In the march 2025 quarter, Silver Mines Ltd continued to engage with the New South Wales Department of Planning, Housing and Infrastructure (DPHI) and other agencies to reinstate the development consent for the Bowdens Silver Project. A key step was taken post-quarter with the company submitting an application for the Planning Secretary to determine whether the transmission line forms part of a single proposed development under recent amendments to the Environmental Planning and Assessment Act. The company emphasised that the existing development application remains active and has not yet been finally determined by the Independent Planning Commission (IPC).
A 2,000-metre diamond drilling program also started at Bowdens to obtain geo-metallurgical samples aligned with the Optimisation Study’s flow sheet released in December 2024. The drilling is focused within the first 10 years of the proposed mine plan, aiming to generate concentrate for pilot plant testing, certification, and marketing. Several intercepts just below the pit design suggest the potential to expand the current ore reserve base of 32.8 million tonnes (71.7 million ounces silver), including 3 metres at 286 grams per tonne (g/t) silver and 3.2 metres at 10.39% zinc and 0.99 g/t gold.
Extending Bowdens' orebody and informing plant design
Materials recovered from the drill program will undergo comprehensive analysis, including Hylogger scanning, to refine plant design and operational strategies. Initial assays are expected in Q3 2025. Drilling has targeted areas beneath the current pit shell where mineralisation remains open, with historical holes having ended prematurely despite strong grades.
This work supports Silver Mines’ ongoing strategy to convert more mineral resources into reserves and potentially extend the life of the operation.
Elsienora Project drilling targets McPhillamys-style gold
At the Elsienora Project, adjacent to the Tuena Gold Project in New South Wales, diamond drilling began during the quarter.
The 1,700-metre program is testing the Picker, Barite, and Elsienora prospects, all considered prospective for McPhillamys-style disseminated gold mineralisation.
Historic intercepts include 21 metres at 0.89 g/t gold and 8 metres at 23.2 g/t silver and 0.55 g/t gold. Silver Mines is targeting a broad gold soil anomaly and known extensions of mineralised zones.
Development application and legislative reforms
Following the overturning of the IPC’s 2023 approval for Bowdens by the NSW Court of Appeal, legislative reforms now allow the Planning Secretary to assess whether project elements form a single development, which could simplify and restore the original assessment pathway for Bowdens.
Silver Mines has applied under these provisions, and a favourable outcome would allow the company to seek redetermination of the Bowdens development application.
Exploration update and regional prospectivity
Silver Mines continues to hold 2,115 square kilometres across the highly prospective Rylstone Volcanics in central New South Wales. The Bowdens Silver Deposit is the largest undeveloped silver deposit in Australia and ranks among the largest globally. The region hosts multiple styles of mineralisation, including epithermal silver-lead-zinc, volcanogenic massive sulphides, and copper-gold systems.
At the Tuena Gold Project, 80 kilometres south of Orange, reconnaissance and geophysics have defined over 15 gold targets across a 767 square kilometre tenure. Historic workings and high-grade rock samples, including 76.4 g/t gold at Peeks Reef, support the area’s potential. The Company is reviewing past exploration to refine drill targeting.
Financial position and expenditure
Silver Mines closed the March quarter with A$23.3 million in cash. Exploration and evaluation expenditure for the quarter totalled A$3.24 million, focused primarily on Bowdens and Tuena. No mining or production activities were undertaken. Related party payments during the quarter amounted to A$247,000, covering director remuneration.
The company continues to focus on progressing development approvals for Bowdens while advancing drilling and exploration at its key projects. Engagement with stakeholders, government departments and local communities remains a priority as Silver Mines works to unlock long-term value from its asset base.