Apache Junction, Arizona, August 30, 2012, Silver Horn Mining Ltd. (OTCBB: SILV, the "Company") announces that as a result of a review by the British Columbia Securities Commission ("BCSC"), the Company is issuing the following news release to clarify its disclosure record.

1.Non-Compliant Disclosure of Mineral Reserves on the Gold Run Property

The Company had previously, on its website and in its corporate presentation, disclosed an estimate of "400,000 tons of stockpiled ore" on the Gold Run Property (also known as the AC Claim) in Nevada, a property the Company no longer has an interest in. The Company also disclosed that the "stockpiled ore" had "strong potential for near term production". This disclosure is misleading and contrary to NI 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101") and the Company hereby retracts all such statements.

In particular, the Company wishes to clarify that it does not have any credible estimates of mineral resources or mineral reserves for the Gold Run Property. The Company has not done sufficient exploration, including adequate sampling of the stockpile, to estimate a mineral resource that would be suitable for public disclosure. In addition, the Company failed to disclose that the limited sampling conducted on the stockpile returned low silver and gold values that do not have reasonable prospects of economic extraction or potential for near term production.

In addition, the Company also specifically retracts its use of the phrase "ore" as the use of such word indicates that economic viability has been demonstrated by at least a preliminary feasibility study, which is not the case.

2.Failure to Name the Qualified Person

The Company failed to disclose the name and relationship to the Company of the Qualified Person who prepared or approved the disclosure of the exploration results reported on the Gold Run, Tip Top and COD properties. NI 43-101 requires this for all disclosure of scientific and technical information, including exploration results and estimates of mineral resources and mineral reserves. The Company would like to clarify that the exploration for the Gold Run Property (also known as the AC Claim) was conducted by and under the supervision of Mr. Donald G. Strachan, Consulting Geologist, QP, CPG, who is arms-length to the Company. Mr. Strachan was not responsible for the phrase "stockpiled ore". The exploration on the Tip Top and COD properties was not conducted by or under the supervision of a qualified person.

3.Non-Compliant Disclosure of Exploration Results

The Company issued news releases dated October 20, 2011 and November 7, 2011, reporting the results of preliminary sampling programs on its Tip Top and COD (Amy Claims) properties respectively in Nevada and Arizona, and posted these results on its website.

The Company would like to clarify that the description of sample results in the news releases was not compliant with National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101"), as they lacked any detail about the location and type of samples taken as well as any statement as to the analytical procedures used. In addition, the disclosure was misleading because it failed to adequately disclose that the results included selected high-grade samples that are not representative of the average grade or tenor of the mineralization. The Company retracts all such disclosure.

4.Misleading Disclosure

The Company has made changes to its website, corporate fact sheet and Company presentation to correct the references to "ore", pending production, and exploration results.

In these instances where the Company has retracted, reversed, clarified or updated previous disclosure, the Company advises readers not to rely on such statements as they may continue to be found in the public domain.

Former Property Interests of the Company

The Gold Run Property

The Company decided to drop the Gold Run Property because, together with other areas of focus and other projects coming online, management was of the view it did not merit the expenditures to maintain, nor did the Company have the cash on hand to continue with the property.

On June 8, 2012, the Company issued a news release and material change report confirming it had dropped the Gold Run Property.

The Tip Top Property

On April 26, 2011, the Company entered into a letter of intent to acquire the Tip Top Property that allowed for six months for due diligence. On October 23, 2011 the due diligence period expired and the Company entered into negotiations to extend which continued until the first quarter of 2012. Based on the Company's financial position and the costs of the agreement, the Company made the decision to drop the property.

On June 8, 2012, the Company issued a news release and a material change report confirming it had dropped the Tip Top Property.

Background

The Company is incorporated under the laws of Delaware and trades under the symbol "SILV" on the OTC Bulletin Board. In May 2011 the Company entered into private placement subscription agreements with 23 investors, 22 of whom were British Columbia residents. As a result of this private placement the Company has been deemed a reporting issuer in British Columbia under Instrument 51-509. The BCSC issued a cease trade order against the Company on February 1, 2012, due to the Company not completing the required British Columbia filings with respect to this private placement as well as continuous disclosure filings required to be made on SEDAR for British Columbia reporting companies. The Company is working to complete the required documentation to be filed.

Management of the Company

The Company has three directors: Daniel Bleak, John Eckersley and Joseph Wilkins, Jr. Daniel Bleak is the CEO, CFO and Chairman of the Board of Directors.

Current Property Interests of the Company

The Company does not have active mining operations at this time but holds interest in two properties which they propose to explore, depending on availability of funds.

A.The 76 Property

The 76 Property is located in Yavapai County, Arizona, 50 miles northwest of Phoenix, Arizona. The property consists of 36 federal unpatented lode mining claims on BLM land totaling 720 acres. The Company does not have any exploration program currently planned for the 76 Property.

The 76 Property does not have any resources or reserves.

B.The COD Property

The COD Property (also known as the "Amy Claims") is located in Mohave County, Arizona, 7 miles southwest of Chloride, Arizona. The property consists of 14 federal unpatented lode mining claims on BLM land totaling approximately 280 acres. The Company filed the claims with the BLM on July 1, 2011. To maintain the mining claims in good standing, the Company must make annual maintenance fee payments to the BLM, in lieu of annual assessment work. These claim fees are $140 per claim per year, plus a total annual fee of approximately $14 for all of the claims to record a notice of intent to hold the claims in Mohave County. The Company is currently planning an exploration program consisting of sampling, mapping, performing a grid survey and assaying to determine potential targets for drilling and further development. On September 18, 2011 the Company received a notice from a third party claiming that, of these 14 claims, at least 9 are situated overlapping this third party's alleged preexisting claims, and requesting that the Company cease and desist from sampling or removing any ores from these properties. The Company believes this third party's demands are without merit. On October 3, 2011, the Company offered the third party the opportunity to quiet title pursuant to execution and delivery to the Company of a quitclaim deed. As of August 30, 2012, the third party has not executed the quit claim deed and the Company may pursue any and all available legal actions and remedies.

The COD Property does not currently have any resources or reserves. All activities undertaken and currently proposed at the COD Property are exploratory in nature.

Mr. Donald G. Strachan, Consulting Geologist, QP. C.P.G., a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical aspects of this news release.

All disclosure documents can be viewed at www.sedar.com.

On behalf of the Board of Directors

SILVER HORN MINING LTD.