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During the 24^th week of the year (June10^th to June 16^th, 2024), companies working in Mexico posted at least 19 press releases. One company is mobilizing its drilling crew on its property and one other elaborated on its 2024 production guidance for two mines. Four companies announced the opening/closing of financing rounds for C$20.8 M. One company released a PEA on its advanced property, another a multi-year exploration strategy, another one released drilling results from its advanced property and one more released drilling results from its mining areas. Two companies dropped their legal challenges with the Mexican authorities to submit their claims to international arbitration. A company reminded its shareholders to pay attention to the spin out of the royalty company. A company informed on the agreement amendment to repurchase a royalty and the modification of a payment clause on an option purchase agreement. ON MEXICO ISSUES, the local stock exchange and the Mx Peso-US Dollar exchange rate took a moderate dip during the week as the current president and incumbent party members commented on the likelihood to pass constitutional reforms aimed to centralize power after the landslide victory obtained in the general elections on June 2, 2024.  The main driver of the run is the intention to reform the Supreme Court with the election of ministers by a popular poll (similar to the current system in Bolivia), which is likely to be capitalized by the majority incumbent party Morena. Mining and exploration companies now have to raise to the reality that they better be well prepared for six more years of a government that does not like businesses in general and mining in particular. ON EXPLORATION, In Sinaloa, Prismo Metals is to mobilize its drilling crew to Palos Verdes. ON MINING, Luca Mining announced its 2024 production guidance for Campo Morado in Guerrero and Tahuehueto in Durango. ON FINANCING, Fortuna Silver closed the convertible senior notes previously announced for US$175 M (really, really unlikely to be invested in Mexico). Barksdale Resources, Prismo Metals, Impact Silver and Heliostar Metals raised a combined C$20.8 M. Quetzal Copper received a cease trade order in BC. ON RESOURCES AND DEVELOPMENT, Southern Silver Exploration released results from a PEA on Cerro Las Minitas, in Durango. Torex Gold presented its multi-year exploration strategy for the Morelos property in Guerrero. Vizsla Silver reported infill drilling results from Panuco, in Sinaloa. First Majestic Silver announced drilling results from San Dimas, in Sinaloa. ON DEALS AND CORPORATE ISSUES, Almadex Minerals and Almaden Minerals withdrew their legal challenges with the Mexican authorities as they took the decision to submit their claims to international arbitration. Vizsla Silver reminded its shareholders on the spinout of Vizsla Royalties. Capitan Silver amended the agreement to repurchase a royalty and also the option agreement on a mining concession at its Cruz de Plata project in Durango. SilverCrest Metals presented results from its AGM. ON SOCIAL RESPONSIBILITY, no relevant news.

ON MEXICO ISSUES

• The local stock exchange and the Mx Peso-US Dollar exchange rate took a moderate dip during the week as the current president and incumbent party members commented on the likelihood to pass constitutional reforms aimed to centralize power after the landslide victory obtained in the general elections on June 2, 2024. The main driver of the run is the intention to reform the Supreme Court with the election of ministers by a popular poll (similar to the current system in Bolivia), which is likely to be capitalized by the majority incumbent party Morena. Mining and exploration companies now have to raise to the reality that they better be well prepared for six more years of a government that does not like businesses in general and mining in particular

ON EXPLORATION

• Prismo Metals Inc. intends to mobilize its drilling crew to the Palos Verdes project in Sinaloa. Approximately 3,600 m in ten holes are to be completed in two phases after the closing of the ongoing financing. “These holes will be drilled from Vizsla Silver Corp. (TSXV: VZLA) concessions adjacent to the Palos Verdes concession and will target the Palos Verdes vein at depth.”

ON MINING

• Luca Mining Corp. announced its 2024 guidance and outlook for the Campo Morado and Tahuehueto mines. At Campo Morado in Guerrero, the company aims to produce 43 K to 50 K Oz AuEq at cash cost $1,175 to $1,294 per Oz AuEq and an AISC of $1,235 to $1,420 per Oz AuEq to obtain $55 M to $65 M in revenue. At Tahuehueto, in Durango, Luca Mining expects to produce 17 K to 20 K Oz AuEq at cash cost $1,295 to $1,420 per Oz AuEq and an AISC of $1,510 to $1,700 per Oz AuEq, to obtain $35 M to $40 M in revenue. At Tahuehueto the company is installing a third filter press that will allow to increase production from 450 tpd to 800 tpd in a short timeframe. At Campo Morado production is ramping back up to 2,000 tpd (from 1,390 tpd in Q1 2024), coupled with the production of three concentrates of copper, zinc and lead, instead of the two currently being produced.

