Mr. Robert Archer reports

GREAT PANTHER SILVER SIGNS OPTION AGREEMENT TO ACQUIRE CORICANCHA AU-AG-PB-ZN-CU MINE IN PERU

Great Panther Silver Ltd. has signed a two-year option agreement with Nyrstar whereby the company can acquire a 100-per-cent interest in the Coricancha mine complex in the central Andes of Peru, approximately 90 kilometres east of the city of Lima.

The Coricancha mine has been on care and maintenance since August, 2013, and has fully permitted and operational 600-tonne-per-day flotation and BIOX bio-leach plants along with supporting mining infrastructure. The property comprises more than 3,700 hectares in the prolific central polymetallic belt and production at the mine dates back to 1906. Gold-silver-lead-zinc-copper mineralization (approximately 80 per cent gold and silver) occurs as massive sulphide veins that have been mined underground by cut and fill methods.

"The Coricancha option marks the beginning of an exciting new chapter in Great Panther's development as we expand into Peru, the second-largest silver-producing country in Latin America," stated Robert Archer, president and chief executive officer. "Coricancha represents a near-term production opportunity and the two-year option will allow us to gain comfort with the project without having to make an immediate and significant financial commitment in the current environment of low metal prices and depressed market conditions. We intend to commence surface drilling as soon as possible, focused on defining and expanding zones of higher-grade mineralization, followed by underground drilling, development and start-up evaluations."

Under the terms of the option agreement, Great Panther made an initial cash payment of $1.5-million (U.S.) on signing. A second option payment of $1.5-million (U.S.) is due on the first anniversary of signing to extend the option for a second year. Should Great Panther exercise the option on or before the second anniversary, an already negotiated share purchase agreement would take effect whereupon Great Panther would make a cash payment of $5-million (U.S.) for 100 per cent of the shares of Nyrstar Coricancha S.A. (plus the second option payment if not already paid). Nyrstar Coricancha holds all the assets of the Coricancha mine complex. There is a further contingent payment of $4-million (U.S.) payable to Nyrstar under certain conditions. In addition to the cash payments, the option agreement calls for exploration expenditures of $2-million (U.S.) in the first year of the option and $3-million (U.S.) in the second year.

The Coricancha mine complex contains a historical mineral reserve and resource estimate comprising a proven and probable reserve of 640,000 tonnes at a grade of 4.35 grams per tonne gold, 149.12 grams per tonne silver, 0.32 per cent copper, 1.77 per cent lead and 2.60 per cent zinc; a measured and indicated resource of 890,000 tonnes at a grade of 5.04 grams per tonne gold, 174.62 grams per tonne silver, 0.42 per cent copper, 1.97 per cent lead and 3.11 per cent zinc; and an inferred resource of 4.88 million tonnes at a grade of 4.91 grams per tonne gold, 224.54 grams per tonne silver, 0.48 per cent copper, 1.57 per cent lead and 2.98 per cent zinc. This represents 13.5 million silver equivalent ounces in proven and probable reserves, 21.96 million silver equivalent ounces in measured and indicated resources, and 124.6 million silver equivalent ounces in inferred resources.

The most recently published Nyrstar mineral reserve and resource estimate for the Coricancha mine complex has an effective date of Dec. 31, 2012 (see Nyrstar news release Feb. 7, 2013). Great Panther considers this estimate as historical in nature and the reader is cautioned regarding the validity of the estimate due to the facts that 1) mining continued for six months after the effective date of the estimate, and 2) precious metal price assumptions used in the Nyrstar estimate were higher than current prices. Work planned by Great Panther to verify the historical estimate will include surface and underground drilling and sampling. The qualified person for Great Panther has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves, and Great Panther is not treating the historical estimate as current mineral resources or mineral reserves.

 HISTORICAL MINERAL RESERVES AND RESOURCES (DEC. 31, 2012)

Category     Mt    Au g/t  Ag g/t  Cu %   Pb%  Zn%  AgEq Moz

Proven     0.48      4.28  142.66  0.29  1.83  2.43     9.83        
Probable   0.16      4.55  167.84  0.42  1.58  3.12     3.66        
           ----      ----  ------  ----  ----  ----   ------
Total P&P  0.64      4.35  149.12  0.32  1.77  2.60    13.50       
Measured   0.63      5.18  169.85  0.38  2.10  2.97    15.56       
Indicated  0.26      4.72  186.07  0.54  1.66  3.45     6.43
           ----      ----  ------  ----  ----  ----   ------        
Total M&I  0.89      5.04  174.62  0.42  1.97  3.11    21.96       
Inferred   4.88      4.91  224.54  0.48  1.57  2.98   124.60 

Notes: 
1. Mineral resources are reported inclusive of mineral 
reserves.                 
2. Historical estimates prepared for Nyrstar by TetraTech 
without technical report. 
3. Metal price assumptions (all in U.S. dollars):  $1,300 
per ounce gold, $22 per ounce silver, $6,300 per tonne 
copper, $2,250 per tonne lead and zinc.
4. Values are rounded and may not add up exactly. 
5. The Coricancha mineral resources were estimated utilizing 
software that incorporates vein width, length and height to 
estimate tonnes and assay data to estimate grade. The ore 
reserves were determined by the amount of directly measured 
information available within a block and economic viability 
according to metal prices and operating parameters valid at 
the time of the estimate. Dilution was applied to a mineral 
resource when the vein width was less than the projected 
minimum mining width, with overdilution applied to an ore 
reserve according to estimated overbreak during extraction. 
It is not known to Great Panther what cut-off grades were 
used in this estimation. The 2012 mineral resource and ore 
reserve statement for Coricancha, with a Dec. 31, 2012, cut-
off date, was completed by TetraTech in accordance with the 
JORC code (Joint Ore Reserves Committee of the Australasian 
Institute of Mining and Metallurgy, Australian Institute of 
Geoscientists and Minerals Council of Australia).
6. Silver equivalent ounces were estimated by Great Panther 
using the historical mineral reserve and resource estimates.  
They are a guide to metal content only. 

The technical information contained in this news release has been reviewed and approved by Robert F. Brown, PEng, vice-president of exploration and the qualified person for the company under the meaning of National Instrument 43-101.

We seek Safe Harbor.