Guanajuato Silver Reports Best Ever Quarterly Production

~ Q1 Silver-Equivalent Production Up 16.1% Over Previous Quarter ~

VANCOUVER, BC / ACCESSWIRE / April 5, 2024 / Guanajuato Silver Company Ltd. (the "Company" or "GSilver") (TSXV:GSVR)(OTCQX:GSVRF) is pleased to announce consolidated production results for the three months ended March 31, 2024. Production results are generated from the Company's wholly owned El Cubo Mines Complex ("El Cubo"), Valenciana Mines Complex ("VMC"), and San Ignacio Mine ("San Ignacio") in Guanajuato, Mexico, the El Horcon Mine ("Horcon") in Jalisco, Mexico, and the Topia Mine ("Topia") in Durango, Mexico.

Q1 2024 Production Highlights

• Production during the quarter of 987,312 silver-equivalent ounces ("AgEq*") is the best quarter in the Company's history since production began at the Company's El Cubo mines complex in Q4 2021; production is derived from 428,279 ounces of silver; 5,384 ounces of gold; 879,242 pounds of lead; and 922,927 pounds of zinc.
• Tonnes milled increased by 20.1% over the previous quarter; a total of 165,079 tonnes were processed among GSilver's three production facilities.
• Average silver and gold recoveries increased to 88.6% and 89.2% respectively as compared to 84.5% silver recovery and 88.8% gold recovery in Q4, 2023.

James Anderson, Chairman and CEO, said, "Q1 generated our best production performance to date and continues the trend of demonstrable quarter-over-quarter increases in precious metals production. In 2023, we made significant capex investments aimed at improving efficiencies across all of our producing assets; the impact from these improvements is now being realized as evidenced by our strong start to the year. We look forward to building upon our success as we continue to grow Guanajuato Silver into a prominent producer of silver and gold."

Foto: Accesswire

Silver equivalents are calculated using an 88.72 (Ag/Au), 0.04:1 (Ag/Pb) and 0.05:1 (Ag/Zn) ratio for Q1 2024; silver equivalents are calculated using an 85.10:1 (Ag/Au), 0.04:1 (Ag/Pb) and 0.05:1 (Ag/Zn) ratio for Q4 2023; silver equivalents are calculated at 80:1 for Q4, 2021.

Q1 2024 Production Demonstrates Significant Improvements Over Previous Quarter

Total tonnes milled was up 20.1% over the previous quarter; the increase in total milled tonnage was partly due to the processing of mineralized material from the Company's El Horcon mine and from the processing of 3^rd party gold and silver (See GSilver news release dated January 17, 2024 - Guanajuato Silver Commences Processing 3^rd Party Gold and Silver at El Cubo). During the quarter, 117,043 silver-equivalent ounces were generated through the processing of 3^rd party mineralized material, and 59,914 silver-equivalent ounces were generated from the processing of stockpiled material at Horcon.