INVESTMENT HIGHLIGHTS

NEAR TERM PRODUCTION AND CASH FLOW

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● NI 43-101 compliant Feasibility Study was completed in June 2018 and issued by SRK  


● First 5-year average annual production of 3.1Moz AgEq* beginning 9 months from production decision  


● US$36.8 million in restart capital with under 2 years capital payback  


● 9 months from project start to positive cash flow  


● After-tax NPV5 of US$75mm and 71% IRR


(*AgEq, or Silver Equivlance, based on FS Price Deck: Ag $18.50/oz, Au $1,300/oz, Pb $1.00/lb, Zn $1.20/lb.)

HIGH-GRADE NI 43-101 COMPLIANT RESERVE

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● P&P Reserves of 21.2Moz at 36.9 oz/short ton (st), M&I Resource of 29.9Moz at 30.3 oz/st AgEq, and Inferred Resource of 13.2Moz at 39.9 oz/st AgEq   


Mineral Resources are shown inclusive of Reserves

PERMITTED MINE AND OPERATIONAL MILL

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● Over US$90 million in capital invested since 2011  

● Long history of production dating back to 1895 and as recently as 2015

ATTRACTIVE COST POSITION GENERATING HIGH MARGINS

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● 1st 5 years All-In Sustaining Cost of Production** of US$10.71/oz AgEq of silver life-of-reserve, including sustaining capital  


● Resue mining method proven effective and economically attractive with trial stoping


(**AISC or All In Sustaining Costs is a non-IFRS and Non-GAAP measure; AISC includes all production costs related to extraction and processing as well as costs associated with transportation, treatment, refining and other selling costs plus capital costs.)

SIGNIFICANT EXPLORATION UPSIDE

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● Current mine life based only on P&P reserves; additional adjacent high grade Inferred Resources of 13.2Moz AgEq not in mine plan  


● Near-term exploration targets identified with potential to significantly expand the existing resource

EXPERIENCED MANAGEMENT TEAM

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●Experienced operating team with proven track record 


●CEO Brian Briggs is a Colorado P.E. and mining engineer with 30+ years’ industry experience and a multi-generational connection to mining in the San Juan Mountains