Scotiabank Silver SummitJune 21-22, 2016

Cautionary NoteNON-GAAP MEASURES

THIS PRESENTATION REFERS TO VARIOUS NON-GAAP MEASURES, SUCH AS CASH COSTS PER PAYABLE OUNCE OF SILVER, ALL-IN SUSTAINING COST PER SILVER OUNCE SOLDAND ADJUSTED (LOSS) EARNINGS. READERS SHOULD REFER TO THE “ALTERNATIVE PERFORMANCE (NON-GAAP) MEASURES” SECTION IN THE COMPANY’S MANAGEMENT’SDISCUSSION & ANALYSIS FOR THE PERIOD ENDED MARCH 31, 2016.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

CERTAIN OF THE STATEMENTS AND INFORMATION IN THIS PRESENTATION CONSTITUTE “FORWARD-LOOKING STATEMENTS” WITHIN THE MEANING OF THE UNITED STATESPRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND “FORWARD-LOOKING INFORMATION” WITHIN THE MEANING OF APPLICABLE CANADIAN PROVINCIAL SECURITIESLAWS. ALL STATEMENTS, OTHER THAN STATEMENTS OF HISTORICAL FACT, ARE FORWARD-LOOKING STATEMENTS OR INFORMATION. FORWARD-LOOKING STATEMENTS ORINFORMATION IN THIS PRESENTATION RELATE TO, AMONG OTHER THINGS: OUR ESTIMATED PRODUCTION OF SILVER, GOLD AND OTHER METALS IN 2016; OUR ESTIMATEDCASH COSTS PER PAYABLE OUNCE OF SILVER AND AISCSOS IN 2016; OUR ESTIMATED CAPITAL INVESTMENTS, AND SUSTAINING CAPITAL FOR 2016; THE ABILITY OF THECOMPANY TO SUCCESSFULLY COMPLETE ANY CAPITAL INVESTMENT PROGRAMS AND PROJECTS, AND THE IMPACTS OF ANY SUCH PROGRAMS AND PROJECTS ON THE COMPANY;AND ANY ANTICIPATED LEVEL OF FINANCIAL AND OPERATIONAL SUCCESS IN 2016.

THESE STATEMENTS REFLECT THE COMPANY’S CURRENT VIEWS WITH RESPECT TO FUTURE EVENTS AND ARE NECESSARILY BASED UPON A NUMBER OF ASSUMPTIONS THAT,WHILE CONSIDERED REASONABLE BY THE COMPANY, ARE INHERENTLY SUBJECT TO SIGNIFICANT OPERATIONAL, BUSINESS, ECONOMIC AND REGULATORY UNCERTAINTIES ANDCONTINGENCIES. THESE ASSUMPTIONS INCLUDE: TONNAGE OF ORE TO BE MINED AND PROCESSED; ORE GRADES AND RECOVERIES; PRICES FOR SILVER, GOLD AND BASEMETALS REMAINING AS ESTIMATED; CURRENCY EXCHANGE RATES REMAINING AS ESTIMATED; CAPITAL, DECOMMISSIONING AND RECLAMATION ESTIMATES; OUR MINERALRESERVE AND RESOURCE ESTIMATES AND THE ASSUMPTIONS UPON WHICH THEY ARE BASED; PRICES FOR ENERGY INPUTS, LABOUR, MATERIALS, SUPPLIES AND SERVICES(INCLUDING TRANSPORTATION); NO LABOUR-RELATED DISRUPTIONS AT ANY OF OUR OPERATIONS: NO UNPLANNED DELAYS IN OR INTERRUPTIONS IN SCHEDULEDPRODUCTION; ALL NECESSARY PERMITS, LICENCES AND REGULATORY APPROVALS FOR OUR OPERATIONS ARE RECEIVED IN A TIMELY MANNER; AND OUR ABILITY TO COMPLYWITH ENVIRONMENTAL, HEALTH AND SAFETY LAWS. THE FOREGOING LIST OF ASSUMPTIONS IS NOT EXHAUSTIVE.

