First Majestic Silver Receives Key Permits and Reports Drilling Progress at Santa Elena District

First Majestic Silver Corp. has announced that it received the required permits for construction of underground access portals at the Santo Niño and Navidad targets within the Santa Elena Silver/Gold Mine, located in Sonora, Mexico. The company outlined plans for an additional $12 million investment in 2026 to advance development and establish underground access at these sites. This development coincides with the release of positive infill drilling results from both targets, which the company states support resource conversion and near-term mine planning.

The construction permits mark a regulatory milestone in advancing both Santo Niño and Navidad from resource definition to underground development. According to First Majestic, the planned investment will fund portal construction, haul road development, hydrogeological studies, and underground decline and ramp development. Specifically, the investment will support about 800 metres of decline development at Santo Niño, 1,300 metres of development in the Ermitaño-to-Navidad ramp and from the Navidad portal, and the construction of a 450-metre haul road linking the Santo Niño portal to the existing Ermitaño haul road.

Keith Neumeyer, CEO of First Majestic, described the advancement of Santo Niño and Navidad as an important step in unlocking the next phase of growth at Santa Elena. Neumeyer stated that infill drilling continues to return significant silver and gold intercepts at both targets, and that the construction permits and planned investment are intended to move Santo Niño toward near-term mining readiness while advancing Navidad, described as one of the most significant discoveries at Santa Elena to date.

Drilling at Santo Niño in 2026 has totalled 26,904 metres across 69 holes. The focus has been on infilling the current Inferred Mineral Resources to support potential conversion to Indicated Mineral Resources and enable near-term mine planning. Drilling has confirmed the presence of higher-grade mineralization, especially in the western portion of the vein, with intercepts that the company reports are overall better than previously modelled.

At Navidad, 7,704 metres of drilling have been completed across 10 holes in 2026. The program has focused on the Winter vein, which due to its geometric configuration, is expected to play an important role early in the future mine schedule. The company reports high-grade silver and gold intercepts near the edge of the current Inferred Mineral Resource at Navidad.

Significant silver and gold mineralization at Santo Niño has been traced for approximately 1,100 metres along strike and 425 metres down dip, with average thicknesses of about 4.0 metres, ranging from 1.0 to 16.0 metres. Secondary veins and breccias in the hanging wall and footwall have also been identified in several drill holes and are under further investigation. At the Winter vein of Navidad, mineralization extends roughly 1,000 metres along strike and 350 metres down dip, with true thicknesses between 2.8 and 4.4 metres.

The 2026 drilling campaign at Santo Niño is part of a planned 45,000-metre program, while the Navidad program targets 17,000 metres. Both are intended to increase data density, improve understanding of mineralized volume, grade continuity and vein geometry, and support potential conversion of Inferred to Indicated Mineral Resources. This approach is expected to strengthen geological confidence and inform underground access design, mine planning, production scheduling, and economic evaluation.

A scoping-level study identified dedicated underground access as the preferred approach for advancing Santo Niño and Navidad. For Santo Niño, a dedicated portal and haul road are planned, while at Navidad, a portal approximately 300 metres from the Santa Elena processing facilities, along with ramp development from lower levels of Ermitaño, will provide secondary egress and ventilation and facilitate haulage of mineralized material.

Preliminary mining and processing schedules suggest that higher-grade mineralization from Santo Niño and Navidad could positively impact Santa Elena’s production profile, potentially displacing lower-grade material from other deposits and materially extending mine life. The company has indicated that drilling and development work at these targets are expected to become important contributors to future mine plans.

Assay results from the drilling campaigns at both targets include composited intercepts based on length-weighted averages of uncapped sample assays. For Santo Niño, a minimum cut-off grade of 90 grams per tonne (g/t) silver-equivalent (AgEq) was applied, while for Navidad the threshold was 110 g/t AgEq. The methodology allows for a minimum composite length of 1.0 metre true width, with some internal dilution permitted within established parameters. Intercepts containing assay results above 1,000 g/t silver or 10 g/t gold are highlighted for further attention.

First Majestic’s drilling programs follow established Quality Assurance and Quality Control (QA/QC) protocols, including the insertion of standards, blanks, and duplicates into the sample stream. All drill core samples are cut in half, with one half submitted for laboratory analysis and the other retained for verification or future metallurgical testing. Analytical work is conducted at SGS laboratory (ISO/IEC 17025:2017) and the company’s own Central laboratory (ISO 9001:2015), using fire assay and atomic absorption finish methods for gold and silver, with gravimetric analysis for high-grade samples.

The company emphasizes that the statements regarding the advancement of Santo Niño and Navidad, as well as the anticipated impacts of these projects, are not based on a pre-feasibility level study of mineral reserves demonstrating economic and technical viability. As such, First Majestic notes there is increased uncertainty related to the economics of mining these areas and that technical risks remain elevated in the absence of more advanced studies. The company cautions that forward-looking statements are subject to a range of risks including changes in economic conditions, regulatory frameworks, labour relations, commodity prices, and the technical outcomes of ongoing studies.

Gonzalo Mercado, P. Geo., Vice-President of Exploration & Technical Services for First Majestic and a Qualified Person as defined under National Instrument 43-101 (NI 43-101), has reviewed and approved the scientific and technical information released by the company. Mercado has verified the supporting exploration data, including sampling, analytical, and test data.

First Majestic Silver Corp. is a publicly traded mining company with a primary focus on silver and gold production in Mexico and the United States. The company operates four underground mines in Mexico—Santa Elena, Los Gatos (in which it holds a 70% interest), San Dimas, and La Encantada—and is working to restart the Jerritt Canyon Gold Mine in Nevada. First Majestic also operates its own minting facility and sells a portion of its silver output directly to the public.

The company’s disclosure practices are governed by Canadian securities law and National Instrument 43-101, and it notes that technical disclosure may not align with United States reporting standards. Further details on technical assumptions, QA/QC procedures, and known risks are available in the company’s most recent Annual Information Form and Annual Report, accessible through Canadian and U.S. securities regulators. The company reiterates that technical and economic viability for Santo Niño and Navidad has not yet been demonstrated to a pre-feasibility standard, and that all forward-looking statements should be read with caution.