About MAG Silver

MAG Silver Corp. (MAG) operates as a growth-oriented Canadian development and exploration company. The company focuses on becoming a top-tier primary silver mining company by exploring and advancing high-grade, district scale, precious metals projects in the Americas. The company’s principal focus and asset is the Juanicipio Project (44%), being developed with Fresnillo (56), the operator. The Juanicipio Project is located in the Fresnillo Silver Trend in Mexico, the world’s premier silver mining camp, where the operator is advancing underground mine development and commissioning a 4,000 tonnes per day (tpd) processing plant. Underground mine production of mineralized development material commenced in Q3 2020, and an expanded exploration program is in place targeting multiple highly prospective targets at Juanicipio. The Juanicipio Property MAG owns 44% of the Juanicipio Entities, which own the high-grade silver Juanicipio Project located in the Fresnillo District, Zacatecas State, Mexico (the Juanicipio Project). Fresnillo is the project operator and holds the remaining 56%. Other Exploration Properties The company has an interest in concession rights in other non-material properties on which the exploration is managed directly by MAG. Exploration on these interests is undertaken by contracted service providers. In the case of projects located in Mexico, MAG’s work is contracted with third parties, including Cascabel and IMDEX. The Deer Trail Project MAG entered into an option agreement (the Deer Trail Agreement) effective December 20, 2018 to consolidate and acquire 100% of the historic Deer Trail mine and surrounding Alunite Ridge area in Piute County, Utah (the Deer Trail Project). The counterparties to the Deer Trail Agreement contributed their respective Deer Trail claims and property rights to a newly formed company for a 99% interest in the company, with MAG holding the other 1% interest. MAG is the project operator and has the right to earn a 100% interest in the company and the Deer Trail Project, with the counterparties retaining a 2% net smelter return (NSR) royalty. The Larder Project On May 20, 2022, the company completed the Gatling Acquisition by way of a court-approved plan of arrangement under the Business Corporations Act (British Columbia), pursuant to which Gatling became a wholly-owned subsidiary of the company and the company thereby acquired a 100% interest in the Larder Project located in the historically prolific Abitibi greenstone belt in Northern Ontario, Canada (the Larder Project). The Larder Project hosts three known gold deposits along the Cadillac-Larder Break, 35 km east of Kirkland Lake and consists of patented and unpatented claims, leases and mining licenses of occupation within the McVittie and McGarry townships. Cinco de Mayo In late 2012, certain members of the local Ejido challenged the company’s surface right access to the Cinco de Mayo property located in Mexico and prevented the company from obtaining the surface access permission required in the exploration permit process. Principal Markets In the case of Juanicipio, both lead (silver rich) and zinc concentrate will be produced. The lead concentrate will contain silver, gold and lead, and the zinc concentrate will contain silver, gold and zinc. Lead and zinc concentrates are commonly sold as part of the world’s mining and metals industries. The Juanicipio Project concentrates are being sold and treated at international benchmark market terms in Torreón, Mexico under off-take agreements with Met-Mex Peñoles, S.A. de C.V. (Met-Mex).