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BHS.V ·

BAYHORSE SILVER Announces Offtake Purchase Offer.

Mine Development & Operations Partnerships & JV

December 1, 2020 BHS2020-29

BAYHORSE SILVER Announces Offtake Purchase Offer.

Bayhorse Silver Inc. (BHS: TSX-V) (the “Company” or “Bayhorse”) is pleased to announce that it

has accepted a firm offtake purchase offer (“PO”) for the sale of silver concentrate from its Bayhorse

Silver Mine in Oregon, USA.

The PO is with a leading international metals trading company (“MTC”) for the delivery and sale of

300 metric tons or 15 full container loads of silver concentrate that will be produced from the

Company’s Bayhorse Silver Mine. Among other conditions, the MTC will have the right of first refusal

to a 12 month contract extension after completion of the delivery of the first 300 metr ic tons of silver

concentrate.

“This offtake supply PO is a milestone achievement for the Company and demonstrates confidence in

the Company’s ability to transition from development to commercial operations ,” states Graeme

O’Neill, CEO of Bayhorse . “The Company looks forward to achieving its production targets and

congratulates our team for this achievement.”

The Company is currently working with MTC to expedite a definitive offtake agreement, further

detailing our commercial relationship.

The Company is not basing any decision to produce on a feasibility study of mineral reserves

demonstrating economic and technical viability and advises there is an increased uncertainty

and specific economic and technical risk of failure with any production decision. These risks

include, but are not limited to, (i) a drop in price of commodities produced, namely silver, copper,

lead and zinc, from the pricing used to make a production decision; (ii) failure of grades of the

produced material to fall within the parame ters used to make the production decision; (iii) an

increase in mining costs due to changes within the mine during development and mining

procedures; and (iv) metallurgical recovery changes that cannot be anticipated at the time of

production.

The Company announces the grant of 250,000 options to Officers, Directors, Consultants and

Employees that vest immediately and are exercisable for five years at $0.20 cents per share.

This News Release has been prepared on behalf of the Bayhorse Silver Inc. Board of Directors, which

accepts full responsibility for its content.

On Behalf of the Board,

Graeme O’Neill, CEO

[email protected]

1-866-399-6539

Neither the 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.

About Bayhorse Silver Inc.

Bayhorse Silver Inc. is an exploration and production company with a 100% interest in the historic

Bayhorse Silver Mine located in Oregon, USA, an option to acquire an 80% interest on the

Brandywine, precious metals rich, volcanogenic massive sulphide property, and is earning a 50%

interest in the Harrison Gold Project, located in B.C., Canada. The Company has an experienced

management and technical team with extensive mining expertise surrounding exploration and building

mines.