Mr. Eric Vanderleeuw reports

ZACATECAS SILVER INCREASE PRIVATE PLACEMENT TO $3.75 MILLION

Zacatecas Silver Corp. has increased its previously announces private placement financing from 41,666,666 units to 62.5 million units at a price of six cents per unit for gross proceeds of up to $3.75-million.

Each unit will consist of one common share and one common share purchase warrant, with each warrant exercisable at 10 cents per share for a period of two years from the date of issue. The company has the right to accelerate the expiry date if, at any time, the volume weighted average price of the shares on the principal exchange or market on which the shares trade is equal to or greater than 20 cents for 20 consecutive trading days. In the event of acceleration, the expiry date will be accelerated to a date that is 30 days after the company issues the acceleration notice through a news release, provided that the acceleration notice is issued within 10 business days after the end of the particular 20-day period.

The company may pay finders fees of cash and/or share purchase warrants. The securities issued under the offering will be subject to restrictions on resale for a period four months from the date of issue.

The proceeds of the offering will be used to finance a drilling campaign on the Zacatecas silver project, strategic initiatives and working capital purposes. The offering is subject to the acceptance of the TSX Venture Exchange.

About Zacatecas Silver Corp.

The company has two key projects: the Esperanza gold project in Morelos state, Mexico; and the Zacatecas silver project in Zacatecas state, Mexico.

Esperanza is an advanced-stage, attractive low-cost, low-capital-intensity and low-technical-risk growth project located in Morelos state, Mexico. Alamos has progressed the project through advanced engineering, including metallurgical work, while also focusing on stakeholder engagement, including building community relations. The company announced a mineral resource estimate at Esperanza consisting of a measured and indicated mineral resource estimate of 30.5 million tonnes at 0.97 gram per tonne (g/t) gold equivalent (AuEq) for 956,000 ounces AuEq, and an inferred mineral resource estimate of 8.7 million tonnes at 0.98 g/t AuEq for 277,000 ounces AuEq (see news release dated Nov. 16, 2022).

The Zacatecas silver project is located in Zacatecas state, Mexico, within the highly prospective Fresnillo silver belt, which has produced over 6.2 billion ounces of silver. The company holds 7,826 hectares (19,338 acres) of ground that is highly prospective for low-sulphidation and intermediate-sulphidation silver base metal mineralization and potentially low-sulphidation gold-dominant mineralization. The company announced a mineral resource estimate at the Panuco deposit consisting of 2.7 million tonnes at 187 g/t silver equivalent (AgEq) (171 g/t silver (Ag) and 0.17 g/t gold (Au)) for 16.4 million ounces AgEq (15 million ounces silver and 15,000 ounces gold) (see news release dated Dec. 14, 2021).

The property is 25 kilometres (km) southeast of MAG Silver Corp.'s Juanicipio mine and Fresnillo PLC's Fresnillo mine. The property shares common boundaries with Pan American Silver Corp. claims and El Orito, which is owned by Endeavour Silver.

We seek Safe Harbor.