AbraSilver Extends Gold Mineralization at Oculto East with Broad Step-Out Intercept

(TheNewswire)

Latest Hole Returns 42 m at 0.68 g/t Gold Including 7 m
at 1.67 g/t Gold

Toronto – TheNewswire – July 15, 2025 – AbraSilver Resource Corp. (TSX: ABRA; OTCQX: ABBRF)
(“AbraSilver” or the
“Company”) is pleased to announce new
drill results from its ongoing Phase V exploration program at its
wholly-owned Diablillos project in Argentina (the “Project”).  

Step-out hole DDH 25-062, intersected a continuous
42.0 metre (“m”) interval grading 0.68 g/t
gold and 15 g/t silver from 248 m down-hole,
including a higher-grade core of 7.0 m at 1.67
g/t gold and 17 g/t silver.  This hole was
drilled at Oculto East, beyond the eastern edge of the current
conceptual open pit, confirming the extension of mineralization into a
previously underexplored area.

This interval is located along the same mineralized
trend and approximately 60 m from the high-grade gold intercept,
previously announced in hole DDH-25-024 (see Figure 3).These results underscore the potential for significant MineralResource expansion at Oculto East.  Follow-up drilling is underway,with three drill rigs now focused on delineating the size andcontinuity of this promising zone.    

Table 1 – Summary of Key Drill Intercepts:  OcultoEast & Cerro Viejo

       Note: All results in this news release arerounded. Assays are uncut and undiluted. Widths are drilled widths,not true widths.  True widths are unknown.

John Miniotis, President and CEO, commented, “Theseresults continue to confirm that Diablillos still has significant roomfor further growth, as we continue to determine the strike directionof the high-grade gold zone at Oculto East.  With three rigs actively drilling this target area, we anticipatesteady exploration news flow in the coming weeks and monthsahead.”

Dave O’Connor, Chief Geologist, commented, “Hole25-062 confirms that a broad mineralized zone extends well beyond thecurrent conceptual open pit limits of the Oculto deposit.  Our teamis now focused on systematically targeting the most prospective areasof the eastern extension to define the full scale of the high-grademineralized system.”    

Figure 1 –Plan View of Drill Results  

Click Image To View Full Size

Oculto East Target

The Oculto East target, located immediately beyond theeastern edge of the current conceptual open pit, remains a highlypromising zone for high-grade mineralization.   Step-out hole DDH25-062 intersected a broad oxidized zone totaling 233 m (between 108– 341 m down-hole depth), with several intervals of gold and silvermineralization.  These results demonstrate strong continuity alongthe same horizon as our most recent high-grade gold intercept in holeDDH 25-024 (see Figure 3).    Moreover, the results confirm that themineralization remains open to the east, and suggest that Oculto Eastmay represent continuation of the main Oculto mineralisation.  Withthree drill rigs now active in the area, ongoing drilling is focusedon defining the geometry and scale of this high-prioritytarget.

Figure 2 – Section Through Hole DDH 25-062 LookingNortheast

Click Image To View Full Size

Note: Widths are drilled widths, not true widths. True widths are unknown.

Figure 3 – Section Through Hole DDH 25-062 and DDH25-024 Looking Northeast

Click Image To View Full Size

Note:  Results from hole DDH 25-024 were previouslyannounced by the Company on May 20,
2025, and is shown here for referencepurposes.  

Cerro Viejo Target

Drill hole DDH 25-045 in the Cerro Viejo areaintersected shallow sulphide gold and copper results, withmineralization interpreted as being in the root zone of an epithermalsystem above a porphyry. Intercepts include 3 mat 1.00 g/t Au (from 11m),10 m at 0.27 g/t Au and 0.80% Cu (from 23m), and 4 m at 0.67 g/tAu (from 53m).  Theshallow copper mineralization is related to chalcocite secondaryenrichment.   Drill results from two additional holes in this areaare currently pending and will help further evaluate the extent andorientation of this near-surface mineralized system.  

JAC Target

At the JAC zone, a number of step-out holes to thesouthwest were recently drilled to test the limits of the mineralizedenvelope.  Key highlights from these holes include interceptsof:

• 36.0 m at 50 g/t Ag from 114 mdown hole (hole DDH 25-027) 

• 17.3 m at 104 g/t Agfrom 136 mdown hole (hole DDH 25-039) 

• 30.0 m at 52 g/t Agfrom 121 mdown hole (DDH 25-049) 

These results confirmed the expected boundaries of theknown mineralized system and reinforce the consistency of silvermineralization at JAC.   Exploration efforts are now beingprioritized at Oculto East and across the broader Northeast corridor. 

