Pan American San Vicente

Pan American holds a 95% interest in Pan American Silver Bolivia (“PASB”). The remaining 5% of PASB is owned by Urion Holdings (Malta) Ltd., an affiliate of Trafigura Baheer B.V. PASB has a joint venture agreement (Contrato de Riesgo Compartido) with Corporación Minera de Bolivia (“COMIBOL”) the state mining company of the Plurinational State of Bolivia, pursuant to which PASB holds a 62.5% interest in the cash flow from the operations and is the operator of the San Vicente Property. Silver, zinc, and lead mineralization is present as epithermal veins, replacements in brecciated conglomerates, and mineralization in dacitic dykes.

Ore is extracted at the San Vicente underground mine using conventional shrinkage stoping and long hole mining. San Vicente operates a 750 tonne per day nominal capacity plant using a standard flotation process to produce a silver-zinc concentrate and a silver-lead concentrate.