Eloro Resources ($ELO | ELRRF) CEO Discusses Iska Iska Project's Next Development Milestones
Summary
Infill drilling lifted Eloro's indicated silver grade above 40 grams per tonne across 85.2 million tonnes, anchoring a PEA (preliminary economic assessment) due late 2026.
Bolivia's new government and closer US ties, including DFC involvement and Korea Zinc's Tennessee refinery, are easing the jurisdiction risk that long deterred investors.
Testing shows clean silver-zinc and lead-silver concentrates, while oxidized tin in the TIB (Tertiary Intrusive Breccia) could recover around 60%, strong for tin.
Land ownership is settled: the US$10 million option is fully paid, Eloro holds 100% economic control through a 99% JV, and no royalties apply.
Initial open-pit plans envision roughly 20,000 tonnes per day of throughput with about US$800 million capex; the PEA opens the door to strategic partners.
Key points on Silvercorp Metals Inc
- Larsen says Silvercorp, alongside Ross Beatty, backed the creation of New Pacific Metals, the Bolivian explorer that preceded Eloro's entry into the country.
Key points on New Pacific Metals
- He describes New Pacific Metals, formed in 2018 with backing from Ross Beatty and Silvercorp interests, as the pathfinder that proved investors would fund a Bolivian silver play.
- He says following New Pacific's early success is what spurred him to contact Dr. Osvaldo Arce and pursue Iska Iska.
Key points on Eloro Resources Ltd
- The CEO says the updated resource estimate outlines close to 1.25 billion ounces of silver-equivalent, anchored by 85.2 million indicated near-surface tonnes averaging 40 g/t silver with 1.21% zinc and 0.71% lead.
- He expects a preliminary economic assessment in Q4 2026 or Q1 2027, built on an initial roughly 20,000 tonne-per-day open pit at about 40 g/t silver and an indicative $800 million capex for the first processing plant.
- He says a 40,000-metre drill campaign began about two days before the interview, with three rigs due to be turning within about six weeks and 15,000-20,000 metres of infill aimed at lifting grades before the PEA.
- He says Eloro has paid out the $10 million option on the private Iska Iska property and now holds 99% with 100% economic control and no royalties.
- He notes the share price tracked silver from about $1.10 to $3.40 before falling to the $1.60-$1.70 range as silver pulled back to around $65 an ounce, while three brokers rate the stock a buy with targets up to $5.
Thomas Larsen's takeaways
- Top takeaway His core case is that Iska Iska is a giant never-drilled silver-tin polymetallic discovery whose upgraded indicated resource puts it on a path to commercialization, with a PEA targeted for Q4 2026 or Q1 2027.
- He argues Bolivia risk has flipped under the new Rodrigo Paz-Pereira government: a state of emergency cleared the blockades and US backing through the DFC and IMF-linked loans is flowing, so investors should reset their view of the country.
- He contends Eloro is de-risked versus newcomers, citing six years on site without problems, private-property ownership with no royalties, and an absence of artisanal mining and cooperativa pressure.
- He is courting major balance sheets, pointing to Korea Zinc's $7 billion Tennessee refinery project, a signed DFC agreement, and NDAs with San Cristobal and two other world-class groups as signs of demand for Eloro's concentrate mix.
- His closing calls are macro: watch US critical-metals milestones and worldwide debt accumulation, which he says cannot be stopped and should keep silver and gold supported.
Ross Beatty's takeaways
- Top takeaway Larsen cites Ross Beatty, of Pan American Silver fame, as co-backer of New Pacific Metals, whose 2018 entry into Bolivia paved the way for Eloro.