Mr. Lawrence Page reports

SOUTHERN SILVER ACQUIRES RIGHT TO PURCHASE KEY MINING CLAIM CONTIGUOUS TO ITS CERRO LAS MINITAS PROPERTY IN DURANGO, MEXICO

Southern Silver Exploration Corp. has reached an agreement to acquire the Puro Corazon mining claim located contiguous to its 100-per-cent-owned Cerro Las Minitas project from an arm's-length third party.

The Puro Corazon mine, which is operated privately, is currently mining approximately 60 tonnes of ore per day and produces a silver-lead concentrate and a zinc concentrate. Southern Silver will be incorporating Puro Corazon into the much larger Cerro Las Minitas project to unlock significant capital and operating synergies. Southern Silver intends to immediately commence a 12,000-metre infill drilling program at Puro Corazon and then, in the first quarter of 2026, commence preparation of an updated technical report and preliminary economic assessment (PEA) in accordance with the provisions of National Instrument 43-101.

Key transaction highlights:

• Strong potential for near-term resource growth -- infill drilling program to support incremental resource additions for the consolidated Cerro Las Minitas project;
• Capital efficiency gains -- opportunity to improve capital efficiency through faster access to higher-value mineralization while avoiding development around the Puro Corazon mining claim;
• Enhanced mine plan sequencing -- incorporating Puro Corazon material early in the mine plan, given its near-surface and high-grade characteristic, is anticipated to strengthen project economics;
• Improved project economics -- combination of capital efficiencies, optimized sequencing and potential throughput increases resulting in potential improvements to NPV (net present valyue) and IRR (internal rate of return);
• Additional benefits -- potential synergies and efficiencies across permitting, environmental management, safety and data collection.

Lawrence Page KC, president of Southern Silver, said: "The acquisition of Puro Corazon will allow us to derisk and accelerate the development of Cerro Las Minitas in a capital-efficient manner, with significantly enhanced production profile and economics."

Robert Macdonald, vice-president of exploration, said: "I am excited about the opportunity to begin drilling at Puro Corazon, with numerous high-grade, near-surface targets already identified. We have significant historic data from Puro Corazon that will guide exploration and the results of which will be incorporated into an updated PEA, and I am confident that we will be able to add significant value to the Cerro Las Minitas project."

The company has been granted the right to acquire the Puro Corazon mining claim from an arm's-length vendor in consideration for a series of cash payments to be made over a 40-month period following the entering into of a definitive assignment agreement with the vendor. The acquisition does not involve the issuance of any securities of the company.

About Southern Silver Exploration Corp.

Southern Silver Exploration is an exploration and development company with a focus on the discovery of world-class mineral deposits either directly or through joint venture relationships in mineral properties in major jurisdictions. The company's specific emphasis is the 100-per-cent-owned Cerro Las Minitas silver-lead-zinc project, located in the heart of Mexico's Faja de Plata, which hosts multiple world-class mineral deposits such as Penasquito, Los Gatos, San Martin, Naica and Pitarrilla. Southern Silver has assembled a team of highly experienced technical, operational and transactional professionals to support the company's exploration efforts in developing the Cerro Las Minitas project into a premier, high-grade silver-lead-zinc mine. Located in the same state as the Cerro Las Minitas property is the newly acquired Nazas property. Southern Silver's property portfolio also includes the Oro porphyry copper-gold project and the Hermanas gold-silver vein project, where permitting applications for the conduct of a drill program is under way, both located in southern New Mexico, United States.

Robert Macdonald, MSc, PGeo, is vice-president of exploration for Southern Silver Exploration and a qualified person as defined by National Instrument 43-101. He supervised directly the collection of data from the Cerro Las Minitas project that is reported in this disclosure and is responsible for the presentation of the technical information in this disclosure.

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