AG.TO · 2024-04-01 12:00:00

First Majestic Announces 2023 Mineral Reserve and Mineral Resource Estimates

Resource Estimates

First Majestic Announces 2023 Mineral

Reserve and Mineral Resource Estimates

Vancouver, British Columbia--(Newsfile Corp. - April 1, 2024) - First Majestic Silver Corp. (NYSE: AG)

(TSX: FR) (FSE: FMV) (the

Company

or "First Majestic") is pleased to announce the 2023 Mineral

Reserve and Mineral Resource estimates for its four material mineral properties with an effective date of

December 31, 2023. Three material properties are currently in production: the San Dimas Silver/Gold

Mine, the Santa Elena Silver/Gold Mine, and the La Encantada Silver Mine. The fourth material property,

the Jerritt Canyon Gold Mine, is currently in temporary suspension in respect of mining activities, with the

Company currently focused on exploration, definition, and expansion of the mineral resources, and the

optimization of mine planning and plant operations.

During 2023, the Company completed a total of 143,454 metres of exploration drilling. Approximately

85% of this drilling was focused on near-mine or brownfield targets while the remainder was focused on

greenfield targets exploring for new discoveries. In 2023, the Company's Measured and Indicated and

Inferred Mineral Resource estimates remained relatively unchanged in contained silver equivalent

("AgEq") ounces; exploration results also successfully offset of Reserve depletion following record

annual production of 9.6 million AgEq ounces.

2023 HIGHLIGHTS

(compared to prior Mineral Reserve and Mineral Resource estimates on

December 31, 2022)

Proven and Probable ("P&P") Mineral Reserve estimates at the Company's three producing

material assets totalled 122.5 million AgEq ounces consisting of 56.1 million ounces of silver and

671,000 ounces of gold, which represents a 2% decrease in tonnes, a 9% decrease in silver

ounces and a 14% decrease in gold ounces.

Measured and Indicated ("M&I") Mineral Resource estimates (inclusive of Mineral Reserves) for

the four material assets totalled 346.6 million AgEq ounces consisting of 95.9 million ounces of

silver and 2.9 million ounces of gold, which represents a 1% increase in tonnes, a 6% decrease in

silver ounces and a 3% increase in gold ounces, respectively. The changes to Mineral Resource

estimates reflect mining depletion and updated cut-off grades from new economic parameters

including costs, metal recoveries and metal prices. Exploration drilling results added new Mineral

Resources and identified additional mineralized areas. Jerritt Canyon added 207,000 ounces of

gold to its M&I Mineral Resource estimates.

Inferred Mineral Resource estimates for the Company's four material assets totalled 283.8 million

AgEq ounces consisting of 65 million ounces of silver and 2.6 million ounces of gold, which

represents a 6% increase in tonnes, a 12% decrease in silver ounces and a 10% increase in gold

ounces. Jerritt Canyon added 360,000 ounces of gold to its Inferred Mineral Resource driven by a

combination of expansionary drilling results, modelling of additional mineralized areas and a

decreased cut-off grade.

2023 PRODUCTION TABLE

Units

DIMAS

SANTA

ELENA

ENCANTADA

JERRITT

CANYON

TOTAL

Ore Processed

Tonnes

875,345

882,592

966,392

177,643

2,901,972

Material from Reserves

Mined and Processed

Tonnes

764,444

882,592

152,259

1,799,295

Material Mined from

Areas Not in Reserves

Tonnes

110,900

814,134

177,643

1,102,677

Silver Produced

Ounces

6,355,308

1,176,591

2,718,856

10,250,755

Gold Produced

Ounces

76,964

100,535

321

21,101

198,921

Silver-Equivalent

Produced from Gold

Ounces

6,434,612

8,395,201

26,766

1,767,083

16,623,662

Silver-Equivalent

Produced

Ounces

12,789,920

9,571,792

2,745,622

1,767,083

26,874,417

Silver-equivalent ounces are estimated considering metal price assumptions, metallurgical recovery for the corresponding mineral

type/mineral process and the metal payable of the corresponding contract of each mine. Details as to the method of calculation can be found

in the applicable tables in each mine section of the Company's Annual Information Form dated April 1, 2024 (the "AIF").

Metal price assumptions used to estimate the December 31, 2023 Mineral Reserves were $22.50/oz for

silver and $1,850/oz for gold. This compares to the previous metal price assumptions of $21.50/oz for

silver and $1,750/oz for gold used to calculate the Company's 2022 Mineral Reserve estimates.

Metal price assumptions used to estimate the December 31, 2023 Mineral Resources were $24.50/oz

for silver and $2,000/oz for gold. This compares to the previous metal price assumptions of $23.00/oz

for silver and $1,900/oz for gold used to calculate the Company's 2022 Mineral Resources estimates.

MINERAL RESERVE AND MINERAL RESOURCE ESTIMATES

As of December 31, 2023, P&P Mineral Reserve estimates at the Company's three producing material

assets totalled 56.2 million ounces of silver and 671,000 ounces of gold, which represents a total of

122.5 million AgEq ounces.

Santa Elena's P&P Mineral Reserve estimates remained relatively unchanged despite record

production of 9.6 million AgEq ounces from Ermitaño. At La Encantada, P&P Mineral Reserves

estimates increased mainly due to mine design updates in the Milagros ore body. At San Dimas, P&P

Mineral Reserve estimates decreased due to a combination of depletion, cost driven increase of cut-off

grade and the exclusion of low tonnage pillars.

Proven and Probable Mineral Reserve Estimates with an Effective Date of December 31, 2023

Mine

Mineral

Tonnage

Grades

Metal Content

Category

Type

k tonnes

Ag (g/t)

Au (g/t)

Ag-Eq (g/t)

Ag (k Oz)

Au (k Oz)

Ag-Eq

(k Oz)

SAN DIMAS

Proven (UG)

Sulphides

1,972

265

3.47

556

16,780

220

35,270

Probable (UG)

Sulphides

1,663

254

2.69

480

13,580

144

25,640

Total Proven

and Probable

(UG)

Sulphides

3,635

260

3.11

521

30,360

364

60,910

SANTA

ELENA

Proven (UG -

Ermitano)

Sulphides

590

3.87

548

1,473

10,386

Proven (UG -

Santa Elena)

Sulphides

164

140

1.54

267

735

1,408

Probable (UG -

Ermitano)

Sulphides

2,086

2.87

414

4,367

193

27,774

Probable (UG -

Santa Elena)

Sulphides

679

167

1.30

275

3,636

5,996

Probable (Pad)

Oxides

325

0.39

266

677

Total Proven

and Probable

(UG+Pad)

Oxides +

Sulphides

3,843

2.48

374

10,478

307

46,241

ENCANTADA

Probable (UG)

Oxides

3,675

130

15,321

Total Probable

(UG)

Oxides

3,675

130

15,321

Consolidated

FMS

Proven (UG)

All mineral types

2,726

217

3.44

537

18,988

302

47,064

Probable (UG)

All mineral types

8,428

137

1.36

278

37,171

369

75,409

Total Proven

and Probable

All mineral types

11,153

157

1.87

342

56,159

671

122,472

Mineral Reserves have been classified in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum ("

CIM

") Definition

Standards on Mineral Resources and Mineral Reserves, whose definitions are incorporated by reference into NI 43-101.

The Mineral Reserve statement provided in the table above has an effective date of December 31, 2023, except for the Santa Elena Leach

Pad estimate, which has an effective date of March 11, 2024.

The Mineral Reserve estimates were prepared under the supervision of, or were reviewed by, Brian Boutilier, P.Eng., Internal QP for First

Majestic, who is a Qualified Person under NI 43-101.

The Mineral Reserves were estimated from the M&I portions of the Mineral Resource estimates. Inferred Mineral Resources were not

considered to be converted into Mineral Reserve estimates.

AgEq is estimated considering metal price assumptions, metallurgical recovery for the corresponding mineral type/mineral process and

the metal payable of the selling contract.

(a)

The AgEq grade formula used was:

AgEq Grade = Ag Grade + Au Grade * (Au Recovery * Au Payable * Au Price) / (Ag Recovery * Ag Payable * Ag Price).

(b)

Metal prices considered for Mineral Reserve estimates were $22.5/oz Ag and $1,850/oz Au for all sites.

(c)

Other key assumptions and parameters include: metallurgical recoveries; metal payable terms; direct mining costs, processing

costs, indirect and G&A costs and sustaining costs. These parameters are different for each mine and mining method assumed and

are presented in each mine section of the AIF.

A two-step constraining approach has been implemented to estimate Mineral Reserves for each mining method in use: A General Cut-Off

Grade ("GC") was used to delimit new mining areas that will require development of access, infrastructure and all sustaining costs. A

second Incremental Cut-Off Grade ("IC") was considered to include adjacent mineralized material which recoverable value pays for all

associated costs, including but not limited to the variable cost of mining and processing, indirect costs, treatment, administration costs

and plant sustaining costs but excludes the access development assumed to be covered by the block above the GC grade.

The cut-off grades, metallurgical recoveries, payable terms and modifying factors used to convert Mineral Reserves from Mineral

Resources are different for all mines and are presented in each mine section in the AIF.

Modifying factors for conversion of resources to reserves include consideration for planned dilution which is based on spatial and

geotechnical aspects of the designed stopes and economic zones, additional dilution consideration due to unplanned events, materials

handling and other operating aspects, and mining recovery factors. Mineable shapes were used as geometric constraints.

Tonnage is expressed in thousands of tonnes; metal content is expressed in thousands of ounces. Metal prices and costs are expressed

in USD.

Numbers have been rounded as required by reporting guidelines. Totals may not sum due to rounding.

The technical reports from which the above-mentioned information is derived are cited under the heading "Technical Reports for Material

Properties" in the AIF.

M&I Mineral Resource estimates for the four material assets totalled 346.6 million AgEq ounces

consisting of 95.9 million ounces of silver and 2.9 million ounces of gold. The M&I tonnes increased by

1% compared to 2022. M&I Mineral Resources at Jerritt Canyon increased by 207,000 gold ounces

primarily due to successful drilling programs at the SSX and Smith mines that expanded the

mineralization, combined with an overall decrease in gold cut-off grade from assumptions related to

increased gold prices and lower costs due to self-performed mining instead of third-party contractor

mining. M&I Mineral Resource estimates are reported inclusive of Mineral Reserve estimates.

Inferred Mineral Resource estimates for the Company's four material properties totalled 283.8 million

AgEq ounces consisting of 65 million ounces of silver and 2.6 million ounces of gold. Successful

exploration drilling at Jerritt Canyon outlined new Inferred Resource estimates, additional mineralized

areas were modeled, and a reduction of the gold cut-off grade all contributed to an increase in Inferred

Resources totalling 360,000 ounces of gold.

Measured and Indicated Mineral Resource Estimates with an Effective Date of December 31,

2023

Mine /

Project

Mineral

Tonnage

Grades

Metal Content

Category / Area

Type

k tonnes

Ag (g/t)

Au (g/t)

Ag-Eq (g/t)

Ag (k Oz)

Au (k Oz)

Ag-Eq

(k Oz)

MATERIAL

PROPERTIES

SAN DIMAS

Measured (UG)

Sulphides

2,124

449

5.92

942

30,640

404

64,340

Indicated (UG)

Sulphides

1,821

353

3.80

671

20,680

223

39,260

Total Measured

and Indicated

(UG)

Sulphides

3,945

405

4.94

817

51,320

627

103,600

SANTA

ELENA

Measured

Ermitano (UG)

Sulphides

612

4.38

613

1,600

12,060

Measured Santa

Elena (UG)

Sulphides

387

152

1.72

295

1,890

3,670

Indicated

Ermitano (UG)

Sulphides

2,306

3.45

489

5,260

256

36,280

Indicated Santa

Elena (UG)

Sulphides

1,384

163

1.52

290

7,250

12,890

Indicated (Leach

Pad)

Oxides Spent

Ore

337

0.39

270

690

Total Measured

and Indicated

(UG+Pad)

All Mineral

Types

5,026

101

2.69

406

16,280

435

65,590

JERRITT

CANYON

Measured (UG)

Sulphides

5,717

5.25

429

966

78,850

Indicated (UG)

Sulphides

4,490

5.42

442

782

63,860

Indicated (OP)

Sulphides

711

3.43

280

6,400

Total Measured

and Indicated

(UG and OP)

All Mineral

Types

10,918

5.20

425

1,827

149,110

ENCANTADA

Indicated (UG)

Oxides

3,299

178

18,900

Indicated Tailings

Deposit No. 4

Oxides

2,458

119

9,410

Total Indicated

(UG+Tailings)

All Mineral

Types

5,756

153

28,310

TOTAL

MATERIAL

PROPERTIES

Total Measured

(UG)

All Mineral

Types

8,840

120

5.20

559

34,130

1,478

158,920

Total

Indicated(UG and

OP)

All Mineral

Types

16,806

114

2.61

347

61,770

1,411

187,690

Total Measured

and Indicated

(UG and OP)

All Mineral

Types

25,646

116

3.50

420

95,900

2,888

346,610

Mineral Resource estimates have been classified in accordance with the CIM Definition Standards on Mineral Resources and Mineral

Reserves, whose definitions are incorporated by reference into NI 43-101.

The Mineral Resource estimates provided above have an effective date of December 31, 2023, except for the Santa Elena Leach Pad

estimate, which has an effective date of March 11, 2024.

The Mineral Resource estimates were prepared by the Company's Internal QPs, who have the appropriate relevant qualifications, and

experience in geology and resource estimation. The Mineral Resource estimates were prepared under the supervision of, or were

reviewed by, David Rowe, CPG, Internal QP for First Majestic, who is a Qualified Person under NI 43-101.

Sample data was collected through a cut-off date of December 31, 2023 for the material properties except for the Santa Elena Leach Pad

estimate, which has an effective date of March 11, 2024.

All properties account for relevant technical information and mining depletion

through December 31, 2023.

Metal prices considered for Mineral Resource estimates were $24.5/oz Ag and $2,000/oz Au.

Silver-equivalent grade is estimated considering: metal price assumptions, metallurgical recovery for the corresponding mineral

type/mineral process and the metal payable of the corresponding contract of each mine. Estimation details are listed in each mine section

of the AIF.

The cut-off grades and cut-off values used to report Mineral Resources are different for all mines. The cut-off grades, values and

economic parameters are listed in the applicable section describing each mine section in the AIF.

M&I Mineral Resource estimates are inclusive of the Mineral Reserve estimates.

Tonnage is expressed in thousands of tonnes; metal content is expressed in thousands of ounces. Totals may not add up due to rounding.

The technical reports from which the above-mentioned information for the material properties is derived are cited under the heading

"Technical Reports for Material Properties" in the AIF.

Inferred Mineral Resource Estimates with an Effective Date of December 31, 2023

Mine /

Project

Mineral

Tonnage

Grades

Metal Content

Category / Area

Type

k tonnes

Ag (g/t)

Au (g/t)

Ag-Eq (g/t)

Ag (k Oz)

Au (k Oz)

Ag-Eq

(k Oz)

MATERIAL

PROPERTIES

SAN DIMAS

Inferred Total

(UG)

Sulphides

3,959

306

3.67

612

38,990

467

77,940

Inferred Total

(UG)

Sulphides

3,959

306

3.67

612

38,990

467

77,940

SANTA

ELENA

Inferred Ermitaño

(UG)

Sulphides

2,049

2.34

349

4,280

154

22,970

Inferred Santa

Elena (UG)

Sulphides

1,340

143

1.55

272

6,160

11,700

Inferred (Leach

Pad)

Oxides Spent Ore

0.66

101

160

Inferred Total

(UG + Pad)

All Mineral

Types

3,439

2.01

315

10,500

222

34,840

JERRITT

CANYON

Inferred Total

(UG)

Sulphides

11,565

4.89

399

1,819

148,490

Inferred Total

(OP)

