Avino Silver & Gold Mines announced a strategic expansion plan that will grow its operations from a single producing mine to three producing assets, with the La Preciosa project in Mexico positioned as the primary driver. The company will use its existing Avino mill to process ore from La Preciosa, reducing capital intensity and accelerating ramp‑up.
La Preciosa, acquired from Coeur Mining in early 2022, has delivered higher‑grade silver ore than historic estimates. Development began in April 2025 after permits were granted in early 2025, and the first blast produced material that was processed at the Avino mill in less than eight months. The higher‑grade ore is expected to lower Avino’s all‑in sustaining cost (AISC) from the current $20.93 per silver‑equivalent ounce to a projected $25.00–$27.00 per payable silver‑equivalent ounce once the project is fully integrated.
The expansion is part of Avino’s plan to transition from a niche junior miner to a multi‑asset producer. In 2025 the company produced 1,157,828 silver ounces, 7,621 gold ounces, and 5,667,996 pounds of copper, totaling 2.6 million silver‑equivalent ounces. Management projects 2026 silver‑equivalent production of 2.4–2.7 million ounces, with silver output of 1.0–1.2 million ounces, indicating a significant increase in throughput.
Avino’s balance sheet remains strong, with approximately $57.3 million in cash and short‑term investments and only $473,000 in debt as of September 2025. The company’s debt‑free status and ample liquidity provide the financial flexibility needed to fund the organic growth without external borrowing.
The company also benefits from a decade‑long offtake agreement with Samsung C&T, which secures a market for its production, and from its significant copper output, which offers a hedge against silver price volatility. Avino’s recent third Environmental, Social and Governance (ESG) designation underscores its commitment to responsible mining practices.
By expanding to three producing assets, Avino aims to diversify its revenue streams, reduce operational risk, and achieve economies of scale that will support lower costs and higher margins over the long term.
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