Discovery Produces 60,269 Ounces of Gold in First Quarter 2026 Company on track to achieve full-year 2026 guidance of 260,000 – 300,000 ounces April 22, 20 26, Toronto, Ontario – Discovery Silver Corp.
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Discovery Produces 60,269 Ounces of Gold in First Quarter 2026
Company on track to achieve full-year 2026 guidance of 260,000 – 300,000 ounces
April 22, 20 26, Toronto, Ontario – Discovery Silver Corp. (TSX: DSV, OTCQX: DSVSF)
(“Discovery” or the “ Company”) today announced that the Company’s Porcupine operations ( the
“Porcupine Operations” or “Porcupine”) produced 60,269 ounces of gold in the first quarter of 2026
(“Q1 2026”). The Company remains on track for total gold production in 2026 of 260,000 – 300,000
ounces. As previously reported, quarterly gold production in 2026 is expected to increase as the year
progresses reflecting the ramp up of mill throughput and production at the Hollinger open pit, as well as
the favourable impact of investments to optimize the Company’s current mining operations. All dollar
amounts are in US dollars, unless otherwise noted.
Q1 2026 Key Highlights
• Gold production of 60,269 ounces, resulting from 700,000 tonnes processed at an average
grade of 2.96 grams per tonne (“gpt”) and average recoveries of 90.6%
• Gold sold of 59,445 ounces1 at an average realized gold price of $4,908 per ounce sold2
• Announced the acquisition of Glencore’s Kidd operations (the “Kidd Operations”) in Timmins,
including the Kidd Metallurgical Site and tailings management area and the Kidd Creek Mine,
adding valuable processing, tailings and other infrastructure, cost synergies, exposure to critical
minerals and significant exploration upside3
• Released excellent exploration results from resource conversion and expansion drilling at all
Porcupine Operations, from district drilling at Owl Creek and the Broulan Pit, as well as from
initial drilling at Dome and TVZ4
Tony Makuch, Discovery’s President and CEO, commented: “We are off to a solid start in 2026,
highlighted by a 4 4% increase in production at Hoyle Pond compared to last quarter, driven by a
significant increase in the average grad e. This increase was offset by the impact of lower planned
grades at Borden, largely due to mine sequencing, and reduced processing from stockpiles. At Dome
Mill, the average grade increased 15%, average recoveries were higher, and we continued to improve
the mill’s operating capabilities, while at the same time managing reduced availability rates in our
primary and secondary crushing circuits, which we are working towards replacing. During the quarter,
daily throughput exceeded 11,000 tonnes per day on 26 days, including 10 days when the mill achieved
the operating capacity of over 12,000 tonnes per day. We had stockpiles totaling approximately 1.3
million tonnes at quarter end, which will assist us in managing throughput levels and grades over the
balance of the year. Also in Q1 2026, we completed the required work to resume mining operations at
the Hollinger open pit and ended the quarter with the mining rate exceeding 2,000 tpd. Gold production
at Hollinger will ramp up over the next few months . Looking ahead, we expect quarterly production
levels to increase and remain well positioned to achieve our full -year 2026 production guidance of
260,000 to 300,000 ounces.”
“Turning to other key developments, we announced the acquisition of Glencore’s Kidd Operations in
early March. The addition of these assets will deliver many benefits to Discovery, including providing
opportunities to significantly increase processing and tailings capacity and add extremely valuable
infrastructure that can facilitate the development of TVZ and support the future expansion of Hoyle
NEWS RELEASE
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Pond and Pamour. In addition, we will gain important cost synergies and tremendous exploration upside
on a very large and highly prospective parcel of land. Adding Kidd also provides access to a highly -
skilled workforce that we plan to utilize as we move our growth plans forward.
“Finally, we continued to achieve excellent exploration results during Q1 2026 from all our Porcupine
Operations. Resource conversion and expansion drilling at Hoyle Pond, Borden and Pamour continued
to highlight the potential that exists to extend mineralization and grow resources at all three operations.
In addition, we achieved excellent results at district targets such as Owl Creek, near Hoyle Pond, and
the Broulan Pit, 1.5 km from Pamour. Initial drill results from TVZ and Dome were also very encouraging,
with our first hole at TVZ i ntersecting a wide, high-grade zone of mineralization, and results at Dome
including multiple significant intercepts from both within and surrounding the current pit resource.”
