Resource Estimate

• The property has had a number of resource estimates completed by a variety of companies since 1996, none of the previous estimates are considered current resource estimates.

Exploration Potential:

Defiance’s management has initiated an aggressive exploration program at San Acacio and Lucita starting in 2020.Further surface mapping, surface geochemistry, and surface geophysics re-interpretation has been completed to gain a better understanding of the underlying mineral system, as well as oriented-core diamond drill testing to develop a compliant mineral resource estimate and identify any new base or precious metals mineralized zones on the project:

• Aggressively drill test the Veta Grande system and its off-shoots that will allow the company to prepare a new resource estimate based on the numerous encouraging drill results that have been discovered since 2019.
• Identify additional mineralization: Drill testing separate mineralized targets, including the Palenque structure at Lucita and the hanging wall mineralization at Lagartos.
• Develop silver ounces below pre-2020 drilling programs: Drilling structural offsets withing and below the current resource as the shallow resource drilling ended in mineralization and previous operators had a poor control on the structural domains of the various veins within the Veta Grande vein system.