Silver Mountain Resources Inc. announced that it has received approval from Peru´s Ministry of Energy and Mines for its Environmental Impact Declaration (or DIA) for the Dorita block, one of three groups of mining concessions which make up its 100% owned Castrovirreyna Project, central Peru. This authorization allows the Company to drill 60 diamond holes in 21 drill platforms over 15 months, to build access roads, and to build any other component needed for its approved activities. The DIA authorization is the initial part of the exploration permitting process in Peru.

With this authorization in hand, the Company will request authorization to initiate activities, the final permit needed to begin drilling. Description of the Dorita Block: The Dorita block is the northernmost group of mining claims and concessions making up the Company´s 100% owned Castrovirreyna project, covering over 31,000 hectares. Company geologists have identified three priority targets at Dorita: the Dorita, Dorita North, and Huancarpusa targets.

At Dorita, a 2.5 km x 1.5 km advanced argillic alteration zone coincides with a prominent magnetic low. The alteration at Dorita is typical of high sulphidation epithermal deposits, with extensive zones of alunite, pyrophyllite and dickite alteration with localized vuggy silica zones around dacitic porphyry stocks. Several mineralized veins and silicified ribs have been identified to date.

At Dorita North and Huancarpusca, silicified and locally brecciated ribs with Au-Ag-Pb-Zn mineralization are hosted in andesitic lava flows and dacitic domes. Significant argillic alteration, occurring as illite-semctite and kaolinite, can be seen over the 1.8km long corridor hosting these silicified ribs. The main mineralized structures have a NE-SE orientation and outcrop over strike lengths of hundreds of meters with gold grades of up to 7.2 g/t Au.

Of the 21 approved platforms, 8 are located in the Huancarpusa target, 6 in Dorita and 7 in Dorita North. Drill platform locations can be modified within the approved working area at any time. Drilling in the Dorita block is part of the Company´s two-pronged strategy to advance the Castrovirreyna project, through rapidly growing the Reliquias mine and fast-tracking the various exploration targets identified to date.

Underground drilling in the Reliquias mine continues with three rigs, and the company?s teams are moving forward with the mine rehabilitation needed for a future production start-up. Company geologists continue exploring the 60,000 hectare land package in one of South America's most prolific mining belts.