Exploration At East Taviche Property

OTTAWA, ON - Aura Silver Resources Inc. reported an update on recent activities on its East Taviche property in Oaxaca State, Mexico. These activities include exploration and reconnaissance work recently initiated on East Taviche.

During June of 2014, Aura Silver initiated a soil sampling program which, to date, has provided encouraging results using a geochemical technique known as Spatiotemporal Geochemistry Hydrocarbon analysis "SGH". This survey confirmed a broad anomaly covering the area of the previously defined resource at the Higo Blanco prospect which was the subject of Aura Silver's 2011 43-101 Technical Report and was based upon the results of prior drilling. This is considered to be a blind test confirming the known resource, as the location of the defined resource was not known to the interpreters of the SGH survey. More importantly, the SGH survey indicates that mineralization extends in a continuous, and previously unidentified trend, for two kilometers to the northwest of our known resource. Further soil sampling is now being undertaken to zero in on appropriate drill targets.

Past drilling campaigns, totaling 35 holes, conducted between 2009 and 2011 on selected portions of the seven kilometer long Higo Blanco prospect, intersected significant silver mineralization. Significant high-grade drill intercepts included values such as 12.1 meters of 533.4 g/t silver equivalent in hole HBET-03 and 36.6 meters of 303.9 g/t silver equivalent in hole HBET-16. The Company's initial resource estimate reported in the 2011 43-101 Technical Report was based on only 14 holes which were focused at the Mezcal zone at Higo Blanco. Aura Silver intends to focus further work on the potential extension of mineralization as outlined by the recent SGH survey with the objective of further expanding the defined resources at Higo Blanco.

Additionally, Aura Silver is currently undertaking further sampling and reconnaissance mapping on other parts of the East Taviche property. In particular, the northeastern boundary contains a previously unidentified, extensive vein system, which runs contiguous to a known resource on the adjacent concession. Several historic pits and one shaft have been located to date. No record of previous activity or work can be located in the government archives and reports. All assays of rock samples and soil sampling should be available sometime in October.

The East Taviche property is located in the State of Oaxaca, Mexico, in a mineral rich area which encloses historic mines. Aura Silver currently holds a 72% interest in the East Taviche property while Aura Silver's joint venture partner, Intrepid Mines holds the remaining 28%. There are a number of targets on the property but our primary target, the Higo Blanco prospect, is situated in the southern portion of the property.

Beginning in 2008, Aura Silver conducted extensive mapping, geochemical surveys (soil, surface and trenching samples), ground-based geophysics (magnetics and Induced Polarization) and a drilling program. This work culminated in the identification of a high-grade, shallow silver resource with grades up to 2,500 g/t silver and associated values of up to 2.0 g/t gold.

The Higo Blanco prospect is a robust hydrothermal system emplaced into silicified and mineralized Cretaceous sediments and overlying Cretaceous volcanics. The entire 7 kilometer "trend", is defined by NW-trending vein structures and silicified limestone breccias "jasperoids", characterized by anomalous gold (up to 3.08 g/t Au), silver (up to 1,780 g/t Ag), arsenic (up to 8,680 ppm) and antimony (up to 7,840 ppm). This "trend" is hosted by a sequence of Cretaceous sediments.

Overlying the Cretaceous sediments are a sequence of variably mineralized Cretaceous andesitic volcanics. Broad zones, up to several meters wide, of quartz-chalcedony stockwork and hydrothermal breccias are hosted by silicified to quartz-pyrite-illite altered rocks of the andesite sequence and are developed in the hanging wall of the jasperoid deposits.

These mineralized vein and stockwork zones are characterized by a black quartz-sulfide matrix and where unoxidized, contain several percent fine-grained pyrite-marcasite-arsenopyrite. Geochemically, they are characterized by gold and arsenic. Rock chip samples as well as samples from trenching have returned values of gold (up to 9.93 g/t Au), silver (up to 463 g/t Ag), arsenic (up to 35,900 ppm) and antimony (up to 6,560 ppm). Analytical results from core samples collected from these zones contain an average gold content of 0.316 g/t Au and 0.58% As. These anomalous concentrations are developed over a strike length of at least 2 kilometers and are developed over a vertical range of at least 300 meters.