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Silver Mountain Mines Announces Private Placement

Financings

4815-3973-6261, v. 1

SILVER MOUNTAIN MINES ANNOUNCES PRIVATE PLACEMENT

August 4th , 2020 - Calgary, Alberta – Silver Mountain Mines Inc. (TSX-V: SMM) ("Silver M ountain" or the

"Company") is pleased to announce a non-brokered private placement of up to 2,000,000 flow-through units (“Flow

Through Unit ”) at a price of $0.25 per unit and up to 500,000 Common Share Units (“Common Share Units”)at $0.25

per unit for total cash proceeds of up to $500,000 (the "Offering ") .

Each Flow-Through Unit consists of one common share of th e Corporation to be issued on a flow-through basis

(" Flow-Through Share ") and one (1) common share purchase warrant. Each com mon share purchase warrant

( " Warrant ") entitles the holder to acquire, subject to adjustment, one Common Share at a price of $0.35 per share on

or before 4:30 p.m. (Calgary time) on or before December 31, 2023 (the " Expiry Date ").

Each Common Shares Unit consists of one common share of the Corporation (" Common Share ") and one (1) Common

Share purchase warrant. Each common share purchase warrant (" CS Warrant ") entitles the holder to acquire, subject

to adjustment, one Common Share at a price of $0.35 per s hare on or before 4:30 p.m. (Calgary time) on or before

December 31, 2023 (the " Expiry Date ").

“The current market is providing SMM an opportunity to re- evlaluate all the data to better understand where the

potential high grade mineralization exist and to further develop the potential of significant polym etallic

manto/vein mineralization in a historically rich mineral ized area. We continue to believe that the results we have

amassed over several programs warrants new interpretations, to the south within Iron Cap basin and to the east , in the

unexplored Law creek area. Strong historical occurrences of known high grade mineralization demonstrate the

discovery potential for additional mineralized targets throughout the property”, says Steve Konopelky, Director

of the company.

Past reported results (www.silvermountainmines.com) of weighted average drill intercepts include 4.60 met res

grading 1,949 g/t Ag, 0.803 g/t Au and 0.72 % Cu, including 0.33 metres grading 22,945 g/t Ag, 5.75 g/t

Au and 8.24% Cu and 1.49 metres grading 5,919 g/t A g, 1.87 g/t Au and 2.18% Cu in hole PT14-118.

Additional mineralized intercepts have been documented from the following holes: PT14-112 with 1.34 metres

grading 1,208 g/t of Ag, 2.35 g/t Au and 1.26% Cu, including 0.29 meters grading 5,426 g/t Ag, 16.26 g/t

Au and 3.21% Cu, PT14-116 with 1.0 metre grading 1,188 g/t of Ag, 0.55 g/t Au and 0.45% Cu, including

0.21 meters grading 5,261 g/t Ag, 2.18 g/t Au and 1.99% Cu and PT14-119 with 0.26 metres grading 5,243 g/t Ag,

2.20 g/t Au and 1.88% Cu. These past drill results , together with new interpretation may indicate additional

high grade intercepts documented at shallower levels suggest at least three mineralized structures within the target

area.

The Company may pay a finders fee relative to the Offering and the securities issued in the Offering will be subject to

a hold period of four months plus one day from closing and are further subject to such other applicable regulatory and

TSX Venture Exchange approvals. The Company will use the proceeds of the private placement for exploration work,

property evaluation, strategic alternatives and for working capital.

About Silver Mountain Mines Inc. (TSX-V: SMM)

Silver Mountain Mines Inc. is a Canadian based exploration and de velopment company with 100% ownership of a

9,986 hectare property centered on the historical silver rich Ptarmigan Mine in south eastern, British Columbia.

For further information on Silver Mountain Mines Inc. please vi sit the Company’s website

http://www.silvermountainmines.com and SEDAR (www.sedar.com) or contact Mr. Steve Konopelky, Director of the

Company.(403-229-9140)

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content

of upcoming work programs, geological interpretations, p otential mineral recovery processes, or possible transact ions or

alternative business arrangements or relationships etc. Forward -looking statements address future events and conditions and

therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipat ed in such

statements. These statements are based on several assumptions and factors that could cause actual results to differ materially from

those in forward looking statements Silver Mountain Mines Inc. do es not assume any obligation to update or revise its forward-

looking statements, whether because of new information, future events or otherwise, except to the extent required by appli cable

law. Neither the TSX-Venture Exchange nor its Regulation Services Provider, as per the term defined in the policies of the TSX

Venture Exchange, accepts responsibility for the adequacy or accuracy of the release.