Capitan Silver Intersects 1,077 g/t Silver Equivalent over 1.1 Metres, Within a Wider Zone of 6.7 Metres of 342.2 g/t Silver Equivalent at the Cruz de Plata Project

Vancouver, British Columbia--(Newsfile Corp. - July 6, 2026) - Capitan Silver Corp. (TSXV: CAPT) (OTCQX: CAPTF) ("Capitan" or "the Company") is pleased to report additional results from its 60,000m drill program at its Cruz de Plata silver-gold project, located in Durango, Mexico. The Company is reporting assay results from eight (8) drill holes. Highlights: The silver-rich mineralized system at Capitan's Cruz de Plata Project continues to expand, with all reported holes intersecting silver mineralization and extending the mineralized footprint to depth Bonanza-grade drill intercept extends known mineralization down-dip at the Jesus Maria Silver Trend, with grades significantly improving at depth Drill hole 26-JMDD-02 returned 1,077.1 g/t AgEq over 1.1m, within a wider interval of 6.7m of 342.2 g/t AgEq, extending the main Jesus Maria zone 25m down-dip Multiple drill holes along the Jesus Maria Silver Trend (east and west of the Peñoles Fault) significantly expand silver mineralization down-dip and continue to demonstrate strong vertical continuity Upcoming Catalysts: Assays pending for 61 drill holes: 35 core and 26 reverse circulation ("RC") holes, with more arriving weekly Alberto Orozco, CEO of Capitan Silver, commented: "The latest assay results from our 2026 drilling program at Cruz de Plata continue to expand the size and potential of this silver-rich mineralized system. We are continuing to see high-grade results with grades improving at depth, which demonstrates the strong vertical continuity of this deposit. Additionally, we have significantly expanded mineralization down-dip at several holes across the Jesus Maria Silver Trend." "With four drill rigs currently turning at the property and newly permitted high-priority target areas being tested, I am excited about how this year's exploration program is unfolding. While we are encouraged by the results to date, we remain focused on aggressively drilling the project to bring the large-scale potential of Cruz de Plata into clearer focus. As more results become available, I look forward to keeping the market updated and seeing just how large this system can get." Figure 1: Cruz de Plata Plan Map To view an enhanced version of this graphic, please visit: https://images.newsfilecorp.com/files/7373/304022_c89716eb040a8870_002full.jpg Figure 2: Long-section of Jesus Maria Silver Trend To view an enhanced version of this graphic, please visit: https://images.newsfilecorp.com/files/7373/304022_c89716eb040a8870_003full.jpg Discussion of 2026 Drill Program and Results Drilling at the Cruz de Plata project continues at an aggressive pace, with four drill rigs currently operating at site. Step-out drilling continues along the main Jesus Maria Silver Trend at Targets A, B and C (see Figure 1), with larger step-outs being planned at all target areas in order to expand mineralization at depth, better define zones of high-grade mineralization, and explore for new high-grade zones. All drilling reported in this news release successfully intersected the main Jesus Maria zone, extending mineralization at depth, along section, with silver mineralization reported in all drill holes. Drill Results: Jesus Maria Silver Trend, West of the Peñoles Fault Drilling at the Jesus Maria Silver Trend west of the Peñoles Fault was recently focused on Target Area C, which includes the historic Jesus Maria workings, with mineralization being characterized as more base-metal rich compared to target areas further east (see Figure 1). Drill hole 26-JMDD-02, drilled