Peruvian Metals Reports: Silver – Gold Recoveries of 97.85 % and 92.19% Respectively from the Victor II Vein at the Mercedes Ag-Au Property in Central Peru

Peruvian Metals Corp. has announced significant progress at its Mercedes Silver-Gold property in central Peru, highlighted by exceptional metallurgical results that demonstrate the commercial viability of the project. The company achieved remarkable recovery rates of 97.85% for silver and 92.19% for gold from the Victor II vein using flotation methods, with head grades of 3.69 grams Au/mt and 9.4 ounces Ag/mt producing concentrates grading 33.03 ounces Ag/mt and 12.23 grams Au/mt at a mineral-to-concentrate ratio of 3.50 to 1.

The timing of this development is particularly favorable given the dramatic improvement in silver economics, with prices rising from $23 per ounce when the company first acquired its interest to the current $90 per ounce range. This price appreciation fundamentally transforms the project's economic profile and cash flow potential. Peruvian Metals has successfully completed its acquisition of a 50% interest in San Maurizo Mines Ltd., which holds the Mercedes property through its Peruvian subsidiary, establishing a joint venture with Hudson Heartland Ltd. for shared development and exploration costs.

The Mercedes property encompasses approximately 1,345 hectares in Peru's Junin Department and features extensive historical underground workings totaling 900 meters across multiple mineralized structures. Recent exploration has identified six mineralized veins, including the newly discovered Charo Vein, which returned encouraging initial results with silver recoveries of 92.3% and gold recoveries of 74.7%. The property benefits from established infrastructure, including secured community access agreements, an established camp, and proximity to local processing facilities.

Looking ahead, Peruvian Metals plans to commence commercial extraction from both the Victor II and Charo veins during the first quarter of 2026, with mineral processing to occur at a local toll mill 12 kilometers from the project. The company will also develop a 225-meter crosscut to provide access to multiple mineralized faces and establish underground drilling sites. This aggressive development timeline, combined with the proven metallurgical performance and favorable commodity prices, positions Mercedes as a potentially significant near-term production asset in Peruvian Metals' portfolio.