ANDEAN PRECIOUS METALS REPORTS SECOND QUARTER 2026 FINANCIAL RESULTS Year-to-Date Revenue Up 70% with $170.8 Million in Liquid Assets and $52.2 Million in Cash and Cash Equivalents; Deferred Inventory Sold Subsequent to Quarter-End for $56.3 Million
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TSX: APM OTCQX: ANPMF
ANDEAN PRECIOUS METALS REPORTS SECOND QUARTER
2026 FINANCIAL RESULTS
Year-to-Date Revenue Up 70% with $170.8 Million in Liquid Assets and $52.2 Million in Cash
and Cash Equivalents; Deferred Inventory Sold Subsequent to Quarter-End for $56.3 Million
(All amounts in U.S. dollars unless otherwise indicated)
TORONTO, ON – August 11, 2026 – Andean Precious Metals Corp. (“Andean” or the “ Company”)
(TSX: APM) (OTCQX: ANPMF) is pleased to report its financial results for the three and six months
ended June 30, 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 and six months ended June 30, 2026 (the “Financial Statements”) which are available under the
Company’s profile on SEDAR+ (www.sedarplus.ca).
Alberto Morales, Executive Chairman and CEO stated: “The second quarter was defined by our decision
to defer the sale of a significant portion of our production for strategic treasury management purposes.
We ended the quarter with finished inventory of approximately 732,000 ounces of silver and 2,585
ounces of gold, carried at a cost of $37.6 million on the balance sheet. As a result, reported revenue
and earnings for the quarter do not fully reflect the underlying operating performance of the business.
Subsequent to June 30, 2026, we sold the deferred finished inventory at weighted average realized
prices of $62.26 per silver ounce and $4,168 per gold ounce, for gross proceeds of approximately $56.3
million. The related revenue will be recognized in the Company’s results for the three months ending
September 30, 2026.
Operationally, San Bartolome delivered another strong quarter, with silver equivalent production up 31%
year-over-year on higher ore purchase volumes, grades and throughput, and a CGOM 1 of $25.56 per
ounce sold. At Golden Queen, production was lower due to mine sequencing and grade timing, while
year-to-date AISC 1 of $1,970 per ounce remains within our 2026 guidance range. Consolidated Q2
production of 25,388 gold equivalent ounces showed an increase of approximately 4% over Q2 2025.
YTD 2026 production is 15% above YTD 2025.
We reiterate our full-year 2026 production, cost and margin guidance and, even with the elevated price
of diesel, we continue to expect to deliver within these ranges, supported by disciplined execution and
our focus on free cash flow generation. Bolivia’s transition to a flexible exchange-rate regime is indicative
of a more market-focused economy, and the continued depreciation of the boliviano against the U.S.
dollar, our reporting currency, is currently working in our favour.
Importantly, we strengthened our balance sheet by increasing our total assets and our total equity while
also reducing our total liabilities reflecting a $15 million prepayment on our revolving credit facility. In
addition, we ended the quarter with $170.8 million in Liquid Assets 1, which includes our finished metal
inventory measured at cost.
During and subsequent to the quarter, we also advanced key corporate initiatives, including the relaunch
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of a normal course issuer bid, the election of Stephen Altmann to our Board of Directors, and continued
progress toward our listing on the New York Stock Exchange, which we expect to be effective in 2026.
We also look forward to the release of the updated technical report at Golden Queen, which we expect
to announce in late September 2026 and believe will further enhance the Company’s visibility and profile
with the global investment community. 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.”
Second Quarter 2026 Highlights:
Liquid Assets1, ended Q2 2026 with $170.8 million , compared to $90.5 million in Q2 2025.
Effective Q2 2026, Liquid Assets includes metal at third-party refineries and doré inventory,
measured at cost, which includes the finished inventory subject to the Company’s strategic sales
deferral.6 Cash and cash equivalents were $52.2 million as at June 30, 2026 (June 30, 2025:
$36.1 million).
