Aya Gold & Silver (TSX, NASDAQ: AYA) has made significant strides in extending the high-grade silver mineralization surrounding the existing open pit and within the central region of its Zgounder mine located in Morocco. Recent drilling efforts have yielded promising results, showcasing the potential for further resource expansion.
One of the standout drill holes, ZG-RC-24-155, located in the mine’s open-pit area, revealed an impressive 13 meters of silver mineralization grading 783 grams per tonne from the surface. Another notable hole, ZG-RC-24-354, intersected 11 meters of silver at a grade of 501 grams per tonne starting from a depth of just 2 meters. These results are part of a broader drilling campaign where Aya has released findings from a total of 97 drill holes, reflecting its commitment to enhancing its resource base around the operational mine.
The ongoing drilling program is crucial for Aya as it aims to bolster its resources while simultaneously advancing its larger Boumadine polymetallic project, situated approximately 240 kilometers east of Zgounder. Currently, Aya is well over halfway through a substantial 30,000-meter drilling campaign at Zgounder, focusing on both near-mine and regional targets. Mining analyst Eric Winmill from Scotiabank noted the significance of this exploration campaign, emphasizing its role as a key catalyst for future exploration, particularly in areas outside the current mineralized footprint, which could greatly influence upcoming resource conversion and mine planning.
Exploration Insights and Future Prospects
Located roughly 215 kilometers south of Marrakech, the Zgounder mine is on track to produce between 5.2 million and 5.8 million ounces of silver this year, a notable increase from the 4.8 million ounces produced last year. The site features a processing plant capable of handling 2,700 tonnes per day, which commenced commercial production in December 2024, with average cash costs reported at $21.50 per ounce.
Aya has also made strides with its Boumadine project, which is expected to commence production in 2030 and boasts an impressive after-tax net present value of $3.5 billion. An updated preliminary economic assessment indicates that the gold-silver-zinc-lead project could yield a remarkable 93% internal rate of return and a payback period of just 0.7 years at gold prices of $3,500 per ounce and silver at $50 per ounce.
The current drilling campaigns at Zgounder include various techniques such as underground diamond drilling, surface drilling, reverse-circulation holes, and percussion drilling. Additionally, Aya is advancing the development of an exploration drift at the 1,825-meter level, with plans to initiate drilling west of the Zgounder fault in the fourth quarter. Other impressive drill results include hole T28-26-1404, which intersected 12 meters grading 762 grams of silver from a depth of 7 meters, and hole T28-26-1443, which revealed 14 meters of 468 grams per tonne silver from 14 meters downhole.
Continued Success in Silver Mineralization
The ongoing drill results continue to underscore the strength and continuity of the silver mineralization present both around the open pit and throughout the central zone of the Zgounder mine. CEO Benoit La Salle remarked on the positive developments, noting that the exploration drift at the 1,825-meter level is progressing effectively. This advancement is paving the way for the upcoming drilling endeavors west of the fault, presenting a pivotal opportunity to further expand the mineralized footprint.
According to the December 2025 resource update, Zgounder hosts 18.9 million measured and indicated tonnes grading 165 grams of silver, translating to an impressive contained metal of 100.2 million ounces. Additionally, there are 410,000 inferred tonnes grading 340 grams of silver, equating to a further 4.5 million ounces of contained silver. Despite a slight dip in share price, with Aya's stock falling 1.3% to C$39.81 during Toronto trading on Friday morning, the company remains valued at approximately C$5.7 billion (around $4.1 billion), reflecting a robust trading range over the past year.
As reported by mining.com.
