ANDEAN PRECIOUS METALS REPORTS FIRST QUARTER 2026 FINANCIAL RESULTS Delivers Record Financial Results with Strong Margin Expansion and Over $200 Million in Liquid Assets (All amounts in U.S. dollars unless otherwise indicated)
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TSX: APM OTCQX: ANPMF
ANDEAN PRECIOUS METALS REPORTS FIRST QUARTER
2026 FINANCIAL RESULTS
Delivers Record Financial Results with Strong Margin Expansion and Over
$200 Million in Liquid Assets
(All amounts in U.S. dollars unless otherwise indicated)
TORONTO, ON – May 12, 2026 – Andean Precious Metals Corp. (“Andean” or the “Company”) (TSX:
APM) (OTCQX: ANPMF) is pleased to report its financial results for the three months ended March 31,
2026. This news release should be read together with Andean’s management’s discussion and analysis
(“MD&A”) and condensed interim consolidated financial statements for the three months ended March
31, 2026 (the “Financial Statements”) which are available under the Company’s profile on SEDAR+
(www.sedarplus.ca).
Alberto Morales, Executive Chairman and CEO stated: “We delivered a strong start to 2026, highlighted
by record financial results driven by higher realized gold and silver prices and increased production
across both operations.
At San Bartolome, we saw a meaningful step change in margin performance, with CGOM increasing to
$36 per ounce and GMR exceeding 45%, reflecting the strong margin profile of our business in a higher
silver price environment.
At Golden Queen, operations performed in line with expectations with first quarter sustaining cap ital
coming in below our guidance; however, we anticipate sustaining capital to increase and finish the year
in line with our 2026 CAPEX guidance.
We also reiterate our full-year 2026 production and cost guidance and remain focused on disciplined
execution and free cash flow generation. We will continue to closely monitor geopolitical events and
their impact on commodity prices and monetary policies.
Importantly, we ended the quarter with over $200 million in liquid assets, reflecting strong cash flow
generation and providing us with significant flexibility to fund growth initiatives, advance exploration and
evaluate strategic opportunities.
During the quarter, we also advanced key corporate initiatives, including increasing our public float
through a non-dilutive secondary offering and progressing our application to list on the New York Stock
Exchange. Together with the appointment of Victor Flores to lead exploration, operations and growth,
these steps position the Company well to continue executing on our strategy and delivering long -term
value to shareholders.”
First Quarter 2026 Highlights:
• Consolidated revenue of $163.1 million, with 64% derived from silver and 36% from
gold, representing a 163% increase year-over-year, driven by significantly higher realized
prices and increased production across both operations.
• Average realized gold price1 of $4,856/oz and an average realized silver price1 of $79.49/oz.
• Consolidated Q 1 production of 27,344 gold equivalent ounces 2, an increase of
approximately 28% over Q1 2025.
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• Gross Operating Income of $75.6 million, compared to $23.0 million in Q1 2025, reflecting the
substantial improvement in revenue driven by robust precious metals prices and continued focus
on operational cost management.
• Income from Operations of $65.4 million in Q1 2026, compared to $18.9 million in Q1 2025,
mainly due to higher gross operating income partially offset by higher exploration expenditures.
• Adjusted EBITDA1 of $71.0 million in Q1 2026, versus $21.9 million in Q1 2025.
• Net Income and Net Income per Share of $ 48.2 million and $ 0.32 (diluted basis),
respectively.
• Liquid Assets, ended Q1 2026 with $204.1 million, compared to $75.7 million in Q1 2025.
• Free cash flow 1 of $39.6 million compared to negative free cash flow of $1.5 million in Q1
2025.
Golden Queen Results:
• Golden Queen produced 11,496 gold equivalent ounces2 in Q1 2026, comprising of 10,599
oz of gold, and 76,244 oz of silver.
• Golden Queen OCC1 of $1,596/oz and AISC1 of $1,859/oz for Q1 2026.
San Bartolome Results:
• San Bartolome produced 15,847 gold equivalent ounces2 in Q1 2026, comprising 1.23 Moz
of silver and 1,390 oz of gold.
