01.11.2005 – 18:49

First Majestic Resource Corp.

Acquisition of the La Candelaria Silver Mine, Jalisco, Mexico

Vancouver, Canada, November 1 (ots/PRNewswire)

TSX Venture Exchange - FR; Pink Sheets - FMJRF; Frankfurt - 905910

First Majestic Resource Corp. is pleased to announce that it has
signed a  Letter Agreement with Compania Minera Rio Frio, S.A. de
C.V., a privately  owned Mexican mining company, for the purchase of
a 100% interest in a  presently operating silver mine known as the La
Candelaria Silver Mine.  Included in this purchase is an operating
flotation mill with a present  capacity of 100 tpd and surrounding
property consisting of over   1,384  hectares. This large land
package is in a very prolific and old silver  district in Mexico and
includes other old mines such as the El Orito and      La Fortuna
silver mines and others yet to be reviewed. This purchase, upon
closing, will immediately result in the Company owning and operating
two  producing silver mines in Mexico.

Under the terms of the Letter Agreement the Company made an
initial  payment of US$100,000. A due-diligence confirmation period
of three months  has commenced. Subject to a successful completion of
due-diligence and  certain other conditions a further payment of
US$500,000 will become due  and the issuance of 1,000,000 common
shares will be paid. In addition,  execution of formal documentation
and title transfers will take place and a  formal closing will occur
on or before January 31, 2006. An additional  payment of US$2,000,000
divided between six payments on each six month  anniversary up to the
36th month are due as follows; US$250,000 on the 12th  month
anniversary; US$350,000 on the 18th month anniversary; US$400,000 on
the 24th month anniversary; US$500,000 on the 30th month anniversary
and a  final payment of US$500,000 on the 36 month anniversary from
closing along  with issuance of an additional 400,000 common shares.

The Candelaria Mine is located in the Hostotipaquillo silver
mining  district in the Jalisco State in Mexico where over 400 years
of mining  activity has taken place. The overall property hosts a
very large and  prolific network of veins and brachiated ore bodies
within the 1,384  hectares land package. The property was originally
mined by the Spaniards  late in the 1500's and had been mined
intermittently until 1974. Since that  time the district has been
mostly inactive until Minera Rio Frio was able  to assemble this
attractive package of mining claims and began operating  the
flotation mill again in 2003.

During the due diligence program, the Company intends to carry out
an  exploration program which will include surface geology and
underground and  surface sampling in order to define the available
ore resources. Based on  the results and if resources are confirmed,
the intent is to continue  production in the open pit area in the
Candelaria mine to produce ore for  the mill and at the same time,
start the development of underground  resources at the three mines
located within the mining claims. Production  at the mill during the
first six months will continue at a rate of  approximately 50-100 tpd
with an anticipated increase to 200 tpd and within  a year
anticipated increases in production to 400 tpd.

The Company will manage and continue to operate the mine during
the due  diligence period. Average ore grades being fed to the mill
are presently     350 grams/tonne silver and 2 grams/tonne gold. Of
additional interest are  old tailings on the property estimated at
150,000 tonnes grading 300  grams/tonne of silver and 1 gram per
tonne of gold. Historical records  indicate the presence of several
potentially important silver mineralized  areas. During the due
diligence period, geological mapping, extensive  sampling and
budgeting for development of the known mineralized structures  and
expansion of the mill will be completed. A complete NI 43-101
Technical  Report will be prepared and filed with the TSX Venture
Exchange and posted  on www.sedar.com in support of this transaction.

Further to the terms and conditions of the Letter Agreement
outlined  herein, the closing is subject to final legal due diligence
and regulatory  approval.

FIRST MAJESTIC RESOURCE CORP.

"signed"

Keith Neumeyer

President

This press release includes certain "Forward-Looking Statements"
within  the meaning of section 21E of the United States Securities
Exchange Act of  1934, as amended. All statements, other than
statements of historical fact,  included herein, including without
limitation, statements regarding  potential mineralization and
reserves, exploration results and future plans  and objectives of
First Majestic Resource Corp. are forward-looking  statements that
involve various risks and uncertainties. There can be no  assurance
that such statements will prove to be accurate and actual results
and future events could differ materially from those anticipated in
such  statements.

The TSX Venture Exchange has in no way passed upon the merits of
the proposed transaction and the TSX Venture Exchange does not accept
responsibility for the adequacy or accuracy of this release.

Contact:

For further information: FIRST MAJESTIC RESOURCE CORP., Suite 1480 -
885 West Georgia Street, Vancouver, B.C., Canada, V6C 3E8, Telephone:
+1-(604)-688-3033, Fax: +1-/(604) 601-2010, Toll Free:
1-866-529-2807, Web site: www.firstmajestic.com, E-mail:
info@firstmajestic.com/