Americas Gold and Silver Third Quarter 2026 Webcast - AMERICAS GOLD & SILVER CORP

Explicit Guidance:

• Full-Year 2026 Production: On pace to achieve the lower end of guidance for 3.2 to 3.6 million ounces of silver.
• Q4 2026 Costs: Management anticipates Q4 costs to decrease relative to Q3, with the expectation of completing key capital projects to support future efficiency, though specific Q4 cost per ounce ranges are not numerically defined in the transcript.
• Share Count/Dividends: No explicit numerical guidance provided for share count changes, dividends, or buybacks; focus remains on capital reinvestment.

Business-Segment Outlook:

• COSOLA (Mexico): Expected to shatter 2025 production records in 2026 with strong momentum into 2027, driven by higher-grade EC-120 zone mining.
• Galena (USA): Transitioning to long-haul mechanized mining with immediate productivity gains (increased cycle times from 35–50 tons to 150–200 tons per shift) and a focus on sustainable, long-term production growth rather than short-term peaks.
• Production Targets: Management aims to establish a "very significant and sustainable silver production base" at Galena and build on COSOLA's success to support long-term output.
• Exploration to Production: Accelerated conversion of new discoveries to active mining; specifically, the 034 vein discovery (18 months ago) is already being mined, suggesting new high-grade ore bodies could contribute to mill feed within 2027.
• Resource Upgrades: Recent drilling at COSOLA (EC-120/San Rafael) and Galena (49 zone) showing grades 8–10x wider and 2–3x higher than previously modeled; expected to drive future resource estimates and mine plan enhancements.

Market and Competitive Outlook:

• Demand Drivers: Silver, copper, and antimony identified as critical for advanced manufacturing, electrification, AI infrastructure, and national security.
• Competitive Positioning: Company aims to become one of North America's leading silver producers and a strategic supplier of critical minerals.
• Operational Efficiency: Competitive advantage sought through the "iterative flywheel" of continuous improvement, modernizing 100-year-old infrastructure, and eliminating dilution via domain-specific drilling and blasting strategies.
• Cost Structure: Anticipated reduction in cash costs driven by copper by-product credits (increased 30% YoY) and operational efficiency gains, with costs trending lower than the previous year's $25/oz level (Q3 2026 saw ~$14.50 cash cost).

Macro / Industry Outlook:

• Supply Chain: Positioned to contribute meaningfully to supply chains for critical minerals required by AI and defense sectors.
• Geopolitical/Security: High-grade operations and domestic focus (USA/Mexico) aligned with national security interests in critical mineral supply.

Strategic Initiatives:

• Galena Infrastructure:
  • Paceville Plant: New plant construction expected to start Q1 2027 and finish by end of quarter; designed to extend tailings dam life by 8–10 years via dry-stack implementation.
  • Communication: Implementation of leaky feeder systems for 100% underground comms (up from 15%) to improve supervision.
  • Fleet Modernization: Transition to remote mucking and modernized long-hole drilling fleets.
  • Waste Development: Accelerating waste development to support future high-grade mining faces.
• Capital Structure: Removal of variable metal price-linked obligations following the settlement of precious metals delivery contracts in Q2 2026; $15 million additional liquidity available under term loan facility.
• ESG: Inaugural Corporate Sustainability Report published October 2026; 2027 report expected in H1 2027.
• Joint Ventures: Collaboration with U.S. Antimony for antimony supply chains.

Risks and Headwinds to Outlook:

• Capital Execution: Risks associated with completing complex capital projects at a 100-year-old mine; delays in Paceville plant or waste development could impact the schedule for higher production.
• Geological Complexity: Need to identify and adapt to 2–3 distinct geological domains for long-hole mining to prevent dilution; fluidity in blast and drill parameters required.
• Cost Volatility: Q3 OPEX was higher due to development push and capital project spending; sustained higher costs possible if capital projects are not finalized.
• Resource Conversion: Current exploration success and high grades are not yet included in the 2025 Mineral Resource and Reserve Estimates; future reserves are subject to conversion success.
• Weather: Paceville plant construction timeline (Q1 start) is subject to weather conditions.

Management Tone on the Future:

• Confidence Level: Extremely high and confident; CEO describes the future as a "tremendous opportunity" and a "marathon" rather than a sprint.
• Personal Stake: CEO explicitly states being one of the largest shareholders and has "never felt better" about the company's trajectory.
• Strategic Certainty: Firm commitment to long-term value creation over short-term production spikes; emphasis on "boring" consistency in operations.
• Sentiment: Positive regarding exploration upside, cost reductions, and the structural turnaround at Galena.

Miscellaneous:

• Timeline for Resource Updates: Future mineral resource and reserve estimates will be updated to include recent high-grade drilling results (not included in 2025 reports).
• Safety: Zero lost time accidents maintained since March 2025 (Galena) and April 2025 (COSOLA), correlated with record production.
• Liquidity: Ended Q3 2026 with $63 million cash and equivalents; total available liquidity including term facility is $113 million.