• Cash Gross Operating Margin (“CGOM”)1 of $36.17 per silver equivalent ounce sold and
a Gross Margin Ratio (“GMR”)1 of 45.24% for Q1 2026.
Corporate Updates:
• On January 28, 2026, PMB Partners LP, the Company’s principal shareholder,
completed a bought deal secondary offering. The Company did not issue any new shares
or receive any proceeds from the offering. The transaction was undertaken to increase the
Company’s public float and enhance trading liquidity on the TSX.
• On March 10, 2026, the Company announced its intention to apply for a listing of its
common shares on the New York Stock Exchange. The Company has initiated the required
regulatory and administrative steps and, subject to approval, expects to trade under a new
ticker symbol while maintaining its TSX listing under “APM.” The listing is intended to broaden
the Company’s investor base, enhance liquidity, and increase visibility among North American
institutional investors.
• Effective March 31, 2026, Yohann Bouchard stepped down from his roles as President and
Director by mutual agreement.
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• Effective April 20, 2026, Victor Flores was appointed Senior Vice President, Exploration,
Operations and Growth. Mr. Flores brings over 35 years of experience of geology, mine
development, operations, and investments.
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Q1 2026 Conference Call and Webcast
● Wednesday, May 13, at 9:00 AM ET
● Participants may listen to the webcast by registering via the following link
https://www.gowebcasting.com/14676
● Participants may also listen to the conference call by calling North American toll free 1-800-715-
9871, or 1-647-932-3411 outside the U.S. or Canada.
● An archived repl ay of the webcast will be available for 90 days at :
https://www.gowebcasting.com/14676 or the Company website at www.andeanpm.com.
About Andean Precious Metals
Andean is a growing precious metals producer focused on expanding into top -tier jurisdictions in the
Americas. The Company owns and operates the San Bartolom e processing facility in Potosí, Bolivia
and the Golden Queen mine in Kern County, California, and is well -funded to act on future growth
opportunities. Andean’s leadership team is committed to creating value; fostering safe, sustainable and
responsible operations; and achieving our ambition to be a multi -asset, mid -tier precious metals
producer.
Qualified Person Statement
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The scientific and technical content disclosed in this news release was reviewed and approved by
Donald J. Birak, Independent Consulting Geologist to the Company, a Qualified Person as defined by
National Instrument 43-101 – Standards for Disclosure for Mineral Projects, Registered Member, Society
for Mining, Metallurgy and Exploration (SME), Fellow, Australasian Institute of Mining and Metallurgy
(AusIMM).
For more information, please contact:
Amanda Mallough
Director, Investor Relations
T: +1 647 463 7808
Caution Regarding Forward-Looking Statements
Certain statements and information in this release constitute “forward-looking statements” within the
meaning of applicable U.S. securities laws and “forward-looking information” within the meaning of
applicable Canadian securities laws, which we refer to collectively as “forward-looking statements”.
Forward-looking statements are statements and information regarding possible events, conditions or
results of operations that are based upon assumptions about future economic conditions and courses
of action. All statements and information other than statements of historical fact may be forward-looking
statements. In some cases, forward-looking statements can be identified by the use of words such as
“seek”, “expect”, “anticipate”, “budget”, “plan”, “estimate”, “continue”, “forecast”, “intend”, “believe”,
“predict”, “potential”, “target”, “may”, “could”, “would”, “might”, “will” and similar words or phrases
(including negative variations) suggesting future outcomes or statements regarding an outlook.
Forward-looking statements in this release include, but are not limited to, statements and information
regarding: the Company’s production guidance and expectations for sustaining and growth capital
expenditures; expectations regarding production costs, exchange rates and commodity prices;
anticipated increases in sustaining capital in future periods; the Company’s ability to generate free cash
flow and maintain strong liquidity; the intended use of available liquidity to fund growth initiatives,
advance exploration and evaluate strategic opportunities; the Company’s ability to execute its business
strategy and deliver long-term value to shareholders; the advancement of exploration, development and
growth opportunities; and the potential listing of the Company’s common shares on the NYSE, including
the timing, approval and expected benefits thereof.
