Mr. John Miniotis reports

ABRASILVER DISCOVERS NEW SILVER MINERALIZATION BEYOND JAC ZONE, INTERSECTING 1,042 G/T SILVER OVER 12 METRES

Abrasilver Resource Corp. has released the latest assay results from the phase 3 diamond drilling program on the company's wholly owned Diablillos property in Salta province, Argentina. Diamond drill hole 23-055, DDH 23-056 and DDH 23-064 were stepout holes drilled to the northwest of the JAC zone, which coincides with a northeast-to-southwest magnetic anomaly. The new holes intersected a promising new silver zone, called the JAC North zone. Key takeaways include:

• DDH 23-064 intersected a high-grade interval of 12 metres at 1,042 grams per tonne silver in oxides, starting at a down-hole depth of only 69 metres and including a six-metre interval grading 1,880 g/t Ag.
• The three reconnaissance holes were drilled to test one of several remaining untested targets indicated by magnetic anomalies located southwest of Oculto:
  • The newly discovered JAC North zone is located over 900 metres beyond the limit of the conceptual open pit that defines the current mineral resource estimate at Oculto and approximately 100 metres northwest of the high-grade JAC zone.
• The new JAC North zone has the same geological characteristics as the JAC zone, namely that silver mineralization is concentrated in a highly fractured zone with pervasive alunite alteration and associated manganese oxides and follows a parallel structural trend.
• The initial drill intercepts of this newly identified zone are very encouraging, and follow-up work is planned as part of the next exploration drill campaign.

John Miniotis, president and chief executive officer, commented: "Today's announcement continues to highlight the significant exploration upside potential at our Diablillos project. In particular, we are very excited with the high-grade results encountered in hole DDH 23-064, which demonstrates the continuity of high-grade silver mineralization well beyond the current JAC zone boundary. We fully expect the upcoming 2023 mineral resource estimate and prefeasibility study to confirm that Diablillos is a highly attractive, long-life silver-gold project, which continues to display significant exploration upside potential."

The latest assay result highlights are summarized in attached tables.

David O'Connor, chief geologist, commented: "Hole DDH 23-064 is another great exploration success from our team. With mineralization in the JAC North zone trending northeast under colluvial cover, parallel to JAC, this confirms the potential for several mineralized zones parallel to the main JAC zone, being similar to the multiple subparallel mineralized structures identified at the Oculto deposit."

Discussion of drill hole results

DDH 23-055, DDH 23-056 and DDH 23-064 were drilled northwest of the current JAC zone and identified a promising new zone, called the JAC North zone. These reconnaissance holes were drilled to test the margins of JAC mineralization, and additional drilling is planned to explore for other mineralized structures in the JAC area. DDH 23-064 intersected a high-grade interval of 12 metres at 1,042 g/t Ag in oxides, starting at a down-hole depth of only 69 metres, including six metres grading 1,880 g/t Ag. This hole is located over 900 metres beyond the limit of the conceptual open pit that constrains the current mineral resource estimate at Oculto and approximately 100 metres northwest of the high-grade JAC zone.

The JAC North zone discovery opens up considerable blue-sky potential. Previous holes in this area include DDH 23-029, released on May 25, 2023, with an intercept of 31.35 metres at 174.4 g/t Ag, and DDH 23-032, released on June 26, 2023, with several silver intercepts, including 26 metres of 166.5 g/t Ag, which, with the newly released holes, demonstrate continuity of mineralization in this new zone. The discovery of a second northeast-trending zone parallel to the main JAC zone demonstrates the potential for multiple mineralized zones, as is the case at the Oculto deposit. The company has also commenced drilling to explore for a conjugate set of structures which would trend northwest and may connect the JAC zones to silver mineralization identified by previous drilling at the Alpaca target.

Two additional follow-up holes in the JAC North zone are now being drilled to test for continuity of high-grade silver mineralization along strike. The JAC North zone will not be included in the next mineral resource estimate, as it is at an early stage and requires additional drilling.

The company's next phase of drilling (phase 4) will explore additional targets, which will all be prioritized based on distance from the probable porphyry progenitor beneath Oculto and favourability of structural trends reflected in magnetic surveys, with special reference to any historical drill data. Current priority targets in the area west of Oculto include JAC North, Alpaca and Fantasma, with additional targets also being developed to the east and north of Oculto.

DDH 23-054, DDH 23-059, DDH 23-060, DDH 23-061 and DDH 23-062 were drilled to determine the margins of the high-grade silver oxide mineralization at the JAC zone, in preparation for the mineral resource estimate to be released later this year. The holes encountered silver mineralization along the southeast margin of the JAC zone and were expected to be outside of the central high-grade mineralized trend.

Next milestones and catalysts

The company anticipates achieving several upcoming milestones over the next few months, including:

• Releasing assay results from the remaining 14 holes from the phase 3 program (continuing);
• Submission of an environmental impact assessment (EIA) for Diablillos (August, 2023);
• Updated mineral resource estimate for the Diablillos project (October, 2023);
• Conduct a CSAMT (controlled-source audio-frequency magnetotelluric) geophysical survey at Diablillos and prioritize exploration targets (JAC North, Alpaca, Fantasma) for the upcoming phase 4 drill campaign (fourth quarter of 2023);
• Prefeasibility study completed for the Diablillos project (December, 2023).

Quality assurance/quality control 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 are compared and verified with the core in the trays. Thereafter, the core 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, which are collected in order to measure sample representivity. 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 received by the SGS offices in Salta, which then dispatch the samples to the SGS preparation facility in San Juan. From there, the prepared samples are sent to the SGS laboratory in Lima, Peru, where they are analyzed. All samples are analyzed using a multielement technique consisting of a four-acid digestion followed by ICP/AES detection, and gold is analyzed by 50 g fire assay with an AAS finish. Silver results greater than 100 g/t are reanalyzed using four-acid digestion with an ore-grade AAS finish.

Qualified person

David O'Connor, PGeo, chief geologist at 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 Resource Corp.

Abrasilver is an advanced-stage exploration company focused on rapidly advancing its 100-per-cent-owned Diablillos silver-gold project in the mining-friendly Salta province of Argentina. The current measured and indicated mineral resource estimate for Diablillos consists of 51.3 million tonnes grading 66 grams per tonne silver and 0.79 g/t gold, containing approximately 109 million ounces of silver and 1.3 million ounces of gold, with significant further upside potential based on recent exploration drilling. The company is led by an experienced management team and has long-term supportive shareholders, including Eric Sprott. In addition, Abrasilver owns a portfolio of earlier-stage copper-gold projects, including the La Coipita copper-gold project in the San Juan province of Argentina.

We seek Safe Harbor.