Santacruz Silver Mining Ltd. (TSX-V: SCZ) (OTCQX: SCZMF) (FSE: 1SZ) reports its financial and operating results for the quarter ended June 30, 2025. The full version of the unaudited Q2 2025 financial statements and accompanying Management’s Discussion and Analysis can be viewed on the Company’s website at www.santacruzsilver.com or on SEDAR+ at www.sedarplus.ca. All amounts are expressed in U.S. dollars, unless otherwise stated.

Q2 2025 Highlights

• Revenues of $73.3 million, a 4% increase year-over-year.
• Gross Profit of $25.3 million, a 59% increase year-over-year.
• Net Income of $21.0 million, a 1,348% increase year-over-year.
• Adjusted EBITDA of $26.8 million, a 68% increase year-over-year.
• Cash and short- and long-term investments of $57.8 million, a 691% increase year-over-year.
• Working Capital of $60.3 million, a 303% increase year-over-year.
• Cash cost per silver equivalent ounce sold ($/oz) of $19.48, a 10% decrease year-over-year.
• AISC per silver equivalent ounce sold of $22.95, a 8% decrease year-over-year.
• Silver Equivalent Ounces produced of 3,547,054, a 15% decrease year-over-year¹.

Arturo Préstamo, Executive Chairman and CEO of Santacruz, commented: “Our second quarter results reflect the strength and stability of Santacruz’s business model. We achieved solid revenue growth and significantly improved profitability, with net income and adjusted EBITDA both showing substantial gains. At the same time, we strengthened our balance sheet, ending the quarter with nearly $58 million in liquidity, which includes $40 million in cash and investments of $17.8 million. This strong position is after paying Glencore an additional $7.5 million under the acceleration payment plan while also achieving a 303% increase in working capital and lowering our costs year-over-year this quarter.”

Mr. Préstamo continued, “Whilst we faced challenges at our Bolivar mine that temporarily halted mining at the high-grade Pomabamba and Nane veins, our San Lucas ore sourcing business helped offset part of the impact. Remediation efforts are underway, and we expect production at Bolivar to normalize by Q4 2025. Our second quarter results highlight the resilience of our operations and our commitment to delivering value. We remain focused on operational efficiency, balance sheet strength, and sustainable long-term growth.”

Selected consolidated financial and operating information for Q2 2025, Q1 2025 and Q2 2024 is presented below. All financial information is prepared in accordance with International Financial Reporting Standards (“IFRS”), and all dollar amounts are expressed in thousands of US dollars, except per unit amounts, unless otherwise noted.

Production Results

In the six months ended 2025, the Company processed 952,637 tonnes of ore, producing 7,235,184 silver equivalent ounces. This total includes 3,013,144 ounces of silver and 41,868 tonnes of zinc. Full Q2 2025 production results were released in a news release dated July 29, 2025.

Q2 2025 vs Q1 2025

In Q2 2025, Santacruz delivered stable operational performance, with growth in throughput and concentrate production at Caballo Blanco and San Lucas, and steady results at Porco and Zimapán. Santacruz’s overall silver equivalent output was temporarily affected by a mid-May water inflow at Bolívar, which restricted access to high-grade areas and reduced both volumes and grades. This impact was partially offset by San Lucas’ strategic contribution, increasing material supply and sustaining mill utilization, along with positive throughput gains at other operations. While Bolívar’s temporary disruption moderated consolidated silver equivalent production, the Company´s diversified asset base and flexible ore sourcing model supported overall operational continuity and revenue resilience.

Q2 2025 vs Q2 2024

In Q2 2025, Santacruz delivered a broadly resilient performance compared to Q2 2024, supported by operational efficiencies, flexible sourcing strategies, and diversified asset contributions. While Bolívar and Porco faced year-over-year declines in production due to lower throughput and grades, partly impacted by the water inflow event at Bolívar, these effects were mitigated by the strategic role of San Lucas and efficiency gains at Caballo Blanco, where higher grades and improved recoveries helped offset reduced volumes. Zimapán posted stable silver equivalent output, benefiting from stronger zinc head grades, and San Lucas maintained its margins, ensuring steady contribution to the Group´s throughput.

Cash Cost and All-in Sustaining Cost per Silver Equivalent Ounce Sold

Q2 2025 vs Q1 2025

On a consolidated basis, AISC remained broadly stable, moving slightly higher to $22.74/oz in Q2 2025 from $22.34/oz in Q1 2025. At the operational level, Bolivar´s AISC increased 5% to $17.55/oz, while Porco rose 14% to $22.35/oz, both impacted by lower production volumes. San Lucas reported an increase of 24% to 23.69/oz; however, this is consistent with its margin-based sourcing model, where ore costs adjust in line with market prices of metals. On the other hand, Caballo Blanco achieved a 6% reduction to $13.87/oz, reflecting efficiency gains at the operation. Zimápan reported an increase to $32.35/oz as a significant portion of its capital expenditure (“CapEx”) for the year was executed earlier in the year.

Q2 2025 vs Q2 2024

Compared to Q2 2024, consolidated AISC improved 9%, declining to $22.74/oz from $24.91/oz. The most notable year-over-year improvements came from Caballo Blanco in Bolivia, where AISC dropped 47% to $13.87/oz, supported by operational efficiencies and the impact of currency depreciation in Bolivia: starting January 1, 2025, the Company started recording transactions denominated in Bolivian Bolivianos using a market-based spot rate (average 13.44 BOB/USD) instead of using the official rate (6.96 BOB/USD). Recording BOB denominated transactions in USD using the market-based rate provides a more accurate representation of the economic reality of the underlying transactions. Comparative figures have not been restated because it is a change in estimate.

Qualified Person

Garth Kirkham P.Geo., an independent consultant to the Company, is a qualified person under NI 43-101 and has approved the scientific and technical information contained within this news release.

About Santacruz Silver Mining Ltd.

Santacruz Silver is engaged in the operation, acquisition, exploration, and development of mineral properties across Latin America. In Bolivia, the Company operates the Bolivar, Porco, and Caballo Blanco mining complexes, with Caballo Blanco comprising the Tres Amigos and Colquechaquita mines. The Reserva mine, whose production is provided to the San Lucas ore sourcing and trading business, is also located in Bolivia. Additionally, the Company oversees the Soracaya exploration project. In Mexico, Santacruz operates the Zimapán mine.