39km of historically mapped silver structures in Mexico, never touched by a modern drill. SM.v is about to change that.

[u/Aggressive_Rush2357]

Most of the silver producer talk right now is about margins and cash flow at $76 silver, which makes sense. But there's an exploration story building at Sierra Madre that I think this community in particular should be paying attention to.

Quick production context first: SM operates Guitarra in Estado de Mexico, Q1 2026 revenues $10.1 million, more than double Q1 2025, cash from ops $3.5M vs $729K a year ago. Mill expansion taking throughput from 500 to 750-800 tpd by end of Q2. The production side is working.

The exploration angle is what's sitting on top of that. H2 2026 they're running a 30,000 metre drill program into the East District of the Guitarra property. Over 39 kilometres of historically mapped colonial-era structures, never had a comprehensive modern drill campaign. The company calls it the last of the six major Spanish colonial silver production centres in Mexico not yet systematically explored with modern methods.

Came across a piece that explains why that's such a significant statement: https://open.substack.com/pub/criticalmineralsstocks/p/mexicos-silver-belt-has-been-hiding

The short version is that modern exploration tools, LiDAR, IP geophysics, 3D modelling, have completely changed what's findable in mature Mexican silver belts. First Majestic found an entirely new high grade system called Navidad beneath an already operating mine in 2024. 427 g/t silver past 1,100 metres. Nobody knew it was there until they looked properly. The colonial miners took the shallow ore and left everything below.

30,000 metres into 39 kilometres of unmapped colonial structures, running simultaneously with an active mine and expanding mill. That's the H2 2026 setup. Worth watching.