40FR12B

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 40-F

[X] REGISTRATION STATEMENT PURSUANT TO SECTION 12 OF THE

SECURITIES EXCHANGE ACT OF 1934

OR

[  ] ANNUAL REPORT PURSUANT TO SECTION 13(a) OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended ______________     Commission File Number ______________

SILVERCORP METALS INC.

(Exact name of registrant as specified in its charter)

BRITISH COLUMBIA, CANADA	1041	Not Applicable
(Province or other jurisdiction of incorporation or organization)	(Primary Standard Industrial Classification Code Number)	(I.R.S. Employer Identification Number)

SUITE 1378, 200 GRANVILLE STREET

VANCOUVER, BRITISH COLUMBIA V6C 1S4 CANADA

(604) 669-9397

(Address and telephone number of Registrant’s principal executive offices)

Jonathan C. Guest

Greenberg Traurig LLP

One International Place

Boston, MA 02110

(617) 310-6000

(Name, address (including zip code) and telephone number (including area code)
of agent for service in the United States)
- ---------------------

Securities to be registered pursuant to Section 12(b) of the Act:

Title of each class:	Name of exchange on which registered:
Common Shares, no par value	New York Stock Exchange

Securities registered pursuant to Section 12(g) of the Act:  Not Applicable

Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act: None

For annual reports, indicate by check mark the information filed with this Form.

[  ] Annual information form     [  ] Audited annual financial statements

Indicate the number of outstanding shares of each of the issuer’s classes of capital or common stock as of the close of the period covered by the annual report.  Not Applicable

Indicate by check mark whether the Registrant by filing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934 (the “Exchange Act”).  

[  ] Yes

[X] No

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     

[  ] Yes

[X] No

2

DIFFERENCES IN UNITED STATES AND CANADIAN REPORTING PRACTICES

Silvercorp Metals Inc. (the “Registrant”) prepares its financial statements, which are filed with this report on Form 40-F in accordance with Canadian generally accepted accounting practices (“GAAP”), and are subject to Canadian auditing and auditor independence standards.  They may not be comparable to financial statements of United States companies.  The Registrant is permitted, under a multi-jurisdictional disclosure system adopted by the United States, to prepare this report in accordance with Canadian disclosure requirements, which are different from those of the United States.  Significant differences between Canadian GAAP and United States GAAP as pertains to the Registrant for the years ended March 31, 2008 and 2007 are described in Exhibit 99.4 to this Registration Statement.

FORWARD-LOOKING STATEMENTS

This Registration Statement and the Exhibits incorporated by reference into it contain “forward-looking statements.”  Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, and other similar words, or statements that certain events or conditions “may” or “will” or “can” occur.  Forward-looking statements are based on the opinions and estimates of management on the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements.  These factors include the inherent risks involved in the exploration, development, and mining of mineral properties, the uncertainties involved in interpreting d rilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future, as well as those factors discussed in the section entitled “Item 4:  Description of the Business - 4.3 Risk Factors” in the Annual Information Form of the Registrant filed as Exhibit 99.3 to this Registration Statement.  Although the Registrant has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended.  There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.  

Forward-looking statements contained in the Exhibits incorporated by reference into this Registration Statement are made as of the respective dates set forth in such Exhibits and the Registrant disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise.  There can be no assurance that forward-looking statements 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 statements.

3

RESOURCE AND RESERVES ESTIMATES

The terms “Mineral Reserve,” “Proven Mineral Reserve” and “Probable Mineral Reserve” are Canadian mining terms as defined in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43-101”) under the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the “CIM”) CIM Standards on Mineral Resources and Mineral Reserves, adopted by the CIM Council, as may be amended from time to time by the CIM.  These definitions differ from the definitions in the United States Securities and Exchange Commission (“SEC”) Industry Guide 7 (“SEC Industry Guide 7”) under the Securities Act of 1933.  The definitions of proven and probable reserves used in NI 43-101 differ from the definitions in SEC Industry Guide 7.  Under SEC Industry Guide 7 standards, a “final” o r “bankable” feasibility study is required to report reserves, the three year history average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority.

In addition, the terms “mineral resource”, “measured mineral resource”, “indicated mineral resource” and “inferred mineral resource” are defined in and required to be disclosed by NI 43-101; however, these terms are not defined terms under SEC Industry Guide 7 and normally are not permitted to be used in reports and registration statements filed with the SEC.  Investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves.  “Inferred mineral resources” have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility.  It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category.  Under Canadian rules, estimates of inferred mineral resources  may not form the basis of feasibility or pre-feasibility studies, except in rare cases.

Accordingly, information contained in this report and the documents incorporated by reference herein containing descriptions of our mineral deposits may not be comparable to similar information made public by U.S. companies subject to the reporting and disclosure requirements under the United States federal securities laws and the rules and regulations thereunder.

DOCUMENTS FILED PURSUANT TO GENERAL INSTRUCTIONS

In accordance with General Instruction B.(1) of Form 40-F, the Registrant hereby incorporates by reference Exhibits 99.1, 99.2, 99.3, 99.5 through 99.61, 99.65 and 99.66, inclusive, as set forth in the Exhibit Index attached hereto.

In accordance with General Instruction B.(2) of Form 40-F, the Registrant hereby makes reference to the sections entitled “Authorized Share Structure” on page 3 of the Notice of Articles of the Registrant filed as Exhibit 99.66, as set forth in the Exhibit Index attached hereto.

4

In accordance with General Instruction C.(2) of Form 40-F, the Registrant hereby incorporates by reference (i) Exhibit 99.1, the Audited Consolidated Financial Statements of the Registrant for the years ended March 31, 2008 and 2007; (ii) Exhibit 99.2, Management’s Discussion and Analysis of Financial Condition and Results of Operation for the year ended March 31, 2008; and (iii) Exhibit 99.4, Reconciliation to United States Generally Accepted Accounting Principles for years ended March 31, 2008 and 2007 as required by Item 17 of Form 20-F.

In accordance with General Instruction D.(9) of Form 40-F, the Registrant has filed written consents of certain experts named in the foregoing Exhibits as Exhibit 99.62 through Exhibit 99.64, inclusive, as set forth in the Exhibit Index attached hereto.

ADDITIONAL INFORMATION

The Registrant has no off-balance sheet arrangements.

The following table lists as of March 31, 2008 information with respect to the Registrant’s known contractual and asset retirement obligations (stated in US$).

Payments  due by Period
Contractual Obligations	Total	Less than 1 year	1-3 years	3-5 years	More than 5 years
Leasehold obligation	$962,617	$254,670	$513,706	$172,416	$21,825
Investment in smelter	$4,300,000	$4,300,000
Acquisition of LM	$700,000	$700,000
Asset Retirement Obligations					$1,743,112
Total	$5,962,617	$5,254,670	$513,706	$172,416	$1,764,937

UNDERTAKINGS

The Registrant undertakes to make available, in person or by telephone, representatives to respond to inquiries made by the Commission staff, and to furnish promptly, when requested to do so by the Commission staff, information relating to: the securities registered pursuant to Form 40-F; the securities in relation to which the obligation to file an annual report on Form 40-F arises; or transactions in said securities.

CONSENT TO SERVICE OF PROCESS

Concurrently with the filing of this Registration Statement on Form 40-F, the Registrant will file with the Commission an Appointment of Agent for Service of Process and Undertaking on Form F-X.

Any change to the name or address of the Registrant’s agent for service shall be communicated promptly to the Commission by amendment to Form F-X referencing the file number of the Registrant.

5

SIGNATURES

Pursuant to the requirements of the Exchange Act, the Registrant certifies that it meets all of the requirements for filing on Form 40-F and has duly caused this Registration Statement to be signed on its behalf by the undersigned, thereto duly authorized.

SILVERCORP METALS INC.

By: /s/ Lorne Waldman

Name:  Lorne Waldman

Title: Corporate Secretary

Date:  September 23, 2008

6

EXHIBIT INDEX

Annual Information

Exhibit	Description
99.1	Audited Consolidated Financial Statements for the years ended March 31, 2008 and 2007
99.2	Management’s Discussion and Analysis of Financial Condition and Results of Operations for the year ended March 31, 2008
99.3	Annual Information Form for the year ended March 31, 2008
99.4	Reconciliation to United States Generally Accepted Accounting Principles for years ended March 31, 2008 and 2007

Quarterly Information

99.5	Interim Consolidated Financial Statements (Unaudited) for the three months ended June 30, 2008 and 2007
99.6	Management’s Discussion and Analysis of Financial Condition and Results of Operations for the three months ended June 30, 2008

BBOS 46,175,160v5

Shareholder Meeting Materials

99.7	Management Information Circular for the September 28, 2007 Annual and Special General Meeting of Shareholders
99.8	Form of Proxy for September 28, 2007 Annual and Special General Meeting of Shareholders
99.9	Notice of  Meeting for September 28, 2007 Annual and Special General Meeting of Shareholders
99.10	Notice of Meeting and Record Date related to the September 28, 2007 Annual and Special General Meeting of Shareholders
99.11	Management Information Circular for the September 26, 2008 Annual General Meeting of Shareholders
99.12	Form of Proxy for September 26, 2008 Annual General Meeting of Shareholders
99.13	Notice of Meeting for September 26, 2008 Annual General Meeting of Shareholders
99.14	Notice of Meeting and Record Date related to the September 26, 2008 Annual General Meeting of Shareholders

Material Change Reports

99.15	Material Change Report dated September 20, 2007
99.16	Material Change Report dated September 17, 2007

News Releases

99.17	News Release dated August 15, 2008
99.18	News Release dated August 14, 2008
99.19	News Release dated August 13, 2008
99.20	News Release dated August 8, 2008
99.21	News Release dated July 24, 2008
99.22	News Release dated July 16, 2008
99.23	News Release dated June 23, 2008
99.24	News Release dated June 18, 2008
99.25	News Release dated June 9, 2008
99.26	News Release dated June 6, 2008
99.27	News Release dated May 21, 2008
99.28	News Release dated May 14, 2008
99.29	News Release dated May 5, 2008
99.30	News Release dated April 28, 2008
99.31	News Release dated April 3, 2008
99.32	News Release dated March 26, 2008
99.33	News Release dated March 20, 2008
99.34	News Release dated March 13, 2008
99.35	News Release dated February 14, 2008
99.36	News Release dated January 21, 2008
99.37	News Release dated December 12, 2007
99.38	News Release dated December 6, 2007
99.39	News Release dated December 4, 2007
99.40	News Release dated November 14, 2007
99.41	News Release dated November 7, 2007
99.42	News Release dated November 1, 2007
99.43	News Release dated October 16, 2007
99.44	News Release dated October 1, 2007

99.45	News Release dated September 20, 2007
99.46	News Release dated September 17, 2007
99.47	News Release dated September 7, 2007
99.48	News Release dated August 31, 2007
99.49	News Release dated August 31, 2007
99.50	News Release dated August 23, 2007
99.51	News Release dated August 13, 2007
99.52	News Release dated July 10, 2007
99.53	News Release dated June 25, 2007
99.54	News Release dated June 18, 2007
99.55	News Release dated June 10, 2007
99.56	News Release dated May 31, 2007
99.57	News Release dated May 16, 2007
99.58	News Release dated April 16, 2007
99.59	News Release dated April 12, 2007

Technical Reports

99.60	Independent Technical Report prepared by BK Exploration Associates on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, dated August 16, 2007
99.61	Technical Report prepared by SRK Consulting China Ltd. on Gaocheng Ag-Zn-Pb Project and Shimentou Au-Ag-Zn-Pb Project, Guangdong Province, People’s Republic of China, dated April 2008

Consents

99.62	Experts’ Consents of BK Exploration Associates
99.63	Experts’ Consents of SRK Consulting China Ltd
99.64	Consent of Ernst & Young LLP

Constating Documents

99.65	Certificate of Incorporation (British Columbia)
99.66	Notice of Articles

EX-99.1

Exhibit 99.1

SILVERCORP METALS INC.

CONSOLIDATED FINANCIAL STATEMENTS
YEARS ENDED MARCH 31, 2008 AND 2007
(Expressed in US Dollars, unless otherwise stated)

 

Management's Responsibility for Financial Reporting

Management of Silvercorp Metals Inc. is responsible for the integrity and fair presentation of the financial information contained in the accompanying consolidated financial statements. Where appropriate, the financial information, including financial statements, reflects amounts based on the best estimates and judgments of management. The financial statements have been prepared in accordance with accounting principles generally accepted in Canada with reconciliation to United States generally accepted accounting principles. Other information contained in this document has also been prepared by management and is consistent with the data contained in the consolidated financial statements.

Management is responsible for establishing and maintaining adequate internal control over financial reporting. Any system of internal control over financial reporting, no matter how well designed, has inherent limitations. Therefore, even those systems determined to be effective can provide only reasonable assurance with respect to financial statement preparation and presentation.

The Board of Directors oversees management's responsibility for financial reporting and internal control systems through an Audit Committee, which is composed entirely of independent directors. The Audit Committee meets periodically with management and the auditors to review the scope and results of the annual audit and to review the financial statements and related financial reporting and internal control matters before the financial statements are approved by the Board of Directors and submitted to the shareholders of the Company.

Ernst & Young LLP, Chartered Accountants, have audited the Company's financial statements in accordance with Canadian generally accepted auditing standards and the standards of the Public Company Accounting Oversight Board and have expressed their opinion in the auditors’ report.

(Signed) Rui Feng	(Signed) Grace Soo
Rui Feng	Grace Soo
Chairman and Chief Executive Officer	Chief Financial Officer

 

SILVERCORP METALS INC.

CONSOLIDATED BALANCE SHEETS

(Expressed in US Dollars, Note 2(b))

	Notes		March 31, 2008		March 31, 2007
ASSETS
Current Assets
Cash and cash equivalents	3	$	47,092,890	$	53,330,468
Short term investments	4		37,145,656		5,449,238
Accounts receivable and prepaids	5		5,259,699		1,275,757
Inventories	6		2,389,175		1,802,371
			91,887,420		61,857,834
Long term prepaids	7		5,194,431		1,535,131
Long term investments	8		17,873,887		6,554,847
Property, plant and equipment	9		14,349,572		7,868,694
Mineral rights and properties	10		60,904,275		16,326,046
Reclamation deposits			9,729		8,674
		$	190,219,314	$	94,151,226
LIABILITIES
Current Liabilities
Accounts payable and accrued liabilities		$	7,026,628	$	3,121,802
Deposits received from customers			2,573,202		1,387,263
Income tax payable			719,557		1,455,847
Current portion of asset retirement obligation	11		-		292,406
Amounts due to related parties	15		12,070,732		1,332,919
			22,390,119		7,590,237
Future income tax liabilities	16 (b)		6,345,898		1,405,189
Asset retirement obligation	11		1,225,829		669,996
			29,961,846		9,665,422
Non-controlling interests	13		11,265,197		6,947,986
SHAREHOLDERS' EQUITY
Share capital	12		78,334,543		74,336,151
Contributed surplus			1,722,036		954,041
Reserves	14		2,077,628		-
Accumulated other comprehensive income			14,121,627		479,795
Retained earnings			52,736,437		1,767,831
			148,992,271		77,537,818
		$	190,219,314	$	94,151,226
Commitments and Contingencies	10 and 19

Approved on behalf of the Board:

(Signed) Greg Hall              
Director

(Signed) Rui Feng              
Director

The accompanying notes are an integral part of these consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS

(Expressed in US Dollars except for share figures, Note 2(b))

		Years ended March 31
	Notes		2008			2007
Sales		$	108,362,762		$	39,777,218
Cost of sales			20,114,464			7,738,301
Amortization and depletion			3,208,260			1,189,766
			23,322,724			8,928,067
Gross profit			85,040,038			30,849,151
Expenses
Accretion of asset retirement obligations	11		61,688			61,899
Amortization			516,814			122,718
Foreign exchange loss (gain)			612,481			(307	)
General exploration and property investigation expenses			1,816,544			807,693
Investor relations			283,561			752,552
Office, administration and miscellaneous	12 (d)		7,254,066			4,222,800
Professional fees			2,133,783			453,002
			12,678,937			6,420,357
Earnings before other income and expenses			72,361,101			24,428,794
Other income and expenses
Equity loss in investment	8 (b)		(250,113	)		(222,061	)
Gain on disposal of mineral rights and property			563,147			-
Loss on disposal of property, plant and equipment	9		(48,130	)		(4,424	)
Loss on disposal of long term investments			-			(11,048	)
Interest income			2,585,192			1,714,661
Other income	8 (b)		4,473,779			3,857,560
			7,323,875			5,334,688
Income before income taxes and non-controlling interests			79,684,976			29,763,482
Income tax expense	16 (a)
Current			(440,872	)		(1,425,686	)
Future			(109,607	)		-
			(550,479	)		(1,425,686	)
Income before non-controlling interests			79,134,497			28,337,796
Non-controlling interests			(19,197,243	)		(6,315,137	)
Net income			59,937,254			22,022,659
Retained earnings (deficit), beginning of year			1,767,831			(20,254,828	)
Appropriation to reserves			(2,077,628	)		-
Cash dividends declared and distributed	12 (e)		(6,891,020	)		-
Retained earnings, end of year		$	52,736,437		$	1,767,831
Basic earnings per share		$	0.41		$	0.15
Diluted earnings per share		$	0.40		$	0.15
Weighted Average Number of Shares Outstanding - Basic			147,660,730			143,913,693
Weighted Average Number of Shares Outstanding - Diluted			150,954,072			149,674,056

The accompanying notes are an integral part of these consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Expressed in US Dollars, Note 2(b))

	Year ended March 31,
		2008			2007
Net income for the year	$	59,937,254		$	22,022,659
Other comprehensive income, net of tax:
Transition adjustment to the opening balance of investment in Dajin Resources Corp. as per
the initial adoption of new standards (note 2(c)), net of tax of $1,128		8,674			-
Unrealized loss on available for sale securities, net of tax recovery of $6,323		(48,643	)		-
Unrealized exchange gain on translation of self-sustaining foreign operations		3,972,486			1,041,822
Unrealized exchange gain (loss) on translation of functional currency to reporting currency		9,709,315			(919,849	)
Other comprehensive income		13,641,832			121,973
Comprehensive income	$	73,579,086		$	22,144,632

The accompanying notes are an integral part of these consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Expressed in US Dollars, Note 2(b))

	Year ended March 31,
		2008			2007
Cash provided by (used for)
Operating activities
Net income for the year	$	59,937,254		$	22,022,659
Add (deduct) items not affecting cash :
Accretion of asset retirement obligations		61,688			61,899
Amortization		3,725,074			1,312,484
Equity investment loss		250,113			222,061
Future income tax		109,607			-
Gain on disposal of mineral property		(563,147	)		-
Loss on disposal of long term investments		-			11,048
Loss on disposal of property, plant, and equipment		48,130			4,424
Non-cash other income		(4,388,267	)		(3,824,281	)
Non-controlling interests		19,197,243			6,315,137
Stock-based compensation		2,472,685			1,955,545
		80,850,380			28,080,976
Net change in non-cash working capital
Accounts receivable and prepaids		(3,626,740	)		(416,953	)
Inventory		(342,635	)		(1,708,108	)
Accounts payable and accrued liabilities		3,412,728			1,804,242
Asset retirement obligation discharged upon payment		(513,831	)		(229,163	)
Income tax payable		(949,607	)		1,474,131
Deposits received from customers		954,884			1,047,399
Cash provided by operating activities		79,785,179			30,052,524
Investing activities
Acquisition of mineral rights and properties		(36,583,262	)		(11,752,043	)
Acquisition of property, plant, and equipment		(7,451,952	)		(6,324,996	)
Purchase of long term investments		(5,552,310	)		(2,035,039	)
Decrease (increase) of short term investments		(29,489,423	)		2,304,618
Increase in long term prepaids		(3,397,197	)		(1,241,114	)
Disposal of long term investments		-			208,677
Disposal of mineral rights and properties		563,147			-
Disposal of property, plant, and equipment		157,352			8,783
Distribution to non-controlling interest shareholder		(3,371,257	)		-
Cash dividends declared and distributed		(6,891,020	)		-
Advances to joint venture parties		-			104,760
Cash used in investing activities		(92,015,922	)		(18,726,354	)
Financing activities
Repayment from (advance to) related parties		(1,428,710	)		1,587,398
Share subscriptions for cash, net of commission and expenses		2,293,702			42,395,973
Shares returned to treasury for cancellation		-			(4,890,169	)
Cash provided by financing activities		864,992			39,093,202
Effect of exchange rate changes on cash and cash equivalents		5,128,173			(430,359	)
Increase (decrease) in cash		(6,237,578	)		49,989,013
Cash and cash equivalents, beginning of year		53,330,468			3,341,455
Cash and cash equivalents, end of year	$	47,092,890		$	53,330,468
Supplemental information:		-
Interest paid	$	87,178		$	45
Income tax paid	$	1,273,784		$	-
Non-cash investing activities:
Common shares of New Pacific Metals Corp. received as	$	-		$	3,824,281
partial consideration for the Option Agreement in
relation to the Kang Dian Project
Construction in process transferred to mineral rights and properties	$	1,313,791		$	-

The accompanying notes are an integral part of these consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY

(Expressed in US Dollars except for share figures, note 2(b))

		Share capital
													Accumulated
													other			Retained			Total
		Number of						Contributed					comprehensive			earnings			shareholders'
	Notes	shares			Amount			surplus			Reserves		income (loss)			(deficit)			equity
Balances, March 31, 2006		135,186,471		$	31,751,747		$	4,077,096		$	-	$	357,822		$	(20,254,828	)	$	15,931,837
Options exercised		2,961,717			780,880			-			-		-			-			780,880
Warrants exercised		1,567,500			2,143,685			-			-		-			-			2,143,685
Private placement, net of issuance cost		7,503,750			39,471,408			-			-		-			-			39,471,408
Value of options transferred upon exercised		-			1,010,351			(1,010,351	)		-		-			-			-
Contributed surplus transferred as per share cancellation		-			4,068,249			(4,068,249	)		-		-			-			-
Share cancellation under the Normal Course Issuer Bid		(1,261,500	)		(4,890,169	)		-			-		-			-			(4,890,169	)
Stock based compensation		-			-			1,955,545			-		-			-			1,955,545
Earnings of the year		-			-			-			-		-			22,022,659			22,022,659
Unrealized loss on translation of self-sustaining operation		-			-			-			-		1,041,822			-			1,041,822
Unrealized gain on translation functional currency to reporting currency		-			-			-			-		(919,849	)		-			(919,849	)
Balance, March 31, 2007		145,957,938			74,336,151			954,041			-		479,795			1,767,831			77,537,818
Transition adjustment to opening balance	2 (c)	-			-			-			-		8,674			-			8,674
Options exercised		3,448,896			2,225,239			-			-		-			-			2,225,239
Warrants exercised		9,750			68,463			-			-		-			-			68,463
Cancellation of fraction shares		(108	)		-			-			-		-			-			-
Value of options transferred upon exercised		-			1,704,690			(1,704,690	)		-		-			-			-
Stock based compensation		-			-			2,472,685			-		-			-			2,472,685
Unrealized loss on available for sale securities		-			-			-			-		(48,643	)		-			(48,643	)
Appropriation to reserves	14	-			-			-			2,077,628		-			(2,077,628	)		-
Cash dividends declared and distributed	12 (e)	-			-			-			-		-			(6,891,020	)		(6,891,020	)
Earnings of the year		-			-			-			-		-			59,937,254			59,937,254
Unrealized loss on translation of self-sustaining operation		-			-			-			-		3,972,486			-			3,972,486
Unrealized gain on translation functional currency to reporting currency		-			-			-			-		9,709,315			-			9,709,315
Balance, March 31, 2008		149,416,476		$	78,334,543		$	1,722,036		$	2,077,628	$	14,121,627		$	52,736,437		$	148,992,271

The accompanying notes are an integral part of these consolidated financial statements

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

1. NATURE OF OPERATIONS  

Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) is engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China (“China”).

The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, and Saskatchewan and trades on the TSX Exchange under the symbol “SVM”.

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  

(a) Basis of Presentation and principles of consolidation  

The Company’s consolidated financial statements have been prepared in accordance with Canadian generally accepted accounting principles (“GAAP”), and presented in US dollars.

Our consolidated financial statements include the accounts of the Company and its significantly owned subsidiaries: Silvercorp Metals China Inc., Fortune Mining Limited, Fortune Copper Limited, Fortress Mining Inc., Fortune Gold Mining Limited, Lachlan Gold Ltd., Victor Resources Ltd., Victor Mining Ltd., Yunnan Jin Chang Jiang Mining Co. Ltd. (“Yunnan JCJ”), 82% owned subsidiary, Qinghai Found Mining Company Ltd. (“Qinghai Found”), 70% (March 31, 2007 - 60%) owned subsidiary, Henan Huawei Mining Co. Ltd. (“Henan Huawei”), and 77.5% owned subsidiary, Henan Found Mining Co. Ltd. (“Henan Found”).

All significant inter-company transactions and accounts have been eliminated upon consolidation.

(b) Change in Reporting Currency  

Effective April 1, 2007, the Company changed its reporting currency to the US dollar. The change in reporting currency is to better reflect the Company’s business activities and to improve investors’ ability to compare the Company’s financial results with other publicly traded businesses in the mining industry. Prior to April 1, 2007, the Company reported its annual and quarterly consolidated balance sheets and the related consolidated statements of operations and cash flows in Canadian dollar (CAD). In making this change in reporting currency, the Company followed the recommendations of the Emerging Issues Committee (EIC) of the Canadian Institute of Chartered Accountants (CICA), set out in EIC-130, Translation Method when the Reporting Currency Differs from the Measurement Currency or there is a Change in the Reporting Currency. In accordance with EIC-130, the financial statements for all years and periods presented have been translated in to the new reporting currency using the current rate method. Under this method, the statements of operations and cash flows statements items for each year and period have been translated into the reporting currency using the average exchange rates prevailing during each reporting period. All assets and liabilities have been translated using the exchange rate prevailing at the consolidated balance sheets dates. Shareholders’ equity transactions since April 1, 2006 have been translated using the rates of exchange in effect as of the dates of the various capital transactions, while shareholders’ equity balances on April 1, 2006 have been translated at the exchange rate on that date. All resulting exchange differences arising from the translation are included as a separate component of other comprehensive income.

Notes to the Consolidated Financial Statements page 1

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

All comparative financial information has been restated to reflect the Company’s results as if they had been historically reported in US dollars.

(c) Adoption of New Accounting Standards  

(i) Financial instrument standards

On April 1, 2007, the Company prospectively adopted the recommendations included in the following Sections of the Canadian Institute of Chartered Accountants Handbook: Section 1530, “Comprehensive Income”; Section 3855, “Financial Instruments - Recognition and Measurement”; Section 3865, “Hedges”; Section 3861, “Financial Instruments – Disclosure and Presentation”, and Section 3251, “Equity”. As we have not previously undertaken hedging activities, adoption of Section 3865 currently has no impact on us.

Section 3855 prescribes when a financial asset, financial liability or non-financial derivative is to be recognized on the balance sheet and at what amount, requiring fair value or cost-based measures under different circumstances. Under Section 3855, financial instruments must be classified into one of five categories: held-for-trading, held-to-maturity, loans and receivables, available-for-sale financial assets or other financial liabilities. Held-for-trading financial assets and financial liabilities are financial assets and financial liabilities which are acquired for resale prior to maturity or are financial assets and liabilities designated as such by the Company. Held-to-maturity financial assets are non-derivative financial assets with a fixed maturity which the Company intends to hold until maturity. Available-for-sale financial assets are those non-derivative financial assets which are so des ignated by the Company or that do not fall into another category.

CICA 3855 requires that all financial assets, except those classified as held to maturity, and loans and receivables, must be measured at fair value. All financial liabilities must be measured at fair value when they are classified as held-for trading; otherwise, they are measured at amortized cost. Investments classified as available-for-sale are reported at fair market value based on quoted market prices or at cost if a market value of equity instruments is not available, with unrealized gains or losses excluded from earnings and reported as other comprehensive income or loss. Those instruments classified as held-for-trading have gains or losses included in earnings in the period in which they arise.

Comprehensive income is the change in our net assets that results from transactions, events and circumstances from sources other than our shareholders and includes items that would not normally be included in net earnings such as unrealized gains or losses on available-for-sale investments. Other comprehensive income includes the holding gains and losses from available-for-sale securities which are not included in net income (loss) until realized and foreign currency translation gains or losses arising form the translation of the Company’s self-sustaining foreign operations and the translation of the Company’s accounts into its reporting currency.

Notes to the Consolidated Financial Statements page 2

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

The Company has made the following classifications:

• Cash and cash equivalent, which includes high liquid term deposits and bank notes, and short term investments are classified as held-for-trading financial assets and measured at fair value.

• Accounts receivables are classified as loans and receivables and are initially measured at fair value. Subsequent measurements are recorded at amortized cost using the effective interest method.

• The long term investment in the common shares of Dajin Resources Corp. is classified as available-for-sale securities. Available for sale securities are initially recorded at cost, which upon their initial measurement is equal to their fair value by reference to market price.
  Subsequent changes in the market value of securities are recorded as changes to othercomprehensive income (loss). The investments in New Pacific Metals Corp. and LuoyangYongning Smelting Co. Ltd. are excluded from Section 3855 as they are accounted for usingthe equity method.

• Accounts payable and accrued liabilities and deposits received from customers are classified as other financial liabilities. They are initially measured at their fair value and subsequently measured at amortized costs using the effective interest rate method. Amortized premium or discount is charged to the statements of operations.

Transaction costs are included in the initial carrying amount of financial instruments except for held-for- trading items in which case they are expensed as incurred.

Section 3855 also requires that the embedded derivatives be identified and separated from the related host contract and be measured at fair value. Subsequent changes in fair value of embedded derivatives are recognized in the consolidated statement of operations in the period the change occurs.

Upon the adoption of these new standards as at April 1, 2007, the Company remeasured its financial assets and liabilities. The investment in Dajin Resources Corp. was classified as available for sale securities and its carrying value was adjusted to $225,518 with a credit of $8,674 to the opening accumulated other comprehensive income. The cumulative foreign translation adjustment of $479,795 for the year ended March 31, 2007 was reclassified as a component of accumulated other comprehensive loss. The adoption of these new standards has no impact on the Company’s cash flow.

(ii) Accounting changes

On April 1, 2007, the Company adopted the CICA revised Section 1506, “Accounting Changes”, which requires that: (a) a voluntary change in accounting principles can be made if, and only if, it is required by a primary source of GAAP, or the changes result in more reliable and relevant information, (b) changes in accounting policies are accompanied with disclosures of prior period amounts and justification for the change, and (c) for changes in estimates, the nature and amount of the change should be disclosed. The adoption of this standard has no impact on the Company’s consolidated financial statements.

Notes to the Consolidated Financial Statements page 3

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(d) Significant Accounting Policies  

(i) Use of estimates

The preparation of financial statements in accordance with Canadian GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant areas requiring the use of management estimates include assumptions and estimates relating to determining defined ore bodies, reserves value beyond proven and probable mine life, fair values for purposes of impairment analysis, reclamation obligations, non-cash stock-based compensation and warrants, valuation allowances for future income tax assets, and future income tax liabilities. Actual results could differ from these estimates.

(ii) Foreign currency translation

The Company’s functional currency is the Canadian dollar. Effective April 1, 2007, the Company changed its reporting currency to the US dollar.

All subsidiaries, except its 77.5% owned subsidiary Henan Found and 70% owned subsidiary Henan Huawei, are considered to be integrated foreign operations and their financial statements are translated to Canadian dollars under the temporal method. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate in effect at the balance sheet date and non-monetary assets and liabilities at historical exchange rates. Revenues and expenses are translated at the average exchange rate in effect during the period. Realized and unrealized foreign exchange gains and losses are included in earnings.

Henan Found is considered to be a self-sustaining operation. During the year ended March 31, 2008, Henan Huawei was reclassified as a self-sustaining operation from an integrated foreign operation and its financial statements are translated using the current rate method from temporal method because of the significant changes in the economic facts and circumstances of Henan Huawei. During the year ended March 31, 2008, Henan Huawei commenced commercial mine production and cash generated from sales to the local Chinese customers is sufficient to cover further exploration expenditure and other operation costs. Assets and liabilities of Henan Found and Henan Huawei, which are dominated in Chinese Yuan (“RMB¥”), are translated into Canadian dollars using the current rate method at period-end exchange rates and resulting translation adjustments are reflected in comprehensive income. Revenues a nd expenses of Henan Found and Henan Huawei are translated at average exchange rates for the period.

(iii) Cash and cash equivalents

Cash and cash equivalents include cash on account, demand deposits and money market investments with maturities from the date of acquisition of three months or less, which are readily convertible to known amounts of cash and are subject to insignificant changes in value.

Notes to the Consolidated Financial Statements page 4

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(iv) Inventories

Inventories include metals contained in concentrates, stockpile ores and operating materials and supplies. The classification of inventory is determined by the stage at which the ore is in the production process. Inventories of ore are sampled for metal content and are valued based on the lower of actual production costs incurred or estimated net realizable value based upon the period ending prices of contained metal. Material that does not contain a minimum quantity of metal to cover estimated processing expense to recover the contained metal is not classified as inventory and is assigned no value. All metal inventories are stated at the lower of cost or market, with cost being determined using the moving average method. Supplies inventories are valued at the average cost, net of obsolescence. Concentrate inventories are valued at lower of cost or market.

(v) Investments

Long term investments over which the Company has no control or for which it does not have significant influence or control are valued at cost, less a provision for other than temporary impairments in value.

Investments in which the Company has a significant influence are accounted for by the equity method, whereby the Company records its proportionate share of the investee’s income or loss.

(vi) Property, plant and equipment

Property, plant and equipment are recorded at cost. Depreciation is computed using the straight-line method at the following rates, calculated to amortize the cost of the assets less their residual values over their estimated useful lives.

Building	5%
Computer equipment	20% - 50%
Computer software	20% - 50%
Equipment and funiture	20% - 50%
Land use right	2%
Leasehold improvement	20%
Machinery	10% - 20%
Mining equipment	10%
Motor vehicle	20%

(vii) Mineral rights and properties

Mineral rights and properties include the acquisition costs, direct exploration and development expenditures.

Upon commencement of commercial production, mineral properties and capitalized expenditures are amortized over the mine's estimated life using the units of production method calculated on the basis of measured and indicated resources.

Notes to the Consolidated Financial Statements page 5

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

The Company reviews the carrying value of each property that is in the exploration/development stage by reference to the project economics including the timing of the exploration and/or development work, the work programs and the exploration results experienced by the Company and others. The review of the carrying value of each producing property will be made by reference to the estimated future operating results and net cash flows. When the carrying value of a property exceeds its estimated net realizable amount, provision will be made for the decline in value. The carrying amount will be written off if the Company decides to abandon the property.

The recoverability of the amounts capitalized for the undeveloped mineral properties and deferred exploration costs is dependent upon the determination of economically recoverable ore resources, confirmation of the Company’s interest in the underlying mineral claims, the ability to obtain the necessary financing to complete their exploration and development and future profitable production or proceeds from the disposition thereof.

(viii) Asset retirement obligations

Asset retirement obligations ("ARO") represent the estimated discounted net present value of statutory, contractual or other legal obligations relating to site reclamation and restoration costs that the Company will incur on the retirement of assets and abandonment of mine and exploration sites. ARO are added to the carrying value of mineral rights and properties as such expenditures are incurred and amortized against income over the useful life of the related asset. ARO are determined in compliance with recognized standards for site closure and mine reclamation established by governmental regulation.

Over the life of the asset, imputed interest on the ARO liability is charged to operations as accretion of asset retirement obligations on the consolidated statements of operations using the discount rate used to establish the ARO. The offset of accretion expense is added to the balance of the ARO.

Where information becomes available that indicates a recorded ARO is not sufficient to meet, or exceeds, anticipated obligations, the obligation is adjusted accordingly and added to, or deducted from, the ARO.

(ix) Revenue Recognition

Revenue is recognized upon delivery when title and risk of ownership of metals or metals bearing concentrate passes to the buyer and when collection is reasonably assured. The passing of title to the customer is based on the terms of the sales contract. Product selling price is referenced to the active and freely traded commodity markets.

(x) Stock-based compensation plan

The Company accounts for stock options using the fair value method. Under this method, compensation expense for stock options granted to employees, officers, and directors is measured at fair value at the date of the grant using the Black-Scholes valuation model and is expensed in the consolidated statements of operations over the vesting period of the options granted.

Notes to the Consolidated Financial Statements page 6

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

Stock options granted to consultants are measured at their fair value using the Black-Scholes valuation method.

Upon the exercise of the stock option, consideration received and the related amount transferred from contributed surplus are recorded as share capital.

(xi) Impairment of long-lived assets

Management of the Company regularly reviews the net carrying value of each long-lived asset. Where information is available and conditions suggest impairment, estimated future net cash flows are calculated using estimated future prices, reserves, selling prices for mineral ores and concentrates, and operating, capital and reclamation costs on an undiscounted basis. Reductions in the carrying value of long-lived assets would be recorded to the extent the net book value of the related assets exceeds the estimated undiscounted future cash flows. The impairment amount would correspond to the excess of the carrying value over the fair value.

Where estimates of future net cash flows are not available and where other conditions suggest impairment, management assesses if carrying value can be recovered. Management’s estimates of mineral prices, reserves, selling prices for ores and concentrates, and operating, capital and reclamation costs are subject to certain risks and uncertainties which may affect the recoverability of long-lived assets. Although management has made its best estimate of these factors, it is possible that changes could occur in the near term, which could adversely affect management’s estimate of the net cash flow to be generated from its assets.

(xii) Income taxes

The Company uses the liability method of accounting for income taxes. Future income taxes are recognized for the future income tax consequences attributable to differences between the carrying values of assets and liabilities and their respective income tax bases on the balance sheet date. Future income tax assets and liabilities are measured using substantively enacted income tax rates expected to apply in the years in which temporary differences are expected to be recovered or settled. The effect on future tax assets and liabilities of a change in substantively enacted rates is included in operations. A future income tax asset is recorded when the probability of the realization is more likely than not.

(xiii) Non-controlling interests

Non-controlling interests exist in the less than wholly-owned subsidiaries of the Company and represent the outside interest’s share of the carrying values of the subsidiaries. When the subsidiary company issues its own shares to outside interests, a dilution gain or loss arises as a result of the difference between the Company’s share of the proceeds and the carrying value of the underlying equity.

Notes to the Consolidated Financial Statements page 7

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(xiv) Earnings per share

Basic earnings per share is computed by dividing net income or loss by the weighted average number of outstanding common shares for the year.

The computation of diluted earnings per share reflects the dilutive effect of the exercise of stock options and warrants outstanding as at year-end using the treasury stock method whereby the assumed proceeds upon the exercise of stock options and warrants are used to purchase common shares at the average market price during the year.

(xv) Comparative figures

Certain comparative figures have been reclassified to conform with the presentation adopted for the current period.

(e) New Canadian Accounting Pronouncements  

(i) Financial Instrument Standards

In December 2006, the CICA issued Section 3862, “Financial Instruments - Disclosure” and Section 3863 “Financial Instruments - Presentation” to replace 3861 “Financial Instruments -Disclosure and Presentation”. These new sections are effective for interim and annual financial statements of the Company’s reporting period beginning on April 1, 2008. The Company is currently evaluating the impact of the adoption of these new standards on its consolidated financial statements.

(ii) Inventories

In June 2007, CICA issued Handbook Section 3031 “Inventories” which replaces Section 3030 “Inventories”. Under the new section, inventories are required to be measured at the “lower of cost and net realizable value”, which is different from the existing guidance of the “lower of cost and market”. The new section contains guidance on the determination of cost and also requires the reversal of any write-downs previously recognized. Certain minimum disclosures are required, including the accounting policies used, carrying amounts, amounts recognized as an expense, write-downs, and the amount of any reversal of any write-downs recognized as a reduction in expenses. The new standard will become effective on April 1, 2008 for the Company. The Company is currently evaluating the impact of the adoption of this new section on the consolidated financial statements.< /P>

(iii) Capital Disclosures

As of April 1, 2008, the Company will be required to adopt CICA Section 1535 “Capital Disclosures”, which requires companies to disclose their objectives, policies and processes for managing capital.

Notes to the Consolidated Financial Statements page 8

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

In addition, disclosures are to include whether companies have complied with externally imposed capital requirements. The new capital disclosure requirements were issued in December 2006 and the Company is assessing the impact on its consolidated financial statements.

(iv) Convergence with IFRS

In January 2006, CICA Accounting Standards Board (“AcSB”) adopted a strategic plan for the direction of accounting standards in Canada. As part of that plan, accounting standards in Canada for public companies are expected to converge with International Financial Reporting Standards (“IFRS”) for accounting periods commencing on or after January 1, 2011. The Company continues to monitor and assess the impact of convergence of Canadian GAAP and IFRS.

(v) Goodwill and Intangible Assets

In February 2008, the CICA issued Section 3064, “Goodwill and Intangible Assets”, which replaces Section 3062, “Goodwill and Other Intangible Assets” and Section 3450, “Research and Development Costs”. Various changes have been made to other sections of the CICA Handbook for consistency purposes. Section 3064 establishes standards for the recognition, measurement, presentation and disclosure of goodwill subsequent to its initial recognition and of intangible assets. The new Section will be applicable to the Company’s consolidated financial statements for its fiscal year beginning April 1, 2009. The Company is currently evaluating the impact of the adoption of this new Section on its consolidated financial statements.

3. CASH AND CASH EQUIVALENTS  

Cash and cash equivalents as at March 31, 2008 of $47,092,890 (March 31, 2007 - $53,330,468) consists of cash, bank acceptances, bank discount notes, and term deposits maturing within three months of the initial investment date. As at March 31, 2008, the Company holds bankers’ acceptance and bank discount notes with a combined market value of $24,922,470 (March 31, 2007 -$32,323,115) and a face value of $28,112,586 (March 31, 2007 - $32,442,536) with yields from 2.56% to 3.58% (March 31, 2007 – 4.31%) per annum with maturity dates to June 16, 2008. The Company’s term deposits total $1,140,967 (March 31, 2007 - $7,677,177), bearing an interest rates of 2.88% (March 31, 2007 - 1.80%) per annum, with maturity dates to June 8, 2008. None of the cash equivalents were in asset backed commercial papers.

4. SHORT TERM INVESTMENTS  

Short term investments as at March 31, 2008 of $37,145,656 (March 31, 2007 - $5,449,238) are made up of a bank note of $3,288,303 (March 31, 2007 - $nil), guarantee investment certificates (“GIC”) of $2,443,817 and term deposits of $31,413,535 (March 31, 2007 - $5,449,238) with maturity dates beyond three months. The bank note with face value of $3,294,095 yields 3.57% per annum to maturity on April 18, 2008. The GIC is bearing an interest rate of 4.1% per annum with maturity dates to March 4, 2009; and the term deposits bearing interest rates ranging from 3.33% to 3.78% (March 31, 2007 - 2.07% to 2.43%) with maturity dates to September 18, 2008.

Notes to the Consolidated Financial Statements page 9

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

5. ACCOUNTS RECEIVABLE AND PREPAIDS  

Accounts receivable and prepaids consist of the following:

As at		March 31, 2008		March 31, 2007
Accounts receivable	$	3,142,878	$	-
Interest receivable		250,609		39,742
Prepaid expenses and deposits		1,866,212		1,236,015
	$	5,259,699	$	1,275,757

6. INVENTORIES  

Inventories consist of the following:

As at		March 31, 2008		March 31, 2007
Direct smelting ore and stockpiled ore	$	951,635	$	1,028,213
Concentrate inventory		467,776		523,084
Total stockpiled		1,419,411		1,551,297
Material and supplies		969,764		251,074
	$	2,389,175	$	1,802,371

7. LONG TERM PREPAIDS  

Long term prepaids as at March 31, 2008 of $5,194,431 (March 31, 2007 - $1,535,131) is comprised of: $1,919,310 (March 31, 2007 - $1,084,225) of advances or loans to contractors to purchase equipment to work on the Company’s properties to construct mill facilities for the Company, and prepayments to suppliers to acquire property, plant and equipments; $1,681,077 (March 31, 2007 -$450,906) of advances to third parties to assist the Company in the exploration of potential mineral properties in China, and $1,594,044 (March 31, 2007 - $nil) of prepayment for acquiring an office in Beijing, China.

8. LONG TERM INVESTMENTS  

As at		March 31, 2008		March 31, 2007
Dajin Resources Corp. (a)
1,000,000 (March 31, 2007 - 1,000,000) common shares	$	204,300	$	216,844
New Pacific Metals Inc. (b)		11,251,648		6,279,806
Luoyang Yongning Smelting Co. Ltd. (c)		6,417,939		58,197
	$	17,873,887	$	6,554,847

Notes to the Consolidated Financial Statements page 10

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(a) Dajin Resources Corp.  

As a result of the adoption of CICA 3855 “Financial Instruments - Recognition and Measurement” on April 1, 2007, the Company’s investment in Dajin Resources Corp., which was classified as available-for-sale securities, its carrying value was adjusted to $225,518 with a credit of $8,674 to the opening accumulated other comprehensive income. As at March 31, 2008, the investment is carried at its estimated fair value of $204,300 by reference to market price and an unrealized loss of $21,218 was recognized as other comprehensive income.

For year ended March 31, 2008, shares disposed were nil (March 31, 2007 - 1, 000,000) and no loss (March 31, 2007 - $11,048) was recorded.

(b) New Pacific Metals Inc.  

In 2004, the Company entered into a letter agreement with New Pacific Metals Corp. (“NUX”), a related party by way of a common director, whereby NUX had the option to acquire the Company’s previous wholly owned subsidiary SKN Nickel & Platinum Ltd. (“SNP”), by meeting SNP’s registered capital commitment of $2.5 million to a Chinese joint venture and through the issuance of 6.5 million common shares to the Company. The common shares were issuable on the basis of 2.5 million shares on issuance of a Bulletin by the TSX Venture Exchanges accepting the transaction (issued on December 13, 2004); a further 2 million shares were to be issued upon successful funding of $374,000 to SNP’s Chinese joint venture (issued on February 2, 2006); and another 2 million shares were to be issued upon completion the funding of $1 million to SNP’s Chinese joint venture (issued on A ugust 29, 2006). The initial 2,500,000 common shares are subject to escrow with 650,000 common shares released upon receipt of exchange approval and 154,167 every quarter over the 3 year escrow period. The first and second tranches of 2,000,000 common shares issued are subject to escrow with a release of 250,000 common shares every three months. The Company is entitled to the voting rights attached to the escrow shares, but the shares remaining in escrow are subject to cancellation in the event NUX determines not to continue contributing to the Chinese joint venture. The Company placed a representative on the NUX Board of Directors pursuant to the terms of the agreement.

During the year ended March 31, 2007, NUX exercised its option to acquire 100% interest in SNP by fully contributing $2.5 million to SNP’s Chinese join venture and had issued all of the 6.5 million shares to the Company.

As at March 31, 2008, all of the 6,500,000 (March 31, 2007 - 4,087,501) NUX’s common shares were released to the Company from escrow. The Company has recorded other income for the year ended March 31, 2008 totaling $4,388,267, representing the market value of the 2,412,499 (March 31, 2007 - $3,824,281 on 2,416,666 common shares) NUX’s common shares released from escrow during the year ended March 31, 2008.

In March 2007, the Company participated in NUX’s private placement and subscribed for a total of 900,000 units at CAD$2.50 per unit. Each unit was comprised of one common share and one-half of one share purchase warrant. Each whole warrant entitles the Company to acquire an additional common share at CAD$3.00 for a period of one year until March 15, 2008.

Notes to the Consolidated Financial Statements page 11

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

On February 21, 2008, NUX obtained the approval from the TSX Venture Exchange to extend the expiry date of its common share purchase warrants to March 15, 2009.

For the year ended March 31, 2008, a total of $250,113 (March 31, 2007 - $222,061), of equity loss had been recorded.

As at March 31, 2008, the Company owns 7,400,000 common shares of NUX, representing an ownership of 23.6% (2007 – 17.7%) . The following is the summary of the investment in NUX and its market value:

	Number of shares		Book Value			Market Value of NUX's common shares
Balance, March 31, 2006	1,670,835	$	732,653		$	2,462,373
Shares released from escrow	2,416,666		3,824,281			3,824,281
Participation in NUX's private placemen	900,000		1,951,600			1,951,600
Equity in loss of investee company			( 222,061	)		-
Foreign translation impact			( 6,667	)		-
Balance, March 31, 2007	4,987,501		6,279,806			14,924,866
Shares released from escrow	2,412,499		4,388,267			4,388,267
Equity in loss of investee company			( 250,113	)		-
Foreign translation impact			833,688			-
Balance, March 31, 2008	7,400,000	$	11,251,648		$	14,758,245

(c) Luoyang Yongning Smelting Co. Ltd.  

During the 2007 fiscal year, Henan Found entered into a joint venture agreement, for a 22.5% participation interest, in a custom built 150,000-tonne/year lead-silver-gold smelter in Luoning County, Luoyang City, Henan Province, China. Henan Found's share, 22.5% of the cost, will be $5.6 million (RMB¥45 million) for the first phase and is expected to be financed by cash flow from its Ying property.

On September 5, 2007, the joint venture agreement was amended with the incorporation of Luoyang Yongning Smelting Co. Ltd. (“Yongning”) to hold the smelter project. Under the amended joint venture agreement, Henan Found can earn 30% interest in Yongning by contributing $10.7 million (RMB¥75 million) of the total investment in Yongning of $35.7 million (RMB¥250 million) comprised of: $21.4 million (RMB¥150 million) towards the registered capital with the balance of $14.3 million (RMB¥100 million) to finance the project development cost which is required to be contributed within one year after the issuance of the business license. On September 21, 2007, Yongning obtained approval from Chinese governmental authorities and the business license was issued.

Notes to the Consolidated Financial Statements page 12

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

As at March 31, 2008, Henan Found fulfilled its registered capital requirement through a contribution of approximately $5.6 million (RMB¥45 million) (March 31, 2007 - $58,197 (RMB¥450,000)) to Yongning, with the remaining commitment of approximately $4.3 million (RMB¥30 million) due within one year from September 21, 2007. This investment is accounted for using the equity method. No equity income (loss) had been recorded during the year ended March 31, 2008.

As of March 31, 2008, the registered capital requirement of $21.4 million (RMB¥150 million) has been fully contributed by all the joint venture parties.

9. PROPERTY, PLANT AND EQUIPMENT  

Property, plant and equipment consist of:

As at		March 31, 2008						March 31, 2007
				Accumulated		Net Book			Accumulated			Net Book
		Cost		Depreciation		Value		Cost	Depreciation			Value
Building	$	8,236,801	$	263,521	$	7,973,280	$	2,829,393	$	30,224	$	2,799,169
Computer equipment		570,784		179,022		391,762		286,364		98,979		187,385
Computer software		191,211		37,371		153,840		105,897		11,926		93,971
Equipment and funiture		976,584		141,772		834,812		416,837		33,073		383,764
Machinery		2,650,059		200,017		2,450,042		1,053,029		36,995		1,016,034
Mining equipment		482,115		156,994		325,121		426,842		101,467		325,375
Motor vehicle		1,268,900		301,735		967,165		840,130		107,103		733,027
Land use right		496,373		-		496,373		-		-		-
Leasehood improvement		113,674		29,270		84,404		101,428		5,832		95,596
Construction in process		672,773		-		672,773		2,234,373		-		2,234,373
	$	15,659,274	$	1,309,702	$	14,349,572	$	8,294,293	$	425,599	$	7,868,694

During the year ended March 31, 2008, the Company disposed of motor vehicles with net book value of $205,482 (March 31, 2008 - $13,207) and a loss of $48,130 (2007 - $4,424) was recorded. A total of $1,313,791 (RMB¥9,211,773) construction in process was reclassified to mineral rights and properties during the year ended March 31, 2008.

Notes to the Consolidated Financial Statements page 13

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

10. MINERAL RIGHTS AND PROPERTIES  

Mineral rights and properties are comprised of the following:

		Ying			HPG			NZ			Nabao		TLP		LM		Total
Balance, March 31, 2006	$	3,188,931		$	-		$	-		$	-	$	-	$	-	$	3,188,931
Acquisition of mineral rights and properties		2,497,041			5,633,018			1,529,135			-		-		-		9,659,194
Capitalized asset retirement obligation		1,127,591			-			-			-		-		-		1,127,591
Capitalized exploration and development costs
Consulting and management fees		225,011			-			-			-		-		-		225,011
Drilling, assay fee and reporting		1,081,139			-			-			-		-		-		1,081,139
Office and miscellaneous		5,920			-			-			-		-		-		5,920
Tunneling and trenching		2,127,578			-			-			-		-		-		2,127,578
Foreign currency translation impact		39,276			-			-			-		-		-		39,276
Amortization		(1,128,594	)		-			-			-		-		-		(1,128,594	)
Balance, March 31, 2007		9,163,893			5,633,018			1,529,135			-		-		-		16,326,046
Acquisition of mineral rights and properties		-			1,602,927			-			-		19,109,357		7,175,611		27,887,895
Capitalized asset retirement obligation		(94,009	)		714,531			-			-		-		-		620,522
Capitalized exploration and development costs
Consulting and management fees		38,140			-			-			-		-		-		38,140
Drilling, assay fee and reporting		2,657,666			1,056,004			315,419			1,012,815		721,423		180,269		5,943,596
Office and miscellaneous		-			-			-			45,368		-		-		45,368
Tunneling and trenching		4,239,164			1,585,170			37,099			-		184,577		2,392,778		8,438,788
Shaft development		2,822,856			-			-			-		-		-		2,822,856
Foreign exchange impact		(111,789	)		(29,186	)		(20,673	)		-		-		-		(161,648	)
Foreign currecy translation impact		1,114,396			685,015			185,954			-		-		-		1,985,365
Amortization		(1,527,567	)		(1,515,086	)		-			-		-		-		(3,042,653	)
Balance, March 31, 2008	$	18,302,750		$	9,732,393		$	2,046,934		$	1,058,183	$	20,015,357	$	9,748,658	$	60,904,275

Although the Company has taken steps to verify title to the mineral properties in which it, through its subsidiaries, has an interest, in accordance with industry standards for the stage of exploration of such properties, those procedures do not guarantee the Company’s title. Property title may be subject to unregistered prior agreements and non-compliance with regulatory requirements.

