Defiance Drill Permitting Update

Vancouver, British Columbia--(Newsfile Corp. - September 7, 2016) - Defiance Silver Corp (TSXV: DEF) (OTC: DNCVF) ("Defiance") is pleased to update its shareholders on the permitting of its next drill program at the San Acacio Silver Deposit in Zacatecas, Mexico.In mid-July, Defiance filed an application with the Mexican environmental authority Semarnat for an advanced drill program that will cover several years of drilling activity at San Acacio.

The permit application covers the construction of 39 drill pads and related infrastructure to drill up to 126 holes totaling approximately 60,000m. The permit will allow Defiance to complete drilling below the historic Guadalupe and Esperanza shoots where results thus far have expanded mineralization considerably below the limits of the current resource(17.9 million AgEq oz at 192.89 g/t AgEq - News Release dated March 2, 2016 (https://www.defiancesilver.com/news/defiance-steps-out-continues-intersecting-wide-zones-of-silver-mineralization) and January 15, 2015 (https://www.defiancesilver.com/news/defiance-silver-significantly-increases-silver-grade-and-grows-resource-at-san-acacio2)).The permits will also enable Defiance to drill along the 900m long SE Extension where the Veta Grande vein has only been partially defined to shallow depths.Upon receipt of permits, Defiance will provide another update including a detailed exploration program.

Bruce Winfield, President & CEO of Defiance, stated, "We are very excited by the prospect of bringing the project to the next stage of advanced drilling with the goal of continually expanding the current resource to depth and along strike.With over 5.6km of strike length that is still well under-explored with similar geology, there still remains the potential for further discoveries at the San Acacio Project."

A Panoramic Video on the San Acacio Deposit (https://www.youtube.com/watch?v=DEqtbHzMeYw) is available on our website, or Click Here to visit our Defiance YouTube Channel (https://www.defiancesilver.com/media/video). Defiance Silver Corp. is a silver explorer and developer advancing the San Acacio Deposit, located in the historic Zacatecas Silver District 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 wide vein silver deposits. For more information on the property or Defiance, please visit Defiance's website at www.DefianceSilver.com.

On behalf of Defiance Silver Corp.

"Bruce Winfield"

President and CEO

For more information, please contact:
Sunny Pannu - Corporate Development (604) 669 7315 or via email at pannu@defiancesilver.com