Summary of "Vizsla Silver - 2026 Roadmap: Construction Decisions, Drilling Growth & Cash Flow Vision"

Overview

Concise, business-focused roadmap for Vizsla Silver (VZLA) — program and priorities for 2026, as presented by Mike Connor (President & CEO) in an interview with Corey (K / Fleck Report). Company listed TSX & NYSE American (VZLA).

High-level strategy and positioning

Primary objective: deliver Project #1 (Panuco district flagship) to production and cash flow as quickly as possible, then deploy cash to fund organic district growth and potential Project #2.
Funding strategy: use non‑traditional internal funding (large-cap call / convertible offering) to retain optionality and speed, rather than waiting for traditional project finance with conditional drawdowns.
Growth model: district-scale, multi‑center production — prioritize satellite/near‑mine processing centers (Santa Fe, Animus, La Louisa / Napoleon, Lagara) rather than a single mega‑mill with long-distance trucking.

Frameworks, processes and playbooks

Feasibility → Permitting → Board construction decision → Earthworks → Mill / tailings → Staged production.
De‑risking tools:
- Test mining and underground drilling to upgrade reserves before full build.
- Intensive underground and surface drilling to convert inferred resources into reserves and include in the mine plan.
Capital/playbook: raise cash up-front (cap call convertible) to enable fast execution and avoid restrictive project-finance conditions.
Processing model: multiple smaller satellite hubs across the district rather than one centralized mill.

Key metrics, KPIs, targets and timelines

Cash raised: > US$400 million (2025, via cap call convertible financing).
Share price: > 200% increase in 2025 (corporate highlight).
2026 drill program: ~60,000 metres diamond drilling (mix of underground and surface).
Inferred resource near plant: ~25 million ounces targeted for conversion to reserves.
Feasibility baseline mine life: ~9.4 years (company expects growth).
Production targets:
- Project #1 baseline production referenced as ~20 million ounces (context suggests annual silver or silver‑equivalent production at scale; stated in interview).
- Long‑term company target: 50 million ounces silver‑equivalent production by 2035.
Unit costs: AISC roughly US$10.60/oz at a US$95/oz silver price (CEO’s guidance example).
Long‑lead ordering: ~US$20 million in contracts / materials already ordered.
Permitting / decision timeline:
- MIA permit expected Q2–Q3 2026 (major environmental/operational permit).
- Formal board construction decision anticipated around mid‑2026 once permits are in hand.
- First production target: “first silver” expected H2 2027.
Reserve / payback: feasibility shows rapid capex payback (described as “record time” in presentation).

Operations & engineering priorities

Immediate pre‑construction spend on detailed engineering and long‑lead equipment procurement (≈US$20M ordered).
First construction activity post‑permit: earthworks (tailings facility, mill foundations); earthworks pace will drive project schedule.
Underground development: active test mine and underground rig for in‑situ drilling to upgrade and convert resources.
Reserve conversion: primary focus on underground drilling to convert the ~25M oz inferred near‑plant; supplementary surface drilling at near‑mine targets (La Louisa, Napoleon) and district targets.

Exploration and resource growth strategy

60,000 m drill program allocation:
- Significant portion underground to convert inferred ounces and expand reserves around the planned mine.
- Near‑mine exploration: La Louisa, Napoleon and adjacent veins.
- District exploration: Animus, Sand Deas, Lagara and central/eastern targets to generate future production centers.
Santa Fe identified as the lowest‑hurdle Project #2 due to existing infrastructure (mine, tailings capacity, power, staff) — a near‑term satellite production opportunity.
Vision: become a multi‑center district operator — CEO anticipates at least three production centers within ~10 years.

Corporate / capital allocation stance

Priority: bring Project #1 to cash flow before committing to major external M&A; reinvest operating cash to accelerate organic growth thereafter.
Opportunistic consolidation: modest additions (~1,500 hectares) made quietly over time.
Strategic minority stakes: positions in Marcato and Pacifica to maintain optionality on nearby projects without large capital commitments.
Governance: construction decision remains a formal board‑level approval despite operational readiness.

Near‑term catalysts and investor updates

Primary catalyst: receipt of the MIA permit (expected Q2–Q3 2026).
Board construction decision: mid‑2026, conditional on permits.
Operational updates expected:
- Test mine progress and data from underground development.
- Drilling results: reserve upgrades, geotechnical holes, inferred‑to‑reserve conversions, near‑mine expansion hits.
- Early works: earthworks mobilization and long‑lead equipment deliveries.

Concrete examples / actionable items

Santa Fe: targeted as first, low‑hurdle satellite (Project #2) because of existing operating infrastructure.
Underground drilling: immediate priority to convert ~25M oz inferred close to the plant into reserves to extend mine life and/or increase production.
Long‑lead procurement: ~US$20M already ordered to avoid schedule slips once construction is approved.
Permitting: obtaining the MIA permit is the gating item; active engagement and permitting work are operational priorities.

Risks and governance notes

Permitting risk is the critical path; the board will not make a construction decision without key permits.
Execution risk: earthworks and management of long‑lead items are primary schedule drivers.
Capital discipline: CEO emphasizes using raised cash to build quickly while maintaining optionality for district growth.
Governance control: construction remains a board‑level approval to ensure oversight.

Bottom line: Vizsla Silver is positioned to move from feasibility and de‑risking into construction in 2026, backed by >US$400M of cash. The operational playbook prioritizes converting near‑mine inferred ounces via extensive underground drilling (60,000 m program), securing the MIA permit (Q2–Q3 2026), making a board construction decision mid‑2026, initiating earthworks and long‑lead equipment deployment, and targeting first silver in H2 2027. Parallel exploration aims to create multiple satellite production centers (Santa Fe is the lead near‑term Project #2) toward a long‑term ambition of 50 Moz silver‑equivalent by 2035.