Mr. Alberto Orozco reports

CAPITAN SILVER ANNOUNCES ARRIVAL OF 4TH DRILL RIG AT THE CRUZ DE PLATA PROJECT

A fourth drill rig has arrived on site at Capitan Silver Corp.'s Cruz de Plata silver-gold project in Durango, Mexico. The newly arrived core rig, which is expected to commence drilling imminently, joins a reverse circulation (RC) rig and two core rigs that are already drilling on the property.

Highlights:

• Drilling activity continues to ramp up as the fourth of four rigs has arrived at Cruz de Plata;
• This new rig is the third of three diamond (core) drill rigs that have joined the existing RC drill rig that has been drilling on the property since March, 2025;
• The additional rigs are part of an aggressive 60,000-metre drilling campaign for 2026, which is the largest drill program in the company's history;
• All three new diamond drill rigs are focused on testing and expanding the high-grade silver zones identified at Cruz de Plata along strike and at depth;
• Catalysts: 61 drill holes pending final assays: (36 core and 25 RC (reverse circulation)).

Newly arrived core rig to test high-grade targets east of Penoles fault, below San Rafael

The newly arrived core rig's immediate focus will be testing high-grade targets east of the Penoles fault, proximal to the historically producing San Rafael area, while providing more information about mineralization intersected in previously reported drill holes 25-ERRC-20, 25-ERRC-32, 25-ERRC-43 and 26-SRRC-08.

The third core rig will also focus on confirming vertical continuity and expanding previously identified broad mineralization encountered by RC drilling in this target area down dip. Target area B is another new, developing high-grade zone and has been interpreted to contain multiple subparallel zones of silver mineralization that remain at an early stage of exploration, with only widely spaced, shallow drilling having taken place.

Testing priority targets in three main areas

While the newly arrived core rig's immediate focus will be on testing Target B, the other core rigs are focused on expanding mineralization deeper at the following targets:

• Target A: Core drilling is focused on expanding recently defined high-grade mineralization immediately to the west of the Penoles fault. Drilling in this area will target mineralization both at depth and down plunge of previously reported holes 25-ERRC-12, 26, 34, 38, 52 and 26-ERDD-08.
• Target C: Core drilling is focused on targeting high-grade silver mineralization on the western end of the Jesus Maria silver trend, including the Gully fault zone, central portions of the Jesus Maria vein and beneath portions of Capitan Hill, and will focus on extending the mineralized envelope deeper, while providing more information about mineralization intersected in previously reported drill holes 21-JMRC-01, 21-JMRC-10 and JM-DDH-13-06.
• RC drilling continues to focus on testing shallow targets along the Jesus Maria silver trend, mainly east of the Penoles fault.

Previously announced drill highlights for Target A include the following.

Drill hole 25-ERRC-12 (see Capitan news release dated Sept. 2, 2025)

• 25-ERRC-12 intersected 2,571.0 grams per tonne AgEq (silver equivalent) over 1.5 metres, within a wider interval of 1,369.3 g/t AgEq over 4.6 m, occurring within a broader zone of 368.1 g/t AgEq over 19.8 m.

Drill hole 25-ERRC-26 (see Capitan news release dated Nov. 11, 2025)

• Upper zone: intersected 612.9 g/t AgEq over 1.5 m, within a broader zone of 155.9 g/t AgEq over 6.1 m;
• Lower zone: intersected 1,767.4 g/t AgEq over 1.5 m, within a broader zone of 1,222.1 g/t AgEq over three m, which is part of a wider interval of 234.2 g/t AgEq over 25.9 m.

Drill hole 25-ERRC-34 (see Capitan news release dated Feb. 2, 2026)

• 25-ERRC-34 intersected 1,130.1 g/t AgEq over 1.5 m, within a broader zone of 240.5 g/t AgEq over 25.9 m.

Drill hole 25-ERRC-38 (see Capitan news release dated Feb. 26, 2026)

• 25-ERRC-38 intersected four separate high-grade structures, including 2,451.1 g/t AgEq over 1.5 m, within a wider interval of 1,283.4 g/t AgEq over 4.6 m, occurring within a broader zone of 683.6 g/t AgEq over 9.1 m;
• 25-ERRC-38 also intersected 1,187 g/t AgEq over 1.5 m, within a wider zone of 194.3 g/t AgEq over 16.8 m.

Drill hole 25-ERRC-52 (see Capitan news release dated April 1, 2026)

• 25-ERRC-52 intersected multiple high-grade silver intercepts, including:
  • 1,450.5 g/t AgEq over 1.5 m, within a broader zone of 1,131.5 g/t AgEq over 3.0 m;
  • 468.3 g/t AgEq over 4.6 m;
  • 574.6 g/t AgEq over 3.0 m;
  • All contained within a broad interval of 211.0 g/t AgEq over 41.1 m.

