnes of Indicated Oxide Mineral Resources grading 231 g/t Ag and 1.81 million tonnes of Indicated Sulphide Mineral Resources grading 256 g/t Ag within the broader resource set out in Table 1 below.
Table 1. Pulacayo-Paca Mineral Resource Estimate - Effective Date October 13, 2020
Pulacayo Deposit ("Pulacayo") - Combined Pit-Constrained and Out-of-Pit
| Cut-off Grade | Zone | Category | Tonnes | Ag (g/t) | Zn (%) | Pb (%) | Ag (Moz) | Zn (Mlbs) | Pb (Mlbs) |
| 50 g/t Ag | Oxide in-pit | Indicated | 1,090,000 | 125 | - | - | 4.4 | - | - |
| Inferred | 25,000 | 60 | - | - | 0.0 | - | - | ||
| 30 g/t AgEq | Sulphide in-pit | Indicated | 24,600,000 | 76 | 1.63 | 0.70 | 60.1 | 884.0 | 379.6 |
| Inferred | 745,000 | 82 | 1.79 | 0.61 | 2.0 | 29.4 | 10.0 | ||
| 100 g/t AgEq | Sulphide out-of-pit | Indicated | 660,000 | 268 | 1.35 | 0.44 | 5.7 | 19.6 | 6.4 |
| Inferred | 900,000 | 179 | 2.14 | 0.42 | 5.2 | 42.4 | 8.3 | ||
| Total | Indicated | 26,350,000 | 70.2 | 903.7 | 386.0 | ||||
| Inferred | 1,670,000 | 7.2 | 71.8 | 18.4 |
Paca Deposit ("Paca") - Pit-Constrained
| Cut-off Grade | Zone | Category | Tonnes | Ag (g/t) | Zn (%) | Pb (%) | Ag (Moz) | Zn (Mlbs) | Pb (Mlbs) |
| 50 g/t Ag | Oxide in-pit | Indicated | 1,095,000 | 185 | - | - | 6.5 | - | - |
| Inferred | 345,000 | 131 | - | - | 1.5 | - | - | ||
| 30 g/t AgEq | Sulphide in-pit | Indicated | 20,595,000 | 46 | 1.07 | 0.67 | 30.5 | 485.8 | 304.2 |
| Inferred | 3,050,000 | 46 | 0.76 | 0.65 | 4.5 | 51.1 | 43.7 | ||
| Total | Indicated | 21,690,000 | 37.0 | 485.8 | 304.2 | ||||
| Inferred | 3,395,000 | 6.0 | 51.1 | 43.7 |
- Mineral resources were estimated in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") and the CIM Definition Standards for Mineral Resources and Mineral Reserves (2014). The supporting technical report is available under the Company's profile on SEDAR+ at www.sedarplus.ca.
- Pit-constrained resources are reported within optimized pit shells (average slope angle of 45°; strip ratios of 12.3:1 at Pulacayo and 4.3:1 at Paca) at cut-off grades of 30 g/t AgEq for sulphide and 50 g/t Ag for oxide. Pit optimization assumed mining costs of US
$2.00 /t, processing and G&A costs of US$12.50 /t (sulphide) and US$23.50 /t (oxide), haulage of US$0.50 /t (Pulacayo) and US$2.00 /t (Paca), oxide silver recovery of80% and an exchange rate of C$1.00 = US$0.75 . - Pulacayo out-of-pit resources are reported outside the pit shells at a cut-off grade of 100 g/t AgEq, assuming conventional underground mining at US
$35 /t and processing and G&A costs of US$20 /t. - Totals are tonnage-weighted sums. Tonnages are rounded to the nearest 5,000 tonnes, and totals may not sum due to rounding.
- Mineral resources that are not mineral reserves do not have demonstrated economic viability.
The Paca Mineral Resource Estimate has an effective date of October 13, 2020, and predates subsequent oxide mining activities undertaken between 2023 and 2026. These activities have resulted in material extraction of oxide mineralization and modifications to the open-pit geometry. Accordingly, the historical Paca oxide Mineral Resource Estimate should not be interpreted as representing the current remaining oxide mineral inventory. Changes to pit geometry, waste rock placement and geotechnical conditions may also affect future mine planning and the potential economic extraction of sulphide mineralization.
No mineral resource estimate has been prepared specifically for the Apuradita underground workings, and the Company's mining operations at Apuradita are not based on a mineral resource or mineral reserve estimate.
Cautionary Note Regarding Production Decisions
The Company has not completed a feasibility study or pre-feasibility study on the Pulacayo or Paca deposits, including the portion of the Paca mineralized zone within the Apuradita mining area, and no mineral reserves have been established. The Company's decision to place Apuradita into production is not, and any decision to construct the Plant and to process feed from the Pulacayo, Paca and Apuradita deposits would not be, based on a feasibility study of mineral reserves demonstrating economic and technical viability. As a result, there is increased uncertainty of achieving any particular level of recovery of minerals or the cost of such recovery, including increased risks associated with developing a commercially mineable deposit. Historically, such projects have a much higher risk of economic and technical failure. There is no guarantee that production from the Plant will begin as anticipated or at all, or that anticipated production costs will be achieved. Failure to commence production would have a material adverse impact on the Company's ability to generate revenue and cash flow to fund operations, and failure to achieve the anticipated production costs would have a material adverse impact on the Company's cash flow and future profitability.
Qualified Person
The technical content of this news release has been prepared under the supervision of Carlos Zamora, a member of the American Institute of Professional Geologists (AIPG) and a Certified Professional Geologist (CPG) since 2024, who is an employee of the Company and is not considered independent. Mr. Zamora is a Qualified Person ("QP") as defined by National Instrument 43-101.
