Corporate

Since the first day of production in 2006, IMPACT Silver Corp. has aspired to develop a mining company that is focused on generating continual profits through multiple processing mining districts. This is the long term strategy of IMPACT Silver in building a profitable mid-tier silver producer in Mexico.

The Company currently has a portfolio of projects encompassing 623 sq km located approximately four hours southwest of Mexico City. IMPACT Silver controls two large mineral districts; the 423 sq km Royal Mines of Zacualpan Silver District and the 200 sq km Mamatla Mineral District, as well as a number of concessions in the Zacatecas Mineral District.

First Project - Royal Mines of Zacualpan Silver Mines
IMPACT Silver currently has three producing silver mines and a 500 tpd processing plant in the Zacualpan Silver District. The producing Chivo Mine, San Ramon Mine and the Noche Buena Mine have all been discovered by the IMPACT exploration team. 90% of IMPACT's revenues are from silver, and production in 2010 reached 750,000 ounces, generating $16.7 million in revenues, $3.4 million in net earnings for $0.07 EPS.

For the first nine months of 2011, IMPACT Silver had already generated more than half of the 2010 earnings with revenues of $19.4 million and earnings of $6.9 million for an EPS of $0.11. It is expected that with increased production, the positive cash flow generated will continue to flow to the bottom line for 2012.

Second Project - Capire Mine Development Project
The next mine scheduled for production is the Capire Mine Project, located in the Mamatla Mineral District. The Capire open-pit mine, which is scheduled for production in late 2012, represents a new district of operations. This project will be IMPACT's fourth producing mine and first open-pit mine, and the second district to enter the production phase which is planned to significantly increase silver production in 2012 with initial ore processing through a 200 tpd pilot plant. Development plans include a processing plant expansion of 800 to 1,500 tpd. A NI 43-101 Mineral Resource Estimate of 7.2 million ounces silver, 95.6 million pounds zinc and 37.3 million pounds lead has been calculated and only covers 0.1% (0.2 sq km) of the 200 sq km Mamatla Silver District. The Capire zone is being expanded by additional drilling and several other VMS targets in close proximity are to be drilled in 2012.

Third Project - Veta Grande Silver Project, Zacatecas
The Company also has concessions and a 200 tpd processing plant in the Zacatecas Mineral District, northern Mexico. These assets are optioned to Defiance Silver Corp. (TSX.V : DEF) in return for a major share position in Defiance.

With a strong balance sheet and positive cash flow, IMPACT Silver is well positioned to grow its exploration and production in 2012 and onwards to become one of the most profitable multimillion ounce silver producers in the industry.