Santacruz Silver Reports Broad-Based Production Gains in Second Quarter of 2026

• Consolidated silver production rose 17% quarter over quarter to 1,573,100 ounces, with all five operations contributing higher volumes
• Zinc output increased 7% to 23,240 tonnes, while lead and copper production grew 18% and 9%, respectively
• Bolivar's silver production increased 32% to 343,522 ounces as rehabilitation from the May 2025 flood continued
• Zimapan's silver recovery rate improved to 72% from 65%, following ventilation and power disruptions in the first quarter
• Consolidated tonnes milled increased 7% to 521,956 tonnes

Santacruz Silver Mining Ltd. (NASDAQ:SCZM) (TSX.V:SCZ) is a Canada-based mining company engaged in the operation, acquisition, exploration, and development of mineral properties across Latin America. In Bolivia, the company operates the Bolivar, Porco, and Caballo Blanco mining complexes, with Caballo Blanco comprising the Tres Amigos and Colquechaquita mines. The Reserva mine, also located in Bolivia, supplies the company's San Lucas ore sourcing and trading business, and the company additionally holds the Soracaya exploration project. In Mexico, Santacruz operates the Zimapan mine.

Consolidated Silver Production Increases 17% With Growth Across All Five Operations

Santacruz Silver's total silver output for the second quarter of 2026 reached 1,573,100 ounces, up from 1,341,499 ounces in the first quarter. All five operating sites, Bolivar, Porco, Caballo Blanco, Zimapan, and the San Lucas ore sourcing business, produced more silver than in the prior quarter.

The company processed 521,956 tonnes of ore in the quarter, 7% more than in the first quarter. Higher silver head grades (the concentration of silver contained in the ore) at Bolivar and Porco contributed to the volume increase, along with a marked improvement in silver recovery at Zimapan. Bolivar accounted for the largest single contribution to the increase, while San Lucas processed 22% more ore than in the previous quarter. Zinc production increased 7% to 23,240 tonnes, as higher throughput offset lower zinc grades at Bolivar and Porco.

Compared with the second quarter of 2025, consolidated silver production increased 11% and zinc production increased 10%, on 9% higher tonnes milled. The company noted that second quarter 2025 production was adversely affected by the May 2025 flooding event at Bolivar, which affects the comparability of the year over year figures.

Bolivar Mine Recovery Advances With 32% Silver Production Increase

Bolivar's silver production rose 32% quarter over quarter to 343,522 ounces from 259,635 ounces. The mine continues to recover from a localised flooding event in May 2025 that affected certain mining areas. An 11% increase in tonnes milled combined with a 17% higher silver head grade (165 grams per tonne, up from 141 grams per tonne) to drive the increase, along with a modest improvement in silver recovery.

Zinc production at Bolivar was broadly unchanged at 3,684 tonnes, as higher throughput was offset by an 8% lower zinc grade. Lead production increased 18% to 233 tonnes on higher throughput and improved recovery. Compared with the second quarter of 2025, Bolivar's silver production increased 13% and zinc production increased 14%, driven by a 32% increase in tonnes milled, though head grades remained below year ago levels.

Executive Chairman and CEO Arturo Préstamo said: 

"At Bolivar, silver production increased 32% quarter-over-quarter to 343,522 ounces, driven by ongoing recovery efforts in the areas affected by the localized flooding event that occurred in May 2025."

Zimapan Recovers From First Quarter Constraints Across All Payable Metals

Zimapan's second quarter results followed operational constraints experienced earlier in the year. In the first quarter, the mine faced limited ventilation in higher grade zones at Level 960, tied to a contractor delay in completing a ventilation shaft, along with power interruptions caused by the local utility's grid maintenance. Metal recoveries improved across all four of the mine's payable metals, silver, zinc, lead, and copper, in the second quarter.

Silver production increased 8% quarter over quarter to 391,121 ounces, on broadly unchanged ore throughput and a slightly lower head grade, as silver recovery improved to 72% from 65%. Zinc production rose 18% to 4,764 tonnes on a higher zinc grade and improved recovery, lead production increased 15% to 1,159 tonnes, and copper production grew 9% to 337 tonnes.

Executive Chairman and CEO Arturo Préstamo said: 

"I also want to recognize our team at Zimapan in Mexico for their commitment to continuous improvement. Through innovation, operational discipline, and a continuous focus on optimizing performance, they have continued to enhance our operations." 

Compared with the same quarter last year, Zimapan's silver production was broadly stable, down 2%, while copper production increased 47% on higher grades and recoveries.

Milestones and Next Steps

All five operations posted higher silver output in the second quarter of 2026, a period that also included road blockades in Bolivia lasting more than 50 days, which disrupted regional supply chains. Executive Chairman and CEO Arturo Préstamo credited the company's Bolivian and Mexican teams for maintaining production through these conditions.

Management pointed to the ongoing dewatering of the Bolivar mine, continued advancement of Level 960 at Zimapan, and improved metallurgical recoveries as factors supporting the company's position entering the second half of 2026.

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