"Toronto, Ontario – July 24, 2023 – Excellon Resources Inc. (TSX:EXN, OTCQB:EXNRF, FRA:E4X2) (“Excellon” or the “Company”) is pleased to announce that it has entered into a binding agreement with holders of greater than 662/3% of its outstanding 5.75% secured convertible debentures in the aggregate principal amount of C$17,910,000 (the “Convertible Debentures”) to extend the maturity date of the Convertible Debentures by 367 days from July 30, 2023 to July 31, 2024 (the “Extension”). The Extension will be implemented pursuant to the terms and conditions of a supplemental indenture to be entered into between the Company and TSX Trust Company, as trustee and collateral agent.

In consideration for the Extension, the Company has agreed to an extension fee equal to 6% of the aggregate principal amount of the Convertible Debentures payable pro rata to the holders of the Convertible Debentures in common shares in the capital of the Company (“Common Shares”) priced at C$0.156 per Common Share.

Shawn Howarth, President and CEO, commented: “We are pleased to have reached an agreement, providing critical financial flexibility and one step towards a broader restructuring. It also reconfirms the commitment by all parties to reach a solution for the future financial health of Excellon.”

Completion of the Extension is anticipated to occur on or about July 28, 2023, or such other date as the parties may determine, and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and securityholder approvals, including the approval of the Toronto Stock Exchange (“TSX”) and the approval of the holders of the Convertible Debentures, which is anticipated to be obtained by way of an instrument in writing executed by holders of the Convertible Debentures holding Convertible Debentures representing not less than 662/3% of the aggregate principal amount of the Convertible Debentures. Should the Extension not be completed by July 30, 2023, the holders of the Convertible Debentures party to the agreement with the Company have agreed that they will approve, or cause to be approved, the waiver and forbearance of the Company's obligations arising from, or in connection with, the maturity of the Convertible Debentures on July 30, 2023. The Company will update the market upon completion of the Extension.

The parties have also agreed to immediately commence further negotiations toward a broader restructuring of the Convertible Debentures, including a further extension of the maturity date. The Company will provide further updates when available.

In addition, the same group of holders of Convertible Debentures are in discussions with the Company to provide bridge financing.

As previously disclosed, in parallel the Company continues to actively assess various other interim financing and other liquidity options including corporate development and strategic opportunities, which may include divestitures, mergers or spin-offs of the Company’s assets.

As such matters advance, the Company will provide appropriate updates in due course.

About Excellon

Excellon’s vision is to realize opportunities through the acquisition of advanced development or producing assets with further potential to gain from an experienced operational management team for the benefit of our employees, communities and shareholders. The Company is advancing a portfolio of silver, base metals and precious metals assets including Kilgore, an advanced gold exploration project in Idaho; and Silver City, a high-grade epithermal silver district in Saxony, Germany with 750 years of mining history and no modern exploration.

Additional details on Excellon’s properties are available at www.excellonresources.com."