Pinnacle Silver and Gold Corp. Arranges Private Placement to Fund El Potrero Project Advancement

VANCOUVER, BRITISH COLUMBIA — July 13, 2026 — Leads & Copy — Pinnacle Silver and Gold Corp. announced it is arranging a non-brokered private placement to raise gross proceeds of up to $2,200,000. The offering will consist of up to 20,000,000 units, with each unit priced at $0.11. Each unit comprises one common share and one-half share purchase warrant. Each whole warrant will be convertible into an additional common share at an exercise price of $0.16 for a period of 24 months from the date of issuance.

Red Cloud Securities will act as a Finder, and other finder's fees may be paid in connection with the offering. Each finder's warrant will entitle the holder to acquire one common share at $0.16 per share over a 24-month period. Pinnacle Silver and Gold Corp. expects the offering to close on or about August 13, 2026.

The net proceeds from the offering will be allocated to advance the high-grade El Potrero gold-silver project in Durango, Mexico, for project evaluations, and for general working capital. Insiders of the company are also expected to participate in the offering. This participation will constitute a related-party transaction under Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The company is exempt from the requirements to obtain a formal evaluation or minority shareholder approval due to sections 5.5(a) and 5.7(1)(a) of MI 61-101, as neither the fair market value of the securities issued nor the fair market value of the consideration for the securities issued will exceed 25 per cent of the company's market capitalization.

All securities issued will be subject to a four-month hold period from the date of issuance and require approval from the TSX Venture Exchange. The securities have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States without registration or an applicable exemption.

The El Potrero property is situated in the Sierra Madre Occidental of western Mexico, within 35 kilometres of four operating mines, including the Ciénega Mine (Fresnillo), the Tahuehueto Mine (Luca Mining), and the Topia Mine (Guanajuato Silver). Mineralization at El Potrero occurs in a low sulphidation epithermal breccia vein system hosted within andesites and has three historic mines along a 500-metre strike length. The property has significant exploration potential, having been in private hands for nearly 40 years without systematic modern exploration.

A previously operational 100 tonnes per day plant on-site can be refurbished and historic underground mine workings rehabilitated at a relatively low cost to achieve near-term production, pending permit acquisition. The property is road accessible, with a power line located within three kilometres. Pinnacle Silver and Gold Corp. will earn an initial 50% interest immediately upon commencing production, with the goal of generating sufficient cash flow to further develop the project and increase its ownership to 100%, subject to a 2% net smelter return royalty. This strategy is intended to be less dilutive for shareholders than relying solely on equity markets for growth financing.

Pinnacle Silver and Gold Corp. is focused on the development of precious metals projects in the Americas. Beyond the El Potrero project, the company owns a 100% interest in the past-producing, high-grade Argosy Gold Mine and the adjacent North Birch Project in the Red Lake District of northwestern Ontario. The company is committed to building long-term, sustainable value for shareholders with its seasoned management team and quality projects.

Source: Pinnacle Silver and Gold Corp.