Silver Storm Reports 50% Completion of Processing Plant Rehabilitation Activities at La Parrilla
MWN-AI** Summary
Silver Storm Mining Ltd. recently announced that it has achieved a major milestone in the rehabilitation of the processing plant at its wholly-owned La Parrilla Silver Mine Complex in Durango, Mexico. As of now, the rehabilitation activities are 50% complete. Company President and CEO Greg McKenzie expressed optimism, stating that the progress moves them closer to potentially restarting operations by the second quarter of 2026.
The ongoing rehabilitation encompasses various key areas. The primary raw material feed and crushing circuit is near completion, with the refurbishment of material bins and installation of essential equipment such as a new vibrating grizzly screen and primary jaw crusher already underway. The flotation circuit has also progressed, with the installation of eight new flotation cells, aimed at increasing the processing capacity from 1,000 to 1,250 tons per day by the end of Q1 2026.
In the oxide circuit, the company is working on rehabilitating six leach tanks and several conditioning tanks, expecting this phase to be completed by early Q2 2026. Additionally, the milling area is being updated with three ball mills undergoing repairs, along with enhancements to the cooling system and installation of new components like cyclones and pumps.
The project is overseen by Shane Ghouralal, a qualified engineer, ensuring adherence to industry standards. However, the company has issued a caution about forward-looking statements, acknowledging inherent risks and uncertainties in restarting operations. They emphasize the importance of market conditions, permitting, and economic factors, highlighting that a lack of mineral reserves estimates increases the risk of potential setbacks. Overall, the company's active steps toward revitalizing La Parrilla signify its commitment to enhancing its operational capabilities in the silver mining sector.
MWN-AI** Analysis
Silver Storm Mining Ltd.'s announcement regarding the 50% completion of rehabilitation activities at its La Parrilla Silver Mine is a significant milestone that investors should closely consider. With a targeted restart of operations in the second quarter of 2026, the rehabilitation progress showcases both the company's commitment to restoring operational capacity and its strategic positioning within the silver market.
The investment in significant upgrades, including new flotation cells and enhancements to the milling area, represents a proactive approach to increasing processing efficiency and capacity. The planned expansion of the sulphide flotation circuit from 1,000 to 1,250 tons per day is particularly noteworthy, as it could lead to higher output levels as market demand continues to stabilize post-pandemic.
However, investors should remain cautious given the inherent risks highlighted in the company’s forward-looking statements. The pathway to successful production is contingent upon various factors, including market conditions, metal prices, and regulatory approvals—all of which can be unpredictable in the mining sector.
It is also important to consider that the La Parrilla complex does not currently have an established mineral reserve estimate under NI 43-101, elevating the associated economic risks. Investors should weigh the potential upside of increased silver production against the uncertainties outlined in the company’s disclosures, particularly the lack of robust feasibility studies that would typically undergird production decisions.
In conclusion, while the progress at La Parrilla serves as a positive indicator of Silver Storm Mining’s operational capabilities, investors must adopt a balanced perspective by recognizing both the potential rewards and risks. Potential buyers might consider establishing positions gradually, pending further updates on the project's advanced stages and any market shifts in silver pricing that could impact the project's economic viability.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Silver Storm Mining Ltd. (“ Silver Storm ” or the " Company ") (TSX.V: SVRS | OTCQX: SVRSF | FSE: SVR) is pleased to provide an update on the progress of the processing plant rehabilitation activities at the Company’s 100%-owned past-producing La Parrilla Silver Mine Complex (“ La Parrilla ”) located in Durango State, Mexico.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260226179390/en/
Grizzly vibrating screen delivered to site
Greg McKenzie, President and CEO, stated, “We are pleased to report that overall rehabilitation of the La Parrilla processing plant has reached 50% completion. This progress represents an important project milestone on the path to potentially restarting the operations at La Parrilla in the second quarter of 2026.”
The rehabilitation work at the La Parrilla processing plant includes significant advancements in several areas as outlined below:
- Primary raw material feed and crushing circuit: Rehabilitation of the primary raw material feed and crushing circuit is nearing completion. Remaining work includes: a) refurbishment and strengthening of the primary run-of-mine material bins; and b) installation of the new vibrating grizzly screen and primary jaw crusher, with both of these long-lead items already on site. This work is scheduled to be completed in the next few weeks.
- Flotation circuit: The eight new 1,000 ft 3 sulphide flotation cells (see the news release titled “Silver Storm Commences the Expansion of the La Parrilla Sulphide Flotation Circuit to 1,250 tpd” released on February 3, 2026) have been set into their respective operating locations. Next steps will include installation of agitators, piping, and electrification. Silver Storm expects that installation of the new flotation cells will be fully completed by the end of the first quarter of 2026, which would allow the nominal processing capacity of the sulphide flotation circuit to be expanded from 1,000 tpd to 1,250 tpd. The existing eight cleaner cells are currently being refurbished and will be installed sequentially over the next 8-10 weeks.
- Oxide circuit: The Company is in the process of rehabilitating six leach tanks, with ~40% of the work completed to date. Seven holding and conditioning tanks also require rehabilitation, and one conditioning tank will be replaced. The oxide circuit rehabilitation work is expected to be completed early in the second quarter of 2026.
