GR Silver Mining Strengthens Mexican Leadership & Reduces Execution Risk Ahead of 2026 Resource and PEA Milestones

• GR Silver Mining has appointed Dr. Cástulo Molina Sotelo, former Coeur Mining Senior Vice President with a track record at Palmarejo, to strengthen execution capability and local operational leadership.
• This leadership expansion aligns with a high-impact period for the Plomosas Project, including 15,000 meters of step-out drilling and targeted 2026 Resource Update and Preliminary Economic Assessment.
• Dr. Molina's deep regulatory, permitting, and industry relationships are designed to reduce jurisdictional risk in Mexico while supporting long-term development planning.
• The Plomosas Project hosts 134 million ounces of silver equivalent and continues to deliver high-grade, shallow hydrothermal breccia discoveries at San Marcial, with 80 percent of geophysical anomalies untested.
• For investors, this appointment signals a strategic shift toward disciplined project execution, operational de-risking, and positioning for a potential valuation re-rate as the resource grows toward the 200 to 400 million ounce silver equivalent peer threshold.

Why Leadership Quality Is Becoming a Core Valuation Driver

Leadership capability and jurisdictional experience increasingly influence valuation multiples for resource-growth-stage silver companies. Institutional investors routinely assess management depth as a material factor when allocating capital to development-stage assets, particularly in jurisdictions where permitting timelines, community engagement, and regulatory fluency directly impact project advancement.

Mexico has historically been one of the world's most prolific precious metals jurisdictions. However, translating geological potential into operational reality requires seasoned leadership with established networks across regulatory agencies, mining associations, and community stakeholders. Companies that demonstrate jurisdictional mastery early in the development cycle often trade at premiums relative to peers lacking local operational depth.

GR Silver Mining's appointment of Dr. Cástulo Molina Sotelo as Country Manager signals a decisive step toward execution confidence ahead of targeted 2026 catalysts. For investors evaluating silver exploration and development opportunities, this appointment represents a potential de-risking signal.

The Macro & Jurisdictional Backdrop: Why Execution in Mexico Requires Proven Leadership

Mexico has historically been a major silver-producing jurisdiction, with geological endowment particularly concentrated within the Sierra Madre Occidental supporting decades of large-scale precious metals production. Successful project advancement depends heavily on permitting predictability, community partnerships, and access to local regulatory networks.

Investors increasingly evaluate jurisdictional mastery as a key factor when allocating capital to development-stage companies. Firms that de-risk early through strong national teams, led by executives with proven track records in permitting, community engagement, and regulatory coordination, often outperform peers lacking local depth.

GR Silver Mining controls 100 percent of the Plomosas Silver Project in Sinaloa, with scalable resource growth potential supported by ongoing high-grade discoveries at the San Marcial area. The company's existing permits, including the fully permitted Plomosas Mine, provide a foundation for near-term development optionality.

Appointment of Dr. Cástulo Molina Sotelo: A Potential Reduction in Execution Risk

Dr. Molina brings more than 35 years of experience in exploration, mine development, and operations within Mexico's precious metals sector. His tenure at Coeur Mining from 2007 to 2021, where he served as Senior Vice President for Mexico, encompassed the full project life cycle at the Palmarejo Mine, one of Mexico's epithermal gold-silver deposits. His role extended beyond exploration to encompass mine planning, metallurgical optimization, and regulatory compliance, providing comprehensive operational insight across all phases of project development.

Technical & Leadership Credentials Aligned With Plomosas

Dr. Molina holds advanced academic credentials, including specialized expertise in epithermal systems, satellite imagery interpretation, and structural geology, disciplines directly applicable to the Plomosas Silver Project's geological framework. His designation as a Certified Professional Geologist with the American Institute of Professional Geologists reflects technical rigor and adherence to reporting standards required for resource estimation and feasibility analysis.

Dr. Molina served for years on the Board of Directors of the Mexican Chamber of Mines (CAMIMEX) and was a founding member of CLUMIN, Mexico's mining cluster for the northwest region. These roles provided him with direct access to regulatory decision-makers, environmental agencies, and community stakeholders, networks designed to reduce permitting timelines and enhance social license to operate.

