Mr. Shawn Khunkhun reports

DOLLY VARDEN SILVER'S STEP-OUT DRILLING AT HOMESTAKE RIDGE DISCOVERS NEW, HIGH-GRADE GOLD ZONE: 79.49 G/T AU OVER 12.45M, INCLUDING 1,335 G/T AU OVER 0.68M

Stepout drilling in 2023 at Dolly Varden Silver Corp.'s Homestake Ridge property has intersected a new gold-rich zone to the northwest from the Homestake Silver deposit.

Highlights of Homestake Silver stepouts to the northwest include (intervals shown are core length):

• HR23-389: 79.49 grams per tonne gold and 60 grams per tonne silver (80.21 grams per tonne gold equivalent) over 12.45 metres, including 1,335 g/t Au and 781 g/t Ag (1,344.42 g/t AuEq) over 0.68 metre within a broad mineralized zone grading 15.26 g/t Au and 20.05 g/t Ag (15.50 g/t AuEq) over 66.50 metres;
• HR23-399: 43.10 g/t Au and 66 g/t Ag (43.90 g/t AuEq) over 1.01 metres and 40.33 g/t Au and 418 g/t Ag (45.37 g/t AuEq) over 1.75 metres within a broad mineralized zone grading 2.68 g/t Au and 20 g/t Ag (2.92 g/t AuEq) over 57.70 metres;
• HR23-410: 10.17 g/t Au over 6.61 metres, including 50.70 g/t Au over 0.62 metre.

Highlights from Homestake Main infill drilling below high-grade plunge include (intervals shown are core length):

• HR23-374: 22.60 g/t Au over 0.67 metre, 18.75 g/t Au over 2.00 metres and 10.15 g/t Au over 1.00 metre in separate vein breccias included in a wider mineralized envelope grading 1.22 g/t Au and 1.90 g/t Ag (1.24 g/t AuEq) over 83.51 metres;
• HR23-386: 18.14 g/t Au and 30 g/t Ag (18.51 g/t AuEq) over 2.50 metres, including 69.9 g/t Au and 42 g/t Ag (70.41 g/t AuEq) over 0.50 metre;
• HR23-390: 129.00 g/t Au and 218 g/t Ag (131.63 g/t AuEq) over 0.50 metre in a vein breccia included in a wider mineralized envelope grading 1.92 g/t Au and 3.58 g/t Ag (1.96 g/t AuEq) over 50.30 metres.

"Whether we discover new zones of high-grade gold at Homestake Ridge or expand the large, wide and high-grade silver deposits at Wolf and Torbrit, drilling continues to deliver results from the premier, undeveloped gold-silver trend in Canada," said Shawn Khunkhun, chief executive officer of Dolly Varden Silver.

"The new high-grade gold and silver mineralization encountered in stepout drilling to the northwest of Homestake Silver represents a significant breakthrough in further defining, upgrading and expanding the mineralization at Homestake Ridge," said Rob van Egmond, vice-president, exploration. "This new zone remains open to the northwest, projecting towards the Homestake main deposit."

This release includes the remaining drill results from 48 drill holes from the 2023 drill program at the 100-per-cent-owned Kitsault Valley project that includes the Homestake Ridge and Dolly Varden properties in British Columbia's Golden Triangle, reporting 26 drill holes at Homestake Main (11,054.90 m), four drill holes (2,478.00 m) from the new gold-rich zone at the Homestake Silver northwestern extension and six exploration drill holes on the Homestake Ridge property (1,627.00 m). In addition, 12 holes (6,971.00 m) from the Dolly Varden property, including the North Star, Red Point and Wolf areas are reported in this release.

Homestake Silver stepout drilling

The high-grade gold and silver intersections in holes HR23-389 and HR23-399 are horizontally separated by approximately 40 m and are interpreted to be a new gold zone extending northwest, at depth toward the Homestake Main deposit. Deeper in these holes, a second, targeted mineralized envelope was encountered. In longitudinal section, the new gold zone overlaps parallel with the known mineralized envelopes approximately 50 metres to the east. This zone remains open to the northwest below historic drilling. Drilling in 2024 will target a 350-metre-long gap between the Homestake Silver and Homestake Main deposits to expand this new zone.

Drill hole HR23-410 is a 75-metre stepout from previously released holes HR23-395 and HR23-398 (see Jan. 4, 2024, news release) and represents an extension of the higher-grade veins to depth and below the wide, higher-grade plunge.

The dip of drill hole HR23-394 steepened due to hole deviation more than anticipated and remained in the footwall to mineralized zones.

Homestake Main drilling

The objective of drilling during 2023 at the Homestake Main and Homestake Silver deposits was to expanded multiple, subparallel mineralized zones and to upgrade inferred mineral resources in the projected plunge of the wider, higher-grade zone. The drilling completed in 2023 at Homestake Main was primarily resource expansion drilling, targeting both down dip and along strike from current mineral resources.

At Homestake Main, the 2023 drilling tested the depth extent of the structural corridor that hosts the mineralization and infilled in areas of higher grades. Drill hole HR23-374 is located approximately 200 m down dip from the modelled wide, high-grade plunge, planned as a depth test at the bottom edge of the known mineralized envelope.

Drilling along the northwest projection of the Homestake Main zone intersected the structural corridor and associated alteration but with a decrease in vein stockwork and vein breccias density.

Homestake Ridge exploration drilling

Four exploration drill holes (HR23-417, HR23-420, HR23-421 and HR23-424) tested two parallel, northwest-trending structures located 300 metres and 600 metres to the west of the Homestake Silver deposit. HR23-424 tested the Fox reef, a parallel structure approximately 900 metres to the southwest. Numerous veins and breccias were intersected with lower-grade gold values (see attached table). Another two drill holes (HR23-422 and HR23-423) tested the Dilly-Rambler exploration target 1,500 m to the south of Homestake Silver. Although zones of QSP (quartz-sericite-pyrite) alteration and structures of interest were intersected, no significant precious metal grades were returned from the samples in these holes.

