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DEF.V ·

Defiance Closes Acquisition of Mag Silver Holdings

Mergers & Acquisitions

DEFIANCE CLOSES ACQUISITION OF MAG SILVER

HOLDINGS

FOR RELEASE: June 25, 2018 TSXV: DEF

OTC: DNCVF

Defiance Silver Corp. (“Defiance”) is pleased to announce that it has completed its acquisition of

MAG Silver Corp.’s (“MAG”) Zacatecas Silver District holdings and its regional exploration

database covering 135,000ha (see News Release dated June 13, 2018) . As consideration for the

sale, Defiance issued 5,000,000 shares to MAG. The shares are subject to an eighteen month

hold period ending December 22, 2019. When necessary, MAG agrees to vote its shares owned

in accordance with the recommendations of the management of Defiance.

“We are very pleased to have closed this transact ion with MAG Silver , and further expand our

presence in the Zacatecas Silver District”, stated Peter J. Hawley, President and CEO. “ With

significant exploration potential at the San Acacio project, w e look forward to continuing our

examination and interpretation of the large regional exploration database.”

The Lagartos Project consists of 14 concessions totaling approximately 800 hectares . In

addition, Defiance will also receive a database covering an additional 135,000 hectares in the

Zacatecas silver d istrict providing the opportunity to acquire further concessions. All of the

Lagartos concessions are located within the Zacatecas silver district, which has produced an

estimated billion ounces of silver, principally before 1895. Zacatecas lies along the “Fresnillo

Silver Trend” a regional structural zone that has yielded over 5 billion ounces of silver. The four

largest districts along the trend; Guanajuato, Zacatecas, Sombrerete and Fresnillo are all

characterized by multiple sets of parallel silver -gold veins with high -grade oreshoots located

periodically along their lengths. The Zacatecas District is characterized by six major sets of such

parallel veins. This consolidation gives Defiance control of over 65% of the Veta Grande vein,

which historically produced a significant amount of silver within the district. A number of the

other newly acquired Lagartos concessions lie along other important vein systems in the

Zacatecas Silver District including: the Malanoche vein system currently being mined by

Capstone Mining Corp.; the Cantera - El Bote vein system; and the Panuco vein system

controlled by Santacruz Silver Mining Ltd. and Pan American Silver Corp. It is believed that all

the known deposits were found in outcrop 350 to 500 years ago, while new vein systems remain

to be discovered.

About Defiance Silver Corp.

Defiance Silver Corp. (DEF | TSX Venture Exchange; DNCVF | OTC; D4E | Frankfurt) is

a silver explorer and developer advancing the San Acacio Deposit, located in the historic

Zacatecas Silver Di strict of central Mexico. Defiance is managed by a team of proven mine

developers with a track record of exploring and developing 7 operating mines to date. Defiance’s

corporate mandate is to expand San Acacio to become one of Mexico’s premier high grade w ide

vein silver deposits. A Panoramic Video on the San Acacio Deposit is available on our website.

Mr. Peter J. Hawley, P.Geo. Interim President & CEO, Chairman of the Board to Defiance Silver

Corp, is a Qualified Person within the meaning of National Instrument 43-101, and has approved

the technical information concerning the Company’s material mineral properties contained in

this press release.

On behalf of Defiance Silver Corp.

“Peter J. Hawley”

Interim President & CEO

Chairman of the Board, Director

For more information, please contact: Sunny Pannu – Corporate Development (604) 669 7315 or

via email at [email protected]

2300 - 1177 West Hastings Street www.defiancesilver.com

Vancouver, BC V6E 2K3 Tel: 604-669-7315 Email:[email protected]

Neither TSX Venture Exchange nor its Reg ulation Services Provider (as that term is defined in the policies of the

TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this rel ease.