Pan American Silver Corp. (NYSE: PAAS) announced board approval for the first phase of its Timmins Camp Project in Ontario, Canada, with a total investment of approximately $146 million.

The project includes a 625-meter shaft extension at the Bell Creek mine, an 814-meter drift to access the Vogel deposit, and a 1.3-kilometer exploration drift to access the Samson deposit. The company said the initial spending was included in its 2026 guidance of $40 to $43 million of project capital at Timmins.

Pan American's Timmins operations currently comprise two underground gold mines located approximately 34 kilometers apart: the Timmins West mine and the Bell Creek mine. Both supply ore to the Bell Creek processing plant, which has a design capacity of approximately 5,600 tonnes per day with current throughput of approximately 4,400 tonnes per day.

The Bell Creek shaft extension project is designed to deepen the existing shaft from 1,080 meters to 1,705 meters below surface. On-site activities are expected to commence in July 2026, with the project requiring approximately three years to complete and commissioning expected in the first half of 2029.

Recent exploration drilling at Bell Creek has identified mineralization extending to 2,600 meters below surface. Results from 16,814 meters of drilling completed over the past 18 months indicate two mineralized shoots approximately 100 meters apart.

The Vogel deposit, located approximately 1.5 kilometers east-southeast of the Bell Creek mine complex, contains an estimated 61,000 ounces of indicated gold mineral resources and 135,000 ounces of inferred gold mineral resources as of June 30, 2025. Recent drilling between October 2025 and March 2026 identified down-dip extensions and areas of higher-grade gold mineralization.

The Samson deposit, located approximately 3.3 kilometers southwest of the Timmins West mine shaft, contains an estimated 118,000 ounces of gold inferred mineral resources as of June 30, 2025.

Pan American also holds the Gold River satellite deposit, estimated to contain approximately 117,000 ounces of indicated gold mineral resources and 1.03 million ounces of inferred gold mineral resources as of June 30, 2025.

The company plans to drill approximately 118,000 meters at Timmins in 2026 focused on near-mine exploration and mineral resource conversion. Pan American expects to publish an updated mineral reserves and resources estimate for Timmins, Vogel, and Gold River as of June 30, 2026, in the third quarter of 2026.