Well, thank you. Thank you all for your time and interest in Sinda. I am very happy to be here. It is my first time, and Sinda just IPO'd this summer, and we are very happy to be here and very proud to be part of Sinda. As Don pointed out, real quick, I am Daniel Muñiz. I have spent the last 30 years doing business in Mexico, 20 mining. Most of my career has been as CEO of the mining division of Grupo México. That includes Southern Copper and ASARCO. As you probably know, Southern Copper is the second-largest company. I was looking at it today, even larger than Rio Tinto today. So it is the second-largest mining company in the world.
I have been with The Electrum Group and at Sinda during the last five years, and I have run dozens of sites, at lots of different stages of development in Mexico, of course, and several parts of Latin America. I am happy to join Electrum five years ago when I did my diligence and looked at this incredible new discovery that you are going to hear about today. A little bit of disclaimer. As I said, Sinda is a differentiated discovery in grade, scale, location, and quality. Again, we listed in June. We raised $333 million in proceeds. Our anchor investor and partner is sitting here. It is Fresnillo. Fresnillo acquired 5% of the company and happens to be our neighbor in the, what I would call the greatest silver rush in recent history in the world. Again, backed by Electrum.
Dr. Thomas Kaplan, who is also here, was very visionary with Larry Buchanan. They discovered this in 2016, and we have drilled 300,000 m, that is 300 km in this property. We boast 369 million equivalent ounces of silver in inferred, 16 million ounces in indicated and we have almost 500 million additional ounces in exploration targets. That is, we haven't drilled enough, but we have drilled and it is in our mineral report certified by SRK. Again, this is located in the Guanajuato southern part, where our partner Fresnillo, and we have a quote here by Guillermo Gastélum, he is a geo head, we all have discovered new parts, new portion of this district, brand-new structures. This is the right place to be. Again, let me just start with Mexico for those of you that are not that familiar. All silver roads lead to Mexico.
Mexico is the largest producing country in the world. Again, President Sheinbaum has taken a different stance and the position of Mexico as a mining jurisdiction has been rapidly improving during this administration. She launched what she called the Plan Mexico last year, and she has put mining as a strategic pillar as part of the development of Mexican economy. This has a big shift from Andrés Manuel López Obrador, and I am going to show you how we have changed and how we have taken advantage of this new strategic pillar for our project. Let us move from the country to the region. Sinda, again, is located in the mining belt southern part district of the Guanajuato District. Again, there are more than 4 billion ounces have been produced of silver in this part of the world.
We have the Fresnillo District, the Guanajuato District, and the Pachuca District, each producing more than 1 billion each. Let us move from the district and let us zoom in where the property is located. This is in the bottom right-hand 6,200 hectares of mineral rights and our concession land of Sinda. To our left, as I said, Fresnillo, the largest silver producer in the world. They have drilled 200,000 m. We drill 300,000 m. They have, I understand, 16 rigs. We have 18 rigs turning today. This month, we are completing 18 rigs. This is incredible. This is just never seen this in Mexico. As I have said, I have done most of my career throughout Mexico and Latin America. This is the silver rush district, as I pointed out. Let me move forward and where Sinda is, this is the industrial heartland of Mexico.
This deposit was, let us say, hidden under 300 m of clay, which were just discovered by Dr. Buchanan, again, with his PhD thesis method, which him and Magdalena Luna applied to it 10 years ago. This is in the middle of Guanajuato's industrial district. We are blessed with lots of infrastructure. We have two airports, we have railroads, toll roads, skilled workforce, and again, just in foreign investment to the automotive industry, to give you an example on the bottom right logos, $15 billion have been put in here. This is again, location, location. Established infrastructure, well-connected to our asset, and this translates into lower capital intensity and lower operating costs, of course. Let me show you on this slide how Sinda stacks up to the rest of the mining projects and to the three crown jewels of Fresnillo on the right.
As you can see, Sinda has the potential to be a 1 billion ounce deposit in a multi-mine district. Again, we already have line of sight of 800 million. It is not just only about size, because as we say in mining, grade is king. Let me move to the next page and let me show you how Sinda stacks up in terms of grade. On the left, you can see that we have the highest of the indicated resource grade among the companies shown here, and an inferred grade of 386 g per ton. It only starts there. As you probably know, normally or typically, inferred grades are lower than indicated grades. It is just a function of drilling density. Again, we have 18 rigs turning, and we have been continuously getting better results day by day. Let me just move to the next one.
