Cordero: Mexico's Future Silver Giant or Current Leader? Unpacking the Truth

Highlights: Key Insights into the Cordero Project

Not Yet Operational: The Cordero project is currently in the development stage and not producing silver. It's recognized as the world's largest undeveloped silver deposit.
Massive Potential: Based on its Feasibility Study, Cordero is projected to become one of the largest silver mines globally once operational, with significant reserves and a long mine life.
Current Leader: As of recent data (2023), the Peñasquito mine in Zacatecas stands as Mexico's largest *currently operating* silver mine by production volume.

Cordero Silver Project: A Deep Dive

Unveiling the Potential Giant

The Cordero project represents a significant undertaking in the global silver mining landscape. Although not yet extracting ore, its scale and resource base make it a focal point for the future of silver production, particularly within Mexico, already the world's top silver-producing nation.

Location and Ownership

Nestled in the southern part of Chihuahua state, Mexico, approximately 35 km north of the historic mining city of Parral, Cordero sits within the prolific Mexican Silver Belt (MSB). This region is globally renowned as the largest silver province. The project is fully owned by Discovery Silver Corp., which acquired it in 2019.

Project Status: On the Brink of Production

Cordero is currently a development-stage project. Extensive exploration and study have culminated in a positive Feasibility Study, released in February 2024. This study confirmed the project's economic viability, outlining a path toward construction and eventual production. It's classified as a "tier-one" silver development asset due to its impressive scale and robust economics. Work programs are scheduled for 2024 to advance the project towards construction.

Industrial equipment used in large-scale mining operations, similar to those planned for the Cordero open-pit mine.

Immense Reserves: A Treasure Trove

The Cordero deposit is truly world-class. The Feasibility Study confirmed substantial mineral reserves, solidifying its status as one of the largest undeveloped silver deposits globally. Key reserve figures include:

Silver (Ag): 302 million ounces (Moz)
Gold (Au): 840,000 ounces
Lead (Pb): 3.0 billion pounds
Zinc (Zn): 5.2 billion pounds

This polymetallic nature adds significant value beyond silver.

Projected Production Powerhouse

Once operational, Cordero is expected to be a major global producer. Projections from the Feasibility Study indicate:

Average annual production (Years 1-12): 37 million ounces of silver equivalent (AgEq). Some estimates place average annual production around 33 Moz AgEq over the entire mine life.
Initial mine life: 18-19 years, with significant potential for extension based on further exploration.

These figures would place Cordero among the top silver producers worldwide.

Mining Method and Environmental Considerations

The project is planned as an open-pit mine, allowing for large-scale extraction. Notably, the project development includes environmental considerations, such as plans to use recycled wastewater from local communities for mine operations, demonstrating a commitment to sustainable practices. It has received Mexico's "Quality Environmental Certification" for its compliance standards.

Understanding the Scale: Cordero vs. Operating Mines

Current Leaders in Mexican Silver Production

While Cordero's potential is immense, it's crucial to distinguish it from currently operating mines. Mexico hosts several large silver producers. Based on recent production data (primarily 2023):

Peñasquito Mine: Located in Zacatecas and operated by Newmont Corporation, this polymetallic open-pit mine has consistently been a top producer. In 2023, it produced approximately 18 million ounces of silver (though figures vary, with some sources citing higher numbers like ~31 Moz in 2021). It is expected to operate until 2032.
Juanicipio Mine: This mine emerged as the second-largest producer in Mexico in 2023, with an output of around 16.8 million ounces of silver.
Other Significant Mines: Mexico's silver landscape includes other major contributors like Fresnillo, Saucito, San Julián (operated by Fresnillo plc), Palmarejo (Coeur Mining), San Dimas (First Majestic Silver), La Ciénega (Fresnillo plc), and Tizapa (Peñoles Industries).

Why Cordero Stands Out

Cordero's significance lies in its *future* potential. As the world's largest undeveloped silver deposit by reserves and projected annual production, its eventual operation is expected to significantly bolster Mexico's already leading position in global silver output. It represents the next generation of large-scale silver mining.

Comparative Overview of Major Mexican Silver Mines

The following table provides a comparative glance at Cordero's projected profile versus the key characteristics of the currently leading operating mines based on available 2023/2024 data.

