Mr. Ralph Rushton reports

AFTERMATH SILVER LTD. ANNOUNCES CLOSING OF SECOND AND FINAL TRANCHE OF PRIVATE PLACEMENT

Aftermath Silver Ltd. has closed the second and final tranche of its previously announced non-brokered private placement, whereby the company has completed the issuance of 7,045,200 units at a price of 25 cents per unit for gross proceeds of $1,761,300. Pursuant to both tranches of the private placement, the company issued an aggregate of 33,005,467 units for gross proceeds of $8,251,367.

Each unit consists of one common share in the capital of the company and one-half of one non-transferable common share purchase warrant of the company. Each warrant is exercisable by the holder to acquire one common share for a period of 24 months from the date of closing of the second tranche of the private placement at a price of 35 cents per share.

In connection with the private placement, the company paid fees to eligible finders consisting of an aggregate of: (i) $328,782.50; (ii) 57,400 common shares; and (iii) 200,410 warrants. Each broker warrant is exercisable by the holder to acquire one common share for a period of 24 months from the date of closing of the second tranche of the private placement at a price of 35 cents per share.

All securities issued pursuant to the second tranche of the private placement, including the finders' shares, are subject to hold period expiring on Sept. 16, 2023, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside of Canada.

The company intends to use the net proceeds from the second tranche for metallurgical and engineering studies on the Berenguela silver-copper-manganese project in southern Peru, for project payments related to the purchase of Berenguela and for general working capital purposes.

Certain directors, officers and other insiders of the company purchased or acquired direction or control over a total of 80,000 units as part of the second tranche of the private placement. The placement to those persons constitutes a related-party transaction within the meaning of Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). Notwithstanding the foregoing, the directors of the company have determined that the interested parties' participation in the second tranche of the private placement will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 in reliance on the exemptions set forth in sections 5.5(a) and 5.7(1)(b) of MI 61-101. The company did not file a material change report 21 days prior to the closing of the second tranche of the private placement as the details of the participation of interested parties had not been confirmed at that time.

Exercise of warrants

The company also wishes to announce the exercise of 3,068,400 previously issued common share purchase warrants of the company exercisable at 25 cents per common share by certain shareholders of the company, issued in connection with its private placement offering on May 7, 2020, for gross proceeds of $767,100.

About Aftermath Silver Ltd.

Aftermath is a leading Canadian junior exploration company focused on silver, and aims to deliver shareholder value through the discovery, acquisition and development of quality silver projects in stable jurisdictions. Aftermath has developed a pipeline of projects at various stages of advancement. The company's projects have been selected based on growth and development potential:

• Berenguela silver-copper project: The company has an option to acquire a 100-per-cent interest through a binding agreement with SSR Mining. The project is located in the department of Puno in south-central Peru. A National Instrument 43-101 technical report on the property was filed in February, 2021 (available on SEDAR and the company's web page). The company is currently drilling at Berenguela and planning to advance the project through a prefeasibility study.
• Challacollo silver-gold project: The company recently completed the acquisition of a 100-per-cent interest in the Challacollo silver-gold project from Mandalay Resources. See the company news release dated Aug. 11, 2022. An NI 43-101 mineral resource was released on Dec. 15, 2020 (available on SEDAR and the company's web page). The company is currently permitting road access in anticipation of a coming drill program.
• Cachinal silver-gold project: The company owns a 100-per-cent interest in the Cachinal Ag-Au project, located 2.5 hours south of Antofagasta. On June 11, 2022, Aftermath announced it had reached an agreement to sell Cachinal to Honey Badger Silver Inc. On Sept. 16, 2020, the company released a CIM (Canadian Institute of Mining, Metallurgy and Petroleum)-compliant mineral resource estimate and accompanying NI 43-101 technical report (available on SEDAR and on the company's web page).

We seek Safe Harbor.