¡ Silver Elephant Mining Corp. announced that, further to news release dated November 21, 2022, it has received USD 73,000 as part of the total proceeds from the sale of 3,166 tonnes of Ulaan Ovoo coal to China. As of December 28, 2022, a further batch of 3,000 tonnes of Ulaan Ovoo coal are being loaded on rail to travel south to China.

On December 9, 2022, 3,166 tonnes of Ulaan Ovoo coal were loaded onto 50 wagons (driven by a dedicated Ulaanbaatar railway locomotive) at Mongolia's Sukhbaatar station (Sales Delivery Point). The train traveled south-bound, arriving at China's Erlian port the following week. The coal was unloaded at Erlian and the wagons have been returned to Mongolia to start the second run.

The Company holds 100% rights to Ulaan Ovoo mineral claims and mining licenses. The Company and its Mongolian operating partner have agreed to share the coal sales proceeds from stockpiled coal sales on a 50/50 basis until June 30, 2023. There are approximately 85,000 tonnes of coal previously mined by the Mongolian operating partner stockpiled at the Ulaan Ovoo mine site and the nearby Sukhbaatar rail siding.

The Company is in active discussion with multiple international buyers and is optimistic about landing additional coal sales contracts. In anticipation of improved 2023 coal sales, the Company and its operating partner have commenced (at the partner's cost) pre-stripping activities at Ulaan Ovoo to prepare for mine restart in the 1st quarter of 2023. The Company's partner operates a mining fleet capable of producing 30,000 tonnes of coal per month at Ulaan Ovoo.