U.S. Silver Provides Update

U.S. Silver Corporation (TSX:USA, OTCQX:USSIF, Frankfurt:QE2) 'U.S.
Silver? or 'the Company? today provided an update on a number of matters
of interest to investors.

'Operational consistency and favourable commodity prices have provided
U.S. Silver with improved financial strength and the ability to pursue
the ongoing transition of the Company? stated Gordon Pridham, U.S.
Silver′s Executive Chairman. 'The Company′s 2011 exploration program
continues to provide encouraging results and surface and underground
drilling will be significantly expanded in 2012, providing even greater
potential for reserve expansion. We are confident that our large land
position in this prolific region will continue to provide additional
reserves for years to come as we explore more aggressively. Our new
website and our stock exchange listing strategy are aimed at improving
our communication and exposure to the investment community as we develop
the Company?.

EXPLORATION

From August through December U.S. Silver drilled 21,433 feet of core in
46 diamond drill holes underground at the Coeur and Galena mines. This
drilling has resulted in the confirmation of additional resources that
will be developed for mining in 2012 and beyond. An additional 10,893
feet has been drilled in 7 holes from surface locations. A total of 994
samples have been collected from this drilling and submitted for
analysis. The highlights are presented in the tables below.

At the Galena mine, U.S. Silver has operated 2 drills on the 4000 and
5200 levels. The 4000 level drilling was a multi-target program to
identify and delineate the eastern extension of the 133 vein. In
addition, this drill program followed up intercepts from historic
drilling and further delineated a new lead resource south of the 133
vein. Both targets have been confirmed and development work has begun on
these resources. (See Table 1)

The current drill program on the 5200 is a multi-target program. This
drilling will test and delineate a western extension of the 291 vein.
Planned drill holes from this station will test and define resources
immediately below the Caladay lead zone and also includes 2 exploration
holes drilled south on the Caladay mine ground. Western extension of the
290 vein has proved successful and drilling on the other targets from
this site has begun. (See Table 2).

U.S. Silver has operated one drill with one shift at the Coeur mine. The
current drill program is designed to confirm and verify existing
resources on the 356 vein. This drill program is a multi-level program
with planned drilling from the 3700, 3400, 3100 and 1600 levels at the
Coeur mine. Drilling has been completed on the 3700 and 3400 levels and
is currently being carried out on the 3100 level. The 1600 level is
expected to be drilled in the 1st quarter of 2012. The drilling results
continue to successfully confirm existing resources at the Coeur mine.
(See Table 3)

Surface Drilling

U.S. Silver has operated 2 drills on 4 drill sites on the surface this
season. All surface drilling has been testing near surface potential for
two previously mined resources. The first target is testing extension of
historic mining on the Argentine vein. The second target of the surface
program is testing un-mined ground between the historic Mineral Point
and Columbia workings on the Ruby silver vein. Evaluation and logging of
the surface drill holes is ongoing but to date no assay results have
been received from this drilling.

WEB SITE

The Company today has launched a new interactive website designed to
provide a modern and easily navigated source of current information on
U.S. Silver. The site may accessed at the same address of www.us-silver.com.

STOCK EXCHANGE LISTINGS

As previously announced, the Company began trading on the TSX on October
3, 2011 after completing the formal application process. U.S. Silver
continues to evaluate and pursue other exchange listing opportunities
and this process is proceeding without any major issues. An update on
this process will be provided to investors as soon as possible once
final plans and expected timelines are more firmly established.

DRILLING SAMPLE HIGHLIGHTS

Qualified Person

Information of a technical nature in this press release has been
prepared and reviewed by Mr. Jeffrey A Moe, Interim Chief Geologist for
U. S. Silver, who supervised the drilling and sampling programs. Mr. Moe
is a 'Qualified Person? within the meaning of National Instrument 43-101
of the Canadian Securities Administrators.

All silver assay results reported in this new release were analyzed
using standard assay techniques by American Analytical Services located
in Osburn, Idaho. Check assays are conducted by ACT Labs, located in
Ontario, Canada. All samples are obtained and assays are reported under
a formal quality assurance program.

ABOUT U.S. SILVER CORPORATION

U.S. Silver, through its wholly owned subsidiaries, owns and/or operates
the Galena, Coeur, Caladay and Dayrock silver-lead-copper mines in
Shoshone County, Idaho, with the Galena mine being the second most
prolific silver mine in US history. Total silver production from U.S.
Silver's mining complex has exceeded 217 million ounces of silver
production since 1953. U.S. Silver controls a land package now totaling
approximately 14,000 acres in the heart of the Coeur d'Alene Mining
District. U.S. Silver is focused on expanding the production from
existing operations as well as exploring and developing its extensive
Silver Valley holdings in the Coeur d'Alene Mining District.

Neither TSX nor its Regulation Services Provider (as that term is
defined in the policies of the TSX) accepts responsibility for the
adequacy or accuracy of this release.

Certain information in this press release may contain
forward-looking statements. This information is based on current
expectations that are subject to significant risks and uncertainties
that are difficult to predict. Actual results might differ materially
from results suggested in any forward-looking statements. The Company
assumes no obligation to update the forward-looking statements, or to
update the reasons why actual results could differ from those reflected
in the forward looking-statements unless and until required by
securities laws applicable to the Company. Additional information
identifying risks and uncertainties is contained in filings by the
Company with the Canadian securities regulators, which filings are
available at www.sedar.com.

U.S. Silver Corporation

Heather Foster, 208-556-1535 ext. 2

IR
Manager