Santacruz Silver Produces 22,641,051 Silver Equivalent Ounces in 2023

VANCOUVER, Jan. 22, 2024 - Santacruz Silver Mining Ltd. (TSXV: SCZ) ("Santacruz" or "the Company") reports its Q4 and annual 2023 production results from its Bolivar mine , Porco mine, Caballo Blanco Group of mines ("Caballo Blanco") and the San Lucas feed sourcing business ("San Lucas"), all located in Bolivia, and the Zimapan mine located in Mexico.

Highlights:

• Zimapan mine continued to implement operational improvements and processed 204,507 tonnes of material in Q4 2023, a 6% increase from the previous quarter and the most on a quarterly basis this year.

Arturo Préstamo, Executive Chairman and Interim CEO of Santacruz, commented, "Our team's dedication enabled us to achieve steady quarterly operations, which resulted in 5.7 million silver equivalent ounces produced in the fourth quarter, and 22.6 million silver equivalent ounces produced in 2023. The improved production results in the fourth quarter at the Zimapan mine are a direct result of the comprehensive management and operational restructuring carried out in September and October. The objective of this restructuring process was to enhance production tonnage and operational efficiency across both mines and the mill. Further efficiencies are expected to be captured in Q1 2024."

Mr. Préstamo continued, "Complementing our successes in Mexico, in Bolivia, the Caballo Blanco Group of mines just achieved a significant milestone with the completion of the integration ramp connecting the Tres Amigos and Colquechaquita mines on time and on budget. The 1,177-meter ramp was designed to facilitate increased productivity and safety at both the Colquechaquita and Tres Amigos mines, and is expected to contribute to overall production improvements at Caballo Blanco."

Mr. Préstamo concluded, "I would like to commend the dedicated and professional management teams in Mexico and Bolivia for their instrumental role in achieving these significant milestones."

Santacruz processed 489,417 tonnes of material in Q4 2023, a 5% increase from the previous quarter. Silver equivalent ounce production increased 2% to 5,757,228 including 1,719,737 ounces of silver, 23,777 tonnes of zinc, 3,129 tonnes of lead, and 290 tonnes of copper. While average throughputs, head grades and recoveries varied slightly across all operations, the increase in material processed at Zimapan, and increases in mineralized material purchased by San Lucas drove consistent metal production quarter-on-quarter.

At Zimapan major maintenance to the grinding circuit allowed for increased plant throughput. In addition, two new underground loaders arrived at the mine in September, which enabled more efficient mining operations. As a result, the mine processed 204,507 tonnes of material, a 6% increase when compared to the previous quarter.

In mid-October, the SAG mill motor at Porco was removed to be rebuilt. A 25-day period of approximately 50% grinding capacity followed as the Company was able to feed the ball mills directly with fine material until the rebuilt motor was reinstalled and full production was attained on November 14, 2023. While the Company expected production at Porco to be reduced during the quarter, increased throughput in December was able to significantly offset the reductions experienced in October and November as result of the SAG mill maintenance.

When compared to Q4 2022 material processed was in line with the previous year. This resulted in silver equivalent ounce and all metal production being in line quarter-over-quarter, with the exception of copper. Average copper head grades in Q4 2023 were 25% lower and as a result copper production decreased.

Annual 2023 production results benefitted from a full Q1 2023 production from the Bolivian operations. Annual 2022 figures are affected by the partial quarter of Bolivian production in Q1 2022. On March 18, 2022, the Company closed the acquisition of the Bolivian assets from Glencore and the results of the operations of the Bolivian assets are included from that date.

The Company continues to progress the National Instrument 43-101 technical reports for all its assets, and they are expected to be completed by the end of Q1 2024.

Fourth Quarter 2023 Production Summary - Consolidated

Fourth Quarter 2023 Production Summary - By Mine

Qualified Person
Wayne Corso, a consultant to 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 feed sourcing business are also in Bolivia. The Zimapan mine is located in Mexico.

'signed'

Arturo Préstamo Elizondo,
Executive Chairman and Interim CEO

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 benefits of the integration ramp at Caballo Blanco.

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 provide the benefits currently expected by management, 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, that the Company will derive the expected benefits from the integration ramp.

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.

Supplemental Table: Full Year Quarterly Production Results

SOURCE Santacruz Silver Mining Ltd.