Vizsla Silver advances Panuco project with new contract awards

Vizsla Silver's Panuco silver-gold project in Sinaloa, Mexico, is rapidly accelerating towards commercial production following the award of significant engineering, procurement, and construction management (EPCM) and mine design contracts. The company has engaged M3 Engineering & Technology and Mining Plus, respectively, for these crucial roles, underscoring a strategic push complemented by a recent $220 million project finance mandate from Macquarie Bank. These developments mark a pivotal advancement for the high-grade project, outlining a clear path through detailed planning, pre-production development, and eventual commissioning.

Vizsla Silver Accelerates Panuco Project with Key Contract Awards, Paving Way for Production

CALGARY, AB – April 24, 2026 – Vizsla Silver Corp. (TSX-V: VZLA, NYSE: VZLA) has announced significant strides in the development of its flagship Panuco silver-gold project located in Sinaloa, Mexico, with the awarding of two pivotal contracts. An Engineering, Procurement, and Construction Management (EPCM) contract has been granted to M3 Engineering & Technology, while Mining Plus has secured the mine design contract. These strategic partnerships underscore Vizsla Silver's commitment to advancing Panuco towards commercial production, a move that is closely watched by investors and industry professionals keen on new high-grade silver-gold assets coming online.

The contract awards were detailed in a company announcement, emphasizing the focus on off-site detailed design, methodical construction planning, and crucial equipment procurement. Concurrently, Vizsla Silver, in conjunction with its partners, is also dedicating resources to developing robust long-term security strategies, a prudent measure for operations within certain regions of Mexico.

Michael Konnert, President and CEO of Vizsla Silver, articulated the significance of these appointments. "The appointment of key engineering and mine design partners represents an important step in advancing our Panuco Project," Konnert stated. "We are pleased to partner with M3 and Mining Plus as we move towards mobilisation." This sentiment highlights the critical juncture the project has reached, transitioning from extensive exploration and evaluation into detailed execution planning.

Strategic Progress at Panuco: EPCM for Process Plant and Infrastructure

The EPCM contract awarded to M3 Engineering & Technology is a cornerstone of the Panuco project's development. Valued at approximately $170 million (C$233.08 million), this contract encompasses the design and management of the project’s vital process plant and all associated surface infrastructure. An EPCM contract is a comprehensive project delivery model where a single contractor is responsible for engineering design, procuring all necessary equipment and materials, and managing the construction activities. This integrated approach is commonly employed in large-scale mining projects to streamline complex processes and ensure efficient execution.

M3 Engineering & Technology, based out of Tucson, Arizona, is a highly respected firm within the mineral processing and infrastructure sector, with a commendable track record across numerous mining ventures in Mexico. Their prior contributions to notable projects such as Mercedes, Los Gatos, and Peñasquito demonstrate their deep understanding of the unique geological, logistical, and regulatory landscapes inherent in Mexican mining operations. This localized expertise is invaluable for Vizsla Silver as it navigates the intricacies of developing a significant asset in the region.

Alberto Bennett, President and CEO of M3 Engineering, expressed the firm's enthusiasm for the partnership. "M3 Engineering & Technology is proud to contribute our technical expertise to support Vizsla Silver in advancing the development of the Panuco silver-gold project," Bennett commented. "We look forward to continuing working closely with Vizsla Silver’s team to deliver another successful project in Mexico, on time and on budget." The emphasis on timely and budget-conscious delivery is paramount in large capital projects, where cost overruns and delays can significantly impact project economics and investor confidence. While the definitive agreement with M3 Engineering is still being finalized, the announcement signals a firm commitment from both parties to advance the project efficiently.

Mine Design and Pre-Production Planning by Mining Plus

Complementing the EPCM efforts, Mining Plus, a global mining services company operating under the Byrnecut Group, has been tasked with the detailed mine design for Panuco. The mine design contract is estimated to involve approximately $50 million for development capital and an additional $40 million dedicated to ore development over a two-year pre-production period. This focus on pre-production ore development is a crucial strategic step, aimed at establishing sufficient feed material and operational readiness well in advance of the processing plant's commissioning, thereby ensuring a smoother ramp-up to commercial production.

