Excelsior Mining Corp. announced additional assay results from the infill drill program on the Johnson Camp mine pits (JCM) located in Cochise County, southeastern Arizona and provide an operations update. Due to successful drilling in the NE corner of Burro pit, additional holes were added and those with assays returned are reported below.

The improved results will allow the Company to develop a mine plan that focusses on this new, higher-grade, mineralized zone. Permitting of the new leach pad to restart operations is in progress, however the additional drilling and metallurgical testing will push the Company's goal of restarting mining operations at JCM into 2023. The drilling program is now completed with a total of 43 diamond holes being drilled.

Six holes are still awaiting assays. Sequential copper assays for the remaining 37 holes have an average leaching potential exceeding 68% (excludes intervals that contain sulfide mineralization). The leaching potential of copper mineralization is defined as acid soluble copper (AsCu) plus sodium cyanide soluble copper (CNCu) divided by total copper (TCu).

All samples are prepared from manually split or sawn PQ or HQ core sections on site in Arizona. Drill core samples are then sent to Skyline Assayers & Laboratories in Tucson, Arizona for Total Copper and Sequential Copper analyses. Standards, blanks, and duplicate assays are included at regular intervals in each sample batch submitted from the field as part of an ongoing Quality Assurance/Quality Control Program.

Pulps and sample rejects are stored by Excelsior for future reference. The Johnson Camp Mine has historically been an open pit, heap leach operation since Cyprus Minerals opened the property in the 1970's. The operation includes two open pits, a two-stage crushing-agglomerating circuit, a fully functioning SX-EW plant capable of producing 25 million pounds of cathode copper per year, a complete set of PLS and raffinate ponds, and full infrastructure (ancillary facilities, access, power, water, and communications). Excelsior is also providing an update on operations and future plans.

Excelsior's near-term focus is on the following: Continuing to evaluate the recent drill results and development of a mine plan for Johnson Camp that targets the higher-grade section to maximize cashflows at the start of operations. As noted above, permitting of the new leach pad to restart operations is in progress and the Company's goal is to restart mining operations at JCM in 2023 assuming mine planning demonstrates an economic operation. Continuing to investigate the key recommendations from the March 2022 Gunnison project Pre-feasibility Study Update ("PFS"), including conducting experimentation to ensure that neutralized raffinate is effective in dissolving CO2 in the subsurface and evaluating a scope of work and bid package to select a water treatment vendor to design the water treatment system.

Selection criteria will be focused on rapid, low-cost solutions to demonstrate that the technology is effective in solving the wellfield challenges. Planning for well stimulation trials to be undertaken to determine if the technique(s) have the potential to alleviate or solve CO2 blocking, improve connectiveness, and increase flow rates and sweep efficiency. The results of well stimulation have the potential to reduce the need for raffinate neutralization or change the design criteria for the neutralization plant, which could result in significant cost savings.

The Cochise Mining District (Johnson Camp Mine area) has enjoyed a long history of underground and open pit operations (Cu, Zn, Pb and Ag), with little sophisticated analysis of the development potential of the entire camp. Excelsior intends to undertake a more comprehensive evaluation of the oxide and sulfide potential of its mineral resource and mining assets. Whilst water flushing activities in the wellfield continue to show flow improvements on individual wells, the Company will still need to implement the solutions from the PFS to remediate the entire wellfield.

Therefore, in order to conserve cash and maintain a robust balance sheet, Excelsior is reducing its workforce and putting the wellfield on reduced operation by temporarily stopping acid injection whilst continuing recovery and compliance to ensure underground solutions are managed and controlled. Wellfield operations are not currently cashflow positive, and these initiatives will provide additional cash and management bandwidth to focus on the key priorities listed above.