La Joya Silver (Cu-Au) Project

Silver Dollar owns a 100% interest in the La Joya silver-copper-gold property (the "Property"). Optioned from First Majestic Silver in August 2020, Silver Dollar completed the acquisition ahead of schedule in 2023 (See news release of May 25, 2023). First Majestic initially acquired the Property in 2015 as part of its acquisition of SilverCrest Mines; however, no work was carried out on the Property between 2015 and 2020.

Figure 1: Location of the La Joya Project along with past-producing and operating mines in the area.

The Property lies approximately 75 kilometres (km) southeast of the state capital city of Durango in the southeastern portion of the Mexican Silver Belt with past-producing and operating mines, including Silver Stom's La Parrilla Mine, Industrias Penoles' Sabinas Mine, Grupo Mexico's San Martin Mine, First Majestic's Del Toro Mine, and Pan American Silver's La Colorada Mine. Access routes and regional infrastructure near the Property are well developed (Figure 1).

An advanced exploration-stage property, La Joya comprises 15 mineral concessions totalling 4,646 hectares and hosts the Main Mineralized Trend (MMT), Santo Niño, and Coloradito deposits (Figure 2).

Figure 2: Plan view of the MMT, Santo Niño and Coloradito deposits.

Modern exploration activity began on the Property in 1977, which included extensive drilling by previous operators: Luisman from 1977 to 1997, Boliden from 1998 to 2001, and Solid Resources in 2006. 

SilverCrest acquired the Property in June 2010 and initiated geological mapping and sampling, which led to an improved understanding of the skarn and control of the mineralization. Two phases of drilling followed between 2010 and 2012: a 5,753.70 metre (m) Phase I program (26 holes) and a 25,812.65 m Phase II program (78 holes). A Phase III program of 2,698 m of infill drilling (17 holes) was also completed in 2014. The Silvercrest drilling was relatively widespread in the MMT and the separate Santo Niño and Coloradito deposits (Figures 2 above and 3 below). 

Only results from Silvercrest's Phase I and II programs, along with 5,907.26 m of drilling by Luisman (18 holes) on the MMT and Santo Nino deposits, were included in the geological database used as source data for the following mineral resource estimation, which had an effective date of December 16, 2012.

Figure 3: Model of historical MRE for the MMT and Santo Niño deposits.

In December 2013, SilverCrest completed a NI 43-101 Preliminary Economic Assessment Technical Report for the La Joya Property, based on the preceding mineral resource estimate that conformed to the CIM Definition Standards in effect at the time. Silver Dollar’s Qualified Person has not yet completed sufficient work to reclassify this historical resource, and the Company is not treating it as a current mineral resource. Independent data verification and an assessment of the mineral resource estimation methods are required to verify the historical mineral resource estimate.

Figure 4: Plan view showing the historical mines and workings outside the area of the historical MRE.

In November 2025, Silver Dollar announced underground sample assay results and preliminary geologic modelling of existing high-grade drill results in support of a shift in exploration and mining strategy from open pit to underground.

Figure 5: Preliminary numerical model of AgEq mineralization trended to the apparent E-W structural network.

The new exploration concept is supported by Silver Dollar's El Brazo discovery (Coloradito Intrusive “El Brazo”) (Figures 6 and 7), which provides evidence of high-grade San Martin-type mineralization at La Joya and deeper mineralization around the main intrusions at La Joya. 

Figure 6: Cross-Sections of Silver Dollar's El Brazo Discovery and San Martin Mine.

Located ~25 km southeast of La Joya, Spanish explorer Juan de Tolosa is credited with discovering San Martín’s rich silver veins in 1556. Historically, San Martin is one of Mexico's most economically important and largest skarn deposits, containing >500 Moz of silver and extending to a depth of 1,250 metres, with ore located in carbonates just away from the intrusive contact. Both San Martin and La Joya are in the same formations, with intrusions of similar size, age and composition. 

As shown above, mineralization at San Martin and La Joya is focused down the contact near the outer limit of skarn alteration surrounding the intrusion. Prospective deep “San Martin” type exploration targets at La Joya could be at depth all around the intrusions.

Figure 7: Plan view showing priority targets outside the area of the historical MRE.

Five new deep targets have been identified at La Joya for San Martin-type mineralization (Figure 7). All five are located below known mineralization or magnetic anomalies just off the sides of the intrusives:

Santo Niño: 97 g/t Ag, 3.1% Cu, 1.4% Zn over 23 m
Central Dyke: sample #161 4,311 g/t AgEq
El Brazo: 815 g/t AgEq over 5m
El Puerto Mag anomaly: projected along the west contact of the Sacrificio Intrusion
North Side: 406 g/t AgEq over 8.6m

 As reported in Silver Dollar's news release of February 13, 2024, assay results from 156 channel samples and 14 rock samples collected from outcrop and historic dump material delineated the Central Dyke Zone over a strike length of 770 metres. The highest-grade assay came from the historic Hueco Grande underground working, where sample #161 (Photos 1 and 2) returned 7.01 g/t Au, 3,513.4 g/t (123.93 oz/t) Ag, 0.07% Cu, 5.33% Pb and 0.48% Zn.

Photos 1 and 2: Sample 161 and where it was taken from the Hueco Grande historical working.

Note: The rock sample results and the photograph above are selective by nature and may not be representative of the true grade or style of mineralization across the Property.

Photos 3 and 4: Trenching and sampling in the Central Dyke Zone.

With silver, copper, and gold prices all reaching record highs, it's an opportune time to re-conceptualize La Joya from a new underground perspective," said Greg Lytle, President of Silver Dollar. "The goal of our geological modeling is to assess La Joya's underground potential based on a compilation of all historical data, consider hypothetical underground mining methods, and identify high-priority exploration targets to add value to the Project."

Silver Dollar owns a 100% interest in the La Joya property, subject to a 2% net smelter returns royalty on all minerals produced from the Property.

The technical information on this webpage has been approved by Dale Moore, P.Geo., an independent Qualified Person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects.