Magma Silver Niñobamba Project Obtains Drill Permit

Rhea-AI Summary

Magma Silver (OTCQB: MAGMF) received a drill permit from the Ministerio de Energía y Minas (Peru) on October 17, 2025 to drill the Joramina zone at its Niñobamba project.

The permit runs for 14 months, allows drilling from 20 drill pads (multiple directional holes per pad) and follows a US$5,000,000 private placement. Magma allocated US$1,000,000 (CAD$1.4M) to expand the Joramina drill program and plans work with an independent NI 43-101 geologist. Recent Phase 2 sampling returned high-grade intercepts including 10 m @ 2.32 g/t Au and a 5 m composite of 4.085 oz/t Ag.

Positive

• Drill permit granted on 2025-10-17
• Permit duration of 14 months
• Permit allows 20 drill pads with directional drilling
• US$5.0M private placement secured
• Allocated US$1.0M (CAD$1.4M) for Joramina drilling

Negative

• Drilling from inside drift requires permit modification
• Issued finder's fees totaling $298,797 cash plus 1,962,806 warrants

Vancouver, British Columbia--(Newsfile Corp. - November 6, 2025) - Magma Silver Corp. (TSXV: MGMA) (OTCQB: MAGMF) (FSE: BC21) (WKN: A411DV) (the "Company" or "Magma") is pleased to announce the granting of a drill permit to allow drilling on the Joramina zone and also provides an outline of a proposed exploration plan on the advanced Niñobamba silver gold project in Peru.

Stephen Barley, Chairman & CEO of Magma stated: "The Niñobamba project is comprised of three contiguous properties now controlled by Magma, totalling 4,100 hectares: the Joramina, Randypata, and the Niñobamba Main. The MINISTERIO DE ENERGÍA Y MINAS in Peru has granted a drill permit to commence drilling on the Joramina zone. This is an important milestone as drill permits are detailed and require a significant effort to obtain. Our Peruvian-based technical team, led by our General Manager, Carlos Agreda (see news release dated July 9, 2025) and supervised by our Senior Technical Advisor, Jeffrey Reeder, has the experience to apply for drilling permits successfully. The recent $5,000,000 private placement financing (see news release dated October 23, 2025) has provided Magma with the necessary funding to substantially increase the initial drill program on the Joramina zone. The Joramina zone was the focus of Newmont Corporation's ("Newmont") 2011 non-compliant internal report, which detailed a significant gold and silver resource. The Newmont report was based on US$1,200/ounce gold and US$20/ounce silver, the prevailing market prices at the time of the report."

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Drill Permit

The permit was granted by the MINISTERIO DE ENERGÍA Y MINAS in Peru on October 17, 2025. The permit has a duration of fourteen (14) months from the date of issuance. The permit entitles Magma to drill from 20 drill pads. Multiple directional drilling can be completed from each drill pad. Magma believes the permit is sufficient to complete all planned drilling on the Joramina zone. The Company discovered a drift in the Joramina zone that Newmont did not report. During the recently completed Phase 2 work program, testing in and around the drift returned high-grade results, including 10 metres of 2.32 grams gold/tonne and a 5-metre composite returning 4.085 ounces silver/tonne. Sampling close to the drift on the Joramina zone returned 0.70 metres of 17.41 grams gold/tonne and 13.94 ounces silver/tonne. (see news release dated October 30, 2025). The Company may be able to drill from inside the drift, located within the Joramina zone. This would require a modification to the drill permit, which should be readily available.

Proposed Expanded Exploration Program

Magma has allocated US$1,000,000 (CAD$1,400,000) for the Joramina exploration and drill program. This is a significant increase from the original drilling plan and is expected to allow the Company to thoroughly test and confirm the Newmont drilling results. Magma's experienced technical team is currently planning the entire work program in conjunction with an independent NI 43-101 geologist. Magma will issue a news release outlining the Joramina program, drill location, and timing when it is available.

Finder's Fees

Further to the Company's news release dated October 23, 2025, the Company advises that it has issued additional finder's fees, resulting in an aggregate total of $298,797 in cash and 1,962,806 finder's warrants.

