Revenue-Virginius Mine Operations Update

VANCOUVER - Aurcana Silver Corporation reported on current operations at its wholly owned Revenue-Virginius Mine located in Ouray, Colorado. Operations are continuing to focus on the completion of the #1 Alimak raise hoist / elevator system which will enable efficient movement of men and materials between the 2000 level and the four levels being developed above 2000.  Operations also continue stoping on the 1800 level of the Virginius Vein, and making ongoing improvements to the process plant.

It is anticipated that the mill will resume operations this month and will run as stope ore is available. Significant improvement in concentrate quality was realized in the most recent mill run in December and is expected to continue once the mill is back in operation.

Completion of the #1 Alimak raise hoist / elevator project remains targeted for May 2022. The #1 Raise Hoist is the key to safe, efficient, and sustainable travel for men and materials to the upper levels of the Virginius mine. This hoisting system will have an immediate positive impact on mining productivities and subsequent mine development & production and mill production. The improved access to the upper levels of the Virginius and other veins is expected to also enhance future exploration and development activities at the mine.

Mining operations have continued to focus on the optimization of 1800 level stope mining. Stope ore has been stockpiled underground in anticipation of the resumption of milling. Currently, the mine has two stopes available on the 1800 level to supply the mill with high grade silver ore with a third stope partially completed.

Assays taken from on vein development openings continue to demonstrate strong mineralization in support of the geologic model. The figure below depicts a graphical representation of the grades encountered while drifting north on the Virginius Vein on the 1800 level.

“We are very pleased with the grades we are encountering, and the fact these grades are significantly higher (83%) when compared to the geologic model; this gives us great confidence in our ore body,” said Kevin Drover, President and CEO.