BAYHORSE ANNOUNCES CLOSING OF PRIVATE PLACEMENT

January 27, 2023                                                                                             BHS2023-02

Bayhorse Silver Inc, (BHS: TSX-V, BHSIF: OTCQB, 7KXN: FRANKFURT) (the “Company” or “Bayhorse”) announces, subject to TSX Venture Exchange approval, it has closed its non-brokered private placement for 12,787,500 units at $0.04 cents per unit for gross proceeds of $511,500. Each unit will consist of one (1) common share and one (1) transferable common share purchase warrant, with each warrant exercisable into one (1) common share of the Company at an exercise price of $0.10 cents, exercisable for a period of 24 months from the date of issuance.

The proceeds of the financing are for the Bayhorse Silver Mine Mill operations working capital and for general and administrative expenses.

Subject to TSX Venture Exchange approval, the Company will pay finder’s fee of $5,600 in cash for the placement and will issue 140,000 finder’s warrants. Each finder’s warrant is exercisable into one (1) common share of the Company at an exercise price of $0.10 cents, exercisable for a period of 24 months from the date of issuance.

Bayhorse Silver CEO, Graeme O’Neill has subscribed for 4 million units in the private placement. He has funded his subscription through arranged sales and through the facility of the TSX Venture Exchange. This participation by Bayhorse’s CEO constitutes a “related party transaction” as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). Such participation is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the units acquired by the insider, nor the consideration for the units paid by such insider, exceed 25% of the Company’s market capitalization.

Securities issued under this placement will be subject to a four month plus a day hold period from the date of issuance.

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