Diablillos

All dollar ($) figures are presented in US dollars unless otherwise stated. Base case metal prices used in the PFS are $2,050 per gold (“Au”) ounce (“oz”) and $25.50 per silver (“Ag”) oz.

PFS Study Highlights:

• Attractive project economics: $747 million after-tax Net Present Value discounted at 5% per annum (“NPV₅%”); 27.6% Internal Rate of Return (“IRR”) and 2.0-year payback period.
  • At current spot prices¹ an after-tax NPV_5% of $1,291 million with an IRR of 39.3% and payback of 1.5 years.
• Substantial silver and gold production – 13.4 Moz silver-equivalent (“AgEq”) average annual production over a 14-year life-of-mine (“LOM”), comprised of 7.6 Moz Ag and 72 koz Au, with average annual production of 16.4 Moz AgEq over the first five years of full mine production, comprised of 11.7 Moz Ag and 59 koz Au.
• Low All-in Sustaining Cash Costs (“AISC”)² – Average AISC of $12.67/oz AgEq over LOM, and $11.23/oz AgEq over the first five years of full mine production.
• Initial capital expenditures - Initial pre-production capital expenditure of $544 million (including contingency) with a further $77 million in sustaining capital over the LOM.
• Significant potential for additional economic improvements – Several additional opportunities that may further enhance the economic returns as detailed later in this release:
  • Replacement of on-site self-generation from a combined solar-diesel power plant with a connection to the national grid under a long-term power purchase agreement from a third party. Capturing this opportunity would provide a meaningful reduction to initial capital, lower operating costs and, potentially, improve the carbon footprint of the Project.
  • A revised mine plan based on a new Mineral Resource and Reserve estimate that incorporates the additional Phase IV exploration drilling results at JAC and the northeast zone of Oculto as well as higher metal price assumptions. A new mine plan may present the opportunity to reduce strip ratio, and improve operating cashflow.
  • Expansion of available water resources to the Project to remove constraints on plant throughput resulting in increased metal production.
  • Treatment of marginal material currently classified as waste through secondary processing, such as heap leaching, resulting in increased metal production.
  • Improvements to the design of the Tailings Storage Facility (“TSF”) to reduce capital and operating cost, and also decrease the environmental footprint.

PFS Update – Summary of Key Changes

This PFS supersedes and incorporates several key changes and enhancements compared to the prior PFS in respect of the Project released on March 25, 2024 (the “Prior PFS”). These changes, combined with updated metal prices and capital and operating costs estimates, have resulted in a more robust study which confirms that Diablillos offers compelling future development potential due to its simplicity, grades and size. The key changes in the PFS include:

Incentive Regime for Large Investments (“RIGI”): The PFS incorporates the incentives offered under the new incentive regime for large investments, RIGI, which was passed by the Argentinean congress in July, 2024 and implemented in most Argentinean provinces, including Catamarca and Salta. These incentives include:

• a reduction of the federal corporate income tax rate from 35% to 25%;
• elimination of export duties levied on gold and silver sales respectively; and
• accelerated tax depreciation of plant and equipment.

Qualifying projects with expenditures above $200M may apply for RIGI before the law expires in July, 2026, and must spend 40% of the investment amount within two years of approval (by no later than July 2028). Diablillos meets all of the required qualifications for RIGI. The PFS considers an execution plan to obtain RIGI approval by no later than Q2 2026, giving the Project until Q2 2028 to spend 40% of the investment, or approximately $200M. According to the Diablillos construction schedule, the $200M threshold for committed capital will be achieved in approximately 12 months after the Project investment decision. An investment decision would therefore be required no later than the end of Q2 2027 to ensure the Project captures the RIGI benefits.

Mine Plan Optimization: A new mine plan has been incorporated resulting in an after tax NPV improvement of $61M by improving the mine sequencing. These improvements include accelerated production from the Shallow Gold zone due to more favorable expectations of blasting permits availability and improves the gold grade and gold production in the first five years of the mine plan.

Updated Capital Costs: Total initial capital expenditures (including contingency) increased by $170M. Beyond general cost inflation, the primary drivers behind this increase were changes to exchange rates on imported capital goods and updating of indirect costs to reflect market conditions, as well as updated manpower estimates during construction. The figure also includes capitalized waste stripping of $50M, resulting from the change in mining sequence, which was previously allocated to operating costs.

