HONEY BADGER SILVER ANNOUNCES CLOSING OF C$11.5 MILLION FINANCING

Honey Badger Silver Inc. has successfully completed a C$11.5 million brokered private placement financing through the issuance of 71.875 million subscription receipts at C$0.16 per receipt. The offering was led by SCP Resource Finance LP with a syndicate including Stifel Canada, Research Capital Corporation, and ATB Capital Markets Corp. The strong investor response, with company insiders and advisors purchasing over 10% of the total placement, demonstrates significant confidence in the company's strategic direction.

The financing proceeds are specifically earmarked to fund the cash component of Honey Badger's transformational acquisition of Canadian Zinc Corporation, which owns the Prairie Creek Project in the Northwest Territories. This permitted underground silver-zinc-lead project represents what the company describes as one of the most compelling high-grade silver development opportunities globally, featuring a substantial historical resource base and existing infrastructure. The acquisition is structured to close in Q2 2026, subject to customary conditions including TSX Venture Exchange approval.

The financing structure incorporates subscription receipts that will convert to units upon satisfaction of escrow release conditions, with each unit comprising one common share and one warrant exercisable at C$0.24 for three years. This mechanism provides downside protection to investors while maintaining upside participation. The successful completion of this financing positions Honey Badger to execute on its strategy of becoming a leading North American silver and critical minerals producer, leveraging the Prairie Creek asset's permitted status and high-grade characteristics in a favorable jurisdiction.

For the broader silver sector, this transaction reflects continued investor appetite for development-stage precious metals assets, particularly those with existing permits and infrastructure. The company's diversified portfolio across multiple northern Canadian territories, combined with its unique approach of holding physical silver generating 12% annual returns, positions it strategically for the next cycle in precious and critical metals markets.