Secured expansion financing from Kuya Silver preserves treasury and locks in near-term production growth 

Capital preserved can be allocated to Bethania Plant construction

Toronto, Ontario--(Newsfile Corp. - October 14, 2026) - Kuya Silver Corporation (CSE: KUYA) (OTCQB: KUYAF) (FSE: 6MR1) (the "Company" or "Kuya Silver") is pleased to announce that it has closed a transaction with SMRL Camila 2008 ("Camila"), the company that owns the Camila concentrate plant which Kuya uses to process its mineralized material into concentrates. All amounts are in US dollars, unless otherwise noted.

Kuya Silver and the owners of Camila have finalized a revised transaction structure which replaces the previously announced letter of intent (see Kuya Silver press release dated January 27, 2026) with a Strategic Toll-Milling and Financing Agreement. Under the amended terms, Kuya Silver secures guaranteed access to the expanding processing throughput at Camila as the Company continues to ramp up the Bethania silver mine. Kuya Silver will support the planned expansion of the Camila plant by providing secured financing to Camila.

David Stein, Kuya Silver's President and CEO stated, "We are thrilled to have completed this win-win partnership with the Camila plant which allows Kuya Silver to preserve its robust cash position while providing important funding to support the owner's expansion plans and secure processing throughput in the short term. After significant analysis by our team, we concluded that redirecting our capital towards the fully permitted Bethania plant project at site would provide a stronger risk-adjusted outcome for the future growth of the project."

Camila Financing and Processing Guarantees

Kuya Silver has executed a secured loan with SMRL Camila 2008 for $400,000 to finance the expansion of the Camila processing plant to a capacity of approximately 280 wet tonnes per day ("tpd"). The loan bears interest at an annualized rate of 7% for 24 months with equal monthly monthly repayments. The loan is secured against equipment and includes a cash sweep from income generated by the plant during the term of the loan.

For the remainder of 2026 and until the end of March 2027, Camila will reserve up to 3,000 tonnes per month (equivalent to approximately 100 tpd) of processing capacity exclusively for Kuya Silver, and from April 2027 until maturity of the loan Camila will reserve 4,000 tonnes per month (equivalent to approximately 133 tpd) for Kuya Silver. Subject to advanced notice Kuya Silver will have the ability to secure additional capacity over and above the reserved levels with the potential to utilize the plant's full capacity. Favourable commercial terms have been agreed with the processing fee indexed to inflation over the term of the loan.

This strategic agreement provides Kuya Silver with significant operational flexibility to increase its concentrate production, sales and cash flow as the Bethania mine ramps up production in the short term. Any additional material produced at the Bethania operations in excess of the processing capacity at Camila can be stockpiled for future processing at the Bethania plant or processed at another third party facility.

Advancing the Bethania Plant Project

Kuya Silver expects to prioritize and accelerate the construction of its fully permitted 350-tpd Bethania plant at site, which would eventually become the primary processing facility for the Bethania mine and the potential satellite deposits located in the surrounding silver district. Kuya Silver is in the process of updating and optimizing its previous engineering design and cost estimates. Kuya Silver's longer-term plan to construct and process mineralized material at site has remained consistent and the Company believes that starting this project earlier could be an excellent opportunity to accelerate growth. The Company expects to provide further updates on pre-construction milestones as the project progresses.

National Instrument 43-101 Disclosure

The technical content of this news release has been reviewed and approved by Mr. Kevin J. O'Connell, Independent Technical Advisor to Kuya Silver and a Qualified Person as defined by National Instrument 43-101.

About Kuya Silver Corporation

Kuya Silver is a Canadian‐based, growth-oriented mining company with a focus on silver. Kuya Silver operates the Bethania silver mine in Peru, while developing district-scale silver projects in mining-friendly jurisdictions including Peru, Canada and Saudi Arabia.

Reader Advisory

This news release contains statements that constitute "forward-looking information," including statements regarding the plans, intentions, beliefs, and current expectations of the Company, its directors, or its officers with respect to the future business activities of the Company. The words "may," "would," "could," "will," "intend," "plan," "anticipate," "believe," "estimate," "expect," "must," "next," "propose," "new," "potential," "prospective," "target," "future," "verge," "favorable," "implications," and "ongoing," and similar expressions, as they relate to the Company or its management, are intended to identify such forward-looking information. Investors are cautioned that statements including forward-looking information are not guarantees of future business activities and involve risks and uncertainties, and that the Company's future business activities may differ materially from those described in the forward-looking information as a result of various factors, including but not limited to fluctuations in market prices, successes of the operations of the Company, continued availability of capital and financing, and general economic, market, and business conditions. There can be no assurances that such forward-looking information will prove accurate, and therefore, readers are advised to rely on their own evaluation of the risks and uncertainties. The Company does not assume any obligation to update any forward-looking information except as required under the applicable securities laws.

Neither the Canadian Securities Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/318868

Source: Kuya Silver Corporation