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Silver Spruce and Colibri hit mineralization at El Pillado and La Prieta Au-Ag-Pb-Zn-Cu targets in 19-hole, 2,005 metre R/C drill program at Diamante project, Sonora, Mexico

Exploration Programs

Silver Spruce and Colibri hit mineralization at El Pillado and La Prieta Au-Ag-Pb-Zn-Cu

targets in 19-hole, 2,005 metre R/C drill program at Diamante project, Sonora, Mexico

August 3, 2022 - Bedford, NS - (TSXV:SSE) - Silver Spruce Resources Inc. ("Silver Spruce" or

the "Company") , with its partner Colibri Resources Corp. (“Colibri”), announces that their

Hermosillo-based team of geologists and service contractors has completed the first R/C drilling

program on the Diamante project. Nineteen (19) holes were drilled in its 2,005-metre program at

the La Prieta (10) and El Pillado (9) Au-Ag-Pb-Zn-Cu targets (Figure 1, Table 1). The drill-ready

Diamante gold-silver (Au-Ag) property (“Diamante” or the “Property”) is located 5 km northwest

of Tepoca, and 165 km southeast of the capital city of Hermosillo, eastern Sonora, Mexico.

“We are pleased to complete successfully our maiden exploration drilling program on two highly

prospective areas of Diamante. Our first two drill targets, El Pillado and La Prieta, exhibit ed

multiple intersections of sulphide mineralization, locally with fault controls , comprising

polymetallic vein-style occurrences within and adjacent to historical artisanal mining,” stated Greg

Davison, Silver Spruce Vice-President Exploration and Director.

Figure 1. Reverse circulation drill rig collared on pad #40 north of artisanal underground workings at

the Pillado drill target, first DDH on the Diamante 1 concession.

“Geological logging reported one o r more sulphide-bearing i ntersections per hole and pXRF

analyses conducted on -site during the drill program provided clear ly anomalous values of base

metals, pathfinders and to a lesser degree, silver . Mineralized sections occurred over individual

1.5 metre sampling intervals and, with anomalous geochemical haloes, over contiguous intervals

Media Release

up to 21 metres . From one to seven discrete pXRF anomalies per hole, based on 90 th and 95th

percentiles for Pb, Zn, As, Ba and Sr values, were indicated at both El Pillado and La Prieta,” Mr.

Davison added. “The initial batch of data from ALS Global (“ALS”) is in hand and under review

for the El Pillado drilling prior to release. We anticipate receipt and release of the remaining La

Prieta geochemical results from ALS shortly concurrent with interpretation of the geological

sections from both targets. Comparison of the current ALS data with the pXRF analyses identified

a strong linear relationship for selected metals and pathfinders which can be applied both to drilling

optimization and sample selection protocols for the future Diamante drill programs.”

Constructora Trax (“TRAX”) and Minera Drilling, both from Hermosillo, Mexico, respectively,

were contracted for the preparation of access trails and pads, and reverse circulation drilling holes

on the principal drilling target areas of the Diamante 1 and 2 concessions, specifically on the first-

priority targets at Pillado and La Prieta (Figures 1, 2, 3, 4 and 5).

Priority targets at Calton, Aguaje, El Chon-El Chon Oeste and Mezquite Raizudo are next in line

for a Phase 2 wor k program with several other promising targets awaiting additional ground

truthing activities.

Figure 2. Orthophoto of El Pillado target on Diamante 1 showing pads #40, 41 and 45 with projections

for nine drill holes. Adit located on north-facing exposure south of pad #40. Northerly and E-W-trending

faults parallel targets exhibiting Au-Ag-Cu-Pb-Zn mineralization with intense alteration. Anomalous

multi-element geochemical values shown in graduated symbols. 1:1,000 scale.

TRAX conducted activities in early June on the El Pillado and La Prieta targets, under the direction

of our exploration point team, to prepare access and drill pads . Minera Drilling mobilized from

Hermosillo to site on June 15 th and collared June 16 th with the program finished in four weeks

through July 12th.