Forward-looking statements are based on a number of material factors and assumptions, including, but
not limited to: the Company’s ability to carry on exploration and development activities; the Company’s
ability to execute its strategic initiatives and growth plans; the Company’s ability to secure and meet
obligations under property and option agreements and other material agreements; the timely receipt of
required regulatory approvals and permits including in connection with a potential listing on the NYSE;
that there is no material adverse change affecting the Company or its properties, and that the Company’s
assets continue to operate consistent with expectations; that contracted parties provide goods and
services in a timely manner; that no unusual geological or technical problems occur; that plant and
equipment function as anticipated; the availability of labour and key personnel; and that there are no
material adverse changes in commodity prices, foreign exchange rates, inflationary pressures (including
diesel and energy costs), or general economic conditions.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which
may cause actual results, performance or achievements, or industry results, to differ materially from
those expressed or implied by such forward-looking statements. Such risks and uncertainties include,
without limitation: risks relating to the interpretation of drill results, the geology, grade and continuity of
mineral deposits and conclusions of economic evaluations; results of initial feasibility, pre-feasibility and
feasibility studies; risks that exploration, development or mining results will not be consistent with the
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Company’s expectations; risks relating to variations in reserves, resources, grades, planned mining
dilution, ore loss or recovery rates and changes in project parameters as plans continue to be refined;
mining and development risks, including risks related to accidents, equipment breakdowns, labour
disputes (including work stoppages and strikes) or other unanticipated operational difficulties; risks
relating to delays in exploration, development, permitting or construction activities or the completion of
feasibility studies; risks related to the inherent uncertainty of production and cost estimates and the
potential for unexpected costs and expenses; risks related to commodity price volatility and foreign
exchange rate fluctuations; the uncertainty of profitability based upon the cyclical nature of the industry
in which the Company operates; risks related to inflation and increases in input costs, including fuel,
energy and consumables; risks related to the Company’s ability to maintain liquidity and effectively
allocate capital; risks associated with capital markets conditions and the Company’s ability to obtain
adequate financing on a timely basis and on acceptable terms; risks relating to delays in the completion
of development or construction activities, or in obtaining local community, governmental or regulatory
approvals, including in connection with a potential listing on the NYSE; risks related to environmental
regulation and liability; political and regulatory risks associated with mining and exploration; risks related
to the global economic environment; and other risk factors described in the Company’s annual
information form for the year ended December 31, 2025, and its MD&A for the three months ended
March 31, 2026.
Although the Company has attempted to identify important factors that could cause actual results or
events to differ materially from those described in forward-looking statements, there may be other factors
that cause results or events not to be as anticipated, estimated or intended. The Company believes the
expectations reflected in such forward-looking statements are reasonable, but no assurance can be
given that these expectations will prove to be correct, and undue reliance should not be placed on
forward-looking statements. The forward-looking statements contained in this release are made as of
the date of this release, and the Company undertakes no obligation to update or revise any forward-
looking statements included in this release if these beliefs, estimates and opinions or other
circumstances should change, except as otherwise required by applicable law.
NON-GAAP FINANCIAL MEASURES, RATIOS, AND SUPPLEMENTARY FINANCIAL MEASURES
This news release includes “specified financial measures” within the meaning of National Instrument 52-
112 – Non-GAAP and Other Financial Measures Disclosure (“NI 52 -112”), specifically the non -GAAP
financial measures, non -GAAP ratios and supplementary financial measures d escribed below.
Management believes that the use of these measures assists analysts, investors and other stakeholders
of the Company in understanding the costs associated with producing silver and gold, understanding
the economics of silver and gold mining , assessing operating performance, the Company’s ability to
generate free cash flow from current operations, and for planning and forecasting of future periods.
The specified financial measures used in this news release do not have any standardized meaning
prescribed by IFRS and may not be comparable to similar measures presented by other issuers, even
as compared to other issuers who may be applying the World Gold Council (“WGC”) guidelines.
Accordingly, these measures are 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.
Operating Cash Costs
OCC includes total production cash costs incurred at the Company’s mining operations, which form the basis of
the Company’s cash costs, less by-product revenue.
