First Majestic Silver Corp. · TSX:AG
First Majestic Silver — Investor Presentation (August 2013)
29 slides from First Majestic Silver's investor presentation, August 2013
Slide 1: First Majestic Silver Corp. – One Metal, One Country
FIRST MAJESTIC SILVER CORP. ONE METAL, ONE COUNTRY... TSX: FR | NYSE:AG | FRANKFURT: FMV
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 Litigation
Slide 3: Why First Majestic
TSX: FR | NYSE: AG | FRANKFURT; FMV FIRST MAJESTIC SILVER CORP. WHY FIRST MAJESTIC Purest Silver Producer One Country: Mexico Silver Production Growth Goal a 91% Ag in 2012; (9% Au, Pb and Zn) World’s largest silver producing country \ 'e Five producing silver mines; 100% owned Projecting 11.3M — 11
Slide 4: Company Snapshot
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. COMPANY SNAPSHOT Production Ounces (Millions) Market Capitalization: | US$1.7B Avg. Daily Volume: ] 2.0M shares (NYSE ~ 1.2M 1 TSX ~ 800K) Shares Outstanding’: | 116.8M (FD 122.8M) Cash & Cash Equiv.': | US$78.9M QUARTERLY GROWTH 2012 ME
Slide 5: People & Social Responsibility
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PEOPLE & SOCIAL RESPONSIBILITY BROAD DEPTH OF MANAGEMENT * Top 35 Senior Management have over 800 years of mining and management experience * 100% Mexican operating talent / No Expats ¢ Internally design, develop and construct 100% of o
Slide 6: Financial Performance
TSX: FR | NYSE:;AG | FRANKFURT; FMV FIRST MAJESTIC SILVER CORP. FINANCIAL PERFORMANCE Full Year (All shown in $USD) Q2 2013 Q1 2013 Q2 2012 2012 Revenue r— 48.4M 67.1M 548M 247.2M Mine Operating Earnings 143M 34.6M 31.1M 142.0M Net Earnings after taxes 0.2M 26.5M 15.3M 88.9M Earnings per share - Bas
Slide 7: Core Assets
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. CORE ASSETS -—— IN PRODUCTION L @ La Encantada + @ La Panilla + © San Martin + @ La Guitarra L @ Del Toro r—— IN DEVELOPMENT _ @ Laluz MEXICO ADVANCED [ EXPLORATION @ Plomosas PAT NES
Slide 8: Q2 2013 Operating Results
TSX: FR | NYSE:AG | FRANKFURT; FMV FIRST MAJESTIC SILVER CORP. Q2 2013 OPERATING RESULTS Total Ag Oz Cash Costs / Oz | Cash Costs / Tonne Produced ($USD)* ($USD)** Del Toro 369,772 $8.20 $40.38 La Encantada 1,104,973 $8.85 $34.70 La Parrilla 710,979 $9.20 $37.79 San Martin 371,301 $10.91 $52.62 La G
Slide 9: Strong Production Growth 2013-2015 Production Forecast
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. STRONG PRODUCTION GROWTH 20 2013-2015 Production Forecast* _i5 = vw 3 KN = cr? 5 ae? ° 10 — @ La Luz (pending permits) & | / @ La Guitarra 5 ™ Del Toro 2 a ma Encantada aT 3 1 ' m La Parrilla u mSan Martin 0+ ar r 7 = 7 —v =) 2006 2007
Slide 10: Silver Reserves & Resources
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. SILVER RESERVES & RESOURCES 500 5 @ Proven & Probable 452* 454* @ Measured & Indicated 400 + @ Inferred 80 fr = 315 = si 297 vo 7 2 159 151 B 250 46 86 a) 3 43 & 200 5 109 s 77 fe) 162 5 23 100 | 78 213 212 aes 142 152 61 o 4 2007 2008
Slide 11: Growth Per Share
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. GROWTH PER SHARE CASH FLOW / SHARE! ($USD) TOTAL SILVER PRODUCTION / SHARE? (PER 100 SHARES) $1.55 8 $1.35 7 6 5 $0.63 g ‘ O3 2 $0.06 $0.19 ; o 2008 2009 2010 2011 2012 2010 2011 2012 EARNINGS / SHARE? ($USD) SILVER RESERVES & RESOURCES
Slide 12: Strong Cash Margins
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. STRONG CASH MARGINS REALIZED SILVER PRICE PER OZ (sus) tae ™ Operating Cash Margin Total Cash Cost (Payable Oz) $35.38 $30.00 - $20.00 $14.66 $14.79 $10.00 Projected 2013E Cash Costs $8.56 - $9.15 / oz $0.00 2008 2009 2010 2011 2012 Ql'1
Slide 13: Operating Mines
TSX: FR | NYSE;AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. | i | | OPERATING MINES ip we on. ~~ — ad
Slide 14: Del Toro Silver Mine
TSX: FR | NYSE:AG | FRANKFURT; FMV FIRST MAJESTIC SILVER CORP. DEL TORO SILVER MINE Construction of a 4,000 tpd mill Dual circuit - Cyanidation/Flotation 2013E Production: Resources: Measured & Indicated: Inferred: 1.8-1.9M Ag oz 48.4M Ag oz 41.9M Ag oz Mill Ramp-Up Milled Tonnes / Day Phase 1 (oper
Slide 15: Del Toro's Robust Economics
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. DEL TORO’S ROBUST ECONOMIC's Pre-Feasiblllty Highlights Economics Ranks in Top Project Quartile ($USD)* Project CAPEX $124.2M Sal = 7 zs ; - — : aes eam | at | beat, | bom, | caves Sustaining Life of Mine CAPEX $20.1M Sent] EM | say “=
Slide 16: La Encantada Silver Mine