(a) Ying Property  

The Company, through its wholly owned subsidiary, Victor Mining Ltd., entered into an agreement to acquire 77.5% interest in the high grade Ying Silver-Lead-Zinc Project (“Ying Property”) located in Henan Province, China for a total consideration of approximately $3.7 million (paid). Henan Found was established in 2004 to hold the Ying property, and production of ore commenced on April 1, 2006.

Notes to the Consolidated Financial Statements page 14

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

In July 2006, Henan Found reached a settlement with a third party to stop its unauthorized mining activities on the Ying Property by paying the third party a total of $911,749, which was paid and capitalized as acquisition cost of mineral rights and properties.

During the year ended March 31, 2007, Henan Found acquired two additional exploration permits adjacent to the existing boundary of the Ying Property for cash consideration of $609,967, which was paid and capitalized as acquisition cost of mineral rights and properties. The exploration permits were transferred to Henan Found during the year ended March 31, 2007.

Henan Found is in the process of completing construction of the Ying Property according to its approved design plan, and in particular completing the connection of three mine shafts for safety reasons. While government authorities allow Henan Found to test run the mill and mine, it is subject to final inspection by authorities for environmental and safety qualifications and it is subject to receiving environmental and safety production permits.

The land usage right for Henan Found’s mine and mill has been purchased from the local owners, rezoning of these lands from agricultural to industrial use has been approved by Henan Provincial government, and transfer of the land title to Henan Found’s name has been submitted to the government authorities and is pending final approval.

Pursuant to an update of estimates of the mineral resources on Ying Property, the mine life of Ying property has been extended by two years to a total of nine years’ mining life. Consequently, the calculation of depreciation and amortization of mineral rights and properties of Ying silver-lead-zinc were revised prospectively and the amounts of asset retirement obligations are also revised based on the extended mine life. The impact on this change in estimate resulted in lower accretion of ARO of $94,009 for the year ended March 31, 2008.

(b) HPG Silver-Gold-Lead Property  

The Company, through its indirectly wholly owned subsidiary, Victor Resources Ltd., entered into an agreement to acquire a 60% interest of the HPG silver-gold-lead operating mine and property within the Ying Silver-Lead-Zinc Project, Henan Province, China for a total consideration of approximately $5.7 million (RMB¥43.2 million). Henan Huawei was established in January 2007 to hold the HPG gold-silver-lead property which consists of two adjacent mining licenses surrounded by one exploration permit within the Ying Silver-Lead-Zinc Project area in Henan, and a flotation mill and associated facilities. The Company was required to pay a total of $3.93 million (RMB¥30 million) to the joint venture partner directly while the remaining of $1.73 million (RMB¥13.2 million) was paid to Henan Huawei as its registered capital.

During the year ended March 31, 2007, the Company fulfilled its obligation to earn 60% interest in HPG and a total of $5,633,018 was capitalized as the acquisition cost of mineral rights and properties.

On May 11, 2007, Victor Resources Ltd., signed an agreement to acquire a further 20% interest in Henan Huawei from its joint venture partner, in which 10% interest will be held in trust for a shareholder of the joint venture partner.

Notes to the Consolidated Financial Statements page 15

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

Total consideration for the 20% interest is approximately $1.9 million (RMB¥13.3 million) with the Company’s share of approximately $950,000 (RMB¥6.65 million) paid in full. A total of $722,544 was capitalized as the acquisition cost of mineral rights and properties after offsetting against non-controlling interest.

(c) NZ Property  

In October 2006, the Company, through its 77.5% owned subsidiary company, Henan Found, entered into an agreement (the “Agreement”) with a third party, related by common control, to acquire a 100% interest in the NZ Gold-Silver property (the “Property”), on its behalf. As at March 31, 2007, the third party has completed its acquisition of the Property, by payment of $1,099,271 (RMB¥8.5 million), and the payment was capitalized as the acquisition of mineral rights and properties.

The Company’s interest in the NZ Property is held in trust through a third party for the Company.

(d) Nabao Project  

In June 2007, the Company, through its wholly owned subsidiary, Fortress Mining Inc., entered into a joint venture contract with a Chinese party to form Qinghai Found Mining Company Ltd. ("Qinghai Found"), a Sino-foreign cooperate joint venture company, to explore and develop the Na-Bao silver-polymetalic Project (“Na-Bao Project”) in Qinghai Province, China. Under the joint venture contract, the Company has an 82% interest in Qinghai Found by investing approximately $4.0 million by funding exploration and development. The Chinese party retains an 18% interest in Qinghai Found in exchange for transferring the three Na-Bao permits to Qinghai Found.

(e) LM Silver-Lead Mine  

In October 2007, the Company’s 70% owned subsidiary, Henan Huawei, entered into agreements to acquire 100% interest in LM Silver-Lead Mine (“LM Mine”), which has a mining permit located just southeast of the Ying silver project, through the acquisition of 100% interest of a private Chinese company, Xinda Mineral Products Co. Ltd.(‘Xinda”), for approximately $3.6 million. The Company also agreed to compensate another $3.6 million (RMB¥25 million) to the original shareholders of Xinda for their previous work done on the LM Mine. As at March 31, a total of $6.5 million was paid and an approximately $7.2 million was capitalized as the acquisition cost of mineral rights and properties.

As of March 31, 2008, the acquisition of LM silver-lead mine is pending government approval, and concurrently Henan Huawei has taken control of LM Mine and production at LM Mine has commenced.

(f) TLP Silver-Lead Mine  

In December 2007, the Company’s 77.5% owned subsidiary, Henan Found, successfully concluded contracts to acquire 100% interest of the TLP Silver-Lead Mine (“TLP Mine”) by paying approximately $11.4 million (RMB¥80 million) plus assuming debts, obligations and winding down of certain leasing agreements.

Notes to the Consolidated Financial Statements page 16

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

The total acquisition cost of TLP Mine is estimated at $22 million (RMB¥157 million). As of March 31, 2008, a total of $17.7 million (RMB¥124.2 million) was paid and capitalized as the acquisition cost of mineral rights and properties.

11. ASSET RETIREMENT OBLIGATIONS  

The following table presented the reconciliation of the beginning and ending obligations associated with the retirement of the properties:

		Current			Long term
		portion			portion			Total
Balance, March 31, 2006	$	-		$	-		$	-
Obligations incurred during the year		-			1,127,591			1,127,591
Obligations discharged upon payments to local government		-			(227,088	)		(227,088	)
Accretion of asset retirement obligations		-			61,899			61,899
Reclassification of current portion of the obligations		292,406			(292,406	)		-
Balance, March 31, 2007	$	292,406		$	669,996		$	962,402
Obligations incurred during year		252,725			440,699			693,424
Obligations discharged upon payments during the year		(515,980	)		-			(515,980	)
Obigations reduction as per revision of ARO of Ying Property		-			(94,009	)		(94,009	)
Accretion of asset retirement obligations		10,517			51,171			61,688
Reclassification of current portion of ARO to long term		(75,226	)		75,226			-
Foreign translation impacts		35,558			82,746			118,304
Balance, March 31, 2008	$	-		$	1,225,829		$	1,225,829

Although the ultimate reclamation costs to be incurred for the existing mines are uncertain, the Company has estimated the undiscounted future values of these costs to be $1.74 million as at March 31, 2008 (2007 - $1.35 million ) in the next five to eight years.

The aggregate accrued obligation as at March 31, 2008, representing the fair value of the future reclamation costs, was $1,225, 829 (2007 - $962,402). The fair value was estimated using a credit risk free discount rate of six percent.

12. SHARE CAPITAL  

(a) Authorized

Unlimited number of common shares without par value.

(b) Issued and outstanding  

On April 26, 2006, the Company completed a short form prospectus financing which raised net proceeds of $39,471,408 (CAD$44,484,295) through the sale of 7,503,750 units at a price of CAD$6.37 per unit. Each unit is comprised of one common share of the Company and one half share purchase warrant.

Notes to the Consolidated Financial Statements page 17

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

Each whole warrant is exercisable up to October 25, 2007 at a strike price of CAD$8 per common share. In August 2007, the expiry date of the warrants was extended to October 26, 2008.

On June 13, 2006, the Board of Directors approved a Normal Course Issuer Bid to acquire up to 3,000,000 of its common shares, over a one year period. Purchases were made at the discretion of the Directors at prevailing market prices, through the facilities of the TSX Exchange. As at March 31, 2007, a total of 1,261,500 of its common shares were acquired and cancelled under the Normal Course Issuer Bid at a cost of $4,890,169 (CAD$5,499,104) and a total of $4,068,249 (CAD$4,766,361) was transferred from contributed surplus upon the share cancellations. The Normal Course Issuer Bid expired at June 12, 2007.

On March 20, 2008, the Company announced another Normal Course Issuer Bid to acquire up to 2,988,029 of its common shares. The Normal Course Issuer Bid was approved By TSX Exchange and commenced on March 28, 2008 and continues until no later than March 27, 2009. Purchases will be made at the discretion of the Directors at prevailing market prices, through the facilities of the TSX Exchange. The Company intends to cancel all shares acquired under the issuer bid. No shares were acquired under this issuer bid during the year ended March 31, 2008.

(c) Share Purchase Warrants  

The Company adopted the Residual Approach in valuing the share purchase warrants attached to private placement units issued. Under this approach, proceeds up to the Company’s share market value are allocated to the shares and only the excess above the market value is allocated to the attached share purchase warrants. No value has been allocated to these warrants as determined under the Residual Approach.

The following is a summary of warrant transactions:

Warrant Shares	Issued	Warrant Shares	Warrant Shares		Price per
Outstanding as at	during	Exercised	Outstanding as at		Warrant
March 31, 2007	the period	during the period	March 31, 2008		CAD$	Expiry Date
3,751,869	-	9,750	3,742,119	$	8.00	October 26, 2008

During the year ended March 31, 2008, the Company received approval from Toronto Stock Exchange to extend the expiry date of the share purchase warrants to acquire 3,751,869 common shares from October 26, 2007 to October 26, 2008. The exercise price of these warrants remains unchanged at CAD$8.00. Effective on September 10, 2007, these common share purchase warrants were listed on the Toronto Stock Exchange and trade under the symbol “SVM.WT”.

Notes to the Consolidated Financial Statements page 18

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(d) Stock Options  

The following is a summary of option transactions:

	Number of Shares			Weighted Average Exercise Price Per Share CAD$
Balance, March 31, 2006	7,909,875		$	0.36
Options granted	1,300,500			4.44
Options exercised	(2,961,717	)		0.30
Options forfeited	(78,750	)		4.35
Balance, March 31, 2007	6,169,908		$	1.19
Options granted	1,081,200			7.11
Options exercised	(3,448,896	)		0.73
Options forfeited	(567,527	)		2.60
Balance, March 31, 2008	3,234,685		$	3.42

During the year ended March 31, 2008, a total of 1,081,200 options were granted to directors, officers, employees, and consultants exercisable at a weighted average exercise price of CAD$7.11 per share for five years, subject to a vesting schedule over a three year term with 8.333% options vested every three months. During the year ended March 31, 2008 a total of 567,527 options were forfeited and cancelled.

The following is the summary assumptions to estimate the fair value of each option granted using the Black-Scholes option pricing model.

	2008		2007
Risk free interest rate	2.58% to 4.31%		4.01% to 4.23%
Expected life of options in years	2 to 5 years		1 to 3 years
Expected volatility	52% to 117%		95% to 119%
Expected dividend yield	1	%	0	%

The weighted average grant date fair value of options granted during the year was $3.53 (2007 -$2.77) . For the year ended March 31, 2008, a total of $2,472,685 (March 31, 2007 - $1,955,545) were recorded as office, administration and miscellaneous expenses on the consolidated statements of operations.

Notes to the Consolidated Financial Statements page 19

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

The following table summarizes information about stock options outstanding at March 31, 2008:

			Weighted		Weighted			Weighted
		Number	Average		Average	Number		Average
	Exercise	Outstanding at	Remaining		Exercise	Exercisable at		Exercise
	Prices	March 31	Contractual		Price	March 31		Price
	in CAD$	2008	Life (Years)		in CAD$	2008		in CAD$
$	0.18	990,000	1.54		0.18	990,000		0.18
	0.63	450,000	1.92		0.63	450,000		0.63
	0.75	31,875	0.18		0.75	31,875		0.75
	4.32	432,399	3.29		4.32	197,400		4.32
	4.43	216,999	3.41		4.43	93,999		4.43
	4.47	54,708	3.38		4.47	7,458		4.47
	6.74	780,204	4.03		6.74	127,938		6.74
	6.95	135,000	4.51		6.95	18,750		6.95
	9.05	143,500	4.80		9.05	-		9.05
$	0.18 - $9.05	3,234,685	2.64	$	3.42	1,917,420	$	1.45

(e) Cash Dividends Declared and Distributed  

During the year ended March 31, 2008, an eligible cash dividend of $6,891,020 or $0.05 per share (CAD$0.05 per share) (March 31, 2007 - $nil) was declared and distributed to shareholders of the Company.

(f) Stock split  

On September 28, 2007, shareholders approved a three-for-one share split for its common shares. The record date for the stock split was set at the close of business on October 31, 2007.

On October 17, 2007, an aggregate of 108 (or 36 pre-split) common shares resulting from rounding of previous capital consolidations were returned to treasury to reduce the accumulated fractional shares held in the Company’s trustee account in connection with the share split.

All share and per share information included in the consolidated financial statements and accompanying notes are presented on a post-split basis for all periods presented.

Notes to the Consolidated Financial Statements page 20

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

13. NON-CONTROLLING INTERESTS  

The following is the summary of non-controlling interests:

		Henan Found			Huawei			Total
Balance, March 31, 2006	$	600,323		$	-		$	600,323
Minority shareholder's contribution		-			103,461			103,461
Income (loss) sharing for the year		6,369,493			( 54,356	)		6,315,137
Foreign currency translation impact		( 71,610	)		675			( 70,935	)
Balance, March 31, 2007		6,898,206			49,780			6,947,986
Non-controlling interest reduction upon acquistion of additional equity interest in Huawei (10(b))		-			( 186,140	)		( 186,140	)
Income sharing for the year		16,809,697			2,387,546			19,197,243
Non-controlling interest reduction upon distribution		( 3,371,257	)		-			( 3,371,257	)
Non-controlling interest reduction upon dividend declared		( 12,117,910	)		-			( 12,117,910	)
Foreign currency translation impact		779,234			16,041			795,275
Balance, March 31, 2008	$	8,997,970		$	2,267,227		$	11,265,197

In June 2007, Henan Found distributed a total of $14,983,364 (RMB¥111 million) to its shareholders. The Company’s wholly owned subsidiary, Victor Mining Ltd., received its share (77.5%) of dividend payment of $11,612,107 (RMB¥86,025,000), and a total of $3,371,257 (RMB¥24,975,000) was paid to the non-controlling interests.

During the year ended March 31, 2008, Henan Found’s Board of Directors declared a dividend of $50,616,759 (RMB¥400 million) to its shareholders, and a total of $12,117,910 (RMB¥90 million) distributable to the non-controlling subsidiary shareholder was recorded as due to related parties on the balance sheet as of March 31, 2008. Subsequent to March 31, 2008, a total of $6,058,955 (RMB¥45 million) was distributed to the non-controlling subsidiary shareholder.

The Company has not recorded non-controlling interest in Qinghai Found, as its ownership percentage represents only the profit sharing and working interests and the minority shareholder is not responsible for any of the associated costs. As at March 31, 2008, Qinghai Found is still in the exploration stage and has not generated any revenue.

14. RESERVES  

Pursuant to Chinese regulations, Henan Found may make appropriations to reserves funds, comprising the Enterprise Reserve Fund, Enterprise Expansion Fund, and Employee Welfare Fund at a percentage, at the discretion of the Board of Directors of Henan Found, of its after tax net income.

The Enterprise Reserve Fund is established for covering potential losses and could be used to increase the registered capital if approved by the relevant Chinese authorities. The Enterprise Expansion Fund is for expanding business operation. Both Enterprise Reserve Fund and Enterprise Expansion Fund are recorded as part of shareholders’ equity but are not available for distribution to shareholders other than in liquidation. Employee Welfare Fund is established for the purpose of providing employee facilities and other collective benefits to employees and is recorded as an expense.

Notes to the Consolidated Financial Statements page 21

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

During the year ended March 31, 2008, the Board of Directors of Henan Found appropriated reserves of $2,077,628 (RMB¥16,418,499) (2007 - $nil) from its retained earnings for the calendar year ended December 31, 2006. Of the reserves, a total of $415,526 (RMB¥3,283,700) (2007 - $nil) was appropriated as Enterprise Reserve Fund and $1,662,102 (RMB¥13,134,799) (2007 - $nil) as Enterprise Expansion Fund. Henan Found also contributed a total of $16,621 (RMB¥131,348) (2007 - $nil) to the Employee Welfare Fund. The contribution to Employee Welfare Fund was recorded as accrued liabilities on the consolidated balance sheet and expensed on the consolidated statement of income.

Subsequent to March 31, 2008, the Board of Directors of Henan Found appropriated reserves of $8,544,685 (RMB¥67,525,567) from its retained earning for the calendar year ended December 31, 2007. Of the reserves, a total of $1,695,400 (RMB¥13,397,930) was appropriated as Enterprise Reserve Fund, $6,781,496 (RMB¥53,591,720) as Enterprise Expansion Fund, and $67,815 (RMB¥535,917) as Employee Welfare Fund.

15. RELATED PARTY TRANSACTIONS  

In addition to related party transactions disclosed elsewhere in the financial statements, the Company had the following related party transactions during the period:

(a)	During the year ended March 31, 2008, the Company incurred:
	(i)	consulting fees of $270,695 (2007 - $152,599) payable to a company owned by an officer and director of the Company and to an officer of the Company;
	(ii)	legal fees of $nil (2007 - $76,974) payable to a law firm with a partner that is a director of the Company;
	(iii)	management fees of $202,449 (2007 - $126,047) payable to a company owned by an officer and director of the Company, and to an officer and director of the Company;
	(iv)	accounting fees of $498 (2007 - $77,346) payable to an accounting firm with a partner that is former officer of the Company;
	(v)	directors’ fees of $93,731 (2007 - $36,363);
	(vi)	expenses recovered of $302,100 (2007 - $321,931) from New Pacific Metals Corp. (“NUX”).
(b)	As at March 31, 2008, the related transaction balances included the following:
	(i)	$nil (March 31, 2007 - $34,478) due to a company controlled by a director of the Company for services provided;
	(ii)	$nil (March 31, 2007 - $131,641) due to the joint venture partner of Henan Huawei;

Notes to the Consolidated Financial Statements page 22

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(iii)	$12,117,910 (March 31, 2007 - $nil) due to the joint venture partner of Henan Found for non- controlling interest distributable as Henan Found declared dividend during the year;
(iv)	$12,014 (March 31, 2007 - $28,329) due from a company related by common control;
(v)	$17,113 (March 31, 2007 - $nil) due from the joint venture partner of Qinghai Found;
(vi)	$18,051 (March 31, 2007 - $nil) due from NUX for expenses incurred and recoverable under an inter-company services and cost allocation arrangement; and,
(vii)	$nil (March 31, 2007 - $1,195,129) due to NUX for funds advanced from NUX.
	On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.
	On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at March 31, 2008, a total of $683,995 of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.

The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties. The balances with related parties are unsecured, non-interest bearing, and due on demand.

16. INCOME TAXES  

(a) Income tax expense

The Company’s wholly-owned subsidiary, Yunnan JCJ, 77.5% owned subsidiary, Henan Found, and 70% owned subsidiary, Henan Huawei, are considered as qualified Foreign Investment Enterprises (a “FIE”) in China and they are entitled to tax incentives of a five-year tax holiday (year one and two are tax exempt with years three to five at a reduced tax rate of 12.5%) .

Henan Found enjoyed a zero tax rate for the 2006 and 2007 calendar years. Starting from January 1, 2008 to December 31, 2010, a 12.5% income tax rate is applied. A tax provision of approximately $1.9 million was provided for the fourth quarter ended March 31, 2008.

Henan Huawei can enjoy a zero income tax rate starting from January 1, 2007 and a 12.5% income tax rate for January 1, 2009 to December 31, 2011.

Yunnan JCJ has not recorded a profit as of December 31, 2007, and as a result, its tax holiday is deemed to commence from January 1, 2008 pursuant to the new Chinese corporate Income Tax Laws effective January 1, 2008.

Notes to the Consolidated Financial Statements page 23

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

Qinghai Found is not entitled to any tax holiday under the current Chinese income tax laws.

The provision for income taxes differs from the amount computed by applying the cumulative Canadian federal and provincial income tax rates to the loss before income tax provision due to the following:

Express in Cdn. $		2008			2007
Income (loss) before non-controlling interest	$	79,684,976		$	29,763,482
Canadian combined federal and provincial income tax rate		33.47	%		34.12	%
Expected income tax recovery (expense)		(26,666,577	)		(10,155,300	)
Difference in foreign tax rates		25,674,821			8,855,408
Taxes recovery from prior year tax provision		1,425,686			-
Non-deductible stock based compensation		(913,186	)		(667,184	)
Non-taxable mineral property option income		743,049			657,430
Non-deductible foreign exchange losses		(198,314	)		(9,677	)
Changed in valuation allowance		554,495			-
Impact of tax rate changed		(554,495	)		-
Others		(615,958	)		(106,363	)
	$	(550,479	)	$	(1,425,686	)

(b) Future income tax

The approximate tax effect of each type of temporary difference that gives rise to the Company’s future tax assets is as follows:

		2008			2007
Non - capital loss carry forward	$	1,287,093		$	1,074,631
Capital loss carry forward		7,197			3,890
Excess tax value of property, plant, and equipment over book value		1,132,469			930,760
Share issuance costs		662,888			736,523
Asset retirement obligation and others		210,652			-
	$	3,300,299		$	2,745,804
Valuation allowance		(3,300,299	)		(2,745,804	)
Excess of accounting base over tax base relating mineral rights and properties		6,345,898			1,405,189
Net future income taxes liabilities	$	6,345,898		$	1,405,189

The Company has Canadian non-capital losses of approximately $5.1 million expiring from 2009 to 2028 if not applied against future Canadian income for Canadian tax purposes. In addition, the Company also has capital losses of approximately $28,000 in Canada available to apply against future capital gains for Canadian tax purposes. The management of the Company believes it is unlikely the benefit of the future income tax assets will be realized against future Canadian income for Canadian tax purposes. As a result, a full valuation allowance was recorded against the future tax assets.

Notes to the Consolidated Financial Statements page 24

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

17. FINANCIAL INSTRUMENTS  

(a) Fair value  

The fair values of the Company’s cash and cash equivalents, short term investments, accounts receivables, accounts payable and accrued liabilities, deposits received from customers, and amount due to related parties are estimated to approximate their carrying values as they are short term in nature. The fair value of the long term investments is reported based on quoted market prices or at cost, if a market value is not available.

(b) Exchange risk  

The Company undertakes transactions denominated in foreign currencies and as such is exposed to risk due to fluctuations in foreign exchange rates.

The Company conducts its operations in Chinese Yuan and thereby the majority of the Company’s assets, liabilities, revenues and expenses are denominated in RMB¥, which was tied to the U.S. Dollar until July 2005 and is now tied to a basket of currencies of China’s largest trading partners. The RMB¥ is not a freely convertible currency.

As at March 31, 2008, approximately $48.3 million (March 31, 2007 - approximately $18.6 million) of cash and cash equivalents and short term investments were held in RMB¥.

(c) Interest rate risk  

The Company has no interest-bearing debt and so is not exposed to interest rate risk.

(d) Credit risk  

The Company is exposed to credit risk with respect to accounts receivable from customers. The Company undertakes credit evaluations on customers as necessary and has monitoring processes intended to mitigate credit risks. The Company has accounts receivable from clients primarily in China engaged in the mining and milling of base and polymetallic metals industry.

The Company is exposed to credit risk with respect to cash equivalents and accounts receivable. The carrying amount of assets included on the balance sheet represents the maximum credit exposure.

The cash equivalents consist mainly of short-term investments, such as money market deposits. None of the cash equivalents were in asset backed financial instruments. The Company has deposits of cash equivalents that meet minimum requirements for quality and liquidity as stipulated by the Company’s Board of Directors. Management believes the risk of loss to be remote.

Notes to the Consolidated Financial Statements page 25

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

The mining industry in China may be affected by economic factors that may impact accounts receivable. Management does not believe that the mining industry or geographic region within China represents a significant credit risk.

(e) Commodity price risk  

The Company is subject to price risk from fluctuations in market prices of commodities, and the Company has elected not to actively manage the exposure to the commodity price risk at this time.

18. SEGMENTED INFORMATION  

(a) Industry information  

The Company operates in one reportable operating segment, being the acquisition, exploration, development, and operation of mineral properties.

(b) Geographic information  

(i) The following is the summary of balance sheet items of each geographic segment:

As at		March 31, 2008								March 31, 2007
Balance sheet items:		Canada		China		BVI		Total		Canada		China		BVI		Total
Mineral rights and properties	$	-	$	60,904,275	$	-	$	60,904,275	$	-	$	16,326,046	$	-	$	16,326,046
Property, plant and equipment		438,723		13,910,849		-		14,349,572		326,077		7,542,617		-		7,868,694
Long term investments		4,472,953		6,417,939		6,982,995		17,873,887		216,844		58,197		6,279,806		6,554,847

Notes to the Consolidated Financial Statements page 26

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

ii) The following is the operation summary of each geographic segment:

For the		Year ended March 31, 2008
					China
		Canada			Ying			HPG			Other			BVI			Total
Sales	$	-		$	96,328,947		$	12,033,815		$	-		$	-		$	108,362,762
Cost of sales		-			(17,388,864	)		(2,725,600	)		-			-			(20,114,464	)
Amortization and depletion		-			(1,703,494	)		(1,504,766	)		-			-			(3,208,260	)
Gross Profit		-			77,236,589			7,803,449			-			-			85,040,038
Expenses		(10,892,245	)		(451,848	)		(644,926	)		(284,933	)		(404,984	)		(12,678,936	)
Interest, option & other income		6,166,318			900,077			10,792			534,486			10,445			7,622,118
Loss and other expenses		-												(298,244	)		(298,244	)
Non controlling interest		-			(16,809,697	)		(2,387,546	)		-			-			(19,197,243	)
Income tax expenses		-			(507,874	)		(42,605	)		-			-			(550,479	)
Net income (loss)	($	4,725,927	)	$	60,367,247		$	4,739,164		$	249,553		($	692,783	)	$	59,937,254

For the		Year ended March 31, 2007
					China
		Canada			Ying			HPG			Other			BVI			Total
Sales	$	-		$	39,777,218		$	-		$	-		$	-		$	39,777,218
Cost of sales		-			(7,738,301	)		-			-			-			(7,738,301	)
Amortization and depletion		-			(1,189,766	)		-			-			-			(1,189,766	)
Gross Profit		-			30,849,151			-			-			-			30,849,151
Expenses		(4,728,813	)		(1,358,851	)		(132,904	)		(191,772	)		(8,017	)		(6,420,357	)
Interest, option & other income		5,480,768			138,810			182			(18,187	)		-			5,601,573
Loss and other expenses		(215,807	)		(29,621	)		-			-			(21,457	)		(266,885	)
Non controlling interest		-			(6,369,493	)		54,356			-			-			(6,315,137	)
Income tax expenses		-			(1,425,686	)		-			-			-			(1,425,686	)
Net income (loss)	$	536,148		$	21,804,310		($	78,366	)	($	209,959	)	($	29,474	)	$	22,022,659

(c) Sales by metal  

For the year ended March 31, 2008, the Company generated sales of $108,362,762 (2007 -$39,777,218) which comprised of the following:

Sales by metal:

		2008		2007
Silver (Ag)	$	44,677,949	$	17,998,480
Gold (Au)		1,189,764		68,842
Lead (Pb)		48,433,127		14,069,457
Zinc (Zn)		14,061,922		7,635,839
Other		-		4,600
	$	108,362,762	$	39,777,218

Notes to the Consolidated Financial Statements page 27

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(d) Major customers  

During the year ended March 31, 2008, there were four customers (2007 - four) who individually accounted for 8% to 32% (2007 - 14% to 23%) and collectively, 76% (2007 - 72%) of the total revenue of the Company.

19. COMMITMENTS  

The Company’s leasehold obligation commitments total $962,617 over six years (years ending March 31, 2009: $254,670; 2010: $256,853; 2011: $256,853; 2012: $85,117; 2013: $87,299; and 2014: $21,825).

20. SUBSEQUENT EVENTS  

The Company, on April 24, 2008, entered into a share purchase agreement with Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company, to acquire from Yangtze Gold all of the issued shares of Yangtze Mining Ltd. (“Yangtze Mining”). Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of the Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China.

The purchase price for the shares of Yangtze Mining is approximately $60.27 million (CAD$61.95 million) and will be paid 40% in cash and 60% in common shares of the Company. The 40% cash portion will be payable as to 20% at closing and 20% plus interest at 5.5% on that amount from the date hereof payable when the Company receives its next dividend payment from its Chinese subsidiary Company, or within 3 months, whichever is earlier. The 60% common share portion of the purchase price will be payable by the issuance at the closing of 4,532,543 common shares of the Company at a price of CAD$8.20 per share, being the volume weighted average trading price of the shares of the Company during the 30 calendar days prior to the date of signing this agreement.

On April 28, 2008, the Company paid a deposit of $1.97 million (CAD$2.0 million) to Yangtze Gold, which amount will be credited against the cash portion of the purchase price. The deposit is non-refundable unless a breach of certain representations and warranties by Yangtze Gold or that the Company’s financial advisor is unwilling or unable to deliver a written opinion that the transaction is fair from a financial point of view to the Company’s shareholders. On April 29, 2008, the Company advanced $2.7 million (RMB¥20 million) to Anhui Yangtze so that it can start the process of applying for a mining permit and carry out further exploration program, including drilling.

Dr. Rui Feng, Chairman and CEO of the Company, is a Director of Yangtze Gold, Yangtze Mining, and Anhui Yangtze, and Mr. J. Feng, a relative of Dr. Feng, controls Yangtze Gold. The transaction has been approved by the independent directors of the Company in accordance with applicable regulations. Closing of the transaction is subject to the Company’s due diligence, receipt of a fairness opinion, and approval by required regulatory authorities.

Notes to the Consolidated Financial Statements page 28

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

On June 6, 2008, the Company announced that it completed the acquisition of Yangtze Mining. As of July 17, 2008, the Company fulfilled all obligations to acquire Yangtze Mining by issuing 4,532,543 common shares of the Company and making payments of $24.5 million (CAD$24.9 million).

Notes to the Consolidated Financial Statements page 29

EX-99.2

Exhibit 99.2

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Date of Report – As at May 29, 2008

This Management’s Discussion and Analysis (“MD&A”) should be read in conjunction with the Company’s audited consolidated financial statements for the year ended March 31, 2008 and related notes thereto which have been prepared in accordance with Canadian generally accepted accounting principles. In addition, the following should be read in conjunction with the Annual Information Form as well as other information relating to Silvercorp Metals Inc. (the “Company”) on file with the Canadian provincial securities regulatory authorities, on SEDAR at www.sedar.com, and the Company’s website at www.silvercorp.ca. This Management’s Discussion and Analysis contains “forward looking” statements that are subject to r isk factors set out in the cautionary note contained herein. All figures are in United States (“US”) dollars unless otherwise noted.

The Company’s consolidated financial statements which have been prepared in accordance with Canadian generally accepted accounting principles, and all financial data derived therefrom in this report are expressed in US dollars. In addition, the consolidated financial statements include a reconciliation of the specific measurement differences between Canadian and United States generally accepted accounting principles as they relate to the Company. Certain comparative figures have been reclassified to conform to the presentation adopted for the current period.

Effective April 1, 2007, the Company changed its reporting currency to the US dollar. The change in reporting currency is to better reflect the Company’s business activities and to improve investors’ ability to compare the Company’s financial results with other publicly traded businesses in the mining industry. Prior to April 1, 2007, the Company reported its annual and quarterly consolidated balance sheets and the related consolidated statements of operations and cash flows in Canadian dollar (CAD). In making this change in reporting currency, the Company followed the recommendations of the Emerging Issues Committee (EIC) of the Canadian Institute of Chartered Accountants (CICA), set out in EIC-130, Translation Method when the Reporting Currency Differs from the Measurement Currency or there is a Change in the Reporting Currency. In accordance with EIC-130, the financial statements for all years and periods pre sented have been translated in to the new reporting currency using the current rate method. Under this method, the statements of operations and cash flows statements items for each year and period have been translated into the reporting currency using the average exchange rates prevailing during each reporting period. All assets and liabilities have been translated using the exchange rate prevailing at the consolidated balance sheets dates. Shareholders’ equity transactions since April 1, 2006 have been translated using the rates of exchange in effect as of the dates of the various capital transactions, while shareholders’ equity balances on April 1, 2006 have been translated at the exchange rate on that date. All resulting exchange differences arising from the translation are included as a separate component of other comprehensive income. All comparative financial information has been restated to reflect the Company’s results as if they had been historically reported in US dollars.

FORWARD LOOKING STATEMENTS

Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, and other similar words, or statements that certain events or conditions “may” or “will” or “can” occur. Forward-looking statements are based on the opinions and estimates of management on the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration, development, and mining of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors described in this report under the heading “Outlook”. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake any obligation to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 1

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Non-GAAP Measurements

The following are non-GAAP measurements and investors are cautioned not to place undue reliance on it and are urged to read all GAAP accounting disclosures present in the unaudited interim consolidated financial statements and accompanying notes: Average selling price (net of Value Added tax and smelter charges); Average production cost per ounce; Average production cost per pound; Total production cost per ounce; Total cash cost per ounce; Mining cost per tonne of ore mined; Milling cost per tonne of ore milled; Average silver production costs adjusted for by-product credit; Total recovery of mine and mill head grades; Run of mine head grade; Mill head grade; Mill recovery rates; Profit margin; Gross margin; Adjusted basic earnings per share; Adjusted diluted earnings per share; Adjusted weighted average number of shares outstanding - basic; Adjusted weighted average number of shares outstanding - diluted. These non - -GAAP measures are used by the Company to manage and evaluate operating performance of the Company’s mines and are widely reported in the silver mining industry as benchmarks for performance measurement, but do not have a standardized meaning.

1.0 Preliminary Information

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively and is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary company.

With the acquisition of TLP Silver-Lead Mine and LM Silver-Lead Mine, the Company now holds a land package of 76.16 square kilometres, consisting of 5 mining permits, 8 exploration permits, and four operating mines, enabling the Company to explore and produce gold (Au), silver (Ag), lead (Pb), and zinc (Zn). This provides a solid base from which to significantly expand resources and growth potential for Silvercorp in an important silver district in China.

The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

1.1 Date of Report - As above

1.2 Overall Performance

(a) Financial Highlights

For the year ended March 31, 2008, the Company recorded net earnings of $59.9 million (CAD$61.7 million), or $0.41 (CAD$0.42) per share, up 172%, compared to $22.0 million (CAD$25.1 million), or $0.15 (CAD$0.17) per share over the same period last year. The company achieved a net profit margin of 55% (2007 - 55%) for the year ended March 31, 2008.

For the year ended March 31, 2008, sales increased by $68.6 million (CAD$66.6 million), or 172% to $108.4 million (CAD$111.9 million) compared to $39.8 million (CAD$45.3 million) for the same period last year.

For the year ended March 31, 2008, gross profit from mine operations amounted to $85.0 million (2007 -$30.8 million), representing a gross margin of 78% (2007 - 78%). The net income was $59.9 million (2007 - $22.0 million) with a net profit margin of 55% (2007 - 55%). The net earnings are $0.41 (CAD$0.42) per basic share, a 173% increase compared to $0.15 (2007 - CAD$0.17) per basic share for the same period last year.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 2

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Net cash provided by operating activities rose to $79.8 million (CAD$82.8 million) for the year ended March 31, 2008, a 165% increase compared to $30.1 million (CAD$34.2 million) over the same period last year.

Capital expenditures during the period amounted to $36.6 million representing the purchase of mineral rights and properties. A cash dividend distribution of $6.9 million (CAD$7.4 million) was paid to the shareholders during the year ended March 31, 2008. The Company ended the year with cash and cash equivalents and short term investments of $84.2 million as of March 31, 2008.

The Company’s subsidiary, Henan Found Mining Company Ltd. (“Henan Found”), is now subject to 12.5% income tax rate until December 31, 2010 and a 25% income tax rate thereafter. Based on Chinese GAAP, Henan Found has paid $1.3 million in tax in the 4th quarter ended March 31, 2008. A tax provision of approximately $1.9 million was provided for the 4th quarter ended March 31, 2008.

(b) Operation Highlights - For the year ended March 31, 2008

The head grades of run of mine ores of 256,497 tonnes from the Ying Mine for the year ended March 31, 2008, are:

• 464.2 g/t for silver;
• 7.4% for lead; and,
• 3.1% for zinc, respectively.

The head grades of run of mine ores of 48,531 tonnes from the HPG Mine for the year ended March 31, 2008, are:

• 207.4 g/t for silver;
• 7.4% for lead; and,
• 1.1% for zinc, respectively.

Total sales and realized prices net of value added tax and smelter charges for the year ended March 2008, are comprised of the following:

• 3,960,189 ounces of silver sold for $44,677,949 at an average selling price of $11.28 per ounce;
• 2,152 ounces of gold sold for $1,189,764, at an average selling price of $552.86 per ounce;
• 49,623,448 pounds of lead sold for $48,433,127 at an average selling price of $0.98 per pound; and,
• 15,911,881 pounds of zinc sold for $14,061,922 at an average selling price of $0.88 per pound.

For the year ended March 31, 2008, the cash production cost for silver adjusted for by-product credits is negative $10.99 (2007 - negative $7.25) per ounce.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 3

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(i) The following table summarizes the operating and financial data in respect to the Ying Mine and HPG Mine, on a consolidated basis.

Consolidated	Years ended
	March 31, 2008		March 31, 2007
Production Data
Ores Mined (tonne)
Direct Smelting Ores (tonne)	12,929		6,843
Stockpiled Ores (tonne)	293,214		162,987
	306,143		169,830
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	12,929		6,843
Ores Milled (tonne)	292,099		169,830
	305,028		176,672
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	50.44		40.74
Milling Cost per tonne of ore milled ($)	11.93		17.68
Average Production Cost
Silver ($ per ounce)	2.44		2.38
Gold ($ per ounce)	119.74		70.79
Lead ($ per pound)	0.21		0.14
Zinc ($ per pound)	0.19		0.27
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(10.15	)	(7.56	)
Total cash cost per ounce of Silver ($)	(10.99	)	(7.25	)
Total Recovery of the Run of Mine Ores
Silver (%)	91.1		90.2
Lead (%)	95.5		94.4
Zinc (%)	71.6		75.3
Head Grades of Run of Mine Ores
Silver (gram/tonne)	420.3		489.0
Lead (%)	7.4		8.9
Zinc (%)	2.7		3.2
Purchased Ores Milled (tonne)	27,549		-
Head Grades of Purchased Ores Milled
Silver (gram/tonne)	266.9		-
Lead (%)	2.0		-
Sales Data
Metal Sales
Silver (ounce)	3,960,189		1,935,031
Gold (ounce)	2,152		249
Lead (pound)	49,623,448		26,262,191
Zinc (pound)	15,911,881		7,135,930
Metal Sales
Silver ($)	44,677,949		17,998,480
Gold ($)	1,189,764		68,842
Lead ($)	48,433,127		14,069,457
Zinc ($)	14,061,922		7,635,839
	108,362,762		39,777,218
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	11.28		9.30
Gold ($ per ounce)	552.86		276.47
Lead ($ per pound)	0.98		0.54
Zinc ($ per pound)	0.88		1.07

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 4

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(ii) The following table summarizes the operating and financial data in respect to the Ying Mine on a non-consolidated basis.

Ying Silver Property	Years ended
	March 31, 2008		March 31, 2007
Production Data
Ores Mined (tonne)
Direct Smelting Ores (tonne)	11,010		6,843
Stockpiled Ores (tonne)	242,829		162,987
	253,839		169,830
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	11,010		6,843
Ores Milled (tonne)	245,487		138,899
	256,497		145,742
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	51.59		40.74
Milling Cost per tonne of ore milled ($)	11.00		17.68
Average Production Cost
Silver ($ per ounce)	2.25		2.38
Gold ($ per ounce)	71.32		70.79
Lead ($ per pound)	0.19		0.14
Zinc ($ per pound)	0.18		0.27
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(9.65	)	(7.56	)
Total cash cost per ounce of Silver ($)	(10.11	)	(8.26	)
Total Recovery of the Run of Mine Ores
Silver (%)	91.3		90.2
Lead (%)	95.8		94.4
Zinc (%)	72.0		75.3
Head Grades of Run of Mine Ores
Silver (gram/tonne)	464.2		489.0
Lead (%)	7.4		8.9
Zinc (%)	3.1		3.2
Purchased Ores Milled (tonne)	27,549		-
Head Grades of Purchased Ores Milled
Silver (gram/tonne)	266.9		-
Lead (%)	2.0		-
Sales Data
Metal Sales
Silver (ounce)	3,683,537		1,935,031
Gold (ounce)	309		249
Lead (pound)	42,281,513		26,262,191
Zinc (pound)	15,136,170		7,135,930
Metal Sales
Silver ($)	41,610,825		17,998,480
Gold ($)	110,635		68,842
Lead ($)	41,163,581		14,069,457
Zinc ($)	13,443,906		7,635,839
	96,328,947		39,772,618
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	11.30		9.30
Gold ($ per ounce)	358.04		276.47
Lead ($ per pound)	0.97		0.54
Zinc ($ per pound)	0.89		1.07

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 5

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(iii) The following table summarizes the operating and financial data in respect to the HPG Mine on a non-consolidated basis.

HPG Project	Year ended
	March 31, 2008
Production Data
Ores Mined (tonne)
Direct Smelting Ores (tonne)	1,919
Stockpiled Ores (tonne)	50,385
	52,304
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	1,919
Ores Milled (tonne)	46,612
	48,531
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	44.84
Milling Cost per tonne of ore milled ($)	17.36
Average Production Cost
Silver ($ per ounce)	3.90
Gold ($ per ounce)	205.84
Lead ($ per pound)	0.35
Zinc ($ per pound)	0.28
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(17.12	)
Total cash cost per ounce of Silver ($)	(22.56	)
Total Recovery of the Run of Mine Ores
Silver (%)	89.0
Lead (%)	93.8
Zinc (%)	65.6
Head Grades of Run of Mine Ores
Silver (gram/tonne)	207.4
Lead (%)	7.4
Zinc (%)	1.1
Sales Data
Metal Sales
Silver (ounce)	276,652
Gold (ounce)	1,843
Lead (pound)	7,341,935
Zinc (pound)	775,711
Metal Sales
Silver ($)	3,067,124
Gold ($)	1,079,129
Lead ($)	7,269,546
Zinc ($)	618,016
	12,033,815
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	11.09
Gold ($ per ounce)	585.53
Lead ($ per pound)	0.99
Zinc ($ per pound)	0.80

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 6

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(c) Economic Factors Affecting the Industry

The Company’s sales price for metals are fixed against the Shanghai Metals Exchange as quoted at www.shmet.com for lead and zinc pounds while gold ounces are fixed against the Shanghai Gold Exchange as quoted at www.sge.com.cn, and silver ounces are fixed against the Shanghai White Platinum & Silver Exchange as quoted at www.ex-silver.com. These metal prices traditionally move in tandem with and at marginally higher prices than those quoted on the North American and European market places.

(d) Political and Country Risk

The Company conducts its operations in China and is potentially subject to a number of political and economic risks. The Company is not able to determine the impact of these risks on its future financial position or results of operations and the Company’s exploration, development and production activities may be substantially affected by factors outside of the Company’s control. These potential factors include, but are not limited to: royalty and tax increases or claims by governmental bodies, expropriation or nationalization, foreign exchange controls, import and export regulations, cancellation or renegotiation of contracts and environmental and permitting regulations. The Company currently has no political risk insurance coverage against these risks.

(e) Environmental Risks

The Company’s activities are subject to extensive laws and regulations governing environmental protection and employee health and safety. Environmental laws and regulations are complex and have tended to become more stringent over time. Although the Company makes provisions for reclamation costs, it cannot be assured that these provisions will be adequate to discharge its future obligations for these costs.

Failure to comply with applicable environmental health and safety laws may result in injunctions, damages, suspension or revocation of permits and imposition of penalties. There can be no assurance that the Company has been or will be at all times in complete compliance with current and future environmental and health and safety laws and permits will not materially adversely affect the Company’s business, results of operations or financial condition.

(f) Risk Factors

The Company is subject to numerous risks which are outlined in the Annual Information Form 51-102F2, Short Form Prospectus, and the NI 43-101 Technical Reports, which are available on SEDAR at www.sedar.com. In addition, please refer to Section 1.14 Financial Instruments.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 7

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

1.3 Selected Annual Information

The following table sets out selected consolidated financial information for the Company prepared in accordance with Canadian generally accepted accounting principles. The Company’s reporting currency is US dollars. This information has been summarized from the Company’s audited consolidated financial statements for the fiscal years ended March 31, 2008, 2007 and 2006. This selected consolidated financial information should only be read in conjunction with the Company’s consolidated financial statements.

For the years ended March 31,
(expressed in millions, except share and per share data)

		2008		2007		2006
Sales	$	108.4	$	39.8	$	-
Gross Profit		85.0		30.8		-
Gains and other income		7.3		5.3		0.4
Net income (loss)		59.5		22.0		(5.3	)
Basic earnings (loss) per share		0.41		0.15		(0.04	)
Diluted earnings (loss) per share		0.40		0.15		(0.04	)
Total assets		190.2		94.2		18.1
Total long term liabilities		7.6		2.1		-
Cash dividends paid		6.9		-		-
Cash dividends declared per share		0.05		-		-

1.4 Results of Operations

(a) Year ended March 31, 2008

(i) Highlights

For the year ended March 31, 2008, gross profit from mine operations amounted to $85.0 million (2007 -$30.8 million), representing a gross margin of 78% (2007 - 78%). The net income was $59.9 million (2007 - $22.0 million) with a net profit margin of 55% (2007 - 55%). The net earnings are $0.41 (CAD$0.42) per basic share, a 173% increase compared to $0.15 (2007 - CAD$0.17) per basic share for the same period last year.

The Company continues to achieve industry leading low total production costs per ounce of silver. The total production cost is negative $10.99 per ounce of silver after adjusting for by-product credits for the year ended March 31, 2008, compared to negative $7.25 per ounce in the same period a year ago.

For the year ended March 31, 2008, ores mined increased by 80% resulting in a total of 306,143 (2007-169,830) tonnes of ores mined, from which 12,929 (2007 - 6,843) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 293,214 (2007 - 162,987) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $50.44 (2007 -$40.74) per tonne of ore and average milling cost is $11.93 (2007 - $17.68) per tonne of ore.

Net cash provided by operating activities rose to $79.8 million (CAD$82.8 million) for the year ended March 31, 2008, a 165% increase compared to $30.1 million (CAD$34.2 million) over the same period last year. Capital expenditures during the period amounted to $36.6 million representing the purchase of mineral rights and properties. A cash dividend distribution of $6.9 million (CAD$7.4 million) was paid to the shareholders during the year ended March 31, 2008. The Company ended the year with cash and cash equivalents and short term investments of $84.2 million as of March 31, 2008.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 8

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(ii) Sales: During the year ended March 31, 2008, the Company increased sales by 172% to $108.4 million (2007 - $39.8 million) compared to the prior year period. The increase is primarily attributed to the Ying Silver Property increase in sales to $96.4 million (2007 - $39.8 million) and HPG property sales of $12.0 million (2007 - $nil).

(iii) Cost of sales: The total cost of sales, including milling costs, for the year ended March 31, 2008 amounted to $23.3 million (2007 - $8.9 million), and are comprised of $20.1 million (2007 - $7.7 million) for the cash cost and $3.2 million (2007 - $1.2 million) for the depreciation charges.

(iv) Accretion of asset retirement obligations: For the year ended March 31, 2008, the Company recognized $61,688 (2007 - $61,899) as accretion of asset retirement obligations. The Company’s assets retirement obligations related to the reclamation cost of Ying property and was calculated using a credit-adjusted risk-free discount rate of 6.0% . The total undiscounted amount of cash flows required to settle the obligations is estimated at approximately $1.2 million and is expected to be settled gradually over the estimated mine life, 6 years. These obligations will be funded from the Company’s resources upon local government’s fee payment requests.

(v) Foreign exchange loss(gain): During the year ended March 31, 2008, the Company recorded a foreign exchange loss of $0.6 million (2007 - gain $307) or $0.004 per share reflecting the impact of foreign currency transactions and integrated foreign operations.

The Company’s operating subsidiaries, Henan Found and Henan Huawei, are considered to be self-sustaining operations and the cumulative effects of foreign currency translations are reflected as part of accumulated comprehensive income (loss), a component of shareholders’ equity, and amounted to $4.0 million (2007 - $1.0 million) for the year ended March 31, 2008.

(vi) General exploration and property investigation expenses: During the year ended March 31, 2008, the Company incurred general exploration and property investigation expenses of $1.8 million (2007 - $0.8 million) representing an increase of 125% or $1.0 million as the Company actively pursues its strategy to grow through the exploration, development and production of advanced silver properties in China.

(vii) Investor relations: During the year ended March 31, 2008, the Company incurred investor relation costs of $0.3 million (2007 - $0.8 million) representing a decrease of 62% or $0.5 million as compared to the same period in the prior year. The decrease is mainly attributable to an increase in focused, efficient, and effective investor relation activities.

(viii) Office, administration and miscellaneous: During the year ended March 31, 2008, the Company incurred office, administration and miscellaneous expenses of $4.8 million (2007 - $2.3 million) representing an increase of $2.5 million or 111%. The increase is mainly attributable to further enhancements of the corporate and operating infrastructure to effectively manage the continual growth and increase of business activities.

(ix) Professional fees: During the year ended March 31, 2008, the Company incurred professional fees of $2.1 million (2007 - $0.5 million) a $1.7 million or 371% increase as compared to the same period in the prior year incurred for corporate governance and regulatory matters.

(x) Stock-based compensation expenses: During the year ended March 31, 2008, the Company recognized $2.5 million (2007 - $2.0 million) of non-cash stock-based compensation expenses for incentive stock options granted to directors, officers, employees, and consultants using the Black Scholes options pricing model, representing an increase of 26% or $0.5 million over the prior year as a result of new options granted during the year and the significant increase of the share price of the Company over the prior year.

(xi) Equity income in investment: During the year ended March 31, 2008, the Company recorded equity loss of $0.3 million (2007 - loss $0.2 million) and is solely attributed to the Company’s investment in NUX.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 9

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(xii) Interest income: During the year ended March 31, 2008, the Company recognized $2.6 million (2007 - $1.7 million) representing an increase of 51% or $0.9 million over the same period in the prior year. The increase is attributed to additional cash provided by operating activities through the Ying and HPG operations and higher interest rates earned on funds held on deposit.

1.5 Summary of Quarterly Results

		For the Quarters Ended
		(expressed in millions, except share and per share data)
		31-Mar-08		31-Dec-07		30-Sep-07		30-Jun-07
Sales	$	26.8	$	30.1	$	29.2	$	22.3
Gross Profit		20.2		24.2		23.2		17.4
Gains and other income		1.2		2.1		1.8		2.2
Net income		10.9		17.8		16.8		14.5
Basic earnings per share		0.07		0.12		0.11		0.10
Diluted earnings per share		0.07		0.12		0.11		0.10
Total assets		190.2		165.9		149.8		118.1
Total long term liabilities		7.6		3.5		3.4		3.1
Cash dividends paid		-		6.9		-		-
Cash dividends declared per share		-		-		0.05		-

		For the Quarters Ended
		31-Mar-07		31-Dec-06		30-Sep-06		30-Jun-06
Sales	$	13.4	$	13.0	$	9.5	$	3.9
Gross Profit		9.8		10.6		7.4		3.0
Gains and other income		2.3		1.4		0.8		0.8
Net income (loss)		6.9		8.2		4.8		2.1
Basic earnings (loss) per share		0.05		0.06		0.03		0.01
Diluted earnings (loss) per share		0.05		0.05		0.03		0.01
Total assets		94.2		78.3		68.6		62.2
Total long term liabilities		2.1		4.9		2.9		1.3
Cash dividends paid		-		-		-		-
Cash dividends declared per share		-		-		-		-

On October 21, 2007, the Company paid its first annual dividend of $0.05 (CAD$0.05) per share to all shareholders on record at the close of business on September 28, 2007. The total dividend payment of $6.9 million (CAD$7.4 million) is eligible for the enhanced federal and provincial dividend tax credits.

1.6 Liquidity and Capital Resources

(a) Working Capital

As at March 31, 2008, the Company had a working capital position of $69.5 million (March 31, 2007 -$54.3 million) comprised mainly of cash and cash equivalents of $47.1 million (March 31, 2007 - $53.3 million), short term investments of $37.1 million (March 31, 2007 - $5.4 million), accounts receivable and prepaids of $5.3 million (March 31, 2007 - $1.3 million), inventories of $2.4 million (March 31, 2007- $1.8 million), offset by current liabilities of $22.4 million (March 31, 2007 - $7.6 million).

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 10

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Working capital increased by $15.2 million since March 31, 2007 to $69.5 million, primarily as the result of the cash provided from the Ying Silver-Lead-Zinc and the HPG property operations.

(b) Cash and Cash Equivalents, and Short Term Investments

Cash and cash equivalents plus short term investments, as at March 31, 2008, increased by $25.5 million to $84.2 million (March 31, 2007 - $58.8 million). Short term investments are invested in high quality money market instruments.

