Sierra Madre Gold and Silver (SM) Corporate Presentation summary

Operational highlights

• Achieved full commercial production at La Guitarra mine as of January 1, 2025, with Q3 2025 sales of 153,583 silver equivalent ounces and revenues of $5.5 million, generating a gross profit of $1.7 million.

• Milled 38,433 tonnes in Q3 2025, with silver and gold recoveries of 76.96% and 75.55% respectively; adjusted EBITDA reached $1.86 million, up 27% quarter-over-quarter.

• Q3 2025 was impacted by power outages, but Q4 and 2026 are expected to show stronger production as issues subside and new mine areas come online.

• Plant expansion to 750–800 tpd is underway for Q2 2026, with a second phase targeting 1,200–1,500 tpd by Q3 2027, fully funded from treasury and cash flow.

• $19.5M private placement closed in July 2025 and a $5M loan from First Majestic Silver supports ongoing expansion and operational improvements.

Resource and exploration updates

• 2023 resource update for La Guitarra: 27.2M silver-equivalent indicated ounces (up 373%) and 20.2M inferred ounces (up 204%).

• Coloso mine resource grades are 1.7x higher in silver and 1.2x higher in gold compared to Guitarra mine veins.

• District-scale mapping at La Guitarra has delineated 59 km of mineralized veins; over 1,400 drill holes totaling 236,000 meters completed.

• East District exploration program underway with a $3.5M budget and a 20,000–25,000m drill program planned for Q2 2026.

• Tepic project shows over 15 km strike length potential, with recent drilling confirming open structures and significant upside.

Financial and corporate structure

• Market cap as of November 2025 is C$214.5M, with 185,998,576 shares outstanding and $16.9M in current assets as of September 30, 2025.

• Insider and management ownership totals 21.4%, with First Majestic Silver holding 27.7% and institutions 34.3%.

• $5M loan from First Majestic Silver matures in May 2027 at 15% interest, used for mine preparation and upgrades.

• Analyst coverage includes Beacon Securities and VSA Capital.