Silver Mountain Resources Inc. announced the receipt of results from six additional drill holes completed at its 100% owned Reliquias mine, central Peru. This is part of the Phase 2 of the 2023 drilling campaign, in which the Company has completed 12,043 metres of diamond drilling from 43 holes. So far, results have been received for 28 drill holes.

Three underground drill rigs are currently in operation at Reliquias. Discussion of 2023 Drilling Results: The Company has so far received results from drill holes on the Sacasipuedes, Perseguida and Matacaballo-Pasteur vein systems from four underground drill platforms: two from Sacasipuedes, one from Perseguida and one from Matacaballo-Pasteur-Vulcano. Drill holes SMR152-23-PER and SMR154-23-PER targeted the central portion of the Perseguida (PER) vein, below the existing workings.

Results confirm that the PER vein hosts some of the highest silver grades in the Reliquias mine, and confirms the lateral and verticial continuity of this mineralization. Drill hole SMR154-23-PER in particular, hit an area with little drilling coverage ? approximately 80 metres from the nearest intercept ?

and confirms the continuity of high grades hit by earlier drilling under the old workings. Drill holes SMR151-23-VUL and SMR156-23-VUL were aimed at testing both the Pasteur (PAS) vein, on the easternmost sector of the ENE-WSW Matacaballo vein system, and the Vulcano vein, a parallel structure located less than 100 metres to the north of Pasteur. Results from Pasteur confirm the grades seen in earlier drilling and will be incorporated in future resource estimates.

Results from Vulcano (VUL) suggest that, although the quartz vein mapped on surface extends at depth, the segment tested in these drill holes host lower silver grades. Additional drilling will test the lateral and vertical extensions to confirm if this quartz vein hosts significant ore shoots. The 2023 drill program consists of two phases: an initial 3,500 metre phase using BQ diameter core (now completed); and a second 12,500 meter phase using NQ and HQ diameter core.

Full results from the BQ diameter drilling have now been announced. The second phase of infill drilling started in June 2023 and continues with 3 rigs working in the upper levels of the MTC (Matacaballo), MTS (Meteysaca), and SCS (Sacasipuedes) vein systems, where high grade historical resource blocks remain outside of the current resource estimate. The Company plans to incorporate these high-grade blocks in future resource estimates.

Results will be announced as they become available. Sampling, QA/QC, and Analytical Procedures: Silver Mountain follows systematic and rigorous sampling and analytical protocols which meet industry standards. These protocols are summarized below.

All drill holes are diamond core holes with BQ, HQ or NQ core diameters. Drill core is collected at the underground drill site where recovery measurements are taken before the core is transported by truck to the core logging facility at the Caudalosa Grande mine camp, where it is photographed and geologically logged. The core is then cut in half with a diamond saw blade with half the sample retained in the core box for future reference and the other half placed into a pre-labelled plastic bag, sealed with a plastic zip tie, and identified with a unique sample number.

The core is typically sampled over a 1 - 2 metre sample interval unless the geologist determines the presence of an important geological contact. The bagged samples are then stored in a secure area pending shipment to a certified laboratory sample preparation facility. Rock channel samples were collected with an electric percussion hammer and do not exceed 1.0 m in length.

Channels are broken at obvious geologic boundaries to correctly separate rock types and mineralization styles. The sample bags were sealed with a plastic zip tie and identified with a unique sample number, pending shipment to a certified laboratory sample preparation facility. Samples are sent by batch to the ALS or Certimin laboratories in Lima for assay.

Silver Mountain independently inserts certified control standards, fine and coarse blanks, and duplicates into the sample stream to monitor data quality. These standards are inserted blindly to the laboratory in the sample sequence prior to departure from the core storage facilities. At the laboratory, samples are dried, crushed, and pulverized and then analyzed using a fire assay-AA finish analysis for gold and a full multi-acid digestion with ICP-AES analysis for other elements.

Samples with results that exceed maximum detection values for the main elements of interest (Ag, Zn, Pb, Cu) are re-analyzed using precise ore-grade ICP analytical techniques, while high gold values are re-analyzed by fire assay with a gravimetric finish.