on the same section as previously reported drill holes 21-JMRC-03 and 22-JMRC-17, returned bonanza silver grades including 1,077.1 g/t AgEq over 1.1m, within a wider interval of 6.7m of 342.2 g/t AgEq (see Figure 3 and Image 1). This drill hole confirmed the Company's geologic and structural models down-dip from previously drilled RC holes, demonstrated good continuity of mineralization, and extended the main Jesus Maria zone down-dip, along section by approximately 25m. The zone remains open to expansion at depth and the Company intends to follow-up with larger >50m step-out drilling. Figure 3: Cross-section of drill hole 26-JMDD-02 To view an enhanced version of this graphic, please visit: https://images.newsfilecorp.com/files/7373/304022_c89716eb040a8870_004full.jpg Image 1: Jesus Maria polymetallic silver mineralization, drill hole 26-JMDD-02 (interval, 166.6m to 166.7m). High-Grade, calcitic-sulphide breccia zone, hosted in carbonaceous siliciclastic sediments. To view an enhanced version of this graphic, please visit: https://images.newsfilecorp.com/files/7373/304022_c89716eb040a8870_005full.jpg Drill hole 26-JMDD-03, designed as a 50m on-section step-out behind previously announced drill hole 22-JMRC-19, returned multiple zones of mineralization, including: (i) an upper zone which intersected 339.91 g/t AgEq over 1.0m, within a wider interval of 3.0m of 152.53 g/t AgEq in the main Jesus Maria zone, and (ii) a lower zone that returned 153.82 g/t AgEq over 3.2m. This drill hole also demonstrated strong continuity of the main Jesus Maria zone and extended mineralization in the main Jesus Maria zone by 50m down-dip. Future drill planning at this target area includes larger step-outs (>75m) and will commence in the short-term. Drill Results: Jesus Maria Silver Trend, East of the Peñoles Fault RC drilling east of the Peñoles Fault continued to focus on delineating and expanding the main Jesus Maria Silver Trend at depth, with relatively large step-outs continuing to return strong silver grades. Drill hole 26-SRRC-25 extended the main Jesus Maria Silver Trend down-dip and intersected multiple zones of mineralization, including: (i) an upper zone adjacent to the historic San Rafael workings that returned 187.56 g/t AgEq over 1.5m (drill hole also hit old workings) and (ii) a higher-grade, broader, lower zone of mineralization that returned 348.21 g/t AgEq over 1.5m, within a wider interval of 12.2m of 115.05 g/t AgEq. This drill hole successfully extended the main Jesus Maria zone 150m down-dip from drill holes 26-SRRC-13 and 17, demonstrating strong continuity of mineralization at depth. This drill hole also showed that historic drill hole SR-DDH-14-02 was stopped short of the main Jesus Maria zone and missed its target. Drill hole 26-SRRC-27 also returned strong silver grades, including: (i) an upper zone that returned 226.1 g/t AgEq over 1.5m, within a wider interval of 3.0m of 188.25 g/t AgEq, and (ii) a lower zone that returned 250 g/t AgEq over 1.5m, within a wider zone of 3.0m of 175.77 g/t AgEq, all within a broader interval of 16.8m of 95.44 g/t AgEq. This drill hole extended the main Jesus Maria zone approximately 80m down-dip along section, with the zone showing strong vertical continuity at depth. The Jesus Maria zone at this target area (see Figure 1, Target B) remains open to expansion at depth, with core drilling currently focusing on 75m step-outs. Table 1: Drill Results Hole ID From (m) To (m) Interval (m) AgEq Rec (g/t) Ag (ppm) Au (ppm) Pb (%) Zn (%) 26-JMDD-01 Interval 42.6 43.6 1.0 45.31 25.00 0.312 0.002 0.009 Interval 55.5 56.5 1.0 27.00 4.00 0.317 0.004 0.039 Interval 220.8 224.8 4.0 41.52 20.00 0.035 0.375 