Silver Tiger Metals: Permitted Mine + $304M Underground PEA, Low AISC, First Pour 2027

Area

Key Details

Investment Feel

Main asset

El Tigre is Silver Tiger’s flagship project. The project is located in Sonora, Mexico and is 100 percent owned by Silver Tiger. The company says the broader El Tigre district covers more than 28,000 hectares in its January 2026 PEA/PFS release, while its March 2026 construction update refers to more than 37,000 hectares. The key point is that this is a district-scale land package, not a small single-vein target. The near-term development focus is the Stockwork Zone. This is the open-pit heap-leach project that already has the construction decision, permits, EPCM contract, engineering progress, and a target for first pour in December 2027. Silver Tiger secured all required approvals and permits from SEMARNAT to construct the El Tigre Stockwork Silver-Gold Project in November 2025. This matters because Silver Tiger is now in the transition stage from developer to near-term producer. Many silver juniors have resources and PEAs, but very few have a permitted construction-stage asset with a board-approved build decision.

Flagship construction-stage asset. The key point is permitted, board-approved construction rather than pure exploration.

Grade feel

The Stockwork Zone is not a high-grade silver mine in the traditional underground sense. It is more of a low-grade bulk-tonnage gold-silver heap-leach project, with strong economics because of low strip ratio, low capex, low operating cost, and meaningful gold credit. The PFS reserve grade is 40.3 million tonnes at 0.40 g/t gold and 14.9 g/t silver. That is not high-grade silver, but the economics are strong because it is open-pit, heap leach, and has significant gold value. The PFS shows 523,000 ounces of contained gold and 19.35 million ounces of contained silver in proven and probable reserves. The underground side is where the high-grade silver story lives. The out-of-pit measured and indicated resource totals 2.384 million tonnes at 421 g/t silver, 1.05 g/t gold, and 543 g/t AgEq. The inferred out-of-pit resource adds 4.1 million tonnes at 294 g/t silver, 1.58 g/t gold, and 497 g/t AgEq. This is the key attraction. Silver Tiger is not only building a lower-grade heap-leach project. It also has high-grade underground silver-gold veins that could become a second-stage or parallel development opportunity.

Stockwork is lower-grade bulk-tonnage, while underground veins provide the higher-grade silver-gold torque.

El Tigre Mineral Resource Estimate

The updated Mineral Resource Estimate has an effective date of June 20, 2025. The company reported a 113 percent increase in grade for the out-of-pit measured and indicated resource, a 6 percent increase in contained M&I ounces to 314 million AgEq ounces, and a 25 percent increase in contained in-pit M&I resource ounces to 190 million AgEq ounces. • Measured + Indicated: 55.291Mt at 27 g/t Ag and 0.47 g/t Au, or 107 g/t AgEq • Contained M&I metal: 48.425Moz silver, 840koz gold, or 190.386Moz AgEq • Inferred: 4.939Mt at 16 g/t Ag and 0.39 g/t Au, or 82 g/t AgEq • Contained inferred metal: 2.550Moz silver, 62koz gold, or 13.078Moz AgEq • Measured + Indicated: 2.384Mt at 421 g/t Ag and 1.05 g/t Au, or 543 g/t AgEq • Contained M&I metal: 32.286Moz silver, 81koz gold, or 41.600Moz AgEq • Inferred: 4.100Mt at 294 g/t Ag and 1.58 g/t Au, or 497 g/t AgEq • Contained inferred metal: 38.822Moz silver, 208koz gold, or 65.556Moz AgEq • Measured + Indicated: 58.628Mt at 44 g/t Ag and 0.49 g/t Au, or 125 g/t AgEq • Contained M&I metal: 83.415Moz silver, 931koz gold, or 235.543Moz AgEq • Inferred: 9.108Mt at 142 g/t Ag and 0.92 g/t Au, or 269 g/t AgEq • Contained inferred metal: 41.589Moz silver, 271koz gold, or 78.911Moz AgEq Overall, El Tigre has a large gold-silver resource base with a permitted open-pit starter project and a high-grade underground growth profile.

Large gold-silver resource base with pit-constrained starter project plus high-grade underground growth profile.

