Mr. Jed Richardson reports

SAFI SILVER RECEIVES SECOND QUARTERLY PAYMENT OF US $3 MILLION FROM HORIZON UNDER KOMBAT MINE TRANSACTION

Safi Silver Corp. has received the second scheduled quarterly payment from Horizon Corp. Ltd. pursuant to the previously announced sale of the company's interest in the Kombat mine in Namibia (please see the company's press release dated Dec. 23, 2025, for further details regarding the transaction).

The quarterly payment of $3-million (U.S.) was received on schedule and in accordance with the terms of the transaction, representing the second of eight quarterly payments to be made by Horizon to the company. The transaction is expected to provide Safi with a predictable source of non-dilutive capital while preserving meaningful long-term upside through the retained royalty and contingent consideration associated with the Kombat mine.

"Receiving this second payment on schedule demonstrates Horizon's continued commitment to the transaction and further strengthens Safi's financial position," commented Jed Richardson, president and chief executive officer of Safi Silver. "The proceeds allow us to continue advancing our strategy without shareholder dilution while maintaining exposure to the future success of Kombat. As we continue to execute our exploration plans in Morocco, we believe Safi is well positioned to create long-term value for shareholders."

Dr. Andreas Rompel, chief exploration officer, commented: "The Addana exploration program continues to progress well. We are encouraged by the pace of drilling and look forward to sharing the first analytical results with the market in the coming weeks."

While the Horizon transaction remains an important source of financing, the company's exploration activities continue to advance at its flagship Addana silver project in Morocco. Core from the first two drill holes has been submitted to the analytical laboratory for assay, and drilling is currently under way on the fourth hole of the company's maiden drill program. Assay results will be released as they become available.

Safi will continue to provide updates as additional Horizon payments are received and as exploration milestones are achieved at Addana.

Qualified person

The scientific and technical information contained in this news release has been reviewed and approved by Dr. Rompel, (Pr.Sci.Nat., FSAIMM)., chief exploration officer of Safi Silver, who is a qualified person as defined under National Instrument 43-101 -- Standards of Disclosure for Mineral projects. Dr. Rompel is not considered independent of the company.

Extension of warrants

Further to the company's press release dated June 30, 2026, the TSX Venture Exchange has approved the extension of the expiry date of 2.5 million Safi common share purchase warrants from July 12, 2026, to Dec. 31, 2026.

About Safi Silver Corp.

Safi Silver is a publicly traded Canadian exploration and development company with a core focus on copper and silver holdings in mining-friendly African jurisdictions. In Morocco, the company is advancing two exploration projects: Addana, which hosts silver-bearing polymetallic veins, and Silver Hill, a sedimentary copper prospect undergoing evaluation. In Namibia, Safi Silver holds the Kalahari copper-belt project.