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Outcrop Silver Achieves Outstanding Lock Cycle Flotation Recoveries: 97% Gold, 93% Silver

Drill Results Metallurgy & Processing

Outcrop Silver Achieves Outstanding Lock

Cycle Flotation Recoveries: 97% Gold, 93%

Silver

VANCOUVER, BC

,

Aug. 23, 2023

/CNW/ -

Outcrop Silver & Gold Corporation

(TSXV: OCG)

(OTCQX: OCGSF) (DE: MRG1)

("Outcrop Silver")

is pleased to report outstanding metallurgical

follow-up results from the high-grade Santa Ana silver project. This phase of metallurgical testing

was completed to characterize the produced tailings and their environmental impact, simulate real-

life processing along a locked cycle, and characterize the final products. The metallurgical test work

confirms for the Santa Ana project a premier level recovery based solely on flotation, high quality

and clean precious metal concentrate and a flotation-only non acid-generating tailing.

Highlights

The locked cycle flotation tests confirmed an outstanding gold recovery of 97 % and a

silver recovery of 93 %.

The resulting gold and silver flotation concentrate yielded 9,488 grams per tonne of

silver and 128 grams per tonne of gold.

Lower deleterious elements levels for favourable commercial sale terms.

Both ABA and NAG tests indicate no potential for acid drainage generation from flotation

tailings from Santa Ana.

"The results from our more rigorous locked cycle tests, which simulate a more realistic operating

environment, have confirmed an outstanding gold recovery of 97% and a silver recovery of 93%,"

commented

Guillermo Hernandez

, Vice President Exploration. "These results, combined with positive

findings on acid generation and the very low content of deleterious elements, are pivotal from both a

technical and environmental standpoint. These insights are crucial as we continue to refine our

understanding and derisking of Santa Ana, one of the premier grade silver deposits in the world."

"The latest metallurgical results signify a promising future for the Santa Ana project. Achieving such

high recoveries through flotation alone, combined with the production of a marketable clean high-

grade concentrate, underscores the project's immense potential," commented

Ian Harris

, Chief

Executive Officer. "Furthermore, the environmentally conscious test work indicates clean tailings,

which aligns perfectly with our commitment to responsible mining. This is not just good news—it's a

testament to the project's viability and our dedication to advancing it in the most sustainable and

efficient manner."

Metallurgical Test Work

Outcrop Silver prepared four core sample composites using coarse laboratory rejects (see news

release dated

February 23, 2022

). Two samples for each vein as follow: samples POR-01 and

POR-02 for the La Porfia vein and samples PAR-01 and PAR-02 for Paraiso vein. Each composite

weighted approximately 50 kilograms, and the samples represented two metallurgical domains: high-

grade and low-grade. The high-grade composites represent the average grade in the ore-shoot,

while the low-grade represents Outcrop Silver's "significant result" threshold. SGS Metallurgical

Services Chile has conducted all preparation and testing to date.

The latest metallurgical work consists of kinetic flotation locked circuit tests on the PAR-2 sample

from the Megapozo shoot of the Paraiso vein (see news release dated

November 03, 2022

) and

Acid-Drainege Generation potential assessment. Table 1 shows the metallurgical balance, final

recovery of 97.14% for gold and 92.85% for silver, producing a concentrate grading of 128.74

grams per tonne of gold and 9,488 grams per tonne of silver.

Grades

Recoveries %

Product

Mass %

Ag g/t

Au g/t

Fe %

S %

Ag

Au

Fe

S

Final Concentrate

5.17

9,488

128.74

35.36

46.75

92.85

97.14

31.89

74.83

Tails

94.83

40

0.21

4.12

0.86

7.15

2.86

68.11

25.17

Calculated Head

100.00

512

6.30

6.02

3.54

100.00

100.00

100.00

100.00

Assayed Head

539

6.14

7.27

3.81

Table 1. Summary Metallurgical Balance

Mineral Concentrate Characterization

The resulting concentrate was also chemically characterized with ICP at SGS Chile under the

analytical method ICP040B for a complete 43-element screening to determine concentrations of

potential deleterious elements. The arsenic content is 0.43%, and the antimony is 0.09% showing

acceptable levels for commercial terms of sale. Such characterizations are vital, offering insights into

the concentrate's quality and ensuring it aligns with industry standards for marketability.

As %

Co ppm

Cu %

Fe %

Mn ppm

Pb %

Sb %

Zn %

0.43

118

0.35

36.96

49

5.93

0.09

6.02

Table 2. Summary of potential deleterious elements

Particle Mineral Analysis (PMA) and Trace Mineral Search (TMS) for mineralogical characterization

of the gold and silver concentrate through QEMSCAM performed at SGS Chile allowed to determine

the majority of gold is present as electrum with the silver proportion ranging from 57 to 86%. The

electrum is closely related to silver sulfides, pyrite, sphalerite, and galena. TMS also determined the

lack of free gold grains in the concentrate. On the other hand, forty percent of silver minerals are

free and as sulfides, like Argentite, and are associated with pyrite, galena, sphalerite, and electrum.

Net Acid Generation (NAG) and Acid-Base Accounting (ABA) Test

The NAG test is a static test used to predict the generation of acid rock drainage during and after a

mining operation. It is considered a stand-alone prediction tool, and it is based on the chemical

reaction to accelerate the oxidation of sulfide minerals in a sample.

