Safi Silver Announces Repricing of Warrants and Director Resignation

TORONTO--(BUSINESS WIRE)--Safi Silver Corp. (TSX-V: SF, OTCPK: PNTZF) (“Safi Silver” or the “Company”) is pleased to announce that the exercise price of the 12,500,000 Safi Silver common share purchase warrants (the “Warrants”) have been reduced from $1.50 to $0.50 (the “Warrant Repricing”). The Warrants were issued pursuant to the Company’s private placement of units that closed on July 12, 2023 (please see the Company’s July 12, 2023, press release for further details regarding the issuance of the Warrants). Each Warrant entitles the holder to acquire 0.2 Safi Silver common shares at a price of $0.50. The Company’s press release dated June 6, 2026 incorrectly stated that there were 2,500,000 Warrants issued and outstanding with each Warrant exercisable by the Warrant holder to acquire one Safi Silver common share (each a “Common Share”). In aggregate, there are currently 12,500,000 Warrants exercisable for 2,500,000 Common Shares which are subject to the Warrant Repricing.

The Company and TSX Trust, the warrant agent, entered into a warrant indenture dated July 12, 2023 (the “Original Indenture”), providing for the issuance of up to 12,500,000 Warrants. On June 4, 2024, the Company effected a consolidation of all of the issued and outstanding Common Shares on the basis of every five (5) Common Shares being consolidated into one (1) Common Share (the “Consolidation”). As a result of the Consolidation, the number of Common Shares obtainable under the Warrants was decreased by a factor of five (5) and as such the number of Common Shares obtainable under each one (1) Warrant from and after June 4, 2024 is 0.2 Common Shares.

The Company intends to amend the terms of the Warrants to extend the expiry date from July 12, 2026, to December 31, 2026, for which the TSX Venture Exchange’s (“TSXV”) consent has been received. In addition, the Company intends to amend the terms of the Warrants such that the exercise price is reduced from $1.50 per post-Consolidation Common Share to $0.50 per post-Consolidation Common Share. Pursuant to TSXV policies, the Company is required to amend the terms of the Warrants to provide that the exercise period of the Warrants will be reduced to 30 days if, for any ten consecutive trading days during the unexpired term of the Warrants, the closing price of the Common Shares exceeds $0.625 per share, and for greater certainty, the reduced exercise period of 30 days will begin no more than 7 calendar days after the tenth such trading day (the “Warrant Acceleration). The Warrant Repricing is subject to the approval of the TSXV.

The Warrant Acceleration was approved by holders of the Warrants pursuant to an extraordinary resolution. The Company has entered into a supplemental warrant indenture dated July 13, 2026 which reflects the Warrant Repricing, the Warrant Acceleration and the extension of the expiry dates of the Warrants from July 12, 2026 to December 31, 2026 (Please see the Company’s press releases dated June 30, 2026 and July 6, 2026 for additional information).

Director Resignation

Safi Silver Corp. announces that Mr. Noureddine Mokaddem has resigned as a director of the Company. Safi Silver expresses its sincere appreciation for the efforts, leadership and contributions of Mr. Mokaddem.

About Safi Silver Corp.

Safi Silver Corp. is a publicly traded Canadian exploration and development company with a core focus on copper and silver holdings in mining-friendly African jurisdictions. In Morocco, the Company is advancing two exploration projects: Addana, which hosts silver-bearing polymetallic veins, and Silver Hill, a sedimentary copper prospect undergoing ongoing evaluation. In Namibia, Safi Silver holds the Kalahari Copperbelt Project.

Cautionary Notes

This news release may contain forward-looking statements. These statements include statements regarding the Warrant Acceleration, the Warrant Repricing, change to the Board of Directors of the Company and the Company’s future plans and objectives. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.

Neither 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.

ON BEHALF OF THE BOARD OF DIRECTORS

Jed Richardson
President & CEO