AGMR.TO · 2022-10-04 12:00:00

Silver Mountain Reports Additional Underground Channel Sampling Results from Its Reliquias MINE

Drill Results Exploration Programs Sampling & Geoscience Results

SILVER MOUNTAIN REPORTS ADDITIONAL

UNDERGROUND CHANNEL SAMPLING

RESULTS FROM ITS RELIQUIAS MINE

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR DISSEMINATION IN OR INTO

THE UNITED STATES

Highlights:

0.85m

@ 215 g/t Ag, 2.57 g/t Au, 2.54% Pb, 6.48% Zn, and 1.08% Cu

1.95m

@ 178 g/t Ag, 0.31 g/t Au, 2.03% Pb, 3.60% Zn, and 0.35% Cu

0.90m

@ 249 g/t Ag, 0.21 g/t Au, 3.06% Pb, 2.36% Zn, and 2.07% Cu

TORONTO

Oct. 4, 2022

/CNW/ - Silver Mountain Resources Inc. (TSXV: AGMR) (

OTCQB: AGMRF) (BVL: AGMR) ("

Silver Mountain

", "

AGMR

" or the "

Company

") is pleased to

announce additional results from underground channel sampling at the Reliquias silver mine in

Huancavelica, central

Peru

. Assays have been received for another 66 rock channel samples taken

from Level 415 of the Meteysaca Vein (Fig.1), complementing the underground sampling results

published on

September 8, 2022

. This zone of well-developed mineralization in the Meteysaca Vein

is exposed over a total

272 m

along the

415 m

level. The results reported today were collected from

Zone 5 over a strike length of

69 m

, at the southeastern end of the currently accessible workings.

The Meteysaca Vein extends further southeast, however, for sampling to continue along strike, the

ongoing rehabilitation of the

415 m

level needs to be completed.

Samples were taken using an electric percussion hammer to produce a channel perpendicular

across the veins and mineralized structures. By cutting a continuous channel approximately 3-5 cm

deep by 10 cm wide, the channel samples essentially equal a drill core in their significance for future

resource estimation. Where the structure is exposed along the back of the drift, channels were cut

across the vein systematically every

4 m

. Channel lengths range between

0.60 m

and

1.95 m

The underground sampling results from the Meteysaca Vein confirm the continuity of well-developed

polymetallic mineralization within the structure, with significant concentrations of silver (Ag), lead

(Pb), zinc (Zn), and copper (Cu). Gold grades – on average 0.44 g/t Au in zone 5 – were

considerably higher than expected, ranging between 0.10 g/t and 4.76 g/t. To highlight the continuity

of this vein system, the grades and widths of channels were averaged over each of the five zones

shown in Fig. 1.

Zone ID

Length

(m)

Width

(m)

Ag g/t

Cu %

Pb %

Zn %

Au g/t

Zone 1

0.49

430

0.49

3.73

3.79

0.68

Zone 2

0.47

572

0.29

4.17

3.46

0.94

Zone 3

0.66

149

0.16

1.36

2.93

0.30

Zone 4

0.89

234

0.36

3.14

4.30

0.54

Zone 5

1.00

153

0.47

1.91

3.15

0.44

Table 1: Weighted assay results from systematic channel sampling along the Meteysaca Vein, calculated for each of the zones displayed in Fig.1. The new results from Zone 5

reported today are shown in bold.

The Meteysaca structure exhibits brecciation, irregular banding and crustiform textures typical of

intermediate sulphidation veins. Sulphide minerals are present as fine veinlets, semi-massive pods,

or in disseminated form, within a matrix composed of at least three generations of quartz, with minor

barite and calcites. Galena, sphalerite, silver sulpho-salts, chalcopyrite, and minor pyrite were

encountered. The Meteysaca Vein shows average widths of approximately

0.50 m

in the western

part of the ore shoot. Associated with a change in strike direction observed in Zone 4 (Fig.1), the

vein thickness increases towards the southeast, reaching

1.00 m

width in Zone 5.

Figure1: Plan view of the 415 m Level at the Reliquias silver mine, showing the location of

systematic channel sampling along the Meteysaca vein. Individual channel samples are shown within

five contiguous zones, colour-coded according to Ag values. Zone 5 with new results reported today

is highlighted in blue. Length, average thickness, and metal grades of each zone are provided in the

table shown in the lower part of the map. In the inset map, underground workings, main mineralized

veins, and drill hole traces from the ongoing drill program are displayed. (CNW Group/Silver

Mountain Resources Inc.)

Figure 2: Example of channel sampling along the back of Level 415, Meteysaca Vein. Central part of

photo shows vein sample 10257 (part of channel C66), which returned 235 g/t Ag, 1.47 g/t Au, 2.7%

Pb, and 1.77% Cu over 50 cm width. (CNW Group/Silver Mountain Resources Inc.)

