The Silver Turnaround Story Attracting Institutional Attention

• Ownership jumped from 8% to 58% in just 2.5 years under new management, with 170+ institutional meetings completed
• New management team implementing proven playbook that delivered results at previous companies, with productivity tripling in some areas
• First long-hole drilling in a decade, $48M balance sheet cleanup, five new pieces of equipment commissioned underground
• Recent inclusion in SIL index provides access to major institutional investors like BlackRock; positioned for potential GDXJ inclusion
• Management sees significant upside with silver-gold ratio distortion and believes company will "rocket" at $30+ silver prices

About Americas Gold & Silver

Americas Gold & Silver Corporation is a precious metals mining company focused on the development and operation of high-grade silver and gold properties in the mining-friendly jurisdictions of the United States and Mexico. The company's flagship asset is the historic Galena Complex in northern Idaho's renowned Silver Valley, a world-class asset with over a century of continuous production that has produced more than 240 million ounces of silver and 4 million ounces of gold throughout its operational history.

Following a transformational consolidation transaction in December 2024, the company now operates two core assets: the fully-owned Galena Complex in Idaho and the Cosalá Operations in Sinaloa, Mexico. In an interview with CEO Paul Huet and Corporate Development, Oliver Turner at the London 121 Conference, the leadership team outlined their comprehensive strategy strategy to revitalize the Galena Complex and restore it to its historical production potential of 5 million ounces of silver annually. With Eric Sprott as the largest shareholder at 20% and institutional ownership having grown dramatically from 8% to 58%, Americas Gold & Silver is positioned as one of the premier pure-play silver investment opportunities in an increasingly consolidated sector.

Interview with CEO, Paul Huet and Corporate Development, Oliver Turner

Institutional Interest & Company Growth

Perhaps the most striking aspect of Americas Gold & Silver's transformation has been the rapid shift in its shareholder base. The company has achieved a remarkable institutional ownership increase from just 8% to 58% since the transaction was first announced in October 2024. This dramatic change reflects growing confidence in the new management team's ability to execute their turnaround strategy.

The speed of this transformation is unprecedented. As Corporate Development, Oliver Turner, explained:

"That took us about two and a half years to do at Karora. So we've been very fast here. We've had a lot of meetings, over 170 institutional meetings, and got a lot of the former shareholders from Karora and Klondex on the register now, including several groups here in London."

This institutional backing provides several key advantages. First, it brings greater liquidity and trading volumes, making the stock more accessible to larger investors. Second, it validates the management team's strategy and execution capabilities. Third, it provides a more stable shareholder base less prone to emotional trading decisions that can plague retail-heavy stocks.

The presence of notable investors including Eric Sprott, Merck, and Delbrook further underscores the quality of the investment thesis. The management team itself has significant skin in the game, with CEO Paul Huet ranking as the fifth-largest shareholder, demonstrating their confidence in the company's prospects.

Balance Sheet Improvements & Operational Updates

The new management team moved quickly to address the company's financial foundation, cleaning up approximately $48 million from the balance sheet. This comprehensive restructuring included eliminating outstanding liabilities, removing convertible securities, settling promissory notes, and addressing Eric Sprott's 40% ownership position.

These balance sheet improvements have provided the company with greater financial flexibility and a cleaner capital structure. The management team has been actively pursuing debt financing to fund their ambitious expansion plans, working with parties familiar from their previous ventures. As Huet noted:

"It's no secret here. We've been out there working pretty aggressively at getting some debt. We have some people that have worked with us in the past. We're very close to getting that done."

The focus on Galena mine has been particularly intensive, with management spending significant time underground to understand the operation intimately. Recent drilling results have been encouraging, including the discovery of a new 34 vein with intercepts of 983 grams per tonne over 3.4 meters.

These results provide validation that the geological potential remains robust and support the thesis that proper mining methods and equipment can unlock significant value from existing resources.

Mining Method Changes & Equipment Upgrades

The most significant operational changes involve a fundamental shift in mining methodology. The company is transitioning from hand-held jack leg operations to modern long-hole mining methods - a change that hasn't been implemented at Galena in over a decade. This shift promises improved safety, lower costs, and greater efficiency.

The successful completion of the first drop raise in 10 years represents a major milestone. As Huet explained:

"We drilled a drop raise 80 feet long. So think about that. We bring in a drill, we commission it, we get it set up. We drill 80 foot long holes. We drill and blast this raise. First time in 10 years this has been done."

Beyond the long-hole drilling capabilities, the company has invested in five new pieces of equipment currently being commissioned underground. The operational improvements extend to the mine's infrastructure, including plans to upgrade the shaft system from its current 42 tons per hour capacity to over 100 tons per hour through motor, braking system, and communication improvements.

A critical component of the long-hole mining method is the implementation of a paste fill plant, which doesn't currently exist at the mine site. This facility, planned for Q4 installation, will enable safer mining with fill above miners' heads, a standard practice in modern operations.

The human element of this transformation has been equally impressive. Management reported that some headings have seen productivity rates triple in less than three months, from 1.2 feet per man-shift to over 3.5 feet per man-shift.

Future Potential & Silver Market Insights

The transformation strategy aims to restore Galena mine to its historical production levels. In 2002, the mine produced 5 million ounces of silver at approximately 650 tons per day throughput. Recent production has averaged just 1.3 million ounces annually - roughly one-quarter of the mine's demonstrated capability.

