Highlights  

• Underground drilling returned high-grade silver-polymetallic intercepts in the Matacaballo and Ayayay veins, including:
• 3.60m @ 135.3 g/t Ag, 5.5% Pb, 7.3% Zn, 0.55% Cu, and 0.23 g/t Au in Matacaballo vein, in drill hole SMR-56-22-MTC, including
  • 0.90m @ 208.0 g/t Ag, 10.8% Pb, 13.4% Zn, 0.93% Cu, and 0.19 g/t Au, and
  • 0.30m @ 402.0 g/t Ag, 2.5% Pb, 1.2% Zn, 0.1% Cu, and 1.34 g/t Au
• 2.30m @ 81.0 g/t Ag, 4.9% Pb, 9.0% Zn, 0.82% Cu, and 0.08 g/t Au, in Matacaballo vein, in hole SMR-33-22-MTC, including
  • 0.75m @ 191.0 g/t Ag, 11.8% Pb, 15.8% Zn, 1.75% Cu, and 0.06 g/t Au
• 1.25m @ 153.6 g/t Ag, 1.8% Pb, 3.3% Zn, 0.09% Cu, and 1.31 g/t Au, in Matacaballo vein, hole SMR-59-22-MTC, including
  • 0.75m @ 234.0 g/t Ag, 2.7% Pb, 5.1% Zn, 0.14% Cu, and 1.48 g/t Au
• 1.25m @ 98.9 g/t Ag, 1.9% Pb, 2.7% Zn, 1.40% Cu, and 0.06 g/t Au, in Ayayay vein, in hole SMR-32-22-MTC

Silver Mountain Resources Inc. (TSX-V: AGMR) (OTCQB: AGMRF) (BVL:AGMR) is pleased to provide an update on its underground drilling at the Company’s Reliquias silver mine in Huancavelica, central Peru. The drill program to date has surpassed a total of 16375 metres, drilled in 69 bore holes. The assay results of 8 holes drilled to test the Matacaballo and adjacent veins are reported in this release (Table 1). The main objective of the fully funded drill program is to establish a National Instrument 43-101 – Standards of Disclosure for Mineral Projects compliant mineral resource in H1 2023 that will form the basis of our production decision in H2 2023. In addition, the Company aims to better characterize and extend the known silver-rich zones at depth.¹

Alfredo Bazo, President and CEO, commented: “Four of the drill holes reported today are located in the western part of the Reliquias mine, returning interesting intercepts in the Matacaballo and Ayayay structures as well as showing various vein splits with promising results. The remainder of the holes were drilled from platform C10 (Fig.1), aimed at the eastern extension of the Matacaballo ore shoot tested by previous bore holes during the current campaign. We are strongly encouraged by the silver and base metal results encountered over significant vein widths in this area. Additional holes to investigate this zone are in progress, with pending assay results.”

The following table shows the detailed results of mineralized intercepts encountered in the drill holes reported in this news release.

Qualified Person

The scientific and technical information contained in this news release has been reviewed and approved by Antonio Cruz, an independent consultant of the Company and a Qualified Person within the meaning of NI 43-101.

About Silver Mountain 

Silver Mountain Resources Inc. is a silver explorer and mine developer planning to restart production at the Reliquias underground mine and undertake exploration activities at its prospective silver camps at the Castrovirreyna Project in Huancavelica, Peru.

Figure1: Plan view of underground drilling program at the Reliquias silver mine, showing traces of drill holes completed to date (in blue) as well as the subsequently programmed bore holes. The eight holes reported in this release are labelled and highlighted in bold green lines. Additionally, underground workings, main mineralized veins, and drill platforms are displayed. Inset map shows Reliquias property block with locations of both silver mines and the processing plant. (CNW Group/Silver Mountain Resources Inc.)

Table 1: Weighted assay results of eight drill holes testing the Matacaballo and Ayayay veins (CNW Group/Silver Mountain Resources Inc.)

Fig.2: Close-up view of mineralized intervals of drill core; photo A: vein interval showing semi-massive sulphides including sphalerite, chalcopyrite, galena, silver sulpho-salts, with milky quartz and silicified rock fragments in matrix, cut by late greyish quartz veinlets, Matacaballo vein, hole SMR-33-22-MTC, 186.25 -186.40 m depth; photo B: brecciated vein structure with multiple quartz vein generations, sulphides in patches including sphalerite, galena, chalcopyrite, pyrite, late quartz-carbonate veining with open spaces, Matacaballo vein, hole SMR-59-22-MTC, 376.30 – 376.44 m depth. (CNW Group/Silver Mountain Resources Inc.)

Fig.2: Close-up view of mineralized intervals of drill core; photo A: vein interval showing semi-massive sulphides including sphalerite, chalcopyrite, galena, silver sulpho-salts, with milky quartz and silicified rock fragments in matrix, cut by late greyish quartz veinlets, Matacaballo vein, hole SMR-33-22-MTC, 186.25 -186.40 m depth; photo B: brecciated vein structure with multiple quartz vein generations, sulphides in patches including sphalerite, galena, chalcopyrite, pyrite, late quartz-carbonate veining with open spaces, Matacaballo vein, hole SMR-59-22-MTC, 376.30 – 376.44 m depth. (CNW Group/Silver Mountain Resources Inc.)