SVM.TO · 2019-05-08 12:00:00

NSYE American: SVM Silvercorp reports an Updated NI 43-101 Resource Estimate for the BYP Gold-Lead-Zinc Property in Hunan Province, China

Resource Estimates

NEWS RELEASE

Trading Symbol: TSX: SVM

NSYE American: SVM

Silvercorp reports an Updated NI 43-101 Resource Estimate for

the BYP Gold-Lead-Zinc Property in Hunan Province, China

VANCOUVER, British Columbia – May 8, 2019 – Silvercorp Metals Inc. (“Silvercorp ” or the

“Company”) (TSX / NYSE American: SVM) is pleased to report an updated National Instrument

43-101 Technical Report has been completed by RPMGl obal Asia Limited (“RPM”) on the Baiyunpu

(“BYP”) gold-lead-zinc property in Hunan Province, People’s Republic of China (the “BYP NI 43-101

Technical Report”). The BYP NI 43-101 Technical Re port, with an effective date of April 30, 2019,

will be filed under the Company’s SEDAR profile at www.sedar.com within 45 days of this news

release and on the Company’s website at www.silvercorp.ca.

The 2012 NI 43-101 report on the BYP property was b ased on data effective 2011. The current

report is based on an additional 22 diamond drill h oles and 1,099 metres of channel samples from

tunnels.

The results of the mineral resource estimates for the three physically distinct areas (gold, lead & zinc,

and overlap) of the BYP project, as extracted from the BYP NI 43-101 Technical Report prepared by

RPM, are presented in Tables 1 and 2. A 1.6 g/t Au cut-off grade was used for the gold area in the

report based on the following parameters for the pr oject: the previous underground mining

operations, its processing cost, and 120% of the Co nsensus Price forecasts for the product element

as at January 2019.

Table 1 – BYP Property - Mineral Resources for the Gold Area

Area Classification

Au Mineral Resource

Quantity Au

Grade

Metal

Mt g/t koz Tonne

Gold area

Measured 2.8 3 269 8.37

Indicated 1.5 3.1 149 4.63

Measured &

Indicated 4.3 3.1 418 13.00

Inferred 1.3 2.5 109 3.39

Table 2 – BYP Property - Mineral Resources for the Lead and Zinc Area and the Overlap Area

Area Classification

Pb and Zn Mineral Resource

Quantity Pb

Grade

Metal

Mt % % g/t kt kt koz

Lead and

Zinc area

Indicated 4.0 0.7 2.3 - 28 89 -

Inferred 6.1 1.4 3.1 - 83 187 -

Overlap

area

Indicated 0.12 1.2 1.7 0.8 2 2 3

Inferred 0.03 2.7 3.5 1 1 1 1

Notes:

1. CIM Definition standards (2014) were used for reporting the Mineral Resources.

2. All data current to November 30, 2018.

3. Silvercorp owns 70% equity interest of BYP Au-Pb-Zn Project.

4. Pb Equivalent (PbEq) formulas used for equivalent grade is: PbEq= Pb + Zn*1.3069 + Au*2.1386.

5. Mineral Resources are reported on a dry, in-situ basis.

6. The overlapped areas were reported inside lead and zinc resource table based on PbEq cut-off.

7. Mineral Resources are reported at a 1.6 g/t Au cut- off and 3% Pb equivalent cut-off. Cut-off paramete rs

were selected based on an RPM internal cut-off calculator in which the gold price of USD$1,490 per ounce ,

Lead price of USD$2,280/t and Zinc price of USD$2,76 0/t, increased to 120% of prices from "Energy &

Metals Consensus Forecasts", to reflect long term p rice movements were applied, and the mining cost of

USD$35 per ton, processing cost of USD$13.3 per ton milled and processing recovery of 87.41% Au, 85.87%

Pb and 92.71% Zn based on 2018 BYP development and utilization plan report were applied.

8. No mining license depth limit was applied for the Min eral Resource reporting. No mining license depth

limit was applied for the Mineral Resource reporting as the mining license update is still in progress.

9. The Mineral Resources referred to above have not be en subject to detailed economic analysis and

therefore have not been demonstrated to have actual economic viability.

10. It should be noted that for any SEC filings that th e SEC does not recognize resources, only reserves a nd the

resources stated above are classified as mineralized material with no value.

Mineral Resources estimated for the gold area include a total of 4.3 million tonnes grading 3.1 g/t Au

in the Measured and Indicated categories, containin g approximately 418,000 ounces of gold. The

previous mining operation between 2011 and 2014 pro duced 221,000 tonnes of gold mineralized

material at an average recovered grade of 3.56 g/t Au for approximately 25,335 ounces of recovered

gold. Mineralization is open along strike and down dip for both the gold and lead-zinc areas.