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Beginning in 2025 with impact on prior -year comparative periods, the Company reclassed mine -site general and
administrative expenses to operating expenses which has a corresponding impact on the calculation of OCC.
The following table provides a reconciliation of the OCC per ounce sold on a by -product basis to the Financial
Statements:
Golden Queen
Three months ended
March 31,
(in thousands of US dollars) 2026 2025
Costs of sales, as reported 20,914 17,078
Less: by-product silver credits (4,378) (2,448)
Total OCC 16,536 14,630
Divided by Au ounces sold 10,361 10,029
OCC ($ / Au ounces sold) 4,5 1,596 1,459
Consolidated
Three months ended
March 31,
(in thousands of US dollars) 2026 2025
Costs of sales, as reported 82,065 35,980
Less: by-product silver credits (104,708) (32,816)
Total OCC (22,642) 3,164
Divided by Au ounces sold 12,030 10,824
OCC ($ / Au ounces sold) 4,5 (1,882) 292
All-in Sustaining Costs
AISC on a by-product basis per ounce is a non -GAAP ratio calculated as AISC on a by -product basis divided by
ounces of gold sold. AISC on a by-product basis is a non-GAAP financial measure calculated as the aggregate of
production costs as recorded in the consolidated statements of income (loss), refining and transport costs, cash
component of sustaining capital expenditures, lease payments related to sustaining assets, corporate general and
administrative expenses and accretion expenses. When calculating A ISC on a by -product basis, all revenue
received from the sale silver at Golden Queen are treated as a reduction of costs incurred. The Company believes
that AISC represents the total costs of producing gold from current operations and provides the Company and
other stakeholders of the Company with additional information relating to the Company’s operational performance
and ability to generate cash flow.
The following table provides a reconciliation of the AISC per ounce sold on a by -product basis to the Financial
Statements:
Golden Queen
Three months ended
March 31,
(in thousands of US dollars) 2026 2025
OCC, net of by-product credits 16,536 14,630
Sustaining capital expenditures 2,611 5,997
Accretion for decommissioning liability 108 107
Total all in sustaining cost 19,256 20,735
Divided by Au ounces sold 10,361 10,029
AISC ($ / Au ounces sold) 4 1,859 2,213
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Consolidated
Three months ended
March 31,
(in thousands of US dollars) 2026 2025
OCC, net of by-product credits (22,642) 3,164
General and administration corporate allocation 6,060 3,079
Sustaining capital expenditures 3,533 6,186
Accretion for decommissioning liability 364 323
Total all in sustaining cost (12,686) 22,190
Divided by Au ounces sold 12,030 10,824
AISC ($ / Au ounces sold) 4 (1,055) 1,178
Cash Gross Operating Margin
CGOM per silver equivalent ounce sold is calculated by subtracting the average cash cost of sale (operating
expenses, allocated corporate administrative costs and business unit general and administration cost) per
equivalent ounce sold from the average selling price per equivalent ounce. It is a measure of financial performance
with no prescribed definition under IFRS and may not be comparable to similar financial measures disclosed by
other issuers.
The following table provides a reconciliation of the CGOM per ounce to the Financial Statements and the most
directly comparable IFRS measure:
San Bartolome
Three months ended
March 31,
(in thousands of US dollars) 2026 2025
Costs of sales, as reported 61,152 18,902
Divided by AgEq ounces sold (koz) 1,397 1,023
Gross operating cost per AgEq ounce sold 43.78 18.47
Average realized silver price per oz 79.95 31.91
CGOM ($ / Silver Equivalent Ounces Sold) 4 36.17 13.44
Gross Margin Ratio
GMR is calculated by subtracting the cost of sale as reported in the income statement from the revenue of
equivalent ounces divided by revenue from sales of silver equivalent ounces. GMR is a measure of financial
performance with no prescribed definition u nder IFRS and may not be comparable to similar financial measures
disclosed by other issuers.
Beginning in 2025 with impact on prior -year comparative periods, the Company reclassed mine -site general and
administrative expenses to cost of sales which has a corresponding impact on the calculation of GMR.