Silver Mountain Letter to Shareholders: 2024 Achievements and 2025 Goals FOR Reliquias MINE Production
SILVER MOUNTAIN LETTER TO
SHAREHOLDERS: 2024 ACHIEVEMENTS AND
2025 GOALS FOR RELIQUIAS MINE
PRODUCTION
TORONTO
,
Jan. 21, 2025
/CNW/ - Silver Mountain Resources Inc. ("Silver Mountain" or the
"Company") (TSXV: AGMR) (OTCQB: AGMRF) is pleased to share an update with its valued
shareholders regarding our planned activities for 2025, alongside a review of our significant
achievements from 2024.
Dear Shareholders and Stakeholders,
We are excited to reflect on our notable progress over the past year and outline the exciting plans
for Silver Mountain in 2025. Our unwavering mission—to establish Silver Mountain as a leading entity
in the mining sector—remains the driving force behind our efforts. As we embark on a transformative
2025, we are leveraging the strong foundation laid in 2024 to advance our projects, prioritize
sustainability, and create lasting value for all of our stakeholders. Your trust and support has been
invaluable in our journey, and we sincerely appreciate your partnership.
Looking to the future, we are optimistic about our growth prospects. Through strategic investments
and focused execution, we aim to reach significant operational milestones that will position Silver
Mountain as a premier silver producer in the industry. Our commitment to providing robust returns for
our shareholders is matched only by our dedication to safety, environmental stewardship, and
community engagement.
Highlights of Our Achievements in 2024:
Zero-Accident Safety:
We maintained a flawless safety record throughout 2024, reflecting our
unwavering dedication to the health and well-being of our workforce.
Resource and Technical Reports Published:
We completed an updated mineral resource
estimate ("MRE") and finalized a positive Preliminary Economic Assessment ("PEA") highlighting
a Pre-Tax Net Present Value (NPV) at a 5% discount rate of
C$107 million
and a Pre-Tax
Internal Rate of Return (IRR) of 57%. Post-tax figures show a Net Present Value of
C$85
million
and an Internal Rate of Return of 51% at a 5% discount rate, providing a robust
framework for our next development phase.
1
Ongoing Mining Operations Certification:
We received the ongoing mining operations
certification for the Reliquias Mine which enables the Company to restart production and
processing operations with no additional governmental approvals. This critical milestone
classifies the Reliquias Mine and Caudalosa Plant as ongoing mining operations.
Mining Closure Plan Approval Secured
: We successfully obtained mine closure plan
approval, avoiding the first-year bank guarantee payment, resulting in substantial financial
savings and showcasing our efficiency in managing regulatory processes.
Extended Environmental Certification
: Our environmental certification (ITS) has been
extended until
June 2034
, solidifying our commitment to long-term operational compliance and
environmental stewardship.
Complete Rehabilitation:
We achieved 100% rehabilitation of key areas (15 km), ensuring our
readiness to initiate operations and meet essential milestones for future production.
Geotechnical and Survey Advances:
Our team completed comprehensive geotechnical
mapping and logging and developed an in-house model, along with detailed topographic surveys
of the tailings facilities, stockpile areas, and the mine, facilitating optimized design and planning.
Strategic Mining Plans:
We developed both short- and long-term plans that emphasize
sustainable resource extraction and efficient production methodologies.
Social Stability Achieved:
Through effective community engagement, we secured social peace
and conducted successful elections, strengthening local partnerships and ensuring the
Company's surface rights at the Reliquias Mine area for the next 20 years.
Strong Financial Performance:
We raised approximately
C$10 million
in April and established
a
C$25 million
base shelf prospectus, ensuring financial resilience and readiness for upcoming
financing opportunities.
_________________________________
1
Please refer to the "Amended and Restated NI 43-101 Technical Report: Preliminary Economic Assessment, Reliquias Mine", dated October 28, 2024 and available on the
Company's profile on SEDAR+ at www.sedarplus.ca.
Outlook for 2025
As the Reliquias Mine restart approaches, the Company expects that 2025 will be a transformational
year in our plan to become
Peru's
newest silver producer. The most important milestones we have
set ourselves for the year are:
1
.
