Tag Archives: FIRST MAJESTIC SILVER

NEWS: First Majestic Announces Acquisition of Shares of First Mining Corp.

Apr 6, 2015

First Majestic Silver Corp. (“First Majestic” or the “Company”) announces that it has acquired 14,509,279 common shares of First Mining Finance Corp. (“First Mining”) (FF: TSXV), representing 19.7% of the outstanding common shares of First Mining.

The common shares were acquired by First Majestic in its capacity as a shareholder of KCP Minerals Inc. (formerly known as Sundance Minerals Ltd.) (“Sundance”), a private company, in accordance with a Plan of Arrangement under the Business Corporations Act (British Columbia) pursuant to which all of the outstanding securities of Sundance were exchanged for securities of First Mining (the “Plan of Arrangement”).

First Majestic acquired the common shares pursuant to the Plan of Arrangement. First Majestic may, in the ordinary course of business, acquire or dispose of securities of First Mining. This news release is being issued pursuant to Part 3 of National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues of the Canadian Securities Administrators. A copy of the report filed by First Majestic in connection with the acquisition of the common shares is available on First Mining’s SEDAR profile, and it can also be obtained directly from First Majestic.

Full release

NEWS: First Majestic Updates Mineral Reserve and Resource Estimates for Year End 2014 and Files Form 40-F Annual Report‏

Apr 1, 2015

FIRST MAJESTIC SILVER CORP. is pleased to announce its 2014 Mineral Reserve and Resource estimates for its existing mineral property assets in Mexico as of December 31, 2014. Silver metal content in the Proven and Probable Reserve category totaled 101.1 million ounces of silver, down 7% from 108.6 million as of December 31, 2013. Metal prices used to estimate the 2014 Reserve estimates were lowered compared to the prior year to: $20.00/oz of silver, $1,200/oz of gold, $0.95/lb of lead and $1.00/lb of zinc.

The following table shows the total tonnage mined from each of the Company’s five producing properties during 2014, including total ounces of silver and silver equivalent ounces produced from each property and the tonnage mined from delineated reserves and resources at each property.

2014 Production Table

(1) 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.

The Company completed over 44,000 metres of diamond drilling at its five operating mines in 2014, representing a 25% reduction in metres drilled compared to the prior year. For 2015, First Majestic is planning to drill approximately 50,000 metres to further define known mineralized ore bodies at its operating mines. A combination of surface and underground drill rigs will focus on assisting mining activities, definition drilling and to support future updates to the Company’s NI 43-101 Technical Reports.

Starting this year, First Majestic is reporting Mineral Resources inclusive of Mineral Reserves; readers are cautioned of this change since the Company had previously reported Mineral Resources exclusive of Mineral Reserves.

The largest change to Mineral Reserves occurred at La Encantada where the old tailings were downgraded from Proven and Probable Reserves to Inferred Resources after the Company’s decision to suspend the reprocessing of the old tailings due to the low metal price environment. This resulted in a 76% increase in the Reserves silver grade, a 57% decrease in total Reserve tonnes and a 24% decrease in Reserve silver metal content. However, the underground Proven and Probable Mineral Reserves increased by 56% to 3.2 million tonnes containing 28.4 million ounces of silver with average silver grade of 276 g/t.

Silver metal content in the Measured and Indicated Resource category totaled 152.4 million ounces. In addition, the silver metal content in the Inferred Resource totaled 170.4 million ounces, a decrease of 18% compared to the prior year due mainly to the impact of lower metal price assumptions, the adoption of the stricter CIM Definition Standards, and the subtraction of Resources for the Peñasco Quemado and La Frazada projects, which were disposed of during 2014.

The complete 2014 Mineral Reserve and Resource estimates for all metals, tonnage and grades are shown below in the following tables:


(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 National Instrument 43-101 — Standards of Disclosure for Mineral Projects (“NI 43-101”).
(2) In all cases, metal prices considered for Mineral Reserves estimates were $20 USD/oz Ag, $1,200 USD/oz Au, $0.95 USD/lb Pb, and $1.00 USD/lb Zn.
(3) The Mineral Reserves information provided above for La Encantada, La Parrilla, Del Toro and San Martín is based on internal estimates prepared as of December 31, 2014. The information provided was reviewed and validated by the Company’s internal Qualified Person, Mr. Ramon Mendoza Reyes, P.Eng., who has the appropriate relevant qualifications, and experience in mining and reserves estimation practices.
(4) Mineral Reserve estimates for La Guitarra are based on the 2015 La Guitarra Silver Mine Technical Report compiled by First Majestic with contribution of Amec Foster Wheeler Americas Ltd.
(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 2014 Annual Information Form.
(6) The cut-off grades and modifying factors used to convert Mineral Reserves from Mineral Resources are different for all mines. The cut-off grades are listed in each mine section of the 2014 Annual Information Form.


