As gold’s bull market continues this year, despite the occasional pullback, silver is moving its way in the same direction. Not every investor understands the value of gold and silver, especially in times of economic downturn. Today, a weaker dollar is encouraging investors to put their money in commodities like silver and gold. Even other precious and non-precious metals have had a surge in popularity.
The supply of silver has continuously fallen for the last four years, which means increasing demand may send the price to record levels. With electric cars and medical supply companies serving as the primary markets currently driving demand, there is a positive, long-term outlook for companies like Silver Viper and investors looking for a safe-haven in silver.
The Company’s La Virginia project — located in Sonora, Northern Mexico — is in its exploration stage. This past summer, Silver Viper uncovered a new run of mineralization in its second scissor hole on the property, starting at a depth of 75 metres.
Of ten drill holes reported at the time, six originated in the El Rubi zone and four in the Macho Libre zone. El Rubi drill hole LV20-245 intercepted a broad zone of gold-silver mineralization over an interval of 110.5 metres core length (55.2 metres estimated true width), averaging 38g/t Ag and 0.76g/t Au, beginning at 75 metres depth. Calculated silver and gold equivalent values for this interval are 92g/t Ag and 1.31 g/t Au using a 70:1 Ag:Au ratio2. In addition, two further broad zones of mineralization were encountered in LV20-245.
The La Virginia project has year-round potential, based on the region’s climate and location. It also has the potential to become a heap-leach mine, says President and CEO, Steve Cope, who explains this means less capital and operational expenses, as well as a reduced environmental impact and less construction costs.
Long-Term Opportunity for Investors
As investors look to gold and silver as a secure way to diversify their portfolio, the silver price may go up if supply cannot meet demand. Silver Viper anticipates this.
The recent U.S election and U.S. President-elect Joe Biden’s ambitious climate change agenda might increase silver demand. His support for the Green New Deal may also create new opportunities for investors, which would further fuel innovation and potentially increase silver demand.
The climate change initiative is positive for silver prices because the metal is one of the best conductors of electricity and heat and one of the most light-sensitive metals in the world. Solar panels, batteries, and purifying water all require silver. Climate change proposals and initiatives will undoubtedly raise demand for silver, which has declined slightly due to the pandemic but remains strong considering the circumstances.
Further, the historical gold to silver ratio is off-balance, with silver remaining very low, indicating a price rise is coming. Typically, silver outperforms gold in a bull market, so silver bugs anticipate a record high, even greater than what gold has experienced this year.
Capitalizing in the Silver Market
After reaching a seven-year high in August, silver has been trading between $23-$26 per ounce since September, according to Capital.com. The silver market is still up by 36 per cent since the start of the year. Get familiar with the many ways that you can invest in silver. You can invest in silver mining companies like Silver Viper, silver ETFs, silver futures, silver bullion, and silver coins. Stay on top of the market and keep up with the latest from Silver Viper.
About Silver Viper Minerals
Silver Viper Minerals Corp. (TSX.V:VIPR) is a Canadian-based junior mineral exploration company focused on precious metals exploration in Sonora, Mexico. The Company currently operates its 100% owned La Virginia Gold-Silver Project, acquired from the most recent operator, Pan American Silver Corp., for an NSR and has an option to acquire a 100% interest in the Rubi-Esperanza group of claims internal to those concessions.
The project is an early-stage exploration property targeting a series of laterally extensive intrusive dykes and breccia zones hosting low-sulphidation epithermal gold-silver mineralization.
The Company’s drilling to date builds upon a sizeable database of over 52,000m of drill core from 188 diamond drill holes, generated by previous operators between 2010 and 2013. Silver Viper is expanding upon this work by continuing exploration northward into prospective untested ground where a new discovery, El Rubi, was made in Phase 1 diamond drilling. Phase 2 of the drill program is currently underway. Results to date continue to expand the El Rubi zone and encounter high-grade mineralization. El Rubi remains open along strike and at depth.
The Company’s directors and management (Belcarra Group) include industry professionals with a consistent track record of identifying and advancing successful mineral exploration projects.