0.287 Interval 255.7 256.8 1.1 165.18 96.00 0.003 1.100 1.290 Interval 273.9 275.1 1.2 65.55 26.00 0.057 0.546 0.643 Interval 302.5 303.9 1.4 135.63 56.00 0.027 0.902 1.640 Interval 400.2 403.6 3.4 27.34 3.18 0.303 0.014 0.092 Interval 411.4 412.4 1.0 43.13 2.00 0.576 0.006 0.043 26-JMDD-02 Interval 44.2 46.2 2.0 26.93 23.00 0.067 0.007 0.015 Interval 92.9 93.9 1.0 68.41 44.00 0.389 0.001 0.008 Interval 105.2 107.0 1.8 71.74 43.00 0.420 0.008 0.065 Interval 123.0 124.0 1.0 49.91 14.00 0.509 0.021 0.034 Interval 148.2 154.0 5.8 64.55 34.76 0.063 0.410 0.472 including 148.2 150.2 2.0 147.70 72.00 0.162 1.060 1.150 Interval 162.0 168.7 6.7 342.19 257.37 0.244 1.324 1.362 including 165.6 168.7 3.1 662.92 506.84 0.484 2.562 2.389 and  including 166.6 167.7 1.1 1,077.14 792.00 0.417 5.230 4.620 Interval 245.1 246.1 1.0 54.66 22.00 0.079 0.411 0.500 26-JMDD-03 Interval 57.1 58.1 1.0 48.48 38.00 0.179 0.005 0.009 Interval 64.8 65.8 1.0 148.85 126.00 0.425 0.025 0.014 Interval 75.6 76.7 1.1 85.05 72.00 0.226 0.023 0.035 Interval 97.0 98.0 1.0 27.30 16.00 0.110 0.071 0.080 Interval 122.4 123.4 1.0 76.31 3.00 1.060 0.010 0.009 Interval 222.7 227.0 4.3 47.14 37.53 0.029 0.046 0.253 Interval 233.0 236.0 3.0 152.53 87.33 0.010 1.223 1.042 including 234.0 235.0 1.0 339.91 185.00 0.017 2.940 2.420 Interval 245.0 246.0 1.0 53.74 35.00 0.136 0.185 0.185 Interval 273.0 274.0 1.0 36.76 13.00 0.081 0.360 0.261 Interval 282.0 285.0 3.0 89.60 30.00 0.289 0.434 0.862 including 282.0 283.0 1.0 122.32 32.00 0.405 0.657 1.350 including 284.0 285.0 1.0 104.14 48.00 0.285 0.411 0.819 Interval 288.4 291.6 3.2 153.82 39.38 0.170 1.375 1.955 Interval 296.7 297.8 1.1 39.20 14.00 0.008 0.299 0.503 26-SRRC-22 Interval 146.3 155.4 9.1 41.95 33.83 0.141 0.003 0.010 Interval 227.1 228.6 1.5 25.22 11.00 0.212 0.002 0.008 26-SRRC-24 Interval 39.6 41.1 1.5 72.26 65.00 0.158 0.004 0.006 Interval 45.7 48.8 3.0 37.31 22.50 0.230 0.001 0.010 Interval 68.6 70.1 1.5 28.70 24.00 0.081 0.002 0.015 26-SRRC-25 Interval 16.8 22.9 6.1 31.58 24.50 0.114 0.001 0.019 Interval 25.9 32.0 6.1 29.36 22.00 0.118 0.002 0.015 Interval 38.1 39.6 1.5 28.10 13.00 0.227 0.002 0.006 Interval 50.3 51.8 1.5 38.77 39.00 0.013 0.001 0.035 Interval 65.5 68.5 3.0 57.42 58.00 0.033 0.004 0.016 Interval 70.1 71.6 1.5 OLD WORK Interval 71.6 73.2 1.5 55.10 57.00 0.018 0.002 0.006 Interval 77.7 79.2 1.5 187.56 197.00 0.030 0.006 0.004 Interval 85.3 86.9 1.5 29.92 16.00 0.204 0.002 0.023 Interval 93.0 94.5 1.5 47.86 36.00 0.195 0.002 0.016 Interval 112.8 114.3 1.5 28.73 27.00 0.039 0.003 0.017 Interval 147.8 150.9 3.0 113.94 114.50 0.085 0.003 0.012 Interval 175.3 187.5 12.2 115.05 109.63 0.163 0.012 0.014 Interval 181.4 182.9 1.5 166.80 164.00 0.171 0.016 0.012 Interval 185.9 187.5 1.5 348.21 350.00 0.249 0.045 0.024 Interval 248.4 249.9 1.5 41.68 41.00 0.034 0.005 0.019 26-SRRC-26 Interval 44.2 48.8 4.6 26.15 25.33 0.025 0.002 0.017 Interval 62.5 64.0 1.5 73.52 76.00 0.026 0.002 0.007 Interval 74.7 79.2 4.6 76.19 75.67 0.061 0.005 0.022 including 74.7 76.2 1.5 100.16 103.00 0.039 0.004 0.016 Interval 88.4 89.9 1.5 37.60 38.00 0.010 0.004 0.032 Interval 94.5 106.7 12.2 43.74 41.50 0.055 0.005 0.024 Interval 120.4 121.9 1.5 32.47 33.00 0.016 0.003 0.008 Interval 157.0 164.6 7.6 49.98 43.40 0.124 0.004 0.016 including 157.0 158.5 1.5 128.72 116.00 0.274 0.009 0.017 Interval 185.9 202.7 16.8 63.14 58.82 0.102 0.010 0.016 including 192.0 195.1 3.0 151.17 136.50 0.309 0.027 0.025 26-SRRC-27 Interval 24.4 25.9 1.5 28.43 28.00 0.023 0.001 0.014 Interval 41.1 44.2 3.0 28.13 24.50 0.065 0.003 0.017 Interval 48.8 50.3 1.5 48.36 48.00 0.037 0.003 0.018 Interval 135.6 137.2 1.5 79.31 67.00 0.219 0.009 0.029 Interval 160.0 163.1 