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. LA ENCANTADA SILVER MINE | Plant Operati H Mill Capacity: 4,000 tpd 2013E Production: 4.3-4.4M Ag oz Reserves & Resources: Proven & Probable: 39.0M Ag oz Measured & Indicated: 34.5M Ag oz Inferred: 21.6M Ag oz Produces Silver Doré Bars
Slide 17: La Parrilla Silver Mine
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. LA PARRILLA SILVER MINE | Plant Operations: Mill Capacity: 2,000 tpd 2013E Production: 2.8-3.0M Ag oz Reserves & Resources: Proven & Probable: 30.2M Ag oz Measured & Indicated: 17.7M Ag oz Inferred: 73.7M Ag oz ah re! gees Quarter End F
Slide 18: San Martin Silver Mine
TSX: FR | NYSE:AG | FRANKFURT; FMV FIRST MAJESTIC SILVER CORP. | SAN MARTIN SILVER MINE Plant Operations: Mill Capacity: 1,300 tpd 2013E Production: 1.4-1.5M Ag oz Reserves & Resources: Proven & Probable: 22.0M Ag oz Measured & Indicated: 4.0MAg oz Inferred: 58.6M Ag oz Investing $14M in 2013 to Exp
Slide 19: La Guitarra Silver Mine
TSX: FR | NYSE:AG | FRANKFURT; FMV FIRST MAJESTIC SILVER CORP. LA GUITARRA SILVER MINE Plant Operations: Mill Capacity: 500 tpd 2013E Production: Reserves & Resources: Proven & Probable: Measured & Indicated: Inferred: Numerous exploration targets within the 39,714 hectare property 800-900K Ag oz Un
Slide 20: Project Timeline
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PROJECT TIMELINE 2013 2014 2015 DEL TORO 1,000 tpd 2,000 tpd 4,000 tpd Construction LA GUITARRA 500 tpd of Cyanidation 1,000 tpd* Mill” i i i I LA LUZ Permittin Development Production* g Construction* 1 1 1 1 ! *subject to permitting !
Slide 21: Strong Projected Cash Flows
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. STRONG PROJECTED CASH FLOWS Millions (SUSD) Silver Price Assumptions: $500 m$25 $30 $35 $450 $400 Average Realized Silver $350 Price in H1"13 = $25.87/oz $300 $250 $200 $150 $100 $160 $147 $50 $o T 2010 2011 2012 2013E 2014E 2015E *Assu
Slide 22: Price Leverage to Silver
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. PRICE LEVERAGE TO SILVER FIRST MAJESTIC VS SILVER (24-month chart) Avg 16, 2013: AG 14.78 = SLY 22.34 h Saf | (Waal nh # as f hy +, ‘ 10% , a/v Al, wt ry ) ral ¥ WY 7 rh 20% \ Wy Figen Mav Viol WPA / A Wy yw NV if Vea! | AGho™ yO Whew Vv
Slide 23: Share Performance vs Peers
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. SHARE PERFORMANCE Vs PEERS 1 Year 3 Year 5 Year [7% ll FORTUNA (MMMM 220% Finst MAWESTIC. | [MME 200% Fest MAJESTIC | -12% PAN AMERICAN 1} — FORTUNA 260% FORTUNA “19% SILVER WHEATON 36% ENDEAVOUR SILVER 144% SILVER WHEATON 4 Z “2K a Fes
Slide 24: Equity Ownership
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. EQUITY OWNERSHIP SHAREHOLDER BREAKDOWN TOP INSTITUTIONAL INVESTORS Management * CEO owns ~3.1M shares Institution % S/O Van Eck 7.4% Sprott Asset Management 3.8% Greystone Asset 3.2% Baring Asset Mgmt 2.2% TD Asset Mgmt 2.7% Oppenheimer
Slide 25: Keep the Story Simple...
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. KEEP THE STORY SIMPLE... Our Strategy... Wy One Metal Wy One Country Wy Continue to Acquire the Best Talent in Mexico Yy Build through Development and Acquisitions oy Become the Next Senior Silver Producer
Slide 26: As We Become More Reliant on Technology, We Become More Reliant on Silver
AS WE BECOME MORE RELIANT ON TECHNOLOGY, ; WE BECOME MORE RELIANT ON ae SILVER FIRST MAJESTIC SILVER CORP. NYSE: AG | TSX: FR
Slide 27: Reserves
TSX: FR | NYSE:AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. RESERVES Ag Contained AgEq Contained (Moz) Proven (UG Oxides 0.9 0.0 10 imencantada }Proven (Tailings) Ox des 6.2 } 111 i - - - 21.9 | 219 ] Probable (UC Oxides 0.7 312 * a 7.1 Proven + Probable Oxides 7.8 39.0 39.0 Proven (UG) 0.3 19 19
Slide 28: Resources
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. RESOURCES nnes Ag Au Pb Zn AgContained AgEq Contained Mine Category Mineral Type (Mt) (g/t) (g/t) (%) (%) (Moz) (Moz) Measured Oxides 2.7 186 : : : 16.4 16.4 La Encantada Indicated Oxides 3.2 177 : - : 18.0 18.0 Measured + Indicated (UG
Slide 29: Resources (Inferred)
TSX: FR | NYSE: AG | FRANKFURT: FMV FIRST MAJESTIC SILVER CORP. RESOURCES Tonnes Ag Zn Ag Contained Agéq Contained Category Mineral Type (Mt) (g/t) (g/t) (Moz) (Moz) La Encantada Inferred Oxides 29 233 : : 21.6 21.6 La Parrilla Inferred Oxides +Sulphides 13.2 173 - 0.7 1.0 73.7 88.4 San Martin Infer
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