Mithril Silver and Gold Reports Significant Resource Upgrade and Quarterly Activities

Melbourne, Australia and Vancouver, Canada — July 31, 2026 — Leads & Copy — Mithril Silver and Gold Limited reported its quarterly activities and cash flow for its Copalquin and La Dura properties in Durango State, Mexico, for the period ended June 30, 2026, highlighting a significant mineral resource estimate (MRE) upgrade. The total constrained and diluted Indicated and Inferred resources now stand at 343,000 ounces of gold plus 8.479 million ounces of silver (464,000 ounces gold equivalent) and 103,000 ounces of gold plus 3.398 million ounces of silver (151,000 ounces gold equivalent), respectively.

Indicated resources total 3.391 million tonnes grading 3.15 grams per tonne gold and 77.8 grams per tonne silver, while Inferred resources total 1.436 million tonnes grading 2.23 grams per tonne gold and 73.6 grams per tonne silver. This represents a 196% increase in higher-confidence indicated gold and silver compared to the previous MRE, with 75% of the total gold and silver now classified as indicated. The resource is constrained within preliminary underground mining shapes, incorporating expected mining dilution for a more realistic basis for future engineering and economic studies. The resource remains open along strike and at depth, presenting multiple opportunities for expansion. The MRE discovery cost for Target 1 was less than US$20 per ounce gold equivalent from approximately 60,000 metres of drilling.

First drilling at Target 3 since 2020 revealed extensive gold and silver mineralization with high grades intercepted, and further drilling is planned for the next quarter. Drilling at Target 5 expanded known gold-silver mineralization, also with high grades intercepted at the La Maquina area. The final Target 1 drilling for the MRE upgrade produced strong results on the western end of the deposit area for extensional follow-up.

Financially, Mithril reported a cash balance of A$7.3 million as of June 30, 2026, and the company remains debt-free. Mexican value-added tax refunds continued, with MXN11.5 million (approximately A$940,000) received during the June 2026 quarter. Exploration expenditure for the quarter was A$3.4 million, focused entirely on the Copalquin District in Mexico.

John Skeet, Managing Director and CEO, commented that the June quarter marked a significant step in de-risking Target 1 and expanding the Copalquin epithermal silver-gold system. He noted that the upgraded MRE provides a practical foundation for mine planning and economic evaluation. The Target 1 drilling program strengthened the geological model, confirming continuity and identifying additional mineralized structures, with the system remaining open. Two drills are active on site to execute the remaining fully funded 12,000 metres of drilling for the 2026 program, aiming to advance other target areas and test deeper system drivers.

Planned exploration activities for the September 2026 quarter include drilling west and northwest of the Target 1 resource area, follow-up drilling along strike from high-grade intercepts at the historic Copalquin mine workings, and progressing deep, key structural targeting drill holes across the district. Drilling will also test deeper at Target 3, and economic assessment and derisking work for the Target 1 resource area will continue. Initial drill plans and permitting for La Dura are also progressing. The company is fully funded to complete the remaining 12,000 metres of drilling for 2026.

The press release also details the Target 1 MRE upgrade, including extensive tables showing gold price sensitivity for both undiluted and diluted mineralisation. It outlines the reporting of constrained and diluted mineral resources, mining and processing methods, and provides figures illustrating the mineral resource estimate. Further details are provided on Target 3 drilling highlights, Target 5 drilling, and Target 1 drilling pre-MRE upgrade, with comprehensive tables of drill results.

The company's corporate and financial summary confirms the cash balance of A$7.3 million and no debt. Related party payments are noted to be for director and consultant fees, salary, and superannuation. Planned exploration activities for the September 2026 quarter are reiterated, along with a list of ASX announcements released during the June 2026 quarter.

Information about the Copalquin and La Dura gold-silver properties is included, outlining Mithril's aggressive exploration program for 2026, the potential of the Copalquin District with over 100 historic underground workings, and the recent addition of the La Dura property with identified historic workings and a 1.5 km mineralisation corridor.

Source: Mithril Silver and Gold Limited