Discovery Reports New, High-Grade Intersections at Pamour that Further Extend Mineralization Along Strike, to the North, and to Depth

Discovery Silver Corp. (DSV) reported 52 holes totaling 16,827.4 meters from its ongoing Pamour program, which is part of a stated 255,000–285,000-meter 2026 campaign. The drilling targeted three zones: Pamour Pit East and West (24 holes, 9,071.7 meters), Pamour West / Broulan #5 (18 holes, 4,671.7 meters), and the North Contact Zone (10 holes, 3,084 meters). The company quoted the Pamour resource as Indicated 64.8 Mt @ 1.30 gpt (2.70 moz) and Inferred 23.3 Mt @ 1.34 gpt (1.00 moz).

In the West Pit, notable intercepts included 40.64 gpt over 5.4 meters and 1.25 gpt over 4.3 meters (PAM25-0138); 11.25 gpt over 10.5 meters plus 2.06 gpt over 13.5 meters and 2.09 gpt over 7.0 meters (PAM26-0156); 3.64 gpt over 9.8 meters (PAM25-0122); 1.79 gpt over 14.5 meters (PAM26-0270A); 3.54 gpt over 6.7 meters (PAM26-0256); and 1.03 gpt over 17.1 meters (PAM26-0193).

Intercepts in the East Pit included 42.37 gpt over 5.1 meters (PAM26-0263); 1.80 gpt over 29.0 meters, 4.58 gpt over 20.7 meters and 7.39 gpt over 18.0 meters in one hole (PAM26-0297); 2.01 gpt over 20.7 meters (PAM26-0288); 1.86 gpt over 20.0 meters (PAM26-0269A); 2.86 gpt over 12.5 meters and 1.09 gpt over 22.3 meters (PAM26-0251); 1.76 gpt over 14.6 meters (PAM26-0248); and 3.61 gpt over 8.8 meters (PAM26-0267).

Results from Pamour West included 5.04 gpt over 10.0 meters (PAM26-0299); 6.05 gpt over 5.0 meters (PAM26-0282LR); 4.08 gpt over 11.3 meters (PAM26-0286LR); 4.85 gpt over 5.0 meters (PAM26-0247); 3.64 gpt over 10.2 meters and 2.53 gpt over 6.5 meters (PAM26-0221); 3.36 gpt over 4.7 meters (PAM26-0254); 4.44 gpt over 5.0 meters (PAM26-0290); and 3.82 gpt over 5.0 meters (PAM26-0311).

The North Contact Zone yielded 1.43 gpt over 23.7 meters (PAM26-0265); 4.36 gpt over 6.0 meters (PAM26-0271); 2.50 gpt over 8.4 meters and 3.83 gpt over 5.0 meters (PAM26-0283); 1.83 gpt over 10.5 meters (PAM26-0227); and 3.15 gpt over 4.5 meters (PAM26-0232).

The company stated that PAM26-0288 and PAM26-0297 hit mineralization north of and below the current pit. The most easterly Pamour West hole is 900 meters east of the Broulan pit and 600 meters from the historic Pamour pit, while North Contact drilling fills an untested gap between historic holes 600 meters east and 900 meters west. Assays were reported uncut, and intervals represent core lengths only, with true widths unknown. Ten named holes (PAM26-0262, 0268, 0277, 0305LR, 0270, 0302, 0269, 0253, 0255, 0266) were omitted from the table as "lower grade values."

Discovery Silver Corp. (DSV) is a mid/large-cap operating gold producer with a market capitalization of approximately C$9.3 billion. Prior-period results show Q2 2026 revenue of $319.1 million, net earnings of $52.1 million, 67,309 oz gold produced in the quarter, $607.8 million of liquidity and a $400 million undrawn revolving credit facility.

The recent release supports continuity of mineralization at and above the 1.30–1.34 g/t resource grade, confirming extensions north, below and 900 m east of known pits. It reinforces the input dataset for the Pamour pit redesign and the resource update. The release does not state a new resource, a new reserve, a new pit shell, a new throughput, or any economic figure.

