First Majestic Silver Corp Dossier
Qualitative Analysis
Business overview
First Majestic Silver Corp. is a leading primary silver producer headquartered in Vancouver, Canada, with over 22 years of operational history. The company is dedicated to silver and gold production, deriving approximately 58% of its revenue from silver in 2025. First Majestic owns and operates four producing underground mines in Mexico: the Santa Elena Silver/Gold Mine, the San Dimas Silver/Gold Mine, the La Encantada Silver Mine, and the Los Gatos Silver Mine (in which it holds a 70% interest in the operating joint venture). Additionally, the company maintains a portfolio of development and exploration assets, including the Jerritt Canyon Gold Mine in Nevada, which is currently undergoing restart preparations. Uniquely, First Majestic operates its own physical minting facility, First Mint, LLC, allowing it to sell silver bullion products directly to the public.
Research as of 28 Jul 2026
Strategic Initiatives
Growth programs, investments, and their expected impact
Commencement of a restart plan for the Jerritt Canyon Gold Mine in Nevada, USA, leveraging an expanded Mineral Resource base of 4.1 million gold ounces in the Measured and Indicated categories and 3.7 million gold ounces in the Inferred category. The plan focuses on defining an optimized mining plan that combines open-pit potential with existing underground operations.
Expected impact: Re-establishes a major gold-producing asset in a tier-one jurisdiction, significantly diversifying and expanding the company's precious metals production profile.
Accelerated development and portal construction projects at the Santo Niño and Navidad discoveries within the Santa Elena district, following the receipt of construction permits and positive infill drilling results.
Expected impact: Underpins volume growth and sustains higher throughput rates at the Santa Elena district.
Successful integration of Gatos Silver and execution of throughput expansion initiatives at the Cerro Los Gatos mine, including the acquisition of additional equipment to support higher mining and processing rates.
Expected impact: Enhances operational efficiency and increases attributable silver production from the Los Gatos Joint Venture.
Divestiture of non-operating, past-producing assets to clean up the portfolio and convert idle assets into liquidity. This includes the sale of the San Martin Silver Mine and the completed sale of the Del Toro Silver Mine.
Expected impact: Generates up to $150 million in total consideration ($60 million for Del Toro and $90 million for San Martin), strengthening the balance sheet and supporting capital expenditures for core growth projects.
Mergers, Acquisitions & Partnerships
Recent deals and strategic collaborations
Recent Acquisitions
Acquisition of all issued and outstanding common shares of Gatos Silver, giving First Majestic a 70% operating interest in the high-quality, long-life Cerro Los Gatos underground mine in Chihuahua, Mexico. The transaction solidifies First Majestic's position as a leading intermediate primary silver producer and adds a highly prospective, under-explored 103,000-hectare mineral district.
Financial impact: Adds approximately one-third to company-wide production, significantly boosting consolidated silver output, revenues, and cash flow from operations.
Strategic Partnerships
First Majestic completed the sale of its 100%-owned, past-producing Del Toro Silver Mine to Sierra Madre. In exchange, First Majestic received upfront cash and shares in Sierra Madre, maintaining exposure to the asset's future upside while converting an idle asset into liquidity.
Terms: Total consideration of up to $60 million, comprising $30 million in upfront cash and shares (received) and an additional $30 million in contingent payments.
Definitive agreement to sell the 100%-owned, past-producing San Martin Silver Mine in Jalisco, Mexico. This transaction monetizes an asset that has been on care and maintenance since July 2019, allowing First Majestic to focus resources on its core producing mines.
Terms: Total cash consideration of $90 million, structured as $2.5 million at closing, $2.5 million within 180 days of closing, five annual payments of $10 million each, and a final payment of $35 million on August 31, 2032.