First Majestic Silver Corp. · TSX:AG
First Majestic Silver — Investor Presentation (March 2012)
22 slides from First Majestic Silver's investor presentation, March 2012
Slide 1: The World's Purest Silver Producer
THE WORLD’S PUREST SILVER PRODUCER TSX: FR | NYSE: AG | FRANKFURT: FMV www.firstmajestic.com
Slide 2: Cautionary Disclaimer: Forward Looking Statement
TSX: FR | NYSE: AG | FRANKFURT: FMV CAUTIONARY DISCLAIMER FORWARD LOOKING STATEMENT Certain statements contained herein regarding First Majestic Silver Corp. (the “Company”) and its operations constitute “forward-looking statements” within the meaning of the United States Private Securities Litigati
Slide 3: Why First Majestic: Investor Highlights
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. WHY FIRST MAJESTIC INVESTOR HIGHLIGHTS • Un-hedged, Pure Silver producer focused in Mexico OVER • Three producing mines – 100% owned and operated • Fourth mine undergoing construction and development 90% • Fifth mine in exploration and
Slide 4: Financial Snapshot
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. FINANCIAL SNAPSHOT • Market cap: US$1.8 Billion • Cash position: US$106.2 Million (as of Oct. 2011) • Shares Outstanding: 105.1M (FD 109.5M) Revenue Earnings/Share Cash Flow/Share Millions ($US) * All information is prepared and reporte
Slide 5: People: Senior Management Team
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PEOPLE SENIOR MANAGEMENT TEAM Keith Neumeyer Ramon Davila Ing Raymond Polman CA President & CEO, Director Chief Operating Officer, Director Chief Financial Officer 25+ years corporate (mining) & 35+ years mining industry CA with over 25
Slide 6: People & Social Responsibility
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PEOPLE & SOCIAL RESPONSIBILITY BROAD DEPTH OF MANAGEMENT • Top 40 Senior Management have over 600 years of mining and management experience • 100% Mexican operating talent / No Expats • Awarded ‘Socially Responsible Company’ award for 3
Slide 7: Core Assets
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. CORE ASSETS IN PRODUCTION La Encantada Silver Mine La Parrilla Silver Mine San Martin Silver Mine IN CONSTRUCTION Del Toro Silver Mine EXPLORATION La Luz Silver Project 6
Slide 8: La Encantada Silver Mine
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. LA ENCANTADA SILVER MINE • 4,000 tpd Cyanidation Mill Produces 100% Silver Doré bars • Currently testing new process to increase metallurgical recoveries • Substantial exploration potential defined within the 4,000 hectare property 7
Slide 9: La Parrilla Silver Mine
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. LA PARRILLA SILVER MINE • 2,000 tpd Dual Cyanidation / Flotation mill – Produces Silver Doré, Lead and Zinc concentrates • Awarded ‘Safest Underground Mine’ in Mexico in 2007 • Clean Industry Certified (PROFEPA) since 2008 • Recently ex
Slide 10: San Martin Silver Mine
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. SAN MARTIN SILVER MINE • 950 tpd Cyanidation Mill Produces 100% Silver Doré bars • Mill undergoing modernization program to improve efficiencies and reduce costs • Currently developing La Esperanza, Rosarios and Huichola areas in prepar
Slide 11: Del Toro Silver Mine
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. DEL TORO SILVER MINE Our Next Silver Mine • Ground breaking work began in April 2011 on Mill site • Fully permitted for 1,000 tpd Flotation Mill – further planning to increase to 2,000 tpd (Dual Cyan/Flotation circuits) • Major undergro
Slide 12: Silver (Eqv.) Production
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. SILVER (Eqv.) PRODUCTION *Assuming production starts at Del Toro in 4Q 2012 *La Luz Silver Project currently not considered in model 11
Slide 13: Rate of Production Growth
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. RATE OF PRODUCTION GROWTH 12
Slide 14: Reserve & Resource Growth
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. RESERVE & RESOURCE GROWTH (NI 43-101 COMPLIANT) P&P 13
Slide 15: Increasing Cash Margins
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. INCREASING CASH MARGINS Realized Silver Price per Oz ($US) 14
Slide 16: Substantial Cash Generation
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. SUBSTANTIAL CASH GENERATION Cash & Cash Equivalents 15
Slide 17: Peer Group (>5M Oz) Correlation
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PEER GROUP (> 5M Oz) CORRELATION Correlation to the Price of Silver Source: Yahoo historical prices (as of Dec. 30th, 2011) 16
Slide 18: Price Leverage to Silver
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PRICE LEVERAGE TO SILVER FIRST MAJESTIC VS SLV (one-year chart) Chart as of Dec. 30th, 2011 Source: Market-Q 17
Slide 19: Equity Ownership
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. EQUITY OWNERSHIP SHAREHOLDER BREAKDOWN TOP INSTITUTIONAL INVESTORS Name % outstanding Greystone Asset 5.0% Van Eck 4.6% Sprott Asset Management 4.5% Connor, Clark & Lunn 2.8% Oppenheimer Funds 2.1% Fiera Sceptre 1.7% Blackrock 1.5% 18
Slide 20: The Silver Lining
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. THE SILVER LINING Leveraged exposure to higher silver prices • 96% of revenue from silver in 2011 – Purest Silver Producer in the World Significant organic growth potential • Estimated to reach 16M ounces by 2014 w/o any potential acqui
Slide 21: There Is No Substitute for Silver
THERE IS NO SUBSTITUTE FOR SILVER
Slide 22: Reserves & Resources
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. Reserves & Resources* Provable & Probable Tonnes Ag g/t Pure Ag (oz) Ag Eq. (oz) La Encantada 5,195,677 208 34,714,253 35,548,863 La Parrilla UG 5,261,900 202 26,767,000 33,029,100 OP 1,774,156 102 3,779,800 4,064,900 San Martin 770,464
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