Bayhorse Silver - XRF Analysis of Bayhorse Silver Mine Flotation Concentrate Samples Shows Significant Contained Silver/Copper/Antimony/Zinc

The most recent news release from October 20, 2025, reports the XRF field analysis results of flotation concentrate samples from the Bayhorse Silver Mine's development material. The analysis showed high grades of several metals: 135 ounces per ton silver, 20.6% copper, 19.5% antimony, and 40.3% zinc. The Company has stockpiled 22 tons of this concentrate.

The samples have been sent to Allihies Engineering for testing using their proprietary antimony leaching technology, aiming to make all metals payable. CEO Graeme O'Neill expressed pleasant surprise at the recovery percentages but emphasized that these results are from development material and "not representative of what we will actually be mining." The Company plans to mill another 100 tons of sorted development material and aims to install a pilot leaching system at the Bayhorse Mill based on the leach testing results.

Crucially, the news includes significant disclaimers: XRF field analysis requires confirmation by lab analysis, development material is not representative of run-of-mine ore, and the Company is not basing any production decisions on a feasibility study.

This news is a routine positive update that provides early-stage indicative grades for a concentrate derived from non-representative development material. It confirms the Company's proactive steps in metallurgical testing, building upon the "Material - Positive" news from October 16, 2025, which announced the submission of samples for antimony leach testing. The very high grades reported by the XRF analysis for silver, copper, antimony, and zinc in the concentrate are encouraging for the potential value of future production, especially if the Allihies leaching technology proves successful in making these metals payable.

However, the impact is significantly tempered by the explicit and extensive disclaimers. The results are from development material, which the CEO himself states is "not representative" of actual mining. Furthermore, XRF results require lab confirmation, and any production decision is not based on a feasibility study. These cautions are critically important for investors and highlight the preliminary nature of the findings. The primary material positive step was the initiation of testing on a promising leach technology (October 16 news), which these XRF results now support. But these are preliminary results of that testing process, not a definitive step towards production or a validated resource upgrade.

From a financial perspective, the Company continues to operate with negative working capital, reported at -$1,161,265 as of June 30, 2025. While the Company recently closed a $1 million private placement (September 2025) and received $718,000 from an ore sorter rental (September 2025), these funds are being allocated to drilling, permitting, and general administrative expenses, highlighting the ongoing need for capital for development activities rather than being free cash flow from current operations. The goal of installing a pilot leaching system, while positive for future potential, also implies further capital expenditure before commercial production.

Given the strong caveats and the fact that these are initial, non-JORC/NI 43-101 compliant grades from development material, this news, while directionally positive, does not materially alter the Company's risk profile or valuation in the immediate term. It reinforces the ongoing efforts but does not represent a "game changer" or a "material positive" step that fundamentally de-risks the project or confirms economic viability beyond what was established by the October 16 news.

Bayhorse Silver Inc. is a Canadian exploration and development company focused on precious and critical metals. Its primary assets are the 100% owned Bayhorse Silver Mine in Oregon, USA, and the adjacent Pegasus porphyry copper/silver prospect in Washington County, Idaho, USA.

The Bayhorse Silver Mine is an historic mine known for high-grade silver, copper, antimony, and zinc mineralization. The Company has established a NI 43-101 inferred resource of 292,300 tons at a grade of 21.65 oz/t (673 g/t) for 6.3 million ounces of silver. Operations are currently focused on reopening the mine, which involves completing the full mine operating permit application with Oregon's Department of Geology and Mining Industries (DOGAMI). Key infrastructure includes a Steinert KSS100 ore-sorter (which reduces waste rock by up to 85%) and a wholly-owned 60 ton/day flotation mill in Payette, Idaho. The mine aims for an up to 200 tons/day mining rate, producing 20-50 tons/day of preconcentrate for the mill. An offtake agreement is in place with Ocean Partners UK Limited for silver/copper concentrate, recently renewed with a proposed shipping volume of 400 tons. The Company has highlighted the presence of antimony and copper as critical minerals in its concentrate, adding to the project's economic potential.

The Pegasus Project is a porphyry copper/silver prospect located adjacent to the Bayhorse Silver Mine. Exploration efforts are focused on identifying porphyry copper and Bayhorse-style silver mineralization. Geophysical surveys (VTEM, IP) have identified large low-resistivity anomalies and strong magnetic signatures, which are being followed up with geological mapping and planned diamond drilling. The exploration model suggests the silver-copper-antimony rich mineralization at Bayhorse could be sourced from an underlying shallow pluton that may host porphyry copper mineralization, similar to discoveries made by Hercules Metals Corp. 44 km to the north.