THE COMPANY CAUTIONS THE READER THAT FORWARD-LOOKING STATEMENTS AND INFORMATION INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHERFACTORS THAT MAY CAUSE ACTUAL RESULTS AND DEVELOPMENTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS ORINFORMATION CONTAINED IN THIS PRESENTATION AND THE COMPANY HAS MADE ASSUMPTIONS AND ESTIMATES BASED ON OR RELATED TO MANY OF THESE FACTORS. SUCHFACTORS INCLUDE, WITHOUT LIMITATION: FLUCTUATIONS IN SILVER, GOLD AND BASE METALS PRICES; FLUCTUATIONS IN PRICES FOR ENERGY INPUTS, LABOUR, MATERIALS,SUPPLIES AND SERVICES (INCLUDING TRANSPORTATION); FLUCTUATIONS IN CURRENCY MARKETS (SUCH AS THE CANADIAN DOLLAR, PERUVIAN SOL, MEXICAN PESO ANDBOLIVIAN BOLIVIANO VERSUS THE U.S. DOLLAR); OPERATIONAL RISKS AND HAZARDS INHERENT WITH THE BUSINESS OF MINING (INCLUDING ENVIRONMENTAL ACCIDENTSAND HAZARDS, INDUSTRIAL ACCIDENTS, EQUIPMENT BREAKDOWN, UNUSUAL OR UNEXPECTED GEOLOGICAL OR STRUCTURAL FORMATIONS, CAVE-INS, FLOODING AND SEVEREWEATHER); RISKS RELATING TO THE CREDIT WORTHINESS OR FINANCIAL CONDITION OF SUPPLIERS, REFINERS AND OTHER PARTIES WITH WHOM THE COMPANY DOESBUSINESS; INADEQUATE INSURANCE, OR INABILITY TO OBTAIN INSURANCE, TO COVER THESE RISKS AND HAZARDS; EMPLOYEE RELATIONS; RELATIONSHIPS WITH, ANDCLAIMS BY, LOCAL COMMUNITIES AND INDIGENOUS POPULATIONS; OUR ABILITY TO OBTAIN ALL NECESSARY PERMITS, LICENSES AND REGULATORY APPROVALS IN A TIMELYMANNER; CHANGES IN LAWS, REGULATIONS AND GOVERNMENT PRACTICES IN THE JURISDICTIONS WHERE WE OPERATE, INCLUDING ENVIRONMENTAL, EXPORT AND IMPORTLAWS AND REGULATIONS; DIMINISHING QUANTITIES OR GRADES OF MINERAL RESERVES AS PROPERTIES ARE MINED; INCREASED COMPETITION IN THE MINING INDUSTRY FOREQUIPMENT AND QUALIFIED PERSONNEL; AND THOSE FACTORS IDENTIFIED UNDER THE CAPTION “RISKS RELATED TO PAN AMERICAN’S BUSINESS” IN THE COMPANY’S MOSTRECENT FORM 40-F AND ANNUAL INFORMATION FORM FILED WITH THE UNITED STATES SECURITIES AND EXCHANGE COMMISSION AND CANADIAN SECURITIES REGULATORYAUTHORITIES. ALTHOUGH THE COMPANY HAS ATTEMPTED TO IDENTIFY IMPORTANT FACTORS THAT COULD CAUSE ACTUAL RESULTS TO DIFFER MATERIALLY, THERE MAY BEOTHER FACTORS THAT CAUSE RESULTS NOT TO BE AS ANTICIPATED, ESTIMATED, DESCRIBED OR INTENDED. INVESTORS ARE CAUTIONED AGAINST UNDUE RELIANCE ONFORWARD-LOOKING STATEMENTS AND INFORMATION. FORWARD-LOOKING STATEMENTS AND INFORMATION ARE DESIGNED TO HELP READERS UNDERSTAND MANAGEMENT’SCURRENT VIEWS OF OUR NEAR AND LONGER TERM PROSPECTS AND MAY NOT BE APPROPRIATE FOR OTHER PURPOSES. THE COMPANY DOES NOT INTEND, NOR DOES IT ASSUMEANY OBLIGATION TO UPDATE OR REVISE FORWARD-LOOKING STATEMENTS AND INFORMATION, WHETHER AS A RESULT OF NEW INFORMATION, CHANGES IN ASSUMPTIONS,FUTURE EVENTS OR OTHERWISE, EXCEPT TO THE EXTENT REQUIRED BY APPLICABLE LAW.

