The silver price surged past the milestone mark of $US50 per ounce last week, capping a remarkable rally over the past 12 months.
The precious metal has rocketed up by more than 60 per cent over the past year, and scaled $US52 per ounce on Monday, surpassing the figure set by the events of Silver Thursday on March 27, 1980.
The effects of this growth have been felt worldwide, with the clamour for silver setting markets alight. It has also helped supercharge silver-based projects such as Kempfield, located 180km west of Sydney.
“The demand (for silver) is extremely strong, particularly from the green energy sector and emerging economies that are transitioning towards more sustainable energy solutions,” Argent Minerals managing director and chief executive officer Pedro Kastellorizos told Australian Resources & Investment.
“We can’t see silver slowing down anytime soon.”
For exploration and development programs, this “has enabled many in the sector to accelerate their programs”, according to Kastellorizos.
“Investors are taking more notice of silver companies, and this momentum is creating opportunities for Argent and others to raise capital.”
Argent’s Kempfield polymetallic project in New South Wales was recently reported to have the second-largest underdeveloped silver deposit in Australia, with 63.7 million tonnes at 69.75 grams per tonne silver equivalent, equivalent to 142.8 million ounces of silver, including 65.8 million ounces of silver.
Strong demand led to an oversubscribed placement, with Argent raising $4.85 million, which was designed to accelerate drilling and exploration at Kempfield, with further pre-development studies at Kempfield to follow.
“The placement attracted sophisticated and professional investors seeking exposure to silver amid these historically high prices,” Kastellorizos said. “Investors are taking more notice of silver companies, and this momentum is creating opportunities for Argent and others to raise capital.”
Historically, drilling at Kempfield was only tested to a depth of 150m, focusing on shallow, open-pittable areas. However, given Kempfield is a volcanogenic massive sulphide (VMS) system, Argent can extend far deeper.
“The diamond drilling campaign was designed to test below the historic resource, and we’ve confirmed two separate mineralised lodes beneath the 2024 mineral resource estimate,” Kastellorizos said. “The next step is to drill further north along strike to confirm continuity.”
In 2026, Kastellorizos states that Argent aims to complete a preliminary scoping study on the site, staying a step ahead of global demand.
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