Apogee Silver's Employees Participate in Private Placement

TORONTO, ONTARIO--(Marketwired - April 17, 2013) - Apogee Silver Ltd. ("Apogee" or the "Company") (TSX VENTURE:APE) is pleased to announce that, after successfully closing a private placement offering for aggregate gross proceeds of $3,518,500 on April 4, 2013 (the "Initial Offering"), it has now closed a second tranche of the offering (the "Second Tranche"), in which an additional three company employees purchased 900,000 units (each, a "Unit") of the Company at a price of $0.05 per Unit for aggregate gross proceeds of $45,000. The participation was on the same terms as the Initial Offering and is subject to final approval from the TSX Venture Exchange (the "TSXV").

In the Initial Offering and the Second Tranche, insiders and employees, including the Chief Executive Officer, the Chairman, each of the directors and certain employees of the Company, purchased a total of 10,740,000 Units for aggregate proceeds of $537,000.

Chief Executive Officer of Apogee, Neil Ringdahl, stated: "We are pleased to have extended the offering after certain members of our management team at site expressed a strong desire to participate in the private placement as well, which further highlights the strong commitment of the team towards the Company's success."

Each Unit issued in the Second Tranche consists of one common share of the Company (a "Common Share") and 0.6 of a purchase warrant (a "Warrant"), with each whole Warrant entitling its holder to purchase one Common Share at an exercise price of $0.10 per Common Share for a period of 36 months following the closing of the Second Tranche offering. The terms of the Second Tranche mirrored the terms of the Initial Offering.

In order to maximize proceeds from both the Initial Offering and the Second Tranche offering, the Company entered into agreements dated April 4, 2013 with certain service providers (the "Service Providers") of the Company to settle debts owed by the Company to the Service Providers through the issuance of Units rather than cash payments. In accordance with the approval received from the TSXV, the Company has issued an aggregate of 3,720,000 Units to the Service Providers, in lieu of $186,000 that was otherwise owing.

All of the securities issued in connection with the Second Tranche offering are subject to resale restrictions which expire on August 17, 2013. The Second Tranche offering remains subject to final approval from the TSXV.

The Company intends to use net proceeds of the Initial Offering and the Second Tranche to continue the development of its key projects situated in Bolivia and for working capital purposes.

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. There are currently 301,066,809 common shares of Apogee issued and outstanding.

Apogee's 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 may contain "forward-looking information" or information deemed to be forward-looking within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements about the results of Apogee's technical reports and the development potential of the Company and/or its projects; the timing and amount of future exploration and development of its projects; and the future financial or operating performance of the Company and/or its projects, including in relation to payments associated with the sale of the Company's concentrates. 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: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; other risks of the mining industry and the risks described in the annual information form of the Company. 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.