Sulphides

862

3.10

253

7,010

Inferred Total

(UG & OP)

Sulphides

12,427

4.77

389

1,905

155,500

ENCANTADA

Inferred Total

(UG)

Oxides

2,115

204

13,890

Inferred Tailings

Deposit No. 4

Oxides

427

118

1,620

Inferred Total

(UG + Tailings)

All Mineral

Types

2,542

190

15,510

Total Inferred

Material

Properties

All Mineral

Types

22,367

3.61

395

65,000

2,594

283,790

Mineral Resource estimates have been classified in accordance with the CIM Definition Standards on Mineral Resources and Mineral

Reserves, whose definitions are incorporated by reference into NI 43-101.

The Mineral Resource estimates provided above have an effective date of December 31, 2023, except for the Santa Elena Leach pad

estimate, which has an effective date of March 11, 2024. The Mineral Resource estimates were prepared by the Company's Internal QPs,

who have the appropriate relevant qualifications, and experience in geology and resource estimation.

The Mineral Resource estimates were prepared under the supervision of, or were reviewed by, David Rowe, CPG, Internal QP for First

Majestic, who is a Qualified Person under NI 43-101.

Sample data was collected through a cut-off date of December 31, 2023 for the material properties, except for the Santa Elena Leach pad

estimate, which has an effective date of March 11, 2024.

All properties account for relevant technical information and mining depletion

through December 31, 2023.

Metal prices considered for Mineral Resource estimates were $24.5/oz Ag and $2,000/oz Au.

Silver-equivalent grade is estimated considering metal price assumptions, metallurgical recovery for the corresponding mineral

type/mineral process and the metal payable of the corresponding contract of each mine. Estimation details are listed in each mine section

of the AIF.

The cut-off grades and cut-off values used to report Mineral Resource estimates are different for all mines. The cut-off grades, values and

economic parameters are listed in the applicable section describing each mine section in the AIF.

Tonnage is expressed in thousands of tonnes; metal content is expressed in thousands of ounces. Totals may not add up due to rounding.

The technical reports from which the above-mentioned information for the material properties is derived are cited under the heading

"Technical Reports for Material Properties" in the AIF.

The Company also announces that it has filed its Annual Information Form for the year ended December

31, 2023 (the "AIF") under its profile on SEDAR+ at

www.sedarplus.ca

. In addition, the Company has

filed its Annual Report on Form 40-F for the year ended December 31, 2023 with the United States

Securities and Exchange Commission.

The Form 40-F, which includes the Company's annual audited

financials statements, management's discussion and analysis ("MD&A") and AIF, is available on

EDGAR at

www.sec.gov/edgar

, and on the Company's website at

www.firstmajestic.com

Shareholders may also receive a copy of First Majestic's Annual Report which includes the annual

audited financial statements and MD&A, free of charge, upon request to First Majestic, Suite 1800 - 925

West Georgia Street, Vancouver, B.C., Canada, V6C 3L2, or by e-mail to

[email protected]

QUALIFIED PERSONS

Scientific and technical disclosure in this news release relating to the Company's material properties is

based on technical reports for the material properties that have been prepared in accordance with

National Instrument 43-101

Standards of Disclosure for Mineral Projects

("NI 43-101") (collectively, the

"Technical Reports"). The Technical Reports have been filed under the Company's profile on SEDAR+

www.sedarplus.ca

. The technical information has been updated with more current information where

appropriate.

Gonzalo Mercado, P.Geo., the Company's Vice President of Exploration and Technical Services and a

"Qualified Person" as defined under NI 43-101, has reviewed and approved the scientific and technical

information contained in this news release.

Mineral Resource estimates were prepared under the

supervision of, or were reviewed by, David Rowe, CPG, our Director of Mineral Resources. Mineral

Reserve estimates were prepared under the supervision of, or were reviewed by, Brian Boutilier, P.Eng.,

our Principal Mine Planning Engineer. Each of Mr. Rowe and Mr. Boutilier are also "Qualified Persons"

under NI 43-101.

