Outcrop Silver Advances Santa Ana Towards Development With Approved Pilot Mine Work Plan

• Colombia’s National Mining Agency (ANM) has approved the Technical Work Plan for a pilot mine and processing plant of up to 40 tonnes per day at the 100%-owned Santa Ana project.
• The Environmental Impact Assessment has been filed with CORTOLIMA, with the environmental licence expected in early 2027.
• Processing will use no cyanide or mercury, with recycled process water and dry-stacked tailings.
• The Argentum Innovation Center opened in Falan on October 4, 2026, supporting silver research with Colombian universities and local training.
• A Preliminary Economic Assessment will evaluate expansion to a medium-scale underground mine.

Outcrop Silver & Gold Corporation (TSX:OCG) is a Canada-based company advancing its flagship Santa Ana project in Colombia, a primary silver asset where silver is the main metal produced rather than a by-product. Supported by a team with decades of experience in the region, the company is focused on expanding high-grade silver and gold resources and moving Santa Ana towards potential production, with an emphasis on responsible mining and community engagement.

Approved Work Plan and Environmental Filing Set Up 2027 Pilot Operation

The ANM has approved the Technical Work Plan, known locally as the PTO, for Concession Contract HFL-151, which sets out how the mine will be built and operated. Outcrop Silver has filed its Environmental Impact Assessment (EIA), a review of a project’s potential effects on land, water and communities, with CORTOLIMA, the regional environmental authority. Construction and research activities are expected to start in 2027, once the environmental licence is issued.

The pilot is designed to mine up to 40 tonnes of rock per day from the La Porfía vein system through the La Ivanna portal, the entry point to the underground workings, using selective cut-and-fill, a common method in Colombia for narrow veins in which ore is removed in slices and the mined space is backfilled. Ore will be crushed, ground and concentrated using gravity and flotation (a process that separates valuable minerals by making them float in water), then smelted into doré, a semi-pure bar of silver and gold. Process water will be recycled, and tailings (leftover ground rock) will be dried and stacked, with a large share returned underground.

The plant will be built on the company’s 22-hectare La Ivanna property just east of Falan, which is accessible by the main road from Highway 43 and crossed by a high-voltage regional power line. The La Porfía vein lies 115 metres from the planned plant. 

President and CEO Rob Bruggeman said:

“Given the high grades at Santa Ana, the excellent infrastructure at the project, and the scarcity of primary silver projects, our goal is to rapidly develop Santa Ana.”

Argentum Innovation Center Opens as Research and Training Hub in Falan

The Argentum Innovation Center held its grand opening on October 4, 2026, attended by the Mayor of Falan, community leaders, members of the community, and representatives of the Tolima government, ANDI (Colombia’s national business association) and the National University. The centre is open to the public and presents the mining and processing methods planned for Santa Ana. It also houses a collection of mining artefacts and outlines around 400 years of silver mining in the region.

Research is one of Project Argentum’s three pillars, alongside responsible production and local training. The centre will carry out joint research with Colombian universities on converting silver into value-added products for renewable energy, clean technologies, energy storage and advanced electronics.

The training pillar includes courses delivered with regional academic institutions, training rooms, specialist workshops, and spaces for internships and professional practice, with the aim of developing a skilled workforce in Tolima. Local labour will be prioritised at all stages of the pilot operation.

PEA to Assess Scaling Up to a Medium-Scale Underground Mine

A Preliminary Economic Assessment (PEA), an early-stage study that estimates a project’s potential costs, production and returns, is planned to begin after Outcrop Silver files the technical report for its updated Mineral Resource Estimate. That report is due on the company’s website and SEDAR+ by the end of October 2026. The PEA will include a conceptual mine plan and processing plant design, after which the company will evaluate applying for permits to increase production.

The September 14, 2026, resource update outlined an Indicated resource of 29.9 million ounces of silver-equivalent (silver and gold combined into a single silver figure) at 519 grams per tonne, and an Inferred resource of 27.9 million ounces at 368 grams per tonne, across thirteen major vein systems. Under Colombia’s Decree 1666 of 2016, underground precious-metals operations producing more than 15,000 and up to 300,000 tonnes per year are classified as medium-scale.

The pilot is expected to provide data on dilution (waste rock mixed with ore during mining), metal recoveries and costs to support the larger scenarios in the PEA. 

President and CEO Rob Bruggeman said:

“The Argentum pilot project is designed to generate operating data and de-risk the conceptual larger operation that the PEA will evaluate.”

Four drill rigs are active at Santa Ana as part of a 35,000-metre campaign to upgrade and grow the resource.

Milestones and Next Steps

Outcrop Silver’s upcoming milestones include filing the technical report by the end of October 2026, starting the PEA, and receiving the environmental licence in early 2027. Construction of the pilot plant and first production are both targeted for 2027, while the PEA results will inform the company’s decision on seeking permits for a medium-scale operation.

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