Drill hole 26-ERDD-08 (see Capitan news release dated May 11, 2026)

• 26-ERDD-08 intersected 934.6 g/t AgEq over 1.3 m, within a wider interval of 157.3 g/t AgEq over 20.0 m.

Previously announced drill highlights for Target B include:

Drill hole 25-ERRC-20 (see Capitan news release dated Oct. 14, 2025)

• 25-ERRC-20 intersected 1,541 g/t AgEq over 1.5 m, within a broader interval of 201.65 g/t AgEq over 18.3 m.

Drill hole 25-ERRC-32 (see Capitan news release dated Feb. 10, 2026)

• 25-ERRC-32 intersected 1,254.8 g/t AgEq over 1.5 m, within a wider interval of 157.3 g/t AgEq over 16.8 m.

Drill hole 25-ERRC-43 (see Capitan news release dated Feb. 26, 2026)

• 25-ERRC-43 intersected multiple broad intervals of silver equivalent mineralization, including 225.3 g/t AgEq over 1.5 m, within a wider interval of 59.3 g/t AgEq over 12.2 m.

Drill hole 26-SRRC-08 (see Capitan news release dated May 11, 2026)

• Upper zone: intersected 213.7 g/t AgEq over 1.5 m;
• Lower zone: intersected 164.2 g/t AgEq over 6.1 m, within a wider interval of 61.8 g/t AgEq over 39.6 m.

Previously announced drill highlights for Target C include the following.

Drill hole JM-DDH-13-06 (completed by a previous operator in 2013, rereported in 2022; see Capitan news release dated Feb. 16, 2022)

• JM-DDH-13-06 intersected 3,567.4 g/t AgEq over 0.9 m, within a wider zone of 381.1 g/t AgEq over 13.7 m.

Drill hole 21-JMRC-01 (see Capitan news release dated Feb. 16, 2022)

• 21-JMRC-01 intersected five separate high-grade intervals, including 1,099.3 g/t AgEq over 1.52 m, 1,267.2 g/t AgEq over 1.52 m, 311.3 g/t AgEq over 3.0 m, 341.6 g/t AgEq over 1.52 m, and 276.9 g/t AgEq over 1.52 m, all within a broader zone of 42.7 m of 207.8 g/t AgEq.

Drill hole 21-JMRC-10 (see Capitan news release dated May 2, 2022)

• Upper zone: intersected 2,250.1 g/t AgEq over 1.5 m, within a broader zone of 447.3 g/t AgEq over 9.1 m, all within a wider interval of 309.8 g/t AgEq over 16.8 m.
• Lower zone: intersected 308.8 g/t AgEq over 7.6 m, within a wider zone of 171.3 g/t AgEq over 13.7 m.

Metal recovery: Ag 94 per cent, Au 86 per cent, Pb 93.5 per cent, Zn 92 per cent

AgEq considers Ag, Au, Pb and Zn, and calculated as follows: AgEq equals Ag g/t plus (80x Au g/t) plus (0.003 multiplied by Pb g/t) plus (0.0037 multiplied by Zn g/t). High grades have not been capped. RC (reverse circulation) and diamond core drill samples have been analyzed at SGS labs in Durango using fire assay and four-acid multielement analysis with the following codes: GE-FAA30V6 and GEICP40Q12, with over assays using the following codes: GO_FAG37V for Au and Ag. QA/QC (quality assurance/quality control): Capitan Silver maintains a rigorous QA/QC program and inserts multiple standards, blanks and duplicates into the sample stream at regular intervals. Check assays are performed at ALS laboratories in Zacatecas, Mexico. True widths along the Jesus Maria trend are estimated to be 70 to 90 per cent of the drilled width. At new drill targets/discoveries, true widths are unknown. Intervals are calculated at a 25 g/t AgEq cut-off and are cut at a maximum of three metres of internal dilution. Some numbers may not sum correctly due to rounding.

Qualified person

The scientific and technical information in this news release has been reviewed and approved by Marc Idziszek, PGeo, vice-president of exploration of Capitan, and a qualified person (with the meaning of National Instrument 43-101 -- Standards of Disclosure for Mineral Projects).

About Capitan Silver Corp.

Capitan Silver is defining a new high-grade silver system at its Cruz de Plata project, located in the heart of Mexico's primary silver belt. The company is led by a proven and accomplished management team that has previously advanced three projects into production, on time and on budget. The company has been diligent in maintaining a tight share structure and has one of the tightest share structures among its peer group, with the top-three shareholders owning approximately 37 per cent of the company's share capital. Capitan Silver is fully financed and actively drilling at its Cruz de Plata silver project.

We seek Safe Harbor.