Strengthening Community Partnerships:
Building on our existing outreach programs, we
will continue fostering positive relationships with local communities and advancing ongoing
negotiations to ensure mutual benefits.
2
.
Securing Additional Financing
: We are evaluating critical financing opportunities to
support our growth initiatives, ensuring the necessary capital for our development plans and
the commencement of operations at the Reliquias Mine.
3
.
Advancing Mine Development:
We will initiate 4,650 meters of underground tunnelling,
enabling access to prioritized ore zones for the commencement of production and unlocking
the full potential of the Reliquias Mine.
4
.
Rehabilitation and Commissioning of the Caudalosa Plant
: We will focus on
rehabilitating and recommissioning the Caudalosa plant to enhance operational efficiency
and maximize processing capacity
.
5
.
Upgrading and Recommissioning Tailings Storage Facility:
We will undertake key
upgrades to our existing tailings storage facility, ensuring the safe and sustainable
management of our resources.
6
.
Initiating Operations Testing:
We are targeting the second half of 2025 to begin
operations testing, which we anticipate will be a significant milestone in our operational
timeline.
7
.
Exploration and Resource Expansion
: We will continue our targeted and intensive
exploration efforts to expand our mineral resource base and extend the mine life,
positioning the Company for long-term growth and success.
These milestones underscore our disciplined approach to growth and commitment to delivering value
to our shareholders. We are confident that 2025 will solidify Silver Mountain Resources' position as a
leading and responsible silver producer in the industry.
Sincerely,
Alvaro Espinoza
, CEO
www.agmr.ca
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Qualified Person
Gerardo Acuña is an independent consultant of the Company and the Qualified Person (within the
meaning of National Instrument 43-101 – Standard of Disclosure for Mineral Projects) who has
reviewed and approved the scientific and technical information contained in this news release.
Forward-Looking Statements
This news release contains forward-looking statements and forward-looking information within the
meaning of Canadian securities legislation (collectively, "forward-looking statements") that relate to
Silver Mountain's current expectations and views of future events. Any statements that express or
involve discussions as to expectations, beliefs, plans, objectives, assumptions, or future events or
performance (often, but not always, through the use of words or phrases such as "will likely result,"
"are expected to, "expects", "will continue," "is anticipated," "anticipates," "believes," "estimated,"
"intends," "plans," "forecast," "projection," "strategy," "objective" and "outlook") are not historical
facts and may be forward-looking statements and may involve estimates, assumptions, and
uncertainties which could cause actual results or outcomes to differ materially from those expressed
in such forward-looking statements. Forward-looking statements in this news release include, but
are not limited to, statements in respect of the commencement of operations at the Reliquias Mne;
the ability of the Company to secure financing; and the Company's exploration and development
plans, including with respect to the rehabilitation and recommissioning of the Caudalosa plant and
upgrading the tailings storage facility. No assurance can be given that these expectations will prove
to be correct, and such forward-looking statements included in this news release should not be
unduly relied upon. These statements speak only as of the date of this news release.
Forward-looking statements are based on a number of assumptions and are subject to a number of
risks and uncertainties, many of which are beyond Silver Mountain's control, which could cause
actual results and events to differ materially from those that are disclosed in or implied by such
forward-looking statements. Such risks and uncertainties include, but are not limited to, the factors
set forth under "Caution Regarding Forward-Looking Statements" and "Risk Factors" in the
Company's Annual Information Form dated
April 26, 2024
, and other disclosure documents available
on the Company's profile on SEDAR+ at
www.sedarplus.ca
. Silver Mountain undertakes no
obligation to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as may be required by law. New factors emerge
from time to time, and it is not possible for Silver Mountain to predict all of them or assess the
impact of each such factor or the extent to which any factor, or combination of factors, may cause
results to differ materially from those contained in any forward-looking statement. Any forward-
looking statements contained in this news release are expressly qualified in their entirety by this
cautionary statement.
SOURCE
Silver Mountain Resources Inc.
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For further information:
For Further Information Contact: Alvaro Espinoza, Chief Executive Officer,
Silver Mountain Resources Inc, 82 Richmond Street East, Toronto, ON M5C 1P1, +51 997 377 968,
CO: Silver Mountain Resources Inc.
CNW 07:00e 21-JAN-25