Americas Gold and Silver Corporation (TSX: USA) (NYSE American: USAS) a growing North American precious metals producer, is pleased to announce that it has closed its previously announced (see AGS news release dated June 3, 2025) US$100 million senior secured debt facility provided by funds affiliated with SAF Group, primarily to fund growth and development capital spending at the Galena Complex. The US$100 million Term Loan Facility consists of three tranches as follows: a US$50 million term loan which was advanced to Americas upon closing, and two additional tranches of US$25 million each which are available to the Company after satisfying certain conditions precedent.

Paul Andre Huet, Chairman and CEO, commented: “The Term Loan Facility ensures we have the balance sheet strength to implement our aggressive major growth strategy at the Galena Complex. The US$100 million debt financing is critical to our plans to increase development rates and tonnage mined, and reduce unit costs at Galena. The Term Loan Facility has been strategically structured into three tranches to match the pace of our capital plans for a sustained period of robust production growth.

The Americas team is progressing well on our plans with the reintroduction of longhole stoping and associated underground development, continued major equipment purchases and upgrades to the No. 3 shaft.

Americas recently mobilized a new longhole drill at Galena which is now actively drilling longhole stoping areas. The longhole stoping mining method is expected to provide several advantages compared to the existing predominant underhand cut-and-fill mining method. Advantages include improved safety and productivity, lower costs, and increased backfill capacity to reduce waste hoisting requirements. In addition, the Company has bolstered its underground mining fleet with the acquisition of 10 new pieces of equipment made up of seven loaders – ranging from 2-yard to 4-yard capacities – and three 20-tonne haul trucks. The expanded fleet will support the productivity gains and reduced unit costs expected to be achieved as increased longhole stoping is implemented.

We are also advancing trade off studies focused on overall materials handling at Galena to optimize productivity underground and hoisting schedules.

Finally, I would like to express how pleased we are to have the support of a world-class organization in SAF to help us deliver our value creation vision.”

Term Loan Facility

The Term Loan Facility consists of:

• A term loan with proceeds of US$50 million advanced at closing. The initial tranche advanced on the closing date is subject to an interest rate of SOFR (4% floor) plus 6% per annum and matures 60 months following the closing date. Principal will amortize over the term of the loan, with principal repayments commencing one year after the closing date and payable quarterly thereafter.
• Two additional US$25 million tranches that will be available to the Company upon the achievement of certain conditions precedent. The first additional tranche will be subject to an interest rate of SOFR (4% floor) plus 6% per annum after funding. The second additional tranche will be subject to an interest rate of SOFR (4% floor) plus 4% per annum after funding. Principal will amortize over the term of the loan with principal repayments commencing one year after the closing date and payable quarterly thereafter.

SAF holds senior security over all the Company’s assets and undertakings other than those relating to Americas Cosalá Operations located in Sinaloa, Mexico and its Relief Canyon Project located in Nevada, USA, which are secured in priority to SAF by Trafigura and Sandstorm, respectively for the duration of those financing arrangements. The Term Loan Facility is subject to an agreed OID and other fees that are customary for a facility of this size.

About Americas Gold and Silver Corporation

Americas Gold and Silver is a growing precious metals mining company with multiple assets in North America. The Company owns and operates the Cosalá Operations in Sinaloa, Mexico. In December 2024, the Company acquired 100% ownership in the Galena Complex (located in Idaho, USA) in a transaction with Eric Sprott and a Paul Huet-led management team, further strengthening its position as a leading silver producer. Eric Sprott is now the largest shareholder in the company, holding a ~20% interest. With these strategically positioned assets, Americas Gold and Silver is focused on becoming one of the top North American silver-focused producers with an objective of over 80% of its revenue generated from silver by the end of 2025.