Kootenay Silver Announces Closing of Bought Deal LIFE Private Placement for Gross Proceeds of C$18 Million

Kootenay Silver Announces Closing of Bought

Deal LIFE Private Placement for Gross

Proceeds of C$18 Million

/NOT FOR DISTRIBUTION TO

UNITED STATES

NEWSWIRE SERVICES OR FOR

DISSEMINATION IN

THE UNITED STATES

/

VANCOUVER, BC

,

Feb. 10, 2026

/CNW/ -

Kootenay Silver Inc.

(TSXV: KTN) ("

Kootenay

" or the

"

Company

") is pleased to announce the closing of its previously announced "bought deal" private

placement (the "

Offering

") for gross proceeds of

C$18,000,002.25

, which includes the exercise in

full of the over-allotment option. Pursuant to Offering, the Company sold 8,000,001 common shares

of the Company (the "

Offered Shares

") at a price of

C$2.25

per Offered Share (the "

Offering

Price

").

Red Cloud Securities Inc. ("

Red Cloud

"), as lead underwriter and sole bookrunner, together with

Research Capital Corporation (collectively, the "

Underwriters

") acted as underwriters under the

Offering. As consideration for their services, the Underwriters received aggregate cash fees of

C$1,080,000.14

and 480,000 non-transferable common share purchase warrants (the "

Broker

Warrants

"). Each Broker Warrant is exercisable to acquire one common share of the Company at

the Offering Price at any time on or before

February 10, 2028

.

The net proceeds raised under the Offering will be used for the advancement of the Company's

Columba and La Cigarra silver projects in

Mexico

as well as for working capital and general

corporate purposes.

In accordance with National Instrument 45-106 –

Prospectus Exemptions

("

NI 45-106

"), the Offered

Shares were issued to Canadian purchasers pursuant to the listed issuer financing exemption under

Part 5A of NI 45-106, as amended by Coordinated Blanket Order 45-935 –

Exemptions from

Certain Conditions of the Listed Issuer Financing Exemption

(the "

Listed Issuer Financing

Exemption

"). The Offered Shares sold to purchasers resident in

Canada

under the Listed Issuer

Financing Exemption are immediately freely tradeable under applicable Canadian securities

legislation. The Offered Shares were also offered in

the United States

or to, or for the account or

benefit of, U.S. persons, by way of private placement pursuant to the exemptions from the

registration requirements provided for under the United States Securities Act of 1933, as amended

(the "

U.S. Securities Act

"), and in jurisdictions outside of

Canada

and

the United States

on a private

placement or equivalent basis, in each case in accordance with all applicable laws, provided that no

prospectus, registration statement or other similar document was required to be filed in such

jurisdiction.

There is an amended and restated offering document (the "

Amended Offering Document

") related

to the Offering that can be accessed under the Company's profile at

www.sedarplus.ca

and on the

Company's website at

www.kootenaysilver.com

.

The closing of the Offering remains subject to the final approval of the TSX Venture Exchange (the

"

TSXV

").

The securities being offered pursuant to the Offering have not been, nor will they be, registered

under the United States Securities Act of 1933, as amended, or any U.S. state securities laws, and

may not be offered or sold in

the United States

or to, or for the account or benefit of, U.S. persons

absent registration or an applicable exemption from the registration requirements. 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 securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in policies of the

TSXV) accepts responsibility for the adequacy or accuracy of this release.

About Kootenay Silver Inc.

Kootenay Silver Inc. is an exploration company actively engaged in the discovery and development

of mineral projects in the Sierra Madre Region of

Mexico

. Supported by one of the largest junior

portfolios of silver assets in

Mexico

, Kootenay continues to provide its shareholders with significant

leverage to silver prices. The Company remains focused on the expansion of its current silver

resources, new discoveries and the near-term economic development of its priority silver projects

located in prolific mining districts in

Sonora

, State and Chihuahua, State,

Mexico

, respectively.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

The information in this news release has been prepared as at

February 10, 2026

. Certain

statements in this news release, referred to herein as "forward-looking statements", constitute

"forward-looking statements" under the provisions of Canadian provincial securities laws. These

statements can be identified by the use of words such as "expected", "may", "will" or similar terms.

"Forward-looking information" includes, but is not limited to, statements with respect to the

activities, events or developments that the Company expects or anticipates will or may occur in the

future, including statements regarding the intended use of proceeds of the Offering and the final

approval of the Offering by the TSXV.

Forward-looking statements are necessarily based upon a number of factors and assumptions that,

while considered reasonable by Kootenay as of the date of such statements, are inherently subject

to significant business, economic and competitive uncertainties and contingencies. Many factors,

known and unknown, could cause actual results to be materially different from those expressed or

implied by such forward-looking statements. Readers are cautioned not to place undue reliance on

these forward-looking statements, which speak only as of the date made. Except as otherwise

required by law, Kootenay expressly disclaims any obligation or undertaking to release publicly

any updates or revisions to any such statements to reflect any change in Kootenay's expectations

or any change in events, conditions or circumstances on which any such statement is based.

SOURCE

Kootenay Silver Inc.

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/February2026/10/c1626.html

%SEDAR: 00016508E

For further information:

For additional information, please contact: James McDonald, CEO &

President at 403-880-6016; Ken Berry, Chairman at 604-601-5652, 1-888-601-5650 or visit:

www.kootenarysilver.com

CO: Kootenay Silver Inc.

CNW 08:50e 10-FEB-26