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THE TIMELESS PRECIOUS METAL FUND

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THREE PROMISING SILVER PROJECTS IN MEXICO WITH THE FIRST IN COMMERCIAL PRODUCTION. TARGET OF 2M AGEQ PRODUCTION FOR 2014.

Business Summary

Santacruz is a Mexican focused silver company with

· a producing project (Rosario),

· two advanced-stage projects (San Felipe and Gavilanes) and

· an early-stage exploration project (El Gachi).

The corporate objective is to become a mid-tier silver producer.

In 2014, production at Rosario is targeted to be 500 tons/day. The Company plans exploration and additional geologic evaluation, including diamond drilling on its properties, to define and expand resources to NI43-101 compliance.

Project Location

Rosario Project Ag, Au, Zn, Pb

· Located in historical mining district of Charcas, S.L.P.

· Acquired 500 t/d mill from Goldcorp, onsite assembly nearing completion. Mill is currently operational.

· Mesothermal, vein, low sulphidation system

· Drilling has focused primarily on Rosario I and II veins

· Mineralized structures to surface

· Excellent infrastructure (good road access, water and power lines nearby)

· Skilled labor, as the nearby Ejidos and Charcas town are a mining driven economy

The production decision was not based on a feasibility study of mineral reserves demonstrating economic and technical viability. Accordingly, there is increased uncertainty and economic and technical risks of failure associated with this production decision. Production and economic variables may vary considerably, due to the absence of a complete and detailed site analysis according to and in compliance with National Instrument 43-101. The risks associated with this decision are set forth in the "Risk Factors" section of the Company's most recent Annual Information Form, filed on SEDAR.

San Felipe, Sonora, Mexico

· San Felipe project, polymetallic veins of Ag, Zn, Pb and Cu, 7 main veins are clearly identified.

· Mesothermal polymetallic mineralization porphyry intrusive.

· NI 43-101 resources of 4M tons @ 70 Ag g/t, 5% Zn, 2.77% Pb, 0.28% Cu

· Diamond drilling to date totals over 18,500 meters in 168 Drill holes.

· Water, environmental, explosives and local Indians (ejido) permits signed.

· Excellent access and infrastructure.

· The NI 43-101 technical report on the San Felipe project has been prepared by Donald E. Hulse, P.E, SME-RM at Gustavson on Dec 19, 2012.

Gavilanes, Durango, Mexico

· Located in the San Dimas mining district in Mexico's epithermal silver belt.

· Gavilanes is located 25 km east of the Tayoltita mine and within the same mineralized trend as Tahuehueto, Cienega and Basis.

· Indicated mineral resources of 6,143,000 AgEq ounces grading 200 g/t AgEq.

· Inferred mineral resource of 28,294,000 AgEq ounces grading 163 g/t AgEq.

· Veins remain open along strike and to depth with intermittent surface exposures indicating an untested strike length

· The El Hundido stockwork is open down-dip and to the south.

· Four unexplored veins offer additional potential.

· Continued drilling in 2014 planned with a target to increase resources.

Recent News: Santacruz Silver Mining Closes $10,750,000 Bought Deal Common Share Financing

Santacruz Silver Mining Ltd. announced the closing of its prospectus offering announced on February 12, 2014 (the "Offering") through a syndicate of underwriters led by Canaccord Genuity Corp. ("Canaccord") and including Raymond James Ltd. (together, the "Underwriters"). The Company issued 10,750,000 common shares (the "Common Shares") at a price of $1.00 per Common Share for gross proceeds of $10,750,000.

The Underwriters received a cash fee equal to 6% of the gross proceeds of the Offering, as well as 645,000 warrants, each of which is exercisable to purchase one Common Share for a price of $1.00 for a period of 24 months. Canaccord was also issued an additional 100,000 Common Shares as a corporate finance fee.

The proceeds from the Offering are expected to be used by the Company for exploration and development of its San Felipe and Gavilanes projects in Mexico, and for general working capital, as disclosed in the Company's short form prospectus dated February 28, 2014 (the "Prospectus").

Fundamental Considerations

· Building Mexico's next mid-tier silver producer.

· Rosario targeted to achieve 500 tpd full capacity during Q2 2014.

· Gavilanes project has completed its Maiden Resource Estimate Report.

· For 2014, Santacruz is focused on ramping up Rosario Mine to full production capacity and to increase resources in respect of its three properties.

Starting commercial production and the recent financing promise a bright future.

The Sierra Madre Gold & Silver Venture Capital Fund

The Fund is a collective investment scheme established as an investment company with variable share capital under the laws of Malta. The Fund is not set-up as an umbrella fund but as a single fund. The Fund shall issue Voting Shares, which shall be fully subscribed by P. Zihlmann Investment Management AG and shall not be made available to the public, and Non-Voting Shares, which shall be open to subscription to Experienced Investors.

Information on the Directors and ultimate beneficial owners of P. Zihlmann Investment Management AG will be made available upon request.

Investment Objective

The investment objective of the Fund is to achieve capital gains through the investment in precious metal exploration, development and production companies engaged in the field of venture capital, provided that the Fund shall not be directly investing in precious metals.

Any changes to the investment objectives of the Fund shall be notified to holders on the Non-Voting Shares in advance of the change. The change in the investment objectives will only become effective after all redemption requests received during such notice period, have been satisfied.

Investment Policies

The Fund will seek to achieve its investment objective by investing at least eighty-five per cent (85%) of its assets in securities, issued by junior precious metal exploration, development and production companies operating in Latin American. The remaining fifteen per cent (15%) of the Fund’s assets may be invested in securities issued by gold and silver exploration, mining and production companies listed on a stock exchange anywhere in the world.

Mexico, as one of the most prolific mining countries of the world, will be one of the main targets of investment where not less than forty per cent (40%) of the Fund’s assets will be invested.

Capital gains may also be achieved by investing up to twenty-five per cent (25%) of the assets of the Fund in Private Placements of listed companies provided that the shares will be freely tradable within six (6) months from the date of placement.

Capital gains may also be achieved by investing up to fifteen per cent (15%) of the assets in companies which are conducting an IPO (initial public offering) with the intention to list the shares within three (3) months.

The Fund also retains the right to invest in Time/Cash deposits as circumstances may dictate.

Borrowing may be affected to satisfy short-term liquidity requirements.

www.timeless-funds.com

The Timeless Funds (The Timeless Precious Metal Fund, The Sierra Madre Gold & Silver Venture Capital Fund, The Timeless Uranium Fund, The Timeless US Growth Fund) are managed by

Timeless Asset Management Ltd, Malta (www.timeless-funds.com)

Investment Advisor: P. ZIHLMANN INVESTMENT • MANAGEMENT AG

Peter Zihlmann

www.pzim.ch

invest@pzim.ch

phone: +41 44 268 51 10, mobile CH +41 79 379 51 57, mobile MT +356 797 90 091

How to invest:

http://www.timeless-funds.com/en/timeless-precious-metal-how-invest

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Disclosure: The author has not been paid to write this article, nor has he received any other inducement to do so. The author is a shareholder in the company and will benefit from any increase in the company’s share price.

Disclaimer: The author’s objective in writing this article is to invoke an interest on the part of potential investors in this stock to the point where they are encouraged to conduct their own further diligent research. Neither the information, nor the opinions expressed should be construed as a solicitation to buy or sell this stock. Investors are recommended to obtain the advice of a qualified investment advisor before entering into any transactions in the stock.