Mineral Resource and Reserve Estimates

The Mineral Resource Estimates were prepared by Yungang Wu, P. Geo., and Eugene Puritch, P.Eng., from P&E Mining Consultants Inc. (“P&E”) and are provided in Table 3.  Estimates were completed for potential underground mining of in-situ vein deposits at the Las Chispas and Babicanora Areas and for surface extraction of stockpiles from historical and current operations. All drilling, surveying and assay databases were provided by SilverCrest including data up to the cut-off date of October 16, 2020.  Full details for the Mineral Resource Estimate can be found in the Technical Report.

Table 3: Mineral Resource Estimate

Classification		Tonnes	Grade			Contained Metal
		(k)	Au (gpt)	Ag (gpt)	AgEq (gpt)	Au (koz)	Ag (koz)	AgEq (koz)
Babicanora Area	M+I	2,214.5	7.35	681	1,319	523.2	48,471	93,939
Las Chispas Area	Indicated	445.1	4.20	548	913	60.1	7,845	13,065
Total Undiluted Veins	M+I	2,659.6	6.82	659	1,251	583.3	56,316	107,004
Historic Stockpiles	Indicated	164.2	1.23	108	215	6.5	572	1,135
Total Veins + Stockpiles	M+I	2,823.8	6.50	627	1,191	589.8	56,888	108,139
Babicanora Area	Inferred	861.6	5.47	409	884	151.6	11,325	24,496
Las Chispas Area	Inferred	378.4	1.80	272	428	21.9	3,308	5,209
Total Undiluted Veins	Inferred	1,240.0	4.35	367	745	173.4	14,634	29,705

Notes:

• Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
• The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
• The Inferred Mineral Resource in this estimate has a lower level of confidence than that applied to an Indicated Mineral Resource and must not be converted to a Mineral Reserve. It can be reasonably expected that the majority of the Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued exploration.
• The Mineral Resources in the Report were estimated using the 2019 CIM Estimation of Mineral Resources & Mineral Reserves Best Practice Guidelines and 2014 CIM Definition Standards for Mineral Resources & Mineral Reserves.
• Historical mined areas were removed from the wireframes and block model.
• AgEq is based on gold to silver ratio of 86.9:1 calculated using US$1,410/oz Au and US$16.60/oz Ag, with average metallurgical recoveries of 96% Au and 94% Ag using information available at the effective date of October 16, 2020.
• Mineral Resources are inclusive of the Mineral Reserves.
• All numbers are rounded.

The initial Mineral Reserve estimate was prepared by Carl Michaud, P.Eng., Underground Mining Engineer of G Mining Services Inc. (“GMS”), dated of January 4, 2021.

Table 4: Mineral Reserve Estimate

Classification		Tonnes	Grade			Contained Metal
		(k)	Au (gpt)	Ag (gpt)	AgEq (gpt)	Au (koz)	Ag (Moz)	AgEq (Moz)
Total	Proven	336.5	6.21	552	1,091	67.1	6.0	11.8
	Probable	3,014.7	4.65	451	855	451.0	43.7	82.9
	Proven + Probable	3,351.2	4.81	461	879	518.1	49.7	94.7

Notes:

• The Mineral Reserve is estimated using the 2019 CIM Estimation of Mineral Resources & Mineral Reserves Best Practice Guidelines and 2014 CIM Definition Standards for Mineral Resources & Mineral Reserves.
• The Mineral Reserve is estimated with a variable COG which was calculated by vein width and economic and operating parameters.
• A government gold royalty of 0.5% is included in the Mineral Reserve estimates.
• The Mineral Reserve is estimated with a mining recovery of 95%.
• The Mineral Reserve presented includes both internal and external dilution. The external dilution included a mining dilution of 0.5 m width on the hanging wall and footwall for the long hole mining method and a 0.2 m width on the hanging wall and footwall for the cut-and-fill and resue mining methods. Backfill dilution is also included and represents an average of 7% for the long hole mining method and an average of 10% for cut-and-fill and resue mining methods.
• A minimum mining width of 1.5 m was used for the long hole and cut-and-fill mining methods. A minimum mining width of 0.5 m was used for the resue mining method.
• The economic viability of the Mineral Reserve has been demonstrated.
• AgEq is based on gold to silver ratio of 86.9:1 calculated using US$1,410/oz Au and US$16.60/oz Ag, with average metallurgical recoveries of 96% Au and 94% Ag.
• Any discrepancies in the totals are due to rounding effects; rounding followed the recommendations in the 2019 CIM Mineral Resources & Mineral Reserves Best Practice Guidelines.