Strategic Significance for GR Silver Mining

Dr. Molina's hiring aligns directly with the company's transition into a more active operational phase. GR Silver Mining is advancing multiple catalysts in parallel: a planned 15,000-meter step-out drilling program targeting resource expansion at San Marcial, engineering studies supporting bulk sample test mining at the Plomosas Mine, and preparation for a Resource Update and Preliminary Economic Assessment targeted for the second half of 2026.

His leadership is expected to enhance confidence in step-out drilling, resource expansion, and future mine development. The ability to coordinate drill permitting, community consultations, and environmental filings through established channels is designed to reduce execution risk during a period when operational momentum directly influences investor perception of project viability.

The Plomosas Silver Project: District-Scale Potential With Scalable Resource Growth

The Plomosas Silver Project represents a district-scale silver asset with near-term resource expansion potential supported by ongoing high-grade discoveries and extensive untested exploration targets.

Current Resource Base & Pathway to 200–400 Million Ounces Silver Equivalent

The Plomosas Project currently hosts 134 million ounces of silver equivalent, comprising 85 million ounces in the Indicated category and 49 million ounces in the Inferred category, as outlined in the National Instrument 43-101 2023 Technical Report and Mineral Resource Update with an effective date of May 3, 2023. Technical interpretation of the deposit's structural controls and alteration patterns suggests that current resources represent upper levels of a larger epithermal system.

Geophysical surveys conducted across the 7,823-hectare property have identified multiple intrusive-related anomalies, with 80 percent of these targets remaining untested by drilling. The pathway toward a 200 to 400 million ounce silver equivalent resource base depends on continued success at San Marcial, where recent drilling has consistently returned wide, high-grade intersections that extend mineralization beyond current resource boundaries.

San Marcial Area: Emerging High-Grade Breccia Discovery

The San Marcial area has emerged as a primary focus for resource expansion. Director Marcio Fonseca described the ongoing drilling success:

"We are encountering a lot of high-grade silver wide intersections at the San Marcial area… We are drilling a discovery that is a wide high-grade silver, with the opportunity to increase materially the resource that we have at San Marcial."

Hole SMS25-09 intersected 75 meters grading 293 grams per tonne silver equivalent, extending mineralization 100 meters beyond current resource limits. These results demonstrate continuity of high-grade mineralization along strike and down-dip. The company's current drilling program targets expansion of the known mineralized footprint, with additional holes designed to test geophysical anomalies located along strike from existing discoveries.

Fonseca outlined the company's expanded drilling objectives:

"We are expecting to increase the number in the upcoming months and probably we're going to increase next year for a much bigger program"

Near-Term Catalysts That Matter for Valuation Re-Rating

15,000-Meter Step-Out Drilling Program (First Half 2026)

GR Silver Mining is advancing a planned 15,000-meter step-out drilling program designed to target resource expansion at San Marcial, with step-out drilling currently underway. This program is strategically timed to feed directly into the targeted 2026 Resource Update. A five-year drill permit has been granted for the San Marcial Area, providing the regulatory framework to support expanded drilling operations.

The company is positioned to execute this expanded drilling campaign without near-term financing requirements. Fonseca confirmed the funding status:

"We are fully funded for the next 12 to 15 months which gives all the cash we need to do the drilling predominantly drilling to expand San Marcial but also to work on the pilot plant and the bulk sample test mining at Plomosas."

As of November 12th 2025, GR Silver Mining reported C$12.4 million in cash to execute the resource growth drilling program. Successful execution of this drilling program could materially influence enterprise value per ounce valuations, particularly if results demonstrate continuity of high-grade mineralization beyond current resource boundaries.

Bulk Sample Test Mining & Development Readiness

GR Silver Mining is advancing engineering studies to support bulk sample test mining at the fully permitted Plomosas Mine area, targeting commencement of the program early in 2026. Ongoing engineering review is underway, with metallurgical studies in progress. The bulk sample test mining program is designed as an exploration tool to assist in high-grade mineralization modeling, drill targeting, and grade reconciliation.