2026 Updated PFS Stockwork Zone Economics

• Mine life: 10 years • Mining method: Open-pit, contract mining • Processing: Heap leach, Merrill-Crowe recovery • Total ore mined: 40.292Mt • Strip ratio: 1.7:1 • Average gold grade: 0.40 g/t Au • Average silver grade: 14.9 g/t Ag • Payable silver: 8.57Moz • Payable gold: 408koz • Payable AgEq: 42.9Moz • Initial capex: US$86.8M • Expansion capex: US$20.1M • Sustaining capex: US$6.2M • Operating cash cost: US$11.7/oz AgEq • AISC: US$14.5/oz AgEq • After-tax NPV5%: US$455.6M • After-tax IRR: 65.7% • Payback period: 1.4 years • Undiscounted after-tax cash flow: US$625M • Base silver price: US$38/oz • Base gold price: US$3,200/oz The strongest point here is capital efficiency. Initial capex of US$86.8 million is low compared with many precious-metals development projects. The after-tax NPV-to-initial-capex ratio is more than 5 times, which is very strong. The second key point is that the Stockwork Zone is mainly a gold-silver heap-leach project. It is not purely a silver project. Gold contributes most of the payable value in the PFS, with 408,000 payable gold ounces versus 8.57 million payable silver ounces. This makes the project more resilient if silver is volatile, but it also means Silver Tiger’s near-term cash flow is not pure silver torque.

The strongest point is capital efficiency: low initial capex, strong IRR, fast payback, and permitted construction status.

Underground 2026 PEA High-Grade Optionality

• Mine life: 15-year underground mine life, plus tailings processing • Total project life: 18 years • Processing rate: 800 tonnes per day • Payable silver: 33.6Moz • Payable gold: 130koz • Payable AgEq: 38.5Moz • Average LOM grade: 251.3 g/t Ag and 0.91 g/t Au • Average LOM AgEq grade: 331.7 g/t AgEq • Initial capex: US$83.5M • Sustaining capex: US$213.6M • Operating cash cost: US$16.0/oz AgEq • AISC: US$24.0/oz AgEq • After-tax NPV5%: US$304M • After-tax IRR: 42.8% • Payback period: 2.6 years • Undiscounted after-tax cash flow: US$496M • Base silver price: US$38/oz • Base gold price: US$3,200/oz The underground is very important because it changes the character of the company. The Stockwork Zone gives near-term production. The underground gives long-life, higher-grade silver-gold upside. The underground PEA also does not include the 38 million AgEq ounces contained in the Northern Veins. That gives Silver Tiger additional exploration optionality beyond the current economic study.

Second-stage upside. Not the first construction decision, but crucial for long-life silver torque.

Asset / Zone

Key Details

Why It Matters

El Tigre North / Northern Veins

El Tigre North and the Northern Veins are not the current construction asset, but they may become a major future value driver. The January 2026 PEA/PFS release states that prospective areas exist outside the areas defined by the PEA and PFS, including the historic El Tigre North Mine mineral resource located 700 metres to the north. The underground PEA study of the Southern Veins does not include the 38 million AgEq ounces contained in the Northern Veins. In March 2026, Silver Tiger said it would transition to exploration drilling targeting high-potential vein systems north of the main El Tigre area, near the historic North Tigre Mine, after completion of metallurgical and geotechnical drilling. This is the optionality. If the company can keep adding high-grade silver-gold veins north of the current mine plan, El Tigre could become more than a single heap-leach mine. It could become a multi-stage district-scale silver-gold producer.

Could expand El Tigre from a starter heap-leach mine into a larger district-scale silver-gold platform.

Item

Details

Commentary

Basic shares outstanding

558,373,838

As listed on Silver Tiger investor page updated May 7, 2026.

Options / DSUs / RSUs

Options: 23,321,250 DSUs: 9,995,000 RSUs: 2,625,000

Equity incentives add to dilution.

Fully diluted shares

594,315,088

Large share count for a junior, but the company is now construction-stage.

Market cap estimate

C$493.3M fully diluted About US$358.6M using roughly 0.727 USD/CAD

The market is already giving credit for permitted construction and PFS economics.

Cash / financing position

C$57.5M bought deal closed in February 2026. Over US$86M / about C$120M cash reported in March 2026. Debt package nearing completion.

Funding position is stronger than many silver developers, but construction and underground development still carry financing risk.

Person

Role

Relevant Background

Management Feel

Glenn Jessome

President and CEO

Glenn Jessome is the founding shareholder of Silver Tiger and oversaw the company’s listing on the TSXV. He is a securities lawyer with 25 years of resource-sector capital markets experience and is a member of the TSXV National Advisory Committee. He is also Corporate Secretary and a founding shareholder of GoGold Resources, where he also oversaw the TSX listing.

