Defiance Announces Loan Repayment

Vancouver, British Columbia--(Newsfile Corp. - September 21, 2020) - Defiance Silver Corp. (TSXV: DEF) (OTC Pink: DNCVF) ("Defiance" or the "Company") is pleased to announce that it has repaid in full the Company's outstanding Loan with Windermere Capital Fund SPC (on behalf of the Navigator Segregated Portfolio). The Loan was originally announced on June 19th, 2018, and subject to several increases, with the final extension announced on December 19th, 2019. The Company has now repaid the total outstanding balance of $1,312,018 including accrued interest. The Loan was secured by the assets of the Company's subsidiaries and the General Security Agreement will now be removed following repayment of the Loan in full.

Chris Wright, Executive Chairman & CEO, commented: "We want to thank our capital partners for their support of Defiance. The loan enabled us to minimize shareholder dilution during a tough market, while the proceeds from our recently closed financing have enabled us to repay the debt and have sufficient working capital moving forward."

About Defiance Silver Corp.

Defiance Silver Corp. (TSXV: DEF) (OTC Pink: DNCVF) (FSE: D4E) is an exploration company advancing the San Acacio Deposit, located in the historic Zacatecas Silver District and the 100% owned Tepal Gold/Copper Project in Michoacán state, Mexico. Defiance is managed by a team of proven mine developers with a track record of exploring, advancing and developing several operating mines and advanced resource projects Defiance's corporate mandate is to expand the San Acacio and Tepal projects to become premier Mexican silver and gold deposits.

On behalf of Defiance Silver Corp.

"Chris Wright"

Executive Chairman & CEO

For more information, please contact: Investor Relations at +1 604-343-4677 or via email at [email protected].

www.defiancesilver.com

2900 - 550 Burrard Street
Vancouver, BC V6E 2K3

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.

This news release may contain forward-looking statements including but not limited to comments regarding timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Defiance Silver Corp. relies upon litigation protection for forward-looking statements.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/64200