Updated Operating Costs: Operating costs reflect updated diesel prices of $0.95/l at current market conditions compared to the price of $0.71/l in March of this year, which included government subsidies that have since been eliminated. Operating costs were also revised for updated exchange rates applied to imported consumables.

Project Economics

Table 1 – Commodity Price Sensitivity Analysis

Economic Parameters	Base Case Prices	Spot Prices1	Down-Side Prices
Silver Price ($/oz)	$25.50	$30.70	$23.50
Gold Price ($/oz)	$2,050	$2,651	$1,850
After-tax NPV (5%, USD$ / CAD$ million)	$747 / $1,046	$1,291 / $1,808	$552 / $772
After-tax NPV (8%, USD$ / CAD$ million)	$552 / $772	$994 / $1,392	$392 / $549
After-Tax IRR (%)	27.6%	39.3%	22.8%
Payback (years)	2.0	1.5	2.4

¹Note: Spot Price as at close on November 29^th, 2024, per https://www.lbma.org.uk/ USD:CAD F/X rate: 1.40

The PFS presents a range of metal pricing scenarios on an after-tax basis to evaluate the economics of both upside and downside price scenarios. The economics of Diablillos are very robust and offer significant leverage to both silver and gold prices, with an after-tax NPV_5% of $1,291 Million and an IRR of 39.3% at current spot silver and gold prices (Table 1).

Production Summary

Diablillos is designed as a conventional open-pit mining operation with mill throughput of 9,000 tonnes per day (“tpd”) and an optimized production sequence targeting high-grade silver and gold mineralization in the early years of the mine plan. Over the 14-year mine life, the Project is expected to average annual production of 7.6 Moz silver and 72 koz gold, with an average of 11.7 Moz silver and 59 koz gold over the first five years of full mine production (Table 2 and Figure 1). The robust production profile in the initial years underlines the Project’s efficiency and strong cash-flow generation potential.

The processing plant has been designed for a nameplate capacity of 9,000 tpd, or 3.15 million tonnes per annum (“tpa”) considering 350 days a year of operation. A conventional silver/gold processing plant flowsheet was developed that incorporates crushing, grinding, gravity concentration, an intense cyanidation circuit, cyanide leaching with oxygen addition, counter current decantation washing thickeners and Merrill-Crowe precious metal recovery from solution followed by on-site smelting to doré bars. The leached solids are detoxified, thickened, and pumped to a TSF for permanent disposal.

Metallurgical test work has been carried out in a range of different laboratories between 1996 and 2023 and all the results have been considered as part of the PFS. A geo-metallurgical model has been developed segregating the deposit into five distinct domains, with overall LOM silver and gold recoveries averaging 83.6% and 86.8%, respectively.

Tailings from the process plant will be stored in a multi-phase, fully lined, cross valley TSF. The facility will be raised using the downstream method with the initial starter impoundment, constructed from borrow material and open pit pre-strip waste, providing storage for the first three years of production.

Table 2 – Grade and Production Profile

	Units	Avg. First 5 Years Full Production	Avg. LOM (Year 1 – 14)
Silver Grades	(g/t)	143 g/t	91 g/t
Gold Grades	(g/t)	0.71 g/t	0.81 g/t
Silver-Equivalent Grades	(g/t)	201 g/t	159 g/t
Silver Production	(M oz)	11.7	7.6
Gold Production	(k oz)	59	72
AgEq Production	(M oz)	16.4	13.4

Note: AgEq is calculated using base case prices for silver and gold (Au/Ag price ratio of 80.39)

Figure 1 – Annual Silver Equivalent Production and Grade Profile

Operating Costs

The operating cost estimates are based on an owner-operated truck and shovel mining operation, conventional processing plant, and TSF with power provided from an on-site combined solar-diesel power plant.

The PFS operating cost estimates are shown on a per tonne milled basis in Table 3. The PFS estimates that the AISC averages $11.23/oz AgEq the first five years of production, and $12.67/oz AgEq over the LOM. This AISC is believed to be at the low end of the primary silver production cost curve².