Table 1. Summary of 2022 Drilling Program at Diamante Project

Figure 3. Orthophoto of La Prieta showing pads #7 and 8 and revised pad #5 west of the proposed site,

with projections for ten drill holes. Adit located on north-facing exposure south of pad #40. NE-trending

targets exhibit Au-Ag-Cu-Pb-Zn mineralization with intense alteration. Anomalous multi-element

geochemical values shown in graduated symbols. 1:1,000 scale.

Target DDH# Easting Northing Elevation Azimuth Dip Depth (m) Start Date End Date Lab Shipment

El Pillado DIA22-01 665036 3149518 866 135° 45° 102.0 16-Jun-22 17-Jun-22 21-Jun-22

El Pillado DIA22-02 665028 3149521 861 180° 45° 105.0 17-Jun-22 18-Jun-22 21-Jun-22

El Pillado DIA22-03 665025 3149527 886 225° 45° 102.0 18-Jun-22 19-Jun-22 21-Jun-22

El Pillado DIA22-04 665034 3149528 895 135° 70° 108.0 19-Jun-22 20-Jun-22 21-Jun-22

El Pillado DIA22-05 665034 3149524 906 105° 45° 129.0 20-Jun-22 21-Jun-22 26-Jun-22

El Pillado DIA22-06 664993 3149544 905 135° 45° 129.0 22-Jun-22 22-Jun-22 26-Jun-22

El Pillado DIA22-07 664993 3149539 870 200° 45° 126.0 23-Jun-22 23-Jun-22 26-Jun-22

El Pillado DIA22-08 664965 3149403 938 60° 50° 135.0 24-Jun-22 25-Jun-22 26-Jun-22

El Pillado DIA22-09 664973 3149402 945 45° 60° 129.0 25-Jun-22 26-Jun-22 26-Jun-22

La Prieta DIA22-10 664344 3150307 914 105° 55° 102.0 27-Jun-22 28-Jun-22 5-Jul-22

La Prieta DIA22-11 664340 3150304 930 130° 55° 85.5 29-Jun-22 30-Jun-22 5-Jul-22

La Prieta DIA22-12 664343 3150306 945 165° 55° 81.0 30-Jun-22 2-Jul-22 5-Jul-22

La Prieta DIA22-13 664338 3150304 940 185° 50° 90.0 2-Jul-22 4-Jul-22 5-Jul-22

La Prieta DIA22-14 664317 3150279 929 160° 55° 124.5 5-Jul-22 6-Jul-22 13-Jul-22

La Prieta DIA22-15 664316 3150274 915 185° 55° 126.0 6-Jul-22 8-Jul-22 13-Jul-22

La Prieta DIA22-16 664390 3150312 953 180° 75° 100.5 8-Jul-22 9-Jul-22 13-Jul-22

La Prieta DIA22-17 664383 3150312 955 150° 65° 87.0 9-Jul-22 11-Jul-22 13-Jul-22

La Prieta DIA22-18 664391 3150314 937 130° 75° 72.0 11-Jul-22 12-Jul-22 13-Jul-22

La Prieta DIA22-19 664389 3150313 940 90° 75° 72.0 12-Jul-22 12-Jul-22 13-Jul-22

The initial four holes at El Pillado targeted E-W trending, shallow-dipping mineralization. Five

additional holes were proposed at Pillado to test western extensions and southerly south -dipping

targets. Ten holes were completed at La Prieta, a ll of which are oriented to intersect depth

projections of known surface and shallow underground holes were inclined between -45˚ and -75˚

and drilled to depths ranging from 70 metres to 135 metres.

Samples were screened using pXRF analyses during the on-site logging to provide rapid qualitative

data for dynamic decision -making on drill hole planning and depth targeting (Figure 5). Four

sample shipments comprising a total of 1,586 samples, including QA/QC insertions, to ALS

Global in Hermosillo were delive red on a weekly basis (Table 1). The quantitative drill sample

results will be reported in due course.

Figure 4. Minera Drilling rig underway on DDH#22-10 to the northwest above portal to workings at the

La Prieta drill target.

Project Geology

The Property is located within the west -central portion of the Sierra Madre Occidental Volcanic

Complex within the northwest-trending “Sonora Gold Belt” of northern Mexico. Diamante offers

strong precious metal tenor with a polymetallic endowment, multiple quality targets, styles of

mineralization, of particular significance for our exploration moving forward, no records of

drilling. Historical exploration and artisanal activities are indicated by surface trenches and

subsurface workings parallel to and cutting the vein mineralization were measured up to 100

metres in length, with the latter showing shafts and short lateral drifts.