Table 2 – Summary of Key Drill Intercepts: JAC

       Note: All results in this news release arerounded. Assays are uncut and undiluted. Widths are drilled widths,not true widths.  True widths are unknown.

Figure 4 – Section Through Reported Holes at JAC

Click Image To View Full Size

Updated Mineral Resource
Estimate and Definitive Feasibility Study

Work on the updated Mineral Resource estimate and
Definitive Feasibility Study (“DFS”) continue to progress on
schedule. The Mineral Resource update is now in the final stages, with
results expected to be announced in the coming weeks.  

All geotechnical and condemnation drill holes have been
completed, and the final set of metallurgical samples have been sent
to laboratories for final confirmation testwork. Engineering work for
the process plant and tailings storage facility
is well underway, and a 30% design review workshop is scheduled for
later this month.  The DFS remains on schedule for completion in Q1
2026.

Collar Data

About Diablillos

The Diablillos property is located within the Puna
region of Argentina, in the southern part of Salta Province along the
border with Catamarca Province, approximately 160 km southwest of the
city of Salta and 375 km northwest of the city of Catamarca. The
property comprises 15 contiguous and overlapping mineral concessions
acquired by AbraSilver in 2016.  The project site has good year-round
accessibility through a 150 km paved road, followed by a
well-maintained gravel road, shared with other adjacent
projects.

There are several known mineral zones on the Diablillos
property. Approximately 150,000 m have been drilled to date, which has
outlined multiple occurrences of epithermal silver-gold mineralization
at Oculto, JAC, Laderas and Fantasma. Several satellite zones of
silver/gold-rich epithermal mineralization have been located within a
500 m to 1.5 km distance surrounding the Oculto/JAC epicentre.  In
addition, a large porphyry complex is centered approximately 4 km
northeast of Oculto which includes outcropping porphyry intrusions
within a major zone of alteration, and associated gold rich epithermal
mineralization.

Comparatively nearby examples of high sulphidation
epithermal deposits include: La Coipa (Chile); Yanacocha (Peru); El
Indio (Chile); Lagunas Nortes/Alto Chicama (Peru) Veladero
(Argentina); and Filo del Sol (Argentina). The most recent Mineral
Reserve estimate for Diablillos is shown in Table 3:

Table 3 - Diablillos Mineral
Reserve Estimate – As of March 07, 2024

Notes for Mineral Reserve Estimate:

1.  Mineral reserves have an
effective date of March 7th, 2024.

2.  The Qualified Person for the
Mineral Reserve Estimate is Mr. Miguel Fuentealba, P.Eng.

3.  The mineral reserves were
estimated using the Canadian Institute of Mining, Metallurgy and
Petroleum (CIM), Definition Standards for Mineral Resources and
Reserves, as prepared by the CIM Standing Committee on Reserve
Definitions and adopted by CIM Council.

4.  The mineral reserves were
based on a pit design which in turn aligned with an ultimate pit shell
selected from a Whittle TM pit optimization exercise. Key inputs for
that process are:

• Metal prices of USD $1,750/oz Au; USD $22.50/oz Ag

• Variable Mining cost by bench and material type.
Average costs are USD $1.94/t for all lithologies except for
“cover”, Cover mining cost of USD 1.73/t, respectively.

• Processing costs for all zone, USD $22.97/t. •
Infrastructure and G&A cost of USD 3.32/t. • Pit average slope
angles varying from 37° to 60° depending on the geotechnical domain.
• The average recovery is estimated to be 82.8% for silver and 86.6%
for gold.

5.  The Mineral Reserve Estimate
has been categorized in accordance with the CIM Definition Standards
(CIM, 2014).

6.  A Net Value per block
(“NVB”) cut-off was used to constrain the Mineral Reserve with the
reserve pit 2shell. The NVB was based on "Benefits =
Revenue-Cost" being positive, where, Revenue = [(Au Selling Price
(USD/oz) - Au Selling Cost (USD/oz)) x (Au grade (g/t)/31.1035)) x Au
Recovery (%)] + [(Ag Selling Price (USD/oz) - Ag Selling Cost
(USD/oz)) x (Ag grade (g/t)/31.1035)) x Ag Recovery (%)] and Cost =
Process Cost (USD/t) + Transport Cost (USD/t) + G&A Cost (USD/t) +
[Royalty Cost (%) x Revenue]. The NVB method resulted in an average
equivalent cut-off grade of approximately 46g/t AgEq.  

