Huldra Awaiting Ministry OK to Start Milling 24/7

HULDRA SILVER IS PLEASED TO PROVIDE AN UPDATE ON MILL COMMISSIONING AND MINE STATUS

Huldra Silver Inc. has provided an update on the commissioning of its 200-tonne-per-day silver, lead and zinc crushing, grinding and flotation mill in Merritt, B.C. The company also wishes to provide an update on the current progress at the Treasure Mountain mine, located 70 kilometres south of Merritt, B.C.

Under the supervision of a metallurgical engineering consultant, the company has been making minor modifications to the processing plant. This work involved changes to the mill from fine ore bin right through to the filtration area. The mill was shut down temporarily to make these modifications, which have been completed in a timely manner.

With the current adjustments to the processing complete, the decision has been made to begin processing recently mined mill feed instead of the historical partially oxidized stockpile from the Treasure Mountain mine. Huldra has hired additional managers, consultants and employees during the past two weeks to begin operating the mill 24 hours a day, seven days a week, immediately upon approval of the Ministry of Energy and Mines. Further maintenance and upgrades are expected to occur during regular operations.

The company considers the mill commissioning to be substantially complete. As highlighted during recent facility inspections, as required under the Mines Act of British Columbia for a fully operational mill, the company accelerated and completed the planned replacement of temporary ladders, lights and fans with permanent fixtures.

The Treasure Mountain mine has been operating throughout this period, with stockpiles of mill feed increasing on a daily basis from the underground mining operations. The frequency of transportation of mill feed from the mine site to the mill site has been increased in order to meet anticipated increased mill throughput. Further underground exploration plans are being developed and will be released as soon as they are complete.

Huldra currently employs approximately 75 full-time employees in the Merritt, B.C., area, along with additional contractors and consultants. The company expects that the level of employment will continue to increase as further development occurs at both the Merritt mill facility and the Treasure Mountain mine.

We seek Safe Harbor.