Expansion Update At The Avino Mine

VANCOUVER - Avino Silver & Gold Mines Ltd. reported on expansion update from its Avino Mine located on Avino property located 80km Northeast of Durango, Mexico.

We are extremely pleased with the progress being made at the Avino Mine and the mill complex; with the closing of the two financings in February, we are in great shape to complete our expansion within 2014, as planned, said David Wolfin, President, CEO & Director,

Dewatering (93% Complete). The Avino Mine is now dewatered down to level 10.5 with one more level to go before the area where mining ceased in 2001 is reached. At the current dewatering rate, it is anticipated that mining can commence in the 3rd Quarter or possibly sooner pending completion of dewatering.

Main Haulage Ramp Rehabilitation (85% Complete). The ramp in general is in very good condition as the host rock is very competent; areas where sloughing has occurred are being stabilized with steel and timber sets and sprayed with shotcrete. The rehabilitation has kept pace with dewatering so once dewatering in the final level is complete the final rehabilitation will be swift.

New Underground Mining Equipment (Received). New Oldenberg single boom jumbo and Caterpillar RG 1600 six yard scoop tram have been purchased using the Caterpillar credit facility; this equipment is in addition to a scoop tram and air compressor that were previously purchased for the rehabilitation work.

1500 TPD Crushing Area. New 150 tonne live capacity coarse ore bin has been completed.

Power Line Construction. Discussions with CFE, the Mexican electrical utility company, on the new 34.5kv power line have been completed along with the study covering the proposed location of the towers and power poles. Permitting and consultation discussions with the Ejidos have been taking place and the initial feedback has been favorable. Construction of the power line will proceed once permits are in place and any negotiations with the Ejidos affected by the new power line have concluded and permits have been issued. The Company estimates that the power line will be completed in Q4 2014.

New Tailing Facility. A study to provide engineering services for the new tailings facility is underway. Condemnation drilling and trenching for test samples has been completed with no significant findings; there was no sign of mineralization in the drill core. This work is expected to take approximately 16 weeks to produce a report in support of our application for a permit to dispose mill tailings in the new storage area. The report will come complete with the dam design, water reclamation system and the amount of fill material required for the capital cost estimate.

Avino continues to make health and safety a top priority. The Company recently established a new rescue facility for training purposes and outfitted it with new equipment.

Wolfin said, Avino is very proud of its fleet of mining equipment and processing facility. Since the Company re-commenced operations in 2010, its goal has been to create a modern and highly efficient operation. We believe that we are reaching our goal by acquiring brand new underground mining equipment which includes the latest technology, such as GPS transmitters, that can send data to centralized computers to generate monthly reports. These reports are used to analyze the status of equipment to mitigate down time and ensure efficient operation. Further, Management can monitor equipment remotely and in real time to take corrective action quickly.