- Milling area: Rehabilitation of three ball mills and supporting infrastructure is underway. Milling area rehabilitation work includes relining of the ball mills, revamping of the cooling system, and installation of new cyclones and pumps, as required.
Qualified Person
The scientific and technical information in this document has been reviewed and approved by Shane Ghouralal, P.Eng., Director, Technical Services of the Company, a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“ NI 43-101 ”).
About Silver Storm Mining Ltd.
Silver Storm Mining Ltd. holds advanced-stage silver projects located in Durango, Mexico. Silver Storm is committed to advancing toward a potential near-term restart of its 100%-owned La Parrilla Silver Mine Complex, a prolific operation comprised of a 2,000 tpd mill and three underground mines. The Company also holds a 100% interest in the San Diego Project which ranks among the largest undeveloped silver projects in Mexico. For more information regarding the Company and its projects, please visit our website at www.silverstorm.ca .
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note Regarding Forward Looking Statements:
Certain statements in this news release are forward-looking and involve a number of risks and uncertainties. Such forward-looking statements are within the meaning of the phrase ‘forward-looking information’ in the Canadian Securities Administrators’ National Instrument 51-102 – Continuous Disclosure Obligations. Forward-looking statements are not comprised of historical facts. Forward-looking statements include estimates and statements that describe the Company’s future plans, objectives, or goals, including words to the effect that the Company or management and Qualified Persons (in the case of technical and scientific information) expect a stated condition or result to occur. Forward-looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to the Company, the Company provides no assurance that actual results will meet management’s expectations. Risks, uncertainties, and other factors involved with forward-looking information could cause actual events, results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes but is not limited to: the Company's plans and expectations for La Parrilla; the timeline for the completion of the rehabilitation work at La Parrilla; and the timeline and ability to place the La Parrilla Silver Mine Complex back into operation.
In making the forward-looking statements included in this news release, the Company has applied several material assumptions, including, among other things, the absence of material adverse changes in market conditions, metal prices, permitting status, operating conditions, labour availability, and access to required equipment, parts, and consumables. The Company cautions that its decision to potentially restart operations at La Parrilla, and any related production decisions, are largely based on internal Company data, historical operating results, reports, and engineering assessments and are not supported by a current mineral reserve estimate prepared in accordance with NI 43-101, preliminary economic assessments, pre-feasibility studies, or feasibility studies that demonstrate economic and technical viability. As a result, there is increased uncertainty and a higher degree of economic and technical risk associated with any such production decision than would be the case if such mineral reserves estimates or studies were completed and relied upon to support a production decision. No mineral reserves have been established for La Parrilla, and mineral resources that are not reserves do not have demonstrated economic viability. The absence of mineral reserve estimates prepared in accordance with NI 43-101, preliminary economic assessments, pre-feasibility studies, or feasibility studies supporting a production decision increases the uncertainty of achieving any particular level of mineral recovery or the cost of such recovery and heightens the risks associated with developing a commercially mineable deposit. Historically, projects advanced without the support of such mineral reserves estimates and studies have experienced a significantly higher incidence of economic and technical failure. There can be no assurance that production at La Parrilla will commence as anticipated or at all, or that any anticipated production levels or operating costs will be achieved. A failure to commence production would have a material adverse effect on the Company’s ability to generate revenue and cash flow to fund its operations. Similarly, a failure to achieve anticipated production costs would have a material adverse effect on the Company’s cash flow and future profitability.
Forward-looking statements and information are subject to various known and unknown risks and uncertainties, many of which are beyond the ability of the Company to control or predict, that may cause the Company’s actual results, performance, or achievements to be materially different from those expressed or implied thereby, and are developed based on assumptions about such risks, uncertainties, and other factors set out herein.
Such forward-looking information represents management’s and Qualified Persons’ (in the case of technical and scientific information) best judgment based on information currently available. No forward-looking statement can be guaranteed, and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260226179390/en/
For additional information:
Greg McKenzie, President & CEO
Ph: +1 (416) 504-2024
info@silverstorm.ca
FAQ**
What measures is Silver Storm Mining Ltd (TSX.V: SVRS | OTCQX: SVRSF) taking to ensure timely completion of the rehabilitation at La Parrilla and avoid potential delays that could impact its projected restart in Q2 2026?
Given the current rehabilitation status of 50%, can Silver Storm Mining Ltd (TSX.V: SVRS | OTCQX: SVRSF) provide insights into any anticipated challenges during the installation of flotation cells and other components of the processing plant?
What are the projected operating costs and feasibility metrics that Silver Storm Mining Ltd (TSX.V: SVRS | OTCQX: SVRSF) is using to evaluate the potential restart of the La Parrilla Silver Mine, considering the lack of current mineral reserve estimates?
How does the management of Silver Storm Mining Ltd (TSX.V: SVRS | OTCQX: SVRSF) plan to mitigate risks associated with the operational restart of La Parrilla, particularly regarding market conditions and metal prices?
**MWN-AI FAQ is based on asking OpenAI questions about Silver Storm Mining Ltd Com (OTC: SVRSF).
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