The Company continued to strengthen its balance sheet, repaying $15.0 million on its
Revolving Credit Facility during the quarter and reducing the outstanding balance to $14.5 million
as at June 30, 2026, from $30.0 million as at December 31, 2025. Accounts payable were also
reduced during the quarter. Total liabilities decreased to $152.0 million while total equity
increased to $301.3 million.
Consolidated Q2 production of 25,388 gold equivalent ounces 2, an increase of
approximately 4% over Q2 2025; YTD 2026 production of 52,730 gold equivalent ounces 2
represents an increase of approximately 15% over YTD 2025.
Consolidated revenue of $67.6 million, with 60% derived from silver and 40% from gold,
compared to $73.7 million in Q2 2025, as the deferral of silver and gold sales was significantly
offset by higher realized prices. YTD 2026 revenue increased approximately 70% year-over-year
to $230.8 million. Average realized gold price1 of $4,453/oz and an average realized silver price1
of $76.82/oz, an increase of approximately 34% and 124%, respectively, over Q2 2025.
Strategic deferral of metal sales for treasury management purposes, resulting in finished
inventory of approximately 731,939 ounces of silver and 2,585 ounces of gold at quarter-end.
Consolidated gold equivalent ounce (“GEO”)2 sales of 12,314 ounces represented approximately
49% of GEO production for the quarter; as this inventory was measured at cost, the margin on
these ounces was not reflected in Q2 2026 results and will be recognized in the third quarter of
2026 following the sale of the deferred inventory subsequent to quarter-end (see below);
reported financial metrics for the quarter do not fully reflect the Company's underlying operating
performance.
Gross Operating Income of $23.6 million , compared to $29.4 million in Q2 2025, as lower
sales volumes resulting from the strategic sales deferral was significantly offset by higher
realized prices. YTD 2026 gross operating income increased to $99.1 million from $52.4 million.
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Income from Operations of $10.9 million in Q2 2026, compared to $24.5 million in Q2 2025,
mainly due to lower gross operating income as noted above, as well as higher exploration and
share-based compensation expenditures. YTD 2026 income from operations increased to $76.3
million from $43.5 million.
Adjusted EBITDA1 of $15.7 million in Q2 2026, versus $28.9 million in Q2 2025; YTD 2026
Adjusted EBITDA of $86.6 million versus $50.8 million YTD 2025.
Net Loss and Net Loss per Share of $14.0 million and $0.09 (basic and diluted basis),
respectively, primarily reflecting the deferral of silver and gold sales, a decrease in the fair value
of marketable securities and a foreign exchange loss; YTD 2026 net income and net income per
share of $34.2 million and $0.22 (diluted basis), respectively.
Free cash flow1 was an outflow of $55.5 million compared to an inflow of $12.3 million in Q2
2025, primarily due to the build-up of finished inventory resulting from the sales deferral, partially
offset by lower capital expenditures. With the sale of the deferred inventory subsequent to
quarter-end, the increase in free cash flow will be reflected in the Company’s third-quarter
results. Net cash used in operating activities, the most directly comparable IFRS measure, was
$50.9 million for Q2 2026 (Q2 2025: $20.3 million provided).
Subsequent to June 30, 2026, the Company sold the finished metal inventory held at third-party
refineries at quarter-end, comprising approximately 731,939 ounces of silver and 2,585 ounces
of gold, at weighted average realized prices of $62.26 per silver ounce and $4,168 per gold
ounce, for gross proceeds of approximately $56.3 million. This inventory was carried at a cost of
$37.6 million as at June 30, 2026, and the related revenue will be recognized in the Company’s
results for the three months ending September 30, 2026.
Golden Queen Results:
Golden Queen produced 8,568 gold equivalent ounces2 in Q2 2026, comprising 7,792 oz of
gold and 66,024 oz of silver, with the decrease over the prior-year period primarily due to mine
sequencing and grade timing.