3.0 188.25 178.00 0.287 0.011 0.025 including 160.0 161.5 1.5 226.1 212.00 0.368 0.011 0.031 Interval 198.1 214.9 16.8 95.44 88.09 0.151 0.021 0.050 including 202.7 205.7 3.0 175.77 162.50 0.296 0.022 0.060 and including 202.7 204.2 1.5 249.87 228.00 0.482 0.025 0.05 including 207.3 211.8 4.6 126.10 127.67 0.049 0.034 0.051 Interval 219.5 221.0 1.5 39.03 40.00 0.012 0.004 0.015 Interval 227.1 231.6 4.6 29.85 29.33 0.020 0.007 0.020 Interval 245.4 246.9 1.5 34.29 29.00 0.028 0.031 0.125   Drill hole IDs containing initials DD and RC denote diamond drilling and reverse circulation drilling respectively Metal Recovery: Ag 94%, Au 86%, Pb 93.5%, Zn 92% AgEq considers Ag, Au, Pb and Zn and calculated as follows: AgEq = Ag g/t + (80x Au g/t) + (0.003 x Pb g/t) + (0.0037 x Zn g/t). High grades have not been capped. RC and Diamond Core Drill samples have been analysed at SGS labs in Durango using fire assay and Four-acid multi-element analysis with the following codes: GE-FAA30V6 and GEICP40Q12, with over assays using the following codes: GO_FAG37V for Au and Ag. QAQC: Capitan Silver maintains a rigorous QAQC program and inserts multiple standards, blanks and duplicates into the sample stream at regular intervals. Check Assays are performed at ALS laboratories in Zacatecas, Mexico. True widths along the Jesús María Trend are estimated to be 70-90% of the drilled width. At new drill targets/discoveries, true widths are unknown. Intervals are calculated at a 25 g/t AgEq cut-off and are cut at a maximum of 3 metres of internal dilution. Some numbers may not sum correctly due to rounding. Qualified Person The scientific and technical information in this news release has been reviewed and approved by Marc Idziszek, P.Geo, Vice President Exploration of Capitan, and a "qualified person" (with the meaning of National Instrument 43-101 - Standards of Disclosure for Mineral Projects). About Capitan Silver Corp. Capitan Silver is defining a new high-grade silver system at its Cruz de Plata project, located in the heart of Mexico's primary silver belt. The Company is led by a proven and accomplished management team that has previously advanced three projects into production, on time and on budget. The Company has been diligent in maintaining a tight share structure and has one of the tightest share structures among its peer group, with the top three shareholders owning approximately 37% of the Company's share capital. Capitan Silver is fully funded and actively drilling at its Cruz de Plata silver project. ON BEHALF OF CAPITAN SILVER CORP. "Alberto Orozco" Alberto Orozco, CEO For Additional Information Contact: Alberto Orozco, CEO Capitan Silver Corp. [email protected] Greg DiTomaso, Investor Relations Capitan Silver Corp. [email protected] Phone: (416) 433-2801 www.capitansilver.com   CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION Certain statements contained in this news release constitute "forward-looking statements" within the meaning of applicable Canadian securities legislation (collectively, "forward-looking statements"). All statements, other than statements of historical fact, contained in this news release are forward-looking statements. These forward-looking statements, by their nature, require Capitan to make certain assumptions and necessarily involve known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these forward-looking statements. Forward-looking statements are not guarantees of future performance. Forward-looking statements may be identified by the use of words or phrases such as "may", "will", "would", "could", "should", "expect", "believe", "plan", "anticipate", "intend", "estimate", "continue", "objective", "potential", "target", "strategy", "project", "forecast", "outlook", "scheduled", "seek", "explore" and