Mr. James Anderson reports

GUANAJUATO SILVER TAKES ADVANTAGE OF FAVOURABLE PRICING TO FURTHER ACCELERATE GOLD LOAN REPAYMENT

Guanajuato Silver Company Ltd. has made an additional accelerated partial repayment of the company's gold loan with Ocean Partners U.K. Ltd. The company took advantage of lower spot gold prices, as well as an early payment discount, to repay 1,448.7 ounces of gold at a gold price of $3,830 (U.S.) per ounce. This payment represents all 11 monthly gold loan repayments that remained outstanding.

The only remaining obligation is a final bullet payment of 2,365.8 ounces of gold which would be owing upon the gold loan's maturity date in April, 2028 (see GSilver news release dated May 14, 2026). The gold loan with Ocean Partners is the sole debt obligation currently held by the company, which at the current spot price has a mark-to-market value of approximately $10.2-million (U.S.).

James Anderson, chairman and chief executive officer, said: "Following on the heels of last month's accelerated debt repayment, we have again strengthened our balance sheet by taking advantage of the recent pullback in the price of gold to substantially reduce our only outstanding debt obligation. Furthermore, this portion of the gold loan has been extinguished at a significant discount to the current gold spot price. We thank Ocean Partners for their continued willingness to constructively work with Guanajuato Silver to provide solutions that allow for further growth."

We seek Safe Harbor.