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Dolly Varden Property, BC: Significant Silver Grades Intersected During Surface and Underground Exploration at the Torbrit and Dolly Varden Mines

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Capping the central zone are stratiform beds that are locally stacked in multiple horizons located above (northward from) the central zone. The eastern and western flanking aprons of stratiform beds dip to the northeast and the northwest, respectively, enclosing the Torbrit central zone in a gently northwest-plunging fold geometry with the central zone at its keel. In the 2012 sampling, crews accessed the 10-E-6 drift on the northwest flank and the 10-1-F drift on the northeast flank of the central zone. See the attached Torbrit 1025 Level - 2012 Underground Sampling Areas and the table of results below. Sampling was mostly conducted along the mineralization and shows good consistency from sample to sample. True widths are unknown, but the trend of the mineralization as seen in historical drill information and in limited workings, infers a 10 to 30m true width to the 10-E-6 and 10-1-F zones. Importantly, these two sampled zones are located at lower and mid-levels in the mineralized stratigraphy. Historical drilling and sampling information indicates additional zones both above and below the zones sampled in 2012.

    TORBRIT MINE LEVEL 1025: UNDERGROUND CHIP SAMPLING PROGRAM FALL 2012----------------------------------------------------------------------------                                                            Ag                                      Length      Ag (oz/short     Pb     ZnDRIFT NAME          INTERVAL RESULTS  (m)(i)   (gpt)      ton)    (%)    (%)----------------------------------------------------------------------------10 - E - 6: North Wall  10E6 Weighted Average 1    56.5   266.5     7.773   0.51   0.24  Including                             41.5   314.6     9.176   0.51   0.2510 - 1 - A: West Wall   101A Weighted Average 1     1.8   327.5     9.552   0.17   0.0310- 1 - A: East Wall   101A Weighted Average 2     3.9   359.9    10.497   0.21   0.04  Including                              1.1   772.0    22.517   0.45   0.0310 - 1 - F: South Wall  101F Weighted Average 1     3.8   718.0    20.942   0.77   0.2110 - 1 - F: North Wall  101F Weighted Average 2    12.6   310.5     9.056   1.91   0.16                                         3.8   814.0    23.742   2.71   0.1510 - 1 - F: NW Wall     101F Weighted Average 3    77.6   246.8     7.198   0.84   0.06Including 1                               10   580.6    16.934   1.09   0.10Including 2                             14.7   308.3     8.991   1.10   0.0310 - 1 - F: NE Wall     101F Weighted Average 4   68.55   237.3     6.921   0.79   0.03  Including                              9.7   371.3    10.831   0.56   0.0310 - 1 - F: West Wall   101F Weighted Average 5    22.2   220.0     6.416   0.29   0.05  Including                              8.6   414.9    12.101   0.18   0.08----------------------------------------------------------------------------(i) Lengths are sampled length along drift wall and stopes and do not represent true thicknessesWeighted Average = length-weighted average of abutting horizontal chip samples taken at 1 m height from drift floor.


Diamond drilling and additional underground sampling is planned for early in 2013 to add to the information above.

DOLLY VARDEN MINE: 2012 DIAMOND DRILLING PROGRAM

Dolly Varden Silver Corporation drilled a total of 1,728 meters in 6 drill holes at the Dolly Varden deposit in 2012. These drill holes tested a number of projected down dip extensions of mineralization in an area where historical production (from Garrow, 2011) was approximately 1.5 million ounces of silver at a grade of 35.8 ounces per ton (1,227 g/tonne). The 2012 drill holes were targeted beneath historical mineral resource blocks. The Company considers the historical mineral resource blocks as geological information only and as a guide to verification drilling.

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