Aya Gold & Silver Provides 2026 Outlook and Strategic Priorities

The most recent news release (January 27, 2026) provides the 2026 operational outlook and strategic priorities. Key highlights include: - Production Guidance: Consolidated 2026 production is targeted at 6.2 to 6.8 million silver equivalent (AgEq) ounces. Zgounder is expected to contribute 5.2 to 5.8 million ounces of silver. - Cost Guidance: Cash costs at Zgounder are projected at $21.50/oz Ag. Boumadine pyrite operations are expected at $10.10/oz AgEq. - Capital Expenditure: A massive $60 million is allocated for exploration, with $36 million for sustaining and growth capital. - Operational Targets: Zgounder is aiming for a sustained processing rate of 3,650 tonnes per day (tpd), significantly above the initial 2,700 tpd nameplate capacity. - Strategic Milestone: The company officially announced it is pursuing a U.S. listing, targeted for H1-2026 (specifically Q2-2026). - Macro Assumptions: Guidance assumes $50.00/oz silver and $4,000/oz gold, reflecting an extremely bullish internal outlook or a very high spot environment at the time of the release.

The 2026 guidance is a material progression but carries "hidden" cost pressures. - Positive Throughput vs. Production Realities: Management successfully over-delivered on mill throughput (hitting 4,000 tpd peaks in Q4 2025), but total 2025 silver production of 4.83M oz actually fell slightly short of the original 5.0M-5.3M oz guidance range provided in March 2025. The 2026 target of 5.2M-5.8M oz Ag is a step up, but implies that throughput gains are being partially offset by grade or recovery fluctuations. - Cost Creep: The $21.50/oz cash cost guidance for 2026 is significantly higher than the $15.00-$17.50 range projected for 2025. This indicates persistent inflation in consumables (cyanide, as noted in transcripts) and potentially higher costs associated with the open-pit ramp-up. - U.S. Listing Catalyst: A U.S. listing is a major potential catalyst for re-rating. As the "only TSX-listed pure-play silver producer," entering the U.S. markets provides access to a much deeper pool of capital and institutional silver-bugs. - Exploration Aggression: Spending $60 million on 230,000 meters of drilling is one of the most aggressive programs in the junior/mid-tier space. This underscores the scale of Boumadine, which the PEA (Nov 2025) already valued at an NPV5% of $1.5B (base case).

Aya Gold & Silver is a Canadian-based silver producer operating exclusively in Morocco. - Flagship Project: Zgounder Silver Mine. It recently completed an expansion to 2,700 tpd (nominal), but is currently operating closer to 3,800 tpd. It has an 11-year mine life with reserves of ~73 Moz Ag. - Growth Project: Boumadine. A district-scale polymetallic asset (Au, Ag, Zn, Pb). The 2025 PEA suggests it will be significantly larger than Zgounder, producing ~328k oz AuEq annually over 11 years. - Jurisdiction: Morocco is consistently rated as a top mining jurisdiction in Africa due to fast permitting and infrastructure support.