Mine Name	Status	Location	Owner/Operator	Silver Production (Recent/Projected Annual)	Mine Type	Mine Life (Est. Remaining/Initial)
Cordero Project	Development Stage	Chihuahua	Discovery Silver Corp.	~33-37 Moz AgEq (Projected)	Open Pit (Planned)	~19 Years (Initial)
Peñasquito	Operating	Zacatecas	Newmont Corp.	~18 Moz Ag (Actual 2023)	Open Pit	Until 2032 (~8 Years Remaining)
Juanicipio	Operating	Zacatecas	Fresnillo plc / MAG Silver	~16.8 Moz Ag (Actual 2023)	Underground	Long Life (Specifics Vary)

Note: Production figures can vary slightly depending on the source and reporting period (Ag vs AgEq). Mine life estimates are subject to change based on economics and exploration.

Visualizing Cordero's Potential Impact

The development of the Cordero project is poised to create significant ripples across the local economy, the Mexican mining sector, and the global silver market. This mindmap illustrates the key areas of impact expected once the mine becomes operational.

mindmap root["Cordero Project Impact"] id1["Economic Significance"] id1a["Job Creation
(Construction & Operations)"] id1b["Infrastructure Development
(Local & Regional)"] id1c["Tax Revenues
(National & Local)"] id1d["Tier-One Asset Status
(Attracting Investment)"] id2["Production Scale"] id2a["Potential Top 3 Global Silver Mine"] id2b["Boosting Mexico's National Output"] id2c["Significant By-product Credits
(Au, Pb, Zn)"] id2d["Long Mine Life
(~19 years initial)"] id3["Development & Operations"] id3a["Feasibility Study Complete (Feb 2024)"] id3b["Path to Construction"] id3c["Open-Pit Mining Method"] id3d["Low Projected Operating Costs"] id4["Environmental & Social"] id4a["Use of Recycled Wastewater"] id4b["Compliance with Mexican Standards
(Quality Environmental Certification)"] id4c["Community Engagement"]

As depicted, Cordero's influence extends beyond mere silver production. Its development promises substantial economic benefits through employment and revenue generation, while its large scale confirms its status as a globally significant mining asset. The project's progression through feasibility and towards construction signals its transition from potential to reality, incorporating modern mining practices and environmental considerations.

Comparative Analysis of Key Silver Mines

To better understand Cordero's projected standing relative to current major producers in Mexico, the radar chart below compares key metrics. Cordero's data is based on projections from its Feasibility Study, while Peñasquito and Juanicipio reflect their operational status and recent performance. Scores for qualitative aspects like 'Infrastructure Readiness' and 'Environmental Standards' are based on project stage and available information, representing an informed perspective rather than precise measurement.

This visual comparison highlights Cordero's standout potential, particularly in terms of its vast silver reserves and projected annual production, significantly exceeding current leaders Peñasquito and Juanicipio. However, its lower scores in 'Operational Status' and 'Infrastructure Readiness' reflect its current development phase. Once operational, Cordero is expected to shift the dynamics of silver production in Mexico significantly.

Exploring Cordero's Development Journey

The journey from discovery to a fully operational mine is complex and involves multiple stages of study, planning, and investment. The completion of the Feasibility Study marked a critical milestone for Cordero, confirming its potential. The video below provides insights into the significance of this study and the project's outlook.

This video discusses the positive results of the Feasibility Study for the Cordero Silver Project. It highlights key findings, such as the projected large-scale production, an expected mine life of at least 19 years, and the overall economic viability. Understanding the outcomes of such studies is crucial as they form the basis for investment decisions and outline the technical and financial roadmap for bringing a major deposit like Cordero into production, positioning it as one of the world's leading development-stage silver projects.

Frequently Asked Questions (FAQ)

Is the Cordero project currently the largest producing silver mine in Mexico?

No, the Cordero project is not currently producing silver. It is a development-stage project. While it holds the title for the largest undeveloped silver deposit globally and is projected to be one of the largest mines once operational, it is not yet extracting or processing ore.

Which mine is currently the largest silver producer in Mexico?

Based on recent data (primarily 2023), the Peñasquito mine, owned by Newmont Corporation and located in Zacatecas, is considered the largest silver-producing mine currently operating in Mexico.

What makes the Cordero project so significant?

Cordero's significance stems from several factors:

It is considered the world's largest undeveloped silver deposit based on reserves.
Its Feasibility Study projects very large annual silver equivalent production, potentially placing it among the top global producers.
It possesses substantial reserves of not only silver but also gold, lead, and zinc.
Its development represents a major future contribution to Mexico's leading position in silver production and offers significant economic potential.

Who owns the Cordero silver project?

The Cordero silver project is owned by Discovery Silver Corp., a Canadian exploration and development company.

Where is the Cordero project located?

The Cordero project is located in the southern part of Chihuahua State in northern Mexico, within the well-known Mexican Silver Belt.