Mr. Arturo Prestamo reports

SANTACRUZ SILVER ANNOUNCES PUBLICATION OF 2025 SUSTAINABILITY REPORT FOR BOLIVIAN OPERATIONS

Santacruz Silver Mining Ltd. has released the 2025 sustainability report for its wholly owned Bolivian subsidiary, Grupo Minero Sinchi Wayra, which highlights the company's performance and progress across environmental, social and governance priorities across its Bolivian operations.

Arturo Prestamo, executive chairman and chief executive officer of Santacruz, commented: "The 2025 sustainability report for Sinchi Wayra represents a significant step forward in our commitment to building a more sustainable and responsible mining business in Bolivia. It reflects not only our progress, but also how we are embedding transparency, accountability and strong ESG practices into every aspect of our operations, creating long-term value for both our stakeholders and Santacruz. As the only mining company in Bolivia that is a signatory to the UN Global Compact Network Bolivia, we are committed to leading with integrity and purpose. Over the past five years, our total investment has exceeded $8.55-million (U.S.), supporting local economic development, enabling decent work and improving quality of life across our communities. These investments are more than contributions. They are the foundation of enduring partnerships, resilient communities and a shared future that will continue to create value for generations to come."

The report complies with international financial reporting standards and references the 2021 Global Reporting Initiative standards. It presents the company's ESG approach and outlines its activities in responsible operations, sustainable growth and stakeholder engagement. The report for Sinchi Wayra is available on Santacruz's website.

Key 2025 esg highlights

Environmental

Santacruz reported an investment exceeding $12.8-million (U.S.) in environmental management. It achieved measurable progress in reducing its environmental footprint by optimizing water use, improving energy efficiency and lowering greenhouse gas emissions, reflecting a pro-active approach to environmental management grounded in innovation and continuous improvement.

The company allocated more than $4.2-million (U.S.) to water treatment, ensuring compliance with environmental standards and protecting water resources. In 2025, no discharge incidents exceeded RMCH permissible quality limits, and no sanctions or impacts on receiving water bodies were recorded.

Social

Over the past year, Santacruz allocated more than $1.4-million (U.S.) to initiatives aimed at strengthening education, local infrastructure and productive enterprises, benefiting a total of 24,528 people. A breakdown of how the funds were utilized is as follows.

Production development, where $761,000 (U.S.) was allocated to implementing development projects, work force training, the creation of microenterprises, camelid forage initiatives and infrastructure improvements, benefited 2,331 people and strengthened local livelihoods and economic resilience.

Education, where $508,600 (U.S.) was invested to expand access to quality learning and improve student outcomes, benefited 4,085 people, including teacher salaries, school breakfast programs, student scholarships, infrastructure improvements, transportation and broader community education support.

Traditions and social activities, where $66,600 (U.S.) was allocated to encourage and promote cultural activities, support community customs and traditions, and sponsor social and sports events, benefited 15,750 people and helped to strengthen community identity and cohesion.

Community support, where $36,500 (U.S.) was allocated to address key infrastructure needs, including water diversion projects, basic sanitation and a range of community support initiatives, benefited 2,362 people and improved living conditions and well-being.

Governance

Throughout 2025, Santacruz strengthened its governance framework by enhancing due diligence, reinforcing human rights commitments and advancing corporate risk management, supported by a systematic assessment of environmental, social and financial risks.

This approach is guided by three core values: safety first, responsibility in action and innovation for the future. Under safety first, risk prevention and control were reinforced through targeted training, behavioural supervision and visible leadership, strengthening oversight and internal controls. Under responsibility in action, relationships with neighbouring communities were strengthened through initiatives that promote economic and social development. Under innovation for the future, the integration of double materiality and ESG criteria into corporate strategy was further consolidated. This process, aligned with international financial reporting standard S1 (SASB sector guidance for metals and mining) and the GRI 14 standard, enables more precise identification and management of risks and opportunities shaping sustainable performance. These three principles underpin decision making and support transparency, accountability and long-term value creation.

2026 ESG priorities

This year, the company has expanded on the momentum achieved in 2025 by further advancing its sustainability efforts, strengthening community partnerships and managing resources responsibly in Bolivia. It continues to prioritize initiatives that support education, youth development and family well-being while maintaining a strong commitment to ethical sourcing, workplace safety and active engagement with stakeholders.

To support this continued progress, Santacruz has defined a set of system maturity milestones for the 2026 reporting period, which include:

• Integrate enhancements from the risk management policy into the corporate governance framework;
• Establish a fully integrated and formally documented corporate and financial risk management process;
• Develop a comprehensive corporate risk control strategy, supported by a clear action plan for opportunity management.

About Santacruz Silver Mining Ltd.

Santacruz Silver is engaged in the operation, acquisition, exploration and development of mineral properties across Latin America. In Bolivia, the company operates the Bolivar, Porco and Caballo Blanco mining complexes, with Caballo Blanco comprising the Tres Amigos and Colquechaquita mines. The Reserva mine, whose production is provided to the San Lucas ore sourcing and trading business, is also located in Bolivia. Additionally, the company oversees the Soracaya exploration project. In Mexico, Santacruz operates the Zimapan mine.

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