Gatos Silver Reports South-East Deeps Drilling Results at Cerro Los Gatos and

VANCOUVER, British Columbia, April 25, 2024 (GLOBE NEWSWIRE) — Gatos Silver, Inc. (NYSE/TSX: GATO) (“Gatos Silver” or the “Company”) today provided an update on the drilling and exploration programs in the Los Gatos district (“LGD”) in Mexico. The update includes new intercepts of mineralization in the South-East Deeps (“SE Deeps”) zone of its 70%-owned Cerro Los Gatos (“CLG”) mine. The Company also announced the appointment of Chad Yuhasz as Vice President, Exploration and Technical Services.

“These latest results will add to the potential of the South-East Deeps zone for the next update of our Reserve and Resource estimates, which we continue to expect to complete in the third quarter of 2024,” said Dale Andres, CEO of Gatos Silver. “As our work on the Greenfields drilling increases over the coming months it is great to have Chad Yuhasz joining our team to guide our exploration activities.”

Q1 2024 Highlights

• Resource definition drilling in the SE Deeps zone of CLG intercepted additional high-grade mineralization below the existing mineral reserve (see Table 1 for complete intercept details)

  • 3.0m (2.6m estimated true width, or “ETW”) at 85 g/t Ag, 8.77% Zn, 3.60% Pb, 0.13 g/t Au and 0.23% Cu (SE-568)

  • 1.5m (1.2m ETW) at 157 g/t Ag, 3.30% Zn, 13.45% Pb, 0.13 g/t Au and 0.23% Cu (SE-581)

  • 5.7m (4.7m ETW) at 81 g/t Ag, 8.62% Zn, 6.65% Pb, 1.83 g/t Au and 0.23% Cu (SE-582)

  • 8.9m (6.0m ETW) at 338 g/t Ag, 8.15% Zn, 4.18% Pb, 0.29 g/t Au and 0.87% Cu (SE-590)

  • 2.0m (1.7m ETW) at 594 g/t Ag, 5.47% Zn, 14.50% Pb, 0.16 g/t Au and 0.04% Cu (SE-592)

• Greenfields exploration work in the LGD continues to advance in preparation for increased drilling starting in Q2 2024

  • Two holes were completed at Portigueño that both intercepted veining and alteration with anomalous grades of silver, gold, zinc and lead but low copper. The metal composition intercepted is consistent with a location high in the profile indicating potential for further mineralization deeper in the zone (see Table 2 for complete intercept details). The drill rigs have currently stepped south along the Dragon fault to test the Tule and Roja fault zones within the Portigueño area.

  • Detailed mapping and rock geochemistry was completed at the San Luis, Lince, Portigueño, San Agustin, and La Paula areas to support drill target generation

Executive Appointment of Chad Yuhasz as Vice President, Exploration and Technical Services

Mr. Yuhasz has more than 20 years of geoscience experience in the resource industry spanning operations, exploration, resource modelling and corporate development. Most recently he held an executive position at Barrick Gold, serving as the Head of Mineral Resource Management for the Latin America and Asia Pacific regions, responsible for overseeing brownfields exploration, operational geology, mine planning, feasibility studies and M&A growth. In this role, he successfully replaced annual production and increased the resource base in the regions. He also previously played a key technical role as a Director of Evaluations with Barrick in the successful 2019 Barrick-Randgold merger. Prior to joining Barrick in 2016, Mr Yuhasz held various geoscience and exploration roles with consulting firm SRK, private equity group Waterton Global, and mining companies, Teck Resources Limited and Claude Resources.

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CLG South-East Deeps Resource Definition Drilling

The SE Deeps mineralization extends approximately 1km laterally and 400m vertically, which adjoins the existing SE mineral reserve and remains open along strike. Since Q2 2023 drilling has focused on infilling the higher-grade areas of the SE Deeps zone to 50m spacing. We have completed 66,300m of diamond drilling since the cutoff date for the 2023 Reserve and Resource Update, which has demonstrated excellent potential for a multi-year mine life extension. The additional drilling data will be used in the mineral reserve and mineral resource update planned for the third quarter of 2024. Preparation for this update has commenced with the database cutoff at the end of the first quarter.

As expected, the tighter drill spacing has shown that variability within the zone exists, with higher grade in some areas and lower grade in other areas. On average, silver grades are lower than the Central and North-West zones and base metals including copper, represent a higher proportion of the in-situ value.

Figure 1: Long section of CLG¹ showing SE resource definition drilling intercepts (drilled width) received since our press release dated January 25, 2024. See Table 1 for complete intercept details including true width estimates.²