New Risk • May 21
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -CA$9.1m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$9.1m free cash flow). Revenue is less than US$1m. Minor Risks Shareholders have been diluted in the past year (29% increase in shares outstanding). Market cap is less than US$100m (CA$80.9m market cap, or US$58.7m). Recent Insider Transactions Derivative • Mar 09
Executive Chairman exercised options to buy CA$115k worth of stock. On the 6th of March, Christopher Wright exercised options to buy 405k shares at a strike price of around CA$0.15, costing a total of CA$60k. This transaction amounted to 20% of their direct individual holding at the time of the trade. Since June 2025, Christopher's direct individual holding has increased from 2.00m shares to 2.41m. Company insiders have collectively bought CA$74k more than they sold, via options and on-market transactions, in the last 12 months. Announcement • Feb 21
Defiance Silver Corp. Provides an Update on the Current Drilling Campaign At the Zacatecas Project Defiance Silver Corp. provided an update on the current drilling campaign at the Zacatecas Project. The campaign was designed to confirm the extension of the known mineralized structures both laterally and vertically as well as to validate the current geological model that will be used for the upcoming mineral resource estimate. The company continues to consistently encounter high grade silver mineralization in multiple mineralized zones with lateral and vertical continuity in the Veta Grande system. This release contains results from five holes: DDSA-25-73 through DDSA-25-77, representing 2,553m of the 10,000m diamond drill program that began Sept 12, 2025. The company has completed 12 drill holes to date and additional drill holes will be reported as the company receives the analytical results. DDSA-25-76 - returned 3.55m of 355.32 g/t Ag (from 176.38m to 179.93m) within a 22.57m interval grading 102.91 Ag/t from (179.93m to 198.95m). DDSA-25-77 - returned 3.01m of 262.88 g/t Ag (from 286.18m to 289.19m) including 1.75m of 431.58 g/t Ag (from286.18 to 287.93m) with 0.37m of 1965 g/t Ag (from 86.18m to 286.55m) all hosted within a larger interval of 6.77m (from 286.18m To 292.95m) grading 128.69 g/t Ag. DDSA-25-75 - returned 2.35m of 298.58 g/t Ag ("from 255.17m to 257.52m) including 0.36m of 1595 g/t Ag (from 255.17m to 255.53m) within a 5.20m interval grading 149.25 g/t Ag (from 252.32m to 257.52m). Discussion of Results. Defiance announced the start of the drill program on September 12, 2025 NR. The information presented in this release includes approximate 2,553 metres of drilling of a minimum 10,000m drill program designed to collect additional data in the San Acacio proposed mineral resource area. These holes were designed to improve the main Veta Grande structural model and to infill poorly drilled zones, as well as to test both mineralized hanging wall and footwall splays to the Veta Grande system. High grade results over wide widths were encountered in Holes DDSA-25-75, 25-76 and 25-77. Through surface mapping and drilling, the company has been able to identify at least three blocks on the main Veta Grande structure, these blocks are delineated by major N-NW striking faults, where displacement of the veins, mineralization styles and vein splays occur. DDSA-25- 76: Infill drill hole that 76 targeted the intersection of Veta Grande with hanging wall splays that create a mineralized shoot below the past-producing Esperanza Pit area that is coherent with a wide mineralized vein at surface. The highest values correspond to one of the modelled mineralized splays in Veta Grande vein system. DDSA-25-77: Re-entered historical drill hole SAD-17-30A which previously encountered drilling problems and did not intercept Veta Grande when it was drilled in 2017. This drill hole targeted SE block hanging wall splays and the Veta Grande. The wide intercepts with high grades correspond to widely mineralized veinlet zones both in both the hanging wall and footwall of the Veta Grande. The company believe that these wide, mineralized, array zones have the potential to add ounces to the upcoming resource estimate. 
