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On October 27, 2010, Silvermet closed the joint venture and strategic investment transaction with an affiliate of Befesa Medio Ambiente, S.A. ("Befesa") of Erandio, Spain. As a result, the Turkish operations are now held through the newly established joint venture company, Befesa Silvermet Turkey, S.L. ("Befesa Silvermet"), in which Silvermet has a 49% interest. The results shown above are at 100% and do not reflect the impact of any changes to Silvermet's accounting for the Turkish operations after October 27, 2010.

"We are very pleased with the improvements in our operating results experienced throughout 2010. With the additional technical and operational expertise that Befesa provides, we expect this improving trend to continue into the future as we optimize the operations of our existing kiln and plan for expansion," said Stephen G. Roman, Chairman, President and CEO of Silvermet.

The formation of Befesa Silvermet included a cash injection into this joint venture company, of which approximately $5.3 million remains available to be invested in major capital improvements to the existing kiln or investment in additional kiln capacity.

About Silvermet:

The Waelz kiln operations in Iskenderun, Turkey were acquired by Silvermet in February 2009 and have been in production since May 2009. Electric arc furnace dust is a waste product of steel mills and is processed through a Waelz kiln to recover zinc. Silvermet holds a 49% interest in a joint venture company, Befesa Silvermet, which holds 100% of the Turkish operations.

Befesa is headquartered in Spain and operates a number of Waelz kilns throughout Europe.

Caution concerning forward-looking statements: The information in this release may contain forward-looking information under applicable securities laws. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those implied by the forward-looking information. Factors that may cause actual results to vary include, but are not limited to, inaccurate assumptions concerning the exploration for and development of mineral deposits, political instability, currency fluctuations, unanticipated operational or technical difficulties, changes in laws or regulations, the risks of obtaining necessary licenses and permits, changes in general economic conditions or conditions in the financial markets and the inability to raised additional financing. Readers are cautioned not to place undue reliance on this forward-looking information. The Company does not assume the obligation to revise or update this forward-looking information after the date of this release or to revise such information to reflect the occurrence of future unanticipated events except as may be required under applicable securities laws. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

The TSX Venture Exchange has in no way passed upon the merits of the transaction and has neither approved nor disapproved the contents of this press release.