Apogee Silver Provides Update to Its Toll Milling Program at Its Pulacayo Project in Bolivia and Issues Final Payment to Acqu...

Apogee Silver Ltd. ("Apogee" or the "Company") (TSX VENTURE:APE) is pleased to
announce that it commenced shipment of stockpiled mineralized material from its
100% controlled Pulacayo project (the "Project") in Bolivia to Tatasi for
milling and processing. The Company has secured a toll milling agreement with
the Tatasi Cooperative, who operate the concentrator which has the capacity to
process up to 200 tonnes of ore per day. Further, the Company has obtained the
required sign-off from COMIBOL (Corporacion Minera de Bolivia) to transport
mineralized material to the Tatasi concentrator. To date, Apogee has stockpiled
7,000 tonnes of mineralized material from its trial mining operations.


Commenting on these recent developments, Neil Ringdahl, the Chief Executive
Officer of the Company, stated, "We are delighted by our progress and COMIBOL's
endorsement of our planned milling activities. This is a positive indication of
the high level of support Apogee has from the affected communities and
stakeholders at Pulacayo. In addition, we look forward to developing a similarly
positive relationship with the Tatasi community."


Apogee holds the necessary environmental permits issued by the Bolivian
authorities to conduct mining and processing operations up to 200 tonnes per
day, which includes the transport of mineralized material to an established
concentrator outside the Project area. The Company plans to process stockpiled
mineralized material into the 4th calendar quarter of 2012, at which point the
Company anticipates that its feasibility study will be completed.


In addition, Apogee has completed the acquisition of the Cachinal silver
property, located in Chile (See Press Release dated September 16, 2011) and has
issued the remaining payment to Valencia Ventures Inc. ("Valencia"). In
accordance with the terms of the agreement entered into with Valencia, the
Company has acquired all of the issued and outstanding common shares of Compania
Minera Valencia Ventures - Chile Limitada, Valencia's wholly-owned subsidiary
that holds an 80% interest in Cachinal and the Nueva Juncal silver properties.
In consideration, Apogee has paid Valencia $500,000 in cash ($325,170 of which
had already been paid) and has issued 3,000,000 common shares of the Company to
Valencia. 


While the Company remains focused on developing its flagship Pulacayo silver
property in Bolivia, management believes the completion of the acquisition of
the Cachinal property is an important milestone for the Company which may result
in further resource growth and development in the future.


Quality Control

The Company employs a quality assurance/quality control protocol on all aspects
of the diamond drilling, sampling and analytical procedures. The quality control
is carried out under the supervision of Chris Collins, P. Geo. a qualified
person as defined by NI 43-101. The scientific and technical information
presented in the press release has been reviewed and approved by Chris Collins,
P. Geo., President of Apogee, and a qualified person, as defined by NI 43-101.
For detailed project information please refer to Apogee's web site at
www.apogeesilver.com.


About Apogee Silver Ltd

Apogee Silver Ltd. is a mineral exploration and development stage company listed
on the TSX Venture Exchange under the symbol APE. Apogee targets advanced
silver-zinc-lead projects in South America that demonstrate potential to be
developed to production. Currently its projects are located in the historic
silver producing regions of southwest Bolivia and northern Chile. Upon
completion of the acquisition of the Cachinal property, there are 298,066,809
common shares of Apogee issued and outstanding.


Its most advanced project is the 100% controlled Pulacayo-Paca project in
Bolivia. This project includes the property that covered the second-largest
silver mine in the history of Bolivia with a historical estimate of over 600
million ounces of past production.


Cautionary Note Regarding Forward-Looking Information. This press release
contains "forward looking information" within the meaning of applicable Canadian
securities legislation. Forward looking information includes, but is not limited
to, statements with respect to anticipated timing of the feasibility study and
the mineral resource estimate, the potential effect of the toll milling and
trial mining process and impact upon the future development of the property, the
potential of the Cachinal property, the future financial or operating
performance of the Company, its subsidiaries and its projects, the development
of and the anticipated timing with respect to the Pulacayo-Paca project, the
anticipated timing with respect to completion of the diamond drill program, the
current drill program, anticipated timing with respect to the trial mining
program and statements regarding exploration prospects. Generally, forward
looking information can be identified by the use of forward-looking terminology
such as "plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not
anticipate", or "believes", or variations of such words and phrases or state
that certain actions, events or results "may", "could", "would", "might" or
"will be taken", "occur" or "be achieved". Forward-looking information is
subject to known and unknown risks, uncertainties and other factors that may
cause the actual results, level of activity, performance or achievements of the
Company to be materially different from those expressed or implied by such
forward-looking information, including but not limited to: financing not being
available at desired prices; general business, economic, competitive, political
and social uncertainties; the actual results of current exploration activities;
timing and availability of external financing on acceptable terms; conclusions
of economic evaluations; changes in project parameters as plans continue to be
refined; future prices of mineral prices; failure of plant, equipment or
processes to operate as anticipated; accidents, labour disputes and other risks
of the mining industry; and, delays in obtaining governmental approvals or
required financing or in the completion of activities. Although the Company has
attempted to identify important factors that could cause actual results to
differ materially from those contained in forward-looking information, there may
be other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such information will prove to be
accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue
reliance on forward looking information. The Company does not undertake to
update any forward-looking information, except in accordance with applicable
securities laws. 


On Behalf of the Board, 

Neil T. Ringdahl, Chief Executive Officer

To view Figure 1 - Bolivia and Chile Project Locations, please visit the
following link: http://media3.marketwire.com/docs/ApogeeFigure1.pdf.