Table 3 – Mine Operating Cost Estimates

Operating Costs	Basis	Avg. LOM ($)
Mining (ore and waste)	per tonne milled	14.50
Processing Plant, Utilities and Maintenance	per tonne milled	22.71
Camp and Service Hub	per tonne milled	4.29
G&A and Logistics	per tonne milled	3.91
Total Operating Cost	per tonne milled	45.42

Project Capital Costs

The initial pre-production capital expenditures for the Project are summarized in Table 4. Capital expenditures to be incurred after the start-up of operations are assigned to sustaining capital and are projected to be covered by operating cash flows. Initial capital costs are estimated at $544 million including contingency and total sustaining capital costs are estimated at $77 million. Approximately 80% of the costs are based on quoted prices and this has resulted in a lower estimated contingency cost of $26 million. Over 60% of equipment, supplies, construction, and service procurement packages will be sourced from local companies, complying with local regulations.

Table 4 – Summary of Capital Cost Estimates

Description	Updated PFS Study	Prior PFS (Mar. 25, 2024)	Change
			Updated PFS vs. Prior PFS
	$ millions	$ millions	% Change	$ Change
Surface Mining	128.6	39.3	227%	89.3
Processing	111.7	96.9	15%	14.8
Site Infrastructure	166.7	152.0	10%	14.7
Owner and Indirect Costs	110.2	64.9	70%	45.3
Initial Capital Costs (excl. contingency)	517.2	353.2	46%	164
Contingency & Other Provisions	26.3	20.3	30%	6
Initial Capital Costs	543.5	373.5	46%	170
Sustaining Capital	76.5	65.0	18%	11.5
Closure	26.4	11.1	138%	15.3
Total Capital Costs	646.4	449.6	44%	196.8

Taxes and Royalties

The PFS incorporates the impact of Argentina’s recently enacted RIGI legislation designed to stimulate new large-scale investments. Under this framework, the Company expects a competitive fiscal regime, with key rates as follows:

• Argentina corporate income tax: 25%
• Municipal taxes: 1.2%
• Stamp Tax 1.6%
• Provincial mining royalty: 3%
• Export duties: 0%

In total, the updated taxes, royalties and export duties total $536 million in the PFS, compared to $965 million under the Prior PFS. Additionally, the RIGI program provides benefits such as the removal of all foreign exchange restrictions, value-added tax (VAT) reimbursement on capital expenditures, and tax stability for the life of mine.

A 1% NSR royalty is payable to EMX Royalty Corporation.

Summary of Economic Results

Table 5 summarizes the key economic results and parameters of the PFS.

Table 5 – Summary of Project Economics

Metrics	Units	Results
Life of mine	years	14
Total mineralized material mined	M tonnes	42.3
Total contained silver	M oz	123.4
Total contained gold	k oz	1,108.2
Strip ratio (excludes pre-stripping)	Waste:ore	6.2
Throughput	tpd	9,000
Head grade – silver (first 5 years / LOM)	g/t	143 / 91
Head grade – gold (first 5 years / LOM)	g/t	0.71 / 0.81
Recoveries – silver (first 5 years / LOM)	%	83.5 / 83.6
Recoveries – gold (first 5 years / LOM)	%	85.2 / 86.8
Average Production – silver (first 5 years / LOM)	M oz	11.7 / 7.6
Average Production – gold (first 5 years / LOM)	k oz	58.7 / 71.9
AISC (LOM) – silver equivalent (first 5 years / LOM)	$/oz AgEq	11.23 / 12.67
Initial Capital Costs (including contingency)	$ M	544
Sustaining Capital Costs	$ M	77
Pre-Tax NPV5%	$ M	1,114
After-Tax NPV5%	$ M	747

Next Steps – Definitive Feasibility Study

AbraSilver plans to advance the Project towards the completion of a Definitive Feasibility Study (“DFS”), which is expected to be finalized in H1/2026. The DFS will build upon the PFS by assessing all of the opportunities identified, will incorporate all the exploration results from the ongoing Phase IV, 20,000-metre drill program and provide a more detailed and comprehensive evaluation of the Project’s economics, engineering and environmental aspects.

The DFS will be led by a team of experienced engineers and consultants, with support from the Company’s technical team. It will be competitively tendered to qualifying Engineering, Procurement, Construction and Management firms and is expected to be awarded by no later than Q2 2025. The Company will provide regular updates on the progress of the DFS and looks forward to sharing the results, which are expected to further demonstrate the Company’s potential to become a significant low-cost silver-gold producer.

