Pan American Silver Books 511.1 Million Ounces of Silver Reserves

Pan American Silver Corp. (NYSE: PAAS; TSX: PAAS) reported estimated proven and probable mineral reserves as at June 30, 2026 containing approximately 511.1 million ounces of silver and 6.3 million ounces of gold, with the shares last trading at 47.56, down 1.78% on the day.

Pan American Silver Corp. (NYSE: PAAS; TSX: PAAS) has published its mid-year accounting of what is still in the ground, and the number that matters most to a silver-focused miner is 511.1 million ounces. That is the estimated silver content of the company's proven and probable mineral reserves as at June 30, 2026, alongside approximately 6.3 million ounces of gold, according to the Vancouver-headquartered producer's statement carried by Financial Post.

Reserve statements rarely move a stock the way an earnings miss does, but they are the closest thing a mining company produces to a balance sheet of its actual business. Everything else ""revenue, margins, free cash flow"" is a function of converting that inventory into metal at a cost, over a period of years. A miner that stops replacing reserves is liquidating itself in slow motion, whatever the quarterly numbers say.

What proven and probable actually means

The industry distinguishes sharply between reserves and resources, and investors who conflate the two routinely overpay. Proven and probable reserves are the portion of a deposit that a company has drilled, modelled and "" critically "" demonstrated it can mine economically under an assumed set of metal prices, costs and recovery rates. They sit inside a mine plan. Mineral resources are the wider category: mineralisation that has been identified with enough confidence to estimate tonnage and grade, but which has not cleared the economic and engineering tests needed to become a reserve.

That distinction is why the P&P figure is the one that anchors valuation work. Resources represent option value "" they may convert with more drilling, higher prices, or a permit "" while reserves represent something much closer to contracted future production. Pan American reported both as at June 30, 2026; the reserve line is the 511.1 million silver ounces and 6.3 million gold ounces.

One structural point is visible in the mix itself. On the reported reserve figures, Pan American carries roughly 81 ounces of silver for every ounce of gold in its proven and probable inventory "" an illustrative ratio derived from the two disclosed numbers rather than a company-stated metric. It is a reminder that despite the name, the company is materially a gold producer as well, and that the revenue split at any given moment depends on where the two metals trade relative to one another.

How the shares finished the session

PAAS last traded at 47.56, down 1.78% from the prior close of 48.42, with a session range of 46.74 to 49.28, as of the last trade at 20:00 GMT on September 16, 2026. The market is closed; those are closing levels, not live quotes. Note that the stock carries dual listings, so the quoted price depends on whether you are looking at the New York or Toronto line.

The move came on a mixed tape. The S&P 500 tracker (SPY) closed at $754.05, off 0.44%, and the Dow 30 vehicle (DIA) finished at $515.22, down 1.15%, while the Nasdaq 100 fund (QQQ) edged up 0.03% to $704.72. A precious metals producer slipping slightly more than the broad market on a soft day is unremarkable; it tells you little about how the reserve statement was received, not least because reserve and resource updates are typically absorbed by analysts over days, not minutes.

Why reserve life is the number behind the number

The standard way to translate a reserve statement into something investable is reserve life: divide contained ounces by annual production and you get a crude estimate of how many years the current mine plan runs. Pan American did not state a consolidated reserve life figure in the disclosure summarised here, and inferring one would require production guidance that was not supplied, so the honest answer is that the arithmetic belongs to whoever has the full technical tables in front of them.

What can be said is how the market reads these documents. Three questions get asked every time:

• Did reserves grow, shrink, or hold? A miner depletes reserves every year simply by mining. Holding the line means exploration and conversion drilling replaced what was extracted. Growth means more than replacement.
• What metal price assumptions were used? Reserves are price-sensitive by definition. Raising the assumed silver or gold price pulls marginal material into the reserve category without a single new metre drilled; lowering it pushes material out. Comparing two reserve statements without comparing their price decks is meaningless.
• Where are the ounces? A reserve base concentrated in one jurisdiction or one long-life mine carries a different risk profile from one spread across many assets and countries.

None of those answers can be inferred from the headline ounce counts alone. They live in the detailed tables that accompany the statement.