TECHNICAL INFORAMTION

TECHNICAL INFORMATION CONTAINED IN THIS PRESENTATION WITH RESPECT TO PAN AMERICAN HAS BEEN REVIEWED OR APPROVED BY MARTIN WAFFORN P.ENG., VPTECHNICAL SERVICES, WHO IS THE COMPANY’S QUALIFIED PERSON FOR THE PURPOSES OF NATIONAL INSTRUMENT 43-101. FOR ADDITIONAL INFORMATION ABOUT THECOMPANY’S MATERIAL MINERAL PROPERTIES, PLEASE REFER TO THE COMPANY’S ANNUAL INFORMATION FORM DATED MARCH 24, 2016, FILED AT WWW.SEDAR.COM.

2

Cautionary Note About Mineral Reserves and Resources

3

CAUTIONARY NOTE TO US INVESTORS CONCERNING ESTIMATES OF MINERAL RESERVES AND RESOURCES

THIS PRESENTATION HAS BEEN PREPARED IN ACCORDANCE WITH THE REQUIREMENTS OF CANADIAN SECURITIES LAWS, WHICH DIFFER FROM THE REQUIREMENTS OF U.S.SECURITIES LAWS. UNLESS OTHERWISE INDICATED, ALL MINERAL RESERVE AND RESOURCE ESTIMATES INCLUDED IN THIS NEWS RELEASE HAVE BEEN PREPARED INACCORDANCE WITH CANADIAN NATIONAL INSTRUMENT 43-101 – STANDARDS OF DISCLOSURE FOR MINERAL PROJECTS (‘‘NI 43-101’’) AND THE CANADIAN INSTITUTE OFMINING, METALLURGY AND PETROLEUM CLASSIFICATION SYSTEM. NI 43-101 IS A RULE DEVELOPED BY THE CANADIAN SECURITIES ADMINISTRATORS THAT ESTABLISHESSTANDARDS FOR ALL PUBLIC DISCLOSURE AN ISSUER MAKES OF SCIENTIFIC AND TECHNICAL INFORMATION CONCERNING MINERAL PROJECTS.

CANADIAN STANDARDS, INCLUDING NI 43-101, DIFFER SIGNIFICANTLY FROM THE REQUIREMENTS OF THE UNITED STATES SECURITIES AND EXCHANGECOMMISSION (THE “SEC”), AND INFORMATION CONCERNING MINERALIZATION, DEPOSITS, MINERAL RESERVE AND RESOURCE INFORMATION CONTAINED ORREFERRED TO HEREIN MAY NOT BE COMPARABLE TO SIMILAR INFORMATION DISCLOSED BY U.S. COMPANIES. IN PARTICULAR, AND WITHOUT LIMITING THEGENERALITY OF THE FOREGOING, THIS PRESENTATION USES THE TERMS ‘‘MEASURED RESOURCES’’, ‘‘INDICATED RESOURCES’’ AND ‘‘INFERRED RESOURCES’’. U.S.INVESTORS ARE ADVISED THAT, WHILE SUCH TERMS ARE RECOGNIZED AND REQUIRED BY CANADIAN SECURITIES LAWS, THE SEC DOES NOT RECOGNIZE THEM. THEREQUIREMENTS OF NI 43-101 FOR IDENTIFICATION OF ‘‘RESERVES’’ ARE NOT THE SAME AS THOSE OF THE SEC, AND RESERVES REPORTED BY PAN AMERICAN INCOMPLIANCE WITH NI 43-101 MAY NOT QUALIFY AS ‘‘RESERVES’’ UNDER SEC STANDARDS. UNDER U.S. STANDARDS, MINERALIZATION MAY NOT BE CLASSIFIED AS A‘‘RESERVE’’ UNLESS THE DETERMINATION HAS BEEN MADE THAT THE MINERALIZATION COULD BE ECONOMICALLY AND LEGALLY PRODUCED OR EXTRACTED AT THETIME THE RESERVE DETERMINATION IS MADE. U.S. INVESTORS ARE CAUTIONED NOT TO ASSUME THAT ANY PART OF A “MEASURED RESOURCE” OR “INDICATEDRESOURCE” WILL EVER BE CONVERTED INTO A “RESERVE”. U.S. INVESTORS SHOULD ALSO UNDERSTAND THAT “INFERRED RESOURCES” HAVE A GREAT AMOUNT OFUNCERTAINTY AS TO THEIR EXISTENCE AND GREAT UNCERTAINTY AS TO THEIR ECONOMIC AND LEGAL FEASIBILITY. IT CANNOT BE ASSUMED THAT ALL OR ANY PARTOF “INFERRED RESOURCES” EXIST, ARE ECONOMICALLY OR LEGALLY MINEABLE OR WILL EVER BE UPGRADED TO A HIGHER CATEGORY. UNDER CANADIANSECURITIES LAWS, ESTIMATED “INFERRED RESOURCES” MAY NOT FORM THE BASIS OF FEASIBILITY OR PRE-FEASIBILITY STUDIES EXCEPT IN RARE CASES.DISCLOSURE OF “CONTAINED OUNCES” IN A MINERAL RESOURCE IS PERMITTED DISCLOSURE UNDER CANADIAN SECURITIES LAWS. HOWEVER, THE SEC NORMALLYONLY PERMITS ISSUERS TO REPORT MINERALIZATION THAT DOES NOT CONSTITUTE “RESERVES” BY SEC STANDARDS AS IN PLACE TONNAGE AND GRADE, WITHOUTREFERENCE TO UNIT MEASURES. ACCORDINGLY, INFORMATION CONCERNING MINERAL DEPOSITS SET FORTH HEREIN MAY NOT BE COMPARABLE WITH INFORMATIONMADE PUBLIC BY COMPANIES THAT REPORT IN ACCORDANCE WITH U.S. STANDARDS.

