News Releases

Toronto – February 19, 2025: AbraSilver Resource Corp. (TSX.V: ABRA; OTCQX: ABBRF) (“AbraSilver” or the “Company”) is pleased to announce high-grade gold and silver assay results from initial drilling at the new Oculto East target, as part of its ongoing, fully-funded Phase IV drill program on its wholly-owned Diablillos project in Argentina (the “Project”). 

This new target, previously referred to as Cerro Bayo, represents the prospective eastern extension of the Oculto deposit.   Assay results from the initial two holes at Oculto East, where limited historical drilling has been conducted, confirmed the area as a promising new high-grade target, with potential to significantly extend the known mineralized footprint of the Project.  Key highlights include:

Oculto East Target:

• Hole DDH 24-058, located approximately 600 metres east of the current limit of the existing Oculto deposit, intersected 24.5 m at 107 g/t Ag, starting at a downhole depth of 201.5 metres (“m”). 
  • This included a high-grade interval of 3.0 m at 465 g/t Ag, indicating localized zones of higher-grade silver mineralization.    
• Hole DDH 24-064, located 300 m south of hole 24-058, returned 22.0 m grading 2.78 g/t Au starting from a downhole depth of 307 m, including a higher-grade section of 9.0m grading 5.35 g/t Au in oxides. 

Sombra Target:

• Hole DDH 24-062, encountered 23.0 m at 55 g/t Ag starting at a shallow down-hole depth of only 40.0 m.   Additional drilling will be planned to further delineate the extent and continuity of this shallow mineralized zone which is located east of the JAC Zone. 

John Miniotis, President and CEO, commented, “The confirmation of high-grade mineralization at Oculto East is a positive development in our exploration strategy.  The target remains open along strike and at depth, offering substantial expansion potential beyond the Oculto open pit as defined in the Pre-Feasibility Study. With ongoing drilling and a fully-funded exploration program, we’re extremely excited to continue unlocking additional value for our shareholders.”

Dave O’Connor, Chief Geologist, commented, “We are very pleased to have discovered high-grade mineralization in our initial drilling at Oculto East.  These results confirm that the eastern extension of Oculto hosts significant untapped potential.  We are actively planning additional drilling to further define our high-priority step-out exploration targets, which include Oculto East, Cerro Viejo and Sombra, among others.” 

Oculto East Target  

The new Oculto East target was identified through a recent geological mapping program, which highlighted a previously underexplored extension of the Oculto deposit.  Initial structural analysis suggests that this zone has the potential to host significant gold and silver mineralization and further drilling and evaluation are required to determine its economic viability.  Initial data indicates that Oculto East remains open along strike and at depth.

Sombra Target 

Drilling at the Sombra target focused on a zone believed to be parallel to the Oculto-JAC mineralized trend.  Drill holes DDH 24-061 and DDH 24-062 encountered silver mineralization at shallow depths beneath unconsolidated colluvial cover. Additional drill results from Sombra are still pending and, once all data is available, a follow-up drilling campaign will be planned to assess the strike extent of this newly discovered zone.

The latest assay result highlights are summarized in Table 1 below.

Table 1 – Summary of Key Drill Intercepts

Intercepts noted on page 1 above are shown in bold text:

Note: All results in this news release are rounded. Assays are uncut and undiluted. Widths are drilled widths, not true widths.

Figure 1 – Plan View of Latest Drill Results

Figure 2 – Long Section through Hole DDH 24-064 in Oculto East 

Next Steps and Exploration Program Update

The Company is pleased to announce that the current Phase IV drill program is nearing completion, with all drilling expected to conclude by the end of the month.   The final results will be incorporated into the Definitive Feasibility Study that is now underway and due for completion in Q1 2026.  

Looking ahead, the Company is actively planning its Phase V drill program, which aims to further expand known mineralization and test high-priority step-out targets.  These include promising areas such as the Cerro Viejo, Oculto East, and other newly identified zones.   This next phase is designed to unlock additional Mineral Resource potential and further enhance the overall value of the Project.

Collar Data

Hole Number	UTM Coordinates		Elevation	Azimuth	Dip	Depth (m)	Area
DDH 24-049	720843	7199213	4,413	0	-60	314.0	Oculto
DDH 24-050	719124	7198624	4,128	0	-60	124.5	JAC
DDH 24-057	720708	7199074	4,337	0	-60	350.0	Oculto
DDH 24-058	721298	7199609	4,479	0	-60	238.0	Oculto East
DDH 24-061	720281	7198748	4,227	0	-60	150.0	Sombra
DDH 24-062	720349	7198726	4,236	0	-60	115.5	Sombra
DDH 24-064	721263	7199340	4,594	110	-55	365.0	Oculto East

About Diablillos

The Diablillos property is located within the Puna region of Argentina, in the southern part of Salta Province along the border with Catamarca Province, approximately 160 km southwest of the city of Salta and 375 km northwest of the city of Catamarca. The property comprises 15 contiguous and overlapping mineral concessions acquired by AbraSilver in 2016.  The project site has good year-round accessibility through a 150 km paved road, followed by a well-maintained gravel road, shared with other adjacent projects.

There are several known mineral zones on the Diablillos property. Approximately 150,000 m have been drilled to date, which has outlined multiple occurrences of epithermal silver-gold mineralization at Oculto, JAC, Laderas and Fantasma.  Additionally, several satellites zones of silver/gold-rich epithermal mineralization have been located within a 500 m to 1.5 km distance surrounding the Oculto/JAC epicentre.

