Santacruz Silver Mining Ltd. (TSX-V:SCZ) is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by Canaccord Genuity Corp. and including Raymond James Ltd. pursuant to which the Underwriters have agreed to purchase, on a bought deal basis pursuant to a short form prospectus, 8,750,000 common shares of the Company at a price of C$1.00 per Common Share for gross proceeds of C$8,750,000 . In addition, the Company has granted the Underwriters an option to purchase additional Common Shares at the Offering price to raise additional gross proceeds of up to 15% of the Offering to cover over-allocations, if any exercisable for a period of up to 30 days after the closing date.

The Underwriters will receive a cash fee on the sale of the Common Shares equal to 6% of the gross proceeds raised, and broker warrants equal to 6% of the Offering. Each Broker Warrant shall be exercisable for one common share of the Company at the issue price of the Offering at any time up to 24 months after closing.

The proceeds from the Offering are expected to be used by the Company for exploration and development of its projects in Mexico, and for general working capital and corporate purposes.

Closing of the Offering is anticipated to occur on or before March 11, 2014 and is subject to certain conditions including, but not limited to, the completion of satisfactory due diligence by the Underwriters and the receipt of applicable regulatory approvals including approval of the TSX Venture Exchange.

This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful. The Common Shares have not been and will not be registered under the United States Securities Act of 1933, as amended or the securities laws of any state of the United States and may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.

About Santacruz Silver Mining Ltd.

Santacruz is a Mexican focused silver company with a producing project (Rosario); two advanced-stage projects (San Felipe and Gavilanes) and an early-stage exploration project (El Gachi). The Company is managed by a technical team of professionals with proven track records in developing, operating and discovering silver mines in Mexico. Our corporate objective is to become a mid-tier silver producer