HEAVY RAIN FALL AFFECTS OPERATIONS AT YING MINING DISTRICT IN HENAN, CHINA

VANCOUVER, British Columbia – July 26, 2010 – Silvercorp Metals Inc. (“Silvercorp” or the “Company”) reports that in the afternoon of July 24, 2010, abnormally heavy rainfall occurred over the area covering the Ying Mining District, causing damage to the mining operations at the Ying mining camp. The amount of rainfall was recorded as 217 millimeters over a three-hour period by the government meteorology site near the Ying mine at Xiayu town. The deluge was sudden enough that despite the substantial amount of flood control work on site, including diversion tunnels, dikes and channels, three access tunnels (two in the Ying Mine and one in the HPG Mine) were flooded. Mining facilities and equipment, such as such as compressors, power switchboards, and transformers at four sites were either flooded or buried by debris washed down from upslope. Six sections of access roads to our different mine sites were also washed away or damaged. There were no human casualties.

Management estimates direct recovery costs for the damage should be no more than $1 million, and the time required to carry out repairs and clean up the Ying, LM, TLP and HPG mines will be approximately 6, 10, 15 and 30 days, respectively. During these periods, operations at the respective mines will be suspended. As a result, the Company expects an approximate 10% reduction in ore production for the current quarter.