Americas Gold and Silver (NYSEAM:USAS), a small-cap precious metals producer, just made one of its boldest moves to date — acquiring Crescent Silver, owner of the high-grade Crescent silver-antimony-copper mine in Idaho’s historic Silver Valley. In a deal valued at $65 million, the company will pay $20 million in cash and issue roughly 11.1 million shares to close this strategic acquisition. The target mine lies a mere 9 miles from the Galena Complex and is fully permitted, historically productive, and ideally suited to slot into existing infrastructure. The transaction, supported by a $65 million bought deal financing, is more than just a property grab — it reflects a larger strategic push by Americas to scale operations, fill underused milling capacity, and diversify revenue streams. With the Crescent Mine potentially up and running by mid-2026, the big question is – can this acquisition redefine the company’s growth trajectory amid a sector-wide scramble?
Seamless Ore Blending & Metallurgical Compatibility
One of the most compelling synergies from the Crescent Silver acquisition is the near-perfect metallurgical match between Crescent’s tetrahedrite ore and the existing feedstock already processed at Americas Gold and Silver’s Galena Complex. Crescent hosts a 23 million ounce silver resource grading 655 grams per tonne — a notably high-grade deposit that aligns with Galena’s own silver-copper-antimony ore profile. This commonality eliminates the need for costly plant modifications and allows for Crescent’s ore to be blended directly into Galena’s existing milling system with minimal disruption. Galena currently processes both silver-lead and silver-copper ore, with its blended grade sitting at 466 g/t. Bringing in Crescent’s higher-grade silver feed not only elevates the average grade but also improves concentrate payability. In addition, the Crescent Mine’s ore brings a strong antimony and copper byproduct credit — both strategically critical metals. With China restricting exports of silver and antimony, U.S.-based production of these minerals has gained strategic importance. Moreover, since the ore types are identical, the learning curve and operational risks for underground crews are reduced. The long-hole stoping techniques being scaled at Galena are also planned for Crescent, allowing for a streamlined mining approach using shared labor, equipment, and management expertise. This shared methodology across both assets is expected to drive productivity, reduce training and ramp-up time, and ultimately lead to stronger margins from day one of Crescent’s operations.
Unlocking Spare Milling Capacity & Production Scaling
Americas Gold and Silver has been quietly preparing for expansion at Galena by upgrading hoisting infrastructure, acquiring new underground equipment, and revamping mill throughput capacity — all of which sets the stage for immediate integration of new ore. Galena’s combined milling infrastructure includes a 750-ton-per-day mill expandable to over 1,000 tpd and an additional 500-tpd facility, creating a total theoretical throughput of 1,500 tpd. However, actual utilization in Q3 2025 was just 408 tpd. This reveals over 1,000 tpd of spare milling capacity — an asset-intensive resource that is currently underused. Crescent’s proximity just 9 miles from Galena and its road-accessible adits mean the mine can feed ore to the mill via a straightforward trucking operation. With minimal capex needed for ore haulage, Crescent’s development ore can begin filling this excess capacity as early as mid-2026. From there, full-scale production could ramp up depending on the successful integration of infrastructure like Alimak raises between Crescent’s three portals. Long-term, company leadership envisions up to 1,000 to 1,500 tpd throughput being achieved by combining ore from Galena and Crescent. This is particularly meaningful when considering that the Galena shaft hoist capacity was recently doubled to 80 tonnes/hour, with further increases planned. By utilizing this existing but idle infrastructure, the acquisition enables low-cost volume growth, improves fixed-cost absorption, and enhances operational leverage — all of which could support positive EBITDA contributions even at modest silver prices.
Strategic Exposure To Antimony Amid National Supply Gaps
Beyond silver, one of the more underappreciated synergies from Crescent is the reinforcement of Americas Gold and Silver’s growing antimony exposure. Both Galena and Crescent contain tetrahedrite, a mineral that hosts silver, copper, and antimony — and recent test work confirmed 99% antimony recoveries from Galena’s concentrate. This comes at a time when antimony, like silver, has landed on the U.S. government’s critical minerals list. China’s 2024 halt on antimony exports has heightened supply chain risks for North American manufacturers, especially in defense and energy storage applications where antimony is crucial. Americas Gold and Silver is one of the few domestic sources of this mineral, and Crescent further strengthens its position in the antimony narrative. The company has already engaged Lot 16, a government relations firm, to explore U.S. policy support and domestic processing options. With government incentives, offtake agreements, or other strategic backing potentially on the table, Crescent’s antimony could become a source of non-traditional value that goes beyond conventional silver mining economics. Importantly, the silver-antimony ratio in the Crescent ore is similar to Galena’s 0.7:1 historical average, simplifying recoveries and creating a byproduct stream that can help reduce all-in sustaining costs. Management has also highlighted that no new mining zones are needed to access this value — silver, copper, and antimony are all mined from the same rock, maximizing return on development capex and mining time. In a geopolitical environment where resource nationalism is rising, Crescent strengthens Americas’ strategic optionality.
High-Grade Resource With Low Restart Risk
Crescent isn’t a greenfield dream — it’s a past-producing mine with existing infrastructure, private land ownership, and proven metallurgy. The mine produced over 25 million ounces of silver at grades above 900 g/t between 1917 and 1981, and its two main veins — Alhambra and South Vein — still remain underexplored beyond current resource outlines. Only about 5% of the privately held land at Crescent has been drilled to date, meaning resource expansion potential is significant. The infrastructure includes three adit entries: Countess, Big Creek, and Hooper, providing flexible access to ore and ventilation. Management plans to install Alimak raises to link these portals vertically and enable gravity-assisted ore flow to the rail-accessible Hooper level. From there, ore can be easily trucked to Galena. This setup minimizes the need for shafts or declines and allows for fast-tracking development. Importantly, Crescent is already fully permitted, enabling mining activities to begin under an exploration designation until the required egress upgrades allow for full production. By utilizing contract miners initially and existing Galena personnel and vendors, Americas avoids large up-front hiring or training costs. Leadership believes the mine could eventually sustain up to 2 million ounces per year, significantly enhancing the company's growth profile. Given how tight the permitting landscape is for new mines in the U.S., Crescent's plug-and-play nature provides a rare de-risked opportunity. Combined with known metallurgy, proven high grades, and nearby mill access, Crescent offers a low barrier to entry and quick path to revenue, especially critical for small-cap miners looking to scale without betting the balance sheet.
Final Thoughts
Source: Yahoo Finance
Americas Gold and Silver’s stock price has been on a bull run over the past year and the proposed acquisition of Crescent Silver has added to the bull case. It is close by, has the same type of ore they’re already mining, and could slot right into their existing mill without a ton of extra cost or effort. That’s a big plus. It also brings in more silver, some valuable antimony and copper, and helps fill up the extra space they’ve got sitting idle at their Galena mill. But like with any big decision, there’s a flip side. This isn’t a brand-new mine; it needs some work to get going again, and all that takes money, planning, and time. And let’s not forget, Americas Gold and Silver is still a small-cap company that’s been working to turn things around — and its financial numbers, like earnings and cash flow, are still bouncing around quite a bit.
The market seems to be cautious too, with the stock trading at pretty stretched valuation multiples— with trailing EV/EBITDA at -86.65x and EV/Revenue at 10.71x. Sure, things could improve if everything goes to plan, but that’s a big “if” in mining. So while this deal might help push the company in the right direction, it also brings new risks to manage. For now, it’s a wait-and-see moment — the potential is there, but it’ll all come down to how well the team can bring Crescent back to life without overextending themselves in the process.