The Qualified Person has reviewed the technical information disclosed in this news release, including the historical production and processing information and the mineral resource estimates referenced herein. The mineral resource estimates are based on the previously filed technical report prepared by Mercator Geological Services Limited, with an effective date of October 13, 2020. The Qualified Person has not independently verified all historical production information or the environmental permitting schedule and regulatory determinations described in this news release.
About Silver Elephant Mining Corp.
Silver Elephant is a mining company focused on developing its flagship Pulacayo-Paca silver mining project in Bolivia. Silver Elephant also operates a zinc-germanium-gallium mining project in Kentucky, which is near the
Further information on Silver Elephant can be found at www.silverelef.com.
SILVER ELEPHANT MINING CORP.
ON BEHALF OF THE BOARD
"John Lee"
CEO and Executive Chairman
For more information about Silver Elephant, please contact Investor Relations:
Phone: +1.604.569.3661
info@silverelef.com
FORWARD-LOOKING INFORMATION
This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable securities laws. Forward-looking information is generally identifiable by use of the words "believes," "may," "plans," "will," "anticipates," "intends," "could," "estimates," "expects," "forecasts," "projects," "scheduled" and similar expressions, and the negative of such expressions. Forward-looking information in this news release includes, but is not limited to, statements regarding the timing of submission of the EEIA-AI and the timing and outcome of the decision on the DIA; the conduct and outcome of the public consultation process; the design, capacity, configuration, location, construction, commissioning and operation of the Plant; the sources, availability, quantity, grade and metallurgical characteristics of feed for the Plant from the Pulacayo, Paca and Apuradita deposits; the extent and continuity of the Paca mineralized zone within the Apuradita mining area; the development of a mine plan and the alignment of mine production with the Plant's processing throughput; the procurement, cost and delivery lead times of equipment; the replacement of third-party toll milling with processing at the Plant; continued underground mining operations and concentrate sales at Apuradita; and mineral resource estimates. Such forward-looking information, which reflects management's expectations regarding Silver Elephant's future growth, results of operations, performance, business prospects and opportunities, is based on certain factors and assumptions and involves known and unknown risks and uncertainties that may cause the actual results, performance, or achievements to be materially different from future results, performance, or achievements expressed or implied by such forward-looking information.
Forward-looking statements involve significant risks and uncertainties and should not be read as guarantees of future performance, events or results, and may not be indicative of whether such events or results will actually be achieved. A number of risks and other factors could cause actual results to differ materially from expected results discussed in the forward-looking statements, including, but not limited to: delays in the completion of environmental baseline studies or in the preparation, submission or review of the EEIA-AI; the outcome of public consultation; the failure to obtain the DIA or other required permits and authorizations on the anticipated timeline, on acceptable terms or at all; the absence of a feasibility study and of mineral reserves; the depletion of mineral resources and the uncertainties inherent in mineral resource estimation; the risk that mineralization is not as continuous or of the grade anticipated; the reliability of historical information; variability in grades, recoveries and metallurgical performance; capital and operating costs, including the effects of inflation; the availability, cost and delivery lead times of equipment; the ability to secure sufficient financing to construct the Plant and to advance the Company's mining projects; delays or failures in processing, toll milling, transportation or concentrate sales; changes in commodity prices; social conflict and fuel shortages in Bolivia; political, legal and regulatory risks in Bolivia; operational, technical, logistical and community-related risks; market conditions; changes in business plans; and general economic conditions. Additional risk factors about the Company are set out in its latest annual and interim management's discussion and analysis and annual information form available under the Company's profile on SEDAR+ at www.sedarplus.ca.
Forward-looking information is based on reasonable assumptions by management as of the date of this news release, including assumptions that the environmental baseline studies and the EEIA-AI will be completed and submitted as scheduled; that the environmental authorities will complete their review and issue the DIA within the anticipated timeframe; that the Company will obtain the financing, equipment and personnel required to construct and operate the Plant on acceptable terms; that metal prices, costs and exchange rates will be consistent with management's expectations; and that the metallurgical performance of feed from the Pulacayo, Paca and Apuradita deposits will be consistent with previous processing results. There can be no assurance that actual results will be consistent with any forward-looking information included herein. Readers are cautioned that all forward-looking statements in this news release are made as of the date of this news release. The Company undertakes no obligation to update or revise any forward-looking information in this news release to reflect circumstances or events that occur after the date of this news release, except as required by applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/323871
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
When does Silver Elephant expect a license decision for the Pulacayo-Paca processing plant?
Silver Elephant anticipates a decision on the plant's environmental license by June 2027. Submission of the environmental assessment is scheduled by the end of December 2026, and construction is expected to commence after the approved license is received.
What processing capacity is planned for Silver Elephant's Pulacayo-Paca plant?
The proposed plant would have 12,000 tonnes per day of processing capacity, comprising up to 10,000 tonnes per day of sulphide material and up to 2,000 tonnes per day of oxide material. Feed would come from Pulacayo, Paca and Apuradita.
What mining rights does Silver Elephant hold at Pulacayo-Paca and Apuradita?
Silver Elephant's subsidiary holds exclusive development and mining rights at Pulacayo-Paca under a contract with COMIBOL covering 2,803 hectares for up to 30 years. That contract was entered into on October 3, 2019. Apuradita, the proposed plant location, is held under a separate mining administrative contract with AJAM.
How reliable are the historical Pulacayo processing results cited by Silver Elephant?
The previous operator's historical Pulacayo processing results have not been independently verified by Silver Elephant. Apogee reported toll-milling more than 11,000 tonnes during its 2011–2013 trial underground mining program, with average overall silver recovery of 82.7%. These are historical operating results, not results from the proposed plant.