Our Operations

4

0

5

10

15

20

25

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016E 2017E 2018E

Acquired MinefindersCorporation and its

mine Dolores in Mexico.Acquired Aquiline Resources and its Navidad

project in Argentina.

Completed San Vicente mine expansion.

Started production at Manantial Espejo.

Completed Alamo Dorado’s construction

and started production.

Acquired the Morococha mine in Peru.

Completed La Colorada mine expansion.

The rehabilitated Huaron mine started production.

Acquired the Huaronmine in Peru.

Acquired the San Vicente project in Bolivia.

Acquired the La Colorada mine in Mexico.

Acquired the Quiruvilcamine in Peru.

1994Pan American Silver Corp was founded.

Initiated La Colorada mine expansion.

Mill

ion

Silv

er

Ou

nce

s P

rod

uce

d

Exceptional Production Growth

5 (1) Please refer to the Company’s news release dated January 19, 2016.

(1) (1) (1)

Why Invest in PAAS

6

Strong leverage to silver prices

• Silver ~51% of revenue in 2015

• Gold ~29% of revenue in 2015

Experienced management team

• Demonstrated ability to operate in multiple jurisdictions andchallenging price environment(been there, done that)

Strong balance sheet (as of March 31st)

• $177.6 million in cash + short term investments

• Over $383.7 million in working capital

Transformational cost reduction

• La Colorada and Dolores projects

• Expanding our capacity for strong production at lower costs

• PAAS is best positioned to benefit from increase in silver prices

1. 2.

3. 4.

Q1 2016 - Achievements

7

Strong Production: 31% decrease in cash

costs(1) from Q1 2015

8% decrease in AISCSOS(2)

from Q1 2015 (All-in Sustaining

Costs Per Silver Ounce Sold)

$8.03/ounce of silver(net of by-product credits)

6.42million ouncesof silver

$13.12 (net of by-product credits)

41,200ounces of gold

(1) Cash cost per payable ounce of silver, net of by-product credits (“cash costs”) is a non-GAAP measure. Cash costs does not have a standardized meaning prescribed by IFRS as an

indicator of performance. The Company’s method of calculating cash costs may differ from the methods used by other entities and, accordingly, the Company’s cash costs may not be

comparable to similarly titled measures used by other entities. Readers should refer to the “Non-GAAP Measures – Cash Costs Per Payable Ounce of Silver Produced, Net of By-Product

Credits” section at the end of this presentation for further information about this measure.

(2) All-In Sustaining Costs per Silver Ounce Sold (“AISCSOS”) is a non-GAAP measure and does not have a standardized meaning or a consistent basis of calculation prescribed by

Canadian accounting standards. Readers should refer to the “Non-GAAP Measures – AISCSOS” section at the end of this presentation for further information about this measure.