7.  In-situ bulk density was
read from the block model, assigned previously to each model domain
during the process of mineral resource estimation, according to
samples averages of each lithology domain, separated by alteration
zones and subset by oxidation.

8.  All tonnages reported are
dry metric tonnes and ounces of contained gold and silver are troy
ounces.

9.  All figures are rounded to
reflect the relative accuracy of the estimates. Minor discrepancies
may occur due to rounding to appropriate significant figures.

QA/QC and Core Sampling Protocols

AbraSilver applies industry standard exploration
methodologies and techniques, and all drill core samples are collected
under the supervision of the Company’s geologists in accordance with
industry practices. Drill core is transported from the drill platform
to the logging facility where drill data is compared and verified with
the core in the trays. Thereafter, it is logged, photographed, and
split by diamond saw prior to being sampled. Samples are then bagged,
and quality control materials are inserted at regular intervals; these
include blanks and certified reference materials as well as duplicate
core samples. Groups of samples are then placed in large bags which
are sealed with numbered tags in order to maintain a chain-of-custody
during the transport of the samples from the project site to the
laboratory.

All samples are sent to the Alex Stewart sample
preparation facility in Jujuy, then the sample pulps are sent to the
Alex Stewart laboratory in Mendoza where they are analyzed. All
samples are analyzed using a multi-element technique consisting of a
four-acid digestion followed by ICP/AES detection, and gold is
analyzed by 50g Fire Assay with an AAS finish. Silver results greater
than 100g/t are reanalyzed using four acid digestion with an ore grade
AAS finish.

Qualified Persons

David O’Connor P.Geo., Chief Geologist for
AbraSilver, is the Qualified Person as defined by National Instrument
43-101 Standards of Disclosure for Mineral Projects, and he has
reviewed and approved the scientific and technical information in this
news release.

About AbraSilver

AbraSilver is an advanced-stage exploration company
focused on rapidly advancing its 100%-owned Diablillos silver-gold
project in the mining-friendly Salta and Catamarca provinces of
Argentina.  The current Proven and Probable Mineral Reserve estimate
for Diablillos, from a recently completed Pre-Feasibility Study,
consists of 42.3 Mt grading 91 g/t Ag and 0.81 g/t Au, containing
approximately 124 Moz silver and 1.1 Moz gold, with significant
further exploration upside potential. In addition, the Company has
entered into an earn-in option and joint venture agreement with Teck
on the La Coipita project, located in the San Juan province of
Argentina.  AbraSilver is listed on the Toronto Stock Exchange under
the symbol “ABRA” and in the U.S. on the OTCQX under the symbol
“ABBRF.”

For further information please visit the AbraSilver
Resource website at www.abrasilver.com, ourLinkedIn page at AbraSilver Resource
Corp., and follow us on X atwww.x.com/abrasilver

Alternatively, please contact:

John Miniotis, President and CEO

info@abrasilver.com

Tel: +1 416-306-8334

Cautionary Statements

This news release includes certain"forward-looking statements" under applicable Canadiansecurities legislation. Forward-looking statements are necessarilybased upon a number of estimates and assumptions that, whileconsidered reasonable, are subject to known and unknown risks,uncertainties, and other factors which may cause the actual resultsand future events to differ materially from those expressed or impliedby such forward-looking statements. All statements that address futureplans, activities, events or developments that the Company believes,expects or anticipates will or may occur are forward-lookinginformation. There can be no assurance that such statements will proveto be accurate, as actual results and future events could differmaterially from those anticipated in such statements. Accordingly,readers should not place undue reliance on forward-looking statements.When considering this forward-looking information, readers should keepin mind the risk factors and other cautionary statements in theCompany’s disclosure documents filed with the applicable Canadiansecurities regulatory authorities on SEDAR+ at www.sedarplus.ca.  Therisk factors and other factors noted in the disclosure documents could cause actual events or results to differmaterially from those described in any forward-looking information.The Company disclaims any intention or obligation to update or reviseany forward-looking statements, whether as a result of newinformation, future events or otherwise, except as required bylaw.

Neither the TSX nor its Regulation Services Provider(as that term is defined in the policies of the TSX) acceptsresponsibility for the adequacy or accuracy of this newsrelease

Copyright (c) 2025 TheNewswire - All rights reserved.