During the year ended March 31, 2008, the Company’s cash and cash equivalents decreased by $6.2 million to $47.1 million (March 31, 2007 - $53.3 million) as a result of: cash provided by operating activities of $79.8 million (2007 - $30.1 million); cash used by investing activities of $92.0 million (2007 -$18.7 million) inclusive of the purchases of mineral rights and properties of $36.6 million (2007 - $11.8 million) and short term investments of $29.5 million (2007 – redemption $2.3 million); offset by cash provided by financing activities of $0.9 million (2007 - $39.1 million), and positive effect of exchange rate changes on cash of $5.1 million (2007 - negative effect $0.4 million).

The Company does not invest in any asset-backed commercial paper and therefore does not consider that it has any exposure to the current uncertainties in the marketplace.

(c) Operating Activities

During the year ended March 31, 2008, the Company’s net cash provided by operating activities of $79.8 million (2007 - $30.1 million) is comprised of: cash provided by net income of $59.9 million (2007 - $22.0 million); items not affecting cash of $20.9 million (2007 - $6.1 million); and, offset by the decrease in net changes of non-cash working capital of $1.1 million (2007 - increase of $2.0 million).

(d) Investing Activities

During the year ended March 31, 2008, the Company’s net cash used in investing activities of $92.0 million (2007 - $18.7 million) is comprised primarily of: $36.6 million (2007 - $11.8 million) for the purchase of mineral rights and properties; $7.5 million (2007 - $6.3 million) for the purchase of property, plant and equipment; $5.6 million (2007 - $2.0 million) for the purchase of long term investments; $29.5 million (2007 - redemption $2.3 million) for the purchase of short term investment; $3.4 million (2007 -$1.2 million) increase in long term prepaids; $3.3 million (2007 - $nil) distributed to a non-controlling subsidiary shareholder; and, $6.9 million (2007 - $nil) cash dividends distributed to shareholders of the Company.

(e) Financing Activities

During the year ended March 31, 2008, the Company’s net cash provided by financing activities of $0.9 million (2007 - $39.1 million) is comprised primarily of: proceeds of $2.3 million (2007 - $42.4 million) from share subscriptions; offset by repayment of $1.4 million (2007 - advance $1.6 million) to related parties, and shares returned to treasury for cancellation $nil (2007 - $4.9 million).

(f) Commitments, Contingencies, Contractual Obligations

The Company’s commitments, contingencies, and contractual obligations include:

(i)      During the 2007 fiscal year, Henan Found entered into a joint venture agreement, for a 22.5% participation interest, in a custom built 150,000-tonne/year lead-silver-gold smelter in Luoning County, Luoyang City, Henan Province, China. Henan Found's share, 22.5% of the cost, will be $6.4 million (RMB¥45 million) for the first phase and is expected to be financed by cash flow from its Ying Property.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 11

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

	On September 5, 2007, the joint venture agreement was amended with the incorporation of Luoyang Yongning Smelting Co. Ltd. (“Yongning”) to hold the smelter project. Under the amended joint venture agreement, Henan Found can earn 30% interest in Yongning by contributing $10.7 million (RMB¥75 million) of the total investment in Yongning of $35.7 million (RMB¥250 million) comprised of: $21.4 million (RMB¥150 million) towards the registered capital with the balance of $14.3 million (RMB¥100 million) for other capital expenditure investment, which is required to be contributed within one year after the issuance of the business license. On September 21, 2007, Yongning obtained approval from Chinese governmental authorities and the business license was issued.
	As at March 31, 2008, Henan Found fulfilled its registered capital requirement through a contribution of approximately $6.4 million (RMB¥45 million) (March 31, 2007 - $58,197 (RMB¥450,000)) to Yongning, with the remaining commitment of approximately $4.3 million (RMB¥30 million) due within one year from September 21, 2007. This investment is accounted for using the equity method. No equity income (loss) had been reported in fiscal year 2008
	As of March 31, 2008, the registered capital requirement of $21.4 million (RMB¥150 million) has been fully contributed by all the joint venture parties.
(ii)	In June 2007, the Company, through its wholly owned subsidiary, Fortress Mining Inc., entered into a joint venture contract with a Chinese party to form Qinghai Found Mining Company Ltd. ("Qinghai Found"), a Sino-foreign cooperate joint venture company, to explore and develop the Na-Bao silver- polymetalic Project (“Na-Bao Project”) in Qinghai Province, China. Under the joint venture contract, the Company will have an 82% interest in Qinghai Found by investing approximately $4.0 million by funding exploration and development. The Chinese party has an 18% interest in Qinghai Found in exchange for transferring the three Na-Bao permits to Qinghai Found.
	The Company also signed a letter of intent with the same Chinese party to jointly explore the XG silver polymetalic project (“XG Project”), which consists of two exploration permits (the XGE and XR Permits) owned by the Chinese party. With the establishment of Qinghai Found, the XG project permits will also be transferred to Qinghai Found in exchange for a cash payment to the Chinese party.
	The Na-Bao Project and XG Project are collectively referred to as the Qinghai Project and are subject to receive final approvals from regulatory authorities.
	In September 2007, a business license for Qinghai Found was issued upon approval by the Chinese governmental authorities. Transferring of the three Na-Bao permits into Qinghai Found from the Chinese party had been approved by Chinese military, related city and provincial authorities and subject to final approvals from the Ministry of Land and Resources of China.
(iii)	In October 2007, the Company’s 70% owned subsidiary, Henan Huawei, entered into agreements to acquire 100% interest in a LM Silver-Lead Mine (“LM Mine”), which has a mining permit located just southeast of the Ying silver project, through an acquisition of 100% interest of a private Chinese company for approximately $3.6 million. The Company also agreed to compensate another $3.6 million (RMB¥25 million) to the original shareholders of the private Chinese company for their previous work done on the LM Mine. As at March 31, a total of $6.5 million was paid and capitalized as the acquisition cost of mineral rights and properties.
(iv)	In December 2007, the Company’s 77.5% owned subsidiary, Henan Found, successfully concluded contracts to acquire 100% interest of the TLP Silver-Lead Mine (“TLP Mine”) by paying approximately $11.4 million (RMB¥80 million) plus assuming debts, obligations and winding down of certain leasing agreements.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 12

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

	The total acquisition cost of TLP Mine is estimated at $22 million (RMB¥157 million). As of March 31, 2008, a total of $17.7 million (RMB¥124.2 million) was paid and capitalized as the acquisition cost of mineral rights and properties.
	Following the anticipated resumption of TLP Mine operations, Silvercorp intends to carry out systematic underground drilling, tunneling, and mine development including sinking several declines and shafts. Exploration will be undertaken on all ten veins to define the resource while concurrently continuing mining operations. Silvercorp will also commission an independent NI43-101 geology and resource review on the TLP project.
(v)	In December 2007, Henan Found started the process of constructing a new 2,000 tonne per day (t/d) mill and associated tailings dam adjacent to its existing 1,000 t/d mill. Upon the new mill being completed by November 2008, the combined milling capacity will be 3,000 t/d to treat ores from the Ying, HPG, LM and TLP Mines, all located within approximately 15 km distance. The estimated capital cost for the new mill is approximately $12.0 million and will be funded from Henan Found's cash on hand.
(vi)	On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.
	On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at March 31, 2008, a total of $0.7 million of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.
(vii)	The Company’s leasehold obligation commitments total $962,617 over six years (years ending March 31, 2009: $254,670; 2010: $256,853; 2011: $256,853; 2012: $85,117; 2013: $87,299; and 2014: $21,825).
(viii)	The Company, on April 24, 2008, entered into a share purchase agreement with Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company, to acquire from Yangtze Gold all of the issued shares of Yangtze Mining Ltd. (“Yangtze Mining”). Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of the Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China.
	The purchase price for the shares of Yangtze Mining is approximately $60.27 million (CAD$61.95 million) and will be paid 40% in cash and 60% in common shares of the Company. The 40% cash portion will be payable as to 20% at closing and 20% plus interest at 5.5% on that amount from the date hereof payable when the Company receives its next dividend payment from its Chinese subsidiary Company, or within 3 months, whichever is earlier. The 60% common share portion of the purchase price will be payable by the issuance at the closing of 4,532,543 common shares of the Company at a price of CAD$8.20 per share, being the volume weighted average trading price of the shares of the Company during the 30 calendar days prior to the date of signing this agreement.
	On April 28, 2008, the Company paid a deposit of $1.97 million (CAD$2.0 million) to Yangtze Gold, which amount will be credited against the cash portion of the purchase price. The deposit is non- refundable unless a breach of certain representations and warranties by Yangtze Gold or that the Company’s financial advisor is unwilling or unable to deliver a written opinion that the transaction is fair from a financial point of view to the Company’s shareholders. On April 29, 2008 the Company advanced $2.7 million (RMB¥20 million) to Anhui Yangtze so that it can start the process of applying for a mining permit and carry out further exploration program, including drilling.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 13

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Dr. Rui Feng, Chairman and CEO of the Company, is a Director of Yangtze Gold, Yangtze Mining, and Anhui Yangtze, and Mr. J. Feng, a relative of Dr. Feng, controls Yangtze Gold. The transaction has been approved by the independent directors of the Company in accordance with applicable regulations. Closing of the transaction is subject to the Company’s due diligence, receipt of a fairness opinion, and approval by required regulatory authorities. Closing is expected to occur on or before June 8, 2008.

No other commitments to provide additional funds have been made by management or other stockholders.

There can be no assurance that any additional funds will be available to the Company to allow it to cover operating expenses and proposed operations. The Company has no other capital resources other than the ability to issue common stock to raise additional capital or receive funds on the exercise of warrants or options by the holders. The Company believes it has sufficient capital to meet its cash needs for the next 12 months, including the costs of compliance with the continuing reporting requirements.

(g) Available Sources of Funding

The Company does not have unlimited resources and its future capital requirements will depend on many factors, including, among others, cash flow from operations. To the extent that existing resources and the funds generated by future income are insufficient to fund the Company’s operations, the Company may need to raise additional funds through public or private debt or equity financing. If additional funds are raised through the issuance of equity securities, the percentage ownership of current shareholders will be reduced and such equity securities may have rights, preferences, or privileges senior to those of the holders of the Company’s common stock. No assurance can be given that additional financing will be available or that, if available, can be obtained on terms favourable to the Company and its shareholders. If adequate funds are not available, the Company may be required to delay, limit, or eliminate some or all of its proposed operations. The Company believes it has sufficient capital to meet its cash needs for the next 12 months, including the costs of compliance with the continuing reporting requirements.

1.7 Capital Resources

Item 1.6 provides further details.

1.8 Off-Balance Sheet Arrangements

The Company does not have any off-balance sheet arrangements.

1.9 Transaction with Related Parties

(a)	During they year ended March 31, 2008, the Company incurred:
	(i)	consulting fees of $270,695 (2007 - $152,599) payable to a company owned by an officer and director of the Company and to an officer of the Company;
	(ii)	legal fees of $nil (2007 - $76,974) payable to a law firm with a partner that is a director of the Company;
	(iii)	management fees of $202,449 (2007 - $126,047) payable to a company owned by an officer and director of the Company, and to an officer and director of the Company;

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 14

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

	(iv)	accounting fees of $498 (2007 - $77,346) payable to an accounting firm with a partner that is former officer of the Company;
	(v)	directors’ fees of $93,731 (2007 - $36,363); and,
	(vi)	expenses recovered of $302,100 (2007 - $321,931) from New Pacific Metals Corp. (“NUX”).
(b)	As at March 31, 2008, the related transaction balances included the following:
	(i)	$nil (March 31, 2007 - $34,478) due to a company controlled by a director of the Company for services provided;
	(ii)	$ nil (March 31, 2007 - $131,641) due to the joint venture partner of Henan Huawei;
	(iii)	$12,117,910 (March 31, 2007 - $nil) due to the joint venture partner of Henan Found for non- controlling interest distributable as Henan Found declared dividend during the year;
	(iv)	$12,014 (March 31, 2007 - $28,329) due from a company related by common control;
	(v)	$17,113 (March 31, 2007 - $nil) due from the joint venture partner of Qinghai Found;
	(vi)	$18,051 (March 31, 2007 - $nil) due from NUX for expenses incurred and recoverable under an inter-company services and cost allocation arrangement; and
	(vii)	$nil (March 31, 2007 - $1,195,129) due to NUX for funds advanced from NUX
		On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.
		On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at March 31, 2008, a total of $683,995 of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.

The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties. The balances with related parties are unsecured, non-interest bearing, and due on demand.

1.10 Fourth Quarter

(a) Financial Highlights

For the 4th quarter ended March 31, 2008 the Company recorded consolidated net earnings of $10.9 million or $0.07 (CAD$0.09) per share compared to $6.9 million or $0.05 (CAD$0.05) per share in the same quarter a year ago. Total gross profit increased by 106% to $20.2 million in the 4th quarter compared to the same period a year ago. Net cash provided by operating activities rose to $17.8 million in the 4th quarter, a 50% increase over the same period a year ago.

The 4th quarter is traditionally a slower quarter for the Company as the traditional Chinese Spring Festival normally occurs in January or February which resulted in the Company’s mining operations being shut down for two and one-half weeks. In addition, the Company’s production in this quarter was affected by the severe weather for about 15 days.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 15

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

The Company’s subsidiary, Henan Found Mining Company Ltd. (“Henan Found”), is now subject to 12.5% income tax rate until December 31, 2010. Based on Chinese GAAP, Henan Found has paid $1.3 million in tax in the 4th quarter ended March 31, 2008. A tax provision of approximately $1.9 million was provided for the 4th quarter ended March 31, 2008.

(b) Operation Highlights

The head grades of run of mine ores of 54,669 tonnes from the Ying Mine for the 4th quarter ended March 31, 2008 are:

• 488.9 gram/tonne for silver;
• 8.1% for lead; and,
• 3.8% for zinc, respectively.

The head grades of run of mine ores of 13,141 tonnes from the HPG Mine for the 4th quarter ended March 31, 2008, are:

• 198.9 gram/tonne for silver;
• 7.9% for lead; and,
• 1.1% for zinc, respectively.

Total sales and realized prices net of value added tax and smelter charges for the 4th quarter ended March 31, 2008, are comprised of the following:

• 1,000,534 ounces of silver sold for $12,897,563 at an average selling price of $12.89 per ounce;
• 461 ounces of gold sold for $226,746 at an average selling price of $491.86 per ounce;
• 11,697,714 pounds of lead sold for $12,405,860 at an average selling price of $1.06 per pound; and,
• 2,393,274 pounds of zinc sold for $1,314,410 at an average selling price of $0.55 per pound.

For the 4th quarter ended March 31, 2008, the cash production cost for silver adjusted for by-product credits is negative $7.50 (2007 - negative $8.56) per ounce.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 16

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(i) The following table summarizes the operating and financial data in respect to the Ying Mine and HPG Mine, on a consolidated basis.

Consolidated	Three months ended
	March 31, 2008		March 31, 2007
Production Data
Ores Mined (tonne)
Direct Smelting Ores (tonne)	3,169		2,018
Stockpiled Ores (tonne)	69,319		43,047
	72,488		45,065
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	3,169		2,018
Ores Milled (tonne)	64,641		45,065
	67,810		47,083
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	50.31		63.18
Milling Cost per tonne of ore milled ($)	12.10		18.00
Average Production Cost
Silver ($ per ounce)	3.18		3.15
Gold ($ per ounce)	121.32		91.48
Lead ($ per pound)	0.26		0.19
Zinc ($ per pound)	0.14		0.34
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(7.32	)	(7.76	)
Total cash cost per ounce of Silver ($)	(7.50	)	(8.56	)
Total Recovery of the Run of Mine Ores
Silver (%)	91.2		92.8
Lead (%)	95.9		97.1
Zinc (%)	73.5		74.4
Head Grades of Run of Mine Ores
Silver (gram/tonne)	429.2		502.1
Lead (%)	8.1		8.8
Zinc (%)	3.2		3.4
Purchased Ores Milled (tonne)	23,590		-
Head Grades of Purchased Ores Milled
Silver (gram/tonne)	276.1		-
Lead (%)	2.1		-
Sales Data
Metal Sales
Silver (ounce)	1,000,534		592,553
Gold (ounce)	461		73
Lead (pound)	11,697,714		8,371,480
Zinc (pound)	2,393,274		2,328,418
Metal Sales
Silver ($)	12,897,563		5,810,447
Gold ($)	226,746		20,655
Lead ($)	12,405,860		5,047,426
Zinc ($)	1,314,410		2,490,389
	26,844,579		13,368,917
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	12.89		9.81
Gold ($ per ounce)	491.86		284.43
Lead ($ per pound)	1.06		0.60
Zinc ($ per pound)	0.55		1.07

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 17

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(ii) The following table summarizes the operating and financial data in respect to the Ying Mine on a non-consolidated basis.

Ying Silver Property	Three months ended
	March 31, 2008		March 31, 2007
Production Data
Ores Mined (tonne)
Direct Smelting Ores (tonne)	2,673		2,018
Stockpiled Ores (tonne)	59,398		43,047
	62,071		45,065
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	2,673		2,018
Ores Milled (tonne)	51,996		43,047
	54,669		45,065
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	48.66		63.18
Milling Cost per tonne of ore milled ($)	10.57		18.00
Average Production Cost
Silver ($ per ounce)	3.23		3.15
Gold ($ per ounce)	133.21		91.48
Lead ($ per pound)	0.27		0.19
Zinc ($ per pound)	0.14		0.34
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(5.97	)	(7.76	)
Total cash cost per ounce of Silver ($)	(6.15	)	(9.11	)
Total Recovery of the Run of Mine Ores
Silver (%)	91.6		92.8
Lead (%)	96.0		97.1
Zinc (%)	73.2		74.4
Head Grades of Run of Mine Ores
Silver (gram/tonne)	488.9		502.1
Lead (%)	8.1		8.8
Zinc (%)	3.8		3.4
Purchased Ores Milled (tonne)	23,590		-
Head Grades of Purchased Ores Milled
Silver (gram/tonne)	276.1		-
Lead (%)	2.1		-
Sales Data
Metal Sales
Silver (ounce)	929,191		592,553
Gold (ounce)	94		73
Lead (pound)	9,596,113		8,371,480
Zinc (pound)	2,166,508		2,328,418
Metal Sales
Silver ($)	11,960,955		5,810,447
Gold ($)	49,877		20,655
Lead ($)	10,193,786		5,047,426
Zinc ($)	1,173,446		2,490,389
	23,378,064		13,368,917
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	12.87		9.81
Gold ($ per ounce)	530.61		284.43
Lead ($ per pound)	1.06		0.60
Zinc ($ per pound)	0.54		1.07

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 18

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(iii) The following table summarizes the operating and financial data in respect to the HPG Mine on a non-consolidated basis.

HPG Project	Three months ended
	March 31, 2008
Production Data
Ores Mined (tonne)
Direct Smelting Ores (tonne)	496
Stockpiled Ores (tonne)	9,921
	10,417
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	496
Ores Milled (tonne)	12,645
	13,141
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	60.17
Milling Cost per tonne of ore milled ($)	21.22
Average Production Cost
Silver ($ per ounce)	2.85
Gold ($ per ounce)	104.61
Lead ($ per pound)	0.23
Zinc ($ per pound)	0.13
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(24.91	)
Total cash cost per ounce of Silver ($)	(24.99	)
Total Recovery of the Run of Mine Ores
Silver (%)	86.9
Lead (%)	95.6
Zinc (%)	77.6
Head Grades of Run of Mine Ores
Silver (gram/tonne)	198.9
Lead (%)	7.9
Zinc (%)	1.1
Sales Data
Metal Sales
Silver (ounce)	71,343
Gold (ounce)	367
Lead (pound)	2,101,601
Zinc (pound)	226,766
Metal Sales
Silver ($)	936,608
Gold ($)	176,869
Lead ($)	2,212,074
Zinc ($)	140,964
	3,466,515
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	13.13
Gold ($ per ounce)	481.93
Lead ($ per pound)	1.05
Zinc ($ per pound)	0.62

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 19

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(c) Fourth Quarter Results - Three months ended March 31, 2008

(i) Highlights

During the 4th quarter ended March 31, 2008, gross profit from mine operations amounted to $20.2 million (2007 - $9.8 million) on a total sales of $26.8 million (2007 - $13.4 million), representing a gross margin of 75% (2007 - 73%). The net income realized was $10.9 million (2007 - $6.9 million) with a net profit margin of 40% (2007 - 51%). Both basic and diluted earnings per share increased by 40% to $0.07 (CAD$0.09) as compared to $0.05 (CAD$0.05) in the prior year period.

During the 4th quarter of 2008, the Company milled 23,590 tonnes of purchased ore with head grades of 276.1 gram/tonne (g/t) for silver and 2.1% for lead.

The Company continues to achieve industry leading low total production costs per ounce of silver. In the 4th quarter, the total production cost is negative $7.32 per ounce of silver after adjusting for by-product credits, compared to negative $7.76 per ounce in the same quarter a year ago.

For this quarter, a total of 72,488 (2007 - 45,065) tonnes of ores mined, from which 3,169 (2007 - 2,018) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 69,319 (2007 - 43,047) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $50.31 (2007 - $63.18) per tonne of ore and average milling cost is $12.10 (2007 - $18.00) per tonne of ore.

Net cash provided by operating activities rose to $17.8 million in the 4th quarter, a 50% increase over the same period a year ago, capital expenditures during the period amounted to $10.2 million representing the purchase of mineral rights and properties, resulting in cash and cash equivalents and short term investments of $84.2 million as of March 31, 2008.

(ii) Sales: During the three months ended March 31, 2008, the Company increased sales by 101% to $26.8 million (2007 - $13.4 million). This is primarily attributed to the Ying Silver Property 75% increase in sales to $23.4 (2007 - $13.4 million) and HPG property sales of $3.5 million (2007 - $nil).

(iii) Cost of sales: The total cost of sales, including milling costs, for the three months ended March 31, 2008 amounted to $6.6 million (2007 - $3.6 million), and are comprised of $6.5 million (2007 - $2.9 million) for the cash cost and $0.2 million (2007 - $0.7 million) for the depreciation charges.

(iv) Accretion of asset retirement obligations: For the three months ended March 31, 2008, the Company recognized $17,431 (2007 - $61,899) as accretion of asset retirement obligations. The Company’s assets retirement obligations related to the reclamation cost of Ying property and was calculated using a credit-adjusted risk-free discount rate of 6.0% . The total undiscounted amount of cash flows required to settle the obligations is estimated at approximately $1.2 million and is expected to be settled gradually over the estimated mine life, 6 years. These obligations will be funded from the Company’s resources upon local government’s fee payment requests.

(v) Foreign exchange loss(gain): During the three months ended March 31, 2008, the Company recorded a foreign exchange gain of $507,082 (2007 - loss $17,392).

The Company’s operating subsidiaries, Henan Found Mining Co. Ltd. (“Henan Found”) and Henan Huawei Mining Co. Ltd. (“Henan Huawei”), are considered to be self-sustaining operations and the cumulative effects of foreign currency translations are reflected as part of accumulated comprehensive income, a component of shareholders’ equity.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 20

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(vi) General exploration and property investigation expenses: During the three months ended March 31, 2008, the Company incurred general exploration and property investigation expenses of $1.0 million (2007 - $0.3 million) representing an increase of $0.8 million as the Company actively pursues its strategy to grow through the exploration, development and production of advanced silver properties in China.

(vii) Investor relations: During the three months ended March 31, 2008, the Company incurred investor relation costs of $69,018 (2007 - $0.4 million) representing a decrease of $0.3 million as compared to the same period in the prior year. The decrease is mainly attributable to an increase in focused, efficient, and effective investor relation activities.

(viii) Office, administration and miscellaneous: During the three months ended March 31, 2008, the Company incurred office, administration and miscellaneous expenses of $1.8 million (2007 - $0.6 million) representing an increase of $1.2 million or 195%. The increase is mainly attributable to further enhancements of the corporate and operating infrastructure to effectively manage the continual growth and increase of business activities.

(ix) Professional fees: During the three months ended March 31, 2008, the Company incurred professional fees of $1.5 million (2007 - $0.1 million) a $1.3 million or 986% increase as compared to the same period in the prior year and incurred for corporate governance and regulatory matters.

(x) Stock-based compensation expenses: During the three months ended March 31, 2008, the Company recognized $0.6 million (2007 - $0.5 million) of non-cash stock-based compensation expenses for incentive stock options granted to directors, officers, employees, and consultants using the Black Scholes options pricing model, representing an increase of 29% or $0.1 million over the same period in the prior year as a result of the increase in share price and options granted over the same period in the prior year.

(xi) Equity income in investment: During the three months ended March 31, 2008, the Company recorded equity loss of $78,483 (2007 - loss $0.2 million) and is solely attributed to the Company’s investment in NUX.

(xii) Interest income: During the three months ended March 31, 2008, the Company recognized $0.7 million of interest income (2007 - $0.4 million) representing an increase of 59% or $0.3 million over the same period in the prior year. The increase is attributed to additional cash provided by operating activities through the Ying and HPG operations and higher interest rates earned on funds held on deposit.

1.11 Proposed Transactions

There are no proposed assets or business acquisitions or dispositions, other than those in the ordinary course of business, before the board of directors for consideration.

1.12 Critical Accounting Estimates

A detailed summary of the Company’s significant accounting policies is included in Note 2 to the annual audited consolidated financial statements for the year ended March 31, 2008.

(a) Mineral rights and properties

Mineral rights and properties include the acquisition costs, direct exploration and development expenditures.

Upon commencement of commercial production, mineral properties and capitalized expenditures are amortized over the mine's estimated life using the units of production method calculated based on measured and indicated resources.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 21

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

The Company reviews the carrying value of each property that is in the exploration/development stage by reference to the project economics including the timing of the exploration and/or development work, the work programs and the exploration results experienced by the Company and others. The review of the carrying value of each producing property will be made by reference to the estimated future operating results and net cash flows. When the carrying value of a property exceeds its estimated net realizable amount, provision will be made for the decline in value. The carrying amount will be written off if the Company decides to abandon the property.

The recoverability of the amounts capitalized for the undeveloped mineral properties and deferred exploration costs is dependent upon the determination of economically recoverable ore resources, confirmation of the Company’s interest in the underlying mineral claims, the ability to obtain the necessary financing to complete their exploration and development and future profitable production or proceeds from the disposition thereof.

(b) Asset retirement obligations

Asset retirement obligations ("ARO") represent the estimated discounted net present value of statutory, contractual or other legal obligations relating to site reclamation and restoration costs that the Company will incur on the retirement of assets and abandonment of mine and exploration sites. ARO are added to the carrying value of mineral rights and properties as such expenditures are incurred and amortized against income over the useful life of the related asset. ARO are determined in compliance with recognized standards for site closure and mine reclamation established by governmental regulation.

Over the life of the asset, imputed interest on the ARO liability is charged to operations as accretion of asset retirement obligations on the consolidated statements of operations using the discount rate used to establish the ARO. The offset of accretion expense is added to the balance of the ARO.

Where information becomes available that indicates a recorded ARO is not sufficient to meet, or exceeds, anticipated obligations, the obligation is adjusted accordingly and added to, or deducted from, the ARO.

(c) Income taxes

The Company uses the liability method of accounting for income taxes. Future income taxes are recognized for the future income tax consequences attributable to differences between the carrying values of assets and liabilities and their respective income tax bases on the balance sheet date. Future income tax assets and liabilities are measured using substantively enacted income tax rates expected to apply in the years in which temporary differences are expected to be recovered or settled. The effect on future tax assets and liabilities of a change in substantively enacted rates is included in operations. A future income tax asset is recorded when the probability of the realization is more likely than not.

(d) Stock-based compensation

The Company accounts for stock options using the fair value method. Under this method, compensation expense for stock options granted to employees, officers, and directors is measured at fair value at the date of the grant using the Black-Scholes valuation model and is expensed in the consolidated statements of operations over the vesting period of the options granted. Stock options granted to consultants are measured at their fair value using the Black-Scholes valuation method.

Upon the exercise of the stock option, consideration received and the related amount transferred from contributed surplus are recorded as share capital.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 22

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

1.13 Adoption of Accounting Policies

The significant accounting policies that have been adopted by the Company, for the fiscal year ended March 31, 2008, are disclosed in the annual audited financial statements.

(a) Financial Instrument Standards

On April 1, 2007, the Company prospectively adopted the recommendations included in the following Sections of the Canadian Institute of Chartered Accountants Handbook: Section 1530, “Comprehensive Income”; Section 3855, “Financial Instruments - Recognition and Measurement”; Section 3865, “Hedges”; Section 3861, “Financial Instruments – Disclosure and Presentation”, and Section 3251, “Equity”. As we have not previously undertaken hedging activities, adoption of Section 3865 currently has no impact on us. Section 3855 prescribes when a financial asset, financial liability or non-financial derivative is to be recognized on the balance sheet and at what amount, requiring fair value or cost-based measures under different circumstances. Under Section 3855, financial instruments must be classified into one of five categories: held-for-trading, held-to-maturity, loans and receivab les, available-for-sale financial assets or other financial liabilities. Held-for-trading financial assets and financial liabilities are financial assets and financial liabilities which are acquired for resale prior to maturity or are financial assets and liabilities designated as such by the Company. Held-to-maturity financial assets are non-derivative financial assets with a fixed maturity which the Company intends to hold until maturity. Available-for-sale financial assets are those non-derivative financial assets which are so designated by the Company or that do not fall into another category.

CICA 3855 requires that all financial assets, except those classified as held to maturity, and loans and receivables, must be measured at fair value. All financial liabilities must be measured at fair value when they are classified as held-for trading; otherwise, they are measured at amortized cost. Investments classified as available-for-sale are reported at fair market value based on quoted market prices or at cost if a market value of equity instruments is not available, with unrealized gains or losses excluded from earnings and reported as other comprehensive income or loss. Those instruments classified as held-for-trading have gains or losses included in earnings in the period in which they arise.

Comprehensive income is the change in our net assets that results from transactions, events and circumstances from sources other than our shareholders and includes items that would not normally be included in net earnings such as unrealized gains or losses on available-for-sale investments. Other comprehensive income includes the holding gains and losses from available-for-sale securities which are not included in net income (loss) until realized and foreign currency translation gains or losses arising form the translation of the Company’s self-sustaining foreign operations and the translation of the Company’s accounts into its reporting currency.

The Company has made the following classifications:

• Cash and cash equivalent, which includes high liquid term deposits and bank notes, and short term investments are classified as held-for-trading financial assets and measured at fair value.
• Accounts receivables are classified as loans and receivables and are initially measured at fair value. Subsequent measurements are recorded at amortized cost using the effective interest method.
• The long term investment in the common shares of Dajin Resources Corp. is classified as available- for-sale securities. Available for sale securities are initially recorded at cost, which upon their initial measurement is equal to their fair value by reference to market price. Subsequent changes in the market value of securities are recorded as changes to other comprehensive income (loss). The investments in New Pacific Metals Corp. and Luoyang Yongning Smelting Co. Ltd. are excluded from Section 3855 as they are accounted for using the equity method.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 23

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

• Accounts payable and accrued liabilities and deposits received from customers are classified as other financial liabilities. They are initially measured at their fair value and subsequently measured at amortized costs using the effective interest rate method. Amortized premium or discount is charged to the statements of operations.

Transaction costs are included in the initial carrying amount of financial instruments except for held-for-trading items in which case they are expensed as incurred.

Section 3855 also requires that the embedded derivatives be identified and separated from the related host contract and be measured at fair value. Subsequent changes in fair value of embedded derivatives are recognized in the consolidated statement of operations in the period the change occurs.

Upon the adoption of these new standards as at April 1, 2007, the Company remeasured its financial assets and liabilities. The investment in Dajin Resources Corp. was classified as available for sale securities and its carrying value was adjusted to $225,518 with a credit of $8,674 to the opening accumulated other comprehensive income. The cumulative foreign translation adjustment of $479,795 for the year ended March 31, 2007 was reclassified as a component of accumulated other comprehensive loss. The adoption of these new standards has no impact on the Company’s cash flow.

(b) Accounting Changes

On April 1, 2007, the Company adopted the CICA revised Section 1506, “Accounting Changes”, which requires that: (a) a voluntary change in accounting principles can be made if, and only if, it is required by a primary source of GAAP, or the changes result in more reliable and relevant information, (b) changes in accounting policies are accompanied with disclosures of prior period amounts and justification for the change, and (c) for changes in estimates, the nature and amount of the change should be disclosed. The adoption of this standard has no impact on the Company’s consolidation financial statements.

(c) Future Changes in Accounting Policies

(i) Financial Instrument Standards

In December 2006, the CICA issued Section 3862, “Financial Instruments - Disclosure” and Section 3863 “Financial Instruments - Presentation” to replace 3861 “Financial Instruments - Disclosure and Presentation”. These new sections are effective for interim and annual financial statements of the Company’s reporting period beginning on April 1, 2008. The Company is currently evaluating the impact of the adoption of these new standards on its consolidated financial statements.

(ii) Inventories

In June 2007, CICA issued Handbook Section 3031 “Inventories” which replaces Section 3030 “Inventories”. Under the new section, inventories are required to be measured at the “lower of cost and net realizable value”, which is different from the existing guidance of the “lower of cost and market”. The new section contains guidance on the determination of cost and also requires the reversal of any write-downs previously recognized. Certain minimum disclosures are required, including the accounting policies used, carrying amounts, amounts recognized as an expense, write-downs, and the amount of any reversal of any write-downs recognized as a reduction in expenses. The new standard will become effective on April 1, 2008 for the Company. The Company is currently evaluating the impact of the adoption of this new section on the consolidated financial statements.

(iii) Capital Disclosures

As of April 1, 2008, the Company will be required to adopt CICA Section 1535 “Capital Disclosures”, which requires companies to disclose their objectives, policies and processes for managing capital.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 24

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

In addition, disclosures are to include whether companies have complied with externally imposed capital requirements. The new capital disclosure requirements were issued in December 2006 and the Company is assessing the impact on its consolidated financial statements.

(iv) Convergence with IFRS

In January 2006, CICA Accounting Standards Board (“AcSB”) adopted a strategic plan for the direction of accounting standards in Canada. As part of that plan, accounting standards in Canada for public companies are expected to converge with International Financial Reporting Standards (“IFRS”) for accounting periods commencing on or after January 1, 2011. The Company continues to monitor and assess the impact of convergence of Canadian GAAP and IFRS.

(v) Goodwill and Intangible Assets

In February 2008, the CICA issued Section 3064, “Goodwill and Intangible Assets”, which replaces Section 3062, “Goodwill and Other Intangible Assets” and Section 3450, “Research and Development Costs”. Various changes have been made to other sections of the CICA Handbook for consistency purposes. Section 3064 establishes standards for the recognition, measurement, presentation and disclosure of goodwill subsequent to its initial recognition and of intangible assets. The new Section will be applicable to the Company’s consolidated financial statements for its fiscal year beginning April 1, 2009. The Company is currently evaluating the impact of the adoption of this new Section on its consolidated financial statements.

1.14 Financial Instruments and Other Instruments

(a) Fair value

The fair values of the Company’s cash and cash equivalents, short term investments, accounts receivables, accounts payable and accrued liabilities, deposits received from customers, and amount due to related parties are estimated to approximate their carrying values as they are short term in nature. The fair value of the long term investments is reported based on quoted market prices or estimated using the standard financial valuation model, if a market value is not available.

(b) Exchange risk

The Company undertakes transactions denominated in foreign currencies and as such is exposed to risk due to fluctuations in foreign exchange rates.

The Company conducts its operations in Chinese Yuan and thereby the majority of the Company’s assets, liabilities, revenues and expenses are denominated in RMB¥, which was tied to the U.S. Dollar until July 2005 and is now tied to a basket of currencies of China’s largest trading partners. The RMB¥ is not a freely convertible currency.

As at March 31, 2008, approximately $48.3 million (March 31, 2007 - approximately $18.6 million) of cash and cash equivalents and short term investments were held in RMB¥.

(c) Interest rate risk

The Company has no interest-bearing debt and so is not exposed to interest rate risk.

(d) Credit risk

The Company is exposed to credit risk with respect to accounts receivable from customers.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 25

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

The Company undertakes credit evaluations on customers as necessary and has monitoring processes intended to mitigate credit risks. The Company has accounts receivable from clients primarily in China engaged in the mining and milling of base and polymetallic metals industry.

The Company is exposed to credit risk with respect to cash equivalents and accounts receivable. The carrying amount of assets included on the balance sheet represents the maximum credit exposure.

The cash equivalents consist mainly of short-term investments, such as money market deposits. None of the cash equivalents were in asset backed commercial papers. The Company has deposits of cash equivalents that meet minimum requirements for quality and liquidity as stipulated by the Company’s Board of Directors. Management believes the risk of loss to be remote.

The mining industry in China may be affected by economic factors that may impact accounts receivable. Management does not believe that the mining industry or geographic region within China represents a significant credit risk.

(e) Commodity price risk

The Company is subject to price risk from fluctuations in market prices of commodities, and the Company has elected not to actively manage the exposure to the commodity price risk at this time.

1.15 Other MD&A Requirements

1.15.1 Additional Information in relation to the Company

Additional information relating to the Company:

(a)	may be found on SEDAR at www.sedar.com;
(b)	may be found at the Company’s web-site www.silvercorp.ca;
(c)	may be found in the Company’s annual information form; and,
(d)	is also provided in the Company’s annual audited consolidated financial statements for the years ended March 31, 2008 and 2007.

1.15.2 Outstanding Share Data

As at the date of this report, the following securities were outstanding:

(a) Share Capital

Authorized - unlimited number of common shares without par value
Issued and outstanding - 149,416,476 common shares with a recorded value of $78,334,543.
Shares subject to escrow or pooling agreements - nil

(b) Warrants

As at the date of this report, outstanding share purchase warrants are comprised of the following:

Number of		Exercise
Warrant Shares		Price (CAD$)	Expiry Date
3,742,119	$	8.00	October 26, 2008
3,742,119

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 26

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(c) Options

As at the date of this report, the outstanding options are comprised of the following:

Exercise Price
Number of Options	(CAD$)	Expiry Date
31,875	0.75	June 6, 2008
990,000	0.18	October 24, 2009
450,000	0.63	February 28, 2010
432,399	4.32	July 23, 2011
54,708	4.47	August 14, 2011
216,999	4.43	August 28, 2011
780,204	6.74	April 10, 2012
135,000	6.95	October 1, 2012
143,500	9.05	January 16, 2013
50,000	7.54	May 13, 2013
3,284,685

1.16 Controls and Procedures

(a) Design and Operation of Disclosure Controls and Procedures

Management, including the Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the design and operation of the Company’s disclosure controls and procedures as at March 31, 2008. Based on this evaluation, the Chief Executive Officer and Chief Financial Officer have concluded that the Company’s disclosure controls and procedures, as defined in Multilateral Instrument 52-109 - Certification of Disclosure in Issuers’ Annual and Interim Filings, are effective to ensure that information required to be disclosed in reports filed or submitted by the Company under Canadian securities legislation is recorded, processed, summarized and reported within the time periods specified in those rules.

There were no significant changes in the Company’s internal controls or in other factors that could significantly affect these controls subsequent to the date the Chief Executive Officer completed his evaluation, nor were there any significant deficiencies of material weaknesses in the Company’s internal controls requiring corrective actions.

(b) Internal Controls over Financial Reporting

The Company’s management, with the participation of its Chief Executive Officer and Chief Financial Officer, are responsible for establishing and maintaining adequate internal control over financial reporting. Under the supervisions of the Chief Financial Officer, the Company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles (“GAAP”). The Company’s controls include policies and procedures that:

• pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company;
• provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with GAAP; and,
• provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the annual financial statements or interim financial statements.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 27

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

The Company has a limited number of staff and it is not always possible to achieve a complete segregation of incompatible duties. Management attempts to mitigate the risk of any material misstatement occurring through compensating controls and the “hands-on” involvement and knowledge of the senior management, however, a control system, no matter how well designed and functioning, can only provide reasonable, not absolute assurance the objectives of the control system are met. Management noted some areas that need improvement in the financial reporting process during a review and evaluation of the effectiveness of its internal controls over financial reporting of the Company’s operations in China.

There has been no change in the Company’s internal control over financial reporting during the Company’s year ended March 31, 2008 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

(c) Limitations of Controls and Procedures

The Company’s management, including the Chief Executive Officer and Chief Financial Officer, believe that any disclosure controls and procedures or internal controls over financial reporting, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, they cannot provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been prevented or detected. These inherent limitations include the realities that judgments in decision-making can be faulty, and that breakdowns can occur because of simple error or mistake. Additionally, controls can be circumvented by the ind ividual acts of some persons, by collusion of two or more people, or by unauthorized override of the control. The design of any systems of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Accordingly, because of the inherent limitations in a cost effective control system, misstatements due to error or fraud may occur and not be detected.

(d) Corporate Governance

Under National Instrument 58-101, the Company has adopted the following Corporate Governance Practices:

(i) Supervision by the Board

The Board of Directors facilities its exercise of independent supervision over the Company’s management through frequent meetings of the Board. During the fiscal year ended March 31, 2008, the Board of Directors acted by consent resolutions on 19 (2007 - 19) occasions and by meeting(s) on 3 (2007 - 1) occasion(s). With the Company’s assets located primarily in China, the CEO, COO, and one non-executive director spend considerable time in China, resulting in difficulty scheduling regular face to face meetings. Therefore, Board decisions are often carried out by telephone consensus and then formalized by consent resolutions.

The independent directors are encouraged to hold meetings at which non-independent directors and members of management are not in attendance on an ad hoc basis.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 28

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(ii) Participation of Directors in Board Meetings

For the financial year ended March 31, 2008, 3 (2007 - 1) Board meeting(s) were held. The table below shows the attendance record of each director for the Board meeting(s).

Name of Director	Number of Board Meeting(s) Attended in The Most Recently Completed Financial Year(s) Ended March 31,
	2008	2007
Dr. Rui Feng, Director, Chairman & CEO	3 out of 3	1 out of 1
Myles Gao, Director, President & COO	2 out of 3	1 out of 1
Yikang Liu, Director	3 out of 3	1 out of 1
Earl Drake, Director	3 out of 3	1 out of 1
Paul Simpson, Director	3 out of 3	1 out of 1
Greg Hall, Director	3 out of 3	1 out of 1

(iii) Position Descriptions for the CEO, Chair of the Board, Directors and Committee Chairs

Written position descriptions for the CEO, Chair of the Board, Directors and Committee Chairs have been approved by the Corporate Governance and Nominating Committee and have been recommended to the Board of Directors for approval.

(iv) Nomination of Directors

The Board of Directors is responsible for recommending candidates for nomination to the Board and its committees. The Corporate Governance Committee, which is composed entirely of independent directors, assisted the Board by identifying and recommending to the Board suitable candidates for nomination as new directors.

New nominees must have one or more of the following attributes: a track record in general business management, particularly with public companies; special expertise in an area of strategic interest to the Company; and financial literacy, together with the ability to devote the required time, show support to the Company’s mission and objectives, and a willingness to serve.

The Board of Directors is composed of individuals who will best serve the interest of the Company and assist management in achieving the Company’s goals. Members of the Board and representatives of the mining industry are often consulted for potential candidates.

(v) Assessment

The Corporate Governance Committee and the Board annually, and at such other times as they deem fit, monitors the adequacy of information given to directors, communications between the Board and management and the strategic direction and processes of the Board & its committees. As part of the assessments, the Board and/or the committees may review their respective charter, and conduct reviews of applicable corporate policies.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 29

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the year ended March 31, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(e) Directors and Officers

As at the date of this report, the Company’s Directors and Officers are as follows:

Directors	Officers
Dr. Rui Feng, Director, Chairman & CEO	Dr. Rui Feng, Director, Chairman & CEO
Myles J. Gao, Director, President & COO	Myles J. Gao, Director, President & COO
Yikang Liu, Director	Grace Soo, Chief Financial Officer
Earl Drake, Director	Lorne Waldman, Corporate Secretary
Paul Simpson, Director	Michael Hibbitts, Vice President, Operations
Greg Hall, Director	Shaoyang Shen, General Manager, China Operations

1.17 Outlook

The Company is well positioned to grow through consolidating the fragmented primary silver sector in China, starting with its foot-hold in Henan Province. With the encouragement of local county government, the Company, through its acquisition of the LM and TLP Silver-Lead Mines, is consolidating the silver, lead, and zinc mines and exploration properties in the Ying/HPG Silver Mining camp, providing a solid base from which to significantly expand resources and growth potential.

Through consolidation of the Ying Mining Camp over the last six months, the Company is now operating four mines at the Ying Camp and is increasing its mill throughput to 3,000 tonnes per day from its current throughput of 1,300 tonnes per day. With the recently announced acquisition of the Gaocheng (“GC”) and Shimentou (“SMT”) properties in Guangdong Province, Silvercorp expects to realize the benefits of growth in resources and near term production from a new mining camp in a different province. It also establishes a new base for further consolidation of the prolific GC silver, lead, zinc mining district.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 30

EX-99.3

Exhibit 99.3

ANNUAL INFORMATION FORM

For the year ended March 31, 2008

Dated as at June 19, 2008

SILVERCORP METALS INC.

Suite 1378 - 200 Granville Street
Vancouver, BC, Canada V6C 1S4
Tel: (604) 669-9397
Fax: (604) 669-9387
Email: corp@silvercorp.ca
Website: www.silvercorp.ca

50614971.3

TABLE OF CONTENTS

ITEM 1: GENERAL		1
1.1	DOCUMENTS INCORPORATED BY REFERENCE	1
1.2	DATE OF INFORMATION	1
1.3	FORWARD LOOKING STATEMENTS	1
1.4	CURRENCY	2
ITEM 2: CORPORATE STRUCTURE		2
2.1	NAMES, ADDRESS AND INCORPORATION	2
2.2	INTERCORPORATE RELATIONSHIPS	3
ITEM 3: GENERAL DEVELOPMENT OF THE BUSINESS		4
3.1	THREE YEAR HISTORY	4
3.2	SIGNIFICANT ACQUISITIONS	11
ITEM 4: DESCRIPTION OF THE BUSINESS		12
4.1	GENERAL	12
4.2	CHINESE MINING LAW	12
4.3	RISK FACTORS	12
ITEM 5: MINERAL PROPERTIES		18
5.1	TECHNICAL REPORT	20
5.2	PROPERTY DESCRIPTION AND LOCATION	21
5.3	ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY	26
5.4	HISTORY	26
5.5	REGIONAL GEOLOGY	28
5.6	PROPERTY GEOLOGY	29
5.7	DEPOSIT TYPE	29
5.8	MINERALIZATION AND ALTERATION	30
5.9	VEIN STRUCTURE	31
5.10	MINERALOGY	33
5.11	EXPLORATION WORK	39
5.12	RECONNAISSANCE EXPLORATION IN NEW AREAS ON THE YING PROJECT	40
5.13	TUNNELLING AND DRILLING	41
5.14	SAMPLING METHOD AND APPROACH	45
5.15	SAMPLE PREPARATION, ANALYSES AND SECURITY	45
5.16	DATA VERIFICATION	46
5.17	ADJACENT PROPERTIES	47
5.18	MINERAL PROCESSING AND METALLURGY	47
5.19	SPECIFIC GRAVITY	48
5.20	MINERAL RESOURCE ESTIMATES	48
5.21	RESOURCE DATA	53
5.22	RESOURCE GEOLOGY	53
5.23	RESOURCE ESTIMATES	54
ITEM 6: OTHER RELEVANT DATA AND INFORMATION		67
ITEM 7: INTERPRETATION AND CONCLUSIONS		68
ITEM 8: RECOMMENDATIONS		69
ITEM 9: DIVIDENDS		70
ITEM 10: DESCRIPTION OF CAPITAL STRUCTURE		70
10.1	GENERAL DESCRIPTION OF CAPITAL STRUCTURE	70
10.2	CONSTRAINTS	71

50614971.3 i

10.3	RATINGS	71
ITEM 11: MARKET FOR SECURITIES		71
ITEM 12: ESCROWED SECURITIES		72
ITEM 13: DIRECTORS & OFFICERS		72
13.1	NAME, OCCUPATION AND SECURITY HOLDING	72
13.2	CEASE TRADE ORDERS, BANKRUPTCIES, PENALTIES OR SANCTIONS	74
13.3	CONFLICTS OF INTEREST	75
ITEM 14: AUDIT COMMITTEE		75
ITEM 15: LEGAL PROCEEDINGS		77
ITEM 16: INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS		77
ITEM 17: TRANSFER AGENTS AND REGISTRARS		78
ITEM 18: MATERIAL CONTRACTS		78
ITEM 19: INTERESTS OF EXPERTS		78
19.1	NAMES OF EXPERTS	78
19.2	INTERESTS OF EXPERTS	79
ITEM 20: ADDITIONAL INFORMATION		79
ITEM 21: SCHEDULE “1”		80

50614971.3 ii

ITEM 1: GENERAL

1.1 Documents Incorporated by Reference

This Annual Information Form is prepared in the form prescribed by National Instrument 51-102F2 of the Canadian Securities Administrators and is hereby filed with the British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick and Manitoba Securities Commissions, Saskatchewan Financial Services Commission and the Toronto Stock Exchange (the “TSX”). The TSX approved the listing of the common shares of Silvercorp Metals Inc. (the “Company”) on the TSX effective October 24, 2005, at which time the shares of the Company were delisted from the TSX Venture Exchange (the “TSX-V”).

1.2 Date of Information

All information in this AIF is as of June 19, 2008 unless otherwise indicated.

1.3 Forward Looking Statements

Statements in this AIF other than purely factual historical information, including statements relating to mineral resources and reserves, or the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on the beliefs of management, as well as numerous assumptions made by management and the information currently available to the Company, and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration and development in China. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. As a result, actual results may vary materially from those described in the forward-looking statements.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "anticipate", "continue", "estimate", "expect", "plan", "intend", "may", "will", "project", "should", "believe" and similar expressions are intended to identify forward-looking statements.

These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Company believes that the expectations reflected in those forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in, or incorporated by reference into, this AIF should not be unduly relied upon. Further, these statements speak only as of the date of this AIF or as of the date specified in the documents incorporated by reference into this AIF, as the case may be. Important factors are identified in this AIF under the heading “Item 4.2 - Risk Factors”. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from tho se described. The Company does not assume and undertakes no obligation to update any forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements.

50614971.3

1.4 Currency

All sums of money which are referred to herein are expressed in lawful money of the United States, unless otherwise specified.

ITEM 2: CORPORATE STRUCTURE

2.1 Names, Address and Incorporation

The Company was formed as Spokane Resources Ltd. pursuant to an amalgamation of Julia Resources Corporation and MacNeill International Industries Inc., under the British Columbia Company Act, on October 31, 1991. By special resolution dated October 5, 2000 Spokane Resources Ltd. consolidated its share capital on a ten old for one new basis and altered its Memorandum and Articles of Incorporation by changing its name to SKN Resources Ltd. At the Company’s Annual and Special General Meeting held October 20, 2004, the shareholders:

(a)	approved an increase to the Company’s authorized capital to an unlimited number of common shares and adopted a new set of Articles which is consistent with the provisions of the Business Corporations Act (British Columbia), including the reduction of the majority required to pass a special resolution from 75% to 66T%; and
(b)	passed a special resolution to change the Company’s name to a name to be determined by the directors of the Company. On May 2, 2005, the Company filed a Notice of Alteration with the Registrar of Companies changing its name from ‘SKN Resources Ltd.’ to ‘Silvercorp Metals Inc.’.

The head office, principal address and registered and records office of the Company is located at 1378-200 Granville Street, Vancouver, British Columbia, V6C 1S4. The Company is listed on the TSX under the symbol “SVM”, and is a reporting issuer in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Nova Scotia and New Brunswick.

50614971.3

2

2.2 Intercorporate Relationships

The corporate structure of the Company and its material subsidiaries as at the date of this AIF is as follows:

The Company, through its subsidiaries has acquired a number of mineral property interests in China during the past three years. Each property interest is held through a separate subsidiary company, all of which are incorporated in the British Virgin Islands (“BVI”) as International Business Corporations under the British Virgin Islands International Business Companies Act (Cap. 291).

The Company is the sole shareholder of Fortune Mining Limited, which was incorporated on August 23, 2002, to be the holding company of a series of BVI subsidiaries which are parties to mineral property agreements in China. The following material BVI subsidiary companies are all held 100% by Fortune Mining Limited:

(a)	Victor Mining Ltd. was incorporated on October 23, 2003 and is a party to a cooperative agreement under which it earned its full 77.5% interest in Henan Found Mining Co. Ltd., the Chinese company holding (i) the Ying Silver-Lead Zinc Project (the “Ying Project”); (ii) the TLP Project, (iii) the NZ Project, and (iv) the Luoyang Smelter in the Henan Province.
(b)	Victor Resources Ltd. was incorporated on May 30, 2003 and is a party to a cooperative agreement under which it earned its full 70% interest in Henan Huawei Mining Co. Ltd., the Chinese company holding the Hou Ping Gou Project (the “HPG Project”) and the Long Men Project (the “LM Project”), Henan Province.

50614971.3

3

(c)	Fortress Mining Inc. was incorporated on February 26, 2003 and is a party to a cooperative agreement under which it can earn up to an 82% interest in Qinghai Found Mining Co. Ltd., the Chinese company holding the Na-Bao Project (the “Na-Bao Project”) in the Qinghai Province.
(d)	Yangtze Mining Ltd. was incorporated on February 11, 2002 and holds a 95% interest in Anhui Yangtze Mining Co. Ltd. the Chinese company holding exploration rights on the Gaocheng (“GC”) and Shi Men Tou (“SMT”) projects in the Guangdong Province.

See “Item 3: General Development of the Business” below for details as to the Company's projects.

ITEM 3: GENERAL DEVELOPMENT OF THE BUSINESS

3.1 Three Year History

Project Development

The Company has evolved from a mineral exploration company engaged in the acquisition and exploration of mineral properties, specifically properties in China with the potential to host silver and base metal deposits, to a Company producing silver, lead and zinc.