The following table provides more detail regarding the channel sample results from Zone 5 of the

Meteysaca Vein structure.

Zone

Channel ID

Width (m)

Ag g/t

Cu %

Pb %

Zn %

Au g/t

C58

1.95

178.3

0.22

0.46

1.81

0.24

C59

1.30

150.2

0.29

1.64

1.44

0.40

C60

0.80

112.2

0.30

2.93

4.28

0.36

C61

0.95

190.7

0.20

2.05

9.37

0.31

C62

1.95

177.8

0.35

2.03

3.60

0.31

C63

0.60

189.0

0.26

1.50

2.90

0.64

C64

0.80

64.1

0.11

0.36

1.33

0.20

C65

0.90

110.9

0.21

3.81

5.69

0.26

C66

1.00

212.5

1.19

3.50

0.00

1.10

C67

0.60

156.0

0.48

4.40

10.90

0.33

C68

0.70

114.0

0.95

1.90

2.80

0.17

C69

1.10

99.0

0.24

0.56

0.78

0.14

C70

1.05

176.3

0.72

0.12

3.04

0.58

C71

0.90

248.8

2.07

3.06

2.36

0.21

C72

0.70

165.0

0.05

4.10

0.65

0.09

C73

1.20

57.6

0.02

0.93

0.78

0.23

C74

0.60

88.1

0.07

2.00

3.70

0.10

C75

0.85

215.4

1.08

2.54

6.48

2.57

Table 2: Assay results of systematic channel sampling, Zone 5, Meteysaca Vein, Reliquias mine.

On Behalf of the Board of Directors of Silver Mountain Resources Inc.

Alfredo Bazo

, Chief Executive Officer and Director

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 National Instrument NI 43-101 – Standards of Disclosure for Mineral Projects.

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

For additional information in respect of the Castrovirreyna Project, please refer to the Company's

technical report, titled National Instrument 43-101 Technical Report—Castrovirreyna Project,

Peru

dated

October 6, 2021

, amended

November 18, 2021

, effective date

August 17, 2021

, available at

https://sedar.com

Silver Mountain's subsidiary Sociedad Minera Reliquias S.A.C. owns 100% of its concessions and

holds more than 27,000 hectares in the district of Castrovirreyna, Huancavelica,

Peru

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 channel samples were collected with an electric percussion hammer and do not exceed

1.0 m

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 laboratory in

Lima

for assaying. Silver Mountain independently inserts

certified control standards (purchased from OREAS and Target Rocks), 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 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,

Au) are re-analyzed using precise ore-grade ICP analytical techniques, while high gold values are re-

analyzed by fire assay with a gravimetric finish.

Forward Looking Statements

This news release contains forward-looking statements and forward-looking information within the

meaning of Canadian securities legislation (collectively, "

forward-looking statements

") that relate

to Silver Mountain's current expectations and views of future events. Any statements that express, or

involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or

performance (often, but not always, through the use of words or phrases such as "will likely result",

"are expected to", "expects", "will continue", "is anticipated", "anticipates", "believes", "estimated",

"intends", "plans", "forecast", "projection", "strategy", "objective" and "outlook") are not historical

facts and may be forward-looking statements and may involve estimates, assumptions and

uncertainties which could cause actual results or outcomes to differ materially from those expressed

in such forward-looking statements. No assurance can be given that these expectations will prove to

be correct and such forward-looking statements included in this news release should not be unduly

relied upon. These statements speak only as of the date of this news release.

Forward-looking statements are based on a number of assumptions and are subject to a number of

risks and uncertainties, many of which are beyond Silver Mountain's control, which could cause

actual results and events to differ materially from those that are disclosed in or implied by such

forward-looking statements. Such risks and uncertainties include, but are not limited to, the factors

set forth under "

Forward-Looking Statements"

and "

Risk Factors

" in the Company's final prospectus

dated

January 26, 2022

, and other disclosure documents available on the Company's profile at

www.sedar.com

. Silver Mountain undertakes no obligation to update or revise any forward-looking

statements, whether as a result of new information, future events or otherwise, except as may be

required by law. New factors emerge from time to time, and it is not possible for Silver Mountain to

predict all of them or assess the impact of each such factor or the extent to which any factor, or

combination of factors, may cause results to differ materially from those contained in any forward-

looking statement. Any forward-looking statements contained in this news release are expressly

qualified in their entirety by this cautionary statement.

SOURCE

Silver Mountain Resources Inc.

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/October2022/04/c6369.html

%SEDAR: 00052252E

For further information:

Alfredo Bazo, President, CEO & Director, [email protected]; Jean Pierre

Fort, Chief Financial Officer, [email protected]; Silver Mountain Resources Inc, 82 Richmond Street

East, Toronto, ON M5C 1P1, +647-2624017, [email protected], www.agmr.ca

CO: Silver Mountain Resources Inc.

CNW 07:00e 04-OCT-22

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