Santacruz Silver (TSXV:SCZ) - Bolivar Recovery and TSX Uplisting Drive 2026 Growth Strategy

Why It Matters

Improved mine performance and dewatering at Bolivar could materially lower unit costs and boost silver output, while the trading business provides margin diversification—together strengthening fundamentals ahead of a planned TSX uplisting and 2026 growth targets.

Summary

Santa Cruz Silver reported a strong Q1 with roughly 2.3 million ounces silver equivalent produced, including about 1.3 million ounces of pure silver and meaningful zinc and lead byproduct volumes. CEO Arturo Prestamo said higher realized silver prices and operational improvements—notably dewatering and ramp-up at the Bolivar underground mine—lifted revenue and margins, with further production gains expected into Q2. The company highlighted its dual model: conventional mining operations measured by tonnage and cost metrics, and a San Lucas sourcing/trading arm evaluated on margin and EBITDA contribution. Management is tracking detailed operational, safety and ESG KPIs as it scales production and pursues a TSX uplisting to support its 2026 growth strategy.

Original Description

Interview with Arturo Préstamo Elizondo, Executive Chairman & CEO of Santacruz Silver Mining Ltd.

Our previous interview: https://www.cruxinvestor.com/posts/santacruz-silver-mining-tsxvscz-undervalued-investment-series-with-arturo-prestamo-10185

Recording date: 9th June 2026

Santacruz Silver Mining entered 2026 with improving operations, rising financial strength, and a clearer path to growth across its Bolivian and Mexican assets. In the first quarter, the company produced about 2.3 million silver-equivalent ounces, including 1.3 million ounces of silver and roughly 21,000 tonnes of zinc, alongside smaller lead and copper output. Stronger silver prices and better operating performance helped drive a solid financial quarter, with management expecting production to rise further in the second quarter.

The company’s most important near-term focus is the Bolivar mine in Bolivia, where excess water in key mining zones has limited access to high-grade silver areas. Santacruz is carrying out a dewatering program to restore output from the Pomabamba and Nena veins, with a goal of returning to budgeted production levels by the fourth quarter of 2026. Management believes this recovery will not only lift silver volumes but also lower mining costs at one of its most important assets.

Despite more than a month of political unrest in Bolivia tied to tensions between President Luis Arce and former President Evo Morales, Santacruz says its operations have remained on budget and uninterrupted. The company has reduced risk by storing key supplies in advance and using rail for most concentrate shipments, limiting exposure to road blockages.

Santacruz is also positioning itself for the next phase of growth. It expects to move from the TSX Venture Exchange to the TSX main board within weeks, a step intended to improve liquidity and attract a broader investor base. Management also plans to launch a share buyback, signaling confidence that the market undervalues the business. Beyond Bolivar, the company is advancing Soracaya, a brownfield Bolivian asset with a strong silver profile, as its main medium-term growth project in a silver market supported by persistent supply deficits.

View Santacruz Silver Mining's company profile: https://www.cruxinvestor.com/companies/santacruz-silver-mining

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