Silver Mountain Resources Inc. announced results from channel sampling completed between December 2022 and May 2023, and from the first four drill holes from Phase 2 of its 2023 infill and resource expansion program at its 100% owned Reliquias mine, central Peru. None of these results were included in the current mineral resource estimate announced on April 12th, 2023. The Company´s crews have continued to systematically sample the underground workings as part of the preparation work to restart operations in the future.

A total of 800 samples were collected from the Sorpresa ("SOR"), Pozo Rico ("PZR"), Matacaballo ("MTC"), Perseguida ("PER") and Meteysaca ("MTS") veins. All samples were collected perpendicular to the veins using portable rock saws. The Company also announces that it has received final approval of an Informe Técnico Sustentatorio ("ITS") permit, allowing it to add twenty surface drill platforms on the Pasteur zone.

Channel Sampling Results: Between December 2022 and May 2023, Silver Mountain geologists collected 800 channel samples from several veins. Channel sampling across a 130 metre long segment of the Meteysaca Vein ("MTS") on level 520 yielded a weighted average of 22.51 oz/t AgEq with an average vein thickness of 0.73 metres. A channel within this segment of the MTC vein yielded 1.00m @ 1,343.35 g/t Ag, 1.87% Pb, 2.47% Zn, 0.59% Cu and 1.73 g/t Au, some of the highest grade samples collected to date using this method.

Sampling along the Perseguida vein system ("PER") continues to find significant gold and silver grades both along the main vein and its splays. An 18 metre long segment along the main vein yielded grades, over an average vein width of 0.50 metres, of 0.50m @ 340.68 g/t Ag, 0.59% Pb, 0.82% Zn, 0.05% Cu and 7.71 g/t Au. 2023 Drilling Results: The Company recently completed the first phase of underground infill and resource expansion drilling at Reliquias, using BQ diameter core.

The second phase of this program, using larger diameter NQ and HQ core, began in June 2023. So far, the Company has received results from the first four completed holes from Phase 2, drilled along the Sacasipuedes (or "SCS") and Perseguida (or "PER") veins. All four holes hit silver and polymetallic mineralization.

Holes SMR-131-23-PER and SMR-128-23-PER were collared from the same platform along the Perseguida ("PER") vein, aimed at validating the high grade historical resource blocks and extending the mineralization at depth. Results confirm that high grade silver extends below the previously mined areas, and further drilling will test the grade continuity of this vein both along strike and down dip. Finally, the Company reports that results from four Phase 1 drill holes, testing the Pozo Rico vein system, have been received.

None of these holes were included in the current resource estimate. Drill hole SMR88BQ-23-PZR, a stepout hole, hit significant gold and silver grades, extending mineralization approximately 100 metres along strike and 50 metres at depth. This mineralization remains open in all directions.

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.