Q1 2016 – Operating Results by Mine

8

Mine Ag Production(Moz)

Au Production(koz)

$ Cash Costs (1)

La Colorada 1.37 0.7 6.34

Dolores 1.07 21.4 6.10

Alamo Dorado 0.56 3.3 11.85

Huaron 0.95 0.2 7.95

Morococha 0.70 0.7 5.24

San Vicente 1.09 n/a 11.84

ManantialEspejo

0.68 14.9 8.13

TOTAL (2) 6.42 41.2 $8.03

(1) Cash costs per ounce of silver, net of by-product credits. Cash cost is a non-GAAP measure. Cash costs does not have a standardized meaning prescribed by IFRS as an indicator of performance. The Company’s method of calculating cash costs may differ from the methods used by other entities and, accordingly, the Company’s cash costs may not be comparable to similarly titled measures used by other entities. Readers should refer to the “Alternative Performance (Non-GAAP) Measures” section of the Company’s Management’s Discussion & Analysis for the period ended March 31, 2016, for a more detailed description of this measure and its calculation.

(2) Totals may not add up due to rounding.

Q1 2016 – Capital Expenditures

9

Mine US$M

La Colorada 3.7

Dolores 14.4

Huaron 2.1

Morococha 1.3

San Vicente 0.5

Manantial Espejo 0.9

Total Sustaining Capital $22.9

La Colorada Expansion Project 15.8

Dolores Expansion Project 7.8

Total Expansion Capital $23.6

Total Capital Expenditures $45.4

Q1 2016 – Financial Strength

10

US$ Million

Cash and short-term investments 177.6

Working capital(1) 383.7

Total debt(2) 59.5

Total available liquidity(3) 441.4

At March 31, 2016

(1) Working capital is a non-GAAP measure calculated as current assets less current liabilities. The Company and certain investors use this information to evaluate whether the Company is able to meet its current obligations using its current assets.(2) Inclusive of $4.9 million in capital leases.(3) Includes cash and short-term investments and the undrawn portion of the Company’s secured line of credit.

Q1 2016 Consolidated Cash Flows

11

(1)

(1) Operating Cash Flows

$227

$203

$178

(1)

Q1 2016 Adjusted Earnings(1)

12

(1) Adjusted earnings (loss) is a non-GAAP measure that the Company considers to better reflect normalized earnings as it eliminates items that may be volatile from period to period relating to positions that will settle in future periods, and items that are non-recurring. Readers should refer to the “Alternative Performance (non-GAAP) Measures” section of the Management’s Discussion & Analysis for the period ended March 31, 2016 for a more detailed discussion of this measure and its calculation.

($20)

$3

La Colorada Expansion

• New 600-metre deep mine shaft between the Candelaria and Estrella Structures

• Construction of a new sulphideflotation plant

• New 115kV power line to support expanded operation

• Increase production rate from 1,250 tpd to 1,800 tpd

Highlights (1)

• 69% expected increase in average annual silver production from 4.6 Moz in 2013 to 7.7 Moz in 2018

Project Scope

(1) For additional information, please refer to the Company’s technical report entitled “Technical Report – Preliminary Economic Analysis for the Expansion of the La Colorada Mine, Zacatecas, Mexico”, with an effective

date of December 31, 2013 available at www.SEDAR.com. The results of this preliminary economic assessment are preliminary in nature, in that it includes inferred mineral resources that are considered too geologically

speculative to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the assessment will be realized. Mineral resources that are not

mineral reserves have no demonstrated economic viability.

13

La Colorada Expansion

14

Reserve increase:

300%

30.4 M oz Ag

38.3 M oz Ag

44.1 M oz Ag

64.8 M oz Ag

81.4 M oz Ag

86 M oz Ag91.2 M oz Ag

15

Project Scope (2014-2017)

• Incremental expansion capital ~$80M

• Total investment ~$163.8M (includes sustaining capital)

Project Financials 2014-2023(1) Ag $16/oz Ag $19/oz

Net revenue $1.3 B $1.4 B

After tax net cash flow(2) $251 M $372 M

After tax net cash flow(3) $117 M $196 M

Incremental project net cash flow(3) $22.0 M $38.6 M

Expansion project - IRR 18% 22%

Payback period 2.9 years 2.5 years

(1) By-product price assumptions: At Ag $16/oz and $19/oz: Pb $2,100/tonne, Zn $1,850/tonne(2) Undiscounted(3) 10% discount