ABOUT THE COMPANY

First Majestic is a publicly traded mining company focused on silver and gold production in Mexico and

the United States. The Company presently owns and operates the San Dimas Silver/Gold Mine, the

Santa Elena Silver/Gold Mine, and the La Encantada Silver Mine as well as a portfolio of development

and exploration assets, including the Jerritt Canyon Gold project located in northeastern Nevada, U.S.A.

First Majestic is proud to offer a portion of its silver production for sale to the public. Bars, ingots, coins

and medallions are available for purchase online at

www.firstmint.com

, at some of the lowest premiums

available.

FOR FURTHER INFORMATION, contact

[email protected]

, visit our website at

www.firstmajestic.com

or call our toll-free number: 1.866.529.2807.

FIRST MAJESTIC SILVER CORP.

"signed"

Keith Neumeyer, President & CEO

Cautionary Note Regarding Forward-Looking Statements

This press release contains "forward-looking information" and "forward-looking statements" under

applicable Canadian and U.S. securities laws (collectively, "forward-looking statements"). These

statements relate to future events or the Company's future performance, business prospects or

opportunities that are based on forecasts of future results, estimates of amounts not yet determinable

and assumptions of management made in light of management's experience and perception of historical

trends, current conditions and expected future developments. Forward-looking statements in this press

release include, but are not limited to, statements with respect to: the expansion of Mineral Resources.

Assumptions may prove to be incorrect and actual results may differ materially from those anticipated.

Consequently, guidance cannot be guaranteed. As such, investors are cautioned not to place undue

reliance upon guidance and forward-looking statements as there can be no assurance that the plans,

assumptions or expectations upon which they are placed will occur. All statements other than statements

of historical fact may be forward-looking statements. Statements concerning proven and probable

mineral reserves and mineral resource estimates may also be deemed to constitute forward-looking

statements to the extent that they involve estimates of the mineralization that will be encountered as and

if the property is developed, and in the case of measured and indicated mineral resources or proven and

probable mineral reserves, such statements reflect the conclusion based on certain assumptions that the

mineral deposit can be economically exploited. Any statements that express or involve discussions with

respect to predictions, expectations, beliefs, plans, projections, objectives or future events or

performance (often, but not always, using words or phrases such as "seek", "anticipate", "plan",

"continue", "estimate", "expect", "may", "will", "project", "predict", "forecast", "potential", "target",

"intend", "could", "might", "should", "believe" and similar expressions) are not statements of historical

fact and may be "forward-looking statements".

Actual results may vary from forward-looking statements. Forward-looking statements are subject to

known and unknown risks, uncertainties and other factors that may cause actual results to materially

differ from those expressed or implied by such forward-looking statements, including but not limited to:

the duration and effects of the coronavirus and COVID-19, and any other pandemics on our operations

and workforce, and the effects on global economies and society; general economic conditions including

inflation risks; actual results of exploration activities; conclusions of economic evaluations; changes in

project parameters as plans continue to be refined; commodity prices; variations in ore reserves, grade

or recovery rates; actual performance of plant, equipment or processes relative to specifications and

expectations; accidents; labour relations; relations with local communities; changes in national or local

governments; changes in applicable legislation or application thereof; delays in obtaining approvals or

financing or in the completion of development or construction activities; exchange rate fluctuations;

requirements for additional capital; government regulation; environmental risks; reclamation expenses;

outcomes of pending litigation; limitations on insurance coverage as well as those factors discussed in

the section entitled

"Description of the Business - Risk Factors"

in the Company's most recent AIF,

available on SEDAR+ at

www.sedarplus.ca

and Form 40-F available on EDGAR at

www.sec.gov/edgar

. Although First Majestic has attempted to identify important factors that could cause

actual results to differ materially from those contained in forward-looking statements, there may be other

factors that cause results not to be as anticipated, estimated or intended.

The Company believes that the expectations reflected in these forward-looking statements are

reasonable, but no assurance can be given that these expectations will prove to be correct and such

forward-looking statements included herein should not be unduly relied upon. These statements speak

only as of the date hereof. The Company does not intend, and does not assume any obligation, to

update these forward-looking statements, except as required by applicable laws.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/203834

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