Drilling results and the year-end resource update
Sinda operated 18 drill rigs during the quarter, concentrating on converting resources at Caracol, infill drilling at Agaves and exploring the Don Diego corridor. At Caracol, the company reported a 3.05-meter intercept grading 12,494 grams per tonne silver-equivalent, with a 0.65-meter interval grading 24,548 grams per tonne. Those silver-equivalent calculations used assumed prices of $32.00 per ounce for silver and $2,750 per ounce for gold.
The work forms part of Phase 2, which started July 1, 2026, and has a total drilling target of 122,000 meters. Sinda expects to publish an updated Mineral Resource Estimate by the end of 2026.
Results announced September 21 from Don Diego support a possible structural connection between Caracol and Agaves, according to Sinda. Hole CEAG-26-062 returned approximately 3.0 meters at about 727 grams per tonne silver-equivalent, including 0.5 meters at more than 3,200 grams per tonne.
Other Don Diego intercepts, all reported in silver-equivalent grades, included 7.95 meters at 462 grams per tonne in CEAG-26-063; 0.5 meters at 14,114 grams per tonne in CECA-26-030-A; and 1.05 meters at 2,826 grams per tonne in CEAG-26-065. Sinda also reported 0.5 meters at 10,569 grams per tonne in CECA-25-027-C and 0.6 meters at 8,376 grams per tonne in CECA-26-033-B.
The earlier Phase 1 surface drilling program ended in the second quarter of 2026 after 60,810 meters. Infill work at the Dolores vein system accounted for 33,134 meters, or about 55% of the program. The other 27,676 meters, roughly 45%, comprised step-out exploration across five target areas, among them Don Diego.
Existing resources and exploration coverage
The resource estimate that Sinda plans to update is based on an SEC Technical Report Summary prepared by SRK Consulting (U.S.) Inc., effective November 24, 2025. It estimates Inferred Mineral Resources of 369 million silver-equivalent ounces and Indicated Mineral Resources of approximately 16 million silver-equivalent ounces. The Indicated category has an average grade of 692 grams per tonne silver-equivalent. Incremental Exploration Targets total 452-484 million silver-equivalent ounces.
Sinda's land package consists of five adjoining mining concessions covering approximately 6,232 hectares in the Guanajuato epithermal silver belt. The company has identified about 135 veins with roughly 182 kilometers of combined strike length. Drilling on 38% of those known veins underpins the current resource estimate, while the defined resource footprint occupies about 26% of the property.
Decline construction and underground drilling plans
Earthworks began in September at the planned exploration decline portal and Waste Rock Storage Facility. Sinda moved approximately 6,500 cubic meters of material and expects site preparation to finish in the fourth quarter of 2026.
The planned decline will extend approximately 9 kilometers and is being developed with production-sized dimensions of 5.5 meters by 5.5 meters. Environmental impact authorization came in March 2026, nine months after the official submission.
Sinda has budgeted approximately $98 million for the decline over three and a half years. A separate underground drilling budget of about $44 million covers approximately 223,000 meters in 557 planned holes. The company's stated objective is to achieve initial production at the project by 2031.
Financing and market access
The September 30 cash balance followed financing transactions that raised aggregate net proceeds of $309.3 million. Sinda's June 29, 2026, initial public offering contributed $192.9 million net: the company sold 17,750,000 shares at $12.00 each for approximately $213.0 million in gross proceeds.
An underwriters' overallotment option exercised July 15 added $21.4 million in net proceeds. The private placement to Fresnillo plc, completed July 27, supplied another $95.0 million net.
Fresnillo, described as the world's largest primary silver producer, subscribed for up to 5% of Sinda's outstanding shares through the private placement. Franco-Nevada also backed the IPO as an anchor investor, placing a $10 million pure equity order with no royalty or stream attached.
Sinda joined the VanEck Junior Gold Miners ETF (NYSE Arca: GDXJ) effective September 18, 2026. Ten days later, on September 28, it was listed on the Mexican Stock Exchange's International Quotation System.
Workplace safety, community programs and board appointment
In its third-quarter update, Sinda reported more than 501,480 work hours without a lost-time incident, recordable injury or disabling accident, with a Total Recordable Injury Frequency Rate of 0.00. Its community outreach included specialized upskilling training for more than 1,500 women.
After the quarter ended, Alberto Zinser joined Sinda's board of directors effective October 12, 2026. The company described him as an experienced Mexican legal and business leader.