Management's plan involves scaling up to over 1,000 tons per day, significantly higher than the historical peak. Combined with current high-grade intercepts and improved mining methods, this suggests substantial production growth potential. The wide intercepts being discovered, some 10-12 feet wide with extremely high grades, provide confidence that long-hole methods can be effectively implemented.

Silver market dynamics strongly support the company's growth trajectory. Management is particularly bullish on silver's prospects, noting the extreme distortion in the silver-to-gold ratio.

The volatility in gold prices, with daily swings of $100 or more, contrasts sharply with management's previous experience when they were "begging for $20 an ounce" for silver. Current silver prices around $30 per ounce already support strong economics, but management sees significant upside potential:

"At $30 an ounce silver, we do very well. This thing hums very well."

Index Inclusion & Investment Opportunities

A significant catalyst for institutional investment came with the company's recent inclusion in the SIL (silver ETF) index. This milestone opens the company to a new category of institutional investors, including index funds managed by BlackRock and State Street that only purchase index constituents.

As Turener explained:

"Why is that relevant? Why is that important? Because you're now in front of a whole group of very large investors. We're talking about the BlackRocks, the State Streets of the world that only buy index constituents. So we're now part of that club."

The company currently represents 0.43% of the SIL index, providing meaningful exposure for silver-focused funds. Looking ahead, management is eyeing potential inclusion in the GDXJ (junior gold miners ETF) index come September, which would provide even broader institutional access.

These index inclusions serve multiple purposes beyond just increased buying pressure. They enhance liquidity, reduce volatility, and provide validation of the company's market position. For sophisticated investors, being part of major indices also offers enhanced options for hedging and sophisticated trading strategies.

Investment Thesis for Americas Gold & Silver

• Proven Management Track Record: Team successfully delivered similar transformations at Karora and Klondex, with a history of exceeding operational targets and creating substantial shareholder value
• Scarcity Value in Consolidating Sector: One of only 9 remaining investable pure-play silver producers, with recent takeouts occurring at 1.6-2.1x NAV premiums
• • Operational Leverage to Silver Prices: Company positioned to "rocket" at $30+ silver, with management seeing potential for $35-40+ silver in distorted gold-silver ratio environment
• Infrastructure and Geological Advantages: Mine historically produced 5M oz annually vs current 1.3M oz, with high-grade wide intercepts confirming geological potential for long-hole mining methods
• Institutional Validation and Liquidity: Ownership base transformed from 8% to 58% institutional, SIL index inclusion provides access to major passive funds, potential GDXJ inclusion adds further institutional access
• Balance Sheet Strength: $48M cleanup completed, debt financing in final stages to fund equipment upgrades and throughput expansion without dilutive equity raises

Americas Gold & Silver represents a compelling investment opportunity at the intersection of operational excellence, market scarcity, and favorable silver fundamentals. The management team has demonstrated their ability to transform underperforming assets, having successfully executed similar turnarounds at previous companies. With institutional ownership climbing rapidly and major index inclusions providing enhanced liquidity, the company is well-positioned to benefit from both operational improvements and broader silver market dynamics.

The combination of proven management, significant production upside, and a consolidating silver sector creates multiple pathways to value creation. Whether through operational execution restoring historical production levels, potential acquisition by larger producers seeking scarce silver assets, or broad silver market appreciation, shareholders have several vectors for strong returns. As the team continues to deliver on their operational milestones and silver prices potentially appreciate toward management's bullish targets, Americas Gold & Silver offers institutional and sophisticated retail investors a rare opportunity to invest in a pure-play silver producer with demonstrated turnaround potential.

Macro Thematic Analysis: The Silver Shortage & Industrial Demand Revolution

The global silver market is experiencing a fundamental shift driven by both traditional investment demand and explosive growth in industrial applications. Unlike gold, which serves primarily as a store of value, silver's dual nature as both a precious and industrial metal creates unique supply-demand dynamics that strongly favor higher prices in the coming years.

Industrial demand now accounts for approximately 60% of total silver consumption, with critical applications in solar panels, electric vehicles, 5G infrastructure, and medical devices driving unprecedented usage growth. The International Energy Agency projects solar panel installations alone will require 85-115 million ounces of silver annually by 2030, compared to current levels around 130 million ounces for all industrial uses combined.

Supply constraints compound the bullish outlook. Primary silver production has remained relatively flat for the past decade, while secondary supply from recycling faces technological challenges due to silver's integration into complex electronic components. Mining companies have historically focused on gold, often treating silver as a byproduct, resulting in limited dedicated silver mine development.

The central bank pivot toward monetary expansion and currency debasement following recent banking sector stress has reignited precious metals demand. However, silver's price performance has lagged gold significantly, creating the historically extreme ratio distortion that Americas Gold & Silver management highlighted. This presents a compelling catch-up opportunity.

Geopolitical tensions and supply chain concerns have added another dimension to silver demand. Countries seeking strategic resource security are building silver reserves for defense and technology applications. The metal's antimicrobial properties, proven during the pandemic, have expanded medical and healthcare applications.

For investors, these macro themes suggest silver may be entering a structural bull market rather than a cyclical upturn. Companies like Americas Gold & Silver, with the ability to scale production into this environment, stand to benefit disproportionately. The convergence of constrained supply, explosive industrial demand, monetary debasement, and geopolitical tensions creates a perfect storm for silver prices - and silver producers positioned for growth.