Just earlier in the week, last week to be precise, we published our newest results, and this is 24.5 kilos of silver equivalent in 0.65 m. More importantly, in 3 m, we have gotten 12,500 g per ton of equivalent. This is confirming what we have always aimed for and expected out of Sinda. We are confirming continuity, validating grade distribution, and reinforcing our geological reinterpretation. This is not just isolated. This demonstrates consistent continuity across the whole deposit. Today's resource is just the starting point. We have only drilled on 38% of the veins, only on 26% of the land package. For every mapped vein, drilling suggests the presence of approximately four additional veins. This again, SRK agrees with us. Additionally, the square here on the middle on the right-hand part of this slide shows you what we call Don Diego.
Don Diego, it's actually not included in the 800 million ounces that I've just mentioned. It is all new potential, new drilling. We started drilling this year, February. We hadn't even started drilling there. If you can see this image that I hope can conveys to you, we strongly believe that Caracol, which is our main ore body today, and Agaves are connected through the Don Diego corridor. The upside is immense. Substantial resource base already, and the system remains largely open. We are pursuing a dual strategy. Since we started drilling, Tom had the vision of not building a small mine, to start drilling and wildcatting he'll say, in order to see how big this was. Every time we hit, we keep on drilling on that area, and as you can see in this map, we have dual track.
One, it's infill drilling and develop the first mine of this deposit, which is the Caracol area. Then we keep on exploring, and we keep on drilling. We are doing all the geotech as well. We have five rigs on Don Diego and several others exploring. The idea for us is to build our first mine while creating the next silver giant district. Here's drilling in a bit more on our plan. We've completed just last month 61,000 m of our first phase of drilling. We have underway what we call the second phase of drilling. That's 122,000 m. This is from surface. Again, we're using directional drilling, diamond drilling from surface, and it's been successful. The real accelerator and catalyst comes from building a decline and drilling from underground. We've started this month the works on the decline.
The decline is going to be sized 5.5 times 5.5 in order to be not only an exploration but also an operations decline further down the road. If you add these numbers, we are going to be drilling 400,000 m, and that's the plan. As I said, we've raised $330 million, so we are fully permitted and fully financed in order to accomplish this. Just turning a bit on what we've been doing for the last five years in terms of the five pillars that I consider that are absolutely key to get right in Mexico, and that is community, environment, permitting, technical and security. In community, from the outset, when I met Tom, he said, "Just welcome me with flowers, not stones." We have gone beyond passive social license and we built active community sponsorship.
We have five community centers, and we have one of the largest teams in the country just in communities attention. In the environment, we go way beyond basic protections of the environment. In our case, Sinda is located in an arid part of Mexico. We'll be a net contributor to water. We've entered into agreements with municipalities and with the state in order to provide the communities with water. Not being a consumer in an arid region. In security, I've already said that this is in the industrial heartland, so that affords and awards a lot of security to this site. Also we've had all these protocols and all the experienced people to work with us. As I've said, I've been working 30 years in Mexico on this and 20 in mining. We've managed correctly securities and management risks. Technical?
Well, we built a team with a skill set not to just only build a mine, but to build a multi-mine district. Permitting is just leveraging all of the above in order to accelerate our path to production. I believe that Mexico is not restrictive. I think people that believe that are wrong. Mexico has been recently just very selective. By selective, I mean that when you do things right and you adhere to best corporate practices, you really get things done. Just to give you an example, we were permitted in nine months to build this decline. We got the Manifestación de Impacto Ambiental, environmental impact assessment in nine months rather than years. The successful companies normally get two years for that. We were applying this institution model very successfully. We are fully permitted for the next three years today. It all starts with a team.
I mean, with all this time in Mexico, Electrum and me decided that we were going to build the best of breed of the leading lights that Mexico had to offer. We've been very thorough in recruiting persons and people that have worked with me, cherry-picking them from previous employers, from competition. You can see the logos. This has become a very important part of the success of Sinda. Sorry. Our board of directors is extremely strong. You can look at this and of the overseas management. In addition to the board of directors, we've built something that's peculiar to Sinda, which we call the advisory board. We've included very senior leading lights of every single one of those pillars that I've shown you in the previous page to give you an idea in securities. We have in our advisory board a couple of retired admirals.
