ACQUISITION OF ORKO SILVER - First Majestic Silver Corp.

ACQUISITION OF ORKO SILVER
WWW.FIRSTMAJESTIC.COM
DECEMBER 17, 2012
Building the Leading Senior Silver Producer

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SPECIAL NOTE REGARDING FORWARD
LOOKING STATEMENTS
This presentation includes certain "Forward-Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995
and “forward-looking information” under applicable Canadian securities laws. When used in this news release, the words "anticipate", "believe", "estimate",
"expect", "target", "plan", "forecast", "may", "schedule" and similar words or expressions, identify forward-looking statements or information. These forwardlooking
statements or information relate to, among other things: completion of the Arrangement and the various steps thereto, including filing and mailing of
securityholder documents and holding securityholder meetings; liquidity of First Majestic shares; future growth potential for First Majestic and its business;
future mine development plans; the price of silver and other metals; the accuracy of mineral reserve and resource estimates and estimates of future production
and costs of production at our properties; estimated production rates for silver and other payable metals produced by us and the estimated cost of development
of our development projects; the effects of laws, regulations and government policies on our operations, including, without limitation, the laws in Mexico
which currently have significant restrictions related to mining; obtaining or maintaining necessary permits, licences and approvals from government
authorities; .
These statements reflect First Majestic’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates
that, while considered reasonable by First Majestic, are inherently subject to significant business, economic, competitive, political and social uncertainties and
contingencies. Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results,
performance or achievements that are or may be expressed or implied by such forward-looking statements or information and First Majestic has made
assumptions and estimates based on or related to many of these factors. Such factors include, without limitation: satisfaction or waiver of all applicable
conditions to closing of the Arrangement including, without limitation, receipt of all necessary securityholder, court, stock exchange and regulatory approvals
or consents and lack of material changes with respect to First Majestic and Orko and their respective businesses, all as more particularly set forth in the
Arrangement Agreement; fluctuations in general macro-economic conditions; fluctuations in securities markets and the market price of First Majestic’s shares;
fluctuations in the spot and forward price of silver, gold, base metals or certain other commodities (such as natural gas, fuel oil and electricity); fluctuations in
the currency markets (such as the Canadian dollar and Mexican peso versus the U.S. dollar); changes in national and local government, legislation, taxation,
controls, regulations and political or economic developments in Canada or Mexico; operating or technical difficulties in connection with mining or
development activities; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards,
industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding); risks relating to the credit worthiness or financial condition of
suppliers, refiners and other parties with whom First Majestic does business; inability to obtain adequate insurance to cover risks and hazards; and the presence
of laws and regulations that may impose restrictions on mining, including those currently enacted in Mexico; employee relations; relationships with and claims
by local communities and indigenous populations; availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral
exploration and development, including the risks of obtaining necessary licenses, permits and approvals from government authorities; diminishing quantities
or grades of mineral reserves as properties are mined; First Majestic’s title to properties; continued access to necessary infrastructure, including, without
limitation, access to power, land, water and roads to carry on activities as planned; and the other factors identified under the caption "Risk Factors" in First
Majestic’s Annual Information Form, under the caption "Risks Relating to First Majestic's Business".
Readers are cautioned against attributing undue certainty to forward-looking statements or information. Although First Majestic has attempted to identify
important factors that could cause actual results to differ materially, there may be other factors that cause results not to be anticipated, estimated or intended.
First Majestic does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in
assumptions or changes in circumstances or any other events affecting such statements or information, other than as required by applicable law.
2

