Vizsla Silver Progresses Copala Test Mine Targeting 10,000-tonne Bulk Sample by Year-End

• Vizsla Silver has advanced approximately 125 metres along the Copala decline at its Panuco silver-gold project, progressing at 4 metres per day with plans to optimize to 8 metres daily.
• The company is targeting a 10,000-tonne bulk sample from the 460 level, approximately 70 metres below surface, with completion expected by year-end 2025.
• The test mine program represents a critical transition from exploration to development, serving as the primary access portal for future underground mining operations.
• Technical objectives include paste fill testing, rock competency analysis, and grade reconciliation to optimize mine design and validate the block model.
• The Copala portal is strategically positioned 300 metres north of the proposed processing facility, with waste stockpiles and ore staging areas within 200 metres of the portal.

Vizsla Silver (TSX:VZLA) is a Canadian mineral exploration and development company headquartered in Vancouver, BC, focused on advancing its flagship 100%-owned Panuco silver-gold project in Sinaloa, Mexico. The company's dual-track approach combines mine development with district-scale exploration across a 7,000-hectare past-producing district that benefits from over 86 kilometres of total vein extent, 35 kilometres of underground mines, and existing infrastructure including roads, power, and permits.

Test Mine Development Progress

The Panuco project represents a compelling investment opportunity for investors seeking exposure to high-grade silver development with established infrastructure and a clear path to production. With an updated mineral resource estimate of 222.4 million ounces of silver equivalent in measured and indicated categories, plus 138.7 million ounces inferred, and a Preliminary Economic Study highlighting 15.2 million ounces of annual production over 10.6 years, Vizsla Silver is positioning itself as a future leader in the silver sector.

Current Advancement Status

The Copala test mine has reached a significant milestone with 125 metres of decline advancement in favorable ground conditions. The decline operates at a 15% grade with dimensions of 5.5 metres wide by 5.5 metres tall, providing substantial access for future mining operations.

COO Simon Cmrlec provided insight into the operational progress:

"We're now testing underground at Panuco and executing the test mine development according to plan, at the historic Copala district. Our crews are performing well, advancing safely, installing all required ventilation and ground support, and we are meeting planned development rates."

Operational Optimization

Current operations are advancing at 4 metres per day, with drilling and mucking processes being optimized to achieve two blasts per day. The company's target is to reach advance rates of approximately 8 metres per day, which would significantly accelerate the timeline to reach the bulk sample location.

Cmrlec emphasized the strategic importance of the current work:

"Our team is currently focused on optimising advance rates and testing contractor capabilities. This portal will ultimately become the main access for future mining. Every meter brings us closer to the 10,000-tonne bulk sample location and positions us for efficient resource conversion/expansion drilling from underground, and for the ultimate mine development and ramp-up."

Bulk Sampling Program

The 10,000-tonne bulk sample program serves multiple critical functions in de-risking the Panuco project. The sample will be extracted from the 460 level, approximately 70 metres vertically below surface, and stockpiled on surface in previously disturbed areas to minimize environmental impact.

The bulk sample material will be utilized for three key technical assessments:

• ‍Paste Fill and Cemented Rockfill Testing: This testing will support backfill planning, a critical component of underground mine design that affects both safety and economics.‍
• Rock Competency Analysis: Structural consistency analysis will optimize mine design and cost models related to support requirements, potentially reducing capital and operational expenditures.‍
• Grade Reconciliation: Comparison with the block model will validate resource estimates and provide confidence in production planning.

The company maintains its target of completing the fully funded test mine program by year-end 2025. Cmrlec confirmed this timeline: "We are on track to complete the fully funded test mine program by year-end."

Strategic Infrastructure Positioning

The Copala test mine portal's location demonstrates strategic planning for future operations. Positioned approximately 300 metres north of the proposed processing facility, the portal minimizes transportation costs and complexity for future production.

Waste stockpiles and ore staging areas are located within 200 metres of the portal, with all current activities utilizing existing roads and confined to previously disturbed areas from historic mining. This approach reduces environmental impact and leverages existing infrastructure investments.

Underground access provides significant advantages for resource development and conversion. The company has identified several high-priority targets that will be tested as the decline advances, supporting the conversion of existing resources to higher-confidence categories.

Low-cost drilling from underground stations will enable efficient resource expansion and conversion, potentially adding value through upgraded resource categories. The proximity to mapped parallel structures on the surface highlights additional near-mine exploration opportunities.

Workforce & Safety Development

The onsite workforce continues to expand with emphasis on hiring from the local community, supporting regional economic development and ensuring a stable labor supply. This approach aligns with sustainable mining practices and reduces operational risks associated with workforce availability.

Newly constructed infrastructure includes first aid facilities, staff buildings, and workshops that support operational efficiency while enhancing safety protocols and emergency response capabilities. These investments demonstrate the company's commitment to operational excellence and worker safety.

Economic Potential

Vizsla Silver announced an updated mineral resource estimate on January 6, 2025, which includes an estimated in-situ combined measured and indicated mineral resource of 222.4 million ounces silver equivalent and an in-situ inferred resource of 138.7 million ounces silver equivalent.

The Preliminary Economic Study completed in July 2024 highlights the project's economic potential with 15.2 million ounces silver equivalent of annual production over an initial 10.6-year mine life. The study demonstrates strong economics with an after-tax NPV5% of US$1.1 billion, 86% IRR, and a 9-month payback period at US$26/oz silver and US$1,975/oz gold.

Investment Implications

The Copala test mine development represents a critical de-risking milestone for Vizsla Silver's transition from explorer to developer. The successful advancement of underground operations, combined with the comprehensive bulk sampling program, provides multiple catalysts for value creation.

The strategic positioning of infrastructure, focus on local workforce development, and systematic approach to technical validation demonstrate management's commitment to operational excellence. For investors seeking exposure to high-grade silver development with established infrastructure and clear production pathway, Vizsla Silver's progress at Panuco represents a compelling opportunity in the precious metals sector.

The company's dual-track approach of advancing mine development while continuing district-scale exploration provides multiple avenues for value creation and resource growth, positioning Vizsla Silver to capitalize on silver market dynamics as the project advances toward production decisions.