Americas Gold and Silver Buys Remaining 40% Stake in Galena Complex

Core Insights - Americas Gold and Silver (USAS) has completed the acquisition of the remaining 40% interest in the Galena Complex in Idaho, enhancing its position in the silver market [1][3] - The company has arranged a private placement to raise C$40 million ($28 million), with $10 million allocated for the acquisition and plans to restructure existing debt [2] - Silver prices have increased by 24.6% this year, with global industrial demand projected to rise by 7% in 2024, indicating a continued deficit in the silver market [5] Company Developments - The Galena Complex is situated in Idaho's Silver Valley, known for its rich silver, lead, zinc, and copper production [3] - In the third quarter of 2024, the Galena Complex produced approximately 323,000 ounces of silver, a 7% decrease year-over-year, and 2.6 million pounds of lead, down 15% from the previous year [18] - The completion of the hoist project at the Galena Complex is anticipated to enhance production capabilities in 2025 [11] Financial Performance - Shareholders of Sprott affiliates received around 170 million common shares of USAS and $10 million in cash, along with a commitment for monthly silver deliveries of 18,500 ounces for 36 months starting January 2026 [9] - USAS shares have appreciated by 75.2% over the past year, significantly outperforming the industry, which saw a decline of 21.7% [17]