FIRST MAJESTIC SILVER CORP. (AG: NYSE; FR: TSX) (the "Company" or "First Majestic") is pleased to announce the results from its 2018 exploration program at the Ermitano Silver/Gold project located four kilometres south of the producing Santa Elena Silver/Gold Mine in Sonora, Mexico. The initial discovery hole (EW16-04) was previously announced on January 17, 2017 which intersected 997 AgEq grams per tonnes ("g/t") over 18.0 metres (11.4 g/t gold and 86 g/t silver). At the end of 2018, a total of 50 drill holes had been completed on the property. The 2018 exploration program totalled 17,447 metres in 40 drill holes consisting of nine infill holes designed to increase the confidence and size of the resource and 31 step out holes to target areas to the West and East of the known mineralization.
DRILLING HIGHLIGHTS
Drill Hole 18-35 - 30.1 metres grading 293 AgEq g/t (3.0 g/t gold and 53 g/t silver)
Drill Hole 18-36 - 11.2 metres grading 1,019 AgEq g/t (11.1 g/t gold and 128 g/t silver)
Drill Hole 18-39 - 17.6 metres grading 654 AgEq g/t (6.3 g/t gold and 149 g/t silver)
Drill Hole 18-47 - 28.3 metres grading 403 AgEq g/t (3.9 g/t gold and 95 g/t silver)
Keith Neumeyer, President and CEO of First Majestic stated: "The drilling results announced today from our Ermitano project are extremely encouraging as it continues to show the potential to build high quality resources in close proximity to our producing Santa Elena operation. The environmental permitting process is in the final stage with an expected positive decision in the coming weeks ahead. Pending project approval, Ermitano will add several years of mine life at Santa Elena and will displace the reprocessing of the old heap-leach ore pad with fresh ore containing higher grades that are not subject to the Sandstorm streaming agreement."
PERMITTING STATUS
In early February, technical personnel from SEMARNAT visited the Ermitano site in connection with the submission of the Company's Unified Technical Document ("DTU") for Exploitation. The DTU permit is the final federal requirement that includes authorizations for environmental impact and land-use change needed prior to the commencement any construction and mining activities. The Company anticipates receiving permission from the federal agency in March.
SUMMARY OF COMPOSITES
Hole ID From To Length (m) Estimated Ag g/t Au g/t Ag Eq g/t
True Length
(m)
EW-16-03 199.6 202.1 2.5 1.9 37 5.3 463
EW-16-04 224.5 242.5 18.0 14.5 86 11.4 997
including 228.1 229.5 1.4 83 16.6 1,407
233.1 233.8 0.7 634 39.7 3,808
233.8 234.3 0.5 97 19.5 1,658
234.3 235.5 1.1 154 40.1 3,364
235.5 236.4 0.9 129 31.9 2,678
237.6 240.1 2.5 60 14.7 1,232
EW-16-05 126.4 152.6 26.2 20.7 52 4.2 390
including 134.9 136.3 1.3 92 13.9 1,207
136.3 137.4 1.1 165 11.1 1,053
EW-16-06 271.3 301.6 30.3 19.8 201 4.1 528
including 271.3 272.5 1.2 312 11.2 1,204
272.9 273.5 0.6 534 10.9 1,404
273.5 273.9 0.4 643 9.6 1,410
274.4 274.8 0.4 1517 5.5 1,955
274.8 275.6 0.8 1408 24.9 3,403
275.6 276.9 1.3 1128 18.4 2,602
276.9 277.7 0.8 654 16.3 1,956
EW-16-08 350.7 371.5 20.9 16.5 40 2.2 214
EW-17-09 268.5 280.7 12.2 9.8 77 3.6 367
including 271.3 271.8 0.5 76 12.9 1,109
EW-17-10 147.4 152.9 5.4 4.0 65 4.8 450
EW-18-19 669.0 670.9 1.9 1.5 78 1.7 217
EW-18-27 708.1 709.1 1.0 0.9 29 1.0 111
EW-18-33 237.2 255.5 18.3 14.5 28 2.9 261
EW-18-34 273.5 287.1 13.6 9.4 53 3.4 327
including 275.4 276.3 0.9 72 13.6 1,160
EW-18-35 148.0 188.3 40.3 30.1 53 3.0 293
including 163.6 164.1 0.5 139 19.4 1,691
165.4 166.1 0.7 118 18.7 1,614
EW-18-36 292.3 311.0 18.7 11.2 128 11.1 1,019
including 299.3 300.4 1.1 307 19.8 1,891
300.4 301.7 1.3 567 70.8 6,231
301.7 303.0 1.3 122 20.1 1,730
303.0 304.4 1.4 326 32.0 2,886
EW-18-37 185.5 192.0 6.4 4.0 54 3.2 309
EW-18-38 182.6 185.3 2.8 2.2 48 5.8 510
EW-18-39 265.4 294.1 28.7 17.6 149 6.3 654
including 265.4 266.0 0.6 520 17.0 1,879
268.8 270.0 1.2 369 20.1 1,980
272.0 273.0 1.0 387 8.6 1,074
283.0 284.0 1.0 149 15.5 1,392
286.0 287.0 1.0 180 10.4 1,010
289.0 290.2 1.2 192 14.4 1,342
EW-18-40 294.7 307.4 12.8 10.3 21 1.3 126
EW-18-41 166.3 172.9 6.5 4.5 78 9.6 849
including 167.7 168.5 0.8 83 14.6 1,250
169.3 170.3 0.9 133 39.4 3,281
EW-18-43 347.2 356.3 9.1 5.9 26 1.2 125
EW-18-44 199.1 229.5 30.4 16.8 39 2.6 251