During the last three years, the Company has been very active in acquiring property interests in China through its BVI subsidiaries. With the acquisition of the mining permits for the NZ, HPG, LM, and TLP Projects, the Company has five mining permits in Henan.

Currently, the Company’s mining operations occur at its Ying, HPG, TLP and LM Projects, located in the Henan Province, China. It has exploration ongoing at the Na-Bao Project located in the Qinghai Province, and is seeking a mining permit at the GC and SMT Projects in the Guangdong Province, China.

Henan Found Mining Co. Ltd.

Ying Project

On April 12, 2004, the Company, through its wholly owned subsidiary, Victor Mining Ltd. entered into a formal cooperative joint venture contract with Henan Non-Ferrous Geological and Mineral Resources Co. Ltd. (“HGMR”) to acquire up to a 77.5% interest in the five exploration permits comprising the Ying Project, located in Henan Province, China by making capital contributions of US$3,670,000 over three years to Henan Found Mining Co. Ltd. (“Henan Found”), the joint venture company set up to hold the permits, for a 55% interest in Henan Found and an additional US$1,500,000 to HGMR over a period of three years for another 22.5% interest in Henan Found. These payments were made and the Company earned its full 77.5% interest in Henan Found and thereby in the Ying Project.

On March 30, 2006, the Company announced that Henan Found received a mining permit issued by the Department of Land and Resources of Henan Province, covering 9,945 square kilometres (“km²”) of the SGX area within the Ying Project, where the major exploration effort by the Company has been focused. The permit was issued on the terms applied for, and allows operation of a 198,000 tonne per year underground mine within the permit area to produce silver, lead and zinc ores. The production rate can be increased in the future through amending the existing mining permit when expected resource estimates have been filed with the Department of Land and Resources of Henan.

50614971.3

4

Upon receiving its mining permit on March 30, 2006, the Company switched its focus at the Ying Property from exploration and development to gradual ramping up to achieve a full mining operation. Mine development and mill construction are financed by cash flow from the operations of the Ying Property. The Ying Property is the major revenue and profit contributor of the Company.

Based on an update of the mineral resources on the Ying and HPG Projects in the NI 43-101 Technical Update Report dated August 16, 2007 prepared by BK Exploration Associates (Chris Broili, C.P. Geo & L.P. Geo. and Mel Klohn, L.P. Geo., both independent Qualified Persons) (the “Ying and HPG Report”), the estimated resource (measured plus indicated) is 30% greater than the resource reporting in the previous estimation (the 2006 Report by Broili, et. al.).

At the Ying mine, the newly built mill has an operating capacity of 1,000 tonnes per day (“t/d”). The custom built 300-tonne loading capacity barge is operating smoothly.

In December 2007, Henan Found started the process of constructing a new 2,000 t/d mill and associated tailings dam adjacent to its existing 1,000 t/d mill. Upon the new mill being completed, which is expected by November 2008, the combined milling capacity is expected to be 3,000 t/d to treat ores from the Ying and HPG Projects, as well as the recently acquired LM and TLP Projects, all located within approximately 15 kilometres distance. The estimated capital cost for the new mill is approximately US$12 million. Government approvals are required for the new mill.

When the new mill is operational the total annual milling capacity is expected to be approximately 600,000 tonnes for fiscal 2009 (April 1, 2008 to March 31, 2009) and one million tonnes for fiscal 2010 (April 1, 2009 to March 31, 2010) and beyond, compared to a current capacity of approximately 350,000 tonnes.

Under its preliminary mining plan, Silvercorp is expected to produce a total of 500,000 tonnes of ore in its 2009 fiscal year, including 250,000 tonnes of ore from the Ying Project, 100,000 tonnes of ore from the HPG Project, 120,000 tonnes from the TLP Project, and 30,000 tonnes from the LM Project. Further growth of mining capacity is anticipated for fiscal 2010 from increased production at the TLP Project. Production is expected to increase to 700,000 tonnes of ore in Silvercorp’s 2010 fiscal year, including 250,000 tonnes of ore from the Ying Project, 100,000 tonnes of ore from the HPG Project, 300,000 tonnes from the TLP Project and 50,000 tonnes from the LM Project.

TLP Project

On December 4, 2007, the Company announced that it had, through its 77.5% owned joint venture company, Henan Found, agreed to acquire a 100% interest in the silver-lead TLP Project, which operates under a mining permit that covers an area of 3.07 square kilometres and is located 9.5 kilometres east of the SGX mine of the Ying Project and borders the LM Project to the south.

NZ Project

In November, 2006, the Company, through its 77.5% owned Chinese subsidiary company, Henan Found, entered into an agreement with a third party, related by common control, to acquire a 100% interest in the gold-silver NZ Project on its behalf. The third party has completed its acquisition of the property and is in the process of transferring the ownership of the property to Henan Found.

Luoning Smelter

In April 2007, the Company, through its 77.5% owned subsidiary, Henan Found signed a joint venture agreement with three Chinese mining companies Luoyang Luanchuan Molybdenum Group Inc. (“Luomu”),

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HT Mining Co. Ltd (“HT Mining”), and Luochuan Xinchuan Mining Co. Ltd (“LX Mining”) to build a 150,000-tonne/year lead-silver-gold smelter in Luoning County, Luoyang City, Henan Province, China. Under the agreement, Luomu will have a 51% interest, Henan Found and HT Mining each will have a 22.5% interest and LX Mining will hold a 4% interest in the smelter. Capital contributions to fund the smelter project will be made pro-rata. The construction of the smelter has received preliminary approval from the Chinese government.

In September 2007, the joint venture agreement was amended with the incorporation of Luoyang Yongning Smelting Co. Ltd.(“Yongning”) to hold the smelter project. Under the amended joint venture agreement, Henan Found can earn in 30% participation in the venture by contributing a total of $10.7 million of the total investment in Yongning of RMB¥250 million, comprised of: $21.4 million towards the registered capital with the balance of $14.3 million for capital investment costs. For Henan Found to earn its 30% participation, the Company is to contribute $2 million towards the registered capital of Yongning within five business days after the issuance of the business license and the remaining $8 million comprised of: $4 million towards the registered capital and $4 million for capital investment costs, within one year after the issuance of the business license. On September 21, 2007, Yongning obtained approval from Chinese governmental authorities and the business license was issued.

As at March 31, 2008, Henan Found fulfilled its registered capital requirement through a contribution of approximately $5.6 million (March 31, 2007 - $58,197 to Yongning, with the remaining commitment of approximately $4.3 million due within one year from September 21, 2007.

The proposed smelter will use the SKS lead smelting process that has been highly recommended by the Chinese Government. The smelter will have the first right to purchase, at prevailing market prices, all lead-silver and gold concentrates produced by mines from the participants in the smelter, including Silvercorp's Ying district mines. The proposed smelter is about 48 km road distance from Silvercorp's newly built mill.

Henan Huawei Mining Co. Ltd.

HPG Project

On March 13, 2006, the Company announced that it had, through its wholly owned subsidiary, Victor Resources Ltd., entered into a cooperative joint venture agreement with a private Chinese company to establish Henan Huawei Mining Co. Ltd. (“Henan Huawei”) to acquire a 60% interest in the Hou Ping Gou silver/lead/zinc mine (the “HPG Project”), which is located within the boundaries of the greater Ying Project.

The HPG Project consists of two adjacent mining licenses surrounded by one exploration permit of approximately 6.4 km² in total within the Ying Project area in Henan, and a 200 tonne per day floatation mill and associated facilities. A National Instrument 43-101 technical report on the HPG Project prepared by SRK Consulting was received on May 3, 2006 and the Ying and HPG Report are both available for review on the SEDAR system.

On January 15, 2007, the Company received all necessary government approvals, including approval from the Ministry of Commerce of China, to form a joint venture company to explore and develop the HPG Project.

In May 2007, the Company, through Victor Resources Ltd., signed an agreement to purchase an additional 20% interest of Henan Huawei, half of which, or a 10% interest, will be held in trust for a minority shareholder. Silvercorp is now entitled to a 70% interest in Henan Huawei.

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LM Project

On November 1, 2007, the Company announced that it had, through its 70% owned joint venture company, Henan Huawei, acquired a 100% interest in the operating silver-lead-zinc mine at the LM Project, which has a mining permit of 3.07 square kilometres in area and is located just southeast of the Ying Project.

As of March 31, 2008, the acquisition of the LM Project is pending governmental approval, and concurrently Huawei has taken control of the LM Project and exploration, mine development, and production at the LM Project has resumed.

Qinghai Found Mining Co. Ltd.

Qinghai Project

In June 2007, the Company, through its wholly owned subsidiary, Fortress Mining Inc., entered into a joint venture contract with a Chinese party to form Qinghai Found Mining Company Ltd. (“Qinghai Found”), a Sino-foreign cooperative joint venture company, to explore and develop the Na-Bao silver-polymetalic Project (“Na-Bao Project”) in Qinghai Province, China. Under the joint venture contract, the Company will have an 82% interest in Qinghai Found by investing approximately US$4.0 million by funding exploration and development. The Chinese party will retain an 18% interest in Qinghai Found in exchange for transferring the three Na-Bao permits to Qinghai Found.

In September 2007, a business license for Qinghai Found was issued upon approval by the Chinese governmental authorities. Transferring of the three Na-Bao permits of about 320 square km in area (19 km by 16 km) into Qinghai Found from our Chinese partner has been approved by Chinese military, related city and provincial authorities.

A limited exploration program was carried out during July to October 2007 to test the mineralization at one of the several regional geochemical anomalies discovered by our Chinese partner, focusing on the area of about 35 square km (7 km by 5 km) at the middle and east portions of the three Na-Bao Exploration Permits. The program consisted of a total of 28 trenches for 13,380 cubic meters, geological mapping at 1:10,000 scale over an area of 30 square kilometres as well as a coincident geochemical soil survey over the 30 square kilometres. Grab samples during the geological mapping process were taken from surface gossans over 65 localities within the area of about 35 square km and their assay results demonstrate widespread lead (Pb), zinc (Zn), copper (Cu) and silver (Ag) polymetalic mineralization.

Based on encouraging preliminary exploration results, Qinghai Found has planned a significant exploration program for fiscal 2009, including 30,000 meters drilling, tunnelling and metallurgical study with an intention to define a resource base that satisfies the Chinese government’s minimum requirement to apply for a mining permit for silver/lead/zinc mine, that is, 1,000 tonne per day mining/milling capacity with a mine life of 10 years.

Yangtze Mining Ltd.

The Company, on April 24, 2008, entered into a share purchase agreement with Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company, to acquire from Yangtze Gold all of the issued shares of Yangtze Mining Ltd. (“Yangtze Mining”). Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of the Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China.

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The purchase price for the shares of Yangtze Mining is approximately $60.27 million (CAD$61.95 million) and will be paid 40% in cash and 60% in common shares of the Company. The 40% cash portion will be payable as to 20% at closing and 20% plus interest at 5.5% when the Company receives its next dividend payment from its Chinese subsidiary, or within 3 months, whichever is earlier. The 60% common share portion of the purchase price will be payable by the issuance at the closing of 4,532,543 common shares of the Company at a price of CAD$8.20 per share, being the volume weighted average trading price of the shares of the Company during the 30 calendar days prior to the date of signing this agreement.

On April 28, 2008, the Company paid a deposit of $1.97 million (CAD$2.0 million) to Yangtze Gold, which amount will be credited against the cash portion of the purchase price. The deposit is non-refundable unless a breach of certain representations and warranties by Yangtze Gold or that the Company’s financial advisor is unwilling or unable to deliver a written opinion that the transaction is fair from a financial point of view to the Company’s shareholders. On April 29, 2008 the Company advanced $2.7 million (RMB¥20 million) to Anhui Yangtze so that it can start the process of applying for a mining permit and carry out further exploration program, including drilling. On June 6, 2008, the Company completed the purchase by issuing 4,532,543 common shares of the Company and paying CAD$12.39 million.

Dr. Rui Feng, Chairman and CEO of the Company, is a Director of Yangtze Gold, Yangtze Mining and Anhui Yangtze, and Mr. J. Feng, a relative of Dr. Feng, controls Yangtze Gold. The transaction has been approved by the independent directors of the Company in accordance with the applicable laws. A NI 43-101 independent technical report was completed on the GC and SMT Projects by SRK Consulting China Ltd., and a fairness opinion was received by the independent directors.

The Company has taken over the operation of Anhui Yangtze, is currently applying for a mining permit, and plans to spend $1.5 million to complete approximately 10,000 metres of drilling this fiscal year.

SKN Nickel & Platinum Ltd. - exercise of option for interest in the Kang Dian Project by New Pacific Metals Corp. in August 2006

On March 4, 2004, the Company announced that it had, through its then wholly owned subsidiary, SKN Nickel & Platinum Ltd. (“SNP”) entered into a Cooperative Agreement with Sichuan Geological Survey Institute of Metallurgical Industry to acquire a 75% interest in the Kang Dian Nickel Project, located in Sichuan Province, China.

Under the cooperative agreement, for the Kang Dian Project, SNP is obligated to contribute US$2,500,000 to fund the exploration and development of the Kang Dian Project over a period of four years. After SNP has earned its 75% interest, contributions to fund the Project will be made pro rata. The interests of the Chinese property owner can be diluted to not less than 12% if they elect not to make cash contributions.

Pursuant to an Option Agreement dated September 15, 2004, the Company granted New Pacific Metals Corp. (NUX.TSX-V) an option to acquire 100% of the issued and outstanding shares of SNP, and thereby the Company’s interests in the Kang Dian Nickel Project. Under the Option Agreement, NUX agreed to issue to the Company a total of 6,500,000 common shares of NUX in three tranches, at a deemed price of $0.375 per share, with the shares subject to a three year value escrow agreement under the policies of the TSX-V.

The first tranche of the NUX shares (2,500,000 shares) was issued to the Company in December of 2004, the second (2,000,000 shares) was issued in February of 2006 and the final tranche (2,000,000 shares) was issued on August 29, 2006 on completion of US$1,000,000 in funding obligations under the Option Agreement. Accordingly, NUX has exercised the option and acquired a 100% interest in SNP.

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The NUX shares were subject to escrow for three years with quarterly releases. As at March 31, 2008, all of the 6,500,000 NUX common shares were released from escrow to the Company. The Company is entitled to the voting rights attached to the escrow shares. The Company has one representative on the NUX board of directors, Dr. Rui Feng.

Added to S&P/TSX Composite Index, S&P/TSX Global Gold Index and S&P/TSX Global Mining Index

Effective Monday, December 18, 2006, Standard & Poors Canadian Index operations added the Company’s common shares to the S&P/TSX Composite Index and the S&P/TSX Global Gold Index (formerly the S&P/TSX Capped Gold Index).

Effective Tuesday, June 12, 2007, Standard & Poors Canadian Index operations added the Company’s common shares as a constituent for the new S&P/TSX Global Mining Index.

Listing and Extension of Warrants

The Company received approval from the Toronto Stock Exchange to extend the expiry date of the 1,250,623 (post-split: 3,751,869) common share purchase warrants issued by the Company in its April 2006 bought deal financing (the “Warrants”) from October 26, 2007 to October 26, 2008, and the listing of same. The effective date of the change for the extension of warrants was September 7, 2007. Starting September 10, 2007, the Warrants are listed on the Toronto Stock Exchange trading under the symbol “SVM.WT”.

Dividend Declaration and Distribution

The Company declared its first annual dividend at CAD$0.05 (pre-split: CAD$0.15) per share paid to shareholders of record at the close of business on September 28, 2007. The Company believes that the payment of dividends rewards shareholder loyalty and is a validation of the Company’s cash generating capabilities. The declaration and amount of any future dividends will be at the discretion of the Company’s directors.

Stock Split

At the Company’s annual general and special meeting on September 28, 2007, shareholders approved a stock split of the Company’s common shares on the basis of three (3) shares for every one (1) existing share. Shareholders of record of the Company’s common shares as of the close of business on October 31, 2007 received two additional shares for each common share held at that time. The Company believes that the stock split encourages greater liquidity and wider distribution among retail investors.

Donation of RMB¥1.25 million towards the construction of a Youth Center in Luoning County, Henan province, China

The Company is committed to contributing to the growth and prosperity of communities in which it is active. As part of this commitment, in 2006 Henan Found donated RMB¥1.25 million towards the construction of the Henan Found Youth Recreation and Activity Center, in Luoning county of Henan province, China.

One of the largest employers and contributors to the local tax base in the county, the Company is committed not only to responsible mining practices but also to making a positive contribution in the communities in which it is active. The Company looks forward to making additional contributions in support of the development of Luoning County as it continues to grow and build on the success of its operations in the area.

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Donation of US$700,000 to Sichuan Earthquake Relief

The Company, its affiliate New Pacific Metals Corp. and Dr. Rui Feng together donated over US$700,000 to provide relief support for the victims of China's May 12, 2008 earthquake in Sichuan province, China.

Recent Financings

On September 16, 2005, the Company closed a non-brokered private placement of up to 2,000,000 units at CAD$3.20 per unit. Each unit was comprised of one common share and one-half of one common share purchase warrant. Each whole warrant entitled the holder to acquire one additional common share at a price of CAD$4.60 per share for a period of one year, expiring on September 16, 2006.

On April 26, 2006, the Company closed a “bought deal” financing under a short form prospectus for gross proceeds of CAD$47,773,875. Sprott Securities Inc. and GMP Securities L.P. as co-leader managers and co-bookrunners, together with a syndicate of other dealers including, CIBC World Markets Inc., MGI Securities Inc., Salman Partners Inc. and BMO Nesbitt Burns Inc. (the “Underwriters”), collectively bought 2,501,250 units from the Company at a price of CAD$19.10 per unit. Each unit was comprised of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to acquire one additional common share at a price of CAD$24.00 per share for a period of 18 months, expiring on October 26, 2007, which was extended to October 26, 2008. The total units purchased includes 326,250 units issued upon exercise of the Underwriter’s over-allotment option. The net proceeds ar e being used for general corporate purposes and may be used for potential future acquisitions.

Future Financing

The Company anticipates that it will be able to finance all of its activities with the proceeds from production from the Ying Project, and otherwise from share issues, interest income and joint ventures. The ability to continue operations is dependent upon the continued financial support of its shareholders, other investors and lenders, together with the successful development of the Company’s interests in mineral properties.

Private Placement With NUX

On March 15, 2007, the Company participated in NUX’s private placement by acquiring 900,000 units of NUX at CAD$2.50 per unit. Each unit is comprised of one common share and one-half of one share purchase warrant. Each whole warrant entitles the holder to acquire one additional common share at CAD$3.00 for a period of one year from the closing of the private placement. In February 2008, with the approval of the TSX Venture Exchange, the expiry date of the NUX warrants was extended by one year to March 15, 2009.

Change in Reporting Currency

Effective April 1, 2007, the Company changed its reporting currency to the US dollar. The change in reporting currency is to better reflect the Company’s business activities and to improve investors’ ability to compare the Company’s financial results with other publicly traded businesses in the mining industry. Prior to April 1, 2007, the Company reported its annual and quarterly consolidated balance sheets and the related consolidated statements of operations and cash flows in the Canadian dollar (CAD). In making this change in reporting currency, the Company followed the recommendations of the Emerging Issues Committee (EIC) of the Canadian Institute of Chartered Accountants (CICA), set out in EIC-130, “Translation Method when the Reporting Currency Differs from the Measurement Currency or there is a Change in the Reporting Currency”. In accordance with EIC-130, the financial statements for all years and periods presented have been translated into the new reporting currency using the current rate method. Under this method, the statements of operations and cash flows statements items for each year and period have been translated into

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the reporting currency using the average exchange rates prevailing during each reporting period. All assets and liabilities have been translated using the exchange rate prevailing at the consolidated balance sheets dates. Shareholders’ equity transactions since April 1, 2006 have been translated using the rates of exchange in effect as of the dates of the various capital transactions, while shareholders’ equity balances on April 1, 2006 have been translated at the exchange rate on that date. All resulting exchange differences arising from the translation are included as a separate component of other comprehensive income. All comparative financial information has been restated to reflect the Company’s results as if they had been historically reported in US dollars.

Auditors

Effective May 11, 2006, Deloitte & Touche LLP resigned as auditors at the request of the Company and Ernst & Young LLP was appointed as the Company’s auditors. There were no reportable events in relation to the change of auditors.

Shareholders Rights Plan

Shareholder approval was obtained at the Company’s annual general meeting on August 4, 2005 to implement a Shareholder Rights Plan (the “Rights Plan”). The Rights Plan is designed to encourage the fair treatment of shareholders in connection with any take-over offer for the Company. The Rights Plan will provide the board of directors and the shareholders with more time to fully consider any unsolicited take-over bid for the Company without undue pressure, to allow the board to pursue, if appropriate, other alternatives to maximize shareholder value and to allow additional time for competing bids to emerge. The Rights Plan has a term of three years and will expire at the close of the annual meeting of shareholders after the third anniversary of shareholder approval of the Rights Plan, unless the rights under the Rights Plan are earlier redeemed or exchanged. There is no plan to extend the Rights Plan at the upcom ing 2008 annual meeting of shareholders.

Normal Course Issuer Bid 2008

With the approval of the TSX, a normal course issuer bid of the Company commenced at market open March 28, 2008 and will continue until no later than March 27, 2009. Under the issuer bid, the Company may on any trading day purchase up to 137,841 of its common shares. The Company intends to acquire up to 2,988,029 of its common shares over a one year period. Purchases will be made at the discretion of the directors at prevailing market prices, through the facilities of the TSX. The Company intends to cancel all shares acquired under the issuer bid.

3.2 Significant Acquisitions

On June 6, 2008, the Company acquired all of the issued shares of Yangtze Mining. Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze, which owns 100% of the GC and SMT silver, lead and zinc exploration permits located in Guangdong province, China. The Company will file a business acquisition report in the form of NI51-102F4 in respect of the acquisition.

The Company did not have any other significant acquisitions or dispositions during the year ended March 31, 2008.

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ITEM 4: DESCRIPTION OF THE BUSINESS

4.1 General

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing on the People's Republic of China. Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively. The Company’s other properties, including its Na-Bao Polymetalic Project in Qinghai Province, owned through its 82% Chinese subsidiary company, and its GC and SMT Projects in Guangdong Province, owned through its 95% Chinese subsidiary company, have not reached commercial production and are in the exploration stage.

4.2 Chinese Mining Law

As all of the Company’s properties are located in the People’s Republic of China, a brief statement on the laws of China as they relate to mining is appropriate. Note that, as laws in China are continually evolving, this is only a generalized statement and is not to be taken as absolutely current or correct. Under the laws of the P. R. C., mineral resources are owned by the State, and in the past, it has been state-owned enterprises which have been the principal force in the development of mineral resources. A new Mineral Resources Law became effective on January 1, 1997 and three regulations were promulgated on February 12, 1998. The new law provides for equal legal status for domestic enterprises and enterprises with foreign investment, security and transferability of mineral titles as well as the exclusivity of mining rights. The right to explore and exploit minerals is granted by way of exploration and mining rig hts. The holder of an exploration right has the privileged priority to obtain the mining right to the mineral resources in the exploration area provided the holder meets the conditions and requirements specified in the law. A mining enterprise may transfer its exploration or mining rights to others, subject to governmental approval. It is now common for foreign companies to form joint ventures with state-owned mining enterprises, with title to the mining rights being transferred to joint venture entities registered in China. This is the case with most of the Company’s mineral property interests.

4.3 Risk Factors

An investment in the common shares of the Company involves a significant degree of risk and ought to be considered a highly speculative investment. The following is brief discussion of those factors which may have a material impact on, or constitute risk factors in respect of, the Company’s future financial performance:

Regulatory Environment in China

The Company conducts operations in China. The laws of China differ significantly from Canada and are subject to change. Mining operations, development and exploration activities are subject to extensive laws and regulations governing prospecting, development, production, exports, taxes, labour standards, occupational health, waste disposal, environmental protection, mine safety and other matters. Mining is subject to potential risks and liabilities associated with pollution of the environment and disposal of waste products occurring as a result of mineral exploration and production.

Failure to comply with applicable laws and regulations, may result in enforcement actions thereunder, and may include corrective measures requiring capital expenditures, installation of additional equipment or remedial actions. Parties engaged in mining operations may be required to compensate those suffering loss or damage by reason of mining activities and may have civil or criminal fines or penalties imposed for violations of applicable laws and regulations.

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New laws and regulations, amendments to existing laws and regulations, administrative interpretation of existing laws and regulations, or more stringent enforcement of existing laws and regulations could have a material adverse impact on future cash flow, results of operations and the financial condition of the Company.

Further, all phases of the Company’s operations are subject to environmental regulations in the various jurisdictions in which it operates. Environmental legislation is evolving in a manner which will require stricter standards and enforcement, increased fines and penalties for non-compliance, more stringent environment assessments of proposed projects and a heightened degree of responsibility for companies and their officers, directors and employees. There is no assurance that future changes in environmental regulations, if any, will not adversely affect the Company’s operations.

Operations and Political Conditions

The Company conducts its operations in China and is potentially subject to a number of political and economic risks. The Company is not able to determine the impact of these risks on its future financial position or results of operations and the Company’s exploration, development and production activities may be substantially affected by factors outside of the Company’s control. These potential factors include, but are not limited to: royalty and tax increases or claims by governmental bodies, expropriation or nationalization, foreign exchange controls, import and export regulations, cancellation or renegotiation of contracts and environmental and permitting regulations. The Company currently has no political risk insurance coverage against these risks.

Mining operations generally involve a high degree of risk, with hazards such as unusual or unexpected formations or other geological conditions. The Company may become subject to liability for pollution, cave-ins or other hazards against which it cannot insure, or against which it may elect not to insure. Payment of such liabilities may have a material, adverse effect on the Company's financial condition. All of the properties in which the Company has an interest are located in foreign jurisdictions, which may have different regulatory and legal standards than those in North America. Even if the Company’s mineral properties are proven to host economic reserves of metals, factors such as political instability, terrorism, opposition and harassment from local miners, or governmental expropriation or regulation may prevent or restrict mining of any such deposits or repatriation of profits.

The majority of the Company’s activities and investments are located in foreign countries. These investments are subject to the risks normally associated with conducting business in foreign countries. Some of these risks are more prevalent in countries which are less developed or have emerging economies, including uncertain political and economical environments, as well as risks of war and civil disturbances or other risks which may limit or disrupt a project, restrict the movement of funds or result in the deprivation of contract rights or the taking of property by nationalization or appropriation without fair compensation, risk of adverse changes in laws or policies of particular countries, increases in foreign taxation, delays in obtaining or the inability to obtain necessary governmental permits, limitations on ownership and repatriation of earnings and foreign exchange controls and currency devaluations.

In addition, the Company may face import and export regulations, including export restrictions, disadvantages of competing against companies from countries that are not subject to Canadian and U.S. laws, restrictions on the ability to pay dividends offshore, and risk of loss due to disease and other potential endemic health issues. Although the Company is not currently experiencing any significant or extraordinary problems in foreign countries arising from such risks, there can be no assurance that such problems will not arise in the future.

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The Company’s interests in its mineral properties are held through joint venture companies established under and governed by the laws of China. The Company’s joint venture partners in China include state-sector entities and, like other state-sector entities, their actions and priorities may be dictated by government policies, instead of purely commercial considerations.

Additionally, companies with a foreign ownership component operating in China may be required to work within a framework which is different to that imposed on domestic Chinese companies. The Chinese government currently allows foreign investment in certain mining projects under central government guidelines.

Economic Factors Affecting the Industry

The Company’s sales price for lead and zinc pounds is fixed against the Shanghai Metals Exchange as quoted at www.shmet.com, while gold ounces are fixed against the Shanghai Gold Exchange as quoted at www.sge.com.cn, and silver ounces are fixed against the Shanghai White Platinum & Silver Exchange as quoted at www.ex-silver.com. These metal prices traditionally move in tandem with and at marginally higher prices than those quoted on the North American and European market places.

Environmental Risks

The Company’s activities are subject to extensive laws and regulations governing environmental protection and employee health and safety. Environmental laws and regulations are complex and have tended to become more stringent over time. Failure to comply with applicable environmental health and safety laws may result in injunctions, damages, suspension or revocation of permits and imposition of penalties. There can be no assurance that the Company has been or will be at all times in complete compliance with current and future environmental and health and safety laws and permits will not materially adversely affect the Company’s business, results of operations or financial condition.

Permits and Licenses

All mineral resources of the Company are owned by their respective governments, and mineral exploration and mining activities may only be conducted by entities that have obtained or renewed exploration or mining permits and licenses in accordance with the relevant mining laws and regulations. No guarantee can be given that the necessary exploration and mining permits and licenses will be issued to the Company or, if they are issued, that they will be renewed, or that the Company will be in a position to comply with all conditions that are imposed.

Nearly all mining projects require government approval. There can be no certainty that these approvals will be granted to the Company in a timely manner, or at all. For example, Henan Found is in the process of completing construction of the mine at the Ying Project according to its approved design plan, focusing on completing the connection of three mine shafts for safety reasons. While government authorities allow Henan Found to test run the mill and mine, it is subject to final inspection by authorities for environmental and safety qualifications and it is subject to receiving environmental and safety production permits. The land usage right for Henan Found’s mine and mill has been purchased from the local owners, rezoning of these lands from agricultural to industrial use has been approved by Henan Provincial government, and transfer of the land title to Henan Found’s name has been submitted to the government aut horities and is pending final approval.

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Feasibility and Engineering Reports

The Company has received a mining permit from the Department of Land and Resources of Henan Province and plans to commence mining operations in accordance with the mining permit. The Company has not yet and may not complete a feasibility study or report as would otherwise be performed for a mining property located in North America.

Exploration and Development

The long-term operation of the Company’s business and its profitability is dependent, in part, on the cost and success of its exploration and development programs. Mineral exploration and development involves a high degree of risk and few properties that are explored are ultimately developed into producing mines. There is no assurance that the Company’s mineral exploration and development programs will result in any discoveries of bodies of commercial mineralization. There is also no assurance that even if commercial quantities of mineralization are discovered that a mineral property will be brought into commercial production. Development of the Company’s mineral properties will follow only upon obtaining satisfactory exploration results. Discovery of mineral deposits is dependent upon a number of factors, not the least of which is the technical skill of the exploration personnel involved. The commercial viabili ty of a mineral deposit once discovered is also dependent upon a number of factors, some of which are the particular attributes of the deposit (such as size, grade and proximity to infrastructure), metal prices and government regulations, including regulations relating to royalties, allowable production, importing and exporting of minerals and environmental protection. Most of the above factors are beyond the control of the Company. As a result, there can be no assurance that the Company’s acquisition, exploration and development programs will yield new reserves to replace or expand current resources. Unsuccessful exploration or development programs could have a material adverse impact on the Company’s operations and profitability.

Calculation of Resources, Reserves and Mineralization and Precious and Base Metal Recovery

The Company’s Ying Project at present contains resources only, there have been no reserves calculated. There is a degree of uncertainty attributable to the calculation of resources, reserves and mineralization and corresponding grades being mined or dedicated to future production. Until resources, reserves or mineralization are actually mined and processed, quantity of mineralization and grades must be considered as estimates only. In addition, the quantity of resources, reserves and mineralization may vary depending on metal prices. Any material change in quantity of resources, mineralization, grade or stripping ratio may affect the economic viability of the Company’s properties. In addition, there can be no assurance that precious or other metal recoveries in small-scale laboratory tests will be duplicated in larger scale tests under on-site conditions or during production.

Title to Properties

While the Company has investigated title to all of its mineral claims and to the best of its knowledge, title to all of its properties is in good standing, the properties may be subject to prior unregistered agreements or transfers and title may be affected by undetected defects. There may be valid challenges to the title of the Company’s properties which, if successful, could impair development and/or operations. The Company cannot give any assurance that title to its properties will not be challenged. The Company’s mineral properties have not been surveyed, and the precise location and extent thereof may be in doubt.

Property Interests

The agreements pursuant to which the Company holds its rights in certain of the properties provide that the Company must make a series of cash payments over certain time periods or make certain minimum

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exploration expenditures. If the Company fails to make such payments or expenditures in a timely manner, the Company may lose interest in those projects.

Additional Financing

If the Company's exploration programs are successful in establishing ore of commercial tonnage and grade, additional funds will be required for the development of the ore body and to place it in commercial production. One source of future funds presently available to the Company is through the sale of equity capital. There is no assurance this source will continue to be available, as required or at all. If it is available, future equity financings may result in substantial dilution to shareholders. Another alternative for the financing of further exploration would be the offering by the Company of an interest in the properties to be earned by another party or parties carrying out further exploration or development thereof. There can be no assurance the Company will be able to conclude any such agreements, on favourable terms or at all.

Competition

The mining industry in general is intensely competitive and there is no assurance that, even if commercial quantities of ore are discovered, a ready market will exist for the sale of same. Marketability of natural resources which may be discovered by the Company will be affected by numerous factors beyond the control of the Company, such as market fluctuations, the proximity and capacity of natural resource markets and processing equipment, government regulations including regulations relating to prices, royalties, land tenure, land use, importing and exporting of minerals and environmental protection. The exact effect of such factors cannot be predicted but they may result in the Company not receiving an adequate return on its capital.

Fluctuating Commodity Prices

The Company’s revenues, if any, are expected to be in large part derived from the mining and sale of silver and other metals. The prices of those commodities has fluctuated widely, particularly in recent years, and are affected by numerous factors beyond the Company’s control including international economic and political trends, expectations of inflation, currency exchange fluctuations, interest rates, supply and demand, sales by government holders, global or regional consumptive patterns, speculative activities, availability and costs of metal substitutes, and increased production due to new mine developments and improved mining and production methods. The price of base and precious metals may have a significant influence on the market price of the Company’s shares and the value of the properties. The effect of these factors on the price of base and precious metals, and therefore the viability of the Company&# 146;s exploration projects, cannot be accurately predicted.

If silver and metals prices were to decline significantly or for an extended period of time, the Company may be unable to continue operations, develop the properties or fulfil obligations under agreements with the Company’s joint venture partners or under its permits or licenses.

Foreign Exchange Rate Fluctuations

In the past, the Company has raised its equity and maintained its accounts in Canadian dollars but now reports in U.S. dollars. Going forward, operations carried out in non-U.S. currency, including Canadian Dollars or Chinese Renminbi could subject the Company to foreign currency fluctuations that may materially and adversely affect the Company’s financial position.

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Fluctuation of Securities Prices

Securities markets experience a high level of price and volume volatility, and the market price of securities of many companies has experienced wide fluctuations which have not necessarily been related to the operating performance, underlying asset values or prospects of such companies. Such fluctuation will affect the price of the Company’s securities.

Insurance

The Company’s mining activities are subject to the risks normally inherent in the industry, including but not limited to environmental hazards, flooding, periodic or seasonal hazardous climate and weather conditions, unexpected rock formation. The Company may become subject to liability which it cannot insure or against which it may elect not to insure due to high premium costs or other reasons. Where considered practical to do so the Company maintains insurance against risks in the operation of its business in amounts which the Company believes to be reasonable. Such insurance, however, contains exclusions and limitations on coverage. The Company cannot provide any assurance that such insurance will continue to be available, will be available at economically acceptable premiums or will be adequate to cover any resulting liability. In some cases, coverage is not available or considered too expensive relative to the percei ved risk.

Key Personnel

The Company depends on the services of a number of key personnel, including its directors and executive officers, the loss of any one of whom could have an adverse effect on the Company’s operations.

The Company’s ability to manage growth effectively will require it to continue to implement and improve management systems and to recruit and train new employees. The Company cannot assure that it will be successful in attracting and retraining skilled and experienced personnel.

Conflicts of Interest

Conflicts of interest may arise as a result of the directors, officers and promoters of the Company also holding positions as directors and/or officers of other companies. Some of those persons who are directors and officers of the Company have and will continue to be engaged in the identification and evaluation of assets and businesses and companies on their own behalf and on behalf of other companies, and situations may arise where the directors and officers may be in direct competition with the Company. Conflicts, if any, will be subject to the procedures and remedies under the Business Corporations Act (British Columbia), S.B.C. 2002, c.57.

Dependence on Management

The executive directors and the China operational management team all have extensive experience in the mineral resources industry in China. Most of the non-executive directors also have extensive experience in mining and/or exploration (or as advisors to companies in the field). The Company’s success depends to a significant extent upon its ability to retain, attract and train key management personnel, both in Canada and in China.

Joint Venture Partners

The Company’s interests in various properties may, in certain circumstances, pursuant to option agreements currently in place, become subject to the risks normally associated with the conduct of joint ventures. The existence or occurrence of one or more of the following circumstances and events could have a material

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adverse impact on the Company’s profitability or the viability of its interests held through joint ventures, which could have a material adverse impact on the Company’s business prospects, results of operations and financial conditions: (i) disagreements with joint venture partners on how to conduct exploration; (ii) inability of joint venture partners to meet their obligations to the joint venture or third parties; and (iii) disputes or litigation between joint venture partners regarding budgets, development activities, reporting requirements and other joint venture matters.

Other Risks and Hazards

The Company’s operations are subject to a number of risks and hazards including:

• environmental hazards;

• discharge of pollutants or hazardous chemicals;

• industrial accidents;

• failure of processing and mining equipment;

• labour disputes;

• supply problems and delays;

• changes in regulatory environment;

• encountering unusual or unexpected geologic formations or other geological or grade problems;

• encountering unanticipated ground or water conditions;

• cave-ins, pit wall failures, flooding, rock bursts and fire;

• periodic interruptions due to inclement or hazardous weather conditions;

• uncertainties relating to the interpretation of drill results;

• inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses;

• results of initial feasibility, pre-feasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Company’s expectations;

• the potential for delays in exploration or the completion of feasibility studies;

• other acts of God or unfavourable operating conditions.

Such risks could result in damage to, or destruction of, mineral properties or processing facilities, personal injury or death, loss of key employees, environmental damage, delays in mining, monetary losses and possible legal liability. Satisfying such liabilities may be very costly and could have a material adverse effect on future cash flow, results of operations and financial condition.

ITEM 5: MINERAL PROPERTIES

The Company has interests in mineral properties located in China. As at March 31, 2008, these properties were carried on the Company's balance sheet as assets with a book value of $60,904,275. The book value consists of acquisition costs plus cumulative expenditures on properties for which the Company has future exploration plans. The current book value is not necessarily the same as the total expenditures on each property by the Company, as part of the expenditures on some properties have been written down. The book value is also not necessarily the fair market value of the properties.

The names and book values of the Company's mineral properties are set out below in tables. Further discussion of the individual properties follows below.

China

Property Name Location Ownership Interest* Book Value  

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			March 31, 2008
Ying Project	Henan Province	77.5% earned	$	18,302,750
Hou Ping Guo Project	Henan Province	70% earned	$	9,732,393
NZ Project	Henan Province	Up to 100%	$	2,046,934
LM Project	Henan Province	70% earned	$	9,748,658
TLP Project	Henan Province	77.5% earned	$	20,015,357
Qinghai Project	Qinghai Province	Up to 82%	$	1,058,183

* These reflect option rights to earn these percentage interests and option rights granted on these percentage interests on the terms set out in Item 4 above.

For the purposes of National Instrument 43-101 of the Canadian Securities Administrators (“NI 43-101”), the following properties as of March 31, 2008 have been determined to be material to the Company:

(a)	The Ying Project, Henan Province, China; and
(b)	The HPG Project, Henan Province, China.

None of the Company’s other mineral property interests are considered material for the purposes of NI 43-101.

The Company’s mineral properties in British Columbia and Yunnan Province were written-off in prior years.

The Company as of March 31, 2008 holds interests in the following five material projects in China: the Ying Project, Hou Ping Gou Project, TLP Project and LM Project all located in the Henan Province, and the NaBao Project in Qinghai Province, China. Myles Gao, COO and Mike Hibbitts, Vice President, Operations of the Company, are the Company’s qualified persons for its Chinese mineral properties.

Ying Project, Henan Province

On April 12, 2004, the Company, through its wholly owned subsidiary, Victor Mining Ltd. entered into a formal cooperative joint venture contract with Henan Non-Ferrous Geological and Mineral Resources Co. Ltd. (“HGMR”) to acquire up to a 77.5% interest in the five exploration permits comprising the Ying Project, located in Henan Province, China by making a capital contribution of US$3,670,000 over three years to Henan Found, the joint venture company set up to hold the permits, for a 55% interest in Henan Found and an additional US$1,500,000 payment to HGMR over a period of three years for another 22.5% interest in Henan Found. These payments were made and the Company earned its full 77.5% interest in Henan Found and thereby in the Ying Project.

On March 30, 2006, the Company announced that Henan Found received a mining permit issued by the Department of Land and Resources of Henan Province, covering 9,945 km² of the SGX area within the Ying Project, where the major exploration effort by the Company has been focused. The permit was issued on the terms applied for, and allows operation of a 198,000 tonne per year underground mine within the permit area to produce silver, lead and zinc ores. The production rate can be increased in the future through amending the existing mining permit when expected resource estimates have been filed with the Department of Land and Resources of Henan.

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Upon receiving its mining permit on March 30, 2006, the Company switched its focus at the Ying Project from exploration and development to gradual ramping up to achieve a full mining operation. Mine development and mill construction are financed by cash flow from the operations of the Ying Project. The Ying Project is the major revenue and profit contributor of the Company.

Based on an update of the mineral resources on the Ying and HPG Projects in the Ying and HPG Report, the estimated resource (measured plus indicated) is 30% greater than the resource reporting in the previous estimation (the 2006 Report by Broili, et. al.). dated May 26, 2006.

At the Ying Project, the newly built mill has an operating capacity of 1,000 tonnes per day. The custom built 300-tonne loading capacity barge is operating smoothly.

In December 2007, Henan Found started the process of constructing a new 2,000 t/d mill and associated tailings dam adjacent to its existing 1,000 t/d mill. Upon the new mill being completed by November 2008, the combined milling capacity is expected to be 3,000 t/d to treat ores from the Ying and HPG Projects as well as the recently acquired LM and TLP Projects, all located within approximately 15 kilometres distance. The estimated capital cost for the new mill is approximately US$12 million. Government approvals are required for the new mill.

When the new mill is operational, which is expected in November 2008, the total annual milling capacity is expected to be approximately 600,000 tonnes for fiscal 2009 (April 1, 2008 to March 31, 2009) and one million tonnes for fiscal 2010 (April 1, 2009 to March 31, 2010) and beyond, compared to a current annual capacity of approximately 350,000 tonnes.

Under its preliminary mining plan, Silvercorp is expected to produce a total of 500,000 tonnes of ore in its 2009 fiscal year, including 250,000 tonnes of ore from the Ying Project, 100,000 tonnes of ore from the HPG Project, 120,000 tonnes from the TLP Project, and 30,000 tonnes from the LM Project. Further growth of mining capacity is anticipated for fiscal 2010 from increased production at the TLP Project. Production is expected to increase to 700,000 tonnes of ore in its 2010 fiscal year, including 250,000 tonnes of ore from the Ying Project, 100,000 tonnes of ore from the HPG Project, 300,000 tonnes from the TLP Project and 50,000 tonnes from the LM Project. For further details, please refer to the news releases available on the Company’s website at www.silvercorp.ca and www.sedar.com

5.1 Technical report

The most recent NI 43-101 compliant technical report on the Ying and HPG Projects is dated August 16, 2007 and was prepared by BK Exploration Associates (Chris Broili, C.P. Geo & L.P. Geo. and Mel Klohn, L.P. Geo., both independent Qualified Persons) (the “Ying and HPG Report”). The full Ying and HPG Report can be found on SEDAR at www.sedar.com. The Ying and HPG Report updates the previous independent technical reports on the Ying Project dated March 3, 2006, April 18, 2006, April 18, 2005 and April 21, 2004, which are also filed on the SEDAR system, and provides a preliminary assessment of the mine at the Ying Project. The information below has been extracted in whole or in part from the Ying and HPG Report, which readers are encouraged to review in full. Portions of the following information are based on assumptions, qualifications and procedures that are set out only in the full Ying and HPG Report. For a com plete description of assumptions, qualifications and procedures associated with the following information, reference should be made to the full text of the Ying and HPG Report.

Reference to Silvercorp includes reference to Henan Found, the Chinese subsidiary of the Company which holds the Ying Project and to Henan Huawei Mining Co. Ltd. the Chinese subsidiary of the Company which holds the HPG Project.

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For more details on the Ying and HPG Report, please go to Sedar at www.sedar.com.

5.2 Property Description and Location

The Ying Project and HPG Project are located in western Henan Province at latitude 34º07’ to 34º12’ N and longitude 111º14’ to 111º22’ E (Figures 1 & 2).

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The Ying Project is currently covered by one Mining Permit and six Exploration Permits. The HPG Project is covered by two Mining Permits and one Exploration Permit. These permits are as follows:

Permit	YING PROJECT AREA	Area (km2)
1	Mining Permit No. 4100000610045 expires May, 2014 Yuelianggou Ag project	9.95
2	Exploration Permit No. 4100000740232 expires June 19, 2008 Qiaogoubei Ag project	3.55
3	Exploration Permit No. 4100000640561 expires November 2, 2007 Qiaogou Ag project	1.42
4	Exploration Permit No. 0100000730232 expires June 06, 2009 Ximiao-Leileisi Au project	12.34
5	Exploration Permit No. 0100000520145 expires November 03,2007 Shagou Ag project	7.10
6	Exploration Permit No. 4100000620073 – expires on December 5, 2007 Luoning County Sidaogou – Lushi County Lijiagou Ag project	19.70
7	Exploration Permit No. 4100000620377 – expires on July 29, 2008 Dong Cao Gou Au project	6.39

	HPG PROJECT AREA
8	Mining Permit No. 4100000410514 expires April, 2009	0.39
9	Mining Permit No. 4100000620027 expires August, 2015	0.15
10	Exploration Permit No. 4100000520048 expired February 11, 2006	5.86
	Mining Total	10.49
	Exploration Total	56.36

The existing permits cover all of the target areas outlined in the Ying and HPG Report.

Exploration permits can be renewed by the payment of further rental fees. Surface rights for mining purposes are not included in the permits but can be acquired by payment of a purchase fee based on the appraised value of the land. Subject to negotiation, some land use compensation fees may also be due to the local farmers if their agricultural land is disturbed by exploratory work. The exploration permits give the right to carry out all the exploration presently contemplated and no additional permitting is required.

There are no known or recognized environmental problems that might preclude or inhibit a mining operation in this area. Some major land purchases may be required in the future for mine infrastructure purposes (processing plant, waste disposal, office and accommodations).

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Figure 1: Geology and Location Map of Western Henan

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The existing land agreements are as follows:

Ying Project

A co-operative joint venture contract dated April 15, 2004, was consummated between Victor Mining Ltd., which is the wholly owned British Virgin Islands subsidiary of Silvercorp, and Henan Non-Ferrous Geological & Mineral Resources Co. Ltd.. Pursuant to the joint venture contract, a Chinese cooperative joint venture company, Henan Found, was established to hold 100% of the Ying Project. Victor Mining Ltd. consummated the obligation and now owns 77.5% interest in Henan Found.

The Ying Mining Permits controlled by Henan Found encompass 9.95 km² and exploration permits encompass 50.50 km².

HPG Project

A co-operative joint venture contract dated March 31, 2006, was consummated between Victor Resources Ltd., which is the wholly owned British Virgin Islands subsidiary of Silvercorp, and Luoning Huatai Mining Development Co., Ltd. (“Huatai”). Pursuant to the joint venture contract, a Chinese co-operative joint venture company, Henan Huawei Mining Co. Ltd. (“Huawei”), was established to hold 60% of the HPG Project. Victor Resources is obligated to pay a total of C$6.00 million to Huatai in instalments to acquire a 60% interest in Huawei. In 2007, Silvercorp signed an agreement to purchase an additional 20% interest of Huawei from its JV partner, Huatai, in which 10% interest will be held in trust for a shareholder of Huatai. Total consideration for the 20% interest is C$1.98 million with Silvercorp's share of C$0.99 million paid in full. Silvercorp is now entitled to 70% interest of Huawei.

The HPG Mining Permits are in the process of being transferred to Huawei. The HPG Exploration Permit is being held by Huatai who will apply for Mining Permit and then transfer it to Huawei upon issuance of the Mining Permit. The HPG Mining Permits controlled by Huawei encompass 0.54 km² and exploration permits encompass 5.86 km².

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Figure 2: Project and Mill Location

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5.3 Accessibility, Climate, Local Resources, Infrastructure and Physiography

The Ying and HPG Projects are about 240 km west-southwest of Zhengzhou (pop. 7.0 million), the capital city of Henan Province, and 80 km west of Luoyang (pop. 1.4 million), the nearest major city (Figure 1). Both of these cities are served by airlines with regular flights to Beijing and other major population centers. The nearest small city to the Ying Project is Luoning (pop. 80,000+), about 40 km by paved roads from the Ying mill site in the central part of the Project. The mill site is about 15 km by paved road from the Guxian Reservoir, and the Project’s main exploration-development camp, the SGX Camp, is accessed via a 30-minute ferry ride across the Reservoir.

Much of the project area is rugged, deeply dissected mountainous terrain with elevations ranging from 300 to 1,200 m above sea level. Hill slopes are steep, commonly exceeding 25^o, and the rock exposures on these hillsides range from fair to good. Almost all of the mineralization and significant geochemical and geophysical anomalies were discovered on the hillsides.

The area has a continental sub-tropical climate with four distinct seasons. Temperature changes are dependent on elevation, with an annual range of -10°C to 38°C and annual average of 15°C. The annual precipitation averages 900 mm, mostly occurring in the July to September rainy season and supplemented by snow and frost occurring from November to March.

The area is sparsely vegetated, consisting mostly of bushes, shrubs, ferns and small trees. The local economy is based on agriculture (wheat, corn, tobacco, medicinal herbs) and mining. Agriculture is confined to the bottoms of the larger stream valleys and to the many terraced hillsides.

There are major power grids adjacent to the property and a power line extends to the SGX Area. Adjacent to the SGX property is a hydropower generating station at the dam that forms the Guxian Reservoir (Fig. 2). This reservoir is on the Luo River, a tributary to the Yellow River. Sufficient manpower is available to serve most exploration or mining operations.

5.4 History

Silver-lead-zinc-gold mineralization in the HPG and Ying Project areas has been known and intermittently mined for at least the last several hundred years. The first systematic geological prospecting and exploration was initiated in 1956 by the Chinese government. Detailed summaries of the exploration activities at Ying from 1956 to 2004, when Silvercorp acquired its first interest in the Ying Project, are available in previous recent 43-101 Technical Reports prepared for Silvercorp (Broili, 2004; Broili, 2005; Broili et al, 2006; Xu et.al., 2006).

When Silvercorp acquired its interest in the Ying Project in 2004, the resource estimate for the project was contained solely within the SGX Area. This resource was reviewed and verified in the first Technical Report (Broili, 2004) as follows:

Resource Category	Resource (Tonnes)	Grade			In Situ Metal Resource
		Ag (g/t)	Pb (%)	Zn (%)	Ag (ounces)	Pb (tonnes)	Zn (tonnes)
Indicated	630,100	412.66	6.57	3.18	8,359,713	41,429	20,015
Inferred	6,901,800	237.33	4.84	3.11	52,663,286	333,983	214,390

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From 2004 to March 2005, Silvercorp expanded underground workings on five of the veins in the SGX area. Their work during this period consisted of the following:

a)	tunnel enlarging: 1,271 m
b)	declines: 298 m
c)	undercut drifting: 1,897 m
d)	main tunnel: 497 m
e)	raise: 200 m
f)	ventilation raise: 102 m
g)	underground drilling: 15 holes for 1,376 m
h)	sampling and metallurgical work

This work substantially upgraded and expanded the resources in the SGX Area. These resources, reported in a second NI 43-101 Technical Report (Broili, 2005), are as follows:

Resource Category	Resource (Tonnes)	Grade			In Situ Metal Resources
		Ag (g/t)	Pb (%)	Zn (%)	Ag (ounces)	Pb (tonnes)	Zn (tonnes)
Measured	229,481	1419	33.25	9.88	10,470,661	76,314	22,675
Indicated	190,671	1362	32.16	10.12	8,362,276	61,416	19,329
Inferred	495,205	1539	35.01	9.56	24,502,345	173,394	47,323

From March 2005 to April 2006, Silvercorp continued to expand underground workings in the SGX area, extending their underground exploration to include 14 veins. In addition, reconnaissance exploration was initiated in other areas outside the SGX Area. Work conducted during this period consisted of the following:

a)	tunnel enlarging: 1,467 m
b)	declines: 817 m
c)	undercut drifting: 18,888 m
d)	main tunnel: 5,216 m
e)	raise: 2,569 m
f)	ventilation raise: 85 m
g)	shaft: 658 m
h)	underground drilling: 79 holes for 12,488 m
i)	surface drilling: 12 holes for 5,209 m
j)	sampling and metallurgical work

Results of this work allowed further upgrading and expansion of the SGX resources, as reported in a third NI 43-101 Technical Report (Broili et.al., 2006). The resource estimate reported in the 2006 report was nearly twice that reported a year earlier in the 2005 report, due largely to the fact that the new estimate was based on parts of 14 veins versus only 5 veins in the previous report. The 2006 resource estimate is as follows:

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Mineral Resource Estimates, May 26, 2006

Resource Category	thickness (m)	Tonnes	Ag (g/ t)	Ag (oz/t)	Pb (%)	Zn (%)	Ag Equiv* (g/t)	Contained Metal Resource
								Ag (oz)	Pb (t)	Zn (t)	Ag Equiv* (oz)
Measured	0.49	350,765	1,397	44.92	24.34	9.69	2,884	15,755,537	85,381	34,001	32,524,723
Indicated	0.37	460,854	1,639	52.70	28.11	7.79	3,195	24,288,513	129,557	35,894	47,338,605
Measured + Indicated	0.42	811,620	1,535	49.34	26.48	8.61	3,061	40,044,051	214,938	69,896	79,863,312

Inferred 0.45 1,246,013 1,426 45.86 25.47 9.38 2,946 57,143,860 317,362 116,914 118,030,219

*Ag Equivalent is calculated using US$6.50/oz Ag, US$0.40/lb Pb, and US$0.45/lb Zn
Calculations reflect gross metal content and have not been adjusted for metallurgical recoveries.