Qualified Persons

Mr. Guoliang Ma, P.Geo., Manager of Exploration and Resource of the Company, is the Qualified

Person for Silvercorp as defined by NI 43-101 and h as reviewed and given consent to the technical

information contained in this news release. Mr. Bo b Dennis, Geologist of RPM, Mr. Tony Cameron,

Principal Mining Engineer of RPM, and Mr. Huang Son g, consultant for RPM, are Qualified Persons

for the purposes of NI 43-101 and have reviewed and consented to this news release and believe it

fairly and accurately represents the information in the BYP NI 43-101 Technical Report that supports

the disclosure. The reader is directed to the BYP NI 43-101 Technical Report on SEDAR or the

Company’s website for details of the estimate.

About Silvercorp

Silvercorp is a low-cost silver-producing Canadian mining company with multiple mines in China. The

Company’s vision is to deliver shareholder value by focusing on the acquisition of under developed

projects with resource potential and the ability to grow organically. For more information, please

visit our website at www.silvercorp.ca.

For further information

Lon Shaver

Vice President

Silvercorp Metals Inc.

Phone: (604) 669-9397

Toll Free: 1(888) 224-1881

Email: [email protected]

Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER - FORWARD LOOKING STATEMENTS

Certain of the statements and information in this pr ess release constitute “forward-looking statements” within

the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking

information” within the meaning of applicable Canad ian provincial securities laws. Any statements or

information that express or involve discussions with respect to predictions, expectations, beliefs, plans ,

projections, objectives, assumptions or future event s or performance (often, but not always, using words or

phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”,

“intends”, “strategies”, “targets”, “goals”, “forec asts”, “objectives”, “budgets”, “schedules”, “poten tial” or

variations thereof or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will”

be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not

statements of historical fact and may be forward-lo oking statements or information. Forward-looking

statements or information relate to, among other th ings: the price of silver and other metals; the accur acy of

mineral resource and mineral reserve estimates at t he Company’s Gaocheng property; the sufficiency of the

Company’s capital to finance the Company’s operations ; estimates of the Company’s revenues and capital

expenditures; estimated production from the Company ’s Gaocheng mine; timing of receipt of permits and

regulatory approvals; availability of funds from production to finance the Company’s operations; and acces s to

and availability of funding for future construction , use of proceeds from any financing and development of the

Company’s properties.

Forward-looking statements or information are subje ct to a variety of known and unknown risks, uncerta inties

and other factors that could cause actual events or results to differ from those reflected in the forw ard-looking

statements or information, including, without limit ation, risks relating to: fluctuating commodity pric es;

calculation of resources, reserves and mineralization and precious and base metal recovery; interpretations and

assumptions of mineral resource and mineral reserve estimates; exploration and development programs;

feasibility and engineering reports; permits and lic enses; title to properties; property interests; joint venture

partners; acquisition of commercially mineable miner al rights; financing; recent market events and cond itions;

economic factors affecting the Company; timing, esti mated amount, capital and operating expenditures and

economic returns of future production; integration of future acquisitions into the Company’s existing

operations; competition; operations and political c onditions; regulatory environment in China and Cana da;

environmental risks; foreign exchange rate fluctuations; insurance; risks and hazards of mining operation s; key

personnel; conflicts of interest; dependence on mana gement; internal control over financial reporting as per

the requirements of the Sarbanes-Oxley Act; and bri nging actions and enforcing judgments under U.S.

securities laws.

This list is not exhaustive of the factors that may affect any of the Company’s forward-looking stateme nts or

information. Forward-looking statements or informat ion are statements about the future and are inheren tly

uncertain, and actual achievements of the Company or other future events or conditions may differ mater ially

from those reflected in the forward-looking stateme nts or information due to a variety of risks, uncer tainties

and other factors, including, without limitation, t hose referred to in the Company’s Annual Informatio n Form

for the year ended March 31, 2018 under the heading “Risk Factors”. Although the Company has attempted

to identify important factors that could cause actual results to differ materially, there may be other factors that

cause results not to be as anticipated, estimated, described or intended. Accordingly, readers should not

place undue reliance on forward-looking statements or information.

The Company’s forward-looking statements and inform ation are based on the assumptions, beliefs,

expectations and opinions of management as of the da te of this press release, and other than as required by

applicable securities laws, the Company does not assume any obligation to update forward-looking statements

and information if circumstances or management’s as sumptions, beliefs, expectations or opinions should

change, or changes in any other events affecting su ch statements or information. For the reasons set f orth

above, investors should not place undue reliance on forward-looking statements and information.

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