The Homestake Ridge deposits are interpreted as a structurally controlled, multiphase epithermal vein stockwork and vein breccia system hosted in Jurassic Hazelton volcanic rocks. Mineralization consists of pyrite and chalcopyrite in a breccia matrix within a silica breccia vein system and quartz-carbonate veining. The northwest orientation of the main Homestake structural trend appears to have numerous subparallel internal structures that are interpreted to form the controls for higher-grade gold and silver shoots within a broader low-grade (greater than 0.1 gram per tonne gold) zone at the Homestake Main deposit. The main structural corridor dips steeply to the northeast at Homestake Main and rolls to steeply southwest at Homestake Silver.

Dolly Varden exploration drilling

Result for 12 drill holes competed at the end of the 2023 season on the Dolly Varden property come from three main areas: Red Point, North Star and Wolf.

Red Point drilling

Three holes were drilled in the Red Point area, located at the southern end of the western gold belt, approximately 10 kilometres southeast along the trend from the Homestake Ridge deposits. Styles of mineralization encountered, including varying degrees of quartz and quartz-carbonate veining in a QSP alteration halo, similar to what is seen at the Homestake Ridge deposits. Highlights from the 2023 exploration drilling include (intervals shown are core length):

• HR23-360: 1.92 g/t Au over 13.10 metres, including 7.25 g/t Au and 1.12 per cent copper over 2.30 metres near surface, all within a broad mineralized halo grading 0.44 g/t Au over 120.62 metres; estimated true widths vary depending on intersection angles and range from 70 per cent to 90 per cent of core lengths.

North Star drilling

Two drill holes intersected the stratabound mineralization of the North Star deposit, part of the Torbrit horizon, approximately 50 metres down dip from historic underground drilling in the 1960s. The surface drill holes collars were moved farther back to intercept the horizon at a better angle and test for continuity. The North Star deposit has higher lead and zinc values than the Torbrit deposit located across the Kitsault Valley. The current mineral resource estimate for North Star does not include any credits for the significant base metals in the mineralized horizon.

Highlights from North Star area include (intervals shown are core length):

• HR23-358 (west stepout, entire horizon): 199 g/t Ag with 1.28 per cent Pb and 1.21 per cent Zn (292 g/t AgEq) over 18.10 metres, including 1,510 g/t Ag, 1.23 per cent Pb and 5.34 per cent Zn (1,755 g/t AgEq) over 0.58 metre, and 753 g/t Ag, 0.51 g/t Au, 15.20 per cent Pb and 4.32 per cent Zn (1,430 g/t AgEq) over 1.00 metre.

The North Star deposit (along the Torbrit horizon) remains open to the west down dip along the Torbrit horizon for follow-up in the 2024 drill program.

Wolf drilling

The five drill holes reported in this release for Wolf were part of an end-of-season follow-up to test below the plunge of the wide, higher-grade zone. The Wolf structure was intersected with low silver grades and increased lead and zinc values, typical of below and outside of the plunge of high-grade silver zone.

Quality assurance and quality control

The company adheres to CIM Best Practices Guidelines for exploration related activities conducted on its property. Quality Assurance and Quality Control (QA/QC) procedures are overseen by the Qualified Person.

Dolly Varden QA/QC protocols are maintained through the insertion of certified reference material (standards), blanks and field duplicates within the sample stream. Drill core is cut in-half with a diamond saw, with one-half placed in sealed bags and shipped to the laboratory and the other half retained on site. Third party laboratory checks on 5 per cent of the samples are carried out as well. Chain of custody is maintained from the drill to the submittal into the laboratory preparation facility.

Analytical testing was performed by ALS Canada Ltd. in North Vancouver, British Columbia. The entire sample is crushed to 70 per cent minus 2mm (10 mesh), of which a 500 gram split is pulverized to minus 200 mesh. Multi-element analyses were determined by Inductively Coupled Plasma Mass Spectrometry (ICP-MS) for 48 elements following a 4-acid digestion process. High grade silver testing was determined by Fire Assay with either an atomic absorption, or a gravimetric finish, depending on grade range. Gold is determined by Fire Assay on a 30g split with and AA finish and over limits determined by Fire Assay with a gravimetric finish. Metallic screen fire assay analysis on 1kg sample +106umis carried out when determined to be necessary on higher grade samples.

Qualified Person

Rob van Egmond, P.Geo., Vice-President Exploration for Dolly Varden Silver, the "Qualified Person" as defined by NI43-101 has reviewed, validated and approved the scientific and technical information contained in this news release and supervises the ongoing exploration program at the Dolly Varden Project.

About Dolly Varden Silver Corporation

Dolly Varden Silver Corporation is a mineral exploration company focused on advancing its 100 per cent held Kitsault Valley Project (which combines the Dolly Varden Project and the Homestake Ridge Project) located in the Golden Triangle of British Columbia, Canada, 25kms by road to tide water. The 163 sq. km. project hosts the high-grade silver and gold resources of Dolly Varden and Homestake Ridge along with the past producing Dolly Varden and Torbrit silver mines. It is considered to be prospective for hosting further precious metal deposits, being on the same structural and stratigraphic belts that host numerous other, on-trend, high-grade deposits, such as Eskay Creek and Brucejack. The Kitsault Valley Project also contains the Big Bulk property which is prospective for porphyry and skarn style copper and gold mineralization, similar to other such deposits in the region (Red Mountain, KSM, Red Chris).

We seek Safe Harbor.