Santacruz Silver Produces 5,569,535 Silver Equivalent Ounces in Q2 2023

VANCOUVER, Aug. 9, 2023 - Santacruz Silver Mining Ltd. (TSXV: SCZ) ("Santacruz" or "the Company") reports its Q2 2023 production results from its Bolivar mine , Porco mine, Caballo Blanco Group of mines ("Caballo Blanco") and the San Lucas ore sourcing and trading business ("San Lucas"), all located in Bolivia, and the Zimapan mine located in Mexico.

Highlights:

• Produced 5,569,535 silver equivalent ounces including;
• 1,786,461 ounces of silver;
• 2,824 tonnes of lead;
• 22,281 tonnes of zinc and;
• 297 tonnes of copper.
  
  
• Water handling infrastructure upgrade completed at the Bolivar mine in the Central zone.
  
  
• Integration ramp connecting the Tres Amigos and Colquechaquita mines at Caballo Blanco progressing well and on track to be completed in Q1 2024.

Arturo Préstamo, Executive Chairman of Santacruz, commented, "During the quarter the Company maintained steady production levels, despite a temporary interruption in plant feed haulage at the Mexican operation. This was offset by higher grade ore sourced by San Lucas. In the first half of the year, Santacruz has produced just over 11 million silver equivalent ounces. We have also been making progress on capital projects aimed at streamlining our operations, such as the integration ramp at Caballo Blanco, and our team is focused on finding additional opportunities to further improve operations at each mine."

Santacruz processed 443,969 tonnes of material in Q2 2023, a slight decrease from the previous quarter. Silver equivalent ounces produced of 5,569,535 included 1,786,461 ounces of silver, 2,824 tonnes of lead, 22,281 tonnes of zinc and 297 tonnes of copper. The slight decrease in material processed was offset by an increase in silver production from San Lucas, which resulted in silver equivalent ounce production being in line with the previous quarter.

During the same period last year, 435,119 tonnes of material was processed, and 4,922,055 silver equivalent ounces was produced. While total material processed was relatively consistent when comparing Q2 2023 to Q2 2022, increased production from the higher-grade Bolivian operations offset reduced production from the lower grade Mexican operation, resulting in an increase in silver equivalent ounces.

The Company also made progress on operational efficiency projects at its various mines. At Bolivar, water handling infrastructure servicing the Central Zone was upgraded, which should alleviate production interruptions experienced from this area in Q2 and allow for more consistent production going forward. In addition, the integration ramp connecting the Tres Amigos and Colquechaquita mines at the Caballo Blanco remains on track for completion in Q1 2024. The integration ramp consists of approximately 1,177 meters of development, including primary ramp and auxiliary drives, and is more than 60% complete. This is expected to facilitate increased productivity from Colquechaquita and total production from the Caballo Blanco Group of mines by providing trackless access to Colquechaquita and eliminating the bottleneck created by the current shaft.

Second Quarter 2023 Production Summary - Consolidated

Second Quarter 2023 Production Summary - By Mine

Qualified Person
Wayne Corso, Chief Operating Officer of the Company is a qualified person under NI 43-101 and has approved the scientific and technical information related to operational matters contained in this news release.

About Santacruz Silver Mining Ltd.
Santacruz Silver is engaged in the operation, acquisition, exploration, and development of mineral properties in Latin America. The Bolivian operations are comprised of the Bolivar, Porco and the Caballo Blanco Group, which consists of the Tres Amigos, Reserva and Colquechaquita mines. The Soracaya exploration project and San Lucas ore sourcing and trading business are also in Bolivia. The Zimapan mine is in Mexico.

'signed'

Arturo Préstamo Elizondo,
Executive Chairman

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 release.

Forward looking information
This news release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends", "expects" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or will "potentially" or "likely" occur. This information and these statements, referred to herein as "forward?looking statements", are not historical facts, are made as of the date of this news release and include without limitation, statements regarding the expected completion of the integration ramp at Caballo Blanco, and the benefits derived therefrom, the Company's current focus on certain business objectives, and the impact of the water handling infrastructure upgrade completed at the Bolivar mine.

These forward?looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, risks that the integration ramp at Caballo Blanco will not be completed on the expected timeline, or at all, that the integration ramp will not provide the benefits currently expected by management, that the Company's focus will not remain on finding additional opportunities to further improve operations at each mine, that the upgraded water handling infrastructure at the Bolivar mine will not have the anticipated effects on production, risks related to changes in general economic, business and political conditions, including changes in the financial markets, changes in applicable laws, and compliance with extensive government regulation, as well as those risk factors discussed or referred to in the Company's disclosure documents filed with the securities regulatory authorities in certain provinces of Canada and available at www.sedarplus.ca.

In making the forward-looking statements in this news release, the Company has applied several material assumptions, including without limitation, the assumption that the integration ramp at Caballo Blanco will be completed on the expected timeline, that the Company will derive the expected benefits from the integration ramp, that the Company's focus will remain on finding additional opportunities to further improve operations at each mine, and that the completion of the water handling infrastructure upgrade at the Bolivar mine will help alleviate production interruptions and lead to more consistent production.

There can be no assurance that any forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader should not place any undue reliance on forward-looking information or statements. The Company undertakes no obligation to update forward-looking information or statements, other than as required by applicable law.

SOURCE Santacruz Silver Mining Ltd.