Silver Spruce Mobilizes Soil and Till Sampling Crews to Complete Phase 1 Geochemistry Program on Mystery Au Project, Exploits Gold Belt

The Company signed a Definitive Agreement in September 2021 with two parties (the "Vendors") to acquire 100% of three early-stage gold exploration properties, Mystery, Till and Marilyn, (the "Property" or the "Properties") located near Grand Falls, Newfoundland and Labrador, Canada, 20-25 kilometres west of New Found Gold Corp.'s Queensway project and 15-35 kilometres south of Sokoman Minerals Corp.'s Moosehead gold project (Figure 1).

"We have re-initiated the Phase 1 exploration sampling program and look forward to completion of the sample collection in early July with shipment to the processing and analytical facilities shortly thereafter," said Greg Davison, Silver Spruce Vice-President Exploration and Director. "Approximately 50% of the planned sampling was completed before the winter season. Multi-element geochemistry and gold grain results were received in Q2 2022 from the laboratories. The promising initial results are being evaluated and will be released in due course."

"Most importantly, the Properties comprise a large, virtually untested area given the number of showings, prospective geology and regional geophysical structures within and adjacent to our holdings," stated Mr. Davison. "The wide-spaced gold grain in till sampling program's location, frequency, size and shape distribution data will provide the first pass exploration filter over our airborne geophysical survey base map from our MPX Geophysics survey completed in Q1 2022."

The gold grain in till program is underway with B zone soil geochemical sampling over the remainder of the planned 184 locations (Figures 2 and 3 for Mystery Lake and Marilyn blocks). As per the autumn 2021 program, the till samples, averaging 12kg in weight of screened -¼" or -½" material, will be shipped to Nepean, Ontario and submitted to Overburden Drilling Management ("ODM") for processing and gold grain analysis. The soil samples will be shipped to ALS Global in North Vancouver for precious metal and multi-element analysis.

Exploration Plan

The Company has staged plans to complete, with its receipt of exploration approvals from the Mineral Lands Division of the Government of Newfoundland and Labrador, regional till sampling for gold grain analysis and soil geochemistry, airborne geophysics, prospecting, QA/QC program development, ArcGIS geological and geophysical data compilation and as warranted by the Phase 1 results, submit additional permit applications to undertake a detailed geological mapping and sampling program, grid soil sampling and planning for our first exploration drill campaign. All aspects of the exploration program will be conducted with strict adherence to COVID-19 protocols for personal safety.

Figure 1. Map of the Mystery project claims, named from north to south, Marilyn, Till and Mystery Lake, located only 20-50km south of Bishop's Falls, Newfoundland.

Figure 2. Map of the Mystery Lake claim block showing proposed wide-spaced Phase 1 till and B soil sampling locations and those completed (red) in 2021. Hashed areas are third party claims.

Figure 3. Map of the Marilyn (large block) and Till claims (small blocks) showing proposed wide-spaced Phase 1 till and B soil sampling locations and those completed (red) in 2021. The claims are transected by the Bay d'Espoir Highway.

Project Background

The 8,750-hectare project is located within the Exploits Subzone, an extensive area of mineral exploration activity and discoveries over the past two years. The Properties are well situated in terms of exploration logistics, located close to each other and 10-45 kilometres south by Bay d'Espoir Highway from Bishop's Falls, Newfoundland. The Properties are located <70 kilometres from the Gander International Airport and are easily accessible from major paved roads and local logging and bush roads and trails.

The region is structurally complex and located, in large part, between several major crustal lineaments. Numerous major to lesser sub-parallel features merge and bifurcate along strike and are transected by NW and EW-trending faults. These deep-seated structures, which juxtapose geological terranes over hundreds of kilometres, are key to the location and formation of orogenic gold deposits containing several million ounces of gold as reported by junior companies in the district.