Geological features of epithermal Au, low to intermediate sulphidation Ag -Au (Pb -Zn), high

sulphidation Au-Cu, and potential porphyry style Au -Cu occur as disseminated, stockwork and

vein styles. Most drill targets are polymetallic vein style with precious metal -dominant targets

also identified at Calton, El Chon and Aguaje. Metal zoning or pulses of mineralization may be

indicated at each of these three locations.

Silicification with sericitic, argillic and propylitic alteration were accompanied by drusy to vuggy

quartz, black tourmaline, multiple disseminated to vein sulphides with incipient to pervasive

oxidation to carbonates, sulphates such as jarosite, hematite and iron hydroxide.

Our recent geological mapping programs conducted over multiple targets reported Au values to

51.5 g/t from silicified breccias in the Calton target (see Press Release of April 27, 2022), the

highest Au grade yet reported from Diamante, and Ag values >1,000 g/t were recorded from base

metal sulphide -bearing veins at Pillado, El Chon and El Cumbro ac companied by high -grade

primary and supergene Pb+Zn+Cu up to a combined grade of 50.9 wt.% from grab and channel

sampling at surface and within historical trenches and artisanal workings. Importantly, despite the

number and quality of known mineralization targets, there is no recorded historical drilling on

Diamante to date.

Figure 5. Company geologists utilizing portable X-ray fluorescence (pXRF) analyses on R/C drill chip

samples to guide daily drilling activities, hole depth, fan design and undercutting areas of visual

mineralization and those indicated by Cu, Pb, Zn, Ag and other pathfinder element data.

Specifically, geochemical results from surface and underground sampling of eight target areas

reported precious metals (Au to 51.5 g/t, Ag to 2,270 g/t), base metals (Pb to 42.3 wt.%, Zn to 22.9

wt.% and Cu to 3.2 wt.%) and pathfinders each exhibited weak to highly anomalous values

commonly with high Ag;Au and low to high Pb:Zn. Elevated Cu, Cd, Sb, Hg, As and Bi are linked

commonly to Pb and/o r Zn. The current assays are consistent with historical surface and U/G

channel samples reported up to 39.8 g/t Au, 3,460 g/t Ag, 18.2% Pb, 33.5% Zn and 1.47% Cu (see

Press Releases of April 12, 2021, and January 24, 2022).

Mineralization is reported vi sually as pyrite, arsenopyrite, chalcopyrite, sphalerite, argentiferous

galena, argentite, hematite and probable metal oxides, carbonates and sulphates, including copper

carbonate (malachite), copper sulphates and plumbojarosite.

Structural lineaments show intersecting and splaying vein patterns with steep to moderately

dipping northwest, northeast and north -striking orientations were confirmed and spatially

coincident with parallel to oblique faults and shears which control and locally offset the

mineralization.

Project Background

Silver Spruce can acquire up to 50% interest in four Diamante concessions with a cumulative land

position of 1,057 hectares (see Press Release of April 29, 2021).

The Property is well situated in terms of logistics for exploration and is easily accessible from

Mexican Highway #16 which transects Diamante 1 and along several trails and dry river beds

southward to Diamante 2.

Mining and exploration in the surrounding area is very active with adjacent and nearby properties

held by Alamos Gold, Argonaut, Agnico Eagle, Evrim, Newmont, Garibaldi, Kootenay Silver and

Penoles among others.

Geochemical Analysis, Quality Assurance and Quality Control

Drilling samples (¼ splits) were delivered by the Project Geologist from the Property to the ALS

sample preparation facility in Hermosillo, Sonora, Mexico. The remaining ¼ and ½ splits were

transported to Colibri’s storage facilities in Suaqui Grande, south of Tecoripa, Sonora.

ALS Global in North Vancouver, British Colum bia, Canada, is a facility certified as ISO

9001:2008 and accredited to ISO/IEC 17025:2005 from the Standards Council of Canada. Local

chain of custody was monitored and maintained by the Project Geologist under the direction of the

QP.

