Silver X Mining Corp.

Silver X Mining Corp. is a junior silver producer headquartered in Lima, Peru, operating primarily in South America. The company's portfolio consists of 1 operating mine, in addition to several early-stage exploration prospects. Key assets include Nueva Recuperada. The company's business model is centered on the consolidation and development of undervalued assets acquired from major industry producers. This approach involves creating value by expanding the resource base and increasing production through a fully permitted and operational central processing facility. The operational strategy leverages this existing infrastructure to process material from multiple mining faces and satellite deposits, aiming to maximize throughput and efficiency. A key operational characteristic is the extensive network of mineralized veins within the land package, which supports the potential for multi-source feed. To further enhance processing capabilities, the organization is actively evaluating advanced technologies, such as ore sorting, with the objective of increasing throughput without requiring substantial capital investment in plant expansion. This focus on leveraging existing infrastructure while exploring technological upgrades positions the entity to systematically grow its production profile.

Strategic priorities are focused on a significant expansion of annual production capacity, underpinned by a comprehensive update to the Environmental and Social Impact Assessment to increase permitted processing throughput to 2,500 tonnes per day. Management is commissioning a new Preliminary Economic Assessment to evaluate multiple growth scenarios, including the potential construction of an additional processing facility or the expansion of the current plant to accommodate feed from two distinct mining areas. A core component of the strategy involves the targeted exploration and development of identified high-value mineralization corridors to enhance the overall quality of material processed. Capital allocation is disciplined, demonstrated by the recent decision to divest non-core options to concentrate resources on the most prospective exploration and development projects. The long-term vision is to establish two mining areas at similar production levels, creating a diversified and robust operational footprint.

The organization's approach to sustainability is demonstrated through proactive environmental and social management aimed at securing its long-term license to operate. A key initiative is the comprehensive update of the Environmental and Social Impact Assessment, which is required for the planned operational expansion. This process covers a study area of 4,900 hectares and includes plans for a new 8,000,000 cubic meter capacity tailings storage facility. Community relations are a cornerstone of this strategy, solidified by the signing of long-term social agreements with local communities. These include a 15-year social contract with the Community of Carhuapata and a 12-year agreement with the Community of Huachocolpa, ensuring that the entirety of the company’s tenements are covered by mutually beneficial community partnerships. These agreements are critical components of the permitting process and reflect a commitment to social and environmental excellence while pursuing growth.

The corporate structure was fundamentally shaped by the consolidation of a large land package through strategic acquisitions from major producers, including Compañia de Minas Buenaventura SAA, Pan American Silver Corporation, and Barrick Gold Corporation. The company actively manages its portfolio through arrangements such as an earn-in agreement with Barrick Gold Corp. to acquire a 100% interest in the Lily 19 claims, which requires completing 3,000 metres of drilling and includes a retained 2% net smelter return royalty for Barrick. A strategic relationship with a major commodity trading firm is evidenced by the issuance of 1,500,000 common share purchase warrants to Urion Holdings (Malta) Limited, an affiliate of Trafigura, in connection with a loan facility. Portfolio optimization is an ongoing activity, as shown by the 2024 decision to not renew an option on the Coriorcco and Las Antas project, allowing the entity to focus on more prospective assets.