(1) Mineral Resources have been classified in accordance with CIM Definition Standards on Mineral Resources and Mineral Reserves, whose definitions are incorporated by reference into NI 43-101.
(2) In all cases, metal prices considered for Mineral Resource estimates were $22 USD/oz Ag, $1,350 USD/oz Au, $0.95 USD/lb Pb, and $1.00 USD/lb Zn.
(3) The Mineral Resources information provided above for La Encantada, La Parrilla, Del Toro and San Martín is based on internal estimates prepared as of December 31, 2014. The information provided was reviewed and validated by the Company’s internal Qualified Person, Mr. Jesus M. Velador Beltran, Ph.D. Geology, who has the appropriate relevant qualifications, and experience in mining and resource geology.
(4) Mineral Resource estimates for La Guitarra Silver Mine are based on the 2015 Technical Report compiled by First Majestic with contribution of Amec Foster Wheeler Americas Ltd.
(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 2014 Annual Information Form.
(6) The cut-off grades for Mineral Resources are different for all mines. The cut-off grades are listed in each mine section of the 2014 Annual Information Form.
(7) Measured and Indicated Mineral Resources are reported inclusive of Mineral Reserves.
(8) The La Luz resource estimates are taken from the Real de Catorce Property Technical Report dated July 25, 2008 and the Real de Catorce Property Technical Report dated July 30, 2007. The Company’s Qualified Persons are working on applying similar economic inputs to the La Luz Silver Project to those applied to the other properties.


(1) Plomosas historical estimates are taken from Grupo Mexico’s estimates prepared in 2001.
(2) Tonnage is expressed in thousands of tonnes, metal content is expressed in thousands of ounces.
(3) The Company’s Qualified Persons have been coordinating the work for the verification of the information supporting the historical estimates at Plomosas. The historical estimates at Plomosas do not conform to NI 43-101 for reporting purposes; as such, the Company is not treating these historical estimates as current Mineral Reserves or Mineral Resources. Since the historical estimates do not have demonstrated current economic viability, these estimates should not be relied upon until the verification process and due diligence in progress by the Company’s Qualified Person is completed.
(4) In order to verify or upgrade the historical estimates, the Company will need to complete a diamond drilling program at the Rosario and San Juan mines. The drilling program is designed to confirm the historical estimates reported by Grupo Mexico and will allow the Company to plan a second exploration program focused on locating extensions of the known mineralization. Other work required to verify the historical estimates as current includes, but it is not limited to: re-survey of underground workings, re-survey of available exploration drill-hole monuments, review of drilling, sampling and assays databases, and the re-assessment of the estimates following CIM Estimation of Mineral Resources and Mineral Reserves Best Practice Guidelines and CIM Definition Standards on Mineral Resources and Mineral Reserves.

The Company also announces that its 2014 audited financial statements have been filed on SEDAR. In addition, a Form 40-F report has been filed with the United States Securities and Exchange Commission and is available on EDGAR. Both documents are also available on the Company’s website at www.firstmajestic.com.

Shareholders may also receive a copy of First Majestic’s audited financial statements, without charge, upon request to First Majestic, Suite 1805 — 925 West Georgia Street Vancouver, B.C., Canada, V6C 3L2 or to info@firstmajestic.com.

Mr. Ramon Mendoza Reyes, Vice President Technical Services for First Majestic, is a “qualified person” as such term is defined under National Instrument 43-101, and has reviewed and approved the technical information disclosed in this news release.

First Majestic is a mining company focused on silver production in México and is aggressively pursuing the development of its existing mineral property assets and the pursuit through acquisition of additional mineral assets which contribute to the Company achieving its corporate growth objectives.

FOR FURTHER INFORMATION contact info@firstmajestic.com, visit our website at www.firstmajestic.com or call our toll free number 1.866.529.2807 FREE.

Full release