Bayhorse Silver Inc.
Near-Term Silver Production with Potential for Other Critical Minerals in the U.S. – Resuming Coverage
Published: April 2, 2026
Author: FRC Analysts
Disclosure: Bayhorse Silver Inc. has paid FRC a fee for research coverage and distribution of reports. See last page for other important disclosures, rating, and risk definitions.
Company Details
Sector – Basic Materials
Industry – Other Industrial Metals & Mining
Trading Information
Trading information – BHS.V : TSXV
Report Highlights
- Company Profile: After a six-year break, we are resuming coverage on BHS, which owns two assets: the Bayhorse silver mine in Oregon, and the Pegasus copper-silver project in Idaho. The Bayhorse silver mine is a historic producer, giving it an advantage, as past-producing mines are generally easier to develop than greenfield sites.
- High-Grade Silver Resource with Critical Minerals Potential: The mine hosts an independently verified (NI 43-101 compliant) inferred resource of 6.3 Moz silver at an average grade of 673 g/t, exceptionally high compared with most silver mines, which operate below 200 g/t. Higher grades usually mean lower production costs, with higher production potential. The project is also prospective for antimony, zinc, and copper, which we believe could provide additional upside beyond the current silver resource.
- Resource Expansion Potential: A 2025 geophysical survey identified multiple new targets near, and below the existing resource, supporting expansion potential. An underground drill program to potentially expand, and upgrade the resource, will begin in the coming weeks.
- Processing Advantage: BHS owns a fully permitted mill in Idaho, just 64 km from the Bayhorse mine, eliminating the need for the high upfront cost of building one; a challenge most miners face.
- Ore Sorting Technology: The project will use a sensor-based ore sorter, which can reject up to 85% of waste rock. This produces a high-grade pre-concentrate that can be trucked to the mill, reducing both transport costs, and environmental impact.
- Permitting & Restart Potential: Management expects to receive an operating permit in early 2027, allowing production to restart within the year. Initial production is planned at 100 tpd, with potential annual output of approximately 500,000 oz of silver, translating to $22M in revenue at our long-term silver price forecast of $35/oz, and $46M at the current spot price of $72.50/oz.
- Undervalued Metrics: Our estimate of $22M in annual revenue from the Bayhorse mine suggests BHS is trading at 1.28x forward revenue, significantly below the 3.91x sector average, a 67% discount
- Pegasus Project – Copper Exposure: Strategically located near Hercules Metals’ (TSXV: BIG, MCAP: $180M) copper discovery in Idaho, backed by Barrick Gold (TSX: ABX), validating the region’s potential.
- Near-Term Catalysts: Drill results, operating permit approval, resource update, and potential M&A opportunities.
Risks
- Metal prices
- Exploration and development
- There is no assurance that the company can advance its projects simultaneously
- Access to capital and potential share dilution
Price and Volume (1-year)


* Qualified Persons: Mark Abrams, AIPG, Director of Bayhorse Silver Inc. Bayhorse has paid FRC a fee for research coverage and distribution of reports. See last page for other important disclosures, rating, and risk definitions. All figures in C$, except metal prices, which are in US$.
Two projects in the U.S
Portfolio Summary


BHS benefits from owning a fully permitted mill in Payette county, Idaho, located just 64 km from the Bayhorse mine, an advantage few juniors possess
This strategic infrastructure significantly reduces upfront capital requirements, and supports a faster path to production
Bayhorse Silver Mine, Oregon (100% interest)
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