The 4 km strike, the open-at-depth language and the Pamour West / North Contact targets were established in the 2026-07-21 release. The North Contact Zone was introduced in the 2026-04-23 release and, on grade, was announced with stronger intersections then. Management deliberately split exploration news into multiple releases over three weeks.

The equity has roughly doubled over the trailing year, rising from C$5.14 to C$11.41, and has risen ~34% since the 2026-07-21 Pamour release, moving from C$8.53 to C$11.41. This move is coincident with a strong gold tape, the Kidd acquisition, Q2 earnings and a series of releases. The last Pamour release alone moved the stock only about 6–7% on the day after.

The delta versus the 2026-07-21 Pamour anchor includes broader coverage, comparable or better wide intervals, two nominal >200 g·m holes, and genuine step-outs beyond the pit. Versus the 2026-04-23 anchor, the North Contact grade is weaker.

Discovery Silver Corp. (TSX: DSV, OTCQX: DSVSF) is a precious and base metals company with a gold-focused operating base in the Timmins camp, Ontario, alongside silver development and base-metal production. The company’s Porcupine Complex, located near Timmins, Ontario, includes the Pamour, Hoyle Pond, and TVZ zone, as well as the Borden, Dome, Owl Creek, and Broulan properties, plus the 750 Zone and North Contact regional targets. The 2026 exploration program is guided at 255,000–285,000 m with up to 23 rigs.

At Pamour, the resource consists of Indicated 64.8 Mt @ 1.30 gpt for 2.70 moz and Inferred 23.3 Mt @ 1.34 gpt for 1.00 moz, situated within an open-pit mine plan across three phases.

In June 2026, the company acquired the Kidd Operations in Timmins, Ontario, from Glencore. The acquisition includes the Kidd Creek copper-zinc-silver mine, the Kidd metallurgical site, and surface rights. The metallurgical site features four circuits, with approximately 6,000 tpd currently operating on two, 90 MW of power, rail access, and a 1,200 ha tailings area. The consideration for the acquisition was $10 million in shares plus the assumption of environmental obligations, a 1.0% NSR on adjacent exploration land, and up to $75 million of reimbursable tailings-management costs, payable in cash or shares at the company's election. The operation was closed on 2026-06-01.

In Mexico, Discovery Silver Corp. owns 100% of the Cordero project in Chihuahua, described as one of the world's largest undeveloped silver deposits. A February 2024 feasibility study cited an NPV(5%) of $1.2 billion, 22% IRR, life-of-mine 635 moz AgEq, and an average 33 moz AgEq per year over the first years at sub-$12.50/oz AgEq AISC. Federal environmental (MIA) and change-of-land-use permits were received in a separate 2026-10-05 release.

Recent financial context shows Q2 2026 revenue of $319.1 million, net earnings of $52.1 million ($0.06/share), adjusted net earnings of $92.3 million, and EBITDA of $170.0 million. Free cash flow was negative $11.4 million. The company produced 67,309 oz of gold at an operating cash cost of $1,387/oz and an AISC of $2,154/oz. In June, 1,286 t of copper and 3,361 t of zinc were processed at Kidd. Liquidity stood at $607.8 million, including $364.3 million in cash, with no reported debt. The revolving credit facility was increased to $400 million with a maturity extended to 2030-07-30.

Prior-period guidance for 2026 targeted gold production of 260–300 koz, operating cash costs of $1,250–1,400/oz, and AISC of $1,950–2,250/oz. Sustaining capex was guided at $120–165 million, and growth capex at $195–235 million. Management targets more than 500,000 oz per year within three to five years.

Book value per share was $0.90 and FY2025 EPS was $0.16. Against a C$11.41 share price, this implies roughly 12x book and a high earnings multiple, indicating the equity is priced for the growth plan rather than current earnings. These ratios are approximate because the financial statements are presented in USD while the TSX-listed price series is denominated in Canadian dollars.