Management feel: Glenn gives Silver Tiger strong capital markets DNA. This matters because project financing, investor support, debt negotiations, and market timing are critical for a construction-stage junior.

Keith Abriel

CFO and Corporate Secretary

Keith Abriel is a CPA, CA, and CFA with 25 years of finance experience. He has served as CFO of multiple public and venture-backed companies, including mining and exploration companies. The company says he has raised over a billion dollars of capital and has extensive international M&A experience.

Management feel: Strong fit for a company moving into construction. Silver Tiger will need financing discipline, treasury control, and debt/equity management.

Francisco Albelais

Vice President of Operations

Francisco Albelais is a mining engineer with more than 25 years of experience building, commissioning, and operating open-pit and underground mines in Mexico. He previously worked at Kappes Cassiday & Associates from 2005 to 2012 and worked on start-up and commissioning of Ocampo, Los Filos, Pinos Altos, El Castillo, Mascota, and La Colorada. He later joined Argonaut Gold and was involved with El Castillo, San Agustin, Cerro del Gallo, San Antonio, and Ana Paula.

Management feel: This is a major positive. Silver Tiger has someone with direct Mexico mine construction and operating experience, which is exactly what the company needs now.

Charles Spath

Vice President of Technical Services

Charles Spath is a Professional Geologist and Qualified Person with experience in resource evaluation, geological modelling, project management, and technical oversight. He has worked at Hecla, Newmont, and Vale and has experience managing underground and surface drill campaigns from greenfield stage to full production.

Management feel: Strong technical addition, especially because El Tigre has both open-pit heap-leach and underground vein potential.

David Duncan

Vice President Exploration

David Duncan is a geologist with more than 40 years of experience. He has worked with Algoma Ore, Kidd Creek Mines, Falconbridge, WMC, and Etruscan, now Endeavour Mining. He has also worked on GoGold’s Santa Gertrudis and Los Ricos projects in Mexico.

Management feel: Good exploration depth. This matters because the long-term upside is not only the Stockwork Zone, but also the high-grade underground veins and northern extensions.

Devin Devarennes

VP Corporate Development & Investor Relations

Devin Devarennes is a mining engineer with more than 15 years of corporate experience. He has been with Silver Tiger since 2020 and previously served as GM Mexico Operations. His background includes project management, development, exploration, logistics, budgeting, planning, and strategic marketing.

Management feel: Useful bridge between technical execution, Mexico operations, and capital markets communication.

Risk

Why It Matters

Construction risk

Silver Tiger has approved construction, but the mine still needs to be built on time and on budget.

Financing risk

The company has strong cash, but full funding may still require debt and possibly future equity.

Dilution risk

The fully diluted share count is already large, and future funding could increase it further.

Mexico jurisdiction risk

Mexico can be a good mining country, but permitting, politics, security, labour, taxation, and community issues must always be monitored.

Metallurgical risk

Heap-leach recoveries vary between oxide, transition, and sulphide material. The PFS uses different gold and silver recoveries by material type.

Grade/recovery risk

The Stockwork Zone is low-grade and depends on tonnes, recoveries, gold price, and cost control.

Underground risk

The underground PEA is preliminary and includes inferred resources. It is not yet a construction-stage plan.

Cost inflation risk

Labour, diesel, reagents, cyanide, steel, powerline, construction, and contractor costs may rise.

Silver/gold price risk

Economics use US$38 silver and US$3,200 gold. Lower metal prices would reduce NPV and IRR.

Execution risk

The company is moving from developer to builder. This is a major operational step.

Insider ownership risk

Insider ownership appears low compared with some other founder-led mining juniors.

Timeline

Catalyst

2026

Continued construction preparation and detailed engineering

2026

Debt financing package completion

2026

Road, camp, office, heap-leach, waste dump, and site construction updates

2026

Exploration drilling north of the main El Tigre area

2026

Further metallurgical and geotechnical updates

2027

Major construction progress

December 2027

Targeted commissioning and first pour

2028 onward

Ramp-up and first full-year production profile

Medium term

Underground development decision

Medium term

Resource expansion in Northern Veins and El Tigre North

Medium term

Potential rerating from developer to producer

Year / Period

Expected Progress

2026

The key focus is construction execution, debt financing, engineering, procurement, road improvements, camp development, and exploration drilling. Silver Tiger has already awarded the EPCM contract, hired a mine construction team, and reported that basic engineering was 90 percent complete as of March 2026.

