Magma Silver Announces $4 Million Private Placement

Vancouver, British Columbia--(Newsfile Corp. - October 7, 2025) - Magma Silver Corp. (TSXV: MGMA) (OTCQB: MAGMF) (FSE:BC21) (WKN: A411DV) (the "Company" or "Magma") is pleased to announce a non-brokered private placement consisting of up to 26,666,667 units of the Company (the "Units") at a price of $0.15 per Unit (the "Offering Price") for aggregate gross proceeds of up to $4,000,000 (the "Offering").

Each Unit will be comprised of one common share of the Company (a "Common Share") and one-half of one Common Share purchase warrant (each whole warrant, a "Warrant"). Each Warrant shall be exercisable to acquire one Common Share at an exercise price of $0.25 per Common Share for a period of 36 months following the closing of the Offering.

The Company intends to use the net proceeds from the Offering for exploration at the Niñobamba silver gold project in Peru, working capital and general corporate purposes.

The Offering is anticipated to close on or about October 22, 2025 ("Closing"), or such later date as the Company may determine. The Closing is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of the TSX Venture Exchange (the "Exchange").

In connection with the Offering, the Company has appointed Research Capital Corporation ("RCC") as the exclusive finder and the Company will pay RCC a finder's fee in cash and issue RCC finder's warrants on any funds raised by investors introduced to the Company by RCC.

This press release is not an offer to sell or the solicitation of an offer to buy the securities in the United States or in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from U.S. registration requirements and applicable U.S. state securities laws.