Mithril Silver and Gold has executed a purchase option agreement to acquire the La Dura gold-silver property, located adjacent to its Copalquin property in Durango State, Mexico.

The La Dura property consists of five contiguous mining concessions covering 2,052 hectares (ha).

It lies less than 5km from the town of El Durazno and under 20km from the Copalquin district.

Last operated in 2013, La Dura is known for hosting multiple historic mines and workings, highlighted by the four-level La Dura gold-silver mine, which includes a 60 tonne (t) per day processing facility.

The site is supported by an extensive historic database including mining records and sampling data compiled from the 1990s through 2018.

Mithril Silver and Gold has secured an exclusive option to acquire a 100% interest in the La Dura concessions at any time within a four-year term by paying $4m (A$6.03m) to the vendor.

As part of the agreement, the company will keep the mining concessions in good standing and aims to carry out light detection and ranging (LiDAR) and aerial magnetic surveys on the property within the first year.

The LiDAR survey is scheduled for this month, with the aerial magnetic survey planned for early 2026.

Additionally, Mithril has pledged a minimum exploration spend of $200,000 in the second year.

There are no additional exploration expenditure requirements beyond these obligations, said the company.

The acquisition of the La Dura property is said to increase Mithril’s land position near its Copalquin District property, where drilling is currently under way at targets 1 and 5, with target 3 drilling set to begin in January 2026.

Mithril Silver and Gold managing director and CEO John Skeet said: “The historic La Dura mine was a notable past producer, and the local geology provides potential to host gold and silver mineralisation across the 20km² mining concession area. La Dura lies within the same geologic locality as our flagship Copalquin property and is only 5km from our existing support office in the town of El Durazno.

“The upcoming LiDAR and aerial magnetic surveys will provide an initial assessment of the prospectivity across the 20km² concession area ahead of detailed mapping, sampling and future drill testing. Mithril has a strong foundation of knowledge at La Dura, with management having completed exploration work on the property in 2017–18.

“The team’s proven technical strengths and discovery experience at Copalquin position the company well to unlock value at La Dura.”