Consolidation in the silver space appears to be underway - Defiance Silver's Douglas Cavey
Mergers and acquisitions in the silver sector appear to be in an uptrend, noted Executive Vice President Douglas Cavey at Defiance Silver.
On Saturday, Cavey spoke to Kitco at Deutsche Goldmesse 2023 spring show in Frankfurt, Germany.
Defiance Silver (TSX-V:DEF) is a Mexico-based silver, gold, copper, and polymetallic exploration and development company actively engaged in advancing two major projects in Mexico, including the Zacatecas silver projects in the historic mining region of Zacatecas, and the Tepal copper-gold project in Michoacan, Mexico.
The Zacatecas region is home to several large silver operations: Pan American Silver, Fresnillo, Newmont, Teck, Agnico Eagle, Grupo Mexico, Capstone, Minera Frisco.
"It is truly one of the world's most important silver mining, if not mining jurisdictions, so we're very happy to have a commanding land position," said Cavey.
Cavey noted recent M&A in the silver space, such as Agnico Eagle Mining-Pan American Silver-Yamana Gold deal and Hecla acquiring projects and mines in the Yukon.
"We're seeing...a very similar environment that we had in 2006 and 2007 when we had a lot of these big consolidations," said Cavey. "It does make its way down the chain and hits the smaller space."