FIRST MAJESTIC SILVER CORP.
GROWING A LEADING SENIOR SILVER
PRODUCER
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• Acquisition of La Preciosa, one of the largest undeveloped primary silver
resources globally
• Significant silver resource with development flexibility
• Located in Durango, Mexico, providing the opportunity to leverage off First
Majestic’s in-country and regional expertise
• Further increases leverage to silver with potential to become one of the
largest mines in First Majestic’s portfolio when in production
• Timeline for production blends well with existing organic growth profile
• Premium provides immediate value to Orko shareholders, diversifies from
single asset risk and benefits from First Majestic’s track record of value
creation
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FIRST MAJESTIC SILVER CORP.
TRANSACTION SUMMARY
Consideration
Offered
• Orko shareholders to receive 0.1202 First Majestic shares and C$0.0001 cash for
each Orko share
• 69% premium based on the 30-day volume weighted average prices of First
Majestic and Orko ending December 14, 2012
• Approximate transaction value of C$387 million
Pro Forma
Ownership
• First Majestic 87% / Orko 13%
Structure
• Friendly transaction via Plan of Arrangement under the Business Corporation Act
(British Columbia)
Conditions
Other
Indicative Timeline
• 66 2/3% Orko shareholder approval
• Typical regulatory and court approvals
• Unanimously approved by Boards of Directors of both companies
• Break fee of C$11.6 MM payable to First Majestic under certain circumstances
• Non-solicitation and 5-day right to match a superior proposal
• Management and directors of Orko have executed lock-up agreements which total
approximately 8% of Orko’s shares
• Circular mailed to Orko shareholders – January 2013
• Orko shareholder vote – February 2013
• Transaction closing – February 2013
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FIRST MAJESTIC SILVER CORP.
BENEFITS TO SHAREHOLDERS
FIRST MAJESTIC
• Acquisition of one of the largest undeveloped
primary silver resources globally
• Further enhances First Majestic’s land position
in the Sierra Madre Belt, one of the most
prolific silver and gold regions
• Development timeline expected post-ramp up
of Del Toro and La Guitarra
• La Preciosa will strengthen First Majestic’s
position as one of the world’s leading silver
producers when in production
ORKO
• Significant premium of 69% based on the 30-
day VWAP
• Opportunity to participate in shares of a
leading senior silver producer
• Diversifies asset risk profile
• Access to capital, mine building and
operational expertise of First Majestic reducing
financing and execution risk of development
• Enhances capital markets profile and liquidity
• In close proximity to La Parrilla and Del Toro,
potential operational synergies
• Accretive to NAV per share, resources per
share and longer-term production and cash
flow per share
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FIRST MAJESTIC SILVER CORP.
PRO FORMA CAPITALIZATION
As at December 17, 2012
COMBINED
TSX Closing Share Price (C$) $22.58 $1.58 n/a
TSX 30-Day VWAP (C$) $22.45 $1.60 n/a
Basic Shares Outstanding (M) 116.8 136.6 133.2
FD Shares Outstanding (M) 121.7 142.1 138.8
Basic Market Capitalization (C$ M) $2,636 $216 n/a
FD Market Capitalization (C$ M) $2,747 $225 n/a
Cash & Equivalents (C$ M) $73.1 $13.6 $86.7
(2)
YTD Avg. Daily Value Traded (1) (C$ M) $27.7 $0.8 $28.5
Note: Cash balances illustrated as of September 30, 2012 and December 14, 2012 for First Majestic and Orko respectively, adjusted for subsequent
events. Assumes Bank of Canada noon rate of CAD/USD of 1.0166 on September 28, 2012.
(1) Average daily value traded based on TSX, NYSE and FWB exchanges.
(2) Includes proceeds from ITM options.
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FIRST MAJESTIC SILVER CORP.
ENHANCES CORE ASSET PORTFOLIO
IN PRODUCTION
1
2
3
4
La Encantada Silver Mine
La Parrilla Silver Mine
San Martin Silver Mine
La Guitarra Silver Mine
1
5
6
Del Toro Silver Mine
(Commissioning)
IN DEVELOPMENT
La Preciosa
6
8
2
5
3
7
7
La Luz
4
Mexico
City
EXPLORATION
8
La Plomosas
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FIRST MAJESTIC SILVER CORP.
ATTRACTIVE PORTFOLIO OF ASSETS
Production
Production
Production
Expansion
Production
Future
Expansion
Commissioning
La
Encantada
La Parrilla
San Martin
La
Guitarra
Del Toro
Development
La Luz
Development
La Preciosa
Exploration
Value
La
Plomosas
Stage of Development
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FIRST MAJESTIC SILVER CORP.
LA PRECIOSA OVERVIEW
LA PRECIOSA PROJECT
• One of the world’s largest undeveloped primary silver deposits
• Located in the prolific Sierra Madre belt, 47km northeast
of the city of Durango
• Project and adjacent mineral concessions cover 32,400
hectares of contiguous mining claims
• Project location offers a superb infrastructure advantage
• Accessible by paved highway, proximity to airport, smelter
and power
• The Martha Vein, which represents a large majority of the total
resources at La Preciosa is a relatively flat-lying vein, dipping
20 degrees from surface to depth
• Vein system could provide for low cost mining methods
• In September 2012 released an updated resource estimate,
that resulted in a ~120% increase in the size of the open-pit
indicated resource and a ~630% in the size of the open-pit
inferred resource
• The resource provides flexibility in development options
• La Preciosa has been largely unexplored and retains
significant exploration potential;
• Grab samples at the nearby Esmeralda Targets had
results as high as 515 g/t
LA PRECIOSA RESOURCES
Contained Metal
Tonnes Ag Grade Ag Au
(M) (g/t) (M oz) (M oz)
M&I Resources
Open-Pit 29.6 104 99.0 0.2
Underground 0.1 99 0.3 0.0
Total M&I 29.7 104 99.3 0.2
Inferred Resources
Open-Pit 47.7 86 131.9 0.2
Underground 1.9 124 7.6 0.0
Total Inferred 49.6 87 139.5 0.3
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FIRST MAJESTIC SILVER CORP.
SIGNIFICANT IMPACT ON TO FIRST MAJESTIC
MEASURED & INDICATED RESOURCES (1)
PRODUCTION GROWTH PROFILE (M OZ)
78%
226.7
127.4
Potential for
5 M +
First Majestic
Pro Forma
INFERRED RESOURCES (1)
77%
319.9
8.6
16.8
180.5
2012 FR Guidance (Mid-point) 2016 FR Street Consensus
+ OK
First Majestic
Pro Forma
First Majestic
Orko
1. Excluding proven and probable resources and La Guitarra as resources are currently under review.
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FIRST MAJESTIC SILVER CORP.
THE PATH FORWARD – NEXT 12 MONTHS
LA PRECIOSA
• Regional exploration program
• Around existing resource and Grassroots program on prospective targets
• Evaluate mining method options
• Commence baseline studies and land access agreements
LA GUITARRA
• Increase throughput by over 40%, continuous cost improvement initiatives
LA PARRILLA
• Completion of underground ore haulage system to reduce costs and expand production
LA ENCANTADA
• Ongoing metallurgical and pilot testing to improve recoveries
DEL TORO
• Initial production from 1,000 tpd flotation circuit later this month
• Addition of 1,000tpd cyandiation circuit
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FIRST MAJESTIC SILVER CORP.
INVESTOR RELATIONS
Todd Anthony
Investor Relations
(866) 529-2807
First Majestic Silver Corp.
Mike Devji
Executive Vice President
(604) 687-6310
Orko Silver Inc.
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FIRST MAJESTIC SILVER CORP.
APPENDIX