The Properties have seen little recent exploration. Prospecting by the Vendor is the only exploration conducted during the past ten years. Silver Spruce expedited its initial site visit on the Properties and received an independent positive initial report on the mineral and rock textures potentially related to shallow epithermal and/or orogenic vein-style mineralization. Silver Spruce verified sample locations for the historical assays and collected new rock samples, and completed an airborne magnetic, VLF-EM and radiometric survey in February 2022 (see Press Release of February 23, 2022). A detailed interpretation of the geophysical results is pending.

A selection of historical assays was reported for precious and base metals and pathfinder elements from 123 samples collected from Mystery and Marilyn (see Press Release of September 14, 2021). Eighteen samples reported Au >0.5 g/t (max. 12.5 g/t Au). Cu values were reported up to 9.85% with minor Ag, Pb and Zn. Arsenic was highly anomalous with values for thirty-six samples over the 2200 ppm upper limit for Inductively Coupled Plasma (ICP-OES) analysis, strongly associated with elevated Au values and displayed as minor to abundant arsenopyrite.

Multiple surface occurrences are reported of agate chalcedony to colloform and crystalline silica veining and multi-phase breccias, carbonate replacement by quartz, and open-space filling quartz and calcite, all textures indicative of the upper zones of epithermal systems and structural conduits in orogenic systems and are accompanied by Au and arsenopyrite, stibnite, chalcopyrite, bornite and Cu carbonate mineralization in several host lithologies including quartz veins, black shale and other sedimentary units, and ultramafic and gabbroic intrusions.

All metal values disclosed herein for the Mystery and Marilyn properties by past operators, including the Vendors, and by Silver Spruce are reported from grab samples which may not be representative of the metal grades, or the metal grade distribution, and those from previous exploration efforts must be considered as historical in nature.

About Overburden Drilling Management

ODM is the industry pioneer and global leader in heavy mineral geochemistry and has pioneered innovative indicator mineral techniques for gold, Ni-Cu-PGE, Cu-Zn-Pb, porphyry Cu, kimberlite (diamond), uranium and rare earth element exploration.

About ALS Global

ALS Global in North Vancouver, British Columbia, Canada, is a commercial analytical facility certified as ISO 9001:2008 and accredited to ISO/IEC 17025:2005 from the Standards Council of Canada.

Qualified Person

Greg Davison, PGeo, Silver Spruce VP Exploration and Director, is the Company's internal Qualified Person for the Mystery Project and is responsible for approval of the technical content of this press release within the meaning of National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"), under TSX guidelines.

About Silver Spruce Resources Inc.

Silver Spruce Resources Inc. is a Canadian junior exploration company which has signed Definitive Agreements to acquire 100% of the Melchett Lake Zn-Au-Ag project in northern Ontario, and with Colibri Resource Corp. in Sonora, Mexico, to acquire 50% interest in Yaque Minerales S.A de C.V. holding the El Mezquite Au project, and up to 50% interest in Colibri's Diamante Au-Ag project. Silver Spruce recently signed a 50:50 joint venture agreement with Colibri on the Jackie Au project. Silver Spruce signed a Definitive Agreement to acquire 100% interest in the Mystery Au project in the Exploits Subzone Gold Belt, Newfoundland and Labrador. The Company signed an Agreement to earn 100% interest in the Pino de Plata Ag project in western Chihuahua, Mexico. Silver Spruce Resources Inc. continues to investigate opportunities that Management has identified or that have been presented to the Company for consideration.

Contact:

Silver Spruce Resources Inc.

Greg Davison, PGeo, Vice-President Exploration and Director
(250) 521-0444
gdavison@silverspruceresources.com

Michael Kinley, CEO
(902) 402-0388
mkinley@silverspruceresources.com

info@silverspruceresources.com
www.silverspruceresources.com

Neither 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 release.

Notice Regarding Forward-Looking Statements

This news release contains "forward-looking statements," Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future, including but not limited to, statements regarding the private placement.

Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate.

SOURCE: Silver Spruce Resources Inc.