Silver Mountain Resources Inc. announced new results from underground channel sampling at the Reliquias silver mine in Huancavelica, central Peru. To complement the drill campaigns and to facilitate the conversion of additional historic resources into an updated National Instrument 43-101 ­ Standards of Disclosure for Mineral Projects ("NI 43-101") compliant mineral resource in First Quarter 2024, an extensive underground mapping and sampling program is continuing at Reliquias. Several existing drifts and sublevels were mapped and systematically sampled along channels cut across the exposed veins.

The best channel results were obtained from the Sacasipuedes structure on sublevel 290, which is currently accessible over 16 m of strike length. The mineralization is well developed over the exposed shoot, with the vein thickness averaging 1.93 m. The weighted average assay results returned 210.90 g/t Ag, 6.25% Pb, 7.14% Zn, 2.14% Cu, and 0.34 g/t Au. Along the sampled levels of the Matacaballo vein, the mineralization is best developed in Zone 5 on Level 390, which extends over 51 m along strike, with a weighted average of 194.74 g/t Ag, 4.67% Pb, 5.85% Zn, 1.17% Cu, and 0.33 g/t Au over an average vein width of 1.29 m. On levels 390 and 365 of the Matacaballo vein, various zones of well-developed mineralization are exposed over approximately 210 m in a horizontal direction and additionally 25 m vertically.

The central part of Level 365 was exploited in the past, indicating prior occurrence of economic mineralization. The underground sampling results from the Matacaballo vein confirm the continuity of high- to medium-grade polymetallic mineralization within the structure, with significant concentrations of silver (Ag), lead (Pb), zinc (Zn), and copper (Cu). Gold grades, ranging on average between 0.16 g/t and 1.02 g/t on both levels 365 and 390, correlate well with previously reported values from Sublevel 735-1 located above and to the east.

Weighted assay results from systematic channel sampling along the Matacaballo vein, calculated for each of the zones. Levels 390 and 365 were developed along the main Matacaballo vein, whereas Level 340 followed a vein splay, named Matacaballo South vein. Isometric view of Levels 390 and 365, Matacaballo vein, at the Reliquias silver mine, showing the location of systematic channel sampling along the main 390 haulage level and adjacent workings.

Individual channel samples are shown within seven zones, colour-coded according to Ag values. Length, average thickness, and metal grades of each zone. In the inset map, underground workings, main mineralized veins, and drill hole traces from the 2022 drill program are displayed, with the location of the shown segment of Level 390, Matacaballo vein, indicated by a red rectangle.