2027

This is expected to be the major construction year. The company is targeting commissioning and first pour in December 2027.

2028 onward

If construction and commissioning go well, Silver Tiger should begin transitioning into producer status. The next big value question will be whether the company can ramp up the Stockwork Zone smoothly and then use cash flow, debt capacity, or strategic financing to advance the high-grade underground opportunity.

Base Assumption

Value

Stockwork Zone after-tax cash flow

US$625M

Underground PEA after-tax cash flow

US$496M

Combined after-tax cash flow

US$1.121B

Stockwork payable silver

8.57Moz

Underground payable silver

33.6Moz

Combined payable silver

42.17Moz

Base silver price

US$38/oz

Gold price held flat

US$3,200/oz

Combined project life used for rough annual FCF

18 years

Fully diluted shares used

594,315,088

CAD/USD assumption

1 USD = 1.3735 CAD

Silver Price

Step

Value

US$150/oz

Silver price uplift

US$150 – US$38 = US$112/oz

US$150/oz

Extra silver revenue

42.17Moz x US$112 = US$4.723B

US$150/oz

Adjusted LOM FCF

US$1.121B + US$4.723B = US$5.844B

US$150/oz

Average annual FCF

US$5.844B / 18 years = US$324.7M/year

US$200/oz

Silver price uplift

US$200 – US$38 = US$162/oz

US$200/oz

Extra silver revenue

42.17Moz x US$162 = US$6.831B

US$200/oz

Adjusted LOM FCF

US$1.121B + US$6.831B = US$7.952B

US$200/oz

Average annual FCF

US$7.952B / 18 years = US$441.8M/year

Silver Price

Asset

Avg Annual FCF

10x FCF/share

15x FCF/share

20x FCF/share

US$150/oz

Combined El Tigre

US$324.7M

C$7.50

C$11.25

C$15.01

US$200/oz

Combined El Tigre

US$441.8M

C$10.20

C$15.32

C$20.43

Company Overview

Details

Stock ticker

TSXV: SLVR / OTCQX: SLVTF / FR: 10C

Main metal

Silver and gold

Project Phase

Near Producer / Construction Stage

Main project

El Tigre Silver-Gold Project, Sonora, Mexico

Project location

Sonora, Mexico

Category

Criteria

Overall

Commentary

1. Management

Previous successful project, discovery, mine build, or company sale: Yes Exploration to development: Yes Big mining company experience: Yes Strong capital markets track record: Yes

✅ Strong

Management has strong capital markets experience, Mexico mining experience, mine construction experience, and technical depth. Francisco Albelais adds direct Mexico mine-building and operating experience, which is especially important now that El Tigre is moving into construction.

2. Projects

High grades: Yes, underground MRE size: Yes Optionality: Yes Construction-stage asset: Yes

✅ Strong

The Stockwork Zone is lower grade but construction-stage and economic. The underground resource is high grade and adds long-term silver torque. El Tigre is a strong two-layer asset: near-term heap-leach production plus underground expansion potential.

3. Cost Structure

Low AISC: Yes, Stockwork Zone Low capex: Yes Existing infrastructure / development work: Improving Permitted: Yes, for Stockwork Zone construction

✅ Strong

Initial capex of US$86.8M for the Stockwork Zone is attractive. AISC of US$14.5/oz AgEq is strong. The company has also started construction preparation, engineering, road work, and site clearing.

4. Share Structure Discipline

Fully diluted shares: 594,315,088 Fully diluted market cap USD: approximately US$358,600,000

✅ Strong

The share count is large. The company has raised a lot of money, which reduces near-term funding risk, but dilution is already visible. This is not a tight-share-structure junior.

5. Insider / Ownership

Insider ownership: 25% insider aligned

✅ Strong

Insider alignment is stated as strong in the report, but this should still be verified against the latest circular before publication.

6. Location

Jurisdiction: Mexico, Sonora Location tier: Tier 2

✅ Good

Sonora is an established mining region, and Mexico has a long silver and gold mining history. However, Mexico carries more political, permitting, security, tax, and regulatory risk than Tier 1 jurisdictions such as Nevada, Quebec, Ontario, or Western Australia.