First Majestic Silver Corp. · TSX:AG

First Majestic Silver — Merger or Acquisition (January 2018)

15 slides from First Majestic Silver's merger presentation, Jan 12, 2018

  1. Slide 1: Acquisition of Primero

    + ACQUISITION OF PRIMERO January 12, 2018

  2. Slide 2: Cautionary Disclaimer: Forward Looking Statement

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 2 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 Li

  3. Slide 3: Transaction Overview

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 3 TRANSACTION OVERVIEW  First Majestic has entered into an agreement with Primero and Wheaton Precious Transaction: Metals to acquire Primero, and to restructure the existing silver stream with Wheaton Precious Metals (the "Acquisition")  Primero's main asse

  4. Slide 4: Transaction Highlights

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 4 TRANSACTION HIGHLIGHTS  Adds cornerstone asset expected to be First Majestic's largest producing mine New Flagship  Long operating history of production and reserve replacement with meaningful Asset exploration upside  Builds on First Majestic's existing

  5. Slide 5: Transformational Transaction

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 5 TRANSFORMATIONAL TRANSACTION First Majestic Production Profile 40 Strong development pipeline supporting production growth in years ahead Silver Eqv. Ounces (M) 35 First Majestic 30 San Dimas 25 20 Silver Ounces Only 15 10 5 0 (1) (1)(2) (2)(3) 2006 2007 200

  6. Slide 6: New Flagship Asset

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 6 NEW FLAGSHIP ASSET 15 Size of bubble reflects AgEq Reserves(3) 2017E AgEq 2017E Ag Production AISC(2) Reserves(3) Asset (Moz) (US$/oz Ag) (Moz AgEq) San Dimas (1) 2017E AgEq Production (Moz AgEq) 10.5 $10.23 77 (1) San Dimas 10 Santa Elena 5.4 $6.47 22 Del T

  7. Slide 7: Builds on Strengths in Mexico

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 7 BUILDS ON STRENGTHS IN MEXICO  First Majestic has extensive operating expertise in Mexico with longstanding relationships with local unions and government officials  Largest taxpayer in state of Durango and one of the largest employers in the city of Duran

  8. Slide 8: San Dimas Silver/Gold Mine

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 8 SAN DIMAS SILVER/GOLD MINE Operations Mill Capacity: 2,750 tpd Sinaloa – Durango, Mexico Reserves & Resources Proven & Probable: 41.2M Ag + 517K Au oz Measured & Indicated: 61.9M Ag + 832K Au oz Inferred: 73.5M Ag + 860K Au oz *M&I Resources are inclusive of

  9. Slide 9: San Dimas Optimization Strategy

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 9 SAN DIMAS OPTIMIZATION STRATEGY  Recapitalization of underground  Lateral development to improve access to working faces  Plant optimization  Exploration of large unexplored land package which may increase reserves and extend mine life 1

  10. Slide 10: Robust Economics Under New Stream

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 10 ROBUST ECONOMICS UNDER NEW STREAM Old Stream New Stream KEY TERMS  25% of gold equivalent production with a fixed silver- gold ratio of 70:1  100% of silver produced up to 6 Moz per year; 50% Stream % thereafter 25% x payable Au + 25% x payable Ag 70 Ongo

  11. Slide 11: Leading Silver Producer

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 11 LEADING SILVER PRODUCER Ag Reserves 2017E Ag Prod. 2017E AISC (Moz) (Moz)(1) (US$/oz Ag)(1)(2) Pan American 286 Pan American 25.0 Endeavour Silver $15.75 Coeur 174 Coeur 16.4 Coeur (4) $15.00 Hecla 172 Pro Forma (3) 15.6 First Majestic $14.95 Pro Forma (3)

  12. Slide 12: Highly Strategic Acquisition

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 12 HIGHLY STRATEGIC ACQUISITION Adds new flagship asset Builds on strengths in Mexico Leverage underground experience New stream provides improved economics Accretive to First Majestic

  13. Slide 13: Questions

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 13 QUESTIONS

  14. Slide 14: Appendix

    TSX:TSX: FR FR | NYSE: | NYSE: AG AG | FWB: | FWB: FMVFMV | BMV: | BMV: AG AG 14 APPENDIX Natural Gas Generators

  15. Slide 15: San Dimas Reserves and Resources

    TSX: FR | NYSE: AG | FWB: FMV | BMV: AG 15 SAN DIMAS RESERVES AND RESOURCES Category M tonnes Ag (g/t) Au (g/t) Ag (Moz) Au (Moz) Proven and Probable 4.0 322 4.0 41.2 517 Measured and Indicated 5.0 387 5.2 61.9 832 Inferred 7.2 317 3.7 73.5 860 1) As of December 31, 2016 2) Mineral Resources are cal

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