CONTINUED HIGH SILVER AND GOLD GRADES IN THE UNDERGROUND DRILLING PROGRAM

Sotkamo Silver AB has received assay results from of the additional eleven cores from this year's underground drilling-program. Currently 16 of 28 drill holes has now been assayed. Drilling was performed using T-76 core barrel, which produces 62mm core. Labtium Oy, which has made the assaying, is a FINAS-accredited testing laboratory T025 and T60, and meets the requirements of standard SFS-EN ISO/IEC 17025:2005

The assay results from the drill-holes show high silver- and gold-contents at Taivaljärvi Silver Mine.

• 99 gram/ton silver and 0,4 gram/ton gold (3 metres in core from hole TU-40)
• 67 gram/ton silver and 0,1 gram/ton gold (6 metres in core from hole TU-46)
• 107 gram/ton silver and 0,4 gram/ton gold (3 metres in core from hole TU-35
• 131 gram/ton silver and 0,8 gram/ton gold (4 metres in core from hole TU-34)
• 148 gram/ton silver and 0,6 gram/ton gold (7 metres in core from hole TU-45)
• 121 gram/ton silver and 0,3 gram/ton gold (6 metres in core from hole TU-57)
• 260 gram/ton silver and 0,5 gram/ton gold (3 metres in core from hole TU-50)
• 163 gram/ton silver and 1,1 gram/ton gold (13 metres in core from hole TU-56)
• 223 gram/ton silver and 0,6 gram/ton gold (5 metres in core from hole TU-56)
• 248 gram/ton silver and 0,6 gram/ton gold (8 metres in core from hole TU-56)
• 128 gram/ton silver and 0,2 gram/ton gold (10 metres in core from hole TU-56)

The purpose of the drilling program has primarily been to increase the indicated mineralresources that will serve as base for the Feasibility study.

The table below shows the best assay results:

(For table see attached file)

" I am very pleased with the assay-results from these drill holes from the Taivaljärvi Silver Mine. These new assays from the underground drilling shows that there are more high silver content in these deeper parts of the deposit," says Timo Lindborg, CEO of Sotkamo Silver

For calculation of the silver and gold equivalents we have used a silver price of 22 USD/ounce, gold price of 1,200 USD/ounce, zinc price of 2,100 USD/t, and lead price of 2,000 USD/t. In addition, we have used the 70% recovery and payment reduction for zinc and lead price, but no reduction for gold and silver.

Core drilling was carried out from the mine decline. The distance between drill sections are about 15-20 meters. Mineralised sections were found in every hole. In some holes the mineralised core-sections have significant widths and silver grades. In one of them  a mineralized section   2 meters  wide  and containing 1,235 grams of silver per tonne was discovered.  Another significant section was 4 meters wide and contained 357 grams silver per tonne.

The information in this press release is based on the assay-results from the independent accredited laboratory Labtium Oy. Sotkamo Silver’s Chief Technical Officer Jouko Jylänki has compiled the tables and the information in this press release. Dr. Jylänki owns shares in Sotkamo Silver AB. Independent consultant Jyrki Parkkinen, doctor in geology, EURGEO. Qualified Person status by The European Federation of Geologists (EFG), has supervised the drilling and the reporting of this press release. He is not employed by Sotkamo Silver or its affiliates and he doesn’t own any shares in the Company.

Stockholm, June 16, 2011

SOTKAMO SILVER AB (publ.)

Timo Lindborg, CEO

About Sotkamo Silver AB:

Sotkamo Silver AB´s business concept is to exploit mineral deposits in the Nordic countries with regard to human society and environment. Sotkamo Silver owns, through its subsidiary mineral deposits, which contains silver and gold in Finland. The Company’s main development project is the Taivaljärvi Silver Mine.

Sotkamo Silver applies SveMin’s & FinnMin’s respective rules of reporting for public mining & exploration companies. Sotkamo Silver has chosen to report mineral resources and ore reserves according to the internationally accepted JORC or NI 43-101-code. The company applies International Financial Reporting Standards (IFRS) as approved by the European Union.

The shares are traded at the Burgundy market place and NGM Equity in Stockholm.

The ticker symbol is SOSI. ISIN-code for Sotkamo Silver shares is SE0001057910.

Read more about Sotkamo Silver on www.sotkamosilver.com or www.silver.fi

For further information: Dr. Timo Lindborg, CEO, phone: +46-8-30 49 20