Americas Gold & Silver Delivers Strong 54% Production Increase in Q2 2025

• Americas Gold and Silver Corporation achieved consolidated silver production of 689,000 ounces in Q2 2025, representing a substantial 54% increase from Q1 2025's 446,000 ounces.
• The company's unaudited consolidated cash balance reached $61.7 million as of June 30, 2025, reflecting an increase of $52.9 million compared to the previous quarter.
• Galena operations in Idaho delivered a 34% quarter-over-quarter production increase following operational improvements and equipment upgrades.
• Cosalá operations demonstrated exceptional performance with a 103% improvement over Q1 as the facility progresses toward its EC120 transition later in 2025.
• The company successfully secured funding through a $100 million senior secured debt facility and an $11.5 million private placement, strengthening its financial position for growth initiatives.

Americas Gold and Silver Corporation (TSX: USA, NYSE American: USAS) operates as a precious metals mining company with operations focused in North America. The company's asset portfolio includes active mining operations and development projects, with key facilities including the Galena mine in Idaho and the Cosalá operation. Under current leadership, Americas has implemented a comprehensive operational strategy aimed at unlocking value from its asset base while maintaining focus on production growth and operational efficiency improvements.

Operational Performance Analysis

Galena Mine Operations Improvement

The Galena operation in Idaho demonstrated significant operational progress during the second quarter, achieving a 34% quarter-over-quarter production increase. This improvement resulted from comprehensive operational enhancements implemented by the company's technical team.

The operational improvements at Galena involved extensive underground assessment and optimization efforts. Management conducted detailed time studies and engineering evaluations to identify productivity enhancement opportunities. The implementation of new equipment and adjustments to mining methods contributed to the substantial production increase.

Cosalá Operations Transition Progress

The Cosalá operation exceeded expectations with a remarkable 103% improvement compared to the first quarter of 2025. This performance represents significant progress as the operation advances toward its planned transition into EC120, scheduled for later in 2025.

The operational team's efforts at Cosalá have positioned the facility to meet its transition timeline while maintaining strong production levels. This progress demonstrates the company's operational capabilities and project execution strength.

Financial Position & Capital Structure

Strengthened Balance Sheet

Americas Gold and Silver's financial position improved substantially during the second quarter. The company's unaudited consolidated cash balance of $61.7 million as of June 30, 2025, represents a significant increase of $52.9 million from the previous quarter's ending balance.

This financial strengthening resulted from successful completion of financing initiatives designed to support the company's growth strategy. The improved cash position provides Americas with enhanced financial flexibility to execute its operational plans and development programs.

Financing Activities

The company completed two significant financing transactions during the quarter. Americas received the first tranche of $50 million from a previously announced $100 million senior secured debt facility. Additionally, the company raised $11.5 million through a non-brokered private placement, which served as a pre-condition for the Term Loan Facility.

These financing activities were completed in accordance with previously announced agreements, as detailed in company news releases dated June 3, 2025, and June 25, 2025. The successful completion of these transactions demonstrates investor confidence in Americas' operational strategy and growth prospects.

Management Commentary & Strategic Outlook

CEO Perspective on Operational Results

Paul Andre Huet, Chairman and Chief Executive Officer, provided comprehensive commentary on the company's second quarter performance and strategic direction. Huet stated:

"I am extremely pleased with our very strong second quarter results which were a 54% improvement on the first quarter of this year. After spending significant effort underground at Galena conducting numerous time studies, engineering work, productivity-focused projects and implementing both new equipment and adjusting the mining method, our operation in Idaho delivered a 34% quarter-over-quarter increase – a tremendous result by the team."

Regarding the Cosalá operation, Huet emphasized the exceptional performance achieved by the operational team. He noted:

"At Cosalá, outstanding efforts by our operating team delivered a 103% improvement on the first quarter as the operation progresses on schedule towards the transition into EC120 later this year."

Integration & Team Performance

The CEO highlighted the successful integration following recent organizational changes. Huet commented:

"Overall, we are delighted with the results across our operations after just two quarters at the helm with the new combined team working very well together."

This integration success appears crucial to the company's operational improvements and suggests effective leadership transition and team coordination across Americas' operations.

Capital Deployment Strategy

Management emphasized the strategic use of capital during the quarter. According to the company's operational update,

"During the second quarter, the Company continued to deploy capital into its revitalization and growth plan in line with its budget."

The disciplined capital deployment approach demonstrates management's commitment to executing planned investments while maintaining financial discipline.

Strategic Positioning & Growth Outlook

Asset Base Potential

Huet outlined the company's strategic focus on maximizing value from its existing asset portfolio. He stated:

"The strong second quarter production and our significantly bolstered balance sheet have set us up with the resources we need to continue executing on the initial phases of our operational strategy focused on unlocking the massive potential of our asset base for our shareholders."

This commentary suggests management's confidence in the underlying value of Americas' mining assets and the potential for continued operational improvements.

2025 Performance Trajectory

Management expressed optimism regarding the company's position for achieving full-year objectives. Huet commented:

"Overall, our operational performance in the first half of 2025 puts us in a very favourable position with respect to achieving our goals for 2025 as we build our growth momentum."

The CEO also indicated continued development activities across the company's operations. He noted:

"We look forward to providing further updates as we continue our 2025 development and drill programs,"

Development Programs & Future Catalysts

Ongoing Development Activities

Americas continues to advance development and exploration programs across its asset base. These programs represent potential catalysts for future production growth and asset value enhancement.

The company's commitment to continued development work, including drill programs, suggests ongoing efforts to expand resource bases and identify additional production opportunities.

EC120 Transition Timeline

The planned transition of Cosalá operations into EC120 later in 2025 represents a significant operational milestone. This transition is progressing according to schedule, based on current operational performance and management commentary.

The successful completion of this transition could provide additional production capacity and operational efficiency improvements for the Cosalá facility.

Risk Considerations & Market Context

• ‍Operational Execution Risk: While Americas demonstrated strong operational improvements in the second quarter, continued execution of operational enhancements and development programs remains critical for sustained performance. The company's ability to maintain production growth momentum depends on successful implementation of ongoing operational initiatives.‍
• Market and Commodity Price Exposure: As a precious metals producer, Americas remains subject to commodity price volatility, particularly silver prices. Production increases provide operational leverage to commodity price movements, potentially amplifying both positive and negative price impacts on financial performance.‍
• Capital Requirements: The company's growth strategy and development programs require continued capital investment. While the strengthened balance sheet provides financial flexibility, future capital requirements for development activities and operational improvements may necessitate additional financing or cash flow generation.

For Investors

Americas Gold and Silver Corporation's second quarter 2025 results demonstrate significant operational progress and improved financial positioning. The 54% production increase, combined with a strengthened balance sheet and successful financing activities, positions the company for continued execution of its growth strategy.

The operational improvements at both Galena and Cosalá facilities indicate effective management execution and operational capability. The substantial cash position provides financial flexibility for continued development activities and operational enhancements.

For investors evaluating Americas Gold and Silver Corporation, the second quarter results suggest positive operational momentum and management's ability to execute operational improvements. The company's focus on unlocking value from its existing asset base, combined with ongoing development programs, presents potential for continued production growth and value creation. However, investors should consider the inherent risks associated with mining operations, commodity price volatility, and execution of development programs when evaluating the investment opportunity.