Americas Gold and Silver Corporation - USAS STOCK NEWS

Americas Gold and Silver has completed its upsized 'bought deal' private placement of subscription receipts, raising C$50 million by issuing 125,000,000 subscription receipts at C$0.40 each. The proceeds will fund the acquisition of the remaining 40% interest in the Galena Complex in Idaho, growth initiatives, debt repayment, and working capital. Each subscription receipt converts to one common share upon meeting escrow release conditions, including acquisition closing approvals. The transaction, expected to close by year-end, is subject to shareholder and exchange approvals.

Americas Gold and Silver (TSX: USA) (NYSE American: USAS) has upsized its previously announced private placement of subscription receipts to C$45 million. The company will now issue 112,500,000 Subscription Receipts at C$0.40 per receipt. An additional option to purchase up to 12,500,000 Subscription Receipts could increase the total gross proceeds to C$50 million.

The proceeds will be used for growth initiatives at the Galena Complex, payment of cash consideration to Sprott, repayment of existing debt, and working capital. The offering is expected to close around October 30, 2024, subject to regulatory approvals. Each Subscription Receipt will entitle the holder to one common share of Americas upon satisfaction of certain conditions related to the acquisition of the remaining 40% interest in the Galena Complex.

Americas Gold and Silver has announced a binding agreement to acquire the remaining 40% interest in the Galena Complex in Idaho, USA, consolidating the current joint venture. Key highlights include:

1. Paul Andre Huet will be appointed Chairman and CEO upon closing.
2. A bought deal private placement financing of subscription receipts to raise C$40 million at C$0.40 per receipt.
3. Advanced discussions for debt refinancing to restructure the company's balance sheet.
4. Consolidation of Galena, a major silver mine in North America.
5. Eric Sprott to become the largest shareholder.
6. Enhanced leverage to silver, with 80% of revenue expected from silver by H2 2025.

The transaction is subject to shareholder and regulatory approvals, with closing expected by the end of the year.

Americas Gold and Silver (TSX: USA) (NYSE American: USAS) reports consolidated financial and operational results for Q2-2024. Highlights include:

• Consolidated revenue increased 62% to $31.6 million
• Positive EBITDA of $11.1 million and net income of $4.4 million from combined Cosalá and Galena operations
• Consolidated attributable silver production of 0.51 million ounces
• Significant reduction in cash costs to $12.42/oz silver and AISC to $19.58/oz silver
• Record quarterly production at Galena Complex since 2013
• $15 million secured Credit and Offtake Agreement signed for EC120 Project at Cosalá Operations

The company aims to generate over 80% of its revenue from silver production by the end of 2025.

Americas Gold and Silver (TSX: USA) (NYSE American: USAS) has signed a Credit and Off-Take Agreement with Trafigura PTE for the development of the EC120 Project at its Cosalá Operations in Mexico. The agreement provides a secured credit facility of up to $15 million, with an initial draw of $10 million expected. The project aims to begin producing high-grade silver-copper concentrate in Q3-2025.

Key highlights include:

• Projected annual production of 2.5 million ounces of silver and 4.5 million pounds of copper
• Estimated cash cost of $9.61/oz and all-in sustaining cost of $10.81/oz
• Expected to increase the Company's silver-derived revenue to over 80% by end of 2025
• Commercial production estimated to start in Q3-2025
• Credit facility terms: 36-month term, SOFR plus 6-6.5% interest rate, 12-month grace period

Americas Gold and Silver (NYSE American: USAS) reported Q2-2024 production results, highlighting a consolidated attributable silver production of 0.51 million ounces, up from 0.48 million ounces in Q1-2024. The company also produced 8.9 million attributable pounds of zinc and 4.4 million attributable pounds of lead.

Key highlights include:

• Galena Complex achieved its highest quarterly production since 2013, with 560,000 ounces of silver (100% basis).
• Cosalá Operations produced 170,000 ounces of silver, 8.9 million pounds of zinc, and 2.6 million pounds of lead.
• Preliminary cash costs decreased by ~40% to $12.40 per silver ounce, while all-in sustaining costs (AISC) dropped by ~35% to $19.60 per silver ounce.
• The company is finalizing a non-dilutive financing agreement for its EC120 Project, aiming to commence higher-grade silver-copper production in early 2025.

Americas Gold and Silver (TSX:USA; NYSE American: USAS) announced the election of directors at its annual meeting on June 25, 2024. Nominees Darren Blasutti, Christine Carson, Alex Davidson, Alan Edwards, Bradley Kipp, Gordon Pridham, Manuel Rivera, and Lorie Waisberg were elected with varying approval rates, the highest being 94.17% for Alan Edwards.

Shareholders also approved PricewaterhouseCoopers LLP as auditors and authorized directors to fix their remuneration. Additionally, a resolution was passed to issue up to 27,500,000 common shares upon retraction of Convertible Debentures, exceeding 25% of outstanding shares as of June 12, 2023. A total of 108,292,557 common shares, representing 43.14% of the total shares, were voted.

Americas Gold and Silver reported Q1-2024 results with a 12% revenue drop to $19.5 million, attributed to lower zinc prices and reduced silver and lead production from their Galena Complex. The company posted a net loss of $16.2 million, an increase of $5.7 million year-over-year. Silver production was down slightly to 0.48 million ounces, while zinc and lead production saw marginal changes. The Cosalá Operations showed strong silver production, benefiting from above-budgeted grades and recoveries. The Galena Complex faced lower production due to developmental focus but expects increased output in subsequent quarters. Cash costs rose significantly due to higher costs of sales and lower metal prices. The company's strategic focus includes developing the EC120 Project to produce high-grade silver-copper concentrates by early 2025.

Americas Gold and Silver provided its Q1-2024 production results, showcasing a consolidated attributable silver production of 0.48 million ounces. The company also announced the appointment of Jim Currie as Chief Operating Officer. Despite a slight decrease in silver production compared to the previous year, positive trends are expected to continue with upcoming projects. Currie's vast mining experience is anticipated to enhance production and profitability at the Galena Complex. The Company is in the final stages of securing financing for the EC120 Project, aiming to commence higher-grade silver-copper concentrate production in early 2025.