Mr. John Lee reports

SILVER ELEPHANT CLOSES FIRST TRANCHE OF NON-BROKERED PRIVATE PLACEMENT FOR GROSS PROCEEDS OF $565,000

Further to the news release dated Jan. 19, 2026, Silver Elephant Mining Corp. has closed the first tranche of its non-brokered private placement, raising gross proceeds of $565,000 through the sale of 2.26 million units at a price of 25 cents per unit. Each unit consists of one common share of the company and one share purchase warrant with each warrant entitling the holder to purchase one additional share at a price of 32 cents per share for a period of three years from issuance.

In connection with the private placement, the company issued 21,000 finders' units to eligible finders. The finders' warrants underlying the finders' units have the same terms and conditions as the warrants comprising the units.

A 10-per-cent insider of the company and an officer of the company participated in the private placement for an aggregate total of 210,000 units, which participation constitutes a related-party transaction within the meaning of Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The company relied on exemptions from the formal valuation and minority shareholder approval requirements provided under sections 5.5(a) and 5.7(a) of MI 61-101 on the basis that the insider participation in the private placement did not exceed 25 per cent of the fair market value of the company's market capitalization. The company will file a material change report in respect of the related-party transaction.

The securities issued under the private placement will be subject to a regulatory hold period of four months plus one day from the date of issue. Proceeds of the private placement are expected to be used for general corporate purposes. The second and final tranche of the private placement is expected, subject to regulatory approval, to close on or around Jan. 27, 2026.

About Silver Elephant Mining Corp.

Silver Elephant is a mineral exploration company focused on the development of its silver-lead-zinc project in Bolivia.

We seek Safe Harbor.