GRSL.V · 2020-08-11 12:00:00

GR Silver Mining Reports Near Surface Silver and Gold Mineralization in Drill Results from the Plomosas Mine Area, Plomosas Silver Project 716 gpt AgEq 1 over 6.8 m (191 gpt Ag, 1.9 gpt Au, 7.1% Pb and 3.4% Zn) 1,687 gpt AgEq over

Drill Results

GR Silver Mining Reports Near Surface Silver

and Gold Mineralization in Drill Results from

the Plomosas Mine Area, Plomosas Silver

Project

716 gpt AgEq

over

6.8 m

(191 gpt Ag, 1.9 gpt Au, 7.1% Pb and 3.4% Zn)

1,687 gpt AgEq over

0.4m

(1,559 gpt Ag, 0.5 gpt Au, 1.4% Pb and 1.1% Zn)

12.6m

at 1.7 gpt Au, 17 gpt Ag and 0.7% Zn

VANCOUVER, BC

Aug. 11, 2020

/CNW/ -

GR Silver Mining Ltd.

(TSXV: GRSL) (FRANKFURT:

GPE) (OTCQB: GRSLF)

("GR

Silver Mining" or the "Company")

– is pleased to report drill

results from the Plomosas Mine Area at its 100%-owned Plomosas Silver Project ("Plomosas

Project") in

Sinaloa, Mexico

These drill results reveal the presence of wide zones of gold mineralization in addition to attractive

near surface polymetallic (Ag-Pb-Zn) mineralization. The two styles of mineralization represent

unmined areas located

50 m

NW from a previously released section of drill hole results at the

Plomosas Mine Area (Figure 1). The results define a mineralized strike length of up to

700 m

, with

field evidence and underground mapping indicating further continuity along strike and down dip. This

news release features results from 14 diamond core holes drilled by previous companies but not

previously released. The 3D geological model of results to date in the Plomosas Mine Area

continues to support the Ag-rich polymetallic breccia being hosted within a shallow dipping fault and

the silver-gold mineralized low sulphidation epithermal veins being hosted by multiple high angle

faults.

The mineralized veins and hydrothermal breccias reported in this news release (Table 1), favour the

potential delineation of shallow polymetallic resources, up to 150 vertical metres below surface. This

zone has been earmarked for testing by the Company's upcoming shallow diamond core drilling

program to fully explore the extent of down-dip and along-strike continuity.

____________________

AgEq is based on long term gold, silver, zinc and lead prices of US$1600 per ounce gold, US$16.50 per ounce silver, US$0.85 per pound zinc and US$0.95 per pound lead. The

metallurgical recoveries are assumed as 90% Ag, 95% Au, 78% Pb and 70% Zn.

GR Silver Mining President and CEO,

Marcio Fonseca

, commented,

"These results confirm

continuity of the Plomosas Mine Area mineralized system, extending at least

700 m

along strike to

the NW. Additionally, our recent surface exploration work has provided evidence that the

mineralized footprint extends beyond the existing drilled areas. The definition of silver-gold rich

mineralized zones close to the surface represents potential for the delineation of shallow resources

at the Plomosas Mine Area".

Figure 1: Drone Image of the Plomosas Mine Area (looking to the NW) - Drill Hole Location Map

(CNW Group/GR Silver Mining Ltd.)

GR Silver Mining is currently advancing its surface drilling program on the two areas marked on

Figure 1, aiming to define new mineralized zones close to the surface. Modelling of mineralized

zones in 3D is also underway, integrating all drill hole data, surface and underground mapping and

underground channel sampling. The excellent geotechnical conditions of the historical Plomosas

underground mine workings allows full access to important areas where the Company has been able

to identify multiple low sulphidation epithermal veins. These veins will be the target of an

underground drilling program, expected to commence in the coming months.

Table 1 summarizes the most significant drill assay results for this set of 14 drill holes released for

the Plomosas Mine Area.

Table 1: Summary Surface Drill Hole Results - News Release

August 11

2020 (Plomosas Mine

Area)

Hole No.

