Mr. Peter Ball reports

SILVER HAMMER COMMENCES DRILLING AT ITS 100% OWNED SILVERTON PROJECT IN NEVADA

Silver Hammer Mining Corp. has commenced drilling at its 100-per-cent-controlled Silverton project in Nye county, Nevada. The phase 1 exploration drill program will be composed of approximately 5,000 feet of reverse circulation holes. The company also completed a project-wide mapping and sampling exercise at Silverton in November, 2025, with assays pending, which will assist in the current drill program.

"The drill rig arrived on site on Dec. 3, 2025. We have now commenced drilling to test below the high-grade Silverton underground workings, which previously operated close to 80 years ago at grades up to 933 g/t Ag. The phase 1 drill program will be focused initially on testing our priority targets," commented Peter A. Ball, president and chief executive officer. "The company is actively reviewing its other projects for 2026. Our team recently spent time on the ground at the California mine patent claim. The California patent is located entirely within the Eliza silver project claim block and is close to having its plan of operations permit finalized for 2026 drilling. With the price of silver exceeding $58 per ounce, we look forward to a busy winter ahead and appreciate our shareholders' patience and support."

Silverton project, Nevada

Silver Hammer has identified several targets at its Silverton project and currently has multiple drill targets identified. The company's technical team has ranked and prioritized the key targets at Silverton designed to initially test the mineralized area proximal to, and under, the historic high-grade, near-surface mine workings with up to eight reverse circulation drill holes, totalling up to 5,000 feet. The drill program is designed to test primarily for downdip continuity of the high-grade silver mineralization previously mined in the 1930s and 1950s.

Previous company exploration work, including rock and soil sampling, geologic mapping, and satellite imagery, provided evidence for two separate mineralized systems: an eastern, gold-dominant system and a western, silver-dominant system. Prior exploration on the volcanic-hosted, gold system returned grades ranging from 0.06 gram per tonne to 6.1 g/t gold. The silver dominated mineral system is hosted by silicified limestone with grades ranging from 0.32 g/t silver to 692 g/t Ag, from company exploration work (please refer to the company's press release dated Nov. 29, 2021, for previous disclosure).

Silver was discovered at the Silverton mine in 1921. Small-scale production is recorded from the 1930s, and the mine produced its last shipment in 1953, totalling fewer than 100,000 tons, with historic production grades ranging from 300 g/t Ag to 933 g/t Ag. In addition to the identified 100-foot shaft and underground workings (five known adits), the area to the west and the north of the mine shaft has been the subject of only surface exploration composed of numerous small test pits and trenches. In situ rock samples by the company (chip and channel) returned silver grades, up to 692 g/t Ag, with a further six samples having returned over 100 g/t Ag, from this Central zone from past mining, pitting and trenching. The Central zone measures approximately 1,000 feet in diameter.

The Silverton mine silver project is situated within the Williams Ridge caldera near its eastern rim. The caldera is a large-scale structure, over 30 miles in diameter, with ring faults, radial faults and low-angle faults providing ample conduits for hydrothermal solutions following the Tertiary eruption of rhyolitic magmas, forming ash flow tuffs within the caldera structure. The lithologic unit overlying the caldera magma chamber was thick Devonian sedimentary units, predominantly dolomite, with intercalated arenite, a setting which may be prospective for carbonate replacement deposit type mineral occurrence in the carbonate and epithermal type in the tuff units.

Alteration noted in area has been mapped as pervasive weak silicification in the Devonian-aged carbonate units and weak argillic in the Tertiary-aged tuffs. Alteration intensifies in two areas of the property in the vicinity of mapped faults and shears:

• In the western portion of the property, in the Central zone, in proximity of the intersection of the north-south Silverton and the east-west Basin faults, silicification comprises veins, zones of stockwork and occurrences of jasperoid with significant silver mineralization -- the primary drill target.
• In the eastern portion of the property, an area of quartz veinlets and extensive jasperoid alteration with gold mineralization forms a secondary exploration target.

Qualified person

The scientific and technical aspects of this press release have been reviewed and approved under the supervision of Damir Cukor, PGeo. Mr. Cukor is a qualified person under National Instrument 43-101 (Standards of Disclosure for Mineral Projects) and a consultant for the company as technical director -- projects.

About Silver Hammer Mining Corp.

Silver Hammer is a junior resource company focused on advancing past-producing high-grade silver projects in the United States. Silver Hammer controls 100 per cent of seven previously producing silver mines, which are located within the Silver Strand project in the Coeur d'Alene mining district in Idaho, United States, and within the Eliza silver project and the Silverton silver mine in Nevada. The company also controls the Fahey group silver project in the Silver Valley, Idaho, and the Lacy gold project in British Columbia, Canada. Silver Hammer's primary focus is to explore, define and develop silver projects near past-producing mines that have not been adequately tested. The company's portfolio also provides exposure to copper and gold.

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