EW-18-45 189.5 215.1 25.6 15.4 77 2.5 274
including 214.1 215.1 1.0 85 17.2 1,457
EW-18-46 74.6 99.3 24.7 20.5 41 3.7 341
including 90.2 91.1 0.9 95 13.0 1,136
93.3 94.0 0.8 149 27.3 2,334
EW-18-47 296.2 343.7 47.5 28.3 95 3.9 403
including 304.6 305.7 1.1 434 21.1 2,125
313.5 314.9 1.4 184 10.4 1,019
318.0 320.1 2.1 160 11.8 1,100
EW-18-48 260.5 264.6 4.1 3.5 59 6.3 561
EW-18-49 307.1 322.5 15.4 11.1 60 2.3 244
EW-18-50 243.5 263.4 19.9 17.8 57 3.9 366
including 260.2 261.4 1.2 74 12.2 1,043
Note: Holes EW16-01 to EW16-04 were announced on January 17, 2017 (see press release at https://www.firstmajestic.com/news/2017/index.php?content_id=312). Holes EW16-06 and EW 17-09 were announced on January 9, 2018 (see press release at https://www.firstmajestic.com/news/index.php?content_id=340). Gold equivalent ("Gold-Equiv") is calculated using a gold to silver ratio of 1:80.
After detailed geological logging, all drill core samples were split on site by diamond saw. One half of the core was submitted to Bureau Veritas Mineral Laboratories at the laboratory in Vancouver, British Columbia, Canada and to SGS Laboratories at the laboratories in Durango and Hermosillo, Mexico. The remaining half core is retained on-site for verification and reference purposes.
ERMITAÃ'O VEIN SYSTEM
Low sulphidation epithermal silver and gold mineralization is hosted in the steep dipping Ermitano and Ermitano Splay structures. The structures host green and white massive, banded, and bladed and stockwork quartz, calcite, and adularia. The veins are commonly brecciated and are associated with argillic alteration. Sulphide and iron oxide after sulphide and pyrolusite occur locally. The bulk of Inferred mineralization disclosed in 2018 is hosted in the Ermitano Splay. Drilling of the Ermitano Splay has delineated an east-west striking structure approximately 500 metres long, 400 metres down dip, with mineralized true thicknesses ranging from 0.9 to 30.0 metres, averaging 11.0 metres. Mineralization in the Splay remains open up-dip and down-dip to the west. The Ermitano Splay separates from the Ermitano structure which is delineated by drilling over an approximate 1,000 metre southwest strike length and 400 metre dip length. Mineralized true thicknesses range from 0.8 to 11.0 metres, averaging 4.0 metres.
A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/21927b64-32ea-447e-aa1e-0c7d39deed35
Figure 1: Oblique view of Ermitano and Ermitano Splay
A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/885a7dfa-61e6-443b-ab74-eabfeace9267
Figure 2: Plan view of Ermitano and Ermitano Splay
2019 EXPLORATION PROGRAM
The 2019 exploration program will consist of approximately 16,000 metres in 75 planned drill holes. In the first half of 2019, the Company will explore the Ermitano Splay at shallow elevations with the objective to investigate the continuity of mineralization at low depths and to evaluate the feasibility of open pit extraction. If feasibility is confirmed, this could provide a faster way to process ore from this area.
A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/89583387-f02a-4dc9-b49f-4dd1203a86c2
Figure 3: Ermitano Splay Grade x Thinkness Long Section
Mr. Ramon Mendoza Reyes, Vice President Technical Services for First Majestic, is a "qualified person" as such term is defined under NI 43-101, and has reviewed and approved the technical information disclosed in this news release.
ABOUT THE COMPANY
First Majestic is a mining company focused on silver production in Mexico and is aggressively pursuing the development of its existing mineral property assets. The Company presently owns and operates the San Dimas Silver/Gold Mine, the Santa Elena Silver/Gold Mine, the La Encantada Silver Mine, the San Martin Silver Mine, the La Parrilla Silver Mine and the Del Toro Silver Mine. Production from these mines are projected to be between 14.2 to 15.8 million silver ounces or 24.7 to 27.5 million silver equivalent ounces in 2019.
FOR FURTHER INFORMATION contact info@firstmajestic.com, visit our website at www.firstmajestic.com or call our toll-free number 1.866.529.2807.
FIRST MAJESTIC SILVER CORP.
"signed"
Keith Neumeyer, President & CEO
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