On March 30, 2006, Silvercorp was issued a mining permit for the SGX Area. A third of the 27,574 m of the underground workings completed since the first Technical Report in 2004, were mine development workings sufficient to immediately support production in 10 of 20 stopes on 7 different veins.

At the time of the last previous Technical Report in May, 2006, 16 shrinkage stopes were being mined, 4 additional stopes were planned and 3 hoist-equipped shafts were being sunk at the Ying Project. For this reason, the 2006 Technical Report included detailed scoping-level information (prepared by co-authors Yee, Fong, and Petrina) regarding mine planning and economics. Even assuming that the resource reported above was not increased in size, the report concluded that the Ying Project mining operation would be profitable (Broili, et.al., 2006).

At HPG, a resource generated by tunnelling, diamond drilling and trenching was described and examined by Xu et.al., 2006, however they concluded that no valid resource exists by CIM standards.

5.5 Regional Geology

The Ying and HPG Projects are within a major west-northwest trending ancient mountain belt known as the Qinling orogenic belt (Figure 1). More than 300 km long, the belt was formed at the joining of two major crustal tectonic plates when these plates collided in Paleozoic time. The tectonic plate to the north, which covers all of Henan Province, is the North China Precambrian plate; the plate on the south, which covers the south half of Hubei Province, Henan’s southern neighbor, is the Yangtze plate. The rocks along this crustal join, which forms the Qinling orogenic belt, are severely folded and broken by many faults, offering optimal structural conditions for the emplacement of a myriad of mineral deposits, and several operating silver-lead-zinc, in addition to Ying, occur along this belt.

The basement beneath the Qinling orogenic belt consists of highly metamorphosed rock units of Archean-age belonging to the North China Precambrian tectonic plate. The basement consists predominantly of felsic to mafic gneisses with minor amphibolites, intrusive gabbros and diabases. The Qinling belt itself is comprised largely of Proterozoic- to Paleozoic-aged sequences of mafic to felsic volcanic rocks with variable amounts of interbedded clastic and carbonate sedimentary rocks. The Qinling rock units have all been weakly metamorphosed to lower greenschist facies, with local areas of stronger metamorphism to lower amphibolite facies. The metamorphosed Qinling belt and Archean basement rocks are overlain by non-metamorphosed sedimentary rock sequences of Mesozoic- to Cenozoic-age, primarily marls and carbonaceous argillites which are capped locally by sandstone-conglomerate sequences. Major intrusives consist of mafic to felsi c dikes and stocks of Proterozoic and Mesozoic ages.

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The dominant structures in the Qinling orogenic belt are west-northwest trending folds and faults which were generated when the two major tectonic plates collided in Paleozoic time. The faults consist of numerous thrusts having a component of oblique movement and sets of conjugate shear structures that trend either northwest or northeast. These conjugate shear zones, which display features of brittle fracturing such as fault gouge, brecciation and well-defined slickensides, are associated with all the important mineralization recognized along the 300 km orogenic belt. At least three important north-northeast trending mineralized fault sets are recognized in the Ying Project area: 1) Heigou-Luan-Weimosi, deeply seated fault zone, 2) Waxuezi-Qiaoduan fault zone, and 3) Zhuyangguan-Xiaguan fault zone.

5.6 Property Geology

The Ying and HPG Projects are underlain by a highly metamorphosed basement of Archean-age, rocks, mainly mafic to felsic gneisses formed from mafic to felsic volcanic and sedimentary rock units (Fig. 2). The lowest part of the basement gneiss sequence is about 1 km thick and comprised of mafic gneiss with local gabbroic dikes and sills that trend north-northeast and dip 30^o to 60^o southeast. This sequence is overlain by a much thicker sequence of thin-bedded quartzo-feldspathic gneiss, which is bounded on the north and west by Proterozoic-age andesitic greenstones along a very high-angle (>70 6;) “detachment” fault-shear zone. The greenstones have been folded and dip steeply toward the northeast and southwest.

The basement rocks are locally intruded by small granite porphyry stocks of Proterozoic to Paleozoic age and are extensively cut by northeast-trending, high-angle, mostly west-dipping conjugate faults. These faults are sometimes filled with younger andesitic to basaltic diabase dikes, resulting in dike swarms. Continued movement on these same faults has provided openings which are sites for all of the important silver-lead-zinc mineralization in the Project area.

5.7 Deposit Type

The targeted deposit types in the Ying and HPG Projects are “mesothermal silver-lead-zinc veins” as described by Waldemar Lindgren (1933), more recently termed “Cordilleran vein type deposits” by Guilbert and Park (1986), “silver-lead-zinc veins in clastic metasedimentary terranes” by Beaudoin and Sangster (1992), or “polymetallic Ag-Pb-Zn±Au veins” by Lefebure and Church (1996). Mesothermal vein systems are formed at considerable depth (from 600 m to 4000 m or more) by hydrothermal processes in a temperature range of 200^o C to 300^o C.

Classic deposits of this type include the Coeur d’Alene silver district in northern Idaho, U.S.A., one of the largest silver-lead-zinc districts in the world (Park & MacDiarmid, 1970). Other examples include the Kokanee Range and Keno Hill, Canada, the Harz Mountains and Freiberg, Germany and Príbram, Czechoslovakia (Beaudoin and Sangster, 1992).

Common characteristics of these Ag-Pb-Zn-Au vein systems are as follows:

• Usually occur in thick sequences of metamorphosed clastic sedimentary rocks or intermediate to felsic volcanic rocks, but can occur in almost any type of host rock (Lefebure and Church, 1996).

• Usually occur in areas of strong structural deformation in brittle and brecciated rock units. Mineralization is in altered country rock parallel to anticlinal axes and faults (Park & MacDiarmid, 1970; Sorenson, 1951; McKinstry and Svendsen, 1942).

• Often found proximal to igneous rocks, either spatially or genetically, but not to intrusions related to porphyry-copper mineralization (Beaudoin and Sangster, 1992). Many veins are associated with dikes which follow the same structures (Lefebure and Church, 1996).

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• Exhibit strong structural control, generally occurring as steep-dipping, narrow, tabular or splayed fissure veins, commonly as sets of parallel and offset veins. Individual veins range from centimetres up to more than 3 m wide, and generally continuous along strike for a few hundred to more than 1000 m in length and depth. Can be 10 m wide or more in stockwork zones (Lefebure and Church, 1996).

• Veins often display crustiform textures (mineral banding) (Bateman, 1951), locally with open space drusy quartz, cockade and/or collofrom textures. Sulfides are confined to the veins and occur as granular masses, coarse-grained patches and/or disseminations.

• Wall rock alteration is typically limited in extent – usually only a few to several meters – and consists of sericite, quartz, siderite, ankerite, pyrite and K-feldspar within or proximate to the veins, and chlorite, clay and calcite more distal to the veins.

• Common ore minerals are galena (PbS), sphalerite (ZnS) and tetrahedrite (Cu,Fe)₁₂Sb₄S₁₃ with lesser amounts of chalcopyrite (CuFeS₂), pyrargyrite (Ag₃SbS₃) or other sulfosalts. Small amounts of acanthite (AgS₂) and native silver may occur but most silver in the veins is contained as inclusions in galena or tetrahedrite (silver-bearing tetrahedrite is also known as freibergite). Copper and gold may increase at depth. Common gangue minerals are quartz, pyrite (FeS₂) and carbonate – usually siderite (FeCO₃) or ankerite (Ca(Fe,Mg,Mn)(CO₃)₂) with distal calcite (Park & MacDiarmid, 1970; Lefebure and Church, 1996).

• In some cases, mineral zones are formed by multiple hydrothermal events or a telescoped single event rather than zoning about a single point (Beaudoin and Sangster, 1992)

• Individual vein systems range from several hundred to several million tonnes grading from 5 to 1,500 g/t Ag, 0.5 to 20% Pb and 0.5 to 8% Zn, with exceptional veins being even richer. The larger vein systems continue to be attractive targets because of their high grades and relatively easy beneficiation (Lefebure and Church, 1996).

5.8 Mineralization and Alteration

The 53-square kilometre Ying and HPG Project blocks are crossed by a myriad of mesothermal silver-lead-zinc-gold rich quartz-carbonate veins in steeply-dipping fault-fissure zones which cut Precambrian gneiss and greenstone (Fig. 3). To date, Silvercorp’s exploration-development activities have focused on three target areas at Ying:

• SGX – a 9 km² area immediately south of the Guxia Reservoir,

• HPG – a 6 km² area east of the SGX Area, and

• HZG – a 2 km² area adjoining the SGX Area on the south.

Of these three target areas, the SGX Area has received the most attention. At least 28 mineralized vein structures have been identified and mapped in the SGX Area to date, and resources have been defined in 18 of these, compared with only 14 veins with resources a year ago (Broili, et.al., 2006). Additionally more than 20 mineralized veins have been identified in the HPG Area and resources have been defined in 7 of these. New resources have also been defined in 4 veins in the HZG area. A year ago, neither of these two target areas were credited with reportable resources. Because none of the current three target areas have yet been fully explored, it is quite likely that continuing work in these areas will find new veins as well as new mineralized shoots in known veins. Future work will almost certainly find new veins in these areas and continue to find new shoots in the already known veins. Further, these three target areas to gether comprise

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only a small part of the large Ying Project block; it is likely that exploration will find other important new target areas with mineralized vein systems elsewhere on the block.

5.9 Vein structure

Structurally, the Ying-HPG vein systems all appear to be generally similar, occupying steeply-dipping fault-fissure zones which trend most commonly northeast-southwest, less commonly north-south, and rarely east-west (Fig. 3). The structures extend for hundreds to a few thousand meters along strike and are often filled by altered andesite or diabase dikes together with quartz-carbonate veins, or are mapped as discrete zones of altered bedrock (mainly gneiss) with local selvages of quartz-carbonate veinlets. At the surface, a third to half of the exposed structures are conspicuously mineralized as well as altered.

The veins occur as steeply-dipping, narrow, tabular or splayed veins, commonly as sets of parallel and offset veins. Individual veins along the structures thin and thicken abruptly, from a few centimetres up to a few meters in width, in classic “pinch-and-swell” fashion. The pinching and swelling are the result of flexural irregularities from movement along the structure, with “swells” representing zones of dilation (Figs. 5 & 10). The dilation zones (swells) are often sites of high-grade pockets or “ore shoots.” At the Ying Project, these “ore shoots” range from 30 m to 60 m or more in vertical and horizontal dimensions over vein widths ranging from 0.4 m to 3.0 m. Commonly the vertical dimension of the Ying Project shoots is greater – often twice or more – than the horizontal dimension. In long-sections constructed along the veins, many of these shoots are seen to have a steep, non-vertical rake.

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 3: Property Geology and Vein Locations

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5.10 Mineralogy

Although veins in each of the three target areas in the Ying and HPG Projects are structurally similar, there are differences in the mineralization observed in each area. The mineral differences between the areas are due possibly to different generations of mineralization or are the results of district-wide mineral zonation at different levels of exposure; analogous perhaps to broad-scale zonation patterns observed in other mesothermal silver-lead-zinc districts such as the Coeur d’Alene district, U.S.A.

SGX Area

The SGX Area is the most extensively explored target area to date with at least 28 veins identified to date and high-grade mineralization currently defined in 18 of these veins (Fig. 4). Sampling in exploration and development workings at various levels in these mineralized vein structures indicates that approximately 27 percent of the material filling these veins is highly mineralized, ranging from 0.2 m to more than 1 m in width (average 0.4 m) and containing an average of about 25% galena and 12% sphalerite. Other metallic minerals present in much smaller amounts include pyrite, chalcopyrite and hematite, with very sparse amounts of wire silver, silver-bearing sulfosalts (mainly the mineral pyrargyrite), silver-bearing tetrahedrite (known as “freibergite) and possibly acanthite (a silver sulfide).

The metallic minerals are confined to the veins, occurring as massive accumulations or as disseminations. Much of the galena in the SGX veins occurs in massive tabular lenses consisting of coarse crystalline aggregates to fine, granular “steel galena.” These bodies can be up to 1 meter thick and 100 m or more in vertical and horizontal dimensions. Sphalerite consists of the dark-colored, iron-bearing variety (also known as “blackjack” sphalerite) and occurs as coarse bands or aggregates with the galena. Alternating bands of galena, sphalerite, pyrite and quartz are common near the vein margins (Fig. 4a).

Most of the silver in the SGX veins is probably present as microscopic inclusions in the galena. Silver occurs at a reasonably consistent ratio with lead, ranging from 45 to 65 grams silver (1.4 to 2.1 troy ounces) for each percent lead. Ag:Pb and Zn:Pb metal ratios using tonnes contained metal and calculated as (Ag*100)/((Ag*100)+Pb) and Pb/(Pb+Zn), in the SGX veins are 0.36 and 0.74, respectively, very close to the Coeur d’Alene ratios of 0.29 and 0.72, and generally within the 0.22 –0.63 and 0.51 –0.72 ratio ranges considered to be characteristic of the silver-lead-zinc vein deposit model summarized previously in this report (Beaudoin and Sangster, 1992).

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Figure 4: Tunnel and Veins at SGX Area

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Several shoots in some of the SGX veins contain from 92 to 165 grams silver for each percent lead, much greater amounts of silver relative to lead than the usual range noted above for SGX veins. Much of the silver in these shoots may possibly be carried as a silver-rich, non-lead-bearing mineral such as freibergite, which is a dark-colored metallic mineral that could easily be hidden within metallic granular masses of galena. Not surprisingly, these same shoots contain up to several percent of potentially valuable copper, which is a major constituent of freibergite. Exploration in the SGX veins to date has found very little gold except for the short S7-2 vein in the eastern part of the target area which contains from 4.4 to 8.9 g/t gold, but very little silver, lead or zinc.

Gangue in the SGX vein systems consists mostly of quartz-carbonate minerals with occasional inclusions of altered wall-rock. The carbonate is dominantly ankerite in contrast to siderite which is the most common carbonate gangue mineral in many mesothermal silver-lead-zinc districts. In the Coeur d’Alene district, for example, siderite is closely associated with the sulfide ore minerals, ankerite occurs farther away from the ore, and calcite is present as a distal carbonate mineral.

Wall rock alteration commonly consists of a myriad of quartz veinlets accompanied by sericite, chlorite, silicification and ankerite on fractures. There is also some retrograde alteration, expressed as epidote along fractures. The vein systems appear to persist or even strengthen at depth with many veins exposed in the underground workings often significantly richer in silver-lead-zinc than the same veins exposed at the surface. This suggests that the mineralization is either leached from the surface outcroppings or, more likely, is zoned and becomes richer at depth (Broili et.al., 2006).

HPG Area

More than 20 mineralized veins have been identified in the HPG Area (Fig. 9). To date, Silvercorp has defined low-grade resources in 7 of these veins. Sampling at various levels in workings along these vein structures indicates that from 27% to 50% or more of the vein material is mineralized, ranging from 0.2 m to 5.2 m in width, averaging 0.96 m.

The veins occur in relatively permeable fault-fissure zones and are extensively oxidized from the surface to depths of about 80 m. Within this zone, the veins show many open spaces with conspicuous boxwork lattice textures resulting from the leaching and oxidation of sulfide minerals. Secondary minerals present in varying amounts in this zone include cerussite, malachite and limonite. Beneath this oxide zone, sulfide minerals are mixed with secondary oxide minerals in the vein, with sulfides becoming increasingly abundant downward to about 150 m depth, beyond which fresh sulfides are present with little or no oxidation.

The dominant sulfides are galena, typically comprising a few percent to 10% of the vein, together with a few percent sphalerite, pyrite, chalcopyrite and freibergite-tetrahedrite. Other metallic minerals in much smaller amounts include argentite, native silver, bornite and various sulfosalts. The minerals occur in narrow massive bands, veinlets or as disseminations in the gangue. Gangue minerals include quartz, sericite and carbonate, occurring as dolomite and calcite with some ankerite.

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Figure 4(a): Photos of SGX Samples

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Most of the HPG veins contain significant amounts of gold, often 1.0 to 4.0 g/t Au or more over widths up to 1 meter, distinctly more than veins typical of the other two Ying Project target areas. The HPG veins, which trend northeast-southwest, are crossed by a 1-km long, northwest-southeast trending breccia body which caps a ridge across the vein trend. The breccia locally carries from 1.86 to 2.77 g/t gold over widths of 3.0 to 7.5 m. Additionally, strongly anomalous amounts of gold (up to 30 g/t gold over 2.5 m widths) are locally associated with a several-kilometre long north-south diabase dike(?) that lies just south of the principal HPG vein swarm.

Alteration minerals associated the HPG vein systems include silica, sericite, pyrite and chlorite, together with clay minerals and limonite. Silicification is common near the center of the veins, chlorite and sericite occur near and slightly beyond the vein margins.

HZG Area

In the HZG area, 4 mineralized veins have been identified to date. The mineralization comprises from 14 to 23% of these veins over widths ranging from 0.3 to 0.8 m, averaging 0.78 m. The HZG veins contain distinctly more copper than the veins of the other two Ying target areas, with the largest vein yet defined at HZG, the HZ20 vein, containing an average of 1.19% copper, carried mostly in chalcopyrite and tetrahedrite. The tetrahedrite occurs commonly as lensoidal masses, probably filled tension gashes, which are distributed in relay-like fashion near the vein margins and in ladder-like fashion in the center of the vein. Chalcopyrite is present as disseminated crystals in the gangue and in the tetrahedrite. Other sulfides include galena (up to several percent locally) and pyrite.

The gangue is predominantly quartz-ankerite with conspicuous amounts of bright green fuchsite (a chrome-bearing muscovite). Fuchsite is especially abundant near the vein margins. The contact of the vein with wallrocks is sharp and marked by shearing and gouge. The most distinctive feature of alteration in the HZG veins compared with veins in the SGX and HPG areas is the presence of fuchsite, which is common in many greenstone-related, mesothermal gold districts.

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Figure 5: Cross Section on Exploration Line 56

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5.11 Exploration Work

Starting in 2006, Silvercorp focused detailed exploration-development activities on three separate target areas: SGX, HZG and HPG. The exploration work completed by Silvercorp from May 2006 to June 2007 in these three areas is summarized as follows.

SGX Area – Most of Silvercorp’s recent exploration work has been confined to the tunnelling and drilling programs in the SGX Area now covered by a mining license. The details of this is included in Chapter 11, Tunnelling and Drilling, of the Ying and HPG Report. Most of the surface exploration at SGX was done in past years, so very little was done during the past year.

Underground exploration-development activities in the SGX Area included expanding the workings on 18 veins. Work accomplished during this period includes:

a)	tunnel enlarging: 0 m
b)	declines: 940 m
c)	undercut drifting: 16,450 m
d)	main tunnel: 680 m
e)	raise: 1,593 m
f)	ventilation raise: 1,077 m
g)	shaft: 717 m
h)	underground drilling: 134 holes for 44,143 m
i)	surface drilling: 18 holes for 8,260 m
j)	sampling and metallurgical work.

HZG Area – Surface mapping and sampling were started on the HZG veins (south of SGX). Many of the altered structures and veins identified by this work were subsequently tested by drilling or extending the underground workings on 4 veins. Details of this work is included in Chapter 11 of the Ying and HPG Report (Tunnelling and Drilling), a summary listing of this work is as follows:

a)	tunnel enlarging: 139 m
b)	declines: 117 m
c)	undercut drifting: 2,093 m
d)	main tunnel: 1,236 m
e)	raise: 17 m
f)	ventilation raise: 0 m
g)	shaft: 0 m
h)	underground drilling: 2 holes for 329 m
i)	surface drilling: 18 holes for 6,017 m
j)	sampling and metallurgical work.

HPG Area – Some surface mapping and sampling was also done in the HPG areas. Altered structures and veins were subsequently tested by drilling or extending the underground workings on 7 veins. Details of this work is included in Chapter 11 of the Ying and HPG Report (Tunnelling and Drilling), a summary listing of this work is as follows:

a)	tunnel enlarging: 0 m
b)	declines: 0 m
c)	undercut drifting: 2,740 m
d)	main tunnel: 1,523 m
e)	raise: 201 m

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f)	ventilation raise: 0 m
g)	shaft: 0 m
h)	underground drilling: 0 holes for 0 m
i)	surface drilling: 2 holes for 760 m
j)	sampling and metallurgical work.

5.12 Reconnaissance exploration in new areas on the Ying Project

Recent surface exploration has focused on two nearby areas: (1) the XM Area, immediately northwest of the HPG area and 3.5 km northeast of SGX camp, and (2) the RHW Area adjacent to the northeast boundary of the Ying Project, about 10 km northeast of the main SGX camp.

XM Area

The XM Area is underlain by Archean gneiss intruded by Proterozoic diabase dikes and Mesozoic granite porphyry stocks (Fig. 3). A thrust fault along the north flank of the area separates a footwall of Archean gneiss from a hanging wall of Proterozoic andesite. Soil geochemistry has outlined a north-northeast trending Au-Ag-Pb-Zn anomaly about 0.3 km² in size. Three high-grade Au-Ag-Pb-Zn veins (H15, H17, and H32) that extend from the HPG Area into the XM Area are considered prime exploration targets.

Since 2004, Silvercorp has completed 3 km² geologic mapping at 1:10,000 scale, 42 m of trenching, 630 m of tunnelling, 479 m of drilling (2 holes), and collected 299 samples in the XM Area. This work has identified 16 quartz-pyrite veins trending northeast or north-south and ranging from 70 to 1,200 m in length and 0.2 to 26.8 m in width. The most significant veins are X1, X8, and X11, which is the northern extension of the H32 vein from the HPG mine. Drill hole ZK001 intersected a 12.6 m wide zone of quartz-pyrite with anomalous gold and silver.

Tunnel sampling and drilling have examined two veins, X1 and X11, across true widths of 0.38 to 1.05 m containing 11.1 to 59.9 g/t silver, 0.20 to 1.90 g/t gold, occasional high lead values up to 4.90% and sparse zinc. The X1 vein was sampled from several different underground tunnels scattered along 553m of strike between the 697 and 744 m levels and the X11 vein was sampled at the 750m level along 29 m of strike.

RHW Area

The RHW Area includes 6.39 km² of very rugged, forested hills (Fig 3). Previous surface mapping, trenching and limited tunnelling by the Henan Non-ferrous Metals Geological Bureau defined five NE-trending mineralized veins and one N-S mineralized vein. The veins range from 460 to 3,600 m in length and are 0.3 to 2.0 m wide. The best sample interval was cut on vein C8 over a 1.5m width containing 1,161 g/t silver, 1.15 g/t gold, and 6.06% lead.

In October, 2006, Silvercorp started the following exploration:

(a)	0.3 km2 of surface geological mapping at 1:10,000 scale,
(b)	1,496 m of underground geological mapping and sampling (66 samples) in artisanal tunnels,
(c)	drilled 7 diamond core holes (1,981 m) resulting in 205 core samples.

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Dimension and characteristics of the 5 veins are described as follows:

Vein#	Strike Direction	Strike Length (m)	Dip Direction	Dip Depth (m)	Dip Angles	True Width (m)	Ag (g/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
C4	NE	3600	NW	To be explored	55-75	0.5-2.0	30-728	0.14 - 7.11	n/a	0.11 - 12.05	n/a
C6	NE	500	NW	To be explored	65-75	0.50-1	1-6	0.02 - 0.35	n/a	0.1 - 0.23	n/a
C8	NE	1800	NW	>200	40-70	0.1-1.5	1-1161	0.21 - 8.33	0.20 - 1.16	0-24.3	0.01-2.53
C9	NS	650	W	>300	25-65	0.4-0.8	1- 152	<0.78	0.01 - 1.09	0 - 14.35	n/a
C10	EW	>1700	N	>50	10-30	5-30	1-15	<0.1	<0.1	0.34 - 1.53	n/a

Extensive exploration was initiated on the C8 and C9 veins. The C8 vein was defined by 3 drill holes and the mapping and sampling of 5 artisanal tunnels. Drilling and tunnel sample assays are listed in the tables below. Assay results for hole ZK002 are pending, however 0.10 m (true thickness) of massive galena was intersected in this hole.

Tunnel and drilling found C8 vein has over 1000 m strike ranging from 0.1 to 0.5 m wide with up to 490 g/t Ag, 8.3% Pb, 2.9% Zn, 2.5% Cu and 24.3 g/t Au.

In addition to surface trenching, the C9 vein was further defined by 2 diamond dill holes and by mapping and sampling artisanal tunnels on three levels (841 m, 833 m, 800 m). Several old stopes up to 20 m high and 169 m long were encountered on the 641 m and 833 m levels. Tunnel and drilling found the C9 vein has over 200 m strike ranging from 0.2 to 1.0 m wide with up to 152 g/t Ag, 8.7% Pb, 4.1% Zn and 14.4 g/t Au.

5.13 Tunnelling and Drilling

The third phase program initiated about a year ago with a capital budget of US$13.5 million focused on underground exploration-development in three Ying and HPG Project target areas and in constructing the new mill at the Ying Project. Previous work on the Ying Project, specifically tunneling and drilling, is described in detail in the last previous technical report by Broili, et.al. (2006).

Since the last technical report, exploration has been extended to the south of SGX into the HZG Area and to the east of SGX into the HPG Area, recently acquired by Silvercorp. The HZG Area consists of additional parallel westerly dipping veins located east of the SGX S8 vein, which is the easternmost major vein in the SGX Area. The recently acquired HPG Area consists of parallel westerly dipping veins located east of the SGX S8 vein. These veins might be extensions of the HZG veins from the southwest, but because they are 4 to 5 km away the connection between the two areas is tenuous at this time. The HPG Area is apparently richer in gold than the SGX and HZG Areas, and the HZG Area appears to be richer in copper than the SGX or HPG Areas.

SGX Area

S2 and S2E Veins — A 41m long section of raise was completed on the S2 and S2E veins from the 460m level through access tunnel CM103. The S2 vein was intersected with 3 drill holes (ZK1007, ZK1207, and ZK0606) and significant Ag-Pb-Zn mineralization was encountered at levels 442m, 463m, and 483m. Massive galena was cut in the S2E vein in hole ZK1807 at the 357m level.

S4 Vein — No significant new drilling or tunnelling was done on this vein during the past year.

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S5, S8-2 and S21W Veins — Minor tunnelling and drilling defined some small resources on these veins.

S6 Vein — Significant resources were added by tunnelling on the 480m level from the CM102 access tunnel.

S7 Vein — Significant resources were added by underground drilling and tunnelling.

S7-1 Vein — Explored by tunnelling at the 600m and 560m levels through main access tunnels PD700 and CM103. More than 82 m of massive galena is exposed in a 110 m drift on the 600m level, and a 126 m drift on the 560m level exposes 76 m of massive galena. Three drill holes (ZK14A02, ZK5105, and ZK5504) hit significant Ag-Pb-Zn mineralization at the 393, 468 and 482m levels, which extends significantly the down-dip extension of the vein.

S7-3 Vein — This vein does not crop out at the surface. It was discovered by tunnelling and surface drilling and has not yet been fully defined. It splays off the S7-1 vein a few meters east and extends NE with a 65 to 80Ú SW dip. A drift along the vein exposes more than 42 m of continuous massive galena. Three surface drill holes intersect the vein with one hole hitting 0.37 m of massive galena grading 2,711 g/t Ag, 23.03% Pb, and 13.18% Zn at the 374m level. Another hole hit a 1.35 m wide shear zone on level 186 m, which indicates the vein may extend at least 400 m deeper.

S8 Vein — 989 m of tunnelling was completed, including: 6 raises totalling 162 m; 131 m of drift on the 705m level in tunnel CM104; 292 m of drift on the 640m level in CM101; 58 m of drift on the 600m level in PD66; and 346 m of drift on the 510m level in YPD01 at the YLG camp,

S8E Vein — This vein, a splay immediately east of the S8 vein, extends more than 400 m NE-SW along strike and dips both SE and NE. It is delineated with a total of 52 m of raises, 50 m of crosscuts, and 540 m of drifting on the 640m and 700m levels through the CM101 and CM104 tunnels.

S14 Vein — An 82 m drift and two raises totaling 100 m were completed from the 480m level through the main CM102 access tunnel. Tunneling along the vein to the south at this has exposed more massive galena which suggests that the mineralization may continue even further south.

Diamond drilling has extended the mineralized portion of the S14 vein and is expected to upgrade a large portion of the existing Inferred resources to Indicated and to add more Inferred resources. Drill hole ZK814 is noteworthy, cutting cut two additional veins (S14-2 and S14-3) which contain up to 1,314 g/t equivalent silver less than 10 m east of the S14 vein. The full extents of these new veins have yet to be defined. A total of 22 holes (5,735 m) have been completed on the S14 vein of which 16 have intersected more than 100 g/t equivalent-silver. Ten holes hit massive galena over core lengths of 0.30 to 1.15 m – a drill success rate of almost 50%. These holes were drilled on 50 X 80 m spacings from the 268m to 444m levels between grid sections 0 to 18.

S16E Vein — 371m of tunnelling was completed at four levels: 79m on the 680m level from PD680, 47 m on the 640m level from CM101, 11 m on the 570m level and 206m on the 534m level 534 through CM102. A 29 m raise was driven on the 570m level from CM102. Massive galen is exposed in the drift on the 534m level and in the raise.

S16E1 Vein — The S16E1 vein splays east off the S16E vein. It was discovered by underground drilling and has been defined by drilling and by tunnelling through access tunnel CM102. Seven drill holes and tunnelling on three different levels indicate the vein extends for more than 200 m both along strike and to depth.

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S16E2 Vein — Located 7 to 8 m east of the S16E1 vein, the S16E2 vein is a splay off the S16E vein and extends for 200m along strike. The vein was intersected by a crosscut from CM102 on the 610m level and followed by an 18 m drift. Drill hole ZK133 intersected the vein at the 573m level.

S16E3 Vein — The S16E3 vein, a splay to the west off the S16E vein, extends for more than 150m NE along strike and for more than 80 m down dip (55 to 70° SW).

S16W Vein — The S16W vein was explored by 227 m of drifts on four levels (680m, 650m, 570m, and 534m), 141 m of crosscuts, and 141 m of raises. The majority of the drift on the 534m level and all five raises contain from 0.1 to 2.6 m (true width) of massive galena.

S16W1 Vein — Explored on the 680m and 534m levels, with 84 m of drift, 32 m of raise, and 33 m of crosscutting completed on the 680m level. Massive galena is exposed in drawpoints developed on the 534m level in access tunnel CM102.

S21 Vein — Additional high-grade massive galena was found with drilling and tunnelling on the S21 vein. The vein has now been mapped for 1,500 meters at the surface. Tunnelling and drilling is focused on a 1,000-m long x 500-m high section of the vein. Tunnels have been completed on levels 680m, 640m, 580m, and 560m through the main access tunnels CM101, CM102, CM103, and PD680 (SGX camp) and YPD01 (YLG camp). Access tunnels include 1,434 m of drifts along the vein, 332 m of cross-cuts, and 86 m of raises. Tunnelling and drilling have defined 4 massive galena bodies 0.20 to 1.43 m wide, 25 to 256 m long and extending 170 to 450 m down dip.

Significant assay results from the new tunnels and the 15 drill holes completed August through December, 2006, include:

• 6,823 g/t silver (=219 oz/t silver) with 36.58% lead and 19.94% zinc over a true width of 0.7m were intersected in a raise on the 699m level,

• 993 g/t (31.92 oz/t) silver, 71.19% lead, and 3.20% zinc were intersected over 0.35 m (core length) of massive galena in drill hole ZK6006 at the 299m level

• 1,585 g/t (50.96 oz/t) silver, 47.51% lead and 10.8% zinc were intersected over 0.55 m (core length) of massive galena in drill hole ZK7406 at the 543m level.

HZG area

HZ10 Vein — Mapped at the surface and in underground workings, the HZ10 vein extends for 600m north-south along strike and dips 65 to 89° east. A surface drill hole (ZK1290) intersected the vein on the level 567 m level, indicating that the vein extends at least 210 m down-dip.

HZ12 Vein — This vein, located approximately 150 m southeast of the HZ10 vein, extends for northeast along strike for more than 225 m and extends steeply down-dip to the SE for more than 107 m. A surface drill hole (ZK13503) hit the vein on the 693m level, intersecting 0.4 m (apparent thickness) of 312 g/t (10.03 oz/t) silver, 0.33% lead and 0.22% zinc.

HZ20 Vein — Located approximately 800 m east of the HZ10 vein, HZ20 is the most significant vein yet discovered in the HZG Area. It has been defined by 22 drill holes from the surface and 3 underground drill holes and extends north-south for more than 1845 m along strike and dips dipping steeply east to a depth of more than 300 m. Eight surface drill holes have intersected significant silver-lead-copper mineralization from levels 600 to 780 m over true widths of 0.20 to 2.22 m. Tunnels on levels 840 m and 890 m also intersect the vein. Two mineralized zones have been defined by drilling and tunnelling. The first zone is 85 m long, 310 m

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deep, and 1.39 m wide and averages 385 g/t Ag, 0.14% Pb, 0.32% Zn, and 1.11% Cu. The second zone extends 290 m along strike, 230 m down dip, is 0.31 m thick and averages 1107 g/t Ag, 3.03% Pb, 0.47% Zn, 1.25% Cu.

HZ22 Vein — More than 900 m of vein, striking north-northeast and dipping east-southeast at 60 to 70Ú, have been delineated by surface mapping. The vein is 860 m southeast of the HZ10 vein is sub-parallel to the HZ20 vein. Its width ranges from 0.4 to 1.2 m.

HPG Area

Exploration activities on this recently acquired property have focused on the most easily accessible veins such as H15 and H17. Exploration and mine development utilize 10 main access tunnels – PD2, PD3, PD630, PD638, PD698, PD720, HPD29, HPD30, HPD640, and HPD850. Most of the exploration-development work has used the PD3 access tunnel which has 4 declines from the 600m level to the 340m level. 2,445 m of exploration tunnels and 4 surface drill holes (750 m) had been completed by May 25, 2007, resulting in the discovery of several new ore shoot. Significant assay results from the tunnelling are:

• m (true width) with 1.15 g/t gold, 120 g/t silver and 13.80% lead in a tunnel in the H15 vein on the 420m level;

• 0.4 (true width) of massive galena containing 5.03 g/t gold, 766 g/t silver and 17.23% lead in a tunnel on the H15-1 vein on the 735m level;

• 2.5 m (true width) of massive galena containing 1.03 g/t gold, 415 g/t silver and 50.89% lead and 4.4 m (true width) with 3.37 g/t gold, 176 g/t silver, 7.86% lead and 1.49% zinc in the H17 vein on the 360m level;

• 0.25 m (true width) with 125 g/t silver, 26.19% lead and 1.28% zinc in a tunnel in the H32 vein on the 688m level.

H5 Vein — The H5 vein trends NE, dips steeply NW and has been mapped for about 480 m at the surface with widths ranging from 0.25 to 1.70 m. It has been explored by 171 m of tunnels completed from the 460m level through the main access tunnel PD3.

H12 Vein — Tunnels on the 645m level found a thin vein with a small resource.

H15 Vein — 427 m of tunnels have been completed through main access tunnels PD3, PD630, and PD698. Significant Au, Ag, Pb and Zn mineralization having a true width of 1.4 m is exposed in 113 m of drift in the PD3 tunnel at the 432m level. The vein has also been intersected by cross-cut tunnels on the 630m and 698m levels.

H15-1 Vein — Gold-silver-lead mineralization extends NE more than 340 m along strike and dips 70° NW. Exploration includes 129 m of drift along PD720 at the 720m level and 17.4 m of drift through PD630 at the 630m level.

H17 Vein — 422 m of tunnels have been completed through the PD3 access tunnel on the 460m, 380m and 340m levels. Significant Au-Ag-Pb-Zn mineralization including massive galena has been intersected, including 4.4 m (true width) of high-grade containing 3.37 g/t gold, 176 g/t silver, 7.86% lead and 1.49% zinc on the 380m level, and 1.1 m (true width) of 6.02 g/t gold and 84.3 g/t silver in 32m of drifts on the 720m level.

H18 Vein — A 0.5 m wide vein averaging 4.15 g/t gold was found in tunnels on the 720m level.

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H32 Vein — Surface mapping found 240 m of N-S trending vein, dipping 60 to 70° E. Tunnels totalling 204 m have intersected significant mineralization including a 110 m drift on the 688m level accessed through PD688 and a 62 m raise to the 688m level through PD638. Assay results are pending.

B1 Vein —A 5.18 m wide breccia averaging 2.13 g/t gold (but very little silver-lead-zinc) was discovered by tunnelling on the 640m level.

5.14 Sampling Method and Approach

Most tunnel sampling at the Ying and HPG Projects is continuous chip sampling with some minor channel sampling. The chip sampling consists of continuous chips across the vein, yielding a 2 to 5 kg sample depending upon the width of the vein. The channel samples are cut 10 cm wide and 5 cm deep, yielding a 2 to 10 kg sample for each 0.1 to 1.0 m interval, depending upon the width of the vein. The channel or chip samples collected across the vein are taken at 5 to 7 m intervals along the vein where there is evidence of mineralization or significant alteration.

All drill core from the Ying and HPG Projects, from both underground and surface drilling, are NQ-size core (4.8 cm diameter). The core is logged initially at the drill site and the mineralized or favourably altered intervals are hauled to the surface core shack where it is logged, photographed and sampled in detail. Samples are taken by cutting the core in half, one piece at a time, with a diamond saw. One half of the core is returned to the core box for archival storage, the other half is placed in a labelled cotton bag with the sample number written on the bag. The bagged core sample is then shipped to the laboratory for assaying.

Individual samples, whether taken underground as continuous chip or channel samples or taken from drill core, are from veins that range from 0.1 m to 1.5 m in width. The veins consist of either massive sulfides or sulfide-bearing quartz-ankerite and can be easily identified and separately sampled from non-mineralized wall rock.

Core recoveries are determined by measuring the actual amount of core recovered vs. the length of the drilled interval from which the core was obtained. Core recoveries (calculated as percentage) are documented in the log. The only core recoveries of relevance are those of core taken across the mineralized veins. In general, the recoveries range from acceptable to excellent, although it appears the recoveries vary somewhat from vein to vein. For example, veins S16, S7 and S8 and their satellite veins have lower core recoveries (88 to 91%) than veins S2, S6, S14 and S21 (95 to 98%). This suggests that either the vein or wall-rock adjacent to the veins is more broken in the S16, S7 and S8 areas than the other vein areas.

Samples appear to have no sampling or recovery difficulties that would effect the reliability of results. The samples appear to be representative and results of check samples show no evidence of sample bias. Rocks sampled underground or in drill core are sulfide-rich veins that follow structures (faults). These veins are easily identified because of their bright metallic sulfides and they can be sampled with little difficulty.

The determinations of the true widths of sample intervals are a consideration only with the drill core samples. The angle of the vein to core is determined by using the vein to core angles and cross-sectional correlations to determine the dip of the veins. The apparent thickness is then corrected to true thickness using simple trigonometry.

5.15 Sample Preparation, Analyses and Security

Tunnel samples are taken at regular intervals and entail taking a certain volume of sample across the vein, depending upon the vein width. No splitting of these samples is done prior to being sent to the laboratory. However, the core is split by a diamond saw with one-half of the core sent to the laboratory for analysis and

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the other half retained for archive. The samples are individually secured in sample bags and then collectively secured in rice bags for shipment to the laboratory. Employees of Henan Found, the subsidiary of Silvercorp, collect the tunnel samples and split the core for sampling. No officer or director of either Silvercorp or Henan Found has contact with any of these samples prior to shipment to the laboratory.

All samples are prepared and analyzed by Langfang Institute of Geochemical and Geophysical Exploration, an ISO 9001 certified laboratory located in Langfang, Hebei Province, approximately 60 km from Beijing.

The sample preparation consists of drying, crushing and splitting of the sample with a riffle splitter to 150 g, then pulverizing the sample to 200 mesh. Lead, zinc, copper, silver and gold are all analyzed with an Atomic Absorption Spectrometer after a 3-hour hot aqua regia digestion on a 30 g split of the pulverized portion. A gravimetric finish is done on samples with silver values in excess of 1,500 g/t. On samples containing more than 30% lead, an acid dissolution and titration is used to complete the analysis. Langfang’s lower detection limits are 100 parts-per-billion (“ppb”) for gold, 3 g/t for silver, 0.03% for lead and zinc, and 0.02% for copper.

Silvercorp’s check procedures include (a) inserting standards in the sample batches submitted to the Lanfang lab or a regular basis, (b) submitting duplicate pulps to the Langfang lab on a regular basis, and (c) submitting duplicate pulps to an independent external lab on an intermittent basis.

Details of these check procedures are offered in the previous Technical Report on the Ying Project (Broili, et.al., 2006). In general:

• Standards included in samples sent to Langfang have been within 3% for the lead, zinc and silver values.

• Duplicate pulps sent to the Langfang lab (restricted to samples containing more than 50 g/t Ag, 0.5% Pb and 0.5% Zn) show average differences of less than 1% for the silver and zinc values and 1.2% for the lead values.

• Duplicate pulps selected at random, rather than from regular intervals, and sent for check analyses to ALS Chemex in Guangzhou, China, an ISO 9001: 2000 accredited lab. The average differences between the Lanfang analyses and the check analyses are near or below 5% for silver, lead and zinc.

Procedures used by Silvercorp for the preparation, security, analysis and checking of samples and sample results appear to be adequate and closely conform to standard industry practices.

5.16 Data Verification

During the property site visit, July 16–21, 2006, one of the authors of the Ying and HPG Report, Mr. Klohn, was given unrestricted access to all available information and all underground workings. Fortunately, this type of lead-zinc-silver-gold mineralization present in the Ying and HPG Projects are easy to recognize and identify, making verification relatively straightforward. Lead, zinc or silver assay grades can typically be confirmed within reasonable limits by visual estimation of the abundance of galena and sphalerite and sometimes wire silver.

The on-site verification visit consisted of the following:

• checking of property locations using a GPS

• visual inspection of the local geology, mostly underground but also on the surface

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• visual inspection of the mineralized alteration zones, both underground and on the surface and verification with a digital camera

• review of all on site maps, longitudinal sections, cross sections and assay spreadsheets

As part of the verification process, Mr. Klohn traversed many of the tunnels on foot using tunnel maps and digital camera to locate, document, verify and confirm various veins and drill sites against corresponding database entries and map postings. Included were inspections of randomly selected underground geological features and mineralized veins. Additionally, diamond drill cores and other sample materials stored at the project site were examined.

During the site visit, randomly selected parts of mineralized veins were measured and compared to lengths shown on maps and longitudinal sections. Additionally, the bearings of the veins were verified by hand-held compass readings. Finally, the length of the tunnels where they intersected veins, was paced to verify the accuracy of the working maps. The expectedly wide local variability in grade and continuity of lead-zinc-silver vein mineralization is a situation somewhat analogous to nuggety, coarse gold veins. The tunnelling shows acceptable to very good correlations in vein thickness and grade between the historical tunnelling and the new tunnels and drilling. This confirms the veracity of the historical tunnel sample results.

There were no limitations placed on Mr. Klohn for verification purposes. In Mr. Klohn’s opinion, the data are adequate for preparing mineral resource estimates compliant with NI 43-101.

5.17 Adjacent Properties

Silver-lead-zinc-gold properties similar to the Ying and HPG Projects are reported from various places in the Qinling orogenic belt. The property nearest to Ying is the Tieluping silver-lead mine immediately adjacent to the Ying Project block on the east.

The Tieluping mine is characterized by north-northeast trending, closely spaced, steeply-dipping, structurally-hosted quartz-ankerite veins with silver and lead mineralization in mafic gneiss. Alteration associated with this mineralized system includes quartz-ankerite and sericite. All silver mineralization is associated with increasing galena content of the veins.

Several local operators are currently mining the multiple vein sets at the Tieluping deposit underground. The veins are as much as 950 m long, from 2.0 to 5.6 m wide and extend 270 to 420 m down-dip. An indicated resource – according to Chinese resource standards but not compliant with Canadian NI 43-101 standards –of 1,061.69 tonnes of contained silver (about 34 million ounces) and approximately 200,000 tonnes of contained lead has been reported at average grades of 292 g/t Ag and 3% Pb. How much of this “resource” has been mined and how much remains in place is uncertain.

5.18 Mineral Processing and Metallurgy

Silvercorp has been producing silver-lead-zinc ore from the Ying Project for more than a year. After being mined, the ore is often hand-sorted at the mine site to produce an exceptionally high-grade ore (more than 60% lead) which is crushed to minus 25 mm then shipped by truck via barge directly to custom smelters. A belt-driven hand-sorting facility has been built at the SGX mine site with a capacity of approximately 25 tonnes per day.

In March, 2007, Silvercorp completed construction of the mill at the Ying Project to process the much more abundant lower-grade ores. The mill, about 15 km by paved road northeast of Guxian Reservoir, is supplied with power from the Henan Province power grid. A quality control laboratory attached to the mill can

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process up to 100 samples per day using wet chemical analytical methods and Atomic Absorption Spectrophotometry methods.

The Ying Project mill is currently operating at a rate of 800 tonnes ore per day and receives ore transported via barges across the reservoir from mines in the SGX and HPG areas. The average head grades for ore processed for the first 3 months of operation are 5.8% lead, 3.6% zinc and 438 g/t silver. The processes used in the mill are typical of polymetallic Pb-Zn ores. There are two stages of ore crushing, from 400 mm to 15 mm, followed by ball milling such that 70% of the material passes 200 mesh (74 microns). The minerals are then separated by a series of flotation circuits, producing a lead concentrate (carrying the silver) which averages 69% lead, and a zinc concentrate which averages 52% zinc.

The concentrates are of high quality, containing very little arsenic (less than 0.001%) or other penalty elements. Metal recoveries to date have averaged 94.3% for lead, 90.0% for silver and 79.5% for zinc. The silver and lead recoveries exceed those expected from the design specifications. The concentrates are currently being transported via trucks to custom smelters located 70 to 190 km from the mill site. A new smelter, partly owned by Silvercorp, is being constructed about 40 km by road from the Guxian mill site.

5.19 Specific Gravity

Procedures and results of specific gravity (“SG”) determinations on mineralized vein material from the Ying Project were described in some detail in the last previous Technical Report on the Project (Broili, et.al., 2006). SG determinations were done on 45 samples of high grade vein material, i.e., material containing more than 1,250 g/t equivalent-Ag. The average contained metal contents of these 45 samples were 37.55% Pb, 10.05% Zn and 1,994 g/t Ag. The theoretical SG of material with this composition – assuming the lead is all carried as galena (SG of 7.5), the zinc as sphalerite (SG of 4.0), and the remainder similar to quartz (SG of 2.6) – is 4.9 (equivalent to a density of 4.9 g/cm³). The average SG of these samples as determined by the wax-immers ion method was 4.28. Based on this, Silvercorp has used what the authors of the Ying and HPG Report consider to be a safely conservative SG of 4.2 in calculating the tonnage of the high-grade vein resource blocks. Nevertheless, the authors of the Ying and HPG Report recommend that additional SG determinations be done on a regular basis with checks from different independent laboratories.

Lower-grade material (between 200 g/t and 1,250 g/t equivalent-silver) in the SGX vein contains substantially lesser amounts of dense metallic minerals, especially galena, and has therefore been assigned a SG of 3.0 by Silvercorp in calculating tonnages of the SGX low-grade resource blocks. The authors of the Ying and HPG Report consider this SG to be reasonable and safely conservative.

Veins in both the HPG and HZG areas typically contain even smaller amounts of the dense mineral galena than even the low-grade veins in the SGX Area, and for this reason Silvercorp has assigned all the material from the HPG and HZG veins a SG of 2.8 in calculating tonnages of the resource blocks from these areas. The authors of the Ying and HPG Report believe this SG is also reasonable and safely conservative.

5.20 Mineral Resource Estimates

The mineral resource categories used in the Ying and HPG Report are those established by the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) in the CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines as adopted by the CIM Council on August 20, 2000. These resource definitions are summarized as follows:

“A Mineral Resource is a concentration or occurrence of natural, solid, inorganic or fossilized organic material in or on the Earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and

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continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge.

A Measured Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape, physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters, to support production planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough to confirm both geological and grade continuity.

An Indicated Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed.

An Inferred Mineral Resource is that part of a Mineral Resource, for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.”

Mineralization in the Ying project consists of narrow vein type deposits which occur as discrete planes of variable grade and finite but variable thickness. Resources in deposits of this type are amenable to definition using polygonal methods on longitudinal sections constructed for each vein. The resource estimates reported herein were prepared using such methods by Mr. Wang Jianwen, Chief Geologist of Henan Found, and Mr. Myles J. Gao, P.Geo, President of Silvercorp, who is a Qualified Person, as defined by NI 43-101.

The authors of the Ying and HPG Report audited in detail Silvercorp’s methodologies and resulting resource estimates reported in the report. The authors of the Ying and HPG Report are both Independent Qualified Persons as defined by NI 43-101 with experience using similar methodologies on vein systems elsewhere in the world. Further, the basic data utilized in these resource estimates – assay results, geological maps, level plans, construction of longitudinal and cross sections, sampling procedures, etc. – were all reviewed in detail during the July, 2007, site visit by one of the authors (Klohn) .

Following is an explanation with comments regarding the parameters and assumptions used to prepare the resource estimations reported in the Ying and HPG Report:

1.	The polygonal block model used in this resource estimation is a valid way to determine resources for this type and configuration of mineralization.
2.	The polygonal block model utilizes detailed long-sections constructed for each of the veins. The topographic control for these sections, taken from 1:10,000 government topographic maps, appears reliable.
3.	Polygonal resource blocks drawn on long-sections of the vein were constructed, and their areas measured, using MapGIS, a MapInfo-like GIS software application widely used in China.
4.	Resources categorized as either “measured” or “inferred” are estimated using only the assays obtained from drilling or underground channel sampling. Surface and trench samples are not

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	used because these samples might be affected by surface leaching. However, surface and trench data are used in estimating resource blocks categorized as “inferred.”
5.	Blocks defined by tunnel sampling are each limited to 25 m in length and 40 m in height, and the thickness of the block is calculated as the weighted average of the true widths of all samples included in the area of the block.
6.	Underground channel samples are collected across the veins every 5 to 7 m along the vein. The results are composited in groups of 5 to represent approximately 25 m of section along the vein strike.
7.	The minimum cut-off thickness used for mineralization is 0.10 m.
8.	The veins are polymetallic veins containing several payable metals. Although contents of each of the potentially payable metals are separately reported in the resource estimations, Silvercorp uses “equivalent-silver” values to assess and compare the vein resources. The “equivalent-silver” values, which are reported also in the resource estimate tables, are calculated as follows:
	g/t AgEquiv = g/t Ag + (22.0462 (%Pb x Pb Price + %Zn x Zn Price + %Cu x Cu Price + g/t Au x Au Price in $/gram) / Ag price in $/gram).

Metal prices used are	Ag:	US$ 6.50/troy ounce = US$ 0.21/gram
	Pb:	US$ 0.40/pound
	Zn:	US$ 0.45/pound
	Cu:	US$ 1.50/pound
	Au:	US$ 350.00/troy ounce = US$ 11.25/gram
Conversions	1 troy ounce = 31.1035 grams
	1 tonne = 2204.62 pounds

	The metal prices above are well below current market prices; these low prices are used as a “safety cushion” in determining the Ying silver-equivalencies because the calculation above presently does not account for metal recovery percentages.
9.	The cut-off grade used for the mineralization termed “high-grade” by Silvercorp is 1,250 g/t equivalent-silver. The cut-off grade used for mineralization termed “low-grade” is 200 g/t equivalent-silver.
10.	A top-cut value of 9,019 g/t Ag is applied for extremely high silver assay values, however only a handful of assays to date have exceeded that value. No top-cut is applied to lead, zinc, copper or gold.
11.	This is an in situ resource estimate only; no internal or external dilution has been applied.
12.	Mined-out areas as of June 30, 2007, are excluded from the resource estimates.
13.	Any interpolations are based upon vein thickness and grade.
14.	The specific gravity (SG) determinations for the Ying Project are discussed in more detail in the Mineral Processing and Metallurgy chapter (Chapter 16) of the Ying and HPG Report and in the previous technical report by Broili, et.al., 2006. In our opinion the SG values used

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	by Silvercorp in calculating tonnages of the individual resource blocks are safely conservative.
	In the SGX Area, where the veins all contain significant to major amounts of dense metallic sulfide minerals, especially galena, the SG value used for high-grade mineralization (i.e., >1,250 g/t equivalent-Ag) is 4.2, and the SG value used for low-grade mineralization (200 to 1,250 g/t equivalent-Ag) is 3.0.
	In the HPG and HZG areas, which typically contain much smaller amounts of the dense metallic minerals, especially galena, a SG of 2.8 in used in calculating tonnages of the resource blocks in these areas.
15.	The mining method employed is resuing stoping because of the narrow vein character of the mineralization. The resuing method separately breaks and removes ore from the wallrock.
16.	The wall rock surrounding the veins is commonly silicified, which means the vein usually breaks clean from the wall rock, thus minimizing dilution.
17.	The veins closely follow fault structures and they pinch-and-swell depending upon the curves along the fault and movement direction of conjugate faults.
18.	Because the mineralization pinches-and-swells, it is difficult to project mineralization over substantial distances. However, considering this is strictly a resource estimation, not a reserve, the data and methods employed are adequate to allow resources to be categorized as measured, indicated and inferred.
19.	Resource blocks categorized as “measured” are defined solely by continuous chip or channel sample assays in tunnels or drifts. These blocks are projected up to 20 m above and below a given tunnel and 20 m along strike from a given tunnel intersection.
20.	Resource blocks categorized as “indicated” begin either above or below a measured resource block or are projected from a drill intercept or cross-cut tunnel. For blocks projected from the measured resource blocks, the distances are not greater than 40 m. For blocks projected from drill holes, the distances are not greater than 70 to 80 m. Block boundaries are defined as the midpoint between drill holes.
21.	Resource blocks categorized as “inferred” use grades and thicknesses derived from the average of all the measured and indicated blocks along the vein. For veins intersected by deep holes, the inferred resource blocks are projected 160 m down-dip from the indicated blocks, otherwise, they are projected 80 m down-dip. A mineralization ratio (“MR”) is used to estimate the proportion of the block that will exceed the 1,250 g/t equivalent-silver cut-off.
	The MR is based upon the length of an adjacent tunnel or drift along the vein having values above the equivalent silver cut-off grade divided by the total length of the tunnel or drift. The tonnages calculated for each “inferred” resource block is calculated using the MR. The estimated proportions of mineralized sections (MS) for veins in all three areas (SGX, HPG and HGZ) are shown in the table below.

