Vizsla Silver Reports Significant Resource Growth at Panuco with 43% Increase in M&I Resources

• 43% increase in combined Measured & Indicated resources to 222.4 Moz AgEq from 155.8 Moz AgEq
• First measured resource of 46 Moz AgEq grading 640 g/t AgEq
• 9.4% increase in Copala grade to 635 g/t AgEq
• Project represents less than 10% of known vein strike in district
• Discovery cost of US$0.41/oz AgEq, with 91% precious metals content

About Vizsla Silver

Vizsla Silver Corp. (NYSE: VZLA, TSX: VZLA) is a Canadian mineral exploration and development company headquartered in Vancouver, BC. The company's flagship asset is the 100%-owned Panuco silver-gold project in Sinaloa, Mexico, a 17,856.5-hectare past-producing district that benefits from extensive infrastructure including 86 kilometers of total vein extent and 35 kilometers of underground mines. The company aims to become the world's leading silver company through a dual-track approach of mine development and district-scale exploration.

Resource Update Overview

The January 2025 mineral resource estimate represents a significant milestone for Vizsla Silver's Panuco project, marking what President and CEO Michael Konnert describes as "the fourth significant resource update for the high-grade Panuco silver-gold district." The update comes just four years after the initial discovery at Napoleon and demonstrates remarkable progress in resource definition and growth. The combined Measured and Indicated resources have increased by 43% to 222.4 million ounces silver equivalent (AgEq), with a notable improvement in average grade to 534 g/t AgEq.

Grade Improvements & Resource Conversion

The resource update showcases significant grade improvements across key areas of the deposit. "We are particularly excited to announce our first Measured Resource Estimate, containing 46 Moz at an average grade of 640 g/t AgEq," states Konnert. The success in grade improvement is particularly evident in the Copala area, where reducing the space between drill holes to 25 metres has resulted in a significantly higher-grade profile in the upper levels of the resource and PEA mine plan. The combined Measured and Indicated grade at Copala increased by 9.4% to 635 g/t AgEq, while the global Indicated grade improved by 4.5% to 534 g/t AgEq.

Drilling & Exploration Success

The updated resource incorporates results from an extensive drilling campaign comprising 157 new infill/expansion holes totaling 69,754 meters completed between September 2023 and September 2024. The comprehensive drill database now includes 979 holes for 372,685 meters completed since November 2019. Notably, the current resource estimate covers only about 8.6 kilometers of the known 86-kilometer cumulative vein strike in the district, highlighting the significant exploration upside that remains.

Resource Details & Distribution

The resource update presents a detailed breakdown of the mineral content across different categories. The Measured resource includes 28.6 Moz of silver, 214 thousand ounces of gold, 3.3 kilotonnes of lead, and 7.9 kt of zinc. The Indicated category contains 99.2 Moz of silver, 822 koz of gold, 31.6 kt of lead, and 102.3 kt of zinc. Particularly significant is that 91% of the resource value comprises precious metals, with 56% coming from silver, underlining the high-quality nature of the deposit.

Project Economics & Development Timeline

The project's economic potential was demonstrated in the July 2024 Preliminary Economic Assessment, which outlined annual production of 15.2 Moz AgEq over a 10.6-year mine life. The study projects robust economics with an after-tax NPV5% of US$1.1B, 86% IRR, and a 9-month payback period at US$26/oz Ag and US$1,975/oz Au. These figures support the company's strategy to advance toward production while maintaining aggressive exploration efforts.

Future Development Plans

Looking ahead, Konnert emphasizes the company's dual-track development approach: "Going forward, we continue to employ a dual track development approach at Panuco, advancing the Project through development towards production in the back half of 2027, while continuing district scale exploration through low-cost means." The 2025 operational objectives include a fully permitted bulk sample test mine program, updated metallurgical test work, delivery of a Feasibility Study, and a 10,000-metre discovery-based drill campaign.

Cost-Effective Resource Development

Vizsla Silver has demonstrated exceptional efficiency in its exploration expenditure, with total costs of approximately US$146.7 million resulting in a discovery cost of US$0.41 per silver equivalent ounce. This cost-effective approach to resource development sets the company apart in the industry and demonstrates the team's ability to efficiently allocate capital for maximum return.

The Investment Thesis for Vizsla Silver

• 43% increase in M&I resources to 222.4 Moz AgEq with first Measured resource of 46 Moz at premium grade of 640 g/t AgEq demonstrates rapid resource growth in just 4 years since initial discovery
• Current resource represents less than 10% of known vein strike in the district, with exploration costing just US$0.41/oz AgEq; provides exceptional organic growth potential
• Robust PEA economics with after-tax NPV5% of US$1.1B and 86% IRR; production targeted for H2 2027 with feasibility study underway and bulk sample test mine permitted
• Strategic infrastructure advantage with 86 km of veins and 35 km of existing underground development in mining-friendly Mexico provides foundation for district-scale development
• Company fully funded for 2025 development program including feasibility study, while maintaining aggressive exploration through 10,000m discovery-focused drill campaign
• Silver market fundamentals remain strong with growing industrial demand from solar and electronics sectors complementing traditional investment demand

The January 2025 resource update marks a significant advancement for Vizsla Silver's Panuco project, demonstrating both resource growth and grade improvements. The achievement of a first Measured resource, combined with the substantial increase in M&I resources, validates the company's exploration and development strategy. With robust project economics, significant exploration potential, and a clear path to production, Vizsla Silver is well-positioned to advance the Panuco project while continuing to grow its resource base. The combination of high grades, efficient discovery costs, and substantial district-scale potential presents a unique opportunity in the silver mining sector, particularly as the company transitions from explorer to developer with production targeted for the second half of 2027.