Defiance Silver Gets SEMARNAT Permit for Zacatecas Drilling

Defiance Silver secured a SEMARNAT drilling permit for its San Acacio project in Zacatecas and a surface access agreement for its Green Earth Project in Sonora, positioning the company to advance exploration across two districts with minimal prior drilling history. The clearances stand out as 160 mining projects remain stalled nationwide under Mexico's 2023 Mining Law reform and exploration investment has declined from US$500 million in 2023 to a projected US$400 million in 2025. The back-to-back approvals signal Defiance's ability to navigate Mexico's regulatory environment as the government selectively accelerates critical mineral exploration.

Defiance Silver secured environmental authorization from SEMARNAT to expand drilling at its San Acacio project in Zacatecas. The new authorization follows a surface access agreement the company secured last month for the Victoria target within its Green Earth Project in Sonora, marking back-to-back regulatory advances for Defiance.

The authorization covers the development of 44 drill pads and 35 access roads across areas of the San Acacio project where little to no prior exploration has taken place, and remains in effect for 54 months.

The San Acacio project sits within the Zacatecas Silver District and has a multi-century production history of silver, lead and zinc, concentrated largely around the Veta Grande mine. The newly authorized drilling footprint extends beyond those historical mine levels, enabling the company to test targets that fall outside any prior mining activity or historical resource estimates.

"We look forward to evolving our resource drilling program to include the significant exploration potential of these never-before-tested targets in the Veta Grande camp within the world-class Zacatecas Silver District," said Chris Wright, Executive Chairman and CEO, Defiance Silver.

Last month, the company secured a five-year surface access agreement for the Victoria target within its Green Earth Project in Sonora. The agreement grants the company the right to conduct surface exploration, drilling, and engineering studies across the approximately 6,800ha project area, which offers year-round access, established infrastructure, and proximity to skilled labor.

Key features of the target include a large alteration footprint defined by phyllic and potassic assemblages, leached capping with anomalous copper, molybdenum, and gold geochemistry, intermediate-sulphidation epithermal veins, and strong geophysical responses including coincident MT and IP chargeability/resistivity anomalies.

Defiance Silver also granted 2,720,000 stock options to employees, directors, and consultants at an exercise price of CA$0.35, exercisable over five years and vesting equally over three years. The company issued 289,000 Deferred Share Units to certain directors, 458,000 Performance Share Units to certain employees, and 314,000 Restricted Share Units to certain employees, all subject to standard vesting and performance conditions.

State of Mining Exploration in Mexico: Permits, Bottlenecks, and Strategic Priorities

Mexico’s government is seeking to accelerate mining exploration in 2026 by streamlining permit approvals and facilitating large-scale projects, amid rising global demand for critical minerals. Minister of Economy Marcelo Ebrard announced plans to reduce processing times for pending permits and support exploration while maintaining sustainability and labor standards. 

Despite the government’s increasing openness to mining, Mexico’s mineral exploration sector continues to face uncertainty. Investment has declined from over US$500 million in 2023 to a projected US$400 million in 2025, influenced by both global market pressures and domestic regulatory changes. 

The 2023 reform to the Mining Law reserves certain exploration rights for the Mexican Geological Survey (SGM) and imposes stricter environmental and operational requirements, creating caution among private investors. While the current government emphasizes sustainability and strategic oversight, companies still face higher financial and legal risks due to increased royalties, tighter environmental standards, and limited SGM budgets.

The sector also experiences operational bottlenecks. Rubén del Pozo, President, AIMMGM, said 160 projects remain stalled due to missing environmental permits and the absence of clear regulations under the new Mining Law. “We have 160 projects currently stalled. About 60% have been approved, but the rest are in various stages, some well advanced, others just beginning,” Del Pozo explained. He added that delays in environmental approvals threaten investment and the country’s ability to produce precious and critical minerals.

The government has simultaneously focused on recovering unused mining concessions. President Claudia Sheinbaum confirmed that over 1,126 concessions covering 889,502ha, including 713 in protected areas, have been returned to the state to prevent speculative holding and protect ecosystems. 

According to Sheinbaum, the recovery of these mining titles is being conducted as a voluntary process between the Mexican State and the private holders. Sheinbaum explained that these concessions, previously granted to various companies, had remained unproductive and inactive for a significant period. By returning these titles to the government, the administration aims to prevent speculative land holding and ensure that unused resources revert to public control. 

Sheinbaum added that Mexico will maintain sovereign control over its mining resources, will not open new mines, and will prioritize responsible exploration alongside the protection of natural resources.

Industry experts see opportunities in aligning strategic and regional initiatives. Adrián Juárez, CEO, CTA Consultoría y Tecnología Ambiental, noted that Mexico could leverage global supply chain pressures to attract investment while retaining sovereignty. He highlighted potential benefits from bilateral agreements that require technology transfer, joint ventures, and infrastructure development, stressing that mining reforms must balance ESG criteria with industrial viability.