Episode Details

Interview with Arturo Préstamo Elizondo, Executive Chairman & CEO of Santacruz Silver Mining Ltd.

Our previous interview: https://www.cruxinvestor.com/posts/santacruz-silver-mining-tsxvscz-record-results-and-2026-growth-outlook-9889

Recording date: 6th May 2026

Santacruz Silver Mining is positioning itself as a significantly undervalued player in the global silver sector, according to CEO Arturo Préstamo Elizondo, who argues the company trades at a steep discount to peers across multiple financial metrics. With an enterprise value of about $1 billion, Santacruz is valued at roughly $45 per silver equivalent ounce—far below the peer average of $180—and at around 6x EV/EBITDA compared to 15–20x for comparable companies. Management attributes this gap to temporary factors, including limited trading history on major exchanges, the lingering impact of a 2025 flooding incident at its Bolivar mine, and perceived geopolitical risks tied to its Bolivian operations.

Despite these concerns, the company delivered strong financial results in 2025, reporting $326.4 million in revenue, $104.6 million in EBITDA, and $79.1 million in operating cash flow. It also strengthened its balance sheet by eliminating debt and ending the year with $66.7 million in cash. Operationally, Santacruz is advancing key recovery and growth initiatives. The Bolivar mine is on track to resume full silver production by Q3 2026 as dewatering progresses, restoring access to high-grade zones. Meanwhile, infrastructure upgrades at the Zimapán mine are expected to improve throughput and reduce costs.

Looking ahead, Santacruz is focused on organic growth, including a new milling facility at San Lucas and development of the Soracaya mine, targeted for late 2026. The company is also enhancing operational efficiency through real-time monitoring systems and may consider share buybacks if its valuation remains depressed. Management believes that upcoming catalysts—such as a planned Toronto Stock Exchange uplisting and potential regulatory reforms in Bolivia—could help close the valuation gap while highlighting the strength of its diversified, multi-mine portfolio.

View Santacruz Silver Mining's company profile: https://www.cruxinvestor.com/companies/santacruz-silver-mining

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