The ABA test is the most commonly used static method for characterizing mining waste. It is a

screening method for determining the mine waste's acid generation and neutralization potential. The

ABA test includes determining the waste's sulfur/sulfide content.

The tails from the locked cycle flotation tests were analyzed with NAG and ABA tests. The NAG and

ABA static tests highly indicate the ability to produce non-acid generating tails, offering significant

environmental benefits. Such outcomes align with Outcrop Silver's dedication to minimizing

environmental impact. As the project progresses, future testing will include dynamic test work to

further confirm these positive results.

Next Steps

Outcrop Silver plans to conduct additional metallurgical studies on different vein composites and an

overall representative composite of the Santa Ana project, following the recommendations from the

recent test work report. Furthermore, we will explore additional recovery methods and refine the

flow sheet to further optimize the project, ensuring the best balance between efficiency and

sustainability.

About Santa Ana

The 100% owned Santa Ana project comprises 27,000 hectares, 190 kilometres from

Bogota,

Colombia

. Santa Ana consists of regional-scale parallel vein systems covering a majority of the

Mariquita District. The Mariquita District is

Colombia's

highest-grade primary silver district, where

mining records date to at least 1585, with historic silver grades reported being among the highest in

Latin America

from dozens of mines.

Santa Ana maiden resource estimate contains an estimated indicated resource of 24.2 million

ounces silver equivalent at a grade of 614 grams per tonne silver equivalent and an inferred mineral

resource of 13.5 million ounces silver equivalent at a grade of 435 grams per tonne silver equivalent,

based on the NI 43-101 Technical Report titled "Santa Ana Property Mineral Resource Estimate,"

dated

June 8, 2023

, and prepared by AMC Mining Consultants. The resource is comprised of the

seven vein systems (commonly containing multiple parallel veins and multiple ore shoots) discovered

to date – Santa Ana (

San Antonio

,

Roberto Tovar

,

San Juan

shoots); La Porfia (La Ivana); El

Dorado (El Dorado, La Abeja shoots); Paraiso (Megapozo); Las Maras; Los Naranjos and La

Isabela.

Veins with similar high grade and thickness exist along strike toward the south, forming a high-grade

silver enriched trend that extends for 30 kilometres. Outcrop Silver's exploration team has identified

numerous additional veins based on high-grade samples from outcrop and historical workings that

have yet to be drill tested. Outcrop Silver remains focused on identifying new vein targets with high-

grade potential, and adding substantially derisked mineralized silver-bearing veins that will increase

the published maiden resource.

About Outcrop Silver

Outcrop Silver is advancing the Santa Ana high-grade silver deposit with exploration activities aiming

to expand the current mineral resource. Santa Ana is being advanced by a highly disciplined and

seasoned professional team with decades of experience in

Colombia

.

Qualified Person

Edwin Naranjo Sierra

is the designated Qualified Person for this news release within the meaning of

the National Instrument 43-101 (NI 43-101) and has reviewed and verified the technical information in

this news release. Mr. Naranjo has an MSc degree in Earth Science and is a Fellow of the

Australasian Institute of Mining and Metallurgy (FAusIMM) and of the Society of Econimic Geology.

ON BEHALF OF THE BOARD OF DIRECTORS

Ian Harris

Chief Executive Officer

+1 604 294 9039

[email protected]

www.outcropsilverandgold.com

Kathy Li

Vice President Investor Relations

+1 778 783 2818

[email protected]

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

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

this release. Certain information contained herein constitutes "forward-looking information" under

Canadian securities legislation. Generally, forward-looking information can be identified by the use

of forward-looking terminology such as "potential", "we believe", or variations of such words and

phrases or statements that certain actions, events or results "will" occur. Forward-looking

statements are based on the opinions and estimates of management as of the date such

statements are made and they are subject to known and unknown risks, uncertainties and other

factors that may cause the actual results, level of activity, performance or achievements of Outcrop

to be materially different from those expressed or implied by such forward-looking statements or

forward-looking information, including: the receipt of all necessary regulatory approvals, capital

expenditures and other costs, financing and additional capital requirements, completion of due

diligence, general economic, market and business conditions, new legislation, uncertainties

resulting from potential delays or changes in plans, political uncertainties, and the state of the

securities markets generally. Although management of Outcrop have attempted to identify

important factors that could cause actual results to differ materially from those contained in

forward-looking statements or forward-looking information, there may be other factors that cause

results not to be as anticipated, estimated or intended. There can be no assurance that such

statements will prove to be accurate, as actual results and future events could differ materially

from those anticipated in such statements. Accordingly, readers should not place undue reliance

on forward-looking statements and forward-looking information. Outcrop will not update any

forward-looking statements or forward-looking information that are incorporated by reference

herein, except as required by applicable securities laws.

SOURCE

Outcrop Silver & Gold Corporation

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/August2023/23/c5498.html

%SEDAR: 00005232E

For further information:

Ian Harris, Chief Executive Officer, +1 604 294 9039,

[email protected], www.outcropsilverandgold.com; Kathy Li, Vice President Investor

Relations, +1 778 783 2818, [email protected]

CO: Outcrop Silver & Gold Corporation

CNW 07:00e 23-AUG-23