Fonseca emphasized the integration potential between the San Marcial discovery and the permitted Plomosas Mine:

"San Marcial is very close by only 5 kilometers and we can explore the synergies and integrate them… The mine is permitted for 600 tons per day but when you have intervals of 2,000, 3,000, even 7,000 grams per ton silver equivalent is a very attractive scenario for us as a way to look to capture value from this historic mine in the current silver price market."

Previous concentrate results from the successful bulk sample test mining program at the historical San Juan Mine demonstrate processing validity. From January to September 2024, 420 tonnes of lead-silver-gold concentrate were acquired by off-takers, averaging 8,357 grams per tonne silver and 8.19 grams per tonne gold.

Preliminary Economic Assessment & Resource Update in Second Half 2026

The targeted 2026 Resource Update and Preliminary Economic Assessment represent critical inflection points for GR Silver Mining. These milestones have historically driven valuation re-rating events for silver juniors, as they provide investors with quantified metrics including net present value sensitivity to grade, metallurgy, and scale.

The Resource Update is expected to incorporate results from the planned 15,000-meter drilling program, potentially demonstrating significant growth relative to the current 134 million ounce silver equivalent resource base. The Preliminary Economic Assessment would provide initial economic parameters including capital intensity, operating costs, and net present value under various silver price scenarios. Both milestones are targeted for the second half of 2026 and represent forward-looking statements subject to risks and uncertainties.

The Investment Thesis for GR Silver

• Execution risk is expected to be reduced through the appointment of a veteran Country Manager with Palmarejo experience and more than 35 years of operational leadership in Mexico's mining sector.
• Resource growth potential is supported by high-grade discoveries at San Marcial, where recent drilling has consistently returned wide intersections extending mineralization beyond current resource boundaries.
• Targeted 2026 catalysts, including a Resource Update and Preliminary Economic Assessment in the second half of 2026, could drive a valuation re-rate aligned with peer metrics for companies approaching the 200 to 400 million ounce silver equivalent threshold.
• The balance sheet is fortified, with C$12.4 million in cash as of the third quarter of 2025 providing sufficient capital to execute the planned drilling program and advance engineering studies without near-term financing requirements.
• Jurisdictional advantage is strengthened through Dr. Molina's established regulatory networks, industry relationships, and proven track record in permitting coordination and community engagement.
• Plomosas demonstrates potential for district-scale resource upside, with 80 percent of geophysical anomalies remaining untested and scalability potential through systematic exploration and resource expansion.

Strengthened Leadership Ahead of a Transformational Phase

GR Silver Mining's appointment of Dr. Cástulo Molina Sotelo as Country Manager represents both a leadership and a strategic inflection point. The addition of a senior executive with full-cycle project experience is designed to reduce execution risk during a period when the company is advancing multiple catalysts in parallel.

The company is now positioned to advance drilling, engineering, permitting, and community relations during a decisive period for the Plomosas Project. Dr. Molina's regulatory fluency, established industry networks, and operational expertise provide a framework for maintaining project momentum while navigating jurisdictional complexities.

For investors, this represents a convergence of strengthened management, technical momentum, and near-term catalysts, factors that have historically preceded re-rating events in the silver exploration and development space. With experienced leadership now in place to navigate jurisdictional complexities and maintain operational momentum, GR Silver Mining enters 2026 positioned to deliver the technical and operational milestones that institutional investors evaluate when assessing development-stage silver companies in Mexico.

TL;DR

GR Silver Mining has strategically appointed Dr. Cástulo Molina Sotelo, a veteran mining executive with 35+ years of Mexican operations experience and former Coeur Mining Senior VP, as Country Manager. This move aims to reduce execution risk as the company advances its Plomosas Silver Project toward critical 2026 milestones. The project currently hosts 134 million ounces silver equivalent with significant expansion potential at the high-grade San Marcial discovery zone. A planned 15,000-meter drilling program, bulk sample test mining at the fully permitted Plomosas Mine, and targeted second-half 2026 Resource Update and Preliminary Economic Assessment represent key catalysts. With C$12.4 million in cash and 80 percent of geophysical targets untested, the company is positioned for potential resource growth toward the 200-400 million ounce threshold that drives peer valuations.

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