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Proven and Probable Mineral Reserves with an effective date of December 31, 2020

Summary consolidated by Ramon Mendoza Reyes, PEng, QP Mining for First Majestic Silver Corp.

Proven and Probable Mineral Reserves with an effective date of December 31, 2020

  1. Mineral Reserves have been classified in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) Definition Standards on Mineral Resources and Mineral Reserves, whose definitions are incorporated by reference into NI 43-101.
  2. The Mineral Reserves provided in the table above for San Dimas, Santa Elena and La Encantada are based on internal estimates prepared as of December 31, 2020. The information provided was prepared and reviewed under the supervision of Ramon Mendoza Reyes, PEng, and a Qualified Person ("QP") for the purposes of NI 43-101. The Mineral Reserves provided in the table above for Jerritt Canyon are based on estimates prepared under the supervision of Gordon L. Fellows, P.E. and a Qualified Person ("QP") for the purposes of NI 43-101.
  3. Silver-equivalent grade (Ag-Eq) is estimated considering metal price assumptions, metallurgical recovery for the corresponding mineral type/mineral process and the metal payable of the selling contract.
        (a) The Ag-Eq grade formula used was:
                        Ag-Eq Grade = Ag Grade + Au Grade * (Au Recovery * Au Payable * Au Price) / (Ag Recovery * Ag Payable * Ag Price).
       (b) Metal prices considered for Mineral Reserves estimates were $17.50/oz Ag and $1,700/oz Au for San Dimas; $20.00/oz Ag and $1,700/oz Au for Santa Elena and La Encantada and $1,500/oz Au for Jerritt Canyon. The silver-equivalent factor used for Jerritt Canyon was 85 g/t Ag-Eq per 1 g/t Au.
      (c) Other key assumptions and parameters include: metallurgical recoveries; metal payable terms; direct mining costs, processing costs, indirect and G&A costs and sustaining costs. These parameters are different for each mine and mining method and are presented in each mine section in the AIF for San Dimas, Santa Elena and La Encantada and in the April 2021 Technical Report for Jerritt Canyon.
  4. A two-step constraining approach has been implemented to estimate reserves for each mining method in use: A General Cut-Off Grade (GC) was used to delimit new mining areas that will require development of access, infrastructure and all sustaining costs. A second Incremental Cut-Off Grade (IC) was considered to include adjacent mineralized material which recoverable value pays for all associated costs, including but not limited to the variable cost of mining and processing, indirect costs, treatment, administration costs and plant sustaining costs but excludes the access development assumed to be covered by the block above the GC grade.
    The cut-off grades, metallurgical recoveries, payable terms and modifying factors used to convert Mineral Reserves from Mineral Resources are different for all mines and are presented in each mine section in the AIF for San Dimas, Santa Elena and La Encantada and in the April 2021 Technical Report for Jerritt Canyon.
  5. Modifying factors for conversion of resources to reserves include consideration for planned dilution due to geometric aspects of the designed stopes and economic zones, and additional dilution consideration due to unplanned events, materials handling and other operating aspects. Mineable shapes were used as geometric constraints.
  6. Tonnage is expressed in thousands of tonnes; metal content is expressed in thousands of ounces. Metal prices and costs are expressed in USD.
  7. Numbers have been rounded as required by reporting guidelines. Totals may not sum due to rounding.
  8. The technical reports from which the above-mentioned information is derived are cited under the heading "Technical Reports for Material Properties" in the AIF for San Dimas, Santa Elena and La Encantada and in the April 2021 Technical Report for Jerritt Canyon.

Measured and Indicated Mineral Resources with an effective date of December 31, 2020

Annual Mineral Resource Statement prepared under the supervision of Ramon Mendoza Reyes, PEng, QP for First Majestic

Measured and Indicated Mineral Resources with an effective date of December 31, 2020

Inferred Mineral Resources with an effective date of December 31, 2020

Annual Mineral Resource Statement prepared under the supervision of Ramon Mendoza Reyes, PEng, QP for First Majestic

Inferred Mineral Resources with an effective date of December 31, 2020

  1. Mineral Resource estimates have been classified in accordance with the 2014 Canadian Institute of Mining, Metallurgy and Petroleum (“CIM”) Definition Standards on Mineral Resources and Mineral Reserves, whose definitions are incorporated by reference into National Instrument NI 43-101.
  2. The Mineral Resource estimates provided above have an effective date of December 31, 2020 and were prepared by FMS Internal QPs, who have the appropriate relevant qualifications, and experience in geology and resource estimation. The information provided was compiled by David Rowe, CPG, Internal QP for First Majestic, and reviewed by Ramon Mendoza Reyes, PEng, Internal QP for First Majestic. The Mineral Resources provided in the table above for Jerritt Canyon are based on estimates prepared under the supervision of Ryan Rodney, C.P.G. and a Qualified Person ("QP") for the purposes of NI 43-101.
  3. Sample data was collected through a cut-off date of June 30, 2020 for San Dimas, April 29, 2020 for Jerritt Canyon and December 31, 2020 for all other mines.  All properties account for mining depletion through December 31, 2020.
  4. Metal prices considered for Mineral Resources estimates at San Dimas were $18.50/oz Ag, and $1,750/oz Au; for Jerritt Canyon $1,700/oz Au. For all other mines the metal prices considered were $22.50/oz Ag, $1,850/oz Au, 0.90/lb Pb and $1.05/lb Zn.
  5. Silver-equivalent grade is estimated considering: metal price assumptions, metallurgical recovery for the corresponding mineral type/mineral process and the metal payable of the corresponding contract of each mine. Estimation details are listed in each mine section of the Annual Information Form (AIF). The silver-equivalent factor used for Jerritt Canyon was 85 g/t Ag-Eq per 1 g/t Au.
  6. The cut-off grades used to estimate Mineral Resources are different for all mines. The cut-off grades and economic parameters are listed in the applicable section describing each mine section of the AIF and in the April 2021 Technical Report for Jerritt Canyon.
  7. Measured and Indicated Mineral Resource estimates are inclusive of the Mineral Reserve estimates for all properties excluding Jerritt Canyon where Mineral Resource estimates are exclusive of the Mineral Reserve estimates.
  8. Tonnage is expressed in thousands of tonnes, metal content is expressed in thousands of ounces. Totals may not add up due to rounding.
  9. The technical reports from which the above-mentioned information for the material properties is derived are cited under the heading "Current Technical Reports for Material Properties" of the AIF and in the April 2021 Technical Report for Jerritt Canyon.
  10. San Martin, La Parrilla, Del Toro and La Guitarra are currently in temporary suspension of production activities and are considered non-material properties.
 

NI 43-101 Technical Reports

Material Assets

Non-Material Assets

Cautionary Notes to U.S. Investors Concerning Reserve and Resource Estimates

The definitions of Proven and Probable Reserves used in National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") differ from the definitions in the United States Securities and Exchange Commission ("SEC") Industry Guide 7. Under SEC Guide 7 standards, a "Final" or "Bankable" feasibility study is required to report reserves, the three year history average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority.

In addition, the terms "Mineral Resource", "Measured Mineral Resource", "Indicated Mineral Resource" and "Inferred Mineral Resource" are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and normally are not permitted to be used in reports and registration statements filed with the SEC. Investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into Reserves. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or pre-feasibility studies, except in rare cases.

Accordingly, information contained in this website containing descriptions of First Majestic's mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements under the United States federal securities laws and the rules and regulations there under.

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