Silver Elephant Closes First Tranche of Non-Brokered Private Placement for Gross Proceeds of $290,000

Rhea-AI Summary

Silver Elephant (OTCQB: SILEF) closed the first tranche of a non-brokered private placement on December 12, 2025, raising gross proceeds of $290,000 by issuing 1,160,000 units at $0.25 per unit.

Each Unit includes one share and one warrant exercisable at $0.30 for three years. Related parties John Lee (250,000 Units) and Ron Motz (150,000 Units) participated; the company relied on exemptions under MI 61-101 and will file a material change report. Securities carry a regulatory hold of four months plus one day. Proceeds are for general corporate purposes and a second tranche is expected to close on or about December 29, 2025, subject to regulatory approval.

Positive

• Gross proceeds of $290,000 from first tranche
• Issued 1,160,000 units at $0.25 per unit
• Warrants exercisable at $0.30 for 3 years
• Company disclosed related party subscriptions and will file a material change report

Negative

• Issuance of 1,160,000 units plus warrants creates potential dilution for shareholders
• Related party subscriptions by a director and >10% shareholder require MI 61-101 exemptions

Vancouver, British Columbia--(Newsfile Corp. - December 12, 2025) - Silver Elephant Mining Corp. (TSX: ELEF) (OTCQB: SILEF) (FSE: 1P2) ("Silver Elephant" or the "Company") announces that, further to its news release dated December 2, 2025, it has closed the first tranche of its non-brokered private placement (the "Private Placement") raising gross proceeds of $290,000 through the sale of 1,160,000 units (the "Units") at a price of $0.25 per unit. Each Unit consists of one common share of the Company (each, a "Share") and one share purchase warrant (each, a "Warrant") with each warrant entitling the holder to purchase one additional Share at a price of $0.30 per Share for a period of three years from issuance.

John Lee, a Director of the Company subscribed for 250,000 Units for gross proceeds of $62,500 and Ron Motz, a shareholder holding more than 10% of the Company's common shares, subscribed for 150,000 Units for gross proceeds of $37,500. The issuance of Units to Mr. Lee and Mr. Motz are considered related party transactions within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company relied on exemptions from the formal valuation and minority shareholder approval requirements provided under sections 5.5(a) and 5.7(a) of MI 61-101 on the basis that Mr. Lee's and Mr. Motz's participation in the Private Placement did not exceed 25% of the fair market value of the Company's market capitalization. The Company will file a material change report in respect of the related party transaction.

The securities issued under the Private Placement will be subject to a regulatory hold period of four months plus one day from the date of issue. Proceeds of the Private Placement are expected to be used for general corporate purposes. The second and final tranche of the Private Placement is expected, subject to regulatory approval, to close on or around December 29, 2025.

This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Units in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to the registration or qualification under the securities laws of that jurisdiction.

About Silver Elephant Mining Corp.

Silver Elephant is a mineral exploration company with gold and silver projects in Bolivia.

Further information on Silver Elephant can be found at www.silverelef.com.

SILVER ELEPHANT MINING CORP.

ON BEHALF OF THE BOARD

"John Lee"
CEO and Executive Chairman

For more information about Silver Elephant, please contact Investor Relations:
+1.604.569.3661
info@silverelef.com 
www.silverelef.com

FORWARD-LOOKING INFORMATION

This news release contains "forward-looking information" and "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable securities laws. Forward-looking information is generally identifiable by use of the words "believes," "may," "plans," "will," "anticipates," "intends," "could", "estimates", "expects", "forecasts", "projects" and similar expressions, and the negative of such expressions. Such forward-looking information, which reflects management's expectations regarding Silver Elephant's future growth, results of operations, performance, business prospects and opportunities, is based on certain factors and assumptions and involves known and unknown risks and uncertainties which may cause the actual results, performance, or achievements to be materially different from future results, performance, or achievements expressed or implied by such forward-looking information. Forward-looking information in this news release includes the use of proceeds raised from the Private Placement.

Forward-looking statements involve significant risks and uncertainties, and should not be read as guarantees of future performance, events or results, and may not be indicative of whether such events or results will actually be achieved. A number of risks and other factors could cause actual results to differ materially from expected results discussed in the forward-looking statements, including but not limited to: market conditions; changes in business plans; ability to secure sufficient financing to advance the Company's mining projects; and general economic conditions. Additional risk factors about the Company are set out in its latest annual and interim management's discussion and analysis and annual information form available under the Company's profile on SEDAR at www.sedarplus.ca.

Forward-looking information is based on reasonable assumptions by management as of the date of this news release, and there can be no assurance that actual results will be consistent with any forward-looking information included herein. Readers are cautioned that all forward-looking statements in this news release are made as of the date of this news release. The Company undertakes no obligation to update or revise any forward-looking information in this news release to reflect circumstances or events that occur after the date of this news release, except as required by applicable securities laws.

Not for distribution to the United States Newswire Services or For Dissemination, Distribution, Release or Publication, Directly or Indirectly into the United States

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/277958

FAQ

How much did Silver Elephant (SILEF) raise in the first tranche on December 12, 2025?

The company raised $290,000 through the sale of 1,160,000 units at $0.25 per unit.

What does each unit include in the Silver Elephant SILEF private placement?

Each Unit includes one common share and one warrant to buy one share at $0.30 for three years.

Which related parties participated in Silver Elephant's SILEF private placement and how much did they subscribe?

Director John Lee subscribed for 250,000 units and shareholder Ron Motz subscribed for 150,000 units.

When is the second tranche of the Silver Elephant (SILEF) private placement expected to close?

The second and final tranche is expected to close on or around December 29, 2025, subject to regulatory approval.

Are the securities from Silver Elephant's SILEF placement subject to a hold period?

Yes; the securities are subject to a regulatory hold period of four months plus one day from issuance.

What will Silver Elephant (SILEF) use the proceeds from the private placement for?

Proceeds are expected to be used for general corporate purposes.