Weekly Metals Mining Rundown for Week Ending 16 May 2025 - Gold and Silver Metal Prices and Mining Stock Prices Fall - Battery Metal Producer Stocks Gain While Most of Their Underlying Metal Prices Dip Slightly

This past week’s top & bottom metal price and mining company peer group movers include:

This past week’s top 40 performing metals mining stocks (out of Peer Table’s 458) include (share price rounding errors apply, as sourced from Google Finance):

Coverage of metals mining company announcements incorporated into this week’s Peer Table (resource updates, economic studies, changes in attributable project ownership) include:

• 12 May 2025 - Lithium hard rock developer Patriot Battery Metals (TSX:PMET) announced an updated consolidated resource estimate for its CV5 and CV13 spodumene pegmatite deposits at its 100%-owned Shaakichiuwaanaan project in Quebec. Most importantly, the update increased the indicated share of resources for both its CV5 and CV13 - by 30% and 306%, respectively - which bodes well for the upcoming maiden reserve in the impending feasibility study (which will follow a PEA that was announced back in August 2024, evaluating production of an intermediary spodumene concentrate product that would require further off-site processing to be converted to more refined and more commoditized battery mineral products of lithium carbonate or hydroxide). Overall resources remained relatively unchanged at ~4.8 Mt LCE (grading relatively high for open pits in the 1.33-1.4% Li2O range), excluding tantalum and gallium credits, making Shaakachichiumwaanaan one of the largest lithium pegmatite (hard rock) projects in the world. PMET stock traded up +4.5% on 12 May following this news (vs. peer median down -0.6%), before trading down -3.4% intraday on 13 May vs. group median flat +0%, before closing the week (ending 16 May) at a market cap/t resource of US$54/t LCE ($16/oz AuEq) - which is an 18.5% discount to our 15-company lithium hard rock developer peer group median of $64/t LCE ($19/oz AuEq).

• 11 May 2025 - Silver producer Pan American Silver (NYSE:PAAS) announced the acquisition of fellow silver producer MAG Silver (NYSE:MAG) for total consideration of US$2.1 billion or $20.54 per MAG share (as a mix of $500 million cash and 0.755 PAAS shares per MAG share). Before the deal (on Fri 9 May 2025), PAAS had traded at a market cap of US$9.9B, or a market cap/oz resource of US$1.0/oz AgEq ($94/oz AuEq), which had been 28% below our 18-company silver producer median $1.41/oz AgEq ($131/oz AuEq). PAAS stock fell +16% on Monday 12 May 2025 following this news (vs. peer group median performance down -2% for day), to a PAAS market cap of US$8.3B (at PAAS share price of US$22.82/sh). But including additional resources from MAG (which grow PAAS resources by ~6%) and including new PAAS shares to be issued to MAG (according to the announced share exchange ratio and Google’s Finance’s PAAS shares outstanding), PAAS’s market cap is set to grow (on the closing of this deal) to a pro-forma $10.1B (at share price of $22.74/sh). And on a PAAS market cap/oz resource basis this equates to a pro-forma week-ending (16 May) US$0.97/oz AgEq ($90/oz AuEq) - a 16% discount to silver producer peer group median US$1.16/oz AgEq (US$108) - and wider 61% discount to our 9-company senior gold producer median $233/oz AuEq and 37% discount to our 55-company intermediate gold producer peer group median $143/oz AuEq, leaving lots of valuation upside for a PAAS take-out by a major or intermediate gold producer looking to add substantial silver production on the back of metal’s rising price potential (just under one-third of PAAS’s mineral resource value come from gold, with a slightly lesser 22% coming from silver, rest Cu-Zn-Pb).

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