Mr. Jorge Monroy reports

AI-OPTIMIZED GEOPHYSICS HIGHLIGHTS DRILL TARGET AT REYNA SILVER'S GUIGUI

Reyna Silver Corp. has released results from ExploreTech's artificial intelligence (AI) optimization of existing geophysical data from the Guigui project in Chihuahua, Mexico. ExploreTech's proprietary AI algorithms highlight a strong, multilayered magnetic anomaly southeast of the 0.5-square-kilometre sulphide-mineralized skarn footprint identified in 2022 drilling (see press release from April 7, 2022). The results reinforce existing geological thinking that the intrusive source for the district lies in that area and greatly enhance the area's potential. Pads to drill the target are already permitted and accessible.

The Guigui project covers the southern part of the Santa Eulalia district -- one of the world's largest carbonate replacement deposits (CRDs) with over 500 million ounces of historical silver production. Reyna's CRD exploration model indicates that the intrusive source and proximal mineralized skarn for the system remain to be found, and ExploreTech's AI approach to modelling the existing geophysics is specifically designed to augment surface-based geological work to locate that intrusive source beneath extensive, but thin, premineral volcanic rock cover.

ExploreTech's platform first uses AI to identify and locate where a geophysical anomaly actually is and then design the optimum hole geometry to hit it. The first step searches a geophysical survey data set and calculates thousands of possible explanations for anomalies measured at the surface. For CRDs, the search focuses on solutions most likely to be caused by a source intrusion. This process generates thousands of candidate models that the program then evaluates in three dimensions to determine the optimal drilling trajectory to pierce as many of these potential intrusion-related anomalies as possible.

ExploreTech's use of AI to reveal and reinforce target anomalies in existing geophysical data sets appears to be a significant new exploration tool and Reyna intends to apply it to the extensive existing data sets for its Gryphon Summit and Medicine Springs CRD projects in Nevada.

"We are delighted with the strength and coherence of the anomaly ExploreTech has modelled in the part of Guigui where we've been homing in on the source intrusion for the Santa Eulalia district, and we really look forward to drilling their optimized hole," said Jorge Ramiro Monroy, chief executive officer of Reyna Silver. "The results already make a compelling case to immediately apply their AI approach to our new geophysics (AMT) from Medicine Springs and the treasure trove of geophysics that we inherited with Gryphon."

"What really gets my attention, beyond the strength and coherence of the target generated by ExploreTech's cutting-edge AI approach to the geophysics, is the fact that it highlights a target that our project geologist, Rene Ramirez, has been championing for several years," said Dr. Peter Megaw, chief exploration adviser to Reyna Silver. "Exploring through cover is not easy, so having this kind of tool to combine with boot-leather geology and sharpen our targeting at Guigui and our Nevada projects may be an important exploration advance across the board."

The ExploreTech partnership with Reyna Silver highlighted an area of interest, entirely covered by altered premineral volcanics, lying southeast of the centre of the previous drilling (see press release from April 7, 2022). Reyna had data from two previous geophysical surveys over the area, so applying ExploreTech's cutting-edge xFlare program to this blind target was an ideal opportunity to sharpen and derisk the target. xFlare AI makes multiple model runs on the data, varying parameters between runs to generate a range of model solutions. These are then combined and the best-fitting models stack into clusters representing the tightest approximation of where the anomaly lies. Once this is accomplished, the program designs a drill hole that passes through the centres of as many of the individual anomalies as possible, again enhancing the ability to reliably test whatever feature is creating the anomaly.

The result of this process at Guigui is a magnetic anomaly lying 1,000 to 1,200 metres deep, 400 to 800 metres southeast of the 0.5 by 1.25 km area where previous drilling encountered sulphide-mineralized skarn (see press release from April 7, 2022). This is very close to where the previous drilling and Reyna's exploration model suggest a strong candidate for where the source intrusion should lie. The DrillerAPI subroutine of xFlare shows a high probability of intersecting the magnetic anomaly with a 1,500 m hole drilled from a previously permitted pad.

Application of ExploreTech modelling to Nevada properties

Reyna recently ran an aerial magnetotelluric (MT) survey at Medicine Springs that revealed a conductive anomaly underlying the altered and silicified carbonates that yielded the strongest surface copper geochemical anomaly in the project area. This combination of anomalies is interpreted as reflecting a possible intrusive centre hidden under alluvial cover just northeast of the reconnaissance drilling area (see press release from Nov. 8, 2023). The parallels between the source intrusion targets at Guigui and Medicine Spring make applying ExploreTech's approach here a logical next step.

Reyna's Gryphon Summit gold, silver and critical metals project came with 39 kilometres of induced polarization, 17 kilometres of controlled-source audio-frequency magnetotellurics and natural-source audio-frequency magnetotellurics, gravimetric, hyperspectral, and lidar-like surveys. ExploreTech's capability to quickly process large data sets like these will enable Reyna Silver's technical team to optimize the incorporation of these geophysics data sets for its 2024 drilling program. The targets will focus on the intrusion-centred porphyry-CRD mineralization and the Carlin-type mineralization that previous work indicates overlap on the property (see press release Nov. 29, 2023).

Qualified person

Dr. Megaw, PhD, CPG, the company's chief exploration adviser and qualified person, reviewed the technical aspects of the exploration projects described herein and is responsible for the design and conduct of the exploration program and the verification and quality assurance of analytical results. Dr. Megaw is not independent as he and/or companies with which he is affiliated hold net smelter royalties on the Guigui and Batopilas projects that predate Reyna Silver acquiring them.

About Reyna Silver Corp.

Reyna Silver is a growth-oriented junior exploration and development company focused on exploring for high-grade, district-scale silver deposits in Mexico and the United States.

Reyna's principal properties are the Guigui and Batopilas properties in Chihuahua, Mexico. Guigui covers the interpreted source area for the Santa Eulalia district and Batopilas covers most of Mexico's historically highest-grade silver system. The company also has an option to acquire 100 per cent of the Medicine Springs property in Nevada, U.S., as well as the early-stage La Durazno and Matilde and La Reyna mineral properties in Mexico.

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