Mr. Shawn Howarth reports

EXCELLON CONTINUES TO ADVANCE MALLAY TOWARDS RESTART

Excellon Resources Inc. has provided an update on rehabilitation and restart planning at the past-producing Mallay silver-lead-zinc mine in Peru.

Highlights:

• Phase one mine rehab complete: over 2,800 metres mine access rehabilitated to date across the 4090 and 4150 levels;
• Mine definition drilling: 4090 level area to be assessed for a potential restart; definition drilling to commence, covering the first phase of operations; dewatering below 4090 under way to support additional drilling and operations restart planning;
• National Instrument 43-101 mineral resource estimate: remodelling of historical drilling nearly completed; target publication Q4 2025;
• Isguiz extension drilling: a budgeted 13,000-metre, 40-hole program testing down-dip/lateral extensions; Q4 2025 start, initial results early 2026;
• Shafra zone: a budgeted 3,500-metre, six-hole program to test depth prospectivity below the Pierina gold-silver-lead-zinc vein and advance a gold-rich intrusive-related bulk-tonnage target; deep electromagnetic geophysics in Q4 2025; initial drill results early 2026.
• Restart readiness: all operating permits in place, compliant with all environmental requirements for mining and processing restart, including recently received explosives for underground use.

Shawn Howarth, president and chief executive officer, commented: "We are pleased to be moving from rehabilitation to resource expansion drilling at Mallay, with drill pads in preparation on the 4090 and 4150 levels. Our Q4 programs at Isguiz and Shafra will test down-dip continuity and buttress a staged restart plan. We aim to delineate additional mineralization and demonstrate a path to an extended mine life -- well beyond the historical mineral resource estimate. With over $20-million in cash on hand and available liquidity as at Sept. 30, 2025, our drilling programs are funded, alongside the restart of Mallay."

Paul Keller, chief operating officer, commented: "We see a safe and practical path to restart from the 4090 level given existing infrastructure and potential for wider mining widths. Next steps will be to complete definition drilling to build a sufficient inventory for the first phase of operations. Dewatering and mine services are advancing to support drilling from up to three underground pads."

Mallay mine restart

Initial phase of rehabilitation completed

Access to the 4090 and 4150 levels is cleaned and free of debris. Rehabilitation work included roadway cleaning -- access, ramp, berm and drainage, muck handling, support installation, and water management/piping rehabilitation. With sufficient access to mining underground areas completed, the company is transitioning to mine restart.

Near-mine resource expansion and development

Definition drilling to derisk mine restart

Program overview: This definition drill program targets currently accessible areas of mineralization along Clavos 2, 3 and 6, along the 4090 level and their downward plunge to a depth of 200 metres to support the mine restart and Mallay mill capacity of 600 tonnes per day. These areas are prioritized for accessibility, known mining widths suitable for mechanized cut-and-fill extraction, and potential to expand on existing mineralization.

Objectives: The company believes mineralization can be defined for up to the first two years of production from the planned drill program. In addition to drill bay locations at the 4090 level of the mine, dewatering of the 400 ramp will provide additional platforms in closer proximity to the Isguiz vein system to accelerate the drill program.

Cautionary notes on disclosure (National Instrument 43-101). The stated tonnage objective to meet a mill throughput of 600 tonnes per day reflects an internal planning target and re-evaluation of historic resources and reserves reported by the former Mallay mine operator. Resulting resources (from inferred to measured and indicated) will be based on historic drilling, underground mapping/sampling and geological models; it is not an exploration target as defined by NI 43-101 and does not imply a grade range or economic viability.

A decision to commence or resume production at Mallay will not be based on a feasibility study, which increases the uncertainty of achieving commercial production or demonstrating the economic viability. Estimating and reclassifying resources from one category to another is uncertain until sufficient drilling, QA/QC (quality assurance/quality control) and data validation are completed. Forward-looking statements about timing, results and potential impacts on resources or restart plans are subject to risk factors and uncertainties typical for underground drilling and development.

Isguiz extension -- growing mineralization down dip

Program overview: budgeted 40 holes/13,000 m drilling

Objectives: Test down dip and lateral continuity to approximately 300 m below current workings, with the aim of defining additional 300,000 to 400,000 tonnes of mineralized material to inferred or measured and indicated (M&I), where supported. Q4 2025 start; initial results early 2026.

Execution and timing: Drilling will proceed in phases from the 4090-level pads to optimize hole angles and fan coverage. Pad preparation, services and power/ventilation are being advanced and results will be released in batches once validated by internal QA/QC (quality assurance/quality control) process and the qualified person.

Shafra zone -- defining a gold-rich, bulk-tonnage target

The Mallay mine encompasses several underexplored mineralized systems within reach of the Mallay Ag-Pb-Zn deposit infrastructure, including the Shafra zone, a broad zone of bleached, structurally deformed limestone which hosts documented gold-enhanced silver-lead-zinc mineralization. This Shafra target, a deep-seated intrusive associated bulk tonnage mineralized host will be prioritized in the initial Mallay exploration drill plan. Evidence for the Shafra target comes from surface sampling, study of available core, and interpretation and understanding of local geology and the structure and lithological setting. This includes the presence of a prominent zone of crackle breccia -- the Kelly breccia -- which is spatially associated with a swarm of narrow, near-vertical gold-and-silver-rich base metal carrying veins.

Program: An initial six diamond drill holes (approximately 3,500 m) program is planned to define the limits of the zone and will provide access for a planned deep electromagnetic geophysics (DHEM) geophysical survey, which is intended to provide focused drill targets for subsequent drill programs.

Objectives: Test depth prospectivity to advance Shafra toward an initial resource. DHEM geophysics in Q1 2026 will refine anomalies and guide hole placement for both Shafra and Mallay (Isguiz) Deeps. First results are expected early 2026.

Upcoming catalysts

• Q4 2025: sampling results from Shafra;
• Q4 2025: define NI 43-101 mineral resource estimate (historic data);
• Q4 2025: commence underground drilling at Isguiz and Shafra; geophysics at Shafra;
• H1 2026: drill assay results (Isguiz); initial results (Shafra); progress on staged mill-restart plan.

Qualified person

Paul Keller, PEng, Excellon's chief operating officer and a qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, has reviewed and approved the technical information contained in this release.

About Excellon Resources Inc.

Excellon's vision is to realize opportunities through the acquisition and advancement of quality precious and base metal assets, leveraging an experienced management team for the benefit of its employees, communities and shareholders. The company is focused on the potential restart of the Mallay silver mine in Peru. Excellon also holds a portfolio of exploration-stage projects, including Kilgore, an advanced gold project in Idaho, and Silver City, a high-grade epithermal silver district in Saxony, Germany, and the Tres Cerros gold/silver exploration property in Peru, providing additional growth upside. Additional details on Excellon's properties can be found at the company's website.

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