La Colorada Expansion

La Colorada Expansion

16

2016 Milestones:

Finish construction and commission the new sulphideprocessing plant

during Q3

Finish construction and commission the new shaft by

year-end

Complete 2.0 km of underground

development

Organic Growth – La Colorada Expansion

17 * For La Colorada’s complete mineral reserve details, please see Appendix IV

Dolores Expansion

• New 5,600 tpd pulp agglomeration plant

• New 1,500 tpd underground mine

• 40% expected increase in average annual Ag production from 4.5 Moz to 6.3 Moz

• 52% expected increase in average annual Au production from 135.1 koz to 205.7 koz

Project Scope

• Estimated LOM total silver production increase from 41 Moz to 50 Moz

• Estimated LOM total gold production increase from 1.3 Moz to 1.5 Moz

• Reduce cash cost through operational efficiencies and higher gold production

Highlights

(1) For additional information, please refer to the Company’s technical report entitled “Technical Report for the Dolores Property, Chihuahua, Mexico - Preliminary Economic Assessment of a Pulp Agglomeration

Treatment and Underground Option”, with an effective date of May 31, 2014 available at www.SEDAR.com. The results of this preliminary economic assessment are preliminary in nature, in that it includes

inferred mineral resources that are considered too geologically speculative to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no

certainty that the assessment will be realized. Mineral resources that are not mineral reserves have no demonstrated economic viability.18

19

Project Scope (2015-2018)

• Incremental expansion capital ~$112.4M

• LOM sustaining capital ~$173.9M

Financials 2015 – 2024 Ag $16, Au $1,100/oz Ag $19, Au $1,200/oz

Net revenue $2.7B $3.0B

After tax net cash flow(1) $453.0M $651.0M

After tax net cash flow(2) $217.3M $350.0M

Expansion project net cash flow(2) $38.8M $65.6M

Expansion project - IRR 19.9% 27.4%

Payback period 3.1 years 1.7 years

(1) Undiscounted(2) 10% discount

Dolores Expansion

Organic Growth – Dolores Expansion

20

N

South Extension Underground Resources at December 31, 2014:

Tonnes Ag g/t Au g/t

Measured 146,000 101 0.74

Indicated 2,907,000 56 1.59

TOTAL 3,054,000 58 1.55

Dolores Expansion

21

2016 Milestones:

Complete the third phase of

the leach pad 3 expansion by Q3

Complete 2.5 km of underground

development

Pulp agglomeration plant

• Finalize detailed engineering

• Set the rod mill by year-end

Complete and energize the power line during Q3

On Track to Achieve 2016 Forecast

22

Q1 2016 cash costs: $8.03

(1) Cash costs per payable ounce of silver, net of by-product credits. By-product metal prices assumptions used for forecast cash costs calculation: Au $1,100/oz, Zn $1,700/tonne, Pb $1,600/tonne, Cu$4,600/tonne. Cash cost is a non-GAAP measure. Cash costs does not have a standardized meaning prescribed by IFRS as an indicator of performance. The Company’s method of calculating cash costs may differfrom the methods used by other entities and, accordingly, the Company’s cash costs may not be comparable to similarly titled measures used by other entities. Readers should refer to the “Alternative Performance(Non-GAAP) Measures” section of the Company’s Management’s Discussion & Analysis for the period ended March 31, 2016, for a more detailed description of this measure and its calculation. Exchange rates relativeto US$ assumed: Mexican Peso 17:1, Peruvian Sol 3.3:1, Argentinean Peso 11:1, Bolivian Boliviano 7:1.

Silver Production

Cash Costs (1)

Silver Market Update

GFMS’ 2016 Silver Survey was released on May 5, 2016

In 2015:

– Total global supply declined from 1.06 billion to 1.04 billion ounces

– Mine production grew 2% to peak at 887 million ounces

– Supply from scrap and recycling declined by 13%

– Silver ETP’s holdings declined 3%

– Total global demand was 1.17 billion ounces with growth in key demand components (jewelry, bullion and photovoltaics)

– Physical market deficit was ~130 million ounces. 2015 was third consecutive year that demand surpassed supply

– Mine supply expected to decline going forward due to cost-related cuts and reduced investment in exploration/development

23

Visit www.silverinstitute.org for the Silver Institute’s publications, including the World Silver Survey 2016

Capital Structure (at May 15, 2016)

24

Trading SymbolsNASDAQ: PAASTSX: PAA

Share CapitalMarket capitalization US$2.4 billionIssued and outstanding shares 151.5 million

StatisticsNASDAQ: 3-month average volume: 2.74 million

52-week high: $16.18/share52 week low: $5.38/share

TSX: 3-month average volume: 752.7 thousand52-week high: $20.84/share52 week low: $7.77/share

Maverix Metals Inc.