Non-IFRS Financial Measures

This news release contains certain non-IFRS measures, including AISC. AISC includes operating costs, royalties, sustaining capital, closure costs, and corporate G&A and is calculated based on guidance provided by the World Gold Council (“WGC”). WGC is not a regulatory industry organization and does not have the authority to develop accounting standards for disclosure requirements. The Company believes that these measures, together with measures determined in accordance with IFRS, provide investors with an improved ability to evaluate the underlying performance of the Company and the results of the PFS. Non-IFRS measures do not have any standardized meaning prescribed under IFRS, and therefore they may not be comparable to similar measures employed by other companies. The data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS.

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¹ Spot prices: $30.70/oz Ag & $2,651/oz Au closing prices on November 29^th, 2024 (Source: https://www.lbma.org.uk/
² Please see “Non-IFRS Financial Measures”
² www.silverinstitute.org/wp-content/uploads/2023/11/SilverMarket2023_interim-report.pdf?v=051310

Visualization of Conceptual Open Pits and Proposed Site Infrastructure at Diablillos

Mineral Reserve Estimate – As of March 07, 2024

The Table below shows the Proven and Probable Mineral Reserves at Diablillos by deposit. The Mineral Reserves were estimated using a silver price of $22.50/oz and a gold price of $1,750/oz.

Diablillos Mineral Reserve Estimate

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Notes for Mineral Reserve Estimate:

1. Mineral reserves have an effective date of March 07, 2024.
2. The Qualified Person for the Mineral Reserve Estimate is Mr. Miguel Fuentealba, P.Eng.
3. The mineral reserves were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Definition Standards for Mineral Resources and Reserves, as prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council.
4. The mineral reserves were based on a pit design which in turn aligned with an ultimate pit shell selected from a WhittleTM pit optimization exercise. Key inputs for that process are:
   • Metal prices of U$S 1,750/oz Au; U$S 22.50/oz Ag
   • Variable Mining cost by bench and material type. Average costs are U$S 1.94/t for all lithologies except for “cover” Cover mining cost of U$U 1.73/t, respectively.
   • Processing costs for all zone, U$S 22.97/t.
   • Infrastructure and G&A cost of U$S 3.32/t.
   • Pit average slope angles varying from 37° to 60°
   • The average recovery is estimated to be 82.6% for silver and 86.5% for gold.
5. The Mineral Reserve Estimate has been categorized in accordance with the CIM Definition Standards (CIM, 2014).
6. A Net Value per block (“NVB”) cut-off was used to constrain the Mineral Reserve with the reserve pitshell. The NVB was based on "Benefits = Revenue-Cost" being positive, where, Revenue = [(Au Selling Price (US$/oz) - Au Selling Cost (US$/oz)) x (Au grade (g/t)/31.1035)) x Au Recovery (%)] + [(Ag Selling Price (US$/oz) - Ag Selling Cost (US$/oz)) x (Ag grade (g/t)/31.1035)) x Ag Recovery (%)] and Cost = Mining Cost (US$/t) + Process Cost (US$/t) + Transport Cost (US$/t) + G&A Cost (US$/t) + [Royalty Cost (%) x Revenue]. The NVB method resulted in an average equivalent cut-off grade of approximately 46g/t AgEq.
7. In-situ bulk density was read from the block model, assigned previously to each model domain during the process of mineral resource estimation, according to samples averages of each lithology domain, separated by alteration zones and subset by oxidation.
8. All tonnages reported are dry metric tonnes and ounces of contained gold are troy ounces.
9. Mining recovery and dilution factors have not been applied to the Mineral Resource estimates.

November 2023 Mineral Resource Estimate

Diablillos Mineral Resource Estimate – As of November 22, 2023

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Notes for November 2023 MRE:

1. Mineral Resources are not Mineral Reserves and have not demonstrated economic viability.
2. The formula for calculating AgEq is as follows: Silver Eq oz = Silver oz + Gold oz x (Gold Price/Silver Price) x (Gold Recovery/Silver Recovery).
3. The Mineral Resource model was populated using Ordinary Kriging grade estimation within a three-dimensional block model and mineralized zones defined by wireframed solids, which are a combination of lithology and alteration domains.  The 1m composite grades were capped where appropriate.
4. The Mineral Resource is reported inside a conceptual Whittle open pit shell derived using US$ 24.00/oz Ag price, US $1,850/oz Au price, 82.6% process recovery for Ag, and 86.5% process recovery for Au. The constraining open pit optimization parameters used were US $1.94/t mining cost, US $22.97/t processing cost, US $3.32/t G&A cost, and average 51-degree open pit slopes.
5. The MRE has been categorized in accordance with the CIM Definition Standards (CIM, 2014).
6. A Net Value per block (“NVB”) cut-off was used to constrain the Mineral Resource with the conceptual open pit. The NVB was based on "Benefits = Revenue-Cost" being positive, where, Revenue = [(Au Selling Price (US$/oz) - Au Selling Cost (US$/oz)) x (Au grade (g/t)/31.1035)) x Au Recovery (%)] + [(Ag Selling Price (US$/oz) - Ag Selling Cost (US$/oz)) x (Ag grade (g/t)/31.1035)) x Ag Recovery (%)] and Cost = Mining Cost (US$/t) + Process Cost (US$/t) + Transport Cost (US$/t) + G&A Cost (US$/t) + [Royalty Cost (%) x Revenue]. The NVB method resulted in an average equivalent cut-off grade of approximately 45g/t AgEq.
7. The Mineral Resource is sub-horizontal with sub-vertical feeders and a reasonable prospect for eventual economic extraction by open pit methods.
8. In-situ bulk density was assigned to each model domain, according to samples averages of each lithology domain, separated by alteration zones and subset by oxidation.
9. All tonnages reported are dry metric tonnes and ounces of contained gold are troy ounces.
10. Mining recovery and dilution factors have not been applied to the Mineral Resource estimates.
11. The Mineral Resource was estimated by Mr. Luis Rodrigo Peralta, B.Sc., FAusIMM CP (Geo), Independent Qualified Person under National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43-101”).
12. Mr. Peralta is not aware of any environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues that could materially affect the potential development of the Mineral Resource.
13. All figures are rounded to reflect the relative accuracy of the estimates. Minor discrepancies may occur due to rounding to appropriate significant figures.
14. Totals may not agree due to rounding.

Mineral Resource Estimate Methodology

• The November 2023 MRE was completed by Luis Rodrigo Peralta, B.Sc., FAusIMM CP (Geo), Independent Consultant, in accordance with Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) Definition Standards incorporated, by reference, and in compliance with NI 43-101, and has been reviewed internally by AbraSilver.
• The MRE is the result of approximately 133,000 metres of drilling in 630 drill holes (historical and current). This includes the latest Phase III drill campaign, conducted in 2022/23, which totaled 24,077 metres.
• The MRE is based on the Oculto, JAC, Fantasma and Laderas deposits within the broader Diablillos property and is reported inside a conceptual Whittle open pit shell.  The cut-off grade was calculated using a Net Block Value calculation, based on the economic parameters outlined in the footnotes to the Table above.
• Gold and silver grades were estimated into the block model using reverse circulation drill holes, diamond drill holes including the recent drilling between 2019 to July 30^th, 2022. They were estimated applying the industry-standard estimation methodology of ordinary kriging and bias was reviewed using an inverse distance squared estimate for comparison. Drill hole intervals have been composited to a length of 1 m, which is the average sampling length for core sampling.
• Grade capping has been applied to composited grade intervals on a case-by-case basis within each estimation domain. The estimation domains were defined using a combination of lithology domains, alteration domains, and oxide / sulphides state, defining a set of 24 domains for gold and silver.

Significant Exploration Upside Potential

Numerous opportunities exist to further expand the Mineral Resources within the existing deposits, in addition to defining new mineralized zones through a step-out exploration drill campaign.  The Company is currently prioritizing and sequencing the various targets ahead of the next exploration campaign which commenced in Q2/2024.