From

(m)

Drilled

width

(m)

Est.

true

width

(m)

Ag g/t

Au g/t

Pb %

Zn %

AgEq

g/t

PLSS18-02

357.8

359.8

2.0

350

0.2

0.3

0.2

383

includes

358.9

359.3

0.4

1,559

0.5

1.4

1.1

1,687

360.5

366.8

6.3

1.4

PLSS18-04

377.6

387.9

10.3

10.2

0.2

0.1

0.5

PLI17-27

57.0

77.9

20.9

20.4

0.9

0.3

1.0

143

PLI17-35

74.8

94.7

19.9

19.2

0.5

0.2

0.6

PLI17-44

110.6

114.1

3.5

3.2

0.1

0.5

1.2

118.0

129.0

11.0

10.1

0.1

0.5

216

205.0

207.8

2.8

1.8

1.1

1.9

3.1

284

219

7.5

14.3

6.8

4.4

191

1.9

7.1

3.4

716

226

140.0

148.9

8.9

8.8

1.1

227

145.5

146.4

0.9

0.7

5.0

1.0

0.8

228

46.0

46.3

0.3

1.7

0.8

1.9

295

161.0

161.5

0.5

0.4

0.1

0.8

2.0

163.0

163.5

0.5

0.4

0.3

7.2

172.0

172.6

0.6

0.5

0.8

1.1

176.5

176.9

0.4

2.1

3.0

216.0

216.4

0.4

5.0

229

194.5

194.9

0.4

2.2

2.5

0.1

199.5

199.9

0.4

1.1

235

17.3

21.6

4.3

3.1

0.3

2.4

108

72.0

73.0

1.0

0.8

134

2.3

0.1

2.4

437

244

140.9

147.6

6.7

3.4

135

0.5

1.1

232

includes

140.9

143.3

2.4

1.2

184

0.4

0.9

224

148.4

154.4

6.1

3.0

0.8

244

160.9

167.9

7.0

3.5

1.1

167.9

169.2

1.3

0.7

1.2

0.1

6.1

367

182.2

194.7

12.6

6.3

1.7

0.7

209

252

147.3

156.3

9.0

5.2

0.5

*AgEq is based on long term gold, silver, zinc and lead prices of US$1600 per ounce gold, US$16.50 per ounce silver, US$0.85 per pound zinc and US$0.95 per pound lead. The

metallurgical recoveries are assumed as 90% Ag, 95% Au, 78% Pb and 70% Zn. "na" = no relevant assays. All numbers are rounded. Results are uncut and undiluted. UG:

Underground Drill Hole, SURF: Surface Drill Hole

The 14 drill holes in this news release were generated by a core drilling campaign completed by

First Majestic Silver Corp. ("First Majestic") in 2017 and 2018 (PLI17-27, PLI17-35 and PLI17-44;

PLSS18-02 and PLSS18-04), and historical drill holes completed by Grupo Mexico. Neither of the

drill sets were previously released. They are part of an extensive surface and underground diamond

core drilling database, which GR Silver Mining continues to consolidate and validate.

Table 2 lists the drill hole intervals previously not sampled ("NS") for this group of released holes.

The Company continues investigating previous unsampled intervals for evidence of mineralization in

the core that warrants additional sampling and assaying.

Additionally, Table 3 provides collar coordinates for the drill holes presented in this news release.

Table 2: Plomosas Mine Area - Drill Hole Intervals Not Sampled (Intervals greater than

20m

)

Hole No.

From-To (m)

Sampling

PLSS18-02

0-354.15

PLSS18-04

0-373.05

PLI17-27

0-49.05

PLI17-27

84.7-121.6

PLI17-35

0-70.45

PLI17-44

0-92.3

All numbers are rounded. NS - Core not assayed by First Majestic

Table 3: Drill Hole Locations – News Release

August 11, 2020

(Plomosas Mine Area Area)

Hole No.

East (m)

North (m)

RL (m)

Az.

Dip

Depth (m)

PLSS18-02

451201

2552308

1134

111

-57

400

PLSS18-04

451201

2552308

1134

-77

418

PLI17-27

451180

2552225

798

-45

122

PLI17-35

451179

2552229

798

-40

132

PLI17-44

451175

2552228

798

360

-45

193

216

451485

2552288

979

308

-60

224

219

451586

2552252

941

308

-60

263

226

451535

2552298

993

-60

234

227

451539

2552263

976

308

-60

203

228

451539

2552263

976

-77

234

229

451483

2552300

988

-90

208

235

451494

2552246

957

308

-60

208

244

451443

2552242

980

308

-50

200

252

451439

2552242

983

308

-59

158

All numbers are rounded.

The Company believes that the Plomosas Mine Area is part of a much larger low sulphidation

epithermal system as indicated by field evidence along 1.0 km of strike length, where only

400 m

that strike has previously been drilled. This represents an opportunity for the current surface drilling

program to continue discovering new mineralized zones close to the surface.

Qualified Person

The scientific and technical data contained in this News Release related to the Plomosas Project

was reviewed and/or prepared under the supervision of Marcio Fonseca, P.Geo. He has approved

the disclosure herein.

Quality Assurance Program and Quality Control Procedures ("QA/QC")

The recent drill holes completed by First Majestic from 2016 to 2018, followed QA/QC protocols

reviewed and validated by GR Silver Mining, including insertion of blank and standard samples in all

sample lots sent to First Majestic's Laboratorio Central facilities in La Parilla, Durango, for sample

preparation and assaying. Additional validation and check assays were performed by an

independent laboratory at SGS de México, S.A. de C.V. facilities in

Durango, Mexico

. The analytical

methods applied for these recent holes for Ag and Au assays comprised of Fire Assay with Atomic

Absorption finish for samples above Au >10ppm and Ag >300ppm and Gravimetric Finish. Pb and Zn

were analyzed using Inductively Coupled Plasma Optical Emission Spectrometry. GR Silver Mining

has not received information related to the Grupo Mexico QA/QC and assay protocols and at this

stage is considering the information historic for news release purposes.

About GR Silver Mining Ltd

GR Silver Mining Ltd. is a

Mexico

-focused company engaged in cost-effective silver-gold resource

expansion on its key assets which lie on the eastern edge of the Rosario Mining District,

Sinaloa,

Mexico

PLOMOSAS SILVER PROJECT

GR Silver Mining owns 100% of the Plomosas Silver Project located near the historic mining village

La Rastra

, within the Rosario Mining District. The Project is a past-producing asset where only

one mine, the Plomosas silver-gold-lead-zinc underground mine, operated from 1986 to 2001. The

Project has an 8,515-hectare property position and is strategically located within 5 km of the San

Marcial Silver Project in the southeast of Sinaloa State,

Mexico

. The Plomosas Project comprises six

areas with an average of 100 surface and underground drill holes in each area, geophysical and

geochemical data covering most of the concession, 16 new exploration targets from which 11 have

high priority for future exploration programs.

The 100%-owned assets include all facilities and infrastructure including: access roads, surface

rights agreement, water use permit,

8,000 m

of underground workings, water access, 60 km - 33

KV power line, offices, shops, 120-person camp, infirmary, warehouses and assay lab representing

approximately

US$30m

of previous capital investments. The previous owners invested approximately

US$18 million

in exploration.

The silver and gold mineralization on this Project display the alteration, textures, mineralogy and

deposit geometry characteristics of a low sulphidation epithermal silver-gold-base metal vein/breccia

mineralized system. Previous exploration was focused on Pb-Zn-Ag-Au polymetallic shallow

mineralization, hosted in NW-SE structures in the vicinity of the Plomosas mine. The E-W portion of

the mineralization and extensions for the main N-S Plomosas fault remains under-explored. The

Plomosas Silver Project has more than 500 recent and historical drill holes in six areas – Plomosas

Mine,

San Juan

La Colorada

Yecora

San Francisco

and El Saltito. These drill holes represent an

extensive database allowing the Company to advance towards resource estimation and potential

project development in the near future.

SAN MARCIAL PROJECT

San Marcial is a near-surface, high-grade silver-lead-zinc open pit-amenable project. GR Silver

Mining is currently drilling at the San Marcial Project, which contains 36 Moz AgEq (Indicated) and

11 Moz AgEq (Inferred), exploring recently defined new high-grade gold and silver targets along the

project's 6 km mineralized trend. GR Silver Mining is the first company to conduct exploration at San

Marcial in over 10 years. The NI 43-101 resource estimate (San Marcial Project – Resource

Estimation and Technical Report) was completed by WSP Canada Inc. on

March 18, 2019

and

amended on

June 10, 2020

Plomosas and San Marcial collectively represent a geological setting resembling the multimillion-

ounce San Dimas Mining District which has historically produced more than 600 Moz silver and 11

Moz gold over a period of more than 100 years.

OTHER PROJECTS

GR Silver Mining's other projects are situated in areas attractive for future discoveries and

development in the same vicinity of Plomosas and San Marcial in the Rosario Mining District.

Mr.

Marcio Fonseca

P. Geo, President & CEO

GR Silver Mining Ltd.

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Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in

the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of

this press release.

Disclaimer for Forward-Looking Information

This press release contains forward-looking statements and information that are based on the

beliefs of management and reflect the Company's current expectations. When used in this press

release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict",

"may" or "should" and the negative of these words or such variations thereon or comparable

terminology are intended to identify forward-looking statements and information. Such statements

and information reflect the current view of the Company. Risks and uncertainties may cause actual

results to differ materially from those contemplated in those forward-looking statements and

information. By their nature, forward-looking statements involve known and unknown risks,

uncertainties and other factors which may cause our actual results, performance or achievements,

or other future events, to be materially different from any future results, performance or

achievements expressed or implied by such forward-looking statements.

SOURCE

GR Silver Mining Ltd.

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http://www.newswire.ca/en/releases/archive/August2020/11/c9305.html

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For further information:

+1 (604) 202 3155, Email: [email protected]

CO: GR Silver Mining Ltd.

CNW 07:30e 11-AUG-20

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