ON FINANCING

• Fortuna Silver Mines Inc. closed the previously announced offering of 3.75% convertible senior notes due 2029 in an aggregate principal of US$175.5 M, which includes exercise of the full amount of the option to purchase an additional US$22.5 M aggregate principal amount of notes “The initial conversion rate for the Notes is 151.7220 common shares of Fortuna (“Shares”) per US$1,000 principal amount of Notes, equivalent to an initial conversion price of approximately US$6.59 per Share” (San José, Oaxaca).
• Barksdale Resources Corp. increased the previously announced non-brokered private placement financing for gross proceeds of C$5.62 M. The proceeds are to be used in the exploration activities of Barksdale’s Arizona properties (San Javier, Sonora).
• Quetzal Copper Corp. has been issued a cease trade order from the British Columbia Securities Commission on June 4, 2024 for failure to file interim financial reports, interim management´s discussion and analysis and certification of interim filings for Q1 2024 (Cristinas, 2024).
• Prismo Metals Inc. announced that it has received commitments for gross proceeds of C$1.1 M (Palos Verdes, Sinaloa).
• Capitan Silver Corp. granted 3.94 M options to officers, directors and consultants (Cruz de Plata, Durango).
• IMPACT Silver Corp. closed the second tranche of the non-brokered private placement financing previously announced for combined gross proceeds of C$9.09 M (Plomosas, Chihuahua).
• Heliostar Metals Ltd. announced a non-brokered private placement for gross proceeds of up to C$5 M (Ana Paula, Guerrero).

ON RESOURCES AND DEVELOPMENT

• Southern Silver Exploration Corp. released results from its preliminary economic assessment (PEA) on its Cerro Las Minitas project in Durango. Key features include an after-tax NPV5% of US$501 M and IRR of 21.2% with a 48-month payback, Initial CapEx of $388 M, a large-scale underground operation with a 17-year mine life with LOM feed totalling 243 M Oz AgEq to produce 194 M Oz Ag at an AISC of $13.23 per Oz AgEq. Gross revenues totalling US$4.47 B with Ag and Au representing 45% of revenue and zinc 35%. The project has 13.3 M tonnes @ 102 gpt Ag, 0.07 gpt Au, 0.17% Cu, 1.3% Pb, 3.1% Zn containing 43.2 M Oz Ag, 32 K Oz Au, 49 M Lb Cu, 374 M Lb Pb, 921 M Lb Zn as indicated resources and 23.4 M tonnes @ 111 gpt Ag, 0.14 gpt Au, 0.21% Cu, 1.1% Pb, 2.1% Zn, containing 83.4 M Oz Ag, 104 K Oz Au, 111 M Lb Cu, 582 M Lb Pb, 1,106 M Lb Zn.
• Torex Gold Resources Inc. presented the multi-year exploration strategy for its Morelos property in Guerrero. The exploration and drilling strategy has the objective to maintain more than 450 K Oz Au annual production and is to focus in three areas: 1) Extending the mine life of ELG Underground and Media Luna 2) Expanding resources within the Media Luna Cluster 3) Advancing targets through the growth pipeline. The $31 M exploration budget for 2024 includes $3 M for regional exploration, including the El Naranjo and Atzcala targets, and plans to explore north of the Balsas River.
• Vizsla Silver Corp. released results from 12 diamond drill holes targeting the Copala structure at its Panuco project in Sinaloa. Some of the true width intercepts of the infill program comprise 5.00 m @ 22.95 gpt Au, 1,378 gpt Ag (including 2.75 m @ 39.10 gpt Au, 2,225 gpt Ag); 13.00 m @ 8.19 gpt Au, 1,017 gpt Ag (including 1.40 m @ 35.11 gpt Au, 4,124 gpt Ag); 6.00 m @ 10.31 gpt Au, 1,882 gpt Ag; 8.70 m @ 5.18 gpt Au, 1,096 gpt Ag; 12.30 m @ 1.57 gpt Au, 150 gpt Ag. “Resource drilling at Copala has now traced mineralization along ~1,770 metres of strike length and ~400 metres down dip.”
• First Majestic Silver Corp. announced drilling results from its 2024 exploration program at San Dimas, in Durango. The drill program focus was to test new Au-Ag targets, add mineral resources and convert mineral resources to mineral reserves. Highlighted true length results comprise 2.15 m @ 20.41 gpt Au, 1,702 gpt Ag; 6.08 m @ 1.99 gpt Au, 440 gpt Ag; 6.72 m @ 7.36 gpt Au, 1,129 gpt Ag; 1.28 m @ 11.53 gpt Au, 1,158 gpt Ag; 7.88 m @ 10.87 gpt Au, 1,034 gpt Ag; 1.01 m @ 12.34 gpt Au, 196 gpt Ag; 1.76 m @ 39.28 gpt Au, 1,905 gpt Ag; 2.18 m @ 4.86 gpt Au, 511 gpt Ag; 1.34 m @ 9.44 gpt Au, 1,069 gpt Ag; 0.94 m @ 13.24 gpt Au, 1,501 gpt Ag; 2.05 m @ 3.42 gpt Au, 361 gpt Ag.