Mining Plus is not new to the Panuco project, having collaborated with Vizsla Silver since the completion of the project's preliminary economic assessment (PEA) in July 2024. Their prior engagement has included critical work in mine design, planning, scheduling, and geotechnical evaluations, notably contributing to the Morgan Test Mine at Panuco. This continuity in partnership ensures a seamless transition from conceptual planning to detailed implementation, leveraging an intimate understanding of Panuco's specific geological characteristics and operational requirements.

Vahid Haydari, CEO of Mining Plus, conveyed the company's commitment. "Mining Plus is pleased to continue its partnership with Vizsla Silver as the Panuco project advances toward production," Haydari said. "Since our initial involvement following the preliminary economic assessment, we have worked closely with the team on mine design and planning. This next phase focuses on detailed planning and disciplined execution as this high-grade, technically compelling project advances toward commercial production." The reference to Panuco as a "high-grade, technically compelling project" reinforces its potential economic viability and attractiveness within the competitive silver market.

Financial Underpinnings and Project Timeline

The progression of the Panuco project is significantly de-risked by its robust financial backing. In September 2025, Vizsla Silver successfully secured a project finance mandate with Macquarie Bank, acting as the lead arranger, for up to $220 million. This substantial financing commitment is critical for covering the significant capital expenditures associated with constructing a modern silver-gold mine and processing facility. Securing such a mandate from a reputable global financial institution like Macquarie Bank is a strong vote of confidence in the project's economics, technical feasibility, and management team.

The company has also outlined a clear timeline for key future milestones:

Award of the main mining contract: Anticipated in the second quarter of 2026. This contract will engage a specialized mining contractor for the physical excavation and ore extraction operations.
Commencement of operations: Contingent upon receiving the crucial MIA environmental permit (Manifestación de Impacto Ambiental) from Mexican regulatory authorities. Environmental permitting is a rigorous process, and its timely acquisition is essential for any major mining development.
Infill drilling program: A two-year program will be implemented to further define and delineate the ore body, directly preceding plant commissioning. This drilling is vital for optimizing mine planning, reducing operational risks, and ensuring a consistent feed grade to the processing plant during its initial years of operation.

These detailed plans, coupled with the substantial financial backing, demonstrate a methodical and well-capitalized approach to project development, crucial for investor confidence in capital-intensive industries like mining.

Panuco's Significance in the Global Silver Landscape

The Panuco project is situated in Mexico, one of the world's leading silver-producing nations. Mexico's rich geological endowments have historically made it a powerhouse in silver and gold mining, attracting significant foreign investment and fostering a skilled workforce and established supply chains. The development of a new, potentially high-grade project like Panuco adds to this legacy and contributes to the global supply of critical precious metals.

For the broader mining industry, Vizsla Silver's rapid progress at Panuco serves as an important indicator of market dynamics. As global demand for silver continues to grow, driven by industrial applications, investment demand, and its role as a monetary metal, new sources of supply are vital. Panuco, with its "high-grade" profile, suggests a project with strong economic fundamentals, potentially capable of supporting robust profitability even amidst fluctuating commodity prices. The decision to accelerate development with experienced partners such as M3 Engineering and Mining Plus reflects a strategic determination to bring this asset to production efficiently and capitalize on favorable market conditions.

Future Outlook and De-risking the Path to Production

As Vizsla Silver moves forward, the immediate next steps will involve the finalization of detailed engineering designs, continued procurement of long-lead items, and obtaining the necessary environmental and operational permits. The systematic engagement of specialized firms for EPCM and mine design significantly de-risks the construction and operational phases of the project. These firms bring invaluable experience in managing complex logistical challenges, adhering to stringent safety protocols, and ensuring engineering integrity, all of which are critical for successful mine development.

The integrated approach taken by Vizsla Silver, combining strong project financing with expert technical partners, positions Panuco for a potentially successful transition into commercial production. The project, once operational, is expected to become a significant contributor to Vizsla Silver's portfolio and a notable player in the Mexican silver-gold sector. For industry professionals and investors, Panuco exemplifies a well-managed development pathway, setting a benchmark for future projects seeking to translate robust resource estimates into tangible, profitable operations.