Mani Alkhafaji

AI Is Making Silver’s Six-Year Deficit Worse | Mani Alkhafaji - First Majestic Silver

• Top takeaway Argues the silver market remains in a structural deficit in its sixth year, with AI and data-center demand (he cites roughly 6.5 tons of silver per 50 MW data center) plus resurgent solid-state-battery and solar-panel consumption adding pressure that is not matched by supply.
• Frames the post-January pullback as 'footing' rather than a thesis break, says investor sentiment at the conference is improving, and expects Q4 2026 and Q1 2027 to revisit the prior-year silver price levels; he adds that retail demand at First Mint weakens on price pullbacks but is starting to pick back up.
• Reports Jerritt Canyon restart is ahead of schedule with $75M committed earlier in 2026, a new fleet on order, and management recruitment tracking ahead of plan; targets a study by end of 2026, publication in Q1 2027, and an H2 2027 production restart.
• Frames First Majestic's strategy as continued growth through district-scale silver assets, with disciplined divestment of smaller producers to juniors (e.g., La Preciosa to Silver Storm) while retaining an equity stake for upside.
• Highlights Santa Elena's two-portal expansion as the next leg of growth at that operation, alongside ongoing substantial exploration at San Dimas and Los Gatos.

Silver has run a structural supply deficit for six years, and AI/data-center buildouts are now widening it beyond current forecasts. A 50 MW data center alone consumes about 6.5 tons of silver — a single demand source not yet matched by new mine supply. First Majestic's $75M Jerritt Canyon restart is running ahead of schedule, with a formal study expected by Q1 2027 ahead of H2 2027 production. First Majestic is divesting sub-2 Moz (million ounce) producers so management can refocus on district-scale assets like Santa Elena, San Dimas, and Los Gatos. Retail silver demand softens when prices pull back — historically June through August are the seasonal lows before Q4 and Q1 recover.

Is Triple-Digit Silver Coming Back? | Mani Alkhafaji - First Majestic Silver

• Top takeaway Mani argues triple-digit silver is a matter of when rather than if, and calls the current pullback a healthy pause that needs a bit longer before the next leg higher.
• He argues a true silver company, with at least half of revenue from silver (First Majestic is near 70%), gets a direct boost to the bottom line as silver rises, pointing to $40 million of quarterly free cash flow at $32 silver in 2025 versus roughly $220-250 million a year later.
• He calls the two Santa Elena discoveries unprecedented, says the early permits bring them into production in two to three years, and stresses that everything found so far sits within 5 kilometers of the mill on a 102,000-hectare property.
• On Jerritt Canyon, he is targeting an H2 2027 restart for about $75 million and sees the asset, which he says the market values at zero, as a major catalyst for the stock.
• He signals M&A discipline: always looking but patient and selective, rejecting gold- or copper-heavy 'silver equivalent' deals so the company stays silver-focused on its goal of being the world's largest silver producer.

First Majestic's president calls silver's current pullback healthy and argues triple-digit prices are a matter of when, not if. The guest says silver price leverage — not production growth — lifted quarterly free cash flow from $40 million to roughly a quarter-billion. New construction permits at Santa Elena cut 12 to 18 months off the timeline for two recent discoveries to reach production. Jerritt Canyon restart targets H2 2027 with $75 million committed, helped by gold's climb from $1,600 at shutdown to $4,200 now. At Gatos the mine, not the mill, is the bottleneck; switching from selective cut-and-fill to bulk mining targets 4,000 tons per day.

Los Gatos 3% Explored | Mani Alkhafaji - First Majestic Silver

• Top takeaway Mani Alkhafaji argues the Gatos acquisition was about future optionality rather than the asset's current state — the modern mill and 10-year mine life were a bonus, not the thesis.
• He emphasizes that only about 3% of the 13,300-hectare Gatos land package has been explored, with the discovery hole the only real exploration to date.
• He says First Majestic will chase multiple targets and multiple districts across the land package, positioning the asset to last for decades.

First Majestic bought Gatos Silver for what the district could become, not for its current mill and mine life alone. The Gatos land package spans 13,300 hectares of district-scale ground, yet only about 3% has seen any exploration. The single discovery hole sits in a small central area, leaving multiple untested targets across the rest of the package.

Record Breaking Silver Discoveries | Mani Alkhafaji - First Majestic Silver

First Majestic Silver is making record-breaking silver discoveries that could significantly expand their resource base and production profile. The company's exploration success demonstrates how existing mining operations can still yield major new high-grade silver zones. Investors should watch how these new discoveries translate into updated resource estimates and potential production timeline adjustments.

Why Silver’s Next Move May Be Built on a Much Stronger Base | Mani Alkhafaji - First Majestic

Alkhafaji argues silver's recent pullback is healthy consolidation, building a stronger base for the next upward move in the broader cycle. Higher silver prices have not fixed the primary supply deficit, as limited new mine supply continues to constrain the market. First Majestic reports record Q1 financials, progress on the Jerritt Canyon restart, and growing direct interest from silver consumers.

Astonishing Silver Deficit: The Silver Just Isn't There | Mani Alkhafaji

First Majestic Silver achieved record Q1 2026 results with over $1 billion in treasury and silver margins expanding to $52 per ounce. Management is advancing the Jarritt Canyon restart and expanding exploration programs, including 7.8 million ounces of gold resources. A structural global silver deficit is intensifying as technology demand from AI and energy sectors outpaces constrained global supply.