/ Royalty Portfolio
Project Snapshot
Ermitaño Flagship
Partner:First Majestic Silver Corp.
Location:Sonora, Mexico
Stage:Production
Metal:Gold, Silver
Royalty:2.0% NSR
AOI:167 km2
Ermitaño is a producing gold and silver royalty asset located in Sonora, Mexico and operated by First Majestic Silver Corp. Orogen holds a 2.0% NSR royalty on the project, which continues to benefit from ongoing exploration success and expansion within the royalty area of interest.
Overview
The Ermitaño and Navidad deposits in Sonora, Mexico represent the most significant zones of gold and silver mineralization currently known within Orogen’s 167 square kilometre royalty AOI (Figure 1). The mineralization is typical of low sulphidation gold and silver vein-hosted deposits.
Drilling at the currently producing Ermitaño mine has delineated one primary, one secondary and several sub-parallel tertiary veins. The Ermitaño vein is delineated over 1,800 metres along strike and 550 metres down dip. The eastern extension of the vein is called the Luna or Ermitaño East Complex (Figure 2). The Ermitaño mine commenced production in Q4-2021. By the end of 2025 the Ermitaño mine had produced approximately 414,000 ounces of gold and 7.1 million ounces of silver.
The discovery of the Navidad vein was announced by First Majestic in July 2024. The vein system is located immediately southwest of the Ermitaño Mine concession and is entirely within the Company’s royalty area of interest. An initial Inferred Resource for the Navidad Vein was announced in April 2025. The new resource at December 31, 2025, represents an 85% increase in contained gold ounces and 311% increase in contained silver ounces driven primarily from drilling. The Navidad vein system remains open in several directions.Orogen holds a cash-flowing 2% net smelter return ("NSR") royalty on the 167 square kilometre Ermitaño concession within First Majestic Silver Corp.’s ("First Majestic") Santa Elena gold-silver mine.
Figure 1:
Plan map of the Ermitaño mine and Navidad vein system projected to surface and an overview of the Ermitaño Concession (Inset). Adapted from 3.
Figure 2:
Schematic long section showing the Ermitaño Mine complex and the Navidad and Winter vein system adapted from 3.
Royalty & Transaction Summary
Orogen holds a cash-flowing 2% NSR royalty on the 167 km² Ermitaño concession within First Majestic’s Santa Elena operation.
Royalty Generation Timeline
- Ermitaño was acquired by Orogen in 2011
- Partnered to Inmet/FQM 2011‐2014
- Partnered to Silvercrest Mines Inc. (“Silvercrest”) in 2014
- First Majestic acquired Silvercrest in 2015
- Orogen invested a total estimate of $100,000 into Ermitaño from acquisition to completion of earn‐in with First Majestic
- Silvercrest and First Majestic together have spent an estimated $80M on the project
- NI 43‐101 Pre‐Feasibility Study Technical Report, June 30, 2021 was filed by First Majestic on November 24, 2021
- Initial production commenced in November 2021 and commercial production ramp up in Q1 2022
Reserves and Resources
At December 31, 2025
| Category | Tonnage (Mt) |
Silver (g/t) |
Gold (g/t) |
Gold (Koz) |
Silver (Moz) |
|---|---|---|---|---|---|
| Reserves | |||||
| Proven (Underground) | 0.68 | 59 | 2.29 | 50 | 1.29 |
| Proven (Stockpile) | 0.24 | 46 | 1.74 | 10 | 0.35 |
| Probable (Underground) | 3.39 | 29 | 1.16 | 130 | 3.15 |
| Total Reserves | 4.31 | 35 | 1.37 | 190 | 4.79 |
| M&I Resources (inclusive of reserves) | |||||
| Measured | 1.44 | 54 | 2.40 | 110 | 2.49 |
| Indicated | 5.69 | 35 | 1.49 | 270 | 6.39 |
| Total M&I | 7.13 | 39 | 1.67 | 380 | 8.88 |
| Inferred Resources | |||||
| Inferred Ermitano | 5.10 | 35 | 1.28 | 210 | 5.78 |
| Inferred Navidad | 6.42 | 89 | 2.21 | 460 | 18.41 |
| Total Inferred | 11.52 | 65 | 1.80 | 670 | 24.19 |
Source: First Majestic public filings and technical disclosure for the Santa Elena–Ermitaño operation.
- Total Measured and Indicated Resources of 7.13 million tonnes containing 380,000 ounces of gold at 1.67 grams per tonne ("g/t") and 8.9 million ounces of silver at 39 g/t
- Total Inferred Resources of 11.52 million tonnes containing 670,000 ounces of gold at 1.80 g/t and 24.2 million ounces of silver at 65 g/t
- Measured and Indicated Resources increased year-over-year by 26% for gold and 42% for silver while Inferred Resources increased by 63% for gold and 133% for silver
- The increases in Measured and Indicated and Inferred Resources were primarily driven by lower cutoff values resulting from updated metal price guidance, infill drilling converting Inferred Resources to Measured and Indicated Resources, and the expansion of the Navidad vein system
Exploration & Recent Activity
- 78,000 metres of drilling across the Santa Elena mine complex anticipated for 2026
- 2026 production guidance of 64 to 71 thousand ounces of gold and 1.3 to 1.5 million ounces of silver
- 2025 Annual production of 88,100 ounces of gold and 1.4 million ounces of silver
- Royalty revenue of C$9.6 million in 2025
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