Mr. Greg McKenzie reports

SILVER STORM CLOSES FIRST TRANCHE OF BROKERED LIFE FINANCING FOR GROSS PROCEEDS OF $10,541,050, INCLUDING INVESTMENT BY ERIC SPROTT

Silver Storm Mining Ltd. has closed the first tranche of its previously announced best efforts brokered private placement for total gross proceeds of $10,541,050, which includes the partial exercise of the agents' option. Under the offering, the company sold 81,085,000 units of the company at a price of 13 cents per unit. Red Cloud Securities Inc. is acting as lead agent and bookrunner for the offering, and Ventum Financial Corp. is acting as co-agent. The offering was originally announced on June 20, 2025, and subsequently updated on June 29, 2025, and June 30, 2025.

The first tranche included a $1,001,000 investment from current significant shareholder by Eric Sprott, through 2176423 Ontario Ltd., a corporation that is beneficially owned by him.

Each unit consists of one common share of the company and one common share purchase warrant. Each warrant entitles the holder to purchase one common share at a price of 20 cents at any time on or before that date that is 36 months from the date of issuance.

The units were issued to Canadian purchasers pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106, Prospectus Exemptions, and in reliance on the Coordinated Blanker Order 45-935, Exemptions From Certain Conditions of the Listed Issuer Financing Exemption. The unit shares and warrant shares underlying the units are not subject to any hold period under applicable Canadian securities legislation if sold to purchasers resident in Canada. The units sold under the offering to offshore and purchasers in the United States were sold in accordance with OSC Rule 72-503, Distributions Outside Canada. The units sold to purchasers in the United States will be made on a private placement basis pursuant to one or more exemptions from registration requirements of the United States Securities Act of 1933, as amended.

The company intends to use the net proceeds from the offering for: (i) the procurement of mine processing flotation cells; (ii) to commence rehabilitation work of the La Parrilla processing facility, including equipment purchase and refurbishment, labour and supplies; (iii) to order long-lead items, including deposits on mining equipment and ventilation fans; (iv) to finance continuing operations for the next 12 months; and (v) for general corporate and working capital purposes, all as further detailed in the amended and restated offering document (as hereinafter defined).

There is an amended and restated offering document relating to the offering dated May 30, 2025, that can be accessed under the company's profile on SEDAR+ and on the company's website. Prospective investors in the offering should read the amended and restated offering document before making an investment decision.

As consideration for their services in the first tranche of the offering, the agents and Harbourfront Wealth Management LLC received an aggregate cash payment of $540,735 and 4,159,500 non-transferable common share purchase warrants. Each broker warrant is exercisable into one common share of the company at the offering price for a period of 36 months from the date of issuance.

The offering remains subject to the final approval of the TSX Venture Exchange. The remaining offering amount of up to $1,470,950 from the sale of up to 11,315,000 units at the offering price has been allocated to subscribers and the company is expecting to close the final tranche of the offering within the coming days.

Mr. Sprott, through 2176423 Ontario, a corporation that is beneficially owned by him and that holds greater than 10 per cent of the company's common shares, subscribed for 7.7 million units in the first tranche of the offering for an aggregate purchase price of $1,001,000. The insider participation will be considered a related party transaction within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company expects to rely on exemptions from the formal valuation and minority shareholder approval requirements provided under MI 61-101 pursuant to Section 5.5(a) and Section 5.7(1)(a) of MI 61-101, on the basis that the insider participation does not exceed 25 per cent of the fair market value of the company's market capitalization. The company did not file a material change report in respect of the insider participation at least 21 days before expected closing date of the offering as the insider participation was not confirmed prior to the foregoing period.

About Silver Storm Mining Ltd.

Silver Storm holds advanced-stage silver projects located in Durango, Mexico. In 2023, Silver Storm acquired 100 per cent of the La Parrilla silver mine complex, a prolific past-producing operation comprising a 2,000-tonne-per-day (tpd) mill, as well as five underground mines and an open pit that collectively produced 34.3 million silver equivalent ounces between 2005 and 2019. The company also holds a 100-per-cent interest in the San Diego project, which is among the largest undeveloped silver assets in Mexico.

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