Comparatively nearby examples of high sulphidation epithermal deposits include: La Coipa (Chile); Yanacocha (Peru); El Indio (Chile); Lagunas Nortes/Alto Chicama (Peru) Veladero (Argentina); and Filo del Sol (Argentina). The most recent Mineral Reserve estimate for Diablillos is shown in Table 2:

Table 2 - Diablillos Mineral Reserve Estimate – As of March 07, 2024

Category	Tonnage (000 t)	Ag (g/t)	Au (g/t)	Contained Ag (000 oz Ag)	Contained Au (000 oz Au)
Proven	12,364	118	0.86	46,796	341
Probable	29,930	80	0.80	76,684	766
Proven & Probable	42,294	91	0.81	123,480	1,107

Notes for Mineral Reserve Estimate:

1. Mineral reserves have an effective date of March 7th, 2024.
2. The Qualified Person for the Mineral Reserve Estimate is Mr. Miguel Fuentealba, P.Eng.
3. The mineral reserves were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Definition Standards for Mineral Resources and Reserves, as prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council.
4. The mineral reserves were based on a pit design which in turn aligned with an ultimate pit shell selected from a Whittle TM pit optimization exercise. Key inputs for that process are:
5. Metal prices of USD $1,750/oz Au; USD $22.50/oz Ag
6. Variable Mining cost by bench and material type. Average costs are USD $1.94/t for all lithologies except for “cover”, Cover mining cost of USD 1.73/t, respectively.
7. Processing costs for all zone, USD $22.97/t. • Infrastructure and G&A cost of USD 3.32/t. • Pit average slope angles varying from 37° to 60° depending on the geotechnical domain. • The average recovery is estimated to be 82.8% for silver and 86.6% for gold.
8. The Mineral Reserve Estimate has been categorized in accordance with the CIM Definition Standards (CIM, 2014).
9. A Net Value per block (“NVB”) cut-off was used to constrain the Mineral Reserve with the reserve pit 2shell. The NVB was based on "Benefits = Revenue-Cost" being positive, where, Revenue = [(Au Selling Price (USD/oz) - Au Selling Cost (USD/oz)) x (Au grade (g/t)/31.1035)) x Au Recovery (%)] + [(Ag Selling Price (USD/oz) - Ag Selling Cost (USD/oz)) x (Ag grade (g/t)/31.1035)) x Ag Recovery (%)] and Cost = Process Cost (USD/t) + Transport Cost (USD/t) + G&A Cost (USD/t) + [Royalty Cost (%) x Revenue]. The NVB method resulted in an average equivalent cut-off grade of approximately 46g/t AgEq. 
10. In-situ bulk density was read from the block model, assigned previously to each model domain during the process of mineral resource estimation, according to samples averages of each lithology domain, separated by alteration zones and subset by oxidation.
11. All tonnages reported are dry metric tonnes and ounces of contained gold and silver are troy ounces.
12. All figures are rounded to reflect the relative accuracy of the estimates. Minor discrepancies may occur due to rounding to appropriate significant figures.

QA/QC and Core Sampling Protocols

AbraSilver applies industry standard exploration methodologies and techniques, and all drill core samples are collected under the supervision of the Company’s geologists in accordance with industry practices. Drill core is transported from the drill platform to the logging facility where drill data is compared and verified with the core in the trays. Thereafter, it is logged, photographed, and split by diamond saw prior to being sampled. Samples are then bagged, and quality control materials are inserted at regular intervals; these include blanks and certified reference materials as well as duplicate core samples. Groups of samples are then placed in large bags which are sealed with numbered tags in order to maintain a chain-of-custody during the transport of the samples from the project site to the laboratory.

All samples are sent to the Alex Stewart sample preparation facility in Jujuy, then the sample pulps are sent to the Alex Stewart laboratory in Mendoza where they are analyzed. All samples are analyzed using a multi-element technique consisting of a four-acid digestion followed by ICP/AES detection, and gold is analyzed by 50g Fire Assay with an AAS finish. Silver results greater than 100g/t are reanalyzed using four acid digestion with an ore grade AAS finish.

Qualified Persons

David O’Connor P.Geo., Chief Geologist for AbraSilver, is the Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects, and he has reviewed and approved the scientific and technical information in this news release.

About AbraSilver

AbraSilver is an advanced-stage exploration company focused on rapidly advancing its 100%-owned Diablillos silver-gold project in the mining-friendly Salta and Catamarca provinces of Argentina.  The current Proven and Probable Mineral Reserve estimate for Diablillos, from a recently completed Pre-Feasibility Study, consists of 42.3 Mt grading 91 g/t Ag and 0.81 g/t Au, containing approximately 124 Moz silver and 1.1 Moz gold, with significant further exploration upside potential. In addition, the Company has entered into an earn-in option and joint venture agreement with Teck on the La Coipita project, located in the San Juan province of Argentina.  AbraSilver is listed on the TSX-V under the symbol “ABRA” and in the U.S. on the OTCQX under the symbol “ABBRF.”

For further information please visit the AbraSilver Resource website at www.abrasilver.com, our LinkedIn page at AbraSilver Resource Corp., and follow us on X at www.x.com/abrasilver

Alternatively, please contact:

John Miniotis, President and CEO
[email protected]
Tel: +1 416-306-8334

Cautionary Statements

This news release includes certain "forward-looking statements" under applicable Canadian securities legislation. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. All statements that address future plans, activities, events or developments that the Company believes, expects or anticipates will or may occur are forward-looking information. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. When considering this forward-looking information, readers should keep in mind the risk factors and other cautionary statements in the Company’s disclosure documents filed with the applicable Canadian securities regulatory authorities on SEDAR+ at www.sedarplus.ca.  The risk factors and other factors noted in the disclosure documents could cause actual events or results to differ materially from those described in any forward-looking information. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Neither the 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 news release