The samples were crushed to 70% passing 2mm (PREP -31) and a split of up to 250 grams

pulverized to 85% passing 75 micrometres (-200 mesh). The sample pulps and crushed splits were

transferred internally to ALS Global's North Vancouver, Canada or Lima, Peru analytical facil ity

for gold and multi-element analysis.

Pulps (50gram split) were submitted for Au analysis by Fire Assay with Atomic Absorption finish

(Au-AA24). The retained pulps also were analysed by Four Acid Digestion followed by

Inductively Coupled Plasma Atomic Emission Spectrometry (ICP -AES) multi-element analyses

(ME-ICP61m) with Hg by Aqua Regia and ICP-MS (Hg-MS42).

Over-limit Au and Ag samples were analyzed by Fire Assay with Grav imetric Finish Ore Grade

(Au-GRA21 or Au -GRA22, Ag -GRA21). Overlimit base metals are analyzed by Four Acid

Digestion followed by Ore Grade Inductively Coupled Plasma Atomic Emission Spectrometry

(ICP-AES) for Cu, Pb and Zn (Cu -OG62, Pb-OG62, Zn-OG62). High grade samples above the

range of the Ore Grade OG62 analysis are digested, as above, and analyzed using Titration (e.g.,

Pb-Vol70).

In-house quality control samples were inserted into the sample set by the Project Geologist. ALS

Global conducts its own internal QA/QC program of blanks, standards and duplicates, and the

results are provided with the Company sample certificates. The results of the internal and ALS

control samples w ill be reviewed by the Company's QP and evalu ated for acceptable tolerances

prior to disclosure.

All sample and pulp rejects will be stored at ALS Global pending full review of the analytical data,

and future selection of pulps for independent third-party check analyses, as requisite.

All metal value s disclosed herein by Silver Spruce are reported from grab and channel samples

which may not be representative of the metal grades.

The Company’s Qualified Person believes that the sampling documentation, analytical protocols

and quantitative data will withstand scrutiny for inclusion.

Qualified Person

Greg Davison, PGeo , Silver Spruce VP Exploration and Director, is the Company’s internal

Qualified Person for the Diamante Project and is responsible for approval of the technical content

of this press release within the meaning of National Instrument 43 -101 Standards of Disclosure

for Mineral Projects ("NI 43-101"), under TSX guidelines.

About Silver Spruce Resources Inc.

Silver Spruce Resources Inc. is a Canadian junior exploration company which has signed

Definitive Agreements to acquire 100% of the Melchett Lake Zn -Au-Ag project in northern

Ontario, and w ith Colibri Resource Corp. in Sonora, Mexico, to acquire 50% interest in Yaque

Minerales S.A de C.V. holding the El Mezquite Au project, and up to 50% interest in Colibri's

Diamante Au-Ag project. Silver Spruce recently signed a 50:50 joint venture agreem ent with

Colibri on the Jackie Au project. Silver Spruce signed a Definitive Agreement to acquire 100%

interest in the Mystery Au project in the Exploits Subzone Gold Belt, Newfoundland and

Labrador. The Company signed an Agreement to earn 100% interest in the Pino de Plata Ag

project in western Chihuahua, Mexico. Silver Spruce Resources Inc. continues to investigate

opportunities that Management has identified or that have been presented to the Company for

consideration.

Contact:

Silver Spruce Resources Inc.

Greg Davison, PGeo, Vice-President Exploration and Director

(250) 521-0444

[email protected]

Michael Kinley, CEO

(902) 402-0388

[email protected]

[email protected]

www.silverspruceresources.com

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

Exchange) accepts responsibility for the adequacy or accuracy of this release.

Notice Regarding Forward-Looking Statements

This news release contains "forward -looking statements," Statements in this press release which are not purely historical are

forward-looking statements and include any statements regarding beliefs, plans, expec tations or intentions regarding the future,

including but not limited to, statements regarding the private placement.

Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include,

among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing

on acceptable terms. We are not in control of metals prices and these could vary to make development uneconomic. These forward-

looking statements are made as of the date of this news release, and we assume no obligation to update the forward -looking

statements, or to update the reasons why actual results could differ from those projected in the forward -looking statements.

Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can

be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate.