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Diablo (ASX: DBO) completes Horn Silver acquisition, consolidating district scale Utah exploration position

Jane Morgan Management

Key Facts:

• Diablo Resources has completed its acquisition of an 80% interest in the Horn Silver Project in Utah, which covers approximately 13.2 square kilometres and hosts a historic mine with recorded production of around 17 million ounces of silver and 30,000 ounces of gold.
• The project sits approximately 15 kilometres from Diablo's existing Star Range silver and antimony project, giving the company two exploration assets within the same mining district and enabling shared logistics, technical expertise and future drilling programmes.
• Historical records and modern geophysics have identified a pipeline of exploration targets at Horn Silver, including extensions around the historic mine, untested induced polarisation anomalies, and regional copper and silver skarn prospects, with rock sampling returning results of up to 1,310 grams per tonne silver.
• The acquisition increases Diablo's exposure to commodities classified as strategically critical in the United States, with silver, copper, antimony, lead and zinc all featuring on the US 2025 List of Critical Minerals and a July 2026 Executive Order reinforcing domestic supply chain priorities.
• Transaction consideration includes the issue of 36 million Diablo shares to seller Opal Resources, alongside a US$750,000 payment upon transfer of title for the patented claims; a A$3.5 million placement completed in July will fund exploration including planned drilling across both Horn Silver and Star Range.

17 August 2026 – Perth, WA | Diablo Resources (ASX: DBO) has completed its acquisition of the Horn Silver Project in Utah, securing control of a historically productive silver project and expanding its exploration footprint alongside the nearby Star Range Project in the Frisco Mining District.

The transaction gives Diablo 80% ownership of 101 unpatented claims and option rights over a further 101 patented claims at Horn Silver. All conditions precedent under the option agreement have been satisfied and the company will now begin the formal process to exercise the option over the patented claims.

Horn Silver covers about 13.2 square kilometres and hosts the historic Horn Silver Mine, which has recorded production of approximately 17 million ounces of silver and 30,000 ounces of gold at reported grades of 604 grams per tonne silver and 1.04 grams per tonne gold.

For Diablo, the significance of the acquisition extends beyond the historic mine itself. The project sits about 15 kilometres from the company’s Star Range silver and antimony project, giving Diablo two exploration assets within the same established mining district and creating scope to share technical expertise, contractors, field logistics, permitting activities and future drilling programs.

Historical records, surface geochemistry and modern geophysics have also outlined a broader pipeline of targets at Horn Silver. These include interpreted extensions beneath and around the historic mine, shallow gold and silver mineralisation, untested induced polarisation anomalies and regional copper and silver skarn prospects. Rock sampling across the wider project has returned results of up to 1,310 grams per tonne silver and 0.2% antimony.

The acquisition also increases Diablo’s exposure to commodities now recognised as strategically important in the United States. Silver and copper were included on the United States’ final 2025 List of Critical Minerals, alongside antimony, lead and zinc, covering the principal commodities targeted across Diablo’s Utah portfolio. The announcement also points to a July 2026 US Executive Order focused on securing domestic critical material supply chains and accelerating the testing and qualification of new sources used in defence production.

Chief Executive Officer Lyle Thorne said:

“Securing our interest in the Horn Silver Project provides a clear pathway for Diablo to advance one of Utah’s most compelling historic polymetallic districts. Together with our ongoing work at Star Range, the Company now controls two strategically located projects within a highly prospective mineral belt. With ownership consolidated, we can move forward confidently with on-ground exploration (including drilling, geophysics, and broader district-scale evaluation) across both Horn Silver and Star Range Projects over the coming months.

Silver is increasingly recognised as both a precious and strategic metal, with growing demand from defence systems, electric vehicles, solar panels, AI data centres, and 5G infrastructure. Recent U.S. domestic policy initiatives aimed at strengthening supply chain security for critical minerals (including federal programs supporting domestic exploration, permitting efficiency, and strategic-metal development) further reinforce the importance of projects like Horn Silver within the national context.

We are committed to contributing to the United States’ efforts to secure reliable supplies of critical minerals and to advancing Horn Silver in a manner aligned with these national priorities.”

The transaction consideration includes the issue of 36 million Diablo shares to seller Opal Resources Pty Ltd. Of those shares, 25% are escrowed for six months from issue and the remaining 75% for 12 months. Antler Resources, now 80% owned by Diablo, has also notified the owners of the patented Horn Silver claims that it intends to exercise the option, which provides for a US$750,000 payment following transfer of title. Completion of that process is anticipated in the coming weeks.

The company completed a A$3.5 million placement in July, providing funding for exploration across Horn Silver and Star Range, including planned drilling and regional target generation. At Star Range, the North Star Prospect is already permitted for an initial approximately 1,000 metre, five hole diamond drilling program, with approvals allowing flexibility for up to 27 holes from 12 drill pads.

With the acquisition now completed, Diablo plans to integrate historical datasets into its geological model and begin on ground mapping, sampling and target verification at Horn Silver. The company will also refine targets around the historic mine, further assess the Gossan and Buckhorn IP anomalies and regional copper and silver skarn prospects, and progress permitting for maiden drilling at Horn Silver.

In parallel, Diablo intends to advance the permitted maiden diamond drilling program at North Star and continue regional exploration across South Star, East Star and other priority areas at Star Range.

Contact details:

Jane Morgan

[email protected]

‭+61 405 555 618‬