Golden Queen OCC 1 of $1,779/oz and AISC 1 of $2,159/oz for Q2 2026; YTD 2026 AISC of
$1,970/oz remains within the Company’s full-year guidance range. Golden Queen cost of sales,
the most directly comparable IFRS measure, was $15.8 million for Q2 2026 (Q2 2025: $21.6
million).
San Bartolome Results:
San Bartolome produced 16,820 gold equivalent ounces2 in Q2 2026, comprising 1.32 Moz
of silver and 1,312 oz of gold, an increase of 31% in silver equivalent production over Q2 2025.
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Cash Gross Operating Margin (“CGOM”) 1 of $25.56 per silver equivalent ounce sold and
a Gross Margin Ratio (“GMR”)1 of 33.31% for Q2 2026. The decrease in GMR from Q2 2025
primarily reflects higher ore purchase costs linked to the spot price of silver, partially offset by
higher average realized silver prices. San Bartolome cost of sales, the most directly comparable
IFRS measure, was $23.6 million for Q2 2026 (Q2 2025: $18.7 million).
Corporate Updates:
Effective April 20, 2026, Victor Flores was appointed Senior Vice President, Exploration,
Operations and Growth. Mr. Flores brings over 35 years of experience across geology, mine
development, operations, and investments, and has held senior leadership positions at Orion
Resource Partners, Paulson & Co., and HSBC.
On June 28, 2026, the Company announced that the Toronto Stock Exchange had
accepted its notice of intention to make a normal course issuer bid (“NCIB”) . Under the
NCIB, the Company may purchase up to 4,000,000 common shares, representing approximately
2.65% of its issued and outstanding common shares, during the 12-month period commencing
July 2, 2026 and ending no later than July 1, 2027. Subsequent to quarter-end, the Company
purchased 2,096,330 common shares at a weighted average price of C$6.04 per share, for total
consideration of approximately C$12.7 million. All shares purchased under the NCIB have been,
or will be, cancelled.
On June 30, 2026, at the Company’s Annual General Meeting of Shareholders, Stephen J.
Altmann was elected to the Board of Directors as an independent director. Mr. Altmann is
a senior mining executive, investment banker and public company director with more than 30
years of experience in the mining sector. Shareholders also approved the appointment of Ernst
& Young LLP as the Company’s auditors, replacing KPMG LLP.
The Company continues to progress its listing on the New York Stock Exchange . The
Company expects its common shares to commence trading on the NYSE in 2026, under a new
ticker symbol to be announced, subject to the satisfaction of customary listing conditions and
completion of remaining regulatory steps. The Company’s common shares will continue to trade
on the TSX under the symbol “APM.”
The Company is advancing the release of an updated technical report for the Golden
Queen mine, which it expects to announce by news release in late September 2026, with the
technical report to be filed on SEDAR+ thereafter.
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TSX: APM OTCQX: ANPMF
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TSX: APM OTCQX: ANPMF
Q2 2026 Conference Call and Webcast
● Wednesday, August 12, at 9:00 AM ET
● Participants may listen to the webcast by registering via the following link
https://www.gowebcasting.com/14762
● 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, and quoting Conference ID 8567391.
● An archived replay of the webcast will be available for 90 days at:
https://www.gowebcasting.com/14762 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 Bartolome 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.
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TSX: APM OTCQX: ANPMF
Qualified Person Statement
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:
Dom Kizek
Vice President, Finance & Corporate Controller
T: +1 416 565 9723
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; the
recognition in the third quarter of 2026 of revenue from the sale of the finished inventory that was subject
to the Company’s strategic sales deferral, including the final settlement of the sale and the expected
recovery of free cash flow; 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; the
expected timing of the release and filing of an updated technical report for the Golden Queen mine;
potential purchases of common shares under the Company’s normal course issuer bid; 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
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TSX: APM OTCQX: ANPMF
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
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; risks related to the timing and prices at which the finished inventory
subject to the Company’s sales deferral is ultimately sold, including the risk that such sales do not occur
within the currently expected timeframe; risks related to the volatility of the Bolivian boliviano under the
flexible exchange-rate regime; 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 and six months ended June
30, 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 described 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.