ON DEALS AND CORPORATE ISSUES

• Almadex Minerals Ltd. has taken the decision to submit its claims to arbitration against Mexico under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, after a consultation meeting with Mexican officials on May 30, 2024 did not result in an amicable resolution of the dispute with Mexico. Almadex is pursuing this arbitration together with Almaden Minerals Ltd., and based on a preliminary estimate will be seeking damages of no less than US$200 million. Almadex would be entitled to damages relating to its 2.0% NSR royalty on the Ixtaca project in Puebla.
• Almaden Minerals Ltd. has taken the decision to submit its claims to arbitration against Mexico under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, after a consultation meeting with Mexican officials on May 30, 2024 did not result in an amicable resolution of the dispute with Mexico. Almaden has withdrawn its legal challenge in the Mexican Federal Administrative Court and other legal proceedings in respect of the company’s mining concessions, as required for submitting a claim under the CPTPP. The ruling on the arbitration under the CPTPP will be adjudicated pursuant to the arbitration rules of the International Centre for Settlement of Investment Disputes (ICSID). Almaden is pursuing this arbitration together with Almadex Minerals Ltd., and based on a preliminary estimate will be seeking damages of no less than US$200 million, in the aggregate (Ixtaca, Puebla).
• Vizsla Silver Corp. reminds its shareholders that if the spinout of Vizsla Royalties Corp. is approved at the special meeting being held on June 17, 2024, the company will seek a final order from the Supreme Court of British Columbia to approve the arrangement and closing will occur on or about June 24, 2024. “The owners of common shares of Vizsla Silver … are entitled to receive one-third of a common share of Vizsla Royalties Corp. …. and one-third of a common share purchase warrant of Vizsla Royalties Corp.” for each Vizsla Silver Share held on the record date (Panuco, Sinaloa).
• Capitan Silver Corp. amended its agreement to repurchase a royalty on its Cruz de Plata project in Durango. The net smelter royalty (NSR) entitled Exploraciones del Altiplano an NSR of up to 2%. “The amendments have restructured the final payments to Altiplano which totaled USD $1.0 million into three smaller payments over the course of a year. Upon signing of the amendment a cash payment of USD $87,500 was made, with remaining payments to consist of 50% cash and 50% shares as follows: USD $200,000 in October 2024 and USD $300,000 in April 2025.” Amended was also the option agreement to purchase the “El Casco U” property from Fresnillo plc, modifying the November 2023 US$150 K payment to a US$156.3 K payment on May 2024, which has since been paid.
• SilverCrest Metals Inc. announced results from its annual general meeting (AGM) held on June 12, 2024. Eight directors were re-elected by a handsome majority on the meeting where “A total of 88,115,662 votes were represented at the AGM amounting to 59.84% of the issued common shares...”

ON SOCIAL RESPONSIBILITY

• No Relevant News.

On the image below: Saw scratched molybdenite speck image on a 40 X hand lens from a project in the Sonoran Desert. Picture by Jorge Cirett