Discovery also announced today that due to personal commitments, Jeffrey Parr, Director, will not be
standing for re-election to the Board at the Company’s Annual and Special Meeting of Shareholders, to
be held on June 22, 2026 (the “AGM”). Mr. Parr has served as a Director of the Company since 2017
and has been an integral member of the board, both in his capacity as the Chair of the Audit Committee
and in his ability to assist the Company through its period of rapid growth and transformation. The Board
and management would like to express their gratitude to Mr. Parr for his invaluable contributions to the
Company and wish him ongoing success in the future. Following the AGM, Mr. Hodgkinson will be
appointed as Chair of the Audit Committee.
1. Includes 2,518 “in kind” ounces related to royalty arrangements with Franco-Nevada Corporation.
2. Non-GAAP Measure. See section in this press release entitled “Non-GAAP Measures” for more information.
3. See press release dated March 2, 2026.
4. See press release dated February 10, 2026.
ABOUT DISCOVERY
Discovery is a growing precious metals compan y that is creating value for stakeholders through
exposure to both gold and silver. The Company’s silver exposure comes from its first asset, the 100%-
owned Cordero project, one of the world’s largest undeveloped silver deposits, which is located close
to infrastructure in a prolific mining belt in Chihuahua State, Mexico. On April 15, 2025, Discovery
completed the acquisition of the Porcupine Complex, transforming the Company into a new Canadian
gold producer with multiple operations in one of the world’s most renowned gold camps in and near
Timmins, Ontario . Discovery owns a dominant l and position within the camp, with a large base of
Mineral Resources remaining and substantial growth and exploration upside.
On Behalf of the Board of Directors,
Tony Makuch, P. Eng
President, CEO & Director
For further information contact:
Mark Utting, CFA
SVP Investor Relations
Phone: 416-806-6298
Email: [email protected]
Website: www.discoverysilver.com
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QUALIFIED PERSON
The scientific and technical information in this press release was reviewed and approved by Pierre Rocque, P.Eng., Chief
Operating Officer of the Company, who is recognized as a Qualified Person (“QP”) under the guidelines of National Instrument
43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).
NON-GAAP MEASURES
The Company has included certain non -GAAP measures in this document, as detailed below. In the mining industry, these
are common performance measures and ratios but may not be comparable to similar measures or ratios presented by other
issuers and the non -GAAP measures and ratios do not have any standardized meaning. Accordingly, these measures and
ratios are included to provide additional information and should not be considered in isolation or as a substitute for measures
of performance prepared in accordance with IFRS Accounting Standards.
Average realized price per ounce sold: In the gold mining industry, average realized price per ounce sold is a common
performance measure that does not have any standardized meaning. The most directly comparable measure prepared in
accordance with GAAP is revenue from gold sales. Average realized price per ounce sold should not be considered in isolation
or as a substitute for measures prepared in accordance with GAAP. The measure is intended to assist readers in evaluating
the total revenues realized in a period from current operations.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
Neither TSX Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Exchange)
accepts responsibility for the adequacy or accuracy of this release.
This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of an y of
the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful, including any of the securities in the
United States of America. The securities have not been and will not be registered under the United States Securities Act of
1933, as amended (the “1933 Act”) or any state securities laws and may not be offered or sold within the United States or t o,
or for account or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the 1933
Act and applicable state securities laws, or an exemption from such registration requirements is available.
Cautionary Note Regarding Forward-Looking Statements
This news release may include forward-looking statements that are subject to inherent risks and uncertainties. All statements
within this news release, other than statements of historical fact, are to be considered forward looking. Although Discovery
believes the expectations expressed in such forward -looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance and actual results or developments may differ materially from those
described in forward -looking statements. Statements include but are not limited to the development of the Porcupine
Operations and its attractive economics and significant exploration upside; construction decision and development, the
anticipated capital and operating costs, sustaini ng costs, net present value, internal rate of return, the method of mining the
Porcupine Operations, process capacity, average annual metal production, average process recoveries, concession renewal,
permitting of the assets, anticipated mining and proces sing methods, feasibility study production schedule and metal
production profile, anticipated construction period, anticipated mine life, expected recoveries and grades, anticipated
production rates and the ability to meet or exceed guidance , infrastructure, social and environmental impact studies, the
completion of key de-risking items, including the timing of receipt permits, availability of water and power, availability of labour,
job creation and other local economic benefits, tax rates and commodity prices that would support development of the Cordero
Project, and other statements that express management's expectations or estimates of future performance, operational,
geological or financial results. Information concerning mineral resource/reserve estimates and the economic analysis thereof
contained in the results of the feasibility study are also forward -looking statements in that they reflect a prediction of the
mineralization that would be encountered, and the results of mining, if a mineral deposit were developed and mined. Forward-
looking statements are statements that are not historical facts which address events, results, outcomes or developments that
the Company expects to occur. Forward-looking statements are based on the beliefs, estimates and opinions of the Company’s
management on the date the statements are made and they involve a number of risks and uncertainties. .