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Mineralization Ratio of Different Veins at SGX, HZG & HPG

SGX Veins	Drift Length (m)	MS Length (m)	Mineralization Ratio (%)
S2E	343.3	133.8	38.97
S2	540.3	172.6	31.95
S4	247.8	92.0	37.13
S5	147.3	17.0	12.06
S6	815.6	271.6	33.29
S7	851.1	69.0	8.11
S7-1	897.3	398.0	44.60
S7-2	390.4	5.0	1.45
S7-3	96.5	15.0	31.71
S8	4114.4	635.9	15.34
S8E	727.0	183.1	33.58
S8-1	185.0	24.9	17.00
S8-2	81.1	13.0	20.87
S11-E	206.5	20.0	9.69
S14	2042.9	997.0	50.31
S16E	2248.4	636.0	30.11
S16E1	110.7	40.0	36.13
S16E3	118.0	46.0	38.98
S16W	4265.7	1400.5	35.18
S16W1	339.4	72.9	21.48
S19	163.6	7.5	7.55
S21	2072.7	545.8	28.09
S21W	271.0	45.0	37.88
TOTAL	21,276.0	5841.6	27.46

HZG Veins	Drift Length (m)	MS Length (m)	Mineralization Ratio (%)
HZ10	312.9	55.0	17.58
HZ12	142.0	20.0	14.08
HZ20	130.4	30.0	23.01
HZ22	151.7	30.0	19.78
TOTAL	737.0	135.0	18.32

HPG Veins	Drift Length (m)	MS Length (m)	Mineralization Ratio (%)
H5	170.90	10.00	9.52
H12	162.80	30.00	18.43
H15	845.10	168.00	19.88
H15-1	254.50	45.00	27.52
H17	330.60	155.70	47.10
H18	279.20	40.00	14.33
H32	408.80	152.00	41.93
B	91.30	32.00	35.05
TOTAL	2,543.2	632.7	24.88

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5.21 Resource Data

The information used to calculate project resources is maintained in a series of linked Excel worksheets maintained for all exploration-development areas. The worksheets contain individual sample information such as sampling dates, locations, sample number, elevation, width, and assay results, and additionally, for drill holes, collar information, down hole survey data, sample intervals, and assay results. The data is organized in a manner such that information plotted on the vein long-sections and used to constrain boundaries of the resource block polygons can be readily retrieved and verified, samples on a vein-by-vein basis, and within each vein on a pocket-by-pocket basis, such that widths, grades and tonnages can be calculated if warranted down to very small blocks or areas within each vein.

5.22 Resource Geology

The high-grade pockets (shoots) of mineralization in the veins pinch-and-swell along the strike and dip of the veins. This is readily observed in underground workings and graphically demonstrated in grade variation plots of channel samples across the vein taken at regular intervals along the vein, as shown in figure below, where “high-grade” means samples with more than 1,250 g/t equivalent-Ag:

Grade Variation Plot Along S14 & S16 Veins

 

The resource polygons constructed on the vein long-sections also show the shoot-like character of the mineralization.

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5.23 Resource Estimates

The Ying and HPG mineralization is polymetallic and the contents of each potentially payable metal is separately reported in the resource estimations. Additionally, “equivalent-silver” values, calculated as explained previously in this chapter, are also reported, offering a way to quickly compare vein-to-vein resources.

The authors of the Ying and HPG Report caution that the silver-equivalencies reported herein do not account for metal recovery percentages. However, the metal prices used in the “equivalent-silver” calculation are well below current market prices, offering a conservative “safety cushion” for the omission of these recovery factors. The mill recoveries experienced to date, and reported previously in the Metal Processing and Metallurgy chapter (Chapter 16) of the Ying and HPG Report appear to fall well within this “safety cushion.” Nevertheless, the authors of the Ying and HPG Report recommend that future reporting of silver equivalencies incorporate these recovery factors.

The estimated mineral resources of the three exploration-development areas at Ying and HPG, current as of June 30, 2007, are summarized in the following table:

Ying Project - Summary of Mineral Resources

Contained Metals

Width

Ag

Ag

Au

Pb

Zn

Cu

eq-Ag

(m)

Tonnes

(g/t)

(oz/t)

(g/t)

(%)

(%)

(%)

(g/t)

Ag (oz)

Pb (t)

Zn (t)

Cu (t)

Au (oz)

eq-Ag (oz)

SGX Area - High-grade
Measured	0.50	215,173	1,250	40.18	20.41	9.14	2,545	8,646,679	44,450	21,817	523	17,607,571
Indicated	0.43	787,089	1,227	39.46	21.54	7.14	2,475	31,058,205	169,515	56,232	479	62,638,615
Meas + Ind	0.44	1,002,261	1,232	39.62	21.30	7.57	2,490	39,704,887	205,956	73,381	1,001	80,246,081
Inferred	0.44	1,707,850	1,219	39.19	21.80	7.57	2,498	61,447,487	345,936	122,480	3,333	137,180,776

SGX Area - Low-grade
Measured	0.50	48,770	281	9.02	6.13	6.84	865	528,119	3,459	3,641		1,553,133
Indicated	0.41	750,329	223	7.18	3.55	3.86	560	5,390,121	26,661	28,936	1,324	12,769,092
Meas + Ind	0.42	799,099	227	7.30	3.71	4.04	578	5,830,237	29,568	32,179	1,324	18,541,705

HZG Area
Indicated	0.78	248,484	598	19.23		1.76		0.78	796	4,777,198	4,364		1,941		6,356,729
Inferred	0.62	271,042	552	19.23		1.40		0.43	679	4,807,002	3,784		1,176		5,916,975
HPG Area
Measured	0.99	35,226	117	3.77	1.41	6.28	1.28		519	132,794	2,174	261		1,594	553,359
Indicated	0.95	166,661	67	2.15	2.33	3.52	0.30		355	357,887	5,859	502		12,476	1,901,060
Meas + Ind	0.96	201,887	76	2.43	2.15	3.95	0.38		376	490,687	8,033	763		14,069	2,454,419
Inferred	0.96	1,513,222	120	3.85	1.41	6.68	2.17		581	5,824,580	101,017	32,906		68,706	28,250,515

Ying Project - Total Estimated Mineral Resources
Measured	299,169	9,307,592	50,084	25,719	523	19,714,063
Indicated	1,952,563	41,583,412		85,670	2,419	83,665,496
Meas + Ind	2,251,731	50,891,004		111,389	2,942	103,379,559
Inferred	3,492,114	72,079,069		155,386	4,509	171,348,265

Note: The equivalent-Ag calculation is explained previously in this chapter. It reflects gross metal content using the metal prices cited earlier and has not been adjusted for metallurgical recoveries.

A detailed vein-by-vein breakdown of the estimated mineral resources is provided in the tables in the following pages:

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SGX AREA: VEIN-BY-VEIN MINERAL RESOURCE ESTIMATES - HIGH-GRADE (1,250 g/t Ag Equiv. cutoff)

Contained metals

vein#

Width (m)

Tonnes

Ag (g/t)

Ag (oz/t)

Pb (%)

Zn (%)

Cu (%)

Au (g/t)

Ag Equiv* (g/t)

Ag (oz)

Pb (t)

Zn (t)

Cu (t)

Au (oz)

Ag Equiv* (oz)

Measured Mineral Resources - High grade
S2	0.29	3,636	1,586	51.00	23.03	10.20		3,042	185,445	1,367	2,519		355,675
S2 E	0.60	4,383	1,881	60.49	24.91	7.15		3,272	265,145	1,092	313		461,120
S4	0.36	1,011	1,408	45.26	30.00	9.66		3,132	45,760	303	98		101,821
S6	0.47	14,582	1,382	44.43	23.27	9.79		2,829	647,949	3,393	1,427		1,326,091
S7	1.05	6,311	632	20.33	13.75	7.57		1,572	128,271	868	478		318,892
S7-1	0.19	16,954	699	22.46	18.68	14.25		2,163	380,751	3,166	2,417		1,179,161
S8	0.61	27,943	1,698	54.58	18.94	5.34	1.87	2,750	1,525,149	5,292	1,492	523	2,470,914
S8-2	0.28	1,065	249	8.02	22.88	7.91		1,590	8,540	244	84		54,482
S14	0.34	22,607	1,788	57.47	36.41	3.84		3,506	1,299,212	8,231	867		2,548,440
S16 E	0.61	29,680	1,276	41.03	12.65	11.19		2,341	1,217,638	3,755	3,322		2,233,915
S16 W	0.49	53,822	1,014	32.59	20.95	10.13		2,379	1,754,293	11,276	5,452		4,116,189
S16 W1	0.55	13,331	1,178	37.87	17.95	11.52		2,482	504,850	2,393	1,536		1,063,904
S21	0.48	18,788	1,085	34.87	15.43	9.39		2,182	655,086	2,899	1,765		1,317,826
S21 W	0.31	1,059	839	26.99	16.22	4.48		1,736	28,590	172	47		59,140
Total	0.50	215,173	1,250	40.18	20.41	9.14		2,545	8,646,679	44,450	21,817	523	17,607,571

Indicated Mineral Resources - High-grade
S2	0.54	43,629	1,101	35.40	17.14	5.77		2,098	1,544,289	7,480	2,519		2,943,539
S2 E	0.37	22,938	1,044	33.57	26.58	11.67		2,720	769,927	6,097	2,677		2,005,671
S4	0.25	1,845	785	25.24	39.55	4.21		2,654	46,556	730	78		157,387
S5	0.10	1,431	1,928	61.97	28.18	15.13		3,835	88,714	403	217		176,502
S6	0.40	46,429	1,494	48.03	30.82	7.49		3,150	2,230,006	14,310	3,480		4,702,460
S7	0.54	67,987	793	25.49	13.12	9.75		1,809	1,732,660	8,918	6,628		3,954,178
S7-1	0.24	49,831	608	19.55	12.23	7.66		1,488	974,203	6,096	3,819		2,384,033
S7-3	0.21	13,437	1,299	41.76	21.27	11.08		2,723	561,134	2,858	1,489		1,176,115
S8	0.61	28,483	1,750	56.26	19.98	8.99	1.68	3,020	1,602,338	5,691	2,561	479	2,765,241
S8 E	0.44	19,890	1,106	35.56	7.20	7.38		1,761	707,363	1,433	1,468		1,125,871
S14	0.34	116,071	2,209	71.02	27.70	3.15		3,528	8,243,784	32,156	3,655		13,164,142
S16 E	0.30	34,027	1,157	37.18	12.27	11.09		2,200	1,265,301	4,174	3,772		2,407,343
S16 E3	0.67	10,149	1,008	32.40	15.67	12.56		2,265	328,794	1,591	1,275		739,189
S16 W	0.46	111,911	819	26.33	18.43	8.55		2,002	2,946,394	20,625	9,568		7,204,983
S16 W1	0.50	97,985	1,083	34.83	32.61	6.37		2,762	3,413,239	31,950	6,244		8,700,902
S21	0.42	115,283	1,180	37.94	20.08	5.74		2,300	4,373,633	23,146	6,618		8,524,008
S21 W	0.19	5,761	1,241	39.90	32.25	2.86		2,737	229,869	1,858	165		507,051
Total	0.43	787,089	1,227	39.46	21.54	7.14		2,475	31,058,205	169,515	56,232	479	62,638,615

Measured+Indicated Mineral Resources - High-grade
S2	0.51	47,266	1,138	36.60	17.60	6.11		2,171	1,729,737	838	371		3,299,109
S2 E	0.41	27,321	1,178	37.88	26.31	10.95		2,808	1,035,072	7,189	2,990		2,466,792
S4	0.29	2,856	1,005	32.33	36.17	6.14		2,823	92,316	1,033	175		259,208
S5	0.10	1,431	1,928	61.97	28.18	15.13		3,835	88,714	403	217		176,502
S6	0.42	61,011	1,467	47.17	29.02	8.04		3,073	2,877,956	17,703	4,907		6,028,551
S7	0.56	74,298	779	25.05	13.17	9.56		1,789	1,860,930	9,786	7,106		4,273,070
S7-1	0.23	66,785	631	20.29	13.87	9.34		1,659	1,354,954	9,262	6,235		3,563,194
S7-3	0.21	13,437	1,299	41.76	21.27	11.08		2,723	561,134	2,858	1,489		1,176,115
S8	0.61	56,426	1,724	55.43	19.46	7.18	1.77	2,886	3,127,486	10,983	4,053	1,001	5,236,154
S8-2	0.28	1,065	249	8.02	22.88	7.91		1,590	8,540	244	84		54,482
S8 E	0.44	19,890	1,106	35.56	7.20	7.38		1,761	707,363	1,433	1,468		1,125,871
S14	0.34	138,678	2,140	68.81	29.12	3.26		3,524	9,542,996	40,387	4,522		15,712,581
S16 E	0.45	63,707	1,212	38.97	12.45	11.13		2,266	2,482,940	7,929	7,094		4,641,259
S16 E3	0.67	10,149	1,008	32.40	15.67	12.56		2,265	328,794	1,591	1,275		739,189
S16 W	0.47	165,732	882	28.36	19.25	9.06		2,125	4,700,688	31,901	15,020		11,321,171
S16 W1	0.50	111,317	1,095	35.20	30.85	6.99		2,728	3,918,089	34,343	7,780		9,764,806
S21	0.43	134,071	1,167	37.51	19.43	6.25		2,283	5,028,719	26,046	8,383		9,841,834
S21 W	0.20	6,821	1,179	37.89	29.76	3.11		2,582	258,459	2,030	212		566,191
Total	0.44	1,002,261	1,232	39.62	21.30	7.57		2,490	39,704,887	205,956	73,381	1,009	80,246,081

Inferred Mineral Resources - High-grade
S2	0.54	154,085	1,159	37.25	18.01	6.26		2,216	257,820	1,309	2,849		10,976,957
S2 E	0.40	45,831	1,196	38.45	26.30	10.59		2,809	1,762,317	12,054	4,854		4,138,388
S4	0.29	45,577	1,079	34.68	33.87	7.32		2,855	1,580,513	15,439	3,335		4,184,124
S5	0.10	4,018	1,928	61.97	28.18	15.13		3,835	249,032	1,132	608		495,464
S6	0.42	155,244	1,467	47.17	29.02	8.04		3,073	7,323,053	45,045	12,485		15,339,847
S7	0.56	106,553	779	25.05	13.17	9.56		1,789	2,668,841	14,034	10,191		6,128,197
S7-1	0.23	144,033	600	19.29	12.29	8.23		1,509	2,778,047	17,707	11,853		6,989,321
S7-3	0.21	18,801	1,299	41.76	21.27	11.08		2,723	785,147	3,998	2,084		1,645,639
S8	0.56	216,453	1,522	48.93	21.18	6.51	1.54	2,725	10,591,849	45,845	14,091	3,333	18,962,245
S8 E	0.44	16,067	1,106	35.56	7.20	7.38		1,761	571,387	1,157	1,186		909,445
S14	0.34	161,470	2,115	68.01	30.65	3.25		3,563	10,981,152	49,498	5,247		18,497,436
S16 E	0.41	108,619	1,172	37.68	13.46	11.27		2,275	4,093,066	14,625	12,238		7,945,013
S16 E3	0.67	6,060	1,008	32.40	15.67	12.56		2,265	196,305	950	761		441,330
S16 W	0.48	219,203	894	28.74	20.38	9.31		2,196	6,300,537	44,674	20,408		15,476,144
S16 W1	0.52	174,725	1,137	36.57	30.15	6.98		2,741	6,389,505	52,677	12,190		15,396,787
S21	0.43	128,003	1,167	37.51	19.43	6.25		2,283	4,801,134	24,867	8,004		9,396,421
S21 W	0.20	3,108	1,179	37.89	29.76	3.11		2,582	117,781	925	97		258,017
Total	0.44	1,707,850	1,219	39.19	21.80	7.57		2,498	61,447,487	345,936	122,480	3,333	137,180,776

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Update on the Ying Silver-Lead-Zinc and the HPG Gold-Silver-Lead Projects, Henan Province, China
Silvercorp Metals Inc. August 16, 2007

HZG AREA: VEIN-BY-VEIN MINERAL RESOURCE ESTIMATES

								Contained metal
vein#	Thickness (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Pb (%)	Cu (%)	Ag Equiv (g/t)	Ag (oz)	Pb (t)	Cu (t)	Ag Equiv (oz)
Indicated Mineral Resources
HZ10	0.72	50,643	146	4.68	2.50		251	237,219	1,267	0	409,177
HZ12	0.31	5,004	442	14.22	5.77		686	71,144	288	0	110,282
HZ20	0.84	176,505	738	23.72	1.53	1.10	976	4,185,873	2,708	1,941	5,540,647
HZ22	0.40	16,333	539	17.33	0.62	-	565	282,963	101	0	296,623
Total	0.78	248,484	598	19.23	1.76	0.78	796	4,777,198	4,364	1,941	6,356,729

Inferred Mineral Resources
HZ10	0.72	43,787	146	4.68	2.50		251	205,108	1,096	0	353,790
HZ12	0.31	5,948	442	14.22	5.77		686	84,567	343	0	131,090
HZ20	0.84	106,910	738	23.72	1.53	1.10	976	2,535,396	1,640	1,176	3,355,987
HZ22	0.40	114,397	539	17.33	0.62		565	1,981,931	705	0	2,077,611
Total	0.62	271,042	552	19.23	1.40	0.43	679	4,807,002	3,784	1,176	5,916,975

HPG AREA: VEIN-BY-VEIN MINERAL RESOURCE ESTIMATES

Contained Metals

vein#

Width (m)

Tonnes

Ag (g/t)

Ag (oz/t)

Au (g/t)

Pb (%)

Zn (%)

Ag Equiv (g/t)

Ag (oz)

Au (oz)

Pb (t)

Zn (t)

Ag Equiv (oz)

Measured Mineral Resources
H15	1.20	23,667	114	3.67	1.45	5.72		434	86,950	1,103	1,354	0	330,007
H15-1	0.35	707	84	2.71	1.98	2.83		310	1,916	45	20	0	7,051
H17	1.15	9,304	125	4.03	1.49	7.01	2.80	634	37,480	445	652	261	189,752
H32	0.27	1,548	130	4.17		9.57		533	6,449	0	148	0	26,549
Total	0.99	35,226	117	3.77	1.41	6.28	1.28	519	132,794	1,594	2,174	261	553,359

Indicated Mineral Resources
H12	0.18	779	104	3.33		15.25		747	2,597	0	119	0	18,711
H15	1.04	54,958	88	2.82	0.86	4.90		341	155,118	1,520	2,693	0	602,260
H15-1	0.25	5,690	143	4.60	2.77	12.41		816	26,166	507	706	0	149,212
H17	1.15	42,932	85	2.72	4.65	3.06	1.17	519	116,717	6,415	1,314	502	717,020
H18	0.48	3,065	153	4.93	4.15	0.36		392	15,117	409	11	0	38,641
H32	0.24	10,193	110	3.53	0.80	9.83		567	35,959	262	1,002	0	185,961
B(1)	5.18	49,044	4	0.13	2.13	0.03		120	6,213	3,363	15	0	189,256
Total	0.95	166,661	67	2.15	2.33	3.52	0.30	355	357,887	12,476	5,859	502	1,901,060

Measured+Indicated Mineral Resources
H12	0.18	779	104	3.33		15.25		747	2,597	0	119	0	18,711
H15	1.08	78,625	96	3.08	0.98	5.07		363	242,066	2,481	3,987	0	916,607
H15-1	0.26	6,397	137	4.39	2.68	11.35		760	28,082	551	726	0	156,237
H17	1.15	52,236	92	2.95	4.08	3.76	1.47	540	154,204	6,860	1,964	770	907,445
H18	0.48	3,065	153	4.93	4.15	0.36		392	15,117	409	11	0	38,641
H32	0.25	11,741	112	3.61	0.78	9.79		568	42,409	294	1,150	0	214,235
B(1)	5.18	49,044	4	0.13	2.13	0.03		120	6,213	3,363	15	0	189,256
Total	0.96	201,887	76	2.43	2.15	3.95	0.38	376	490,687	13,959	7,972	770	2,441,131

Inferred Mineral Resources
H12	0.18	6,081	104	3.33	0.32	15.25		765	20,276	63	927	0	149,461
H15	1.08	291,347	96	3.08	0.98	5.07		363	896,985	9,195	14,775	0	3,396,528
H15-1	0.26	12,263	137	4.39	2.68	11.35		760	53,830	1,056	1,391	0	299,450
H17	1.15	1,173,297	125	4.03	1.49	7.01	2.80	634	4,726,502	56,173	82,233	32,906	23,929,381
H18	0.48	13,473	153	4.93	4.15	0.36		392	66,446	1,798	49	0	169,844
H32	0.25	16,761	112	3.61	0.78	9.79		568	60,541	420	1,641	0	305,852
Total	0.96	1,513,222	120	3.85	1.41	6.68	2.17	581	5,824,580	68,706	101,017	32,906	28,250,515

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Figure 6: Longitudinal Projection of S14 Vein

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Figure 7: Longitudinal Projection of S16W Vein

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Figure 8: Longitudinal Projection of S21 Vein

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Figure 9: Tunnels and Veins at HPG Area

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Figure 10: Cross Section on Exploration Line 16

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Update on the Ying Silver-Lead-Zinc and the HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 11: Longitudinal Projection of H15 Vein

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Update on the Ying Silver-Lead-Zinc and the HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 12: Longitudinal Projection of H17 Vein

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Figure 13: Tunnels and Veins at HZG Area

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Figure 14: Longitudinal Projection of H20 Vein

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Figure 15: Longitudinal Projection of H22 Vein

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ITEM 6: OTHER RELEVANT DATA AND INFORMATION

In the previous 43-101 technical report on the Ying Project (Broili et.al., 2006) information relevant to development and production at Ying were covered in detail. This included relevant information on mine site access, mine permitting, mining methods, mine design, mine ventilation, hydrology, ore sorting, ore haulage, ore milling, direct shipping ore, power supplies, manpower, metal markets, environmental permitting and similar issues, health and safety, capital costs, operating costs and a scoping-level economic analysis. The conclusions from this evaluation were positive and suggest: (1) there is a strong likelihood the Ying Project will be economically successful, and (2) none of the relevant information detains or detracts from the Ying Project operation.

Some of the more relevant positive features in the evaluation of the Ying operation were:

• proximity to Guxian Reservoir offers good access for supplies and ore haulage,

• availability of local power for the mine and mill facilities,

• topography favours accessing the veins by driving horizontal tunnels from the sides of the narrow valleys,

• ore and wall-rock mechanics allow the use of shrinkage stopes, providing 95% ore recoveries with minimum dilution,

• the several horizontal portals created for exploration can be used to provide a fast and effective method of moving the high-grade ore from underground

• abundant labour supply at low costs provides a major economic advantage over similar deposits in other parts of the world,

• prices for silver, lead and zinc quoted on the Shanghai Metal Exchange are about 13% above world prices due to a 13% Value Added Tax on metal imports levied by the Chinese government,

• access to a number of existing nearby custom mills and smelters,

• a capital payback period of zero because ore produced by development and exploration pays for the costs of development,

• a safety program implemented at Ying which exceeds Chinese standards and a current record of no serious injury or death.

The only relevant data of minor concern is the unlikely event of a natural catastrophe such as a major flood or earthquake that could impact safety or the environment.

Some new relevant information received after the date of the previous technical report is hydrological data provided by Zhengzhou Geological Engineering Exploitation Institute of Henan Province in a detailed hydrogeology report in May, 2006. The conclusions of the report are as follows:

• Seepages in veins (mine workings) are derived from wall rock fractures.

• The source of groundwater is rainfall.

• Wall rock adjacent to mineralized veins is competent and blocky Archean gneiss that acts as an aquiclude; saturation rate in the mining area is low.

• Pumping tests demonstrate that waterflow into underground workings is stable: 11.9 m³/hr

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at 518m level in main access tunnel CM102 and 5.45 m³/hr at 496m level in main accesstunnel CM103 (the workings nearest to Guxian Reservoir).

• Hydrogeologic investigation and comparison of water quality proves that seepages in the S2 vein (the nearest vein to Guxian Reservoir) are not related to the Guxian reservoir).

Other new and relevant information collected as a follow-up to the hydrologic study is a TEM geophysical survey recently conducted by the Henan Non-ferrous Geology Institute for the Ying Project. The TEM survey was done in February and March, 2007, in the northwest corner of the SGX Area. The purpose was to investigate the relationship between the Guxian reservoir and the veins. The survey revealed that a majority of the veins in the SGX Area and a few northeast-trending faults are parallel to the reservoir shoreline. The survey indicated the faults were probably not pathways allowing reservoir water to flow into the veins where mining is planned.

The TEM survey also showed excellent correlation between low resistivity anomalies and known mineralized veins.

In May, 2007, a TEM survey was conducted in the HZG Area. Survey lines were perpendicular to the veins and spaced 100 m by 20 m. To date, 14 lines have been completed and show TEM anomalies that correlate with the known veins. One anomaly suggests the presence of a vein 200 to 300 m southeast of the HZ20 vein. Surface mapping may be able to better define the vein structure.

ITEM 7: INTERPRETATION AND CONCLUSIONS

Between August 2004 and August 2007, Silvercorp completed 74,619 m of underground workings and 78,581 m of underground and surface drilling in 280 holes. This work has defined silver-lead-zinc-gold-copper resources in numerous shoots within 29 veins averaging 0.39 m wide at SGX (18 veins), 0.96 m wide at HPG (8 veins) and 0.78 m wide at HZG (4 veins). The mineralization is hosted by quartz-ankerite veins cutting Precambrian age gneisses, and is similar to the important mesothermal vein system of the famous Coeur d’Alene District, USA, and other similar silver-lead-zinc districts throughout the world.

New resource calculations presented in the report consist of high and low grade, measured plus indicated resources at SGX, HPG and HZG of 2,251,731 tonnes with contained metals of 50.89 million ounces of Ag, 256,483 tonnes of Pb, and 111,389 tonnes of Zn, 2,942 tonnes of Cu and 15,393 ounces of Au. The inferred resource is 3,492,114 tonnes with contained metals 72.08 million ounces of Ag, 450,737 tonnes of Pb, and 155,386 tonnes of Zn, reflecting more than a 30% increase from one year ago (Broili et al, 2006).

During the past three years, Silvercorp has rapidly expanded the silver-lead-zinc resources defined in the Ying veins. In addition, they have found new, albeit small, resources of gold and copper. Silvercorp’s resource additions is due to an aggressive program of underground exploration and development tunnels, declines, raises and crosscuts which have been successful in intersecting new veins and expanding or upgrading existing resources in known veins. Considering the geologic setting of the area and the large areas of known and potential vein systems yet to be explored in detail, it is highly likely that by continuing a similar level of exploration-development many more new veins will be discovered and significant extensions to known veins will be defined.

The expected economic viability of the Ying Project was scoped at length in the previous technical report which concluded that the project, based on the estimated resources known at that time, would likely be a financial success (Broili, et.al., 2006). Since then, the estimated resources at HPG and Ying, calculated using the same parameters as in the last report, have increased significantly, roads and other infrastructure have improved, and a 600 tpd mill has been completed to produce high quality concentrates in close

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proximity to the property. Considering these improvements, an update to the previous review of project economics would be of interest. Such a review, however, was beyond the scope of the Ying and HPG Report.

The authors of the Ying and HPG Report consider the HPG and Ying Projects to be advanced production stage projects of considerable merit. With geological interpretation and understanding of the Ying Project and considering its similarity to the Coeur d’Alene district, the authors expect the aggressive tunnelling and drilling program recommended in the Ying and HPG Report as the Phase 4 Exploration Program could well extend the life of the HPG and Ying operation by many years.

ITEM 8: RECOMMENDATIONS

The authors of the Ying and HPG Report, together with Mr. Myles Gao, President of Silvercorp, reviewed Silvercorp’s proposed work program and the authors of the Ying and HPG Report recommend a Phase 4 Exploration Program. This program is designed to upgrade inferred mineral resources to indicated and measured and to discover additional mineral resources in the Ying Project and the recently acquired HPG target areas. The estimated cost of this program for 2007 will be approximately US$7.5 million and is broken down as follows:

Project	Area	Program	Meters	Unit Cost (US$/m)	Budget (US$)	Work Completed (m)
Ying	SGX	Tunneling Underground Drilling	7,500 12,000	129 32	838,816 338,158	6,943 13,630
	HZG	Tunneling	10,000 3,000 18,100	129 23 95	1,118,421 59,211 1,500,395	2,652 524 10,167
		Underground Drilling
		Surface Drilling
	XM	Surface Drilling	500	64	27,632	479
	SDG-LJG	Tunneling	1,550	129	173,355	836
		Drilling	4,000	95	331,579
	RHW	Surface Drilling	2,980	64	164,684	1,981
	TEM Geophysical Survey		70km2		263,158	1
	Ying Total		59,630		4,815,408	35,231
HPG	HPG	Tunneling Surface Drilling	14,670 12,936	129 95	1,640,724 1,234,800	4,463 759
	HPG Total		27,606		2,875,524	5,222

For the Ying Project, this program includes:

• SGX area – tunnelling and drilling on known veins (S2, S6, S7, S7-1, S8, S8E, S10, S11, S14, S16E, S16W, S19, and S21) through main access tunnels CM101, CM102, CM103, PD640, PD680, PD700, YPD01, YPD02 and YM01 at the SGX;

• HZG area – tunnelling and drilling on HZ3, HZ5, HZ10, HZ12, HZ18, HZ20 and HZ22, with drilling concentrated mainly on the HZ20 vein;

• XM – drilling on X1 and X8 veins;

• SDG-LJG – tunnelling and drilling along the C29 vein (which is about 8 km long);

• RHW area – drilling on C8 and C9;

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• Conducting a TEM geophysical survey over the entire Ying property.

For the HPG Area, this program includes:

• Tunnelling on veins H5, H13, H15, H17, H18, H20, and H32, with drilling focused on the H15, H16, and H17 veins.

This is the end of the extract from the Ying and HPG Report.

ITEM 9: DIVIDENDS

The Company declared its first annual dividend at CAD$0.05 (pre-split: CAD$0.15) per share to be paid to shareholders of record at the close of business on September 28, 2007. The declaration and amount of any future dividends will be at the discretion of the directors.

ITEM 10: DESCRIPTION OF CAPITAL STRUCTURE

10.1 General Description of Capital Structure

The Company has an authorized capital of an unlimited number of common shares without par value, of which 149,416,476 common shares were issued and outstanding as fully paid and non-assessable as of May 29, 2008. A further 7,020,804 common shares have been reserved and allotted for issuance upon the due and proper exercise of certain incentive options and share purchase warrants outstanding as of May 29, 2008

All of the common shares of the Company rank equally as to dividends, voting powers and participation in assets and in all other respects. Each common share carries one vote per share at meetings of the shareholders of the Company. There are no indentures or agreements limiting the payment of dividends and there are no conversion rights, special liquidation rights, pre-emptive rights or subscription rights attached to the common shares. The common shares presently issued are not subject to any calls or assessments.

Under its Stock Option Plan, the Company may grant options to purchase up to 19,500,000 common shares to directors, officers, employees and consultants. As of May 29, 2008, the Company has granted options to purchase 16,817,700 common shares at exercise prices from CAD$0.18 to CAD$9.05 per share and terms ranging from three to five years, with the last options expiring on May 13, 2013. Of the options granted, 3,284,685 remain outstanding.

Shareholders Rights Plan

At the Company’s Annual General Meeting held on August 4, 2005, shareholders approved the implementation of a Shareholders Rights Plan. The Rights Plan is designed to encourage the fair treatment of shareholders in the event of any take-over offer for the Company. The Rights Plan provides the board of directors and the shareholders with more time than the 35 days provided by statute, to fully consider any unsolicited take-over bid for the Company without undue pressure, to allow the board of directors to pursue, if appropriate, other alternatives to maximize shareholder value and to allow additional time for competing bids to emerge. Under the Rights Plan, a bidder making a Permitted Bid (as defined in the Rights Plan) for the common shares of the Company may not take up any shares before the close of business on the 60th day after the date of the bid and unless at least 50% of the Company's common shares not beneficially owned by the person making the bid and certain related parties are deposited, in which case the bid must be extended for 10 business days on the same terms to allow other shareholders to deposit to the bid. The Rights Plan

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will encourage an offeror to proceed by way of Permitted Bid or to approach the board of directors with a view to negotiation by creating the potential for substantial dilution of the offeror's position if a non-Permitted Bid is attempted. The Permitted Bid provisions of the Rights Plan are designed to ensure that, in any take-over bid, all shareholders are treated equally, receive the maximum available value for their investment and are given adequate time to properly assess the bid on a fully informed basis.

The Rights Plan was not proposed in response to, or in anticipation of, any acquisition or take-over offer and is not intended to prevent a take-over of the Company, to secure continuance of current management or the directors in office or to deter fair offers for the common shares of the Company. The Rights Plan does not affect in any way the financial condition of the Company. The initial issuance of the Rights is not dilutive and will not affect reported earnings per share or cash flow per share until the rights separate from the underlying common shares and become exercisable.

The Rights Plan has a term of three years and will expire at the close of the annual meeting of shareholders after the third anniversary of the confirmation of the Rights Plan, unless the rights are earlier redeemed or exchanged. There is no plan to extend the Rights Plan at the upcoming 2008 annual meeting of shareholders.

10.2 Constraints

There are no known constraints on the ownership of securities of the Company to ensure that the Company has a required level of Canadian ownership.

10.3 Ratings

There are no known ratings, including provisional ratings, by rating organizations for securities of the Company which are outstanding and that continue in effect.

ITEM 11: MARKET FOR SECURITIES

The common shares of the Company were traded in Canada on the TSX-V under the symbol “SVM”. The Company’s shares were listed on the Toronto Stock Exchange under the same symbol and delisted from the TSX-V on October 24, 2005.

Standard & Poors Canadian Index operations added the Company’s common shares to the S&P/TSX Composite Index and the S&P/TSX Global Gold Index (formerly the S&P/TSX Capped Gold Index), effective December 18, 2006.

Effective Tuesday, June 12, 2007, Standard & Poors Canadian Index operations added the Company’s common shares as a constituent for the new S&P/TSX Global Mining Index.

The following table provides the high, low and close prices and average volume for the Company’s shares for the periods indicated as traded on the Toronto Stock Exchange from July 2007 to June 2008 (stated in Canadian dollars):

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Month	High	Low	Volume
July 2007	$23.19	$18.00	519,500
August 2007	$21.59	$15.31	729,300
September 2007	$21.72	$17.15	510,300
September 26, 2007             $0.15 Dividend
October 2007	$23.34	$19.90	565,000
October 29, 2007                3:1 Stock Split
November 2007	$10.28	$7.62	714,900
December 2007	$9.54	$8.05	471,600
January 2008	$10.63	$7.44	673,800
February 2008	$10.65	$8.96	496,100
March 2008	$10.58	$7.47	614,700
April 2008	$8.75	$7.16	370,600
May 2008	$8.18	$7.12	281,590

ITEM 12: ESCROWED SECURITIES

The Company has no securities currently held in escrow.

ITEM 13: DIRECTORS & OFFICERS

13.1 Name, Occupation and Security Holding

The following table sets out the names of the directors and officers of the Company, all officers in the Company each now holds, each person’s principal occupation, business or employment, the period of time during which each has been a director of the Company and the number of shares of the Company beneficially owned by each, directly and indirectly, or over which each exercised control or direction as at the date of this Annual Information Form.

Name and Municipality of Residence(1)	Current Positions and Offices Held	Principal Occupations During Last Five Years(1)(2)	Date of Appointment as a Director	Shares Beneficially Owned (Number and %)(4)
Rui Feng West Vancouver, BC, Canada	Chairman, Chief Executive Officer and Director	Chairman and CEO of the Company from September 2003 to present; President and Director of New Pacific Metals Corp. since May 2004; CEO and Director of Pacific Metals Inc. from August 2000 to December 2002; Director of the Canada China Business Council - BC Chapter Board; Vice President of Canada-China Business Association.	September 4, 2003	3,399,800
Myles Jianguo Gao, P. Eng., Surrey, BC Canada	President, COO and Director	COO since August, 2006; President of the Company from March 2003 to August 2006; Director of New Pacific Metals Corp. September 2004 to July 2006; Senior Geologist of Northgate Minerals Inc. until March 2003.	November 14, 2002	1,436,100
S. Paul Simpson, Vancouver, BC Canada	Director	Lawyer with Armstrong Simpson, Barristers & Solicitors.	June 24, 2003	848,955

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Name and Municipality of Residence(1)	Current Positions and Offices Held	Principal Occupations During Last Five Years(1)(2)	Date of Appointment as a Director	Shares Beneficially Owned (Number and %)(4)
Greg Hall(3) Vancouver, BC Canada	Director	Chairman of Ivory Energy Inc., Financial Consultant, February 2005 to Present, Senior V.P. Leede Financial Markets from February 2003 to February 2005.	March 23, 2005	450,000
Earl Drake(3) Vancouver, BC Canada	Director	Adjunct Professor, Simon Fraser University at David Lam Centre for International Communication; Project Director, China Council for International Cooperation on Environment and Development; Vice Chairman, Canada China Business Council.	July 24, 2006	18,101
Yikang Liu(3) Beijing, China	Director	Deputy Secretary General of China Mining Association since May 2001; Director of New Pacific Metals Corp. September 2004 to July 2006.	July 24, 2006	39,900
Grace Soo Richmond, BC Canada	Chief Financial Officer	Chief Financial Officer of the Company and New Pacific Metals Corp. since September 5, 2006; Self employed in 2005 to September 4, 2006; VP, Finance & Corporate Development, Uniserve Communications Corporation in 2005; Consultant June to August 2006; VP, Internal Audit & Business Risk Management in 2004; and, Controller and Treasurer from 1997 to 2004 for Great Canadian Gaming Corporation; VP, Finance and Administration, Great Canadian Casinos Inc. from 2000 to 2004.	September 5, 2006	Nil
Lorne Waldman Vancouver, BC Canada	Corporate Secretary	In-house Legal Counsel and Corporate Secretary of Nam Tai Electronics, Inc. from November 1996 to September 2007.	September 10, 2007	Nil
Mike Hibbitts Vancouver, BC Canada	VP, Operations	VP, Exploration of International KRL Resources Corporation, Logan Resources Ltd. from 2006 to 2007; VP, Exploration and Development of New Gold Inc. (formerly DRC Resources) from May 2003 to June 2006.	October 1, 2007	Nil
Shaoyang Shen Toronto, ON Canada	General Manager, China Operations	Senior Analyst / Accountant at Grant Thornton LLP; Accountant at Bennett Gold LLP.	January 1, 2008	Nil

(1)	The information as to municipality of residence and principal occupation of each nominee has been individually furnished by the respective nominee.
(2)	Includes occupations for the preceding 5 years unless the director was elected at the previous Annual Meeting and was shown as a nominee for election as a director in the Information Circular for that meeting.
(3)	Member of Audit Committee.
(4)	The approximate number of shares of the Company carrying the right to vote in all circumstances beneficially owned directly or indirectly, or over which control or direction is exercised is based upon information furnished to the Company by each proposed nominee as at the date hereof.

The term of office of each of the directors expires at the next general meeting of shareholders.

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As of the date hereof, all of the directors and officers of the Company, as a group, beneficially own, directly or indirectly, or exercise control over 6,192,856 common shares representing 4.02% of the Company’s 153,953,501 common shares issued and outstanding as of the date hereof.

13.2 Cease Trade Orders, Bankruptcies, Penalties or Sanctions

Except as disclosed below, as at the date of this AIF and within the ten years before the date of this AIF, no director, executive officer or a shareholder holding sufficient number of securities of the Company to materially affect control of the Company,

(a)	is or has been a director or executive officer of any company (including the Company), that while that person was acting in that capacity:
	(i)	was the subject of a cease trade order or similar order or an order that denied the relevant company access to any exemption under securities legislation, for a period of more than 30 consecutive days;
	(ii)	was subject to an event that resulted, after the director or executive officer ceased to be a director or executive officer, in the company being the subject of a cease trade or similar order or an order that denied the relevant company access to any exemption under securities legislation, for a period of more than 30 consecutive days;
	(iii)	within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold its assets; or
(b)	has within 10 years before the date of the AIF became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold the assets of the director, officers or shareholders.

No director, officer or promoter of the Company or a shareholder holding a sufficient number of securities of the Company to affect materially the control of the Company, has, within the ten years prior to the date of this AIF, been subject to:

(a)	any penalties or sanctions imposed by a court or securities regulatory authority relating to securities legislation or by a securities regulatory authority or has entered into a settlement agreement with a securities regulatory authority; or
(b)	any other penalties or sanctions imposed by a court or regulatory body that would likely be considered important to a reasonable investor in making an investment decision.

Mr. Paul Simpson is the Corporate Secretary of Salmon River Resources Ltd., a company listed on the TSX-V, which was the subject of a cease trade order of the Alberta Securities Commission issued on December 2, 2003 for failure to file its Annual Financial Statements for the period ended June 30, 2003. The annual financial statements were filed in February 2004, and the cease trade order subsequently lifted.

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Mr. Simpson was also the Corporate Secretary of Tournigan Ventures Corporation (now named Tournigan Gold Corporation) (“TVC”) on January 21, 2002, when the British Columbia Securities Commission issued a cease trade order against TVC for failure to file its audited financial statements and supporting documentation within the time provided. Upon raising necessary funds to pay the auditors, financial statements were completed and filed and the cease trade order was lifted by the British Columbia Securities Commission on April 23, 2002, and by the Alberta Securities Commission on May 10, 2002.

13.3 Conflicts of Interest

Certain directors and officers of the Company are also directors, officers or shareholders of other companies that are similarly engaged in the business of acquiring and exploiting natural resources properties. These associations to other public companies in the resource sector may give rise to conflicts of interest from time to time.

Under the laws of the Province of British Columbia, the directors and senior officers of the Company are required by law to act honestly and in good faith with a view to the best interests of the Company. In the event that such a conflict of interest arises at a meeting of the Company’s directors, a director who has such a conflict will disclose such interest in a contract or transaction and will abstain from voting on any resolution in respect of such contract or transaction. See also Item 4.2 “Risk Factors”.

ITEM 14: AUDIT COMMITTEE

Audit Committee Charter

A copy of the Charter of the Audit Committee is attached hereto as Schedule “1”.

Composition of the Audit Committee

The current members of the Audit Committee are Greg Hall, Earl Drake, and Yikang Liu, all of whom are considered independent pursuant to National Instrument 52-110 – Audit Committees. All members of the Audit Committee are considered to be financially literate. The Audit Committee will be re-constituted after the 2008 Annual General and Special Meeting.

Relevant Education and Experience

Greg Hall, Director

Mr. Hall is an experienced financial market professional with 24 years experience as a broker, senior executive officer and founder of a number of successful brokerage firms. He has also been extensively involved since 1984 in investments in China, including memberships on the board of directors of several private and public companies with projects in China. Mr. Hall was one of the founding directors of Dragon Pharmaceuticals Inc.

Earl Drake, Director

Mr. Earl Drake is currently Vice Chairman of the Canada China Business Council and Project Director of the China Council for the International Cooperation on Environment and Development and was previously the Ambassador of Canada to the People's Republic of China and the Republic of Indonesia. In the past 50 years, Mr. Drake was also the top Canadian representative in the governing councils of the Organization for Economic Cooperation and Development in Paris and the World Bank in Washington,

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DC and served in Ottawa as Assistant Deputy Minister for Asia-Pacific in the Foreign Affairs Department and as Vice President in the Canadian International Development Agency. Mr. Earl Drake an Adjunct Professor at Simon Fraser University in the Centre for International Communication. Mr. Drake has long experience in cross-cultural negotiation and communication to harmonize economic development goals with sustainable environmental policies and practices.

Yikang Liu, Director

Mr. Yikang Liu is the Deputy General Secretary of the China Mining Association and the 35th & 36th Vice-Chairman of the Geological Society of China. Before he retired in 2001, Mr. Liu was the Chief Geologist for the former Ministry of Metallurgical Industry of China. While there he made significant contributions to the amendment of the last China Mineral Resources Law. Mr. Liu, representing Chinese interests, is the person responsible for the establishment of the first Sino-foreign joint venture for mineral exploration in China. Mr. Liu has over 40 years of geological experience in managing, evaluating and exploring mineral projects for the Chinese government in China and in 17 countries around the world including Bolivia, Madagascar, the Philippines, Iran, and Peru. Mr. Liu is an Adjunct Professor of Geology at the Changchun College of Technology, Northeast University and the China University of Geoscience. Mr. Liu’s expertise is in mining development and exploration in China.

Reliance on Certain Exemptions

The Company has not relied on any exemptions under securities law in the past year regarding the Audit Committee.

During the last year, recommendations of the Audit Committee to nominate or compensate an external auditor were adopted by the Board.

External Auditor Services Fees

The Audit Committee has reviewed the nature and amount of the services provided by Ernst & Young LLP to ensure auditor independence. Fees billed by external auditors for audit services in the last two fiscal years are outlined below:

Nature of Services	Year Ended March 31, 2008	Year Ended March 31, 2007
Audit Fees(1)	$255,000	$190,000
Audit-Related Fees (2)	$219,000	Nil
Tax- Fees (3)	$18,000	$5,000
All Other Fees (4)	Nil	Nil
Total	$492,000	$195,000

(1)	“Audit Fees” include fees necessary to perform the annual audit and quarterly reviews of the Company’s consolidated financial statements. Audit Fees include fees for review of tax provisions and for accounting consultations on matters reflected in the financial statements. Audit Fees also include audit or other attest services required by legislation or regulation, such as comfort letters, consents, reviews of securities filings and statutory audits.
(2)	“Audit-Related Fees” include services that are traditionally performed by the auditor. These audit-related services include employee benefit audits, due diligence assistance, accounting consultations on proposed transactions, internal control reviews and audit or attest services not required by legislation or regulation.
(3)	“Tax Fees” include fees for all tax services other than those included in “Audit Fees” and “Audit-Related Fees”. This category includes fees for tax compliance, tax planning and tax advice. Tax planning and tax advice includes assistance with tax audits and appeals, tax advice related to mergers and acquisitions, and requests for rulings or technical advice from tax authorities.
(4)	“All Other Fees” include all other fees billed by the Company’s auditors.

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ITEM 15: LEGAL PROCEEDINGS

The Company is not aware of any actual or pending material legal proceedings to which the Company is or is likely to be party or of which any of its business or property is or is likely to be subject.

ITEM 16: INTEREST OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS

The interest of management of the Company and others in material transactions and transactions involving remuneration for services is disclosed under the heading “Related Party Transactions” in the Company’s Annual Management’s Discussion and Analysis, March 31, 2008, 2007 and 2006 and under the sections titled “Interests of Insiders in Material Transactions” and Statement of Executive Compensation” in the Company’s Management Information Circular as at August 28, 2007, July 20, 2006 and June 30, 2005. See Item 20 “Additional Information”.

During the year ended March 31, 2008, the Company incurred the following related party transactions (reported in US$):

(i)	consulting fees of $270,695 (2007 - $152,599) payable to a company owned by an officer and director of the Company and to an officer of the Company;
(ii)	legal fees of $nil (2007 - $76,974) payable to a law firm with a partner that is a director of the Company;
(iii)	management fees of $202,449 (2007 - $126,047) payable to a company owned by an officer and director of the Company, and to an officer and director of the Company;
(iv)	accounting fees of $498 (2007 - $77,346) payable to an accounting firm with a partner that is former officer of the Company;
(v)	directors’ fees of $93,731 (2007 - $36,363);
(vi)	expenses recovered of $302,100 (2007 - $321,931) from New Pacific Metals Corp. (“NUX”).

As at March 31, 2008, the related transaction balances included the following:

(i)	$nil (March 31, 2007 - $34,478) due to a company controlled by a director of the Company for services provided;
(ii)	$nil (March 31, 2007 - $131,641) due to the joint venture partner of Henan Huawei;
(iii)	$12,117,910 (March 31, 2007 - $nil) due to the joint venture partner of Henan Found for non-controlling interest distributable as Henan Found declared dividend during the year;
(iv)	$12,014 (March 31, 2007 - $28,329) due from a company related by common control;
(v)	$17,113 (March 31, 2007 - $nil) due from the joint venture partner of Qinghai Found;
(vi)	$18,051 (March 31, 2007 - $nil) due from NUX for expenses incurred and recoverable under an inter-company services and cost allocation arrangement; and,
(vii)	$nil (March 31, 2007 - $1,195,129) due to NUX for funds advanced from NUX.

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On December 8, 2006, NUX entered into a Declaration of Trust Agreement with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.

On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at March 31, 2008, a total of $683,995 of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.

The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties. The balances with related parties are unsecured, non-interest bearing, and due on demand.

ITEM 17: TRANSFER AGENTS AND REGISTRARS

The Company’s transfer agent and registrar is Computershare Trust Company of Canada of 510 Burrard Street, 2nd Floor, Vancouver, British Columbia, V6C 3B9.

ITEM 18: MATERIAL CONTRACTS

There are no other contracts, other than those herein disclosed in this Annual Information Form and other than those entered into in the ordinary course of the Company’s business, that are material to the Company and which were entered into in the most recently completed financial year ended March 31, 2008 or before the most recently completed financial year but are still in effect as of the date of this Annual Information Form.

ITEM 19: INTERESTS OF EXPERTS

19.1 Names of Experts

BK Exploration Associates was responsible for preparing the independent Ying and HPG Report dated August 16, 2007 to provide an update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects. Chris Broili, C.P. Geo. & L.P. Geo., an independent consulting geologist and a “qualified person” is the author responsible for Chapters 2 through 4, 7 through 13, 15, 18 and 19 of the Ying and HPG Report. Mel Klohn, L.P. Geo., an independent consulting geologist and a “qualified person” is the author responsible for Chapters 1, 5, 6, 14, 16, 17 and 20 of the Ying and HPG Report. The Ying and HPG Report was Sedar-filed on September 20, 2007.

Chris Broili, C.P. Geo. & L.P. Geo., completed the first and second technical reports on the Ying Project on April 21, 2004 and April 18, 2005 and co-authored with Cathy Fong, P.Eng. and Jasman W. Yee, P. Eng. a third scoping-level report on April 18, 2006. The May 26, 2006 technical report primarily provides new and updated mineral resource estimates and updates on exploration activities.

Chris Broili, C.P. Geo. & L.P. Geo., an independent consulting geologist and a “qualified person” is the primary author responsible for sections 2 through 15 and 19 in the technical report titled “Technical Update – 2006 May 26 – for the Company on the Ying Silver-Lead-Zinc Project, Henan Province, People’s Republic of China and dated May 26, 2006 (the “Ying Report”). Mel Klohn, L.P. Geo., an independent consulting geologist and a “qualified person” is the co-author responsible for sections 1, 17 and 20 of the Ying Report. Michael Petrina, P. Eng., an independent consulting geologist and a “qualified person” is responsible for section 18 of the Ying Report. Jasman W. Yee, P. Eng., an independent consulting geologist and a “qualified person” is responsible for the content of section 16 and

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parts of section 18 of the Ying Report. Cathy Fong, P. Eng. is a “qualified person” co-signing the Ying Report.

SRK Consultants were responsible for preparing the independent technical report for the HPG Silver-Lead project of April 2006.

Ernst & Young LLP are the Auditors for the Company. Ernst & Young LLP prepared the auditors report for the Company’s financial statements for the year ended March 31, 2008.

19.2 Interests of Experts

None of the independent consulting geologist and “qualified persons” named in the “Names of Experts” section, when or after they prepared the statement, report or valuation, has received any registered or beneficial interests, direct or indirect, in any securities or other property of the Company or of one of the Company’s associates or affiliates or is or is expected to be elected, appointed or employed as a director, officer or employee of the Company or of any associate or affiliate of the Company. This information has been provided to the Company by the individual experts.

The qualified persons who were responsible for the preparation of the technical reports for the Ying Project beneficially own, directly or indirectly, less than 1% of the Common Shares.

ITEM 20: ADDITIONAL INFORMATION

Additional information on the Company can be found on the Company’s website at www.silvercorp.ca or on SEDAR at www.sedar.com.

Additional information, including directors’ and officers’ remuneration and indebtedness, principal holders of the Company’s securities and securities authorized for issuance under equity compensation plans, if applicable, is contained in the Company’s information circular for its most recent annual meeting of securityholders that involved the election of directors.

The Company’s Environment Health Safety and Labour Due Diligence Assessment Report dated November 26, 2007 can be found on SEDAR at www.sedar.com.

Additional information is provided in the Company’s most recent financial statements and the management discussion and analysis for its most recently completed financial year.

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ITEM 21: SCHEDULE “1”

SILVERCORP METALS INC.

AUDIT COMMITTEE CHARTER

I. Purpose

The main objective of the Audit Committee is to act as a liaison between the Board and the Company’s independent auditors (the “Auditors”) and to assist the Board in fulfilling its oversight responsibilities with respect to (a) the financial statements and other financial information provided by the Company to its shareholders, the public and others, (b) the Company’s compliance with legal and regulatory requirements, (c) the qualification, independence and performance of the Auditors and (d) the Company's risk management and internal financial and accounting controls, and management information systems.