25

• Creating a publicly traded company to consolidate and hold royalty assets currently hidden and undervalued within PAA’s portfolio

‒ Expose assets to market valuation

‒ Retain 54% majority ownership (63% fully-diluted) and continued optionality for PAA shareholders

‒ Provide additional leverage to gold and silver prices

‒ Managed by trusted and experienced management team

‒ Opportune timing for Maverix to attract new growth prospects

• Long term strategy is to monetize stake at premium valuation

PAAS-Milpo Shalipayco JV

• PAAS has completed the sale of 75% of the shares in Compania MineraShalipayco SAC to Votorantim Metais – Cajamarquilla SA (“Votorantim”) for the consideration of:

‒ US$ 15M cash

‒ 1% Net Smelter Return

• PAAS also gets free carry of its remaining 25% interest to commercial production

• Shalipayco project highlights

‒ 21,000 hectares of concessions located 36 kms from Milpo’s El Porvenirmining unit

‒ Votorantim completed over 88,000 metres of drilling on the skarn Zn deposit

‒ Milpo (subsidiary of Votorantim) plans to develop the project as a satellite deposit to their nearby El Porvenir mine

26

Appendix I2016 – Production Forecast

Mine Ag Production Au Production Cash Costs(1)

La Colorada 5.6 – 5.7 2.7 – 2.9 7.75 – 8.25

Dolores 3.4 – 3.6 97.0 – 102.0 5.00 – 6.50

Alamo Dorado 1.0 – 1.2 7.0 – 8.0 13.50 – 14.50

Huaron 3.7 – 3.8 0.7 – 0.8 12.25 – 13.25

Morococha (92.3%)(2) 2.5 – 2.6 3.0 – 3.2 12.00 – 13.75

San Vicente (95%)(2) 4.3 – 4.4 n/a 11.25 – 11.75

Manantial Espejo 3.6 – 3.8 64.6 – 68.1 9.25 – 10.75

Total 24.0 – 25.0 175.0 – 185.0 9.45 – 10.45

(1) Cash costs per payable silver ounce, net of by-product credits. By-product metal prices assumptions used for 2016 cash costs calculation: Au $1,100/oz, Zn $1,700/tonne, Pb$1,600/tonne, Cu $4,600/tonne. Cash costs is a non-GAAP measure and readers should refer to the information under the heading “Non-GAAP Measure – Cash Costs Per Payable Ounce of Silver Produced, Net of By Product Credits” at the end of this presentation for further information about this measure . Exchange rates assumed: Mexican Peso 17:1, Peruvian Sol 3.3:1, Argentinean Peso 11:1, Bolivian Boliviano 7:1.(2) Reflects Pan American’s ownership in the operation.(3) All-In Sustaining Costs per Silver Ounce Sold (“AISCSOS”) is a non-GAAP measure and does not have a standardized meaning or a consistent basis of calculation prescribed by Canadian accounting standards. Readers should refer to the “Non-GAAP Measures – AISCSOS” section at the end of this presentation for further information about this measure.

• AISCSOS(3) expected to be between $13.60 and $14.90, net of by-product credits

27

Appendix II2016 Capital Expenditures Forecast

Mine Capital Expenditures(1)

$ million

La Colorada 8.0 - 10.5

Dolores 39.0 - 42.0

Huaron 6.0 - 7.5

Morococha (92.3%) 7.0 - 8.5

San Vicente (95%) 3.0 - 4.0

Manantial Espejo 2.0 - 2.5

Total Sustaining Capital $65.0 - $75.0

La Colorada Projects 64.0 - 66.50

Dolores Projects 71.0 - 73.5

Total Capital Expenditures $200.0 - $215.0

28(1) Capital expenditures on a cash and commitment basis