Guanajuato Silver obtains permit for Pinguico restart

Executive Summary

• Guanajuato Silver received a general‑use explosives permit from the Mexican Ministry of Defense, allowing underground development at its wholly owned Pinguico mine to restart in Q4 2025.
• The company plans to drift along the San Jose vein toward a historic underground stockpile located ~10 km from its El Cubo processing plant; extracted material will be processed on‑site, offsetting part of the 2025/26 development costs.
• Historic drilling has returned high‑grade intercepts (e.g., 5.96 g/t Au and 476 g/t Ag over 0.90 m), supporting a planned 2026 underground exploration program to discover additional mineralized shoots.

Key Details

• Permit Issued: General‑use explosives permit granted by the Ministry of Defense for subsidiary Compania Obras Mineras El Pinguico SA de CV.
• Restart Timeline: Underground development work slated to recommence in Q4 2025, with board approval expected late September.
• Development Plan: Construct a decline from Level 4 toward the historic underground stockpile; ~500 m of development remain (75 m already advanced last year).
• Target Vein: Drifting along the San Jose vein structure to access and extract low‑cost mineralized backfill.
• Processing Strategy: Economic material extracted will be sent to the El Cubo plant for processing, partially financing the 2025/26 underground development program.
• Historical Context: Pinguico was the highest‑grade gold/silver mine in Guanajuato (1890–1913).
• High‑Grade Intercepts: Drill hole P21‑10 reported 5.96 g/t Au and 476 g/t Ag (953 g/t AgEq) over 0.90 m; other historic results cited from 2021 and 2022 releases.
• Future Exploration: A 2026 underground drilling program is planned to test for new mineralized shoots within multiple vein structures.
• Contracting & Engineering: Company interviewing local mining contractors, preparing capital cost estimates, and completing detailed engineering ahead of board approval.
• Technical References: Prior release (Nov 26 2024) and Apex Geoscience technical report (effective Aug 1 2024) contain historic sampling data; both filed on SEDAR+.

Notable Quotes

“We are excited to restart work at our Pinguico mine. The timely granting of this explosives permit allows underground development to restart at what was once the Guanajuato district's highest‑grade mine.” – James Anderson, Chairman & CEO

Disclaimer and QA/QC sections omitted as non‑material boilerplate.