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FIRST MAJESTIC SILVER CORP.
Operating Silver Mines
LA ENCANTADA SILVER MINE LA PARRILLA SILVER MINE SAN MARTIN SILVER MINE
Mill Rate:
Production:
4,000 tpd
4.2-4.4M Ag oz
Proven & Probable: 38.7M Ag oz
Measured &
20.4M Ag oz
Indicated:
11.9M Ag oz
Inferred:
• Improving metallurgical recoveries
• Projected reduction in diesel costs in 2013
• Substantial exploration potential defined
within the 4,000 hectare property
Mill Rate:
Production:
Proven & Probable:
Measured &
Indicated:
2,000 tpd
2.7-2.8M Ag oz
(3.3-3.4M Aq Eq
oz)
39.4M Ag oz
4.4M Ag oz
Inferred:
55.9M Ag oz
• Currently connecting the mines with a
modern underground ore haulage system
• Expected cash cost reduction and potential
for further expansion
• Recently expanded land holdings to 69,440
hectares covering several old mines
Mill Rate:
Production:
Proven & Probable:
Measured &
Indicated:
950 tpd
1.0M Ag oz
(1.1M Ag Eq
oz)
7.5M Ag oz
6.2M Ag oz
Inferred:
53.0M Ag oz
• Installing tailing filters to recirculate ≈ 80%
of the water used in milling process
• Currently developing La Esperanza,
Rosarios and Huichola areas in
preparation for increasing head grades
and resource estimates
• Controls 31 mining claims within 7,841
hectares property
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FIRST MAJESTIC SILVER CORP.
DEL TORO SILVER MINE
OUR NEWEST SILVER MINE
• Construction of a 4,000 tpd mill
Dual circuit - Cyanidation/Flotation
• Initial silver production in December 2012
• Major underground drilling and
development continue in anticipation of
increased mine production over the next
18 months
• Expected to become our largest producing
operation by 2014
Mill Ramp-Up Milled Tonnes /
Day
Phase 1 (Dec-2012)
1,000 Flotation
Phase 2 (H2-2013) 1,000 Flotation +
1,000 Cyanidation
Phase 3 (H2-2014) 2,000 Flotation +
2,000 Cyanidation 15

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FIRST MAJESTIC SILVER CORP.
LA GUITARRA SILVER MINE
• 350 tpd Flotation Mill > Increasing to
500tpd by Q1’13
• Produces pure Ag/Au concentrate
• Undergoing cost reduction program
• New mine plan expected to increase
ore throughput and introduce
production of Silver Doré
• Early exploration targets within the
large 39,714 hectare property include
El Rincon and Mina de Agua
The La Guitarra Silver Mine is expected to contribute 0.4 million
silver equivalent ounces, or 320K to 340K ounces of pure silver for the 2H’12
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THERE IS NO SUBSTITUTE FOR
SILVER