About this episode
First Majestic Silver (NYSE: AG; TSX: AG) CEO Keith Neumeyer says silver’s move above $100 per ounce confirms tightening supply-demand fundamentals, even with a correction into the $80–$85 range. Speaking with Kitco Mining at the 35th BMO Global Metals, Mining & Critical Minerals Conference, Neumeyer said large institutions still “don’t believe the market,” arguing silver equities remain well below prior-cycle valuations despite stronger metal prices.First Majestic generated $250 million in free cash flow in Q4, holds approximately $1 billion in cash, and reported roughly $1.2 billion in revenue last year. The company produced 33 million ounces on an equivalent basis in 2025 and is targeting 50 million ounces longer term through exploration and internal expansions, with about $50 million allocated to exploration and roughly $80 million to development this year. “I think we’ll see 5,000 gold,” he said, adding that silver would go back to “triple digits fairly shortly.” Neumeyer also expects consolidation to accelerate, predicting the mining sector could shrink significantly over the next five years.Don’t forget to subscribe to the Kitco Mining & Kitco News YouTube channels to stay up to date on the latest industry news and interviews.Special thanks to our sponsor, First Majestic Silver. To learn more, visit https://firstmajestic.com/01:48 - Why Silver Stocks Are Still Lagging Metal Prices04:59 - Planning the Business Through Silver Volatility06:31 - Cash Allocation: Dividends, Buybacks, and Growth08:30 - Capital Discipline and the Coming M&A Wave10:20 - Record-Low 0.125% Convertible Note Refinancing12:02 - $4.3B Wheaton Stream and Silver’s Strategic Role14:04 - First Majestic’s Role in Sector Consolidation15:13 - Mexico Security Monitoring and Crisis Management17:10 - Succession Planning and Leadership Development19:24 - Path to 50 Million Ounces of Annual Production__________________________________________________________________Kitco Mining is dedicated to reporting on the mining industry. Our mandate is to be the top resource for all mining information and news, offering a clear perspective on where the industry is going through breaking news coverage, mining trends, and in-depth reporting, presented with precious, rare earth, base metals, and industry stock prices.Get important precious and base metal updates while on the go with the Kitco Gold LIVE! app - https://applications.kitco.comStay connected with usX - https://x.com/KitcoMiningInstagram - https://www.instagram.com/kitcominingLinkedIn - https://www.linkedin.com/company/kitco-miningFacebook - https://www.facebook.com/KitcoMiningConnect with the Kitco Mining anchorsPaul Harris - https://x.com/paulharrisgold For more in-depth mining coverage, visit us here - https://www.kitco.com/miningDisclaimer: Videos are not