• Oculto: MRE is based on a total of 457 drill holes, or approximately 104,800 metres.   Additional drilling would focus on expansion of the highest-grade portion of Oculto, the Tesoro Zone, and exploration of potential continuation of mineralization along known zones towards the northeast.
• JAC:  The new high-grade JAC deposit was discovered in August 2022 and the maiden MRE is based on a total of 112 drill holes, or approximately 20,800 metres.   Additional drilling would focus additional mineralized zones within the JAC magnetic low zone.
• Fantasma:  MRE is based on a total of 39 drill holes, or approximately 4,300 metres.   Additional drilling would focus on the potential continuity of mineralization along the approximately one kilometre zone connecting the Fantasma body to the Oculto deposit.
• Laderas:  MRE is based on a total of 22 drill holes, or approximately 3,200 metres.   Additional drilling would focus on continuity of the higher grade parts of the zone, as well as northeast extensions.
• Other Priority Targets Beyond the Current MRE:  Reconnaissance exploration, in combination with structural mapping and magnetic surveys, continues to generate new targets in other underexplored areas of Diablillos.  These targets include JAC North and Alpaca, neither of which have been included in the MRE due to insufficient drilling, as well as other zones with similar geological characteristics, where additional drilling is also warranted. 
  • JAC North: Initial drilling on the northern edge of the JAC deposit intersected a new zone of silver mineralization, JAC North, suggesting the possibility of a structure within the magnetic low anomaly parallel to the JAC deposit. This new target will be followed up in the next drill program.
  • Alpaca:  Historical drilling intersected silver mineralisation in the Alpaca area, located several hundred meters northwest of JAC. An interpretation of the magnetic signature suggests that a perpendicular zone of silver mineralisation may connect JAC with Alpaca. This is a high priority for the next drilling campaign.

Supporting Technical Disclosure

• Metallurgical recoveries: Metallurgical recoveries used in the MRE and open pit optimization were based on a new geo-metallurgical model built using recent metallurgical test works performed at the SGS Laboratory in Vancouver. This new model incorporates five domains, based on a master composite for each, comprised of approximately 15 samples per domain. A fixed value of metallurgical recovery has been applied to each domain. Overall weighted average recoveries of these five domains are 82.6% for silver and 86.5% for gold.  
• Open pit slopes: Open pit shell slope angles at Oculto are based on the 2022 geotechnical drilling and subsequent modelling. Six geotechnical sectors have been defined for use in the open pit optimization with the angles varying between 35 degrees in the unconsolidated overburden to 55 degrees in the granitic rock type, with the average overall angle being 51 degrees. As the JAC deposit is covered with unconsolidated colluvium a conservative pit slope angle of 35 degrees was used. Importantly the overburden at the JAC deposit is expected to be free-digging, resulting in lower mining costs.
• Updated operating cost estimates from the ongoing PFS have been used in the Net Value per Block method, totaling US$28.23/tonne processed, and these have been based on 73% firm quotations.
• A full Technical Report in respect of the November 2023 MRE will be prepared in accordance with NI 43-101 and will be filed on SEDAR+

Qualified Persons and Technical Information

The site visit, review of various geological aspects including sampling, drill core, logging, assay laboratory, independent check sample and November 2023 Mineral Resource estimate were done by Mr. Luis Rodrigo Peralta, B.Sc., FAusIMM CP (Geo). Mr. Peralta is an independent Qualified Person (“QP”) as defined by the NI 43-101.

Diablillos Phase III Exploration Campaign

The 22,000-metre Phase III drill program at the Diablillos project was successfully completed in August 2023.   The drill program achieved all of the main objectives, which are summarized below:

• Systematically drill off silver-dominant mineralisation at the JAC zone in order to estimate Measured and Indicated Mineral Resources that are incorporated into an updated Mineral Resource estimate and Pre-Feasibility Study on Diablillos.
• Delineate the margins of the JAC zone mineralization and conduct geotechnical drilling necessary for a conceptual open pit design.
• Conduct reconnaissance drilling at other targets on the Diablillos land package (including JAC North, Fantasma and Alpaca).

As part of the Phase III campaign, the Company discovered the new high-grade JAC zone, for which a maiden resource was announced on November 27, 2023.

Highlights of selected high-grade drill results at JAC reported from the Phase III drill program are summarized in the Table below:

JAC Zone – Highlights of Phase III High-Grade Intercepts at JAC

Drill Hole	From (m)	To (m)	Type	Interval (m)	Ag (g/t)	Au (g/t)	AgEq1 (g/t)
DDH-22-019	89.0	176.0	Oxides	87.0	346.0	0.15	356.5
DDH-22-044	121.0	179.0	Oxides	58.0	208.8	0.20	222.8
DDH-22-046	123.0	165.5	Oxides	42.5	400.5	0.11	408.2
DDH-22-052	139.5	164.5	Oxides	25.0	754.4	0.12	764.2
DDH-22-053	140.5	168.5	Oxides	28.0	266.4	0.64	318.8
DDH-22-056	110.0	167.5	Oxides	57.5	141.4	0.27	163.5
DDH-22-057	144.0	164.0	Oxides	20.0	498.6	0.10	506.8
DDH-22-058	138.0	152.5	Transition	14.5	176.2	-	176.2
DDH-22-060	114.0	154.0	Oxides	40.0	203.4	-	203.4
DDH-22-061	65.0	168.0	Oxides	103.0	138.7	-	138.7
DDH-22-062	119.0	170.0	Oxides	51.0	169.4	0.20	185.8
DDH-22-063	56.0	85.0	Oxides	33.0	143.4	-	143.4
DDH-22-063	135.0	169.0	Oxides	34.0	118.6	0.08	125.2
DDH-22-067	143.0	179.0	Oxides	36.0	463.3	0.71	521.5
DDH-22-067	179.0	206.0	Sulphides	27.0	745.0	1.54	871.1
DDH-22-075	151.0	167.0	Oxides	16.0	604.4	0.82	671.5
DDH-22-076	147.0	169.0	Oxides	22.0	476.8	0.20	493.2
DDH-22-076	169.0	177.5	Oxides	8.5	1,952.8	6.66	2,498.3
DDH-22-077	60.0	92.0	Oxides	32.0	121.9	-	121.9
DDH-22-078	58.0	99.0	Oxides	41.0	103.5	-	103.5
DDH-22-079	144.0	179.0	Oxides	35.0	199.2	0.36	228.7
DDH-22-080	50.0	102.0	Oxides	52.0	125.1	-	125.1
DDH-22-081	128.0	165.0	Oxides	37.0	179.3	-	179.3
DDH-22-082	154.5	181.0	Transition	26.5	311.4	0.43	346.6
DDH-22-083	159.0	184.0	Transition	25.0	773.8	0.28	796.7
DDH-22-086	158.0	167.0	Sulphides	9.0	342.3	-	342.3
DDH-23-002	148.0	165.0	Transition	17.0	288.6	0.14	300.1
DDH-23-003	155.8	161.5	Sulphides	5.8	502.2	-	502.2
DDH-23-004	136.0	150.0	Oxides	14.0	3,024.5	0.21	3,041.7
DDH-23-007	115.0	119.0	Oxides	4.0	2,320.0	-	2,320.0
DDH-23-009	161.0	169.5	Oxides	8.5	479.2	0.15	491.5
DDH-23-010	132.0	177.5	Oxides	45.5	233.4	-	233.4
DDH-23-014	127.0	173.5	Oxides	46.5	185.0	0.50	226.0
DDH-23-017	92.0	104.0	Oxides	12.0	876.1	-	876.1
DDH-23-021	161.5	193.5	Oxides	32.0	530.8	0.60	579.9
DDH-23-024	144.0	161.0	Oxides	17.0	828.9	-	828.9
DDH-23-025	100.0	179.0	Oxides	79.0	237.6	0.15	249.9
DDH-23-036	140.0	150.0	Oxides	10.0	520.0	0.04	523.3
DDH-23-039	105.0	124.0	Oxides	19.0	253.4	-	253.4
DDH-23-046	157.0	160.0	Oxides	3.0	2,070.0	0.27	2,092.1
DDH-23-050	156.5	167.0	Oxides	10.5	281.4	-	281.4
DDH-23-061	134.0	153.5	Oxides	19.5	272.8	-	272.8
DDH-23-070	41.0	105.0	Oxides	64.0	148.1	-	148.1

Note: All results are rounded. Assays are uncut and undiluted. Widths are drilled widths, not true widths. True widths are estimated to be approximately 80% of the interval widths.

¹ AgEq based on 81.9(Ag):1(Au) calculated using long-term prices of US$25.00/oz Ag and US$1,750/oz Au, and 73.5% process recovery for Ag, and 86.0% process recovery for Au as demonstrated in the Company’s PEA in respect of Diablillos dated January 13, 2022, using formula:  AgEq g/t = Ag g/t + Au g/t x (Gold Price/Silver Price) x (Gold Recovery/Silver Recovery).

Over US$50 million has been spent on exploration at Diablillos totaling over 100,000 meters of drilling in over 450 holes.