Silver Hammer closes final tranche of financing

Executive Summary

• Silver Hammer Mining Corp. has closed the second and final tranche of its non-brokered private placement, raising an additional $1,477,547.01.
• The total offering is now fully subscribed, with aggregate gross proceeds of $1,809,000 from the issuance of 32,890,909 units.
• Proceeds will be used for exploration of the Silver Strand (Idaho), Eliza, and Silverton (Nevada) projects, as well as general working capital.

Key Details

• Transaction Structure: Non-brokered private placement of units.
• Second Tranche Details:
  • Issued 26,864,491 units.
  • Price: $0.055 per unit.
  • Gross Proceeds: $1,477,547.01.
• Aggregate Offering Details:
  • Total Units Issued: 32,890,909 units.
  • Total Gross Proceeds: $1,809,000.
• Warrant Terms (Second Tranche):
  • Each unit includes one common share and one transferable common share purchase warrant.
  • Warrant Exercise Price: $0.07 per share.
  • Warrant Term: 5 years from issuance.
• Finder’s Fees:
  • Cash paid: $44,679.40.
  • Warrants issued: 1,012,353 finders' warrants.
  • Finder's Warrant Exercise Price: $0.07 per share.
  • Finder's Warrant Term: 60 months from issuance.
• Insider Participation:
  • Directors and officers purchased 2,952,310 units in the second tranche.
  • Classified as a related party transaction under MI 61-101; exemptions from formal valuation and minority shareholder approval were relied upon.
• Regulatory/Hold Period:
  • Securities subject to a statutory hold period of 4 months, expiring on January 19, 2026.
  • Completed under prospectus exemptions (NI 45-106), not listed issuer financing.
• Use of Proceeds:
  • Exploration of Silver Strand project (Idaho).
  • Exploration of Eliza and Silverton projects (Nevada).
  • General working capital and corporate purposes.
• Project Updates:
  • Silverton (Nevada): 13 drill targets identified; phase I drill program planned for fall 2025. Historical data shows silver-rich (up to 692 g/t Ag) and gold-rich (up to 6.1 g/t Au) systems.
  • Silver Strand (Idaho): Plan to execute an 8-hole exploration drill program. Historical drilling highlights high-grade silver and gold below the 90m level. Potential mining agreement under review with a local operator.
  • Eliza (Nevada): Fast-tracking property-wide plan of operations for USFS submission. Prioritizing a 2026 drill program on patented ground. Geophysical study and ground truthing completed. Historical samples show silver-rich mineralization with elevated Cu, Pb, and Zn.

Notable Quotes

• "The company is pleased to be fully subscribed and close over $1.8-million, and I am excited to continue to be a large shareholder in the company by subscribing once again alongside our existing and new shareholders. We have had significant interest in the private placement, well above the funds raised, and truly appreciate the support in the market," commented Peter A. Ball, president and chief executive officer.
• "It will be an exciting period going forward for the company in this robust silver market, which is approaching $43 per ounce, and showing potential for additional upside in the sector for 2026 and beyond. The company is positioned extremely well with the ability to explore its seven historical high-grade drill-ready silver mines in Idaho and Nevada within our three 100-per-cent-owned silver projects, with no royalties, or cumbersome earn-in exploration agreements or future payments required. It was a tough past 12 months, but the market is back and so is Silver Hammer!"