CEO LETTER TO SHAREHOLDERS
Outcrop Silver Touts Drilling Wins, Eyes U.S. Listing After Transformative Year
The most recent news, a CEO letter to shareholders dated December 17, 2025, provides a comprehensive summary of the company's operational, financial, and strategic achievements throughout 2025 and outlines the key objectives for 2026.
2025 Achievements Highlighted:
- Drilling: Completed over 28,500 meters, exceeding the planned 24,000 meters.
- Discoveries: Expanded the discovery inventory to six new high-grade veins.
- Land Access: Secured access to 233 properties through local agreements.
- Metallurgy: Advanced test work showing high recoveries of 96.3% silver and 98.5% gold.
- Financing: Raised over $23 million, with notable participation from Jupiter Asset Management and Eric Sprott.
- Corporate: Graduated from the TSX Venture Exchange to the Toronto Stock Exchange (TSX).
- Performance: The company's share price increased by approximately 100% year-to-date, reaching a 52-week high of $0.47.
2026 Outlook and Plans:
- Resource Update: The top priority is to deliver an updated Mineral Resource Estimate (MRE) for the Santa Ana project.
- Drilling Program: A fully-funded 35,000-meter drill program is planned.
- U.S. Listing: The company will pursue a listing on a U.S. stock exchange to increase market visibility and liquidity.
The CEO letter is a summary of a highly successful year and does not contain new, previously unannounced material information. Therefore, its direct impact is routine. However, the contents of the letter, viewed in the context of the year's news flow, confirm a pattern of consistent execution and significant de-risking of the Santa Ana project.
Historical Progression and Execution:
- Early 2025: The company began the year with promising drill results extending the La Ye vein system and making a new discovery at Los Mangos. A financing in March 2025 raised $7.47 million at $0.22, with significant participation from Eric Sprott, providing capital to accelerate exploration.
- Mid-2025: Exploration momentum built rapidly with a series of exceptional drill intercepts at Los Mangos, including a standout result of 18.30 meters at 992 g/t AgEq (May 6). This demonstrated the potential for significant resource growth well outside the existing resource area. The company prudently monetized non-core assets (Kramer Hills, Pearl) through option agreements, securing non-dilutive funding and free-carried interests while maintaining focus on Santa Ana. Positive ore sorting test results (June 17) suggested a path to lower future operating costs. The addition of a third drill rig signaled an aggressive approach to expanding the resource footprint. By July, the company had announced its sixth high-grade discovery of the year.
- Late 2025: The company's progress culminated in a major strategic financing in October, raising $23.02 million at a significantly higher price of $0.35. The offering was led by a $15 million investment from institutional giant Jupiter Asset Management and another $5 million from Eric Sprott. This fully funded the company's ambitious plans for 2026 and provided a powerful third-party validation of the project's quality. This was followed by a successful graduation to the senior TSX exchange in November, enhancing the company's profile.
Assessment of Current News:
The CEO letter effectively packages this string of successes. It confirms that the company met or exceeded all its stated goals for 2025. The forward-looking statements provide a clear and credible path to value creation in 2026, centered on the highly anticipated resource update and a larger follow-up drill program. While the letter itself is not a material event, it reinforces a strongly positive narrative and sets clear expectations for the market.
Outcrop Silver & Gold Corporation is a Canadian mineral exploration company focused on its 100%-owned flagship Santa Ana project in the department of Tolima, Colombia. Santa Ana is a high-grade, primary silver project with historical mining records dating back to the 16th century. The company's strategy is to expand the existing NI 43-101 mineral resource through aggressive step-out and discovery drilling along a 17-kilometer permitted mineralized trend. The project is notable for its high silver grades, with significant gold credits.