Pan American Silver (PAAS) investor relations material

Strategic growth, portfolio evolution, and M&A

• Recent acquisitions, including Yamana and MAG Silver, have transformed the business, strengthening its position as a leading silver producer and diversifying its asset base across the Americas.

• Strategic divestments of non-core assets have generated over $1 billion in cash, redeployed into high-margin, long-life assets like Juanicipio and Jacobina.

• M&A remains a core strategy, with a disciplined focus on accretive, high-quality assets in familiar jurisdictions, primarily the Americas.

• Retained a portfolio of 16 royalties and made strategic investments in companies like New Pacific Metals and Galleon Gold.

• Operates 10 producing silver and gold mines across the Americas, with significant mineral reserves of 452 Moz Ag and 6.3 Moz Au as of June 2025.

Major project developments and operational highlights

• La Colorada Skarn project revised to reduce risk and capital requirements, targeting 19.1 million ounces average annual silver production (2034–2038) at negative AISC, with a 37-year mine life and $1.9 billion initial capital.

• Timmins operations have shifted from a near-closure scenario to a long-life asset, with new discoveries, infrastructure investments, and development projects extending production into the 2040s.

• Jacobina optimization focuses on plant upgrades, tailings filtration, paste backfill, and exploration, with $53–$57 million allocated for growth projects in 2026.

• Juanicipio, now 44% owned, is delivering high-margin silver ounces with all-in sustaining costs of $2.25–$4.25/oz in 2026, and ongoing exploration is expected to further grow reserves.

• Track record of reserve replacement through near-mine and brownfield exploration, with ~65% of silver ounces mined replaced at an average cost of ~$0.80/oz Ag.

Financial strength and shareholder returns

• Liquidity stands at $2.6 billion, with a conservative debt profile and strong free cash flow generation supporting all growth initiatives.

• Enhanced shareholder return framework targets $1 billion in returns for the year, split between fixed dividends ($305 million) and opportunistic share buybacks, aiming to return 35%-40% of attributable free cash flow.

• Strong liquidity with $1.6 billion in cash and investments (excluding $199 million at Juanicipio) and $750 million undrawn credit facility as of March 31, 2026.

• Record financial performance in recent quarters, with attributable revenue reaching $1.3 billion and free cash flow of $553 million in Q4 2025.

• Internal funding is expected to cover all major project capital needs, including the $1.9 billion La Colorada skarn build.