What silver producers are being priced on right now

Silver equities occupy an awkward position in portfolios. Silver is part monetary metal, part industrial input "" used in solar cells, electronics and brazing alloys "" which means silver miners trade with one eye on real interest rates and the other on manufacturing demand. Gold-heavy revenue, which Pan American clearly has given the 6.3 million ounces of gold reserves, dampens some of that industrial cyclicality.

For a company of this profile, the investment case tends to rest on a simple chain: reserves define the mine plan, the mine plan defines production, production times realised price minus cost defines cash flow, and cash flow funds dividends, buybacks and the next round of exploration. Reserve disclosures are the first link. When they are stable or growing, the market extends the runway it is willing to pay for. When they shrink without explanation, the discount rate applied to everything downstream quietly rises.

What to watch from here

The immediate follow-through is analytical rather than dramatic. Sell-side models will be updated for the new reserve and resource tonnages and grades on a mine-by-mine basis, and any material change in the distribution of ounces "" rather than the total "" is what tends to shift price targets.

Beyond that, three things are worth tracking. First, the company's next production and cost disclosures, which will show how efficiently the reserve base is being converted. Second, the direction of silver and gold prices, since both flow directly into future reserve statements through the price deck. Third, any commentary on exploration spending, which is the leading indicator for whether the 511.1 million ounces reported as at June 30, 2026 is a floor or a peak.

For now, investors have the inventory figure. The margin that inventory earns is a separate question, and one the next set of operating results will have to answer.

Key facts

• Silver reserves (P&P): ~511.1 million ounces as at June 30, 2026
• Gold reserves (P&P): ~6.3 million ounces as at June 30, 2026
• PAAS last close: 47.56, -1.78% (as of 20:00 GMT, Sep 16, 2026)
• Listings: NYSE: PAAS and TSX: PAAS; Vancouver, British Columbia

Frequently asked questions

How much silver and gold does Pan American report in reserves?

Pan American Silver reported estimated proven and probable mineral reserves containing approximately 511.1 million ounces of silver and 6.3 million ounces of gold as at June 30, 2026. Proven and probable reserves are the portion of a deposit the company has demonstrated it can mine economically under an assumed set of prices, costs and recovery rates, and they sit inside an active mine plan.

What is the difference between mineral reserves and mineral resources?

Reserves are mineralisation that has passed economic and engineering tests and forms part of a mine plan. Resources are a broader category of identified mineralisation with estimated tonnage and grade that has not yet cleared those tests. Reserves anchor valuation because they approximate contracted future production; resources represent option value that may convert with more drilling, higher metal prices or permits.

Where did PAAS shares close?

Pan American Silver last traded at 47.56, down 1.78% from the prior close of 48.42, with a session range of 46.74 to 49.28, as of the last trade at 20:00 GMT on September 16, 2026. The market was closed at the time of writing, so that represents the most recent close rather than a live price. The stock is dual-listed on the NYSE and TSX.

Why do metal price assumptions matter in a reserve statement?

Reserves are defined by economic viability, so the assumed silver and gold prices used in the calculation directly determine how much material qualifies. Raising the price deck pulls marginal ounces into the reserve category without any new drilling; lowering it pushes ounces out. Comparing reserve statements across years without also comparing their underlying price assumptions can be misleading.

What is reserve life and why do investors track it?

Reserve life is a rough estimate of how many years a company can keep mining under its current plan, calculated by dividing contained reserve ounces by annual production. It signals how long the existing asset base can generate cash flow before new discoveries or acquisitions are required. Pan American did not state a consolidated reserve life figure in this disclosure.

Is Pan American Silver only a silver producer?

No. Despite the name, the company holds substantial gold reserves — approximately 6.3 million ounces in proven and probable categories as at June 30, 2026 — alongside its silver. That gold exposure moderates the industrial-demand sensitivity that comes with silver, which is used in solar cells, electronics and brazing alloys as well as being held as a monetary metal.

Sources

• Pan American Silver Reports Mineral Reserves and Mineral Resources as at June 30, 2026 — Financial Post

Photo: James St. John · BY 2.0 — source