We've been very thorough in building the best of breed in board management and our advisory board, which I think is particular to Sinda. This is just, again, the three crown jewels of Fresnillo. This is to put in perspective that Sinda has the requirements to be a world-class tier 1 asset and to be the next Mexico silver giant. Here's our plan. Here's our next term catalysts. As I said, pursuing a dual strategy while we're doing this, completing the drilling that we've started in the summer. We're going to incorporate that into new MRE. That will be ready by the end of this year. That will increase our categorization and increase our resource. We have also the potential to increase the exploration potential. The region that I mentioned, that is called Don Diego, most likely will go into the new mineral resource estimate.
Again, that's end of this year. By next year, we'll again, by the summer, conclude the drilling campaign that I showed you and get our new PEA. We did one for a small part a couple of years ago, but this is the real PEA for the whole Agaves and Caracol districts. With that, we'll move into a PFS by the end of 2028, and the beginning of 2030, the feasibility study and construction decision. We're confident that we can be in production by 2031. Here again, just the capitalization table. I mean, we're blessed to have The Electrum Group backing us up. We work very closely with their technical team, as I've said. We have Fresnillo as our partner. We have a tech committee that'll start getting together and working together. We have a great relationship.
We've been covered by six research analysts, which all visited the site with me. Here you have the price targets. Electrum is the largest shareholder today. We also have Franco-Nevada, who was another cornerstone investor in our IPO. With that, I think I can open up the forum for questions. Just again, to remind you, Sinda is the largest silver discovery in Mexico, high grade, incredible location, excellent management team, and probably a pure play for the Guanajuato Silver District. Thank you.
Thank you very much. We do have a few minutes for questions. If you have a question, just raise your hand. Front row here.
Thank you for that. Appreciate it. Apparently, your land position as part of the IPO is not part of Fresnillo's other ground within the Guanajuato district itself to the north. Is that correct? I was wondering whether or not the geology is the same in the south end as it is in the Guanajuato district itself.
Thank you. Our land package is 6,200 hectares. That's owned by Sinda completely. That is only our five concessions, 50-year concessions. That is our land package. Fresnillo has several very close to it. You can even see Naranjillos from our property, but they have their own. I would assume, and we have Fresnillo here, that it's the same mineralization. It is right just next door. I mean, we haven't started, as I said, getting into our geotech committee together, but what I've seen, and I heard my good friend Octavio Alvídrez yesterday talking about the Guanajuato Sur District, which is this district, and about Sinda as well. I'm pretty sure there's the same mineralogy.
You've set out this 500-million-ounce silver target in your exploration that's underway. Do you have a timeline associated with that target? Do you also have with those 500 million ounces, do you have a target on grade?
Yes. Well, the grade, as I just showed you in our press release, that we published a press release, keeps on getting better and better. I mean, we say that it's the gift that keeps on giving, and the next Sinda might be at Sinda. Yeah. I mean, we are going at it. We just started drilling Don Diego until this February. We've been drilling for the last five years with, I mean, 300,000 m. Don Diego just started. It's hard to really assess a grade, but we're confident, and what we are again confirming is that our 386 g per ton is moving towards the inferred grade, which is, as you saw, 687 g per ton. That's what we're seeing, and we're very confident. We have a team there. We continually meet with Dr. Larry Buchanan.
We have here with me the head of our technical team and very strong geos on ground. We are like, I mean, it's just incredible what we've seen.
Okay, great. Maybe just one more quick one. Certainly these high-grade intercepts, you've got a PEA that's pending next year. Have you given some thought, or what are your thoughts on the mining method to be used and dilution and things like that?
Sure. Sure, that's a great question. Well, I mean, although we are early and we don't have a PEA, as you just pointed out, we've been working with a lot of companies with G Mining in terms of the mine plan, with Ausenco in terms of the geotech. I can tell you that certainly, I mean, our plans are to keep on drilling and develop this. But yeah, we have a $500 million CapEx budget. I guess we already have $330 million in the bank. That includes the $100 million of the decline. That's sort of like the plan.
Okay, well, thank you very much, Daniel. Let's hear for Daniel on an exciting high-grade story.
Thank you