Although the Committee has the powers and responsibilities set forth in this Charter, the role of the Committee is oversight. The members of the Committee are not full-time employees of the Company and may or may not be accountants or auditors by profession or experts in the fields of accounting or auditing and, in any event, do not serve in such capacity. Consequently, it is not the duty of the Committee to conduct audits or to determine that the Company’s financial statements and disclosures are complete and accurate and are in accordance with generally accepted accounting principles and applicable rules and regulations.

II. Organization

The Committee shall consist of three or more directors and shall satisfy the laws governing the Company and the independence, financial literacy, expertise and experience requirements under applicable securities law, stock exchange and any other regulatory requirements applicable to the Company.

The members of the Committee and the Chair of the Committee shall be appointed by the Board. A majority of the members of the Committee shall constitute a quorum. A majority of the members of the Committee shall be empowered to act on behalf of the Committee. Matters decided by the Committee shall be decided by majority votes.

Any member of the Committee may be removed or replaced at any time by the Board and shall cease to be a member of the Committee as soon as such member ceases to be a director.

The Committee may form and delegate authority to subcommittees when appropriate.

III. Meetings

The Committee shall meet as frequently as circumstances require, but not less frequently than four times per year. The Committee shall meet at least quarterly.

The Committee may invite, from time to time, such persons as it may see fit to attend its meetings and to take part in discussion and consideration of the affairs of the Committee.

The Company’s accounting and financial officer(s) and the Auditors shall attend any meeting when requested to do so by the Chair of the Committee.

IV. Responsibilities

(1)	The Committee shall recommend to the Board of directors:
	(a)	the external auditor to be nominated for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Company; and

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	(b)	the compensation of the external auditor.
(2)	The Committee shall be directly responsible for overseeing the work of the external auditor engaged for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Company, including the resolution of disagreements between management and the external auditor regarding financial reporting.
(3)	The Committee must pre-approve all non-audit services to be provided to the Company or its subsidiary entities by the Company's external auditor.
(4)	The Committee must review the Company's financial statements, MD&A and annual and interim earnings press releases before the Company publicly discloses this information.
(5)	The Committee must be satisfied that adequate procedures are in place for the review of the Company's public disclosure of financial information extracted or derived from the Company's financial statements, other than the public disclosure referred to in subsection (4), and must periodically assess the adequacy of those procedures.
(6)	The Committee must establish procedures for:
	(a)	the receipt, retention and treatment of complaints received by the Company regarding accounting, internal accounting controls, or auditing matters; and
	(b)	the confidential, anonymous submission by employees of the Company of concerns regarding questionable accounting or auditing matters.
(7)	An audit committee must review and approve the Company's hiring policies regarding partners, employees and former partners and employees of the present and former external auditor of the issuer.

V. Authority

The Committee shall have the following authority:

(a)	to engage independent counsel and other advisors as it determines necessary to carry out its duties,
(b)	to set and pay the compensation for any advisors employed by the Committee, and
(c)	to communicate directly with the internal and external auditors.

50614971.3

81

EX-99.4

Exhibit 99.4

SILVERCORP METALS INC.

Supplementary Note to the Consolidated Financial Statements

Reconciliation to United States Generally Accepted Accounting

Principles  For Years ended March 31, 2008 and 2007

(Expressed in US Dollars, unless otherwise stated)

ERNST & YOUNG

INDEPENDENT AUDITORS’ REPORT ON RECONCILIATION TO UNITED STATES

GENERALLY ACCEPTED ACCOUNTING PRINCIPLES

To the Board of Directors of

Silvercorp Metals Inc.

On April 30, 2008 (except for notes 13, 14, and 20 which are as of July 4, 2008), we reported on the consolidated balance sheets of Silvercorp Metals Inc. (the “Company”) as at March 31, 2008 and 2007 and the consolidated statements of operations and retained earnings, comprehensive income, cash flows and shareholders’ equity for the years then ended (the “Consolidated Financial Statements”) which are included as exhibit 1 and incorporated by reference in the Registration Statement (Form 40-F).

In connection with our audits conducted in accordance with Canadian generally accepted auditing standards and the standards of the Public Company Accounting Oversight Board (United States) of the Consolidated Financial Statements, we also have audited the related supplemental note entitled “Reconciliation to United States Generally Accepted Accounting Principles” included as exhibit 4 and incorporated by reference in the Registration Statement (Form 40-F).  This supplemental note is the responsibility of the Company’s management.  Our responsibility is to express an opinion on this supplemental note based on our audits.

In our opinion, such supplemental note, when considered in relation to the Consolidated Financial Statements taken as a whole, presents fairly, in all material respects, the information set forth therein.

	/s/ Ernst & Young LLP
Vancouver, Canada
July 4, 2008	Chartered Accounants

SILVERCORP METALS INC.

Supplementary Note to the Consolidated Financial Statements

Reconciliation to United States Generally Accepted Accounting Principles

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

Silvercorp Metals Inc. (the “Company”) prepares its consolidated financial statements in accordance with Canadian generally accepted accounting principles (“Canadian GAAP”), which principles differ in certain respects from those in the United States (“US GAAP”). The following is the reconciliation:

Consolidated summarized balance sheet		2008			2007
Total assets under Canadian GAAP	$	190,219,314		$	94,151,226
Mark to market adjustment to short term investment (c)		100,750			503,513
Write off mineral rights and properties(a)		(7,823,805	)		(454,998	)
Adjust accumulated amortization of mineral rights and properties (h)		1,044,666			607,674
Adjustment to equity investment (c)		(852,297	)		(341,329	)
Total assets under US GAAP	$	182,688,628		$	94,466,086
Total liabilities under Canadian GAAP	$	29,961,846		$	9,665,422
Tax effect of mineral rights and properties adjustment (b)		(1,080,652	)		(22,901	)
Total liabilities under US GAAP	$	28,881,194		$	9,642,521
Non-controlling interest under Canadian GAAP	$	11,265,197		$	6,947,986
Minority interest effect of mineral rights and properties adjustments and start-up cost adjustments (d)		(1,156,303	)		34,352
Minority Interest and Other Comprehensive Income Under US GAAP	$	10,108,894		$	6,982,338
Shareholders' equity under Canadian GAAP	$	148,992,271		$	77,537,818
Write off deferred exploration (a)		(7,848,987	)		(449,354	)
Adjust accumulated amortization of mineral rights and properties (h)		1,038,957			600,137
Tax effect of mineral rights and properties adjustment (b)		1,084,792			22,617
Adjustment to equity investment (c)		(543,705	)		(30,599	)
Mark to market adjustment to short term investment (c)		(213,677	)		190,771
Minority interest effect of mineral rights and properties adjustments and start-up cost adjustments (d)		1,161,710			(33,926	)
Adjustment to accumulated other comprehensive income due to foreign exchange difference (i)		27,178			3,763
Shareholders' equity under US GAAP	$	143,698,539		$	77,841,227

Consolidated summarized statements of operations		2008			2007
Net Income under Canadian GAAP	$	59,937,254		$	22,022,659
Write off mineral rights and properties(a)		(7,399,633	)		(923,077	)
Adjust accumulated amortization of mineral rights and properties (h)		438,820			600,137
Tax effect of mineral rights and properties adjustment (b)		1,108,169			(22,617	)
Increase equity investment loss (c)		(513,106	)		(18,238	)
Mark to market adjustment to short term investment (c)		(404,448	)		190,771
Minority interest effect of mineral rights and properties adjustments and start-up cost adjustments (d)		1,195,636			72,662
Adjustment to stock based compensation (g)		196,630			58,523
Net income under US GAAP	$	54,559,322		$	21,980,820
Basic income per share in accordance with US GAAP		0.37			0.15
Diluted income per share in accordance with US GAAP		0.36			0.15

Supplementary Note to the Consolidated Financial Statements   page 1

SILVERCORP METALS INC.

Supplementary Note to the Consolidated Financial Statements

Reconciliation to United States Generally Accepted Accounting Principles

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

Consolidated summarized statement of cash flows		2008			2007
Operating activities
Operating activities under Canadian GAAP	$	79,785,179		$	30,052,524
Write off mineral rights and properties(a)		(7,823,805	)		(454,998	)
Operating activities under US GAAP		71,961,374			29,597,526
Investing activities
Investing activities under Canadian GAAP	$	(92,015,922	)	$	(18,726,354	)
Write off mineral rights and properties(a)		7,823,805			454,998
Investing activities under US GAAP	$	(84,192,117	)	$	(18,271,356	)
Financing activities
Financing activities under Canadian GAAP	$	864,991		$	39,093,202
Financing activities under US GAAP	$	864,991		$	39,093,202

a)

Exploration and development Expenditures - Under Canadian GAAP, exploration and development costs and costs of acquiring mineral rights are capitalized during the search for a commercially mineable body of ore. For US GAAP purposes, exploration and development expenditures, including incidental cost recoveries can only be deferred subsequent to the establishment of proven and probable reserves. For US GAAP purposes, the Company has therefore expensed its exploration and development expenditures.

b)

Income Tax Effects - The impact on income tax expense of the GAAP differences discussed in adjustments (a) above.

c)

Equity Method Investments - The equity investments of the Company are accounted for under Canadian GAAP. The equity investments include exploration costs incurred by NUX that have been capitalized during the search for a commercially mineable body of ore and start-up costs incurred by Yongning that have been capitalized during the pre-operating period. For US GAAP purposes, the Company has therefore expensed the exploration and development expenditures and the start-up costs of its equity investment.

Under US GAAP, the Company’s investment in NUX contained a free standing derivative (NUX’s warrants) which is required to be measured at fair value. Consequently, a total of $314,244, the fair value of the 450,000 NUX warrants the Company subscribed during NUX’s private placement in Mach 2007, was adjusted from the equity method investments to short term investments and a loss of $404,448 (2007 - a gain of $190,771) was recorded as mark to market on the consolidated statements of operations.

d)

Minority Interest Adjustments - The impact on the minority interest expenses and balances of the GAAP differences related to the Company’s 77.5% owned subsidiary of Henan Found and 70% owned subsidiary of Henan Huawei.

e)

Share Purchase Warrants - Under Canadian GAAP, residual approach was adopted to value the share purchase warrants attached to private placements issued. Under US GAAP, the share purchase warrants should be valued at fair value and the value should be recorded as an additional paid in capital under the shareholder equity section. Upon exercise, the value of the warrants exercised would

Supplementary Note to the Consolidated Financial Statements   page 2

SILVERCORP METALS INC.

Supplementary Note to the Consolidated Financial Statements

Reconciliation to United States Generally Accepted Accounting Principles

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

be transferred to share capital from additional paid in capital. There is no impact on the shareholder  equity section as a whole but individual accounts under the shareholder equity section are affected.  The balances in the shareholders’ equity sections under US GAAP are as follows:

		2008		2007
Share capital	$	73,221,158	$	69,216,510
Additional paid in capital		7,485,137		5,119,641
Contributed surplus		1,453,163		895,518
Reserves		2,077,628		-
Accumulated other comprehensive income		14,148,805		483,558
Retained earnings		45,312,648		2,126,000
Total shareholders' equity under US GAAP	$	143,698,539	$	77,841,227

f)

Uncertain Tax Positions - In June 2006, FASB issued Accounting for Uncertain Tax Positions – an Interpretation of FASB Statement No. 109, FIN 48 which prescribes a recognition and measurement model for uncertain tax positions taken or expected to be taken in the Company’s tax returns. FIN 48 provides guidance on recognition, classification, presentation and disclosure of unrecognized tax benefits. The Company has not recorded any tax amounts as a result of the adoption of this standard in the 2008 fiscal year.

g)

Stock based compensation - Stock options are required to be accounted for using the fair value method under both Canadian GAAP and US GAAP. Canadian GAAP allows forfeitures to be estimated in advance or to be accounted for as they occur. Under US GAAP, the compensation expense recognized for stock-based compensation awards must reflect an estimate of award forfeitures at the time of grant, which estimate is revised in subsequent periods, if necessary.

h)

Amortization of mineral rights and properties - The impact of amortization of mineral rights and properties is mainly due to the mineral rights and properties of the GAAP differences discussed in adjustment (a) above.

i)

Accumulated other comprehensive income - The impact on the accumulated other comprehensive income is mainly due to the different exchange rates used to convert the adjustments on the consolidated balance sheet and the adjustments on consolidated statements of operations from functional currency to reporting currency using current rate method.

j)

Recent Accounting Pronouncements

FAS 157, Fair Value Measurements - In September 2006, FASB issued SFAS 157, Fair Value Measurements, which defines fair value, establishes a framework for measuring fair value and expands fair value disclosures. The standard does not require any new fair value measurements. In December 2007, the FASB issued FSP 157-2, which provided for a one-year deferral of the implementation of SFAS 157 for non-financial assets and liabilities. However, the Company is still required to adopt SFAS 157 effective April 1, 2008 for financial assets and liabilities that are carried at fair value. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

Supplementary Note to the Consolidated Financial Statements   page 3

SILVERCORP METALS INC.

Supplementary Note to the Consolidated Financial Statements

Reconciliation to United States Generally Accepted Accounting Principles

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

FAS 159, Fair Value Option - In February 2007, the FASB issued Statement of Financial Accounting Standard ("SFAS") No. 159, "The Fair Value Option for Financial Assets and Financial Liabilities— Including an Amendment of FASB Statement No. 115." SFAS No. 159 provides companies with an option to measure, at specified election dates, financial instruments and certain other items at fair value that are not currently measured at fair value. For those items for which the fair value option is elected, unrealized gains and losses will be recognized in earnings for each subsequent reporting period. SFAS No. 159 also establishes presentation and disclosure requirements designed to facilitate comparisons between entities that choose different measurement attributes for similar types of assets and liabilities. This standard is effective for fiscal years beginning after November 15, 2007. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

FAS 141R, Business Combinations - In December 2007, the FASB issued SFAS No. 141 (revised 2007), "Business Combination". SFAS No. 141 (R) establishes principles and requirements for how an acquirer recognizes and measures in its financial statements the identifiable assets acquired, the liabilities assumed, and non-controlling interest in the acquiree and the goodwill acquired. SFAS No. 141(R) also establishes disclosure requirements to enable the evaluation of the nature and financial effects of the business combination. SFAS No. 141(R) is effective for fiscal years beginning after December 15, 2008. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

FAS 160, Non-controlling Interests - In December 2007, the FASB issued SFAS No. 160, Noncontrolling Interests in Consolidated Financial Statements—an amendment of Accounting Research Bulletin No. 51 (“SFAS No.160”). SFAS No. 160 establishes accounting and reporting standards for ownership interests in subsidiaries held by parties other than the parent, the amount of consolidated net income attributable to the parent and to the non-controlling interest, changes in a parent’s ownership interest, and the valuation of retained non-controlling equity investments when a subsidiary is deconsolidated. SFAS No. 160 also establishes disclosure requirements that clearly identify and distinguish between the interests of the parent and the interests of the non-controlling owners. SFAS No. 160 is effective for fiscal years beginning after December 15, 2008. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

FAS 161, Disclosures about Derivative Instruments and Hedging Activities – In March 2008, the FASB issued SFAS No. 161, Disclosures about Derivative Instruments and Hedging Activities (“SFAS No. 161”). SFAS No. 161 is intended to improve financial reporting about derivative instruments and hedging activities by requiring enhanced disclosures to enable investors to better understand their effects on an entity’s financial position, financial performance, and cash flows. It is effective for financial statements issued for fiscal years and interim periods beginning after November 15, 2008, with early application encouraged. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

FAS 162, The Hierarchy of Generally Accepted Accounting Principles – In May 2008, the FASB issued SFAS No. 162, The Hierarchy of Generally Accepted Accounting Principles (“SFAS No. 162”). SFAS No. 162 is intended to improve financial reporting by identifying a consistent framework, or hierarchy, for selecting accounting principles to be used in preparing financial statements that are presented in conformity with U.S. generally accepted accounting principles

Supplementary Note to the Consolidated Financial Statements   page 4

SILVERCORP METALS INC.

Supplementary Note to the Consolidated Financial Statements

Reconciliation to United States Generally Accepted Accounting Principles

For Years ended March 31, 2008 and 2007

(Expressed in US dollars, unless otherwise stated)

(GAAP) for nongovernmental entities. SFAS No. 162 is effective 60 days following the SEC's approval of the Public Company Accounting Oversight Board Auditing amendments to AU Section 411, The Meaning of Present Fairly in Conformity with Generally Accepted Accounting Principles. The Company is currently evaluating the impact of this standard on its consolidated financial statements.

Supplementary Note to the Consolidated Financial Statements   page 5

EX-99.5

Exhibit 99.5

SILVERCORP METALS INC.

UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

THREE MONTHS ENDED JUNE 30, 2008 AND 2007

(Expressed in US Dollars, unless otherwise stated)

Notice to Reader of the Unaudited Interim Consolidated Financial Statements For the three months ended June 30, 2008

The unaudited interim consolidated financial statements of Silvercorp Metals Inc. (the “Company”) for the three months ended June 30, 2008 (“Financial Statements”) have been prepared by management. The Financial Statements should be read in conjunction with the Company’s audited consolidated financial statements for the twelve months ended March 31, 2008 which are available at the SEDAR website at www.sedar.com. The Financial Statements are stated in terms of US dollars, unless otherwise indicated, and are prepared in accordance with Canadian generally accepted accounting principles.

SILVERCORP METALS INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited - expressed in US Dollars)

	Notes		June 30, 2008	March 31, 2008
ASSETS
Current Assets
Cash and cash equivalents		$	42,592,496	47,092,890
Short term investments			32,471,317	37,145,656
Accounts receivable and prepaids			11,035,520	5,259,699
Inventories	3		4,612,606	2,389,175
			90,711,939	91,887,420
Long term prepaids			2,277,554	5,194,431
Long term investments	4		17,853,691	17,873,887
Property, plant and equipment	5		17,952,478	14,349,572
Mineral rights and properties	6		148,017,344	60,904,275
Reclamation deposits			9,817	9,729
		$	276,822,823	190,219,314
LIABILITIES
Current Liabilities
Accounts payable and accrued liabilities	6	$	22,353,854	7,026,628
Deposits received from customers			2,350,775	2,573,202
Income tax payable			362,935	719,557
Amounts due to related parties	10		12,178,668	12,070,732
			37,246,232	22,390,119
Future income tax liabilities			25,800,631	6,345,898
Asset retirement obligation	7		1,991,780	1,225,829
			65,038,643	29,961,846
Non-controlling interests			15,699,725	11,265,197
SHAREHOLDERS' EQUITY
Share capital	8		114,236,035	78,334,543
Contributed surplus			-	1,722,036
Reserves	9		11,059,771	2,077,628
Accumulated other comprehensive income			17,536,691	14,121,627
Retained earnings			53,251,958	52,736,437
			196,084,455	148,992,271
		$	276,822,823	190,219,314
Commitments and Contingencies	15

Approved on behalf of the Board:

(Signed) Greg Hall

Director

(Signed) Rui Feng

Director

The accompanying notes are an integral part of these unaudited interim consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS

(Unaudited - Expressed in US Dollars except for share figures)

			Three months ended June 30,
	Notes		2008			2007
Sales		$	30,859,277		$	22,253,286
Cost of sales			7,938,756			4,278,189
Amortization and depletion			1,568,442			586,053
			9,507,198			4,864,242
Gross profit			21,352,079			17,389,044
Expenses
Accretion of asset retirement obligations	7		18,533			15,156
Amortization			292,681			90,381
Foreign exchange loss (gain)			120,416			410,903
General exploration and property investigation expenses			479,251			230,739
Investor relations			94,703			57,667
Mineral properties written off			-			-
Office, administration and miscellaneous	8(d)		2,948,467			1,378,606
Professional fees			289,618			95,343
			4,243,669			2,278,795
Earnings before other income and expenses			17,108,410			15,110,249
Other income and expenses
Equity loss in investment	4		(204,731	)		(120,018	)
Loss on disposal of property, plant and equipment	5		(9,504	)		(48,130	)
Mineral property option income			-			1,913,073
Interest income			776,949			470,912
Other income			28,546			533
			591,260			2,216,370
Income before income taxes and non-controlling interests			17,699,670			17,326,619
Income tax expense
Current			2,039,512			(1,466,991	)
Future			(152,870	)		15,501
			1,886,642			(1,451,490	)
Income before non-controlling interests			15,813,028			18,778,109
Non-controlling interests			(4,211,587	)		(4,251,086	)
Net income			11,601,441			14,527,023
Retained earnings, beginning of period			52,736,437			1,767,831
Appropriation to reserves			(8,982,143	)		(2,077,628	)
Value charged to retained earnings upon shares acquired under
normal course issuer bid			(2,103,777	)		-
Retained earnings, end of period		$	53,251,958		$	14,217,226
Basic earnings per share		$	0.08		$	0.10
Diluted earnings per share		$	0.08		$	0.10
Weighted Average Number of Shares Outstanding - Basic			151,655,320			146,441,295
Weighted Average Number of Shares Outstanding - Diluted			153,178,476			150,235,032

The accompanying notes are an integral part of these unaudited interim consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited - expressed in US Dollars)

		Three months ended June 30,
		2008			2007
Net income for the period	$	11,601,441		$	14,527,023
Other comprehensive income, net of taxes:
Transition adjustment to opening balance upon adoption of new standards		-			8,674
Unrealized gain (loss) on available for sale securities		(68,722	)		72,853
Unrealized exchange gain (loss) on translation of self-sustaining foreign operations		1,825,999			(1,001,667	)
Unrealized exchange gain on translation of functional currency to reporting currency		1,657,787			5,484,221
Other comprehensive income		3,415,064			4,564,081
Comprehensive income	$	15,016,505		$	19,091,104

The accompanying notes are an integral part of these unaudited interim consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited - expressed in US Dollars)

		Three months ended June 30,
		2008			2007
Cash provided by (used for)
Operating activities
Net income for the year	$	11,601,441		$	14,527,023
Add (deduct) items not affecting cash :
Accretion of asset retirement obligations		18,533			15,156
Amortization		1,568,442			676,434
Equity Investment loss		204,731			120,018
Future income tax		(152,870	)		15,501
Loss on disposal of property, plant, and equipment		9,504			48,130
Mineral property option income		-			(1,913,073	)
Non-controlling interests		4,211,587			4,251,086
Stock-based compensation		567,035			596,906
		18,028,403			18,337,181
Net change in non-cash working capital
Accounts receivable and prepaids		(5,656,109	)		(473,670	)
Inventory		(2,025,204	)		487,679
Accounts payable and accrued liabilities		15,323,914			1,254,098
Asset retirement obligation discharged upon payment		-			(95,415	)
Income tax payable		(359,139	)		(1,528,500	)
Deposits received from customers		(241,499	)		900,655
Cash provided by operating activities		25,070,366			18,882,028
Investing activities
Acquisition of mineral rights and properties		(31,477,543	)		(2,824,185	)
Acquisition of property, plant, and equipment		(3,829,869	)		(1,438,164	)
Purchase of long term investments		-			(130,316	)
Decrease (increase) of short term investments		5,063,484			(16,036,826	)
Decrease (increase) in long term prepaids		2,956,825			(1,511,033	)
Disposal of property, plant, and equipment		156,975			157,352
Distribution to non-controlling interest shareholder		-			(3,371,257	)
Advances to joint venture parties		-			(365,469	)
Cash used in investing activities		(27,130,128	)		(25,519,898	)
Financing activities
Repayment from (advance to) related parties		107,936			(365,469	)
Share subscriptions for cash, net of commission and expenses		21,092			908,209
Shares returned to treasury for cancellation		(4,655,149	)		-
Cash provided by (used in) financing activities		(4,526,121	)		542,740
Effect of exchange rate changes on cash and cash equivalents		2,085,489			3,011,733
Decrease in cash		(4,500,394	)		(3,083,397	)
Cash and cash equivalents, beginning of period		47,092,890			53,330,468
Cash and cash equivalents, end of period	$	42,592,496		$	50,247,071
Supplemental information:
Income tax paid	$	2,039,512		$	-
Non-cash investing activities:
Common shares of New Pacific Metals Corp. received as	$	-		$	1,913,073
partial consideration for the Option Agreement in
relation to the Kang Dian Project
Share issued for mineral rights and properties	$	36,484,591		$	-
Construction in process transferred to mineral rights and properties	$	-		$	1,313,791

The accompanying notes are an integral part of these unaudited interim consolidated financial statements

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY

(Unaudited - expressed in US Dollars except for share figures)

	Share capital
												Accumulated
												other			Retained			Total
	Number of						Contributed					comprehensive			earnings			shareholders'
	shares			Amount			surplus			Reserves		income (loss)			(deficit)			equity
Balance, March 31, 2007	145,957,938			74,336,151			954,041			-		479,795			1,767,831			77,537,818
Transition adjustment to opening balance	-			-			-			-		8,674			-			8,674
Options exercised	3,448,896			2,225,239			-			-		-			-			2,225,239
Warrants exercised	9,750			68,463			-			-		-			-			68,463
Cancellation of fraction shares	(108	)		-			-			-		-			-			-
Value of options transferred upon exercised	-			1,704,690			(1,704,690	)		-		-			-			-
Stock based compensation	-			-			2,472,685			-		-			-			2,472,685
Unrealized gain on available for sale securities	-			-			-			-		(48,643	)		-			(48,643	)
Appropriation to reserves	-			-			-			2,077,628		-			(2,077,628	)		-
Cash dividends declared and distributed	-			-			-			-		-			(6,891,020	)		(6,891,020	)
Earnings of the year	-			-			-			-		-			59,937,254			59,937,254
Unrealized loss on translation of self-sustaining operation	-			-			-			-		3,972,486			-			3,972,486
Unrealized loss on translation functional currency to reporting
currency	-			-			-			-		9,709,315			-			9,709,315
Balance, March 31, 2008	149,416,476		$	78,334,543		$	1,722,036		$	2,077,628	$	14,121,627		$	52,736,437		$	148,992,271
Options exercised	4,482			21,092			-			-		-			-			21,092
Shares issued for property	4,532,543			36,484,591			-			-		-			-			36,484,591
Cancellation of shares under normal course issuer bid	(470,000	)		(379,871	)		(2,275,527	)		-		-			(706,856	)		(3,362,254	)
Shares held for cancellation	-			(237,864	)		-			-		-			(1,396,921	)		(1,634,785	)
Value of options transferred upon exercised	-			13,544			(13,544	)		-		-			-			-
Stock based compensation	-			-			567,035			-		-			-			567,035
Unrealized gain on available for sale securities	-			-			-			-		(68,722	)		-			(68,722	)
Appropriation to reserves	-			-			-			8,982,143		-			(8,982,143	)		-
Earnings of the period	-			-			-			-		-			11,601,441			11,601,441
Unrealized loss on translation of self-sustaining operation	-			-						-		1,825,999			-			1,825,999
Unrealized loss on translation functional currency to reporting
currency	-			-			-			-		1,657,787			-			1,657,787
Balance, June 30, 2008	153,483,501		$	114,236,035		$	-		$	11,059,771	$	17,536,691		$	53,251,958		$	196,084,455

The accompanying notes are an integral part of these unaudited interim consolidated financial statements

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

1.	NATURE OF OPERATIONS
	Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) is engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China (“China”).
	The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, and Saskatchewan and trades on the TSX Exchange under the symbol “SVM”.
2.	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	(a)	Basis of Presentation and principles of consolidation
		These unaudited interim consolidated financial statements have been prepared in accordance with Canadian generally accepted accounting principles (“GAAP”), and presented in US dollars. but they do not contain all disclosures required by Canadian GAAP for annual financial statements and, accordingly, they should be read in conjunction with the most recently prepared annual financial statements for the year ended March 31, 2008. They include the accounts of the Company and its significantly owned subsidiaries: Silvercorp Metals China Inc., Fortune Mining Limited, Fortune Copper Limited, Fortress Mining Inc., Fortune Gold Mining Limited, Lachlan Gold Ltd., Victor Resources Ltd., Victor Mining Ltd., Yangtze Mining Ltd., Yunnan Jin Chang Jiang Mining Co. Ltd. (“Yunnan JCJ”), 82% owned subsidiary, Qinghai Found Mining Company Ltd. (“Qinghai Found”), 70% (March 31, 2007 - 60%) owned subsidiary, Henan Huawei Mining Co. Ltd. (“Henan Huaw ei”), 77.5% owned subsidiary, Henan Found Mining Co. Ltd. (“Henan Found”), and 95% owned subsidiary, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze’).
		These unaudited interim consolidated financial statements reflect, in the opinion of management, all adjustments necessary to present fairly the consolidated financial position as at June 30, 2008 and the consolidated statement of income and consolidated cash flows for the three months period presented. Operating results of the interim period are not necessarily indicative of the result that may be expected for the full fiscal year ending March 31, 2009.
		All significant inter-company transactions and accounts have been eliminated upon consolidation.
	(b)	Adoption of New Accounting Standards
		On April 1, 2008, the Company adopted the recommendations included in the following Sections of the Canadian Institute of Chartered Accountants Handbook: Section 3862, Financial Instruments - Disclosure” and Section 3863, “Financial Instruments – Presentation”, Section 3031, “Inventories”, and Section 3031, “Capital Disclosures”. These new standards have no material impact on the classification and measurement in the Company’s interim consolidated financial statements. .
		(i) Financial Instrument Standards
		Section 3862, “Financial Instruments - Disclosure” and Section 3863 “Financial Instruments - Presentation”, replace Section 3861 “Financial Instruments - Disclosure and Presentation”. Section 3862 Financial Instruments - Disclosure, describes the required disclosures related to the

Notes to the Unaudited Interim Consolidated Financial Statements Page 1

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

	significance of the financial instruments on the Company’s financial position and performance and the nature and extent of risks arising from financial instruments to which the Company is exposed and how the Company manages those risks. Section 3863 Financial Instruments - Presentation, describes the standards for presentation of financial instruments and non-financial derivatives and carries forward the presentation requirements of Section 3861 Financial Instruments - Disclosure and Presentation. Additional disclosure has been provided in Note 12 to the Company’s unaudited interim consolidated financial statements.
	(ii)	Inventories
	Section 3031, “Inventories”, which replaces Section 3030 “Inventories”, requires inventories to be measured at the “lower of cost and net realizable value”, which is different from the existing guidance of the “lower of cost and market”. It also provides guidance on the determination of cost and requires the reversal of any write-downs previously recognized. Certain minimum disclosures are required, including the accounting policies used, carrying amounts, amounts recognized as an expense, write-downs, and the amount of any reversal of any write-downs recognized as a reduction in expenses. The adoption of this new standards did not have any impact on the Company’s consolidated financial statements.
	(iii)	Capital Disclosures
	Section 1535, “Capital Disclosure”, establishes standards for disclosing information about an entity’s capital and how it is managed. These standards require a company to disclose their objectives, policies, and processes for managing capital along with summary quantitative data about what it manages as capital. In addition, disclosures are to include whether companies have complied with externally imposed capital requirements and when a company has not compiled with capital requirement, the consequences of such non-compliance.
(c)	New Canadian Accounting Pronouncements
	(i)	Convergence with IFRS
	In January 2006, CICA Accounting Standards Board (“AcSB”) adopted a strategic plan for the direction of accounting standards in Canada. As part of that plan, accounting standards in Canada for public companies are expected to converge with International Financial Reporting Standards (“IFRS”) for accounting periods commencing on or after January 1, 2011. The Company continues to monitor and assess the impact of convergence of Canadian GAAP and IFRS.
	(ii)	Goodwill and Intangible Assets
	In February 2008, the CICA issued Section 3064, “Goodwill and Intangible Assets”, which replaces Section 3062, “Goodwill and Other Intangible Assets” and Section 3450, “Research and Development Costs”. Various changes have been made to other sections of the CICA Handbook for consistency purposes. Section 3064 establishes standards for the recognition, measurement, presentation and disclosure of goodwill subsequent to its initial recognition and of intangible assets. The new Section will be applicable to the Company’s consolidated financial statements for

Notes to the Unaudited Interim Consolidated Financial Statements Page 2

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

		its fiscal year beginning April 1, 2009. The Company is currently evaluating the impact of the adoption of this new Section on its consolidated financial statements.
3.	INVENTORIES
	Inventories consist of the following:

As at		June 30, 2008		March 31, 2008
Direct smelting ore and stockpiled ores	$	2,317,139	$	951,635
Concentrate inventories		708,344		467,776
Total stockpiled		3,025,483		1,419,411
Raw materials		1,587,123		969,764
	$	4,612,606	$	2,389,175

Raw materials are valued at the lower of cost, determined on an weighted average cost basis, and net realizable value. Direct smelting ores and stockpiled ores are valued at the lower of mining cost and net realizable value. Mining cost includes the cost of raw material, mining contractor cost, direct labor costs, and applicable production overheads, based on normal operation capacity. Concentrate inventories are value at the lower of cost and net realizable value. The cost of concentrate inventories includes the cost of stockpiled ores and milling cost. Milling cost includes cost of raw material, direct labor costs, freight from the mine sites to the mill sites, and applicable production overheads cost, based on normal operation capacity.

Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale.

4.      LONG TERM INVESTMENTS

As at		June 30, 2008		March 31, 2008
Dajin Resources Corp.
1,000,000 (March 31, 2008 - 1,000,000) common shares	$	137,444	$	204,300
New Pacific Metals Inc. (a)		11,151,354		11,251,648
Luoyang Yongning Smelting Co. Ltd.		6,564,893		6,417,939
	$	17,853,691	$	17,873,887

Notes to the Unaudited Interim Consolidated Financial Statements Page 3

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

(a)	New Pacific Metals Inc. (“NUX”)
	As at June 30, 2008, the Company owns 7,400,000 common shares of NUX, representing an ownership of 23.4% (June 30, 2007 - 19.4%). The following is the summary of the investment in NUX and its market value:

						Market Value of
						NUX's common
	Number of shares		Book Value			shares
Balance, March 31, 2006	1,670,835	$	732,653		$	2,462,373
Shares released from escrow	2,416,666		3,824,281			3,824,281
Participation in NUX's private placement	900,000		1,951,600			1,951,600
Equity in loss of investee company			( 222,061	)		-
Foreign translation impact			( 6,667	)		-
Balance, March 31, 2007	4,987,501		6,279,806			14,924,866
Shares released from escrow	2,412,499		4,388,267			4,388,267
Equity in loss of investee company			( 250,113	)		-
Foreign translation impact			833,688			-
Balance, March 31, 2008	7,400,000	$	11,251,648		$	14,758,245
Equity in loss of investee company	-		( 203,024	)		-
Foreign translation impact	-		102,730			-
Balance, June 30, 2008	7,400,000		11,151,354		$	20,720,000

5.	PROPERTY, PLANT AND EQUIPMENT
	Property, plant and equipment consist of:

As at				June 30, 2008							March 31, 2008
				Accumulated		Net Book					Accumulated		Net Book
		Cost		Depreciation		Value		Cost			Depreciation		Value
Building	$	10,426,190	$	328,175	$	10,098,015	$	8,236,801		$	263,521	$	7,973,280
Computer equipment		713,436		196,954		516,482		570,784			179,022		391,762
Computer software		197,139		43,277		153,862		191,211			37,371		153,840
Equipment and funiture		1,184,932		170,214		1,014,718		976,584			141,772		834,812
Machinery		3,246,546		254,241		2,992,305		2,650,059			200,017		2,450,042
Mining equipment		497,489		179,073		318,416		482,115			156,994		325,121
Motor vehicle		1,492,803		337,626		1,155,177		1,268,900			301,735		967,165
Land use right		500,905		2,504		498,401		496,373			-		496,373
Leasehood improvement		103,100		33,030		70,070		113,674			29,270		84,404
Construction in process		1,135,032		-		1,135,032		672,773			-		672,773
	$	19,497,572	$	1,545,094	$	17,952,478		15,659,274	$	$	1,309,702		14,349,572	$

Notes to the Unaudited Interim Consolidated Financial Statements Page 4

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

	During the three months June 30, 2008, the Company disposed of leasehold improvement with net book value of $9,504 (June 30, 2008 - motor vehicles of $205,482) and a loss of $9,504 (June 30, 2007 - $48,130) was recorded.
6.	MINERAL RIGHTS AND PROPERTIES
	Mineral rights and properties are comprised of the following:

As at		June 30, 2008				March 31, 2008
		Accumulated				Accumulated
	Cost	Amortization		Net Book Value	Cost	Amortization		Net Book Value
Ying, Henan Province, China	23,602,135	(3,253,745	)	20,348,390	20,958,911	(2,656,161	)	18,302,750
HPG, Henan Province, China	12,226,700	(2,055,768	)	10,170,932	11,247,479	(1,515,086	)	9,732,393
TLP, Henan Province, China	22,626,738	(149,931	)	22,476,807	20,015,357	-		20,015,357
LM, Henan Province, China	11,157,510	(217,203	)	10,940,307	9,748,658	-		9,748,658
NZ, Henan Province, China	2,065,970	-		2,065,970	2,046,934	-		2,046,934
Nabao, Qinghai Province, China	1,630,539	-		1,630,539	1,058,183	-		1,058,183
GC & SMT, Guangdong Province, China	80,384,399	-		80,384,399	-	-		-
Total	153,693,991	(5,676,647	)	148,017,344	65,075,522	(4,171,247	)	60,904,275

During the three months ended June 30, 2008, the Company acquired 95% interest in Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits for $60.8 million (CAD$61.95 million) through the acquisition of 100% interest of Yangtze Mining Ltd. (“Yangtze Mining”), a private company registered in British Virgin Island (“BVI”), from Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company and a related party of the Company by a director in common, through an acquisition of Yangtze Mining is holding 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of GC and SMT silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China.

During the three months ended June 30, 2008, a total of 4,532,543 common shares of the Company at a deemed price of CAD$8.20 per share, which represent the 60% of the purchase price, or $36.5 million, were issued and a total cash payment of $12.2 million was paid with the remaining of $12.1 million plus interest accrued and recorded as accrued liabilities on the consolidated balance sheet. As of June 30, 2008, a total of $80.4 million, which including $19.3 million future income tax liabilities on the acquisition, was capitalized as the acquisition cost of GC and SMT projects on the consolidated financial statements.

Subsequent to June 30, 2008, the Company fulfilled its obligations to acquire the GC and SMT project by payment of the remaining $12.2 million to Yangtze Gold.

Notes to the Unaudited Interim Consolidated Financial Statements Page 5

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

7.	ASSET RETIREMENT OBLIGATIONS
	The following table presented the reconciliation of the beginning and ending obligations associated with the retirement of the properties:

		Current
		portion			Long term portion			Total
Balance, March 31, 2006	$	-		$	-		$	-
Obligations incurred during the year		-			1,127,591			1,127,591
Obligations discharged upon payments to local government		-			(226,321	)		(226,321	)
Accretion of asset retirement obligations		-			61,132			61,132
Reclassification of current portion of the obligations		292,406			(292,406	)		-
Balance, March 31, 2007	$	292,406		$	669,996		$	962,402
Obligations incurred during year		252,725			440,699			693,424
Obligations discharged upon payments during the year		(515,980	)		-			(515,980	)
Obigations reduction as per revision of ARO of Ying Property		-			(94,009	)		(94,009	)
Accretion of asset retirement obligations		10,517			51,171			61,688
Reclassification of current portion of ARO to long term		(75,226	)		75,226			-
Foreign translation impacts		35,558			82,746			118,304
Balance, March 31, 2008	$	-		$	1,225,829		$	1,225,829
Obligation incurred during year		-			719,075			719,075
Accretion of asset retirement obligations		-			18,808			18,808
Foreign translation impacts		-			28,068			28,068
Balance, June 30, 2008	$	-		$	1,991,780		$	1,991,780

	Although the ultimate reclamation costs to be incurred for the existing mines are uncertain, the Company has estimated the undiscounted future values of these costs to be $2.45 million as at June 30, 2008 (March 31, 2008 - $1.74 million ) in the next five to eight years.
	The aggregate accrued obligation as at March 31, 2008, representing the fair value of the future reclamation costs, was $1,991,780 (March 31, 2008 - $1,225,829). The fair value was estimated using a credit risk free discount rate of six percent.
8.	SHARE CAPITAL
	(a)	Authorized
		Unlimited number of common shares without par value.
	(b)	Normal Course Issuer Bid
		On March 20, 2008, the Company announced another Normal Course Issuer Bid to acquire up to 2,988,029 of its common shares. The Normal Course Issuer Bid was approved By TSX Exchange and commenced on March 28, 2008 and continues until no later than March 27, 2009. During the three months ended June 30, 2008, a total of 764,300 shares were acquired at a total cost of $4.6 million, of which 470,000 shares were cancelled and 294,300 shares are held for cancellation.

Notes to the Unaudited Interim Consolidated Financial Statements Page 6

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

	Subsequent to June 30, 2008, the Company acquired 325,400 common shares under the Normal Course Issuer Bid at a cost of $1.6 million and cancelled 619,700 common shares with no shares held for cancellation.
(c)	Share Purchase Warrants
	The following is a summary of warrant transactions:

Warrant Shares	Issued	Warrant Shares	Warrant Shares		Price per
Outstanding as at	during	Exercised	Outstanding as at		Warrant
March 31, 2008	the period	during the period	June 30, 2008		CAD$	Expiry Date
3,742,119	-	-	3,742,119	$	8.00	October 26, 2008

(d)	Stock Options
	The following is a summary of option transactions:

				Weighted Average
				Exercise price per
	Number of			share
	shares			CAD$
Balance, March 31, 2006	7,909,875		$	0.36
Options granted	1,300,500			4.44
Option exercised	(2,961,717	)		0.30
Options forfeited	(78,750	)		4.35
Balance, March 31, 2007	6,169,908		$	1.19
Options granted	1,081,200			7.11
Option exercised	(3,448,896	)		0.73
Options forfeited	(567,527	)		2.60
Balance, March 31, 2008	3,234,685		$	3.42
Option granted	50,000			7.54
Option exercised	(4,482	)		4.81
Option expired	(31,875	)		0.75
Option forfetied	(14,517	)		6.70
Balance, June 30, 2008	3,233,811		$	3.49

During the three months ended June 30, 2008, a total of 50,000 options were granted to a consultant at an exercise price of CAD$7.54 per share for five years, subject to a vesting schedule over a three year term with 8.333% options vested every three months.

Subsequent to June 30, 2008, a total of 525,000 options were granted to directors, officers, employees, and consultants at an exercise price of CAD$5.99 per share for five years, subject to a vesting schedule over a three year term with 8.333% options vested every three months.

Subsequent to June 30, 2008, a total of 10,000 options were granted to a consultant at an exercise price of CAD$5.99 per share for two years with 100% vesting on January 2, 2010.

Notes to the Unaudited Interim Consolidated Financial Statements Page 7

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

The following is the summary assumptions to estimate the fair value of each option granted using the Black-Scholes option pricing model.

	Three months ended June 30,
	2008		2007
Risk free interest rate	3.37% to 3.45	%	3.94% to 4.55	%
Expected life of options in years	3 to 5 years		1 to 3 years
Expected volatility	57% to 92	%	70% to 94	%
Expected dividend yield	1	%	0	%

The weighted average grant date fair value of options granted during the year was $3.25 (June 30, 2007 - $3.71) . For the three months ended June 30, 2008, a total of $567,035 (June 30, 2007 - $596,906) stock-based compensation expenses was recorded as office, administration and miscellaneous expenses on the consolidated statements of income.

The following table summarizes information about stock options outstanding at June 30, 2008:

			Weighted		Weighted			Weighted
		Number	Average		Average	Number		Average
	Exercise	Outstanding at	Remaining		Exercise	Exercisable at		Exercise
	Prices	June 30,	Contractual		Price	June 30,		Price
	in CAD$	2008	Life (Years)		in CAD$	2008		in CAD$
$	0.18	990,000	1.32		0.18	990,000		0.18
	0.63	450,000	1.68		0.63	450,000		0.63
	4.32	432,399	3.06		4.32	244,398		4.32
	4.43	207,000	3.16		4.43	104,499		4.43
	4.47	54,708	3.13		4.47	7,458		4.47
	6.74	777,204	3.78		6.74	190,155		6.74
	6.95	135,000	4.26		6.95	30,000		6.95
	9.05	137,500	4.55		9.05	6,813		9.05
	7.54	50,000	4.87		7.54	-		7.54
$	0.18 - $9.05	3,233,811	2.66	$	3.49	2,023,323	$	1.76

(e)	Stock split
	On September 28, 2007, shareholders approved a three-for-one share split for its common shares. The record date for the stock split was set at the close of business on October 31, 2007.
	All share and per share information included in the consolidated financial statements and accompanying notes are presented on a post-split basis for all periods presented.

Notes to the Unaudited Interim Consolidated Financial Statements Page 8

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

9.	RESERVES
	Pursuant to Chinese regulations, Henan Found may make appropriations to reserves funds, comprising the Enterprise Reserve Fund, Enterprise Expansion Fund, and Employee Welfare Fund at a percentage, at the discretion of the Board of Directors of Henan Found, of its after tax net income.
	The Enterprise Reserve Fund is established for covering potential losses and could be used to increase the registered capital if approved by the relevant Chinese authorities. The Enterprise Expansion Fund is for expanding business operation. Both Enterprise Reserve Fund and Enterprise Expansion Fund are recorded as part of shareholders’ equity but are not available for distribution to shareholders other than in liquidation. Employee Welfare Fund is established for the purpose of providing employee facilities and other collective benefits to employees and is recorded as an expense.
	During the three months ended June 30, 2008, the Board of Directors of Henan Found appropriated reserves of $8,982,143 (June 30, 2007 - $2,077,628) from its retained earnings for the calendar year ended December 31, 2007. Of the reserves, a total of $1,795,494 (June 30, 2007 - $415,526) was appropriated as Enterprise Reserve Fund and $7,186,649 (June 30, 2007 - $1,662,102) as Enterprise Expansion Fund. Henan Found also contributed a total of $71,866 (June 30, 2007 - $16,621) to the Employee Welfare Fund. The contribution to Employee Welfare Fund was recorded as accrued liabilities on the consolidated balance sheet and expensed on the consolidated statement of income.
10.	RELATED PARTY TRANSACTIONS
	In addition to related party transactions disclosed elsewhere in the financial statements, the Company had the following related party transactions during the period:
	(a)	During the three months ended June 30, 2008, the Company incurred:
		(i)	consulting fees of $86,621 (June 30, 2007 - $37,565) payable to a company owned by an officer and director of the Company and to an officer of the Company;
		(ii)	management fees of $61,875 (June 30, 2007 - $36,426) payable to a company owned by an officer and director of the Company, and to an officer and director of the Company;
		(iii)	directors’ fees of $14,850 (June 30, 2007 - $15,290);
		(iv)	expenses recovered of $66,391 (June 30, 2007 - $260,079) from New Pacific Metals Corp. (“NUX”).
	(b)	As at June 30, 2008, the related transaction balances included the following:
		(i)	$28,874 (March 31, 2008 - $nil) due to a company controlled by a director of the Company for services provided;

Notes to the Unaudited Interim Consolidated Financial Statements Page 9

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

(ii)	$12,117,910 (March 31, 2008 - $12,117,910) due to the joint venture partner of Henan Found for non-controlling interest distributable as Henan Found declared dividend during the year;
(iii)	$69,546 (March 31, 2008 - $(12,014)) due to a company related by common control;
(iv)	$17,576 (March 31, 2008 - $17,113) due from the joint venture partner of Qinghai Found; and,
(v)	$20,085 (March 31, 2008 - $18,051) due from NUX for expenses incurred and recoverable under an inter-company services and cost allocation arrangement.
	On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.
	On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at June 30, 2008, a total of $2.4 million of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.

The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties. The balances with related parties are unsecured, non-interest bearing, and due on demand.

11.    CAPITAL DISCLOSURE

The Company’s objective when managing its capital is to maintain its ability to continue as a going concern while at the same time maximizing growth of its business and provide returns to its shareholders.

The Company’s objectives in managing capital are to maintain an optimal capital structure to reduce the overall cost of capital and to safeguard the Company’s ability to continue to deploy capital to pursue its strategy of growth and provide returns to shareholders and other stakeholders. The Company’s capital structure consists of shareholders’ equity, comprising issued share capital plus contributed surplus plus reserves plus retained earnings plus accumulated other comprehensive income. The Board of Directors does not establish a quantitative return on capital criteria for management but promotes year-over-year sustainable earnings growth targets. The Company manages the capital structure and makes adjustments to it in light of changes in economic conditions and the risk characteristics of the underlying assets.

The Company’s capital is subject to People's Republic of China (“PRC”) foreign currency exchange controls which may limit the ability to repatriate funds. As at June 30 2008, the Company has retained earnings of $77 million in the PRC which may be restricted.

Notes to the Unaudited Interim Consolidated Financial Statements Page 10

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

	The Company’s overall strategy with respect to capital risk management remains unchanged from the year ended March 31, 2008
12.	FINANCIAL INSTRUMENTS
	The Company has exposure to risks of varying degrees of significance which could affect its ability to achieve its strategic objectives for growth and shareholder returns. The principal financial risks to which the Company is exposed are liquidity risk, foreign exchange rate risk, interest rate risk, credit risk, and commodity price risk. The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework and reviews the Company’s policies on an ongoing basis.
	(a)	Fair value
		The fair values of financial instruments at June 30, 2008 and March 31, 2008 is summarized as follows:

	June 30, 2008		March 31, 2008
	Carrying
	amount	Fair value	Carrying amount	Fair value
	$	$	$	$
Financial Assets
Held for trading
Cash and cash equivalents	42,592,496	42,592,496	47,092,890	47,092,890
Short term investment	32,471,317	32,471,317	37,145,656	37,145,656
Loans and receivable
Accounts receivable and prepaids	11,035,520	11,035,520	5,259,699	5,259,699
Available for sale
Long term investment
- Investment in Dajin Resources Corp.	137,444	137,444	204,300	204,300
Financial Liabilities
Accounts payable and accrued liabilities	22,353,854	22,353,854	7,026,628	7,026,628
Deposits received from customers	2,350,775	2,350,775	2,573,202	2,573,202

(b)

Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they come due. The Company has in place a planning process to help determine the funds required to support the Company’s normal operating requirements on an ongoing basis and its expansion plans. The Company ensures that there are sufficient funds to meet its short-term business requirements, taking into account its anticipated cash flows from operations and its holdings of cash and cash equivalents and short term investments.

Notes to the Unaudited Interim Consolidated Financial Statements Page 11

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

(c)	Exchange risk
	The Company undertakes transactions denominated in foreign currencies and as such is exposed to risk due to fluctuations in foreign exchange rates.
	The Company conducts its operations in Chinese Yuan and thereby the majority of the Company’s assets, liabilities, revenues and expenses are denominated in RMB¥, which was tied to the U.S. Dollar until July 2005 and is now tied to a basket of currencies of China’s largest trading partners. The RMB¥ is not a freely convertible currency.
	As at June 30, 2008, approximately $56.5 million (March 31, 2008 - approximately $48.3 million) of cash and cash equivalents and short term investments were held in RMB¥.
(d)	Interest rate risk
	The Company has no interest-bearing debt and so is not exposed to interest rate risk.
(e)	Credit risk
	The Company is exposed to credit risk with respect to accounts receivable from customers. The Company undertakes credit evaluations on customers as necessary and has monitoring processes intended to mitigate credit risks. The Company has accounts receivable from clients primarily in China engaged in the mining and milling of base and polymetallic metals industry.
	The Company is exposed to credit risk with respect to cash equivalents and accounts receivable. The carrying amount of assets included on the balance sheet represents the maximum credit exposure.
	The cash equivalents consist mainly of short-term investments, such as money market deposits. None of the cash equivalents were in asset backed financial instruments. The Company has deposits of cash equivalents that meet minimum requirements for quality and liquidity as stipulated by the Company’s Board of Directors. Management believes the risk of loss to be remote.
	The mining industry in China may be affected by economic factors that may impact accounts receivable. Management does not believe that the mining industry or geographic region within China represents a significant credit risk.
(f)	Commodity price risk
	The Company is subject to price risk from fluctuations in market prices of commodities, and the Company has elected not to actively manage the exposure to the commodity price risk at this time.

