Dolly Varden Silver: Completes First Tranche of Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jul 31, 2014) - Dolly Varden Silver Corp. (TSX VENTURE:DV)(OTCBB:DOLLF) ("Dolly Varden" or the "Company") is pleased to announce that it has completed the first tranche of the previously announced non-brokered private placement offering by issuing 5,541,711 flow-through shares and 750,000 non flow-through shares for gross proceeds of $755,005. Each flow-through share and each non flow-through share were priced at $0.12 per share.

The Company expects the final tranche of the $6 million financing announced on July 9, 2014, to be completed in mid-August 2014.

The proceeds from the flow-through private placement will be used to fund Dolly Varden's 2014 exploration and drilling program on the Dolly Varden property, located 26 km by road from tidewater at Alice Arm, in Northwestern BC.

The company paid finders' fees of $24,000 (representing 8% of gross proceeds placed by finders) and 252,632 share purchase warrants (the "Warrants") (representing 8% of the shares placed by finders). Each Warrant issued is non transferrable and may be exercised into non flow-through shares at $0.15 for 12 months from the date of closing. The shares and Warrants issued by the Company are subject to a four-month hold period, which expires on November 29, 2014.

The Private Placement is subject to final approval by the TSX Venture Exchange.

Please visit www.dollyvardensilver.com for additional project and Company information.

About Dolly Varden

Dolly Varden Silver Corp. is a mineral exploration company focused on the exploration and development of the Dolly Varden silver property located 26km by road from tidewater at Alice Arm, in Northwestern British Columbia, Canada. The Dolly Varden silver property consists of 6,400 hectares that includes four well-defined high grade silver deposits, two of which have seen historical production totaling 20 million ounces of silver. All four deposits have remaining historical mineral resources and are situated in the same geologic setting as the past-producing Eskay Creek deposit. The Company has two near-term objectives for creating value at the Dolly Varden silver project: 1) confirm and expand the existing historical silver mineralization, and 2) explore and discover major Eskay Creek-type gold and silver rich VMS targets and large epithermal systems. The Company's common shares are listed and traded on the TSX-V under the symbol DV and on the OTCBB system under the symbol DOLLF.

Forward-looking statements

Statements in this release that are forward-looking statements, including the timing of commencement, size and scope and results of contemplated exploration programs on the Dolly Varden silver property and assumptions about the geological characteristics of the property (including the existence of any gold and silver mineralization), are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in the Company's periodic filings with Canadian securities regulators. When used in this document, the words such as "expected," "planned", "forecast", "scheduled" "targeting" and similar expressions are forward-looking statements. Information provided in this document is necessarily summarized and may not contain all available material information.

All such forward-looking information and statements are based on certain assumptions and analyses made by Dolly Varden Silver Corp. in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. These statements, however, are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information or statements. Important factors that could cause actual results to differ from these forward-looking statements include those described under the heading "Risks Factors" in the Company's most recently filed MD&A. Readers are cautioned not to place undue reliance on forward-looking information or statements.

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