Mr. Lawrence Page reports

SOUTHERN SILVER CLOSES FIRST TRANCHE OF PREVIOUSLY ANNOUNCED NON-BROKERED LIFE PRIVATE PLACEMENT

Southern Silver Exploration Corp. has closed the first tranche of its previously reported non-brokered private placement by issuing 4,000,181 common shares of the company at a price of 55 cents per share for gross proceeds of $2,200,099.55.

In accordance with National Instrument 45-106, Prospectus Exemptions, the shares were sold to Canadian purchasers pursuant to the listed issuer financing exemption under Part 5A of NI 45-106, as amended by Coordinated Blanket Order 45-935, Exemptions from Certain Conditions of the Listed Issuer Financing Exemption, and sold in offshore jurisdictions. The shares are immediately freely tradeable in accordance with applicable Canadian securities legislation.

There is an amended and restated offering document related to this offering that can be accessed under the company's profile on SEDAR+ and on the company's website.

In connection with the first tranche closing, the company paid aggregate finders' fees of $132,005.97 and issued 240,010 non-transferable common share purchase warrants, with each finder's warrant exercisable to purchase one share at a price of 70 cents for a period of 36 months. The finders' warrants and the shares issuable upon the exercise of the finders' warrants carry a legend restricting trading of the securities until Oct. 13, 2026. The closing of the offering remains subject to the final approval of the TSX Venture Exchange.

Proceeds of the offering will be used for the advancement of the Cerro Las Minitas project, as well as for working capital and general corporate purposes. Advancement of Cerro Las Minitas includes infill drilling of up to 12,500 metres (m) in phase 1 with the objective of upgrading the resource classification of a subset of near-surface, high-grade mineralization in the Puro Corazon target, which will allow greater optionality for potential development of the project. Other work will include an update of the mineral resource estimate based on the most recent drilling at Puro Corazon, scheduled for Q2 (second quarter) 2026 and the advancement of several engineering opportunities identified in the 2024 preliminary economic assessment (PEA) of the project.

As currently modelled, the Cerro Las Minitas project features a large-scale underground mining operation with robust project economics and high gross revenues in a well-located and mining-friendly jurisdiction. Recent drill testing of the Puro Corazon claim continues to demonstrate a potential for near-term resource growth, capital and mining efficiency gains in modelled mining scenarios and overall improvements in modelling of the project.

About Southern Silver Exploration Corp.

Southern Silver Exploration is an exploration and development company with a focus on the discovery of mineral deposits either directly or through joint venture relationships in mineral properties in major jurisdictions. The company's specific emphasis is developing the 100-per-cent-owned Cerro Las Minitas silver-lead-zinc project, located in the heart of Mexico's Faja de Plata, which hosts multiple world-class mineral deposits such as Penasquito, Los Gatos, San Martin, Naica and Pitarrilla. The company has assembled a team of highly experienced technical, operational and transactional professionals to support its exploration efforts in developing the Cerro Las Minitas project into a premier, high-grade, silver-lead-zinc mine. Located in the same state as the Cerro Las Minitas property is the Nazas gold-silver property. The company's property portfolio also includes the Oro porphyry copper-gold project and the Hermanas gold-silver vein project. Drill permits for the Hermanas project have been received and work is pending finalization of a work program and drill availability, both located in southern New Mexico.

Robert Macdonald, MSc, PGeo, is an officer of Southern Silver Exploration and is a qualified person as defined by National Instrument 43-101. Mr. Macdonald directly supervised the collection of the technical data from the Cerro Las Minitas project and has reviewed and approved the technical information within this news release.

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