other similar terminology, as well as terms usually used in the future and the conditional, and the negatives thereof, or comparable terminology, are intended to identify forward-looking statements. In particular, but without limiting the foregoing, this news release contains forward-looking statements with respect to: expectations regarding the Company's 2026 drilling program at the Cruz de Plata project, including the planned 60,000-metre multi-rig program; anticipated timing and results of future assay results; the potential scale, continuity, and grade of mineralization at the Cruz de Plata project; the potential to expand known zones of mineralization; the prospectivity of the Cruz de Plata project and its exploration potential; management's beliefs regarding the mineralized system at Cruz de Plata; and the Company's strategy and exploration objectives. The forward-looking statements contained in this news release are based upon certain material assumptions that were applied in drawing a conclusion or making a forecast or projection, including assumptions and expectations regarding: the continued validity of exploration results and geological interpretations; the ability to complete planned exploration programs on time and within budget; the availability of financing for future exploration and development activities; commodity prices remaining at levels that support continued exploration; the ability to obtain and maintain all necessary permits and approvals; the accuracy of current mineral resource estimates; the continuity of mineralization between drill holes; and general economic and business conditions. Although the Company believes that the assumptions underlying these forward-looking statements are reasonable, they may prove to be incorrect, and the Company cannot assure investors that actual results will be consistent with these forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such risks and uncertainties include, but are not limited to: exploration and development risks, including risks related to the interpretation of geological data and exploration results; the uncertainty of mineral resource estimates; risks inherent in the mining industry including environmental hazards, industrial accidents, unusual or unexpected geological formations, pressures, cave-ins, flooding, and the risk of inadequate insurance or inability to obtain insurance; fluctuations in commodity prices; currency exchange rate fluctuations; risks related to obtaining and maintaining necessary permits and licenses; risks related to the Company's title to its mineral properties; risks related to the political and economic climate in Mexico; regulatory changes; reliance on key personnel; competition in the mining industry; risks related to the Company's ability to raise additional capital; dilution to existing shareholders; risks related to global economic conditions and market volatility; environmental risks and hazards; and other risks and uncertainties described in the Company's public filings. The foregoing list of risks and uncertainties is not exhaustive. For a more complete discussion of the risk factors affecting the Company, readers are encouraged to review the Company's filings available on SEDAR+ (www.sedarplus.ca) under the Capitan's issuer profile. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Forward-looking statements contained herein are made as of the date of this news release and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. To view the source version of this press release, please visit https://www.newsfilecorp.com/release/304022