Silver Dollar Resources Inc. — Capital/Financing Update 2020

Dec 29, 2020

SILVER DOLLAR RESOURCES

FORM 51-102F3

MATERIAL CHANGE REPORT

Item 1: Name and Address of Company

Silver Dollar Resources Inc. (the “Company” or “Silver Dollar”) Suite 416, 108 – 800 Kelly Road Victoria, BC, V9B 6J9

Item 2: Date of Material Change

December 29, 2020

Item 3: News Release

A news release was issued December 29, 2020 at Vancouver, British Columbia and was disseminated by Newsfile.

Item 4: Summary of Material Change

Silver Dollar Resources Inc. has completed a non-brokered private placement of 400,000 common shares at a price of $1.40 per share to raise $560,000 in gross proceeds.

Item 5: Full Description of Material Change

Silver Dollar Resources Inc. has completed a non-brokered private placement of 400,000 common shares at a price of $1.40 per share to raise $560,000 in gross proceeds.

First Majestic Silver Corp. subscribed for 200,000 shares or $280,000 of the Offering. This investment results in First Majestic holding approximately 16.3 percent of Silver Dollar’s issued and outstanding common shares.

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All securities issued pursuant to this Offering will have a hold period expiring four months after the closing date.

The net proceeds of this financing will be used to fund the Company’s exploration and development work on its projects in Red Lake, Ontario, Canada and Durango, Mexico, and for general working capital purposes.

Silver Dollar relied on subsections 5.5(b) and 5.7(1)(a) of Multilateral Instrument 61-101 to exempt the offering from the requirements for a formal valuation and minority shareholder approval.

Item 6: Reliance on Subsection 7.1(2) or (3) of National Instrument 51-102

Not applicable

Item 7: Omitted Information

Not applicable

Item 8: Executive Officer

Michael Romanik, President and Chief Executive Officer Telephone (204) 726-0151

DATED AT Victoria, British Columbia this 29th day of December, 2020.

SILVER DOLLAR RESOURCES INC. Signed “Glen Wallace” per Glen Wallace, MBA, CPA, CGA