Mr. Graeme O'Neill reports

BAYHORSE SILVER CLOSES SHARES FOR DEBT SETTLEMENT

Bayhorse Silver Inc., further to its news release dated Sept. 10, 2025, has now received TSX Venture Exchange approval of the proposed settlement of indebtedness owed indirectly to an officer of the company. Wiklow Corporate Services Inc. settled $56,114 for an aggregate of 1,402,850 common shares at a price of four cents per share. Wiklow is beneficially owned by Donna Moroney, corporate secretary of the company.

The issuance of the debt settlement shares to Wiklow constitutes a related party transaction under Multilateral Instrument 61-101. The company is exempt from the MI 61-101 valuation and minority approval requirements for related party transactions in connection with the share-for-debt transaction under sections 5.5(a) and 5.7(1)(a) of MI 61-101 as neither the fair market value (as determined under MI 61-101) nor the fair market value of the consideration for the transaction exceeds 25 per cent of the company's market capitalization (as determined under MI 61-101).

Securities issued under the shares for debt are subject to a hold period expiring on March 1, 2026.

About Bayhorse Silver Inc.

Bayhorse Silver is an exploration and production company with a 100-per-cent interest in the historic Bayhorse silver mine, located in Oregon, with a National Instrument 43-101 inferred resource of 292,300 tons at a grade of 21.65 ounces per ton (oz/t) (673 grams per tonne (g/t)) for 6.3 million ounces of silver (Turner et al. 2018), and the Pegasus project, a highly prospective porphyry copper prospect, in Washington county, Idaho. The Bayhorse silver mine and the Pegasus project are 44 kilometres southwest of Hercules Metals' porphyry copper discovery. The Bayhorse mine is a minimum environmental impact facility capable of processing at a mining rate up 200 tons per day that includes a state-of-the-art 40-ton-per-hour Steinert ore sorter that reduces waste rock entering the processing stream by up to 85 per cent. The company has established an up-to-60-ton-per-day mill and standard flotation processing facility in nearby Payette county, Idaho, with an offtake agreement in place with Ocean Partners U.K. Ltd. The company has an experienced management and technical team with extensive mining expertise in both exploration and building mines.