Qualified Person

Jeffrey Reeder, P.Geo, a qualified person as defined in National Instrument 43-101 and a Senior Technical Advisor of the Company, has prepared, supervised the preparation of, and approved the scientific and technical disclosure contained in this news release.

About Magma Silver Corp.

Magma Silver Corp. is a natural resources exploration company focused on acquiring, exploring, developing, and operating precious metal mining projects. Listed on the TSV Venture Exchange ("MGMA"), OTCQB ("MAGMF"), and Frankfurt Exchange ("BC21"), the Company's primary focus is on exploring and developing the advanced Niñobamba silver-gold project in the mining-friendly country of Peru. Niñobamba spans an 8 km mineralized corridor in a prolific geological belt of a high-sulphidation epithermal system. Extensive exploration by Newmont Corporation, AngloGold Ashanti Limited, Bear Creek Mining Corporation and Rio Silver, has demonstrated significant resource potential with over C$14.5 million invested to date. Magma is advancing its Niñobamba project using modern geological modelling and a strategic development plan. The property has excellent infrastructure, strong relationships with local communities and a regional technical team with over 50 years of mining experience in Peru.

For more information, please visit our website at www.magmasilver.com.

Contact Information

Stephen Barley, Chairman & CEO
Phone: +1 (604) 252-2672
Email: ir@magmasilver.com
Website: www.magmasilver.com
X: @MagmaSilverCorp

Jason Baker, CFO & Director
Phone: +1 (604) 252-2672
Email: ir@magmasilver.com
Website: www.magmasilver.com
X: @MagmaSilverCorp

Reader Advisory

This news release may contain forward-looking information within the meaning of applicable securities laws. All information and statements other than statements of current or historical facts contained in this news release are forward-looking information. Forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in Magma Silver Corp.'s periodic filings with Canadian securities regulators. When used in this news release, words such as "will", "could", "plan", "estimate", "expect", "intend", "may", "potential", "should," and similar expressions are forward-looking statements. The information provided in this document is necessarily summarized and may not contain all available material information. Forward-looking statements include those in relation to (i) the Company’s intention to commence drilling on portions of the Joramina zone; (ii) the proposed exploration plan for the Niñobamba project; (iii) the Company’s expectation that the drill permit is sufficient to complete all planned drilling on the Joramina zone; (iv) the Company’s ability to drill from inside the drift located within the Joramina zone by obtaining a modification to the drill permit; and (v) the Company’s ability to test and confirm the Newmont drilling results. Although the Company believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can't make any assurances that its expectations will be achieved. Such assumptions may prove incorrect. Although the Company has attempted to identify important factors that could cause actual results, performance, or achievements to differ materially from those contained in the forward-looking statements, there can be other factors that cause results, performance, or achievements not to be as anticipated, estimated, or intended. There can be no assurance that such information will prove to be accurate or that management's expectations or estimates of future developments, circumstances, or results will materialize. As a result of these risks and uncertainties, no assurance can be given that any events anticipated by the forward-looking information in this news release will transpire or occur, or, if any of them do so, what benefits that the Company will derive therefrom. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release are made as of the date of this news release, and the Company disclaims any intention or obligation to update or revise such information, except as required by applicable law.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) 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/273328

FAQ

When was Magma Silver (MAGMF) granted the Joramina drill permit?

The permit was granted on October 17, 2025 by the Ministerio de Energía y Minas in Peru.

What drilling capacity does the MAGMF permit provide for Joramina?

The permit entitles Magma to drill from 20 drill pads, with multiple directional holes possible per pad.

How much funding has Magma allocated to the Joramina drill program (MAGMF)?

Magma allocated US$1,000,000 (CAD$1.4M) for the Joramina exploration and drill program.

Does Magma (MAGMF) have financing for an expanded drill program at Niñobamba?

Yes — Magma completed a US$5,000,000 private placement announced October 23, 2025, to fund the program.

Are there any sample results from Joramina that support drilling (MAGMF)?

Phase 2 sampling returned high-grade hits including 10 m @ 2.32 g/t Au and a 5 m composite of 4.085 oz/t Ag.

Will Magma be able to drill from inside the Joramina drift under the current permit (MAGMF)?

Drilling from inside the drift would require a permit modification, which the company expects should be obtainable.