First Majestic Produces 3.9M Silver Eqv. Oz in Second Quarter

First Majestic Silver (NYSE:AG) (TSX:FR) (“First Majestic” or the “Company”) announces total production in the second quarter of 2017 from its six operating silver mines reached 3.9 million equivalent ounces of silver. Total production consisted of 2.3 million ounces of silver, 15,186 ounces of gold, 7.6 million pounds of lead and 0.9 million pounds of zinc.

Keith Neumeyer, President & CEO, said:

“During the quarter, silver production was impacted by unusual efforts by unionized workers to illegally disrupt mining activities which caused minor stoppages at La Parrilla, Santa Elena and a more serious stoppage at our La Encantada operation. Pointing to a specific cause is difficult – whether due to higher gasoline prices or higher taxes in Mexico – but worker dissatisfaction among union employees throughout the Mexican mining industry is at the highest levels witnessed in the Company’s fifteen year history.

I am, however, pleased that our actions to clear the three blockades and resume mining activities were successful. The National Union and Confederation of Mexican Workers Union were both supportive of the actions taken by the Company which are expected to lead to improvements in productivity at each of the operations in the coming quarters. We anticipate production to be back on track in the third quarter and will work to recoup lost tonnage over the remainder of 2017.”

Total ore processed during the quarter at the Company’s six operating silver mines: Santa Elena, La Encantada, La Parrilla, Del Toro, San Martin and La Guitarra, amounted to 691,833 tonnes representing a 16% decrease compared to the previous quarter.

The decrease was primarily due to three illegal blockades in the quarter which amounted to four days at La Parrilla, two days at Santa Elena and 42 days at La Encantada.

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