Factors that could cause actual results to differ materially from those described in forward -looking statements include
fluctuations in market prices, including metal prices, continued availability of capital and financing, and general economic,
market access restrictions or tariffs, changes in U.S. laws and policies regarding regulating international trade, including but
not limited to changes to or implementation of tariffs, trade restrictions, or responsive measures of foreign and domestic
governments, changes to cost and availability of goods and raw materials, along with supply, logistics and transportation
constraints, changes in general economic conditions including market volatility due to uncertain trade policies and tariffs, the
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actual results of current and future exploration activities; changes to current estimates of mineral reserves and mineral
resources; conclusions of economic and geological evaluations; changes in project parameters as plans continue to be refined;
the speculative nature of mineral exploration and development; risks in obtaining and maintaining necessary licenses, permits
and authorizations for the Company’s development stage and operating assets; the accuracy of historical and forward-looking
operational an d financial information estimates provided by Newmont, including the results of technical studies and the
anticipated capital and operating costs, sustaining costs, internal rate of return, the future operating capabilities of the Dome
mill and any impacts on processing availability due to potential future mills constraints, concession or claim renewal, the
projected mine life, the anticipated benefits of the Company’s current exploration programs and results thereof, including th e
potential for resource and reserve conversion, and other attributes of the Porcupine Operations, including net present value,
the timing of any environmental assessment processes, reclamation obligations; operations may be exposed to new diseases,
epidemics and pandemics, including any ongoing or future effects of COVID-19 (and any related ongoing or future regulatory
or government responses) and its impact on the broader market and the trading price of the Company’s shares; provincial and
federal orders or mandates (including with respect to mining operations generally or auxiliary businesses or services required
for operations) in Canada and Mexico, all of which may affect many aspects of the Company's operations including the ability
to transport personnel to and from site, contractor and supply availability and the ability to sell or deliver mined silver; changes
in national and local government legislation, controls or regulations; failure to comply with environmental and health and safety
laws and regulations; labour and contractor availability (and being able to secure the same on favourable terms); disruptions
in the maintenance or provision of required infrastructure and information technology systems; fluctuations in the price of gold
or certain other commodities such as, di esel fuel, natural gas, and electricity; operating or technical difficulties in connection
with mining or development activities, including geotechnical challenges and changes to production estimates (which assume
accuracy of projected ore grade, mining ra tes, recovery timing and recovery rate estimates and may be impacted by
unscheduled maintenance); changes in foreign exchange rates (particularly the Canadian dollar, U.S. dollar and Mexican
peso); the impact of inflation; geopolitical conflicts; employee and community relations; the impact of litigation and
administrative proceedings (including but not limited to mining reform laws in Mexico, or litigations involving First Nation( s))
and any interim or final court, arbitral and/or administrative decisions; disruptions affecting operations; availability of and
increased costs associated with mining inputs and labour; delays in construction decisions and any development of the
Cordero Project or other projects at the Porcupine Operations; changes with respect to the intended method of mining and
processing ore from the Porcupine Operations; inherent risks and hazards associated with mining and mineral processing
including environmental hazards, industrial accidents, unusual or unexpected formations, pressures and cave-ins; the risk that
the Company’s mines may not perform as planned; uncertainty with the Company's ability to secure additional capital to
execute its business plans; contests over title to properties; expropriation or nationalization of property; political or economic
developments in Canada and Mexico and other jurisdictions in which the Company may carry on business in the future;
increased costs and risks related to the potential impact of climate change, including risks associated with increased frequency
of natural disasters such as fire, floods and seismicity; the costs and timing of exploration, construction and development o f
new deposits; risk of loss due to sabotage, protests and other civil disturbances; the impact of global liquidity and credit
availability and the values of assets and liabilities based on projected future cash flows; risks arising from holding deriva tive
instruments; and business opportunities that may be pursued by the Company. There can be no assurances that such
statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties.
Discovery does not assume any obligation to update any forward -looking statements except as required under applicable
laws. The risks and un certainties that may affect forward -looking statements, or the material factors or assumptions used to
develop such forward -looking information, are described under the heading "Risks Factors" in the Company’s Annual
Information Form dated February 19, 202 6, which is available under the Company’s issuer profile on SEDAR+ at
www.sedarplus.ca.