Notes to the Unaudited Interim Consolidated Financial Statements Page 12

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

13.	SEGMENTED INFORMATION
	(a)	Industry information
		The Company operates in one reportable operating segment, being the acquisition, exploration, development, and operation of mineral properties.
	(b)	Geographic information
		(i) The following is the summary of balance sheet items of each geographic segment:

As at								June 30, 2008
			China
		Canada														BVI
Balance sheet items:				Ying		HPG		TLP		LM	GC & SMT			Other				Total
Mineral rights and properties	$	-	$	20,348,390	$	10,170,932	$	22,476,807	$	10,940,307	$	80,384,399	$	3,696,509	$	-	$	148,017,344
Property, plant and equipment		412,017		12,890,584		1,002,765		925,358		153,665		-		2,568,089		-		17,952,478
Long term investments		11,288,798		6,564,893		-		-		-		-		-		-		17,853,691

As at								March 31, 2008
			China
		Canada														BVI
Balance sheet items:				Ying		HPG		TLP		LM	GC & SMT			Other				Total
Mineral rights and properties	$	-	$	18,302,750	$	9,732,393	$	20,015,537	$	9,748,658	$	-	$	3,105,117	$	-	$	60,904,275
Property, plant and equipment		438,723		12,329,390		955,816		-		-		-		625,643		-		14,349,572
Long term investments		11,455,948		6,417,939		-		-		-		-		-		-		17,873,887

Notes to the Unaudited Interim Consolidated Financial Statements Page 13

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

(ii)  The following is the operation summary of each geographic segment:

For the											Three months ended June 30, 2008
				China
		Canada																					BVI
					Ying			HPG			TLP			LM		GC & SMT				Other						Total
Sales	$	-		$	24,694,044		$	3,200,268		$	1,765,885		$	1,199,080		$	- $			-		$	-		$	30,859,277
Cost of sales		-			(5,687,896	)		(1,061,362	)		(410,302	)		(779,196	)		-			-			-			(7,938,756	)
Amortization and depletion		-			(630,345	)		(570,372	)		(145,099	)		(222,626	)		-			-			-			(1,568,442	)
Gross Profit		-			18,375,803			1,568,534			1,210,484			197,258			-			-			-			21,352,079
Expenses		(2,189,269	)		(1,231,525	)		(397,134	)		(88,067	)		(177,530	)		(171,639		)	16,315			(4,820	)		(4,243,669	)
Interest, option & other income		217,997			583,152			2,148			-			-			-			1,512			686			805,495
Loss and other expenses		(204,731	)		-			-			-			-			-			(9,504	)		-			(214,235	)
Non controlling interest		-			(3,556,435	)		(421,064	)		(221,678	)		(12,410	)		-			-			-			(4,211,587	)
Income tax recovery (expenses)		-			(1,918,363	)		229,997			(137,183	)		(61,093	)		-			-			-			(1,886,642	)
Net income (loss)	($	2,176,003	)	$	12,252,632		$	982,481		$	763,556		($	53,775	)	($	171,639	)	$	8,323		($	4,134	)	$	11,601,441
For the	Three months ended June 30, 2007
				China
		Canada																					BVI
					Ying			HPG			TLP			LM			GC & SMT			Other						Total
Sales	$	-		$	20,716,030		$	1,537,256		$	-		$	-		$	-		$	-		$	-		$	22,253,286
Cost of sales		-			(3,882,318	)		(395,871	)		-			-			-			-			-			(4,278,189	)
Amortization and depletion		-			(401,860	)		(184,193	)		-			-			-			-			-			(586,053	)
Gross Profit		-			16,431,852			957,192			-			-			-			-			-			17,389,044
Expenses		(1,180,936	)		(543,373	)		(142,090	)		-			-			-			(149,289	)		(263,107	)		(2,278,795	)
Interest, option & other income		2,204,017			128,999			1,188			-			-			-			50,314			-			2,384,518
Loss and other expenses		(120,018	)		(48,130	)		-			-			-			-			-			-			(168,148	)
Non controlling interest		-			(4,005,123	)		(245,963	)		-			-			-			-			-			(4,251,086	)
Income tax Recovery (expenses)		-			1,451,490			-			-			-			-			-			-			1,451,490
Net income (loss)	$	903,063		$	13,415,715		$	570,327		$	-		$	-		$	-		($	98,975	)	($	263,107	)		14,527,023

(c)	Sales by metal
	For the three months ended June 30, 2008, the Company generated sales of $30,859,277 (June 30, 2007 - $22,253,286) which comprised of the following:

		Three months ended June 30,
		2008		2007
Silver (Ag)	$	15,406,724	$	9,448,042
Gold (Au)		347,105		146,013
Lead (Pb)		12,825,228		8,322,992
Zinc (Zn)		2,280,220		4,336,239
	$	30,859,277	$	22,253,286

Notes to the Unaudited Interim Consolidated Financial Statements Page 14

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

14.	SUBSEQUENT EVENTS
	Subsequent to June 30, 2008, Henan Found distributed a dividend of $25.3 million (RMB¥200 million) to its shareholders. The Company’s wholly owned subsidiary, Victor Mining Ltd., received its share (77.5%) of dividend payment of $19.6 million (RMB¥155 million), and a total of $5.7 million (RMB¥45 million) was distributed to the non-controlling subsidiary shareholder.

15.	COMMITMENTS AND CONTINGENCIES
	The Company’s commitments and contingencies include:

(i)	During the 2007 fiscal year, Henan Found entered into a joint venture agreement, for a 30% participation interest, in Luoyang Yongning Smelting Co. Ltd. (“Yongning”), to custom built a 150,000-tonne/year lead-silver-gold smelter in Luoning County, Luoyang City, Henan Province, China. On September 21, 2007, Yongning obtained approval from Chinese governmental authorities and the business license was issued.
	During the 2008 fiscal year, Henan Found fulfilled its registered capital requirement through a contribution of approximately $6.4 million (RMB¥45 million) (March 31, 2007 - $58,197 (RMB¥450,000)) to Yongning. As of March 31, 2008, the registered capital requirement of $21.4 million (RMB¥150 million) has been fully contributed by all the joint venture parties.
	The remaining commitment, for other capital expenditure investment, of approximately $4.3 million (RMB¥30 million) (30% of $14.3 million or RMB¥100 million) is due by September 21, 2008.
(ii)	In June 2007, the Company, through its wholly owned subsidiary, Fortress Mining Inc., entered into a joint venture contract with a Chinese party to form Qinghai Found Mining Company Ltd. ("Qinghai Found"), a Sino-foreign cooperate joint venture, to explore and develop the Na-Bao silver-polymetalic Project (“Na-Bao Project”) in Qinghai Province, China. Under the joint venture contract, the Company will have an 82% interest in Qinghai Found by investing approximately $4.0 million by funding exploration and development. The Chinese party has an 18% carried interest in Qinghai Found in exchange for transferring the three Na-Bao permits to Qinghai Found.
	As at June 30, 2008, the Company has funded $3.75 million towards the approximately $4.0 million required exploration and development investment to earn its 82% interest in Qinghai Found.
(iii)	On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.

Notes to the Unaudited Interim Consolidated Financial Statements Page 15

SILVERCORP METALS INC.

Notes to the Consolidated Financial Statements

For three months ended June 30, 2008

(Expressed in US dollars, unless otherwise stated)

	As at June 30, 2008, a total of of $2,347,593 (March 31, 2008 - $683,995) of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.
(iv)	Pursuant to the share purchase agreement dated April 24, 2008 with Yangtze Gold, upon the closing of the acquisition of shares of Yangtze Mining, only the GC and SMT properties would remain in Anhui Yangtze, and all other assets and liabilities of Anhui Yangtze were to be disposed to a third party before the closing.
	On June 6, 2008, the closing date for the acquisition of Yangtze Mining, because in addition to the GS and SMT properties, certain other net assets still remained in Anhui Yangtze, including Tong Shan Pai Copper Mine (“TSP Mine”), an Indemnification Agreement was executed between the Company and Yangtze Gold to the effect that Yangtze Gold would continue to use its best efforts to transfer the TSP Mine. Also, effective June 6, 2008, Yangtze Gold and Anhui Yangtze entered into a declaration of trust whereas Anhui Yangtze, the “Trustee” holds in trust all of the remaining net assets of Anhui Yangtze, that being the TSP Mine and any other net assets other than the GS and SMT properties and the $2.7 million (RMB¥20 million) advanced funds by the Company, as of the closing date on June 6, 2008 for the benefit of Yangtze Gold. All costs, expenses, liabilities whatsoever arising out of and in connection to the remaining net assets will be the ob ligation of Yangtze Gold. The Trustee further promises Yangtze Gold not to deal with the remaining net assets in any way without the instructions and consent of Yangtze Gold; to account to Yangtze Gold for any money received by the Trustee in connection with holding the net assets; and upon demand by Yangtze Gold, to return all net assets advanced and outstanding, within five business days of such written demand.
(v)	The Company’s leasehold obligation commitments total $899,132 over six years (years ending March 31, 2009: $191,185; 2010: $256,853; 2011: $256,853; 2012: $85,117; 2013: $87,299; and 2014: $21,825).

Notes to the Unaudited Interim Consolidated Financial Statements Page 16

EX-99.6

Exhibit 99.6

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Date of Report - As at August 13, 2008

This Management’s Discussion and Analysis (“MD&A”) should be read in conjunction with the Company’s unaudited interim consolidated financial statements for the three months ended June 30, 2008 and related notes thereto which have been prepared in accordance with Canadian generally accepted accounting principles. In addition, the following should be read in conjunction with the March 31, 2008 audited consolidated financial statements, the related annual Management’s Discussion and Analysis, and the Annual Information Form as well as other information relating to Silvercorp Metals Inc. (the “Company”) on file with the Canadian provincial securities regulatory authorities, on SEDAR at www.sedar.com, and the Company’s website at www.silvercorp.ca. This Management’s Discussion and Analysis contains “forward looking” statements tha t are subject to risk factors set out in the cautionary note contained herein.

The Company’s consolidated financial statements which have been prepared in accordance with Canadian generally accepted accounting principles, and all financial data derived therefrom in this report are expressed in United States (“US”) dollars, unless otherwise noted.

FORWARD LOOKING STATEMENTS

Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, and other similar words, or statements that certain events or conditions “may” or “will” or “can” occur. Forward-looking statements are based on the opinions and estimates of management on the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration, development, and mining of mineral properties, the uncertainties involved in interpreting drilling results and other geolog ical data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors described in this report under the heading “Outlook”. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake any obligation to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

Non-GAAP Measurements

The following are non-GAAP measurements and investors are cautioned not to place undue reliance on it and are urged to read all GAAP accounting disclosures present in the unaudited interim consolidated financial statements and accompanying notes: Average selling price (net of Value Added tax and smelter charges); Average production cost per ounce; Average production cost per pound; Total production cost per ounce; Total cash cost per ounce; Mining cost per tonne of ore mined; Milling cost per tonne of ore milled; Average silver production costs adjusted for by-product credit; Total recovery of mine and mill head grades; Run of mine head grade; Mill head grade; Mill recovery rates; Profit margin; Gross margin; Adjusted net income; Adjusted basic earnings per share; Adjusted diluted earnings per share; Adjusted weighted average number of shares outstanding - basic; Adjusted weighted average number of shares outstanding - diluted. These non-GAAP measures are used by t he Company to manage and evaluate operating performance of the Company’s mines and are widely reported in the silver mining industry as benchmarks for performance measurement, but do not have a standardized meaning.

1.0 Preliminary Information

Silvercorp Metals Inc., China’s largest primary silver producer, is engaged in the acquisition, exploration,

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 1

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

and development of silver related mineral properties focusing in the People's Republic of China ("China"). Silvercorp Metals Inc. is operating and developing four highly profitable Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, China. Silvercorp is also applying for a mining permit for the newly acquired 95% owned GC/SMT property to profitably mine and produce silver, lead and zinc metals in Guangdong Province, China. In addition, Silvercorp is also exploring the 82% owned Na-Bao Polymetallic Project in Qinghai Province, China.

The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

1.1 Date of Report - As above

1.2 Overall Performance

(a) 1st Quarter - Financial Highlights - 3 months ended June 30, 2008

For the 1st quarter ended June 30, 2008, the Company achieved record sales of $30.9 million, compared to $22.3 million for the same period one year ago. This represents an increase of 39% in sales revenue. Gross profit from operations amounted to $21.4 million (2007 - $17.4 million), an increase of 23% and representing a gross margin of 69% (2007 - 78%). Earnings before other income and expenses increased 13% to $17.1 million (2007 - $15.1 million). The net income was $11.6 million (2007 - $14.5 million) with a net profit margin of 38% (2007 - 65%). Net earnings of $0.08 per basic share represent $0.02 less compared to $0.10 per basic share for the same period last year.

After adjusting the prior year’s net income for an income tax benefit of $1.5 million, and mineral property option income of $1.9 million, net income for the 1st quarter ended June 30, 2008 in fact increased by 4% to $11.6 million as compared to adjusted net income for the prior year’s quarter of $11.2 million. The basic earnings per share of $0.08 for the 1^st quarter ended June 30, 2008 is comparable to the adjusted basic earnings per share of $0.08 for the same period one year ago.

Cash provided by operating activities rose 33% to a record of $25.1 million ($0.17 per share) for the 1st quarter ended June 30, 2008, a 33% increase compared to $18.9 million ($0.13 per share) over the same period one year ago.

Net profit and the net earnings per share for the quarter ended June 30, 2008 did not increase in line with increased sales compared to the same period one year ago mainly due to the following reasons: (i) the Company mined low grade areas at the Ying Mine as outlined in the 2007 Resources Upgrade report by Mr. C. Broili and Dr. M. Klohn contributing to the $3.7 million increase in cash cost of goods sold; (ii) $1.2 million increase in amortization, depreciation, and depletion cost; (iii) $0.2 million increase in general exploration expenses; (iv) $1.8 million increase in administrative and professional fees; and (v) income tax expense of $2.1 million as the Company started to pay income tax in China and a tax provision of $2.0 million was recorded.

Capital expenditures during the period amounted to $35.3 million (2007- $4.3 million) representing the purchase of mineral rights and properties of $31.5 million (2007 - $2.8 million) and the purchase of property, plant, and equipment of $3.8 million (2007 - $1.5 million). The Company ended the quarter with cash and cash equivalents and short term investments of $75.1 million (2007 - $72.6 million).

During the 1st quarter ended June 30, 2008, the Company, through the facilities of the TSX Exchange, acquired 764,300 shares under the Normal Course Issuer Bid at a total cost of $4.7 million of which 470,000 shares were cancelled. Subsequent to June 30, 2008, the Company acquired 325,400 common shares under the Normal Course Issuer Bid at a cost of $1.6 million and the remaining 619,700 common shares were cancelled.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 2

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

During the year ended March 31, 2008, Henan Found’s Board of Directors declared a dividend of $50.6 million (RMB¥400 million) to its shareholders, and a total of $12.1 million (RMB¥90 million) distributable to the non-controlling subsidiary shareholder was recorded as due to related parties on the balance sheet.

In July 2008, Henan Found distributed a total of $25.3 million (RMB¥200 million) (June 2007 - RMB¥111 million) to its shareholders. The Company’s wholly owned subsidiary, Victor Mining Ltd., received its share (77.5%) of dividend payment of $19.6 million (RMB¥155 million) (June 2007 - RMB¥86.025 million), and a total of $5.7 million (RMB¥45 million) (June 2007 - RMB¥24.975 million) was paid to the non-controlling interests.

(b) 1st Quarter - Operation Highlights - 3 months ended June 30, 2008

During the quarter, the Company reached limited test production at the LM Mine and TLP Mine. This has enabled the Company to achieve record silver production of 1,106,282 ounces during the quarter, representing an increase of 27% compared to the prior year.

Total sales and realized prices net of value added tax and smelter charges for the 1stquarter ended June 30, 2008 as compared to the same period of 2007, are comprised of the following:

1,106,282 (2007 - 870,608) ounces of silver sold for $15.4 million (2007 - $9.4 million) at an average selling price of $13.93 (2007 - $10.86) per ounce;

525 (2007 - 323 ) ounces of gold sold for $0.3 million (2007 - $0.1 million) at an average selling price of $661.24 (2007 - $452.05) per ounce;

14,427,862 (2007 - 11,269,546) pounds of lead sold for $12.8 million (2007 - $8.3 million) at an average selling price of $0.89 (2007 - $0.74) per pound; and,

4,165,194 (2007 - 3,849,273) pounds of zinc sold for $2.3 million (2007 - $4.3 million) at an average selling price of $0.55 (2007 - $1.13) per pound.

For the 1st quarter ended June 30, 2008, a total of 135,944 (2007- 70,816) tonnes of ores were mined, representing a 92% increase compared to the same period of 2007, from which 3,388 (2007 - 2,658) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 132,556 (2007 - 68,158) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates.

The total mining cost per tonne of ore mined increased by 60% compared to the same period of 2007 to $73.45 per tonne ($/t) (2007 - $46.00/t), primarily caused by: an increase in amortization and depletion of $10.40/t; an increase in raw materials supply cost of $5.84/t; and, an increase in exploration cost of $10.73/t.

The total milling cost per tonne of ore milled has increased by 22% to $13.39 per tonne of ore ($/t) (2007 - $11.00), mainly due to: an increase in depreciation of $1.00/t (2007 - nil); an increase in administration and transportation costs of $1.84/t; salary increase of $0.33/t; resource tax increase of $0.88/t; and, offset by raw materials decrease of $0.99/t, and utility cost decrease of $0.50/t.

The Company continues to achieve industry leading low total production costs per ounce of silver. The total production cost increased by 41% to negative $5.37 per ounce of silver after adjusting for by-product credits for the 1st quarter ended June 30, 2008, compared to negative $9.12 per ounce in the same period a year ago. The cash production cost for silver adjusted for by-product credits increased by 31% to negative $6.79 (2007 - negative $9.79) per ounce.

The head grades of run of mine ores of 77,762 and 66,798 tonnes from the Ying Mine for the 1st quarter ended June 30, 2008 and June 30, 2007 respectively, were:

396.0 and 444.0 g/t for silver, a decrease of 11%;

6.7% and 7.3% for lead, a decrease of 8%; and,

3.3% and 3.5% for zinc, a decrease of 7%.

As the mining process at the Ying Mine is going through certain lower grade pockets of ore zones, it is

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 3

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

expected that the head grade of run of mine ores from the Ying Mine will be the similar to this quarter for at least one quarter, until those higher grade pockets of ore zones are developed.

The head grades of run of mine ores of 13,356 and 8,812 tonnes from the HPG Mine for the 1st quarter ended June 30, 2008 and June 30, 2007, were:

248.3 and 185.6 g/t for silver, an increase of 34%;

9.7% and 7.9% for lead, an increase of 23%; and,

0.6% and 1.7% for zinc, a decrease of 62%, respectively.

The LM Mine, in its first quarter of test production, achieved head grades of run of mine ores of 11,587 tonnes for the 1st quarter ended June 30, 2008 of:

305.4 g/t for silver; and,

2.0% for lead.

The TLP Mine, in its first quarter of test production, achieved head grades of run of mine ores of 23,457 tonnes for the 1st quarter ended June 30, 2008 of:

183.0 g/t for silver; and,

2.7% for lead.

The Company continues to achieve industry leading low total production costs per ounce of silver. The total production cost increased by 41% to negative $5.37 per ounce of silver after adjusting for by-product credits for the 1st quarter ended June 30, 2008, compared to negative $9.12 per ounce in the same period a year ago. The cash production cost for silver adjusted for by-product credits increased by 31% to negative $6.79 (2007 - negative $9.79) per ounce.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 4

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(i) The following table summarizes the operating and financial data in respect to the Ying, HPG, LM, and TLP Mines, on a consolidated basis.

Consolidated	Three months ended June 30,
	2008		2007
Production Data
Mine Data
Ore Mined (tonne)
Direct Smelting Ores (tonne)	3,388		2,658
Stockpiled Ores (tonne)	132,556		68,158
	135,944		70,816
Run of Mine Ore(tonne)
Direct Smelting Ores (tonne)	3,388		2,658
Ores Milled (tonne)	122,774		72,952
	126,162		75,610
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	73.45		46.00
Milling Cost per tonne of ore milled ($)	13.39		11.00
Average Production Cost
Silver ($ per ounce)	4.29		2.38
Gold ($ per ounce)	203.72		99.11
Lead ($ per pound)	0.27		0.16
Zinc ($ per pound)	0.17		0.25
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(5.37	)	(9.12	)
Total cash cost per ounce of Silver ($)	(6.79	)	(9.79	)
Total Recovery of the Run of Mine Ores
Silver (%)	89.0		86.9
Lead (%)	93.5		94.2
Zinc (%)	71.0		69.9
Head Grades of Run of Mine Ores
Silver (gram/tonne)	331.3		398.2
Lead (%)	5.7		7.4
Zinc (%)	2.0		3.2
Sales Data
Metal Sales
Silver (ounce)	1,106,282		870,608
Gold (ounce)	525		323
Lead (pound)	14,427,862		11,269,546
Zinc (pound)	4,165,194		3,849,273
Metal Sales
Silver ($)	15,406,724		9,448,042
Gold ($)	347,105		146,013
Lead ($)	12,825,228		8,322,992
Zinc ($)	2,280,220		4,336,239
	30,859,277		22,253,286
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	13.93		10.86
Gold ($ per ounce)	661.24		452.05
Lead ($ per pound)	0.89		0.74
Zinc ($ per pound)	0.55		1.13

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 5

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(ii) The following table summarizes the operating and financial data in respect to the Ying Mine on a non- consolidated basis.

Ying Silver Property	Three months ended June 30,
	2008		2007
Production Data
Mine Data
Ore Mined (tonne)
Direct Smelting Ores (tonne)	3,071		2,224
Stockpiled Ores (tonne)	77,567		56,038
	80,638		58,262
Run of Mine Ore(tonne)
Direct Smelting Ores (tonne)	3,071		2,224
Ores Milled (tonne)	74,691		64,574
	77,762		66,798
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	63.91		47.33
Milling Cost per tonne of ore milled ($)	11.30		10.38
Average Production Cost
Silver ($ per ounce)	3.28		2.25
Gold ($ per ounce)	98.36		61.82
Lead ($ per pound)	0.21		0.15
Zinc ($ per pound)	0.13		0.24
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(7.28	)	(8.77	)
Total cash cost per ounce of Silver ($)	(7.42	)	(9.25	)
Total Recovery of the Run of Mine Ores
Silver (%)	90.7		90.1
Lead (%)	95.9		94.7
Zinc (%)	72.0		79.0
Head Grades of Run of Mine Ores
Silver (gram/tonne)	396.0		444.0
Lead (%)	6.7		7.3
Zinc (%)	3.3		3.5
Sales Data
Metal Sales
Silver (ounce)	889,143		836,399
Gold (ounce)	40		61
Lead (pound)	11,249,583		10,052,607
Zinc (pound)	4,062,127		3,708,179
Metal Sales
Silver ($)	12,405,193		9,099,185
Gold ($)	16,739		18,234
Lead ($)	10,038,994		7,410,424
Zinc ($)	2,233,118		4,188,186
	24,694,044		20,716,030
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	13.95		10.88
Gold ($ per ounce)	417.95		298.93
Lead ($ per pound)	0.89		0.74
Zinc ($ per pound)	0.55		1.13

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 6

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(iii) The following table summarizes the operating and financial data in respect to the HPG Mine on a non-consolidated basis.

HPG Project	Three months ended June 30,
	2008		2007
Production Data
Mine Data
Ore Mined (tonne)
Direct Smelting Ores (tonne)	193		434
Stockpiled Ores (tonne)	15,330		12,120
	15,523		12,554
Run of Mine Ore(tonne)
Direct Smelting Ores (tonne)	193		434
Ores Milled (tonne)	13,163		8,378
	13,356		8,812
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	76.94		39.52
Milling Cost per tonne of ore milled ($)	12.79		18.21
Average Production Cost
Silver ($ per ounce)	7.18		3.85
Gold ($ per ounce)	356.89		184.03
Lead ($ per pound)	0.46		0.28
Zinc ($ per pound)	0.23		0.40
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(7.74	)	(17.78	)
Total cash cost per ounce of Silver ($)	(15.68	)	(23.17	)
Total Recovery of the Run of Mine Ores
Silver (%)	83.8		77.5
Lead (%)	93.7		98.3
Zinc (%)	66.4		53.2
Head Grades of Run of Mine Ores
Silver (gram/tonne)	248.3		185.6
Lead (%)	9.7		7.9
Zinc (%)	0.6		1.7
Sales Data
Metal Sales
Silver (ounce)	71,848		34,209
Gold (ounce)	452		262
Lead (pound)	2,022,570		1,216,939
Zinc (pound)	103,067		141,094
Metal Sales
Silver ($)	1,012,447		348,856
Gold ($)	316,541		127,779
Lead ($)	1,824,178		912,568
Zinc ($)	47,102		148,053
	3,200,268		1,537,256
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	14.09		10.20
Gold ($ per ounce)	699.96		487.71
Lead ($ per pound)	0.90		0.75
Zinc ($ per pound)	0.46		1.05

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 7

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(iv) The following table summarizes the operating and financial data in respect to the LM Mine on a non-consolidated basis.

LM Project	Three months ended June 30,
	2008
Production Data
Mine Data
Ore Mined (tonne)
Direct Smelting Ores (tonne)	71
Stockpiled Ores (tonne)	14,466
	14,537
Run of Mine Ore(tonne)
Direct Smelting Ores (tonne)	71
Ores Milled (tonne)	11,516
	11,587
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	138.14
Milling Cost per tonne of ore milled ($)	22.18
Average Production Cost
Silver ($ per ounce)	11.61
Gold ($ per ounce)	336.22
Lead ($ per pound)	0.72
Zinc ($ per pound)	-
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	10.90
Total cash cost per ounce of Silver ($)	7.53
Total Recovery of the Run of Mine Ores
Silver (%)	87.6
Lead (%)	84.4
Zinc (%)	-
Head Grades of Run of Mine Ores
Silver (gram/tonne)	305.4
Lead (%)	2.0
Zinc (%)	-
Sales Data
Metal Sales
Silver (ounce)	65,886
Gold (ounce)	5.8
Lead (pound)	326,828
Zinc (pound)	-
Metal Sales
Silver ($)	915,709
Gold ($)	2,322
Lead ($)	281,049
Zinc ($)	-
	1,199,080
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	13.90
Gold ($ per ounce)	402.43
Lead ($ per pound)	0.86
Zinc ($ per pound)	-

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 8

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(b)(v) The following table summarizes the operating and financial data in respect to the TLP Mine on a non-consolidated basis.

TLP Project	Three months ended June 30,
	2008
Production Data
Mine Data
Ore Mined (tonne)
Direct Smelting Ores (tonne)	53
Stockpiled Ores (tonne)	25,193
	25,246
Run of Mine Ore(tonne)
Direct Smelting Ores (tonne)	53
Ores Milled (tonne)	23,404
	23,457
Mining Cost and Milling Cost
Mining Cost per tonne of ore mined ($)	64.54
Milling Cost per tonne of ore milled ($)	16.10
Average Production Cost
Silver ($ per ounce)	4.25
Gold ($ per ounce)	134.59
Lead ($ per pound)	0.26
Zinc ($ per pound)	-
Production Cost and Cash Cost Per Ounce of Silver, Adjusted for By-Product Credits
Total production cost per ounce of Silver ($)	(1.73	)
Total cash cost per ounce of Silver ($)	(3.55	)
Total Recovery of the Run of Mine Ores
Silver (%)	82.3
Lead (%)	77.9
Zinc (%)	-
Head Grades of Run of Mine Ores
Silver (gram/tonne)	183.0
Lead (%)	2.7
Zinc (%)	-
Sales Data
Metal Sales
Silver (ounce)	79,405
Gold (ounce)	27
Lead (pound)	828,881
Zinc (pound)	-
Metal Sales
Silver ($)	1,073,375
Gold ($)	11,503
Lead ($)	681,007
Zinc ($)	-
	1,765,885
Average Selling Price, Net of Value Added Tax and Smelter Charges
Silver ($ per ounce)	13.52
Gold ($ per ounce)	427.94
Lead ($ per pound)	0.82
Zinc ($ per pound)	-

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 9

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(c) Economic Factors Affecting the Industry

The Company’s sales price for metals are fixed against the Shanghai Metals Exchange as quoted at www.shmet.com for lead and zinc pounds while gold ounces are fixed against the Shanghai Gold Exchange as quoted at www.sge.com.cn, and silver ounces are fixed against the Shanghai White Platinum & Silver Exchange as quoted at www.ex-silver.com. These metal prices traditionally move in tandem with and at marginally higher prices than those quoted on the North American and European market places.

(d) Political and Country Risk

The Company conducts its operations in China and is potentially subject to a number of political and economic risks. The Company is not able to determine the impact of these risks on its future financial position or results of operations and the Company’s exploration, development and production activities may be substantially affected by factors outside of the Company’s control. These potential factors include, but are not limited to: royalty and tax increases or claims by governmental bodies, expropriation or nationalization, foreign exchange controls, import and export regulations, cancellation or renegotiation of contracts and environmental and permitting regulations. The Company currently has no political risk insurance coverage against these risks.

(e) Environmental Risks

The Company’s activities are subject to extensive laws and regulations governing environmental protection and employee health and safety. Environmental laws and regulations are complex and have tended to become more stringent over time. Although the Company makes provisions for reclamation costs, it cannot be assured that these provisions will be adequate to discharge its future obligations for these costs.

Failure to comply with applicable environmental health and safety laws may result in injunctions, damages, suspension or revocation of permits and imposition of penalties. There can be no assurance that the Company has been or will be at all times in complete compliance with current and future environmental and health and safety laws and permits will not materially adversely affect the Company’s business, results of operations or financial condition.

(f) Risk Factors

The Company is subject to numerous risks which are outlined in the Annual Information Form 51-102F2, Short Form Prospectus, and the NI 43-101 Technical Reports, which are available on SEDAR at www.sedar.com. In addition, please refer to Section 1.14 Financial Instruments.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 10

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

1.3 Selected Annual Information

The following table sets out selected consolidated financial information for the Company prepared in accordance with Canadian generally accepted accounting principles. The Company’s reporting currency is US dollars. This information has been summarized from the Company’s audited consolidated financial statements for the fiscal years ended March 31, 2008, 2007 and 2006. This selected consolidated financial information should only be read in conjunction with the Company’s consolidated financial statements.

For the years ended March 31,
(expressed in millions, except share and per share data)

		2008		2007		2006
Sales	$	108.4	$	39.8	$	-
Gross Profit		85.0		30.8		-
Gains and other income		7.3		5.3		0.4
Net income (loss)		59.9		22.0		(5.3	)
Basic earnings (loss) per share		0.41		0.15		(0.04	)
Diluted earnings (loss) per share		0.40		0.15		(0.04	)
Total assets		190.2		94.2		18.1
Total long term liabilities		7.6		2.1		-
Cash dividends paid		6.9		-		-
Cash dividends declared per share		0.05		-		-

For the year ended March 31, 2008, the Company increased sales by 172% to $108.4 million (2007 - $39.8 million) compared to the prior year period. The increase is primarily attributed to the Ying Silver Property increase in sales to $96.4 million (2007 - $39.8 million) and HPG property sales of $12.0 million (2007 - $nil).

For the year ended March 31, 2008, gross profit from mine operations amounted to $85.0 million (2007 - $30.8 million), representing a gross margin of 78% (2007 - 78%). The net income was $59.9 million (2007 - $22.0 million) with a net profit margin of 55% (2007 - 55%).

For the year ended March 31, 2008, the Company recorded net earnings of $59.9 million (CAD$61.7 million), or $0.41 (CAD$0.42) per share, up 172%, compared to $22.0 million (CAD$25.1 million), or $0.15 (CAD$0.17) per share over the same period last year. The company achieved a net profit margin of 55% (2007 - 55%) for the year ended March 31, 2008.

The Company’s subsidiary, Henan Found Mining Company Ltd. (“Henan Found”), is now subject to 12.5% income tax rate until December 31, 2010 and a 25% income tax rate thereafter. Based on Chinese GAAP, Henan Found has paid $1.3 million in tax in the 4th quarter ended March 31, 2008. A tax provision of approximately $1.9 million was provided for in the year ended March 31, 2008.

On October 21, 2007, the Company paid its first annual dividend of $0.05 (CAD$0.05) per share to all shareholders on record at the close of business on September 28, 2007. The total dividend payment of $6.9 million (CAD$7.4 million) is eligible for the enhanced federal and provincial dividend tax credits.

1.4Results of Operations

(a) 1st Quarter Results - Three months ended June 30, 2008

(i) Highlights (see above section 1.2)

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 11

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(ii) Sales: During the 1st quarter ended June 30, 2008, the Company increased sales by 39% to $30.9 million (2007 - $22.3 million) compared to the prior year period. The increase is primarily attributed to the Ying Silver Property increase in sales to $24.7 million (2007 - $20.7 million), and HPG property sales of $3.2 million (2007 - $1.5 million), with the addition of LM and TLP contributing sales of $1.2 million and of $1.8 million, respectively.

(iii) Cost of sales: The total cost of sales, including milling costs, for the 1st quarter ended June 30, 2008 amounted to $9.5 million (2007 - $4.9 million), and are comprised of $7.9 million (2007 - $4.3 million) for the cash cost and $1.6 million (2007 - $0.6 million) for the depreciation charges. The increase in cash cost of $3.7 million or 86% is attributed to the increase in production, increase in unit cost of production along with the impact of the foreign exchange rate.

(iv) Accretion of asset retirement obligations: During the 1st quarter ended June 30, 2008, the Company recognized $0.02 million (2007 - $0.02 million) as accretion of asset retirement obligations. The Company’s assets retirement obligations relate to the reclamation cost of the Ying and HPG property and was calculated using a credit-adjusted risk-free discount rate of 6%. The total undiscounted amount of cash flows required to settle the obligations is estimated at approximately $2.5 million and is expected to be settled gradually over the estimated mine lives in the next 5 to 8 years. These obligations will be funded from the Company’s resources upon local government’s fee payment requests.

(v) Foreign exchange loss(gain): During the 1st quarter ended June 30, 2008, the Company recorded a foreign exchange loss of $0.1 million (2007 - loss $0.4 million) or less than $0.01 per share reflecting the impact of foreign currency transactions and integrated foreign operations.

The Company’s operating subsidiaries, Henan Found and Henan Huawei, are considered to be self-sustaining operations and the cumulative effects of foreign currency translations are reflected as part of accumulated comprehensive income (loss), a component of shareholders’ equity, and amounted to $1.8 million (2007 - loss $1.0 million) for the 1st quarter ended June 30, 2008.

(vi) General exploration and property investigation expenses: During the 1st quarter ended June 30, 2008, the Company incurred general exploration and property investigation expenses of $0.5 million (2007 - $0.2 million) representing an increase of 108% or $0.2 million as the Company actively pursues its strategy to grow through the exploration, development and production of advanced silver properties in China. This expense includes governmental levies and taxes.

(vii) Investor relations: During the 1st quarter ended June 30, 2008, the Company incurred investor relation costs of $0.09 million (2007 - $0.06 million) representing an increase of 64% or $0.03 million as compared to the same period in the prior year. The increase is mainly attributable to an increase in focused, efficient, and effective investor relation activities.

(viii) Office, administration and miscellaneous: During the 1st quarter ended June 30, 2008, the Company incurred office, administration and miscellaneous expenses of $2.9 million (2007 - $1.4 million) representing an increase of $1.6 million or 114%. The increase is mainly attributable to further enhancements of the corporate and operating infrastructures to effectively manage the continual growth and increase of business activities. In addition, the increase is also attributed to the Company’s donations towards relief support for the victims of China’s May 12, 2008 earthquake in Sichuan province.

(ix) Professional fees: During the 1st quarter ended June 30, 2008, the Company incurred professional fees of $0.3 million (2007 - $0.1 million) a $0.2 million or 204% increase as compared to the same period in the prior year incurred for corporate governance and regulatory matters.

(x) Equity income in investment: During the 1st quarter ended June 30, 2008, the Company recorded equity loss of $0.2 million (2007 - loss $0.1 million) and is solely attributed to the Company’s investment in NUX.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 12

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(xi) Mineral property option income: During the 1st quarter ended June 30, 2008, the Company recognized mineral property option income of $nil (2007 - $1.9 million) resulting from the receipt of shares issued by NUX pursuant to the Kang Dian Project Option Agreement along with the increase in NUX’s market value upon the release of the escrow shares.

(xii) Interest income: During the 1st quarter ended June 30, 2008, the Company recognized interest income of $0.8 million (2007 - $0.5 million) representing an increase of 65% or $0.3 million over the same period in the prior year. The increase is attributed to additional cash provided by operating activities through the Ying, HPG, LM, and TLP operations offset by lower interest rates earned on funds held on deposit.

(xiii) Income tax expense: During the 1st quarter ended June 30, 2008, the Company recorded an income tax provision of $1.8 million (2007 - recovery of $1.5 million). The tax recovery in June 2007 is a result of Henan Found receiving a favorable ruling from the local Chinese tax authorities on its tax exemption application in March 31, 2007 and a reversal of the income tax provision was made during the quarter ended June 30, 2007. Henan Found Mining Company Ltd. (“Henan Found”), is subject to 12.5% income tax rate until December 31, 2010 and a 25% income tax rate thereafter. For the 1st quarter ending June 30, 2008, Henan Found has paid $2.1 million in tax and a tax provision of $2.0 million was provided for.

1.5 Summary of Quarterly Results

		For the Quarters Ended
		(expressed in millions, except share and per share data)
		30-Jun-08		31-Mar-08		31-Dec-07		30-Sep-07
Sales	$	30.9	$	26.8	$	30.1	$	29.2
Gross Profit		21.4		20.2		24.2		23.2
Gains and other income		0.6		1.2		2.1		1.8
Net income		11.6		10.9		17.8		16.8
Basic earnings per share		0.08		0.07		0.12		0.11
Diluted earnings per share		0.08		0.07		0.12		0.11
Total assets		276.8		190.2		165.9		149.8
Total long term liabilities		27.8		7.6		3.5		3.4
Cash dividends paid		-		-		6.9		-
Cash dividends declared per share		-		-		-		0.05
		For the Quarters Ended
		(expressed in millions, except share and per share data)
		30-Jun-07		31-Mar-07		31-Dec-06		30-Sep-06
Sales	$	22.3	$	13.4	$	13.0	$	9.5
Gross Profit		17.4		9.8		10.6		7.4
Gains and other income		2.2		2.3		1.4		0.8
Net income (loss)		14.5		6.9		8.2		4.8
Basic earnings (loss) per share		0.10		0.05		0.06		0.03
Diluted earnings (loss) per share		0.10		0.05		0.05		0.03
Total assets		118.1		94.2		78.3		68.6
Total long term liabilities		3.1		2.1		4.9		2.9
Cash dividends paid		-		-		-		-
Cash dividends declared per share		-		-		-		-

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 13

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

1.6 Liquidity and Capital Resources

(a) Working Capital

As at June 30, 2008, the Company had a working capital position of $53.5 million (March 31, 2008 - $69.5 million) comprised mainly of cash and cash equivalents of $42.6 million (March 31, 2008 - $47.1 million), short term investments of $32.5 million (March 31, 2008 - $37.1 million), accounts receivable and prepaids of $11.0 million (March 31, 2008 - $5.3 million), inventories of $4.6 million (March 31, 2008 - $2.4 million), offset by current liabilities of $37.2 million (March 31, 2008 - $22.4 million).

Working capital decreased by 23% or $16.0 million since March 31, 2008 to $53.5 million, primarily as the result of the acquisition of mineral rights and properties of $31.5 million, the purchase of property, plant and equipment of $3.8 million, and the share buy back of $4.7 million, offset by cash provided by operating activities of $25.1 million.

(b) Cash and Cash Equivalents, and Short Term Investments

Cash and cash equivalents plus short term investments, as atJune 30, 2008, decreased by $9.2 million to $75.1 million (March 31, 2008 - $84.2 million).

During the 1st quarter ended June 30, 2008, the Company’s cash and cash equivalents decreased by $4.5 million to $42.6 million (June 30, 2007 - $50.2 million) as a result of: cash provided by operating activities of $25.1 million (June 30, 2007 - $18.9 million); cash used by investing activities of $27.1 million (June 30, 2007 - $25.5 million) inclusive of the purchases of mineral rights and properties of $31.5 million (June 30, 2007 - $2.8 million), acquisition of property, plant and equipment of $3.8 million (June 30, 2007 - $1.4 million) and the decrease in short term investments of $5.1 million (June 30, 2007 - increase $16.0 million); distribution to non-controlling subsidiary shareholder of $nil (June 30, 2007 - $3.4 million); cash used in financing activities of $4.5 million (June 30, 2007 - provided $0.5 million), and positive effect of exchange rate changes on cash of $2.1 million (June 30, 2007 - positive effect $3.0 million).

The Company does not invest in any asset-backed commercial paper and therefore does not consider that it has any exposure to the current uncertainties in the marketplace.

(c) Operating Activities

During the 1st quarter ended June 30, 2008, the Company’s net cash provided by operating activities of $25.1 million (June 30, 2007 - $18.9 million) is comprised of: cash provided by net income of $11.6 million (June 30, 2007 - $14.5 million); items not affecting cash of $6.4 million (June 30, 2007 - $3.8 million); and, the increase in net changes of non-cash working capital of $7.0 million (June 30, 2007 - increase of $0.5 million).

(d) Investing Activities

During the 1st quarter ended June 30, 2008, the Company’s net cash used in investing activities of $27.1 million (June 30, 2007 - $25.5 million) is comprised primarily of: $31.5 million (June 30, 2007 - $2.8 million) for the purchase of mineral rights and properties; $3.8 million (June 30, 2007 - $1.4 million) for the purchase of property, plant and equipment; $nil (June 30, 2007 - $0.1 million) for the purchase of long term investments; $5.1 million (June 30, 2007 - purchase $16.0 million) for the redemption of short term investment; $3.0 million (June 30, 2007 - increase $1.5 million) decrease in long term prepaids; and, $nil (June 30, 2007 - $3.4 million) distributed to a non-controlling subsidiary shareholder.

(e) Financing Activities

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 14

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

During the 1stquarter ended June 30, 2008, the Company’s net cash used by financing activities of $4.5 million (June 30, 2007 - provided $0.5 million) is comprised primarily of: shares returned to treasury for cancellation $4.7 million (June 30, 2007 - $nil); offset by proceeds of $0.02 million (June 30, 2007 - $0.9 million) from share subscriptions; and repayment of $0.1 million (June 30, 2007 - advance $0.4 million) to related parties.

During 1st quarter ended June 30, 2008, the Company, through the facilities of the TSX Exchange, acquired 764,300 shares under the Normal Course Issuer Bid at a total cost of $4.7 million of which 470,000 shares were cancelled and 294,300 shares are held for cancellation.

Subsequent to June 30, 2008, the Company acquired 325,400 common shares under the Normal Course Issuer Bid at a cost of $1.6 million and cancelled 619,700 common shares with no shares held for cancellation.

(f) Commitments, Contingencies, Contractual Obligations

The Company’s commitments, contingencies, and contractual obligations include:

(i)	During the 2007 fiscal year, Henan Found entered into a joint venture agreement, for a 30% participation interest, in Luoyang Yongning Smelting Co. Ltd. (“Yongning”), to custom built a 150,000-tonne/year lead-silver-gold smelter in Luoning County, Luoyang City, Henan Province, China. On September 21, 2007, Yongning obtained approval from Chinese governmental authorities and the business license was issued.
	During the 2008 fiscal year, Henan Found fulfilled its registered capital requirement through a contribution of approximately $6.4 million (RMB¥45 million) (March 31, 2007 - $58,197 (RMB¥450,000)) to Yongning. As of March 31, 2008, the registered capital requirement of $21.4 million (RMB¥150 million) has been fully contributed by all the joint venture parties.
	The remaining commitment, for other capital expenditure investment, of approximately $4.3 million (RMB¥30 million) (30% of $14.3 million or RMB¥100 million) is due by September 21, 2008.
	This investment is accounted for using the equity method. No equity income (loss) had been reported to date.
(ii)	In June 2007, the Company, through its wholly owned subsidiary, Fortress Mining Inc., entered into a joint venture contract with a Chinese party to form Qinghai Found Mining Company Ltd. ("Qinghai Found"), a Sino-foreign cooperate joint venture company, to explore and develop the Na-Bao silver- polymetalic Project (“Na-Bao Project”) in Qinghai Province, China. Under the joint venture contract, the Company will have an 82% interest in Qinghai Found by investing approximately $4.0 million by funding exploration and development. The Chinese party has an 18% carried interest in Qinghai Found in exchange for transferring the three Na-Bao permits to Qinghai Found.
	The Company also signed a letter of intent with the same Chinese party to jointly explore the XG silver polymetalic project (“XG Project”), which consists of two exploration permits (the XGE and XR Permits) owned by the Chinese party. With the establishment of Qinghai Found, the XG project permits will also be transferred to Qinghai Found in exchange for a cash payment to the Chinese party.
	The Na-Bao Project and XG Project are collectively referred to as the Qinghai Project and are subject to receive final approvals from regulatory authorities.
	In September 2007, a business license for Qinghai Found was issued upon approval by the Chinese

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Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

	governmental authorities. Transferring of the three Na-Bao permits into Qinghai Found from the Chinese party had been approved by Chinese military, related city and provincial authorities. In May 2008, the Company received, from the Ministry of Land and Resources of China, the mining exploration permit
	As at June 30, 2008, the Company has funded $1.6 million towards the approximately $4.0 million required exploration and development investment to earn its 82% interest in Qinghai Found.
(iii)	In October 2007, the Company’s 70% owned subsidiary, Henan Huawei, entered into agreements to acquire 100% interest in a LM Silver-Lead Mine (“LM Mine”), which has a mining permit located just southeast of the Ying silver project, through an acquisition of 100% interest of a private Chinese company for approximately $3.6 million. The Company also agreed to compensate another $3.6 million (RMB¥25 million) to the original shareholders of the private Chinese company for their previous work done on the LM Mine. As at March 31, 2008, a total of $6.5 million was paid and capitalized as the acquisition cost of mineral rights and properties with the balance of $0.7 million payable within one year.
	During the 1st quarter ended June 30, 2008, a total of $18.1 million was paid and capitalized as the acquisition cost of mineral rights and properties.
(iv)	In December 2007, the Company’s 77.5% owned subsidiary, Henan Found, successfully concluded contracts to acquire 100% interest of the TLP Silver-Lead Mine (“TLP Mine”) by paying approximately $11.4 million (RMB¥80 million) plus assuming debts, obligations and winding down of certain leasing agreements. The total acquisition cost of TLP Mine is estimated at $22 million (RMB¥157 million). As of March 31, 2008, a total of $17.7 million (RMB¥124.2 million) was paid and capitalized as the acquisition cost of mineral rights and properties.
	During the 1st quarter ended June 30, 2008, a total of $18.1 million (RMB¥124.2 million) was paid and capitalized as the acquisition cost of mineral rights and properties.
(v)	In December 2007, Henan Found started the process of constructing a new 2,000 tonne per day (t/d) mill and associated tailings dam adjacent to its existing 1,000 t/d mill. Upon the new mill being completed by November 2008, the combined milling capacity will be 3,000 t/d to treat ores from the Ying, HPG, LM and TLP Mines, all located within approximately 15 km distance. The estimated capital cost for the new mill is approximately $12.0 million and will be funded from Henan Found's cash on hand.
(vi)	On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.
	On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at June 30, 2008, a total of $3.4 million (March 31, 2008 - $0.7 million) of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.
(vii)	The Company’s leasehold obligation commitments total $899,132 over six years (years ending March 31, 2009: $191,185; 2010: $256,853; 2011: $256,853; 2012: $85,117; 2013: $87,299; and 2014: $21,825).
(viii)	The Company, on April 24, 2008, entered into a share purchase agreement with Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company, to acquire from Yangtze Gold all of the issued shares of

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Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

Yangtze Mining Ltd. (“Yangtze Mining”). Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of the Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China.

On April 29, 2008 the Company advanced $2.7 million (RMB¥20 million) to Anhui Yangtze so that it could start the process of applying for a mining permit and carry out further exploration program, including drilling.

On June 6, 2008, the Company announced that it completed the acquisition of Yangtze Mining. The purchase price for the shares of Yangtze Mining was $60.8 million (CAD$61.95 million) was paid 40% in cash and 60% in common shares of the Company. The 40% cash portion was paid 20% at closing, and 20% plus interest at 5.5% on July 17, 2008, making payments of $24.3 million (CAD$24.9 million). The 60% common share portion of the purchase price was paid by the issuance on June 6, 2008 of 4,532,543 common shares of the Company at a price of CAD$8.20 per share, being the volume weighted average trading price of the shares of the Company during the 30 calendar days prior to the date of signing the share purchase agreement. The aggregate acquisition cost of $80.4 million, inclusive of interest paid and estimated future income taxes, is capitalized to mineral rights and properties.

On June 6, 2008, the closing date for the acquisition of Yangtze Mining, in addition to the GS and SMT properties and the $2.7 million (RMB¥20 million) in advanced funds, certain other net assets still remained in Anhui Yangtze, including Tong Shan Pai Copper Mine (“TSP Mine”) An Indemnification Agreement was executed between the Company and Yangtze Gold to the effect that Yangtze Gold will continue to use its best efforts to transfer the TSP Mine. Also, effective June 6, 2008, Yangtze Gold and Anhui Yangtze entered into a declaration of trust whereas Anhui Yangtze, the “Trustee” holds in trust all of the remaining net assets of Anhui Yangtze, that being the TSP Mine and any other net assets other than the GS and SMT properties and the $2.7 million (RMB¥20 million) in advanced funds, as of the closing date on June 6, 2008 for the benefit of Yangtze Gold. All costs, expenses, liabilities whatsoever arising out of and in connection to th e remaining net assets will be the obligation of Yangtze Gold. The Trustee further promises Yangtze Gold not to deal with the remaining net assets in any way without the instructions and consent of Yangtze Gold; to account to Yangtze Gold for any money received by the Trustee in connection with holding the net assets; and upon demand by Yangtze Gold, to return all net assets advanced and outstanding, within five business days of such written demand.

Dr. Rui Feng, Chairman and CEO of the Company, is a Director of Yangtze Gold, Yangtze Mining, and Anhui Yangtze, and Mr. J. Feng, a relative of Dr. Feng, controls Yangtze Gold. The transaction has been approved by the independent directors of the Company in accordance with applicable regulations.

No other commitments to provide additional funds have been made by management or other stockholders.

There can be no assurance that any additional funds will be available to the Company to allow it to cover operating expenses and proposed operations. The Company has no other capital resources other than the ability to issue common stock to raise additional capital or receive funds on the exercise of warrants or options by the holders. The Company b0elieves it has sufficient capital to meet its cash needs for the next 12 months, including the costs of compliance with the continuing reporting requirements.

(g) Available Sources of Funding

The Company does not have unlimited resources and its future capital requirements will depend on many

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SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

factors, including, among others, cash flow from operations. To the extent that existing resources and the funds generated by future income are insufficient to fund the Company’s operations, the Company may need to raise additional funds through public or private debt or equity financing. If additional funds are raised through the issuance of equity securities, the percentage ownership of current shareholders will be reduced and such equity securities may have rights, preferences, or privileges senior to those of the holders of the Company’s common stock. No assurance can be given that additional financing will be available or that, if available, can be obtained on terms favourable to the Company and its shareholders. If adequate funds are not available, the Company may be required to delay, limit, or eliminate some or all of its proposed operations. The Company believes it has sufficient capital to meet its cash needs for the next 12 months, including the c osts of compliance with the continuing reporting requirements.

1.7 Capital Resources

Item 1.6 provides further details.

1.8 Off-Balance Sheet Arrangements

The Company does not have any off-balance sheet arrangements.

1.9 Transaction with Related Parties

(a)	During the three months ended June 30, 2008, the Company incurred:
	(i)	consulting fees of $86,621 (June 30, 2007 - $37,565) payable to a company owned by an officer and director of the Company and to an officer of the Company;
	(ii)	management fees of $61,875 (June 30, 2007 - $36,426) payable to a company owned by an officer and director of the Company, and to an officer and director of the Company;
	(iii)	directors’ fees of $14,850 (June 30, 2007 - $15,290);
	(iv)	expenses recovered of $66,391 (June 30, 2007 - $260,079) from New Pacific Metals Corp. (“NUX”).
(b)	As at June 30, 2008, the related transaction balances included the following:
	(i)	$28,874 (March 31, 2008 - $nil) due to a company controlled by a director of the Company for services provided;
	(ii)	$12,117,910 (March 31, 2008 - $12,117,910) due to the joint venture partner of Henan Found for non-controlling interest distributable as Henan Found declared dividend during the year;
	(iii)	$69,546 (March 31, 2008 - $(12,014)) due to a company related by common control;
	(iv)	$17,576 (March 31, 2008 - $17,113) due from the joint venture partner of Qinghai Found; and,
	(v)	$20,085 (March 31, 2008 - $18,051) due from NUX for expenses incurred and recoverable under an inter-company services and cost allocation arrangement; and,
		On December 8, 2006, NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.

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SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

	On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at June 30, 2008, a total of $2.4 million of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.
The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties. The balances with related parties are unsecured, non-interest bearing, and due on demand.

1.10 Fourth Quarter

Not applicable.

1.11 Proposed Transactions

There are no proposed assets or business acquisitions or dispositions, other than those in the ordinary course of business, before the board of directors for consideration.

1.12 Critical Accounting Estimates

A detailed summary of the Company’s significant accounting policies is included in Note 2 to the annual audited consolidated financial statements for the year ended March 31, 2008 and in Note 2 to the interim consolidated financial statements for the three months ended June 30, 2008.

(a) Mineral rights and properties

Mineral rights and properties include the acquisition costs, direct exploration and development expenditures.

Upon commencement of commercial production, mineral properties and capitalized expenditures are amortized over the mine's estimated life using the units of production method calculated based on measured and indicated resources.

The Company reviews the carrying value of each property that is in the exploration/development stage by reference to the project economics including the timing of the exploration and/or development work, the work programs and the exploration results experienced by the Company and others. The review of the carrying value of each producing property will be made by reference to the estimated future operating results and net cash flows. When the carrying value of a property exceeds its estimated net realizable amount, provision will be made for the decline in value. The carrying amount will be written off if the Company decides to abandon the property.

The recoverability of the amounts capitalized for the undeveloped mineral properties and deferred exploration costs is dependent upon the determination of economically recoverable ore resources, confirmation of the Company’s interest in the underlying mineral claims, the ability to obtain the necessary financing to complete their exploration and development and future profitable production or proceeds from the disposition thereof.

(b) Asset retirement obligations

Asset retirement obligations ("ARO") represent the estimated discounted net present value of statutory, contractual, or other legal obligations relating to site reclamation and restoration costs that the Company will incur on the retirement of assets and abandonment of mine and exploration sites. ARO are added to the carrying value of mineral rights and properties as such expenditures are incurred and amortized against

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SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

income over the useful life of the related asset. ARO are determined in compliance with recognized standards for site closure and mine reclamation established by governmental regulation.

Over the life of the asset, imputed interest on the ARO liability is charged to operations as accretion of asset retirement obligations on the consolidated statements of operations using the discount rate used to establish the ARO. The offset of accretion expense is added to the balance of the ARO.

Where information becomes available that indicates a recorded ARO is not sufficient to meet, or exceeds, anticipated obligations, the obligation is adjusted accordingly and added to, or deducted from, the ARO.

(c) Income taxes

The Company uses the liability method of accounting for income taxes. Future income taxes are recognized for the future income tax consequences attributable to differences between the carrying values of assets and liabilities and their respective income tax bases on the balance sheet date. Future income tax assets and liabilities are measured using substantively enacted income tax rates expected to apply in the years in which temporary differences are expected to be recovered or settled. The effect on future tax assets and liabilities of a change in substantively enacted rates is included in operations. A future income tax asset is recorded when the probability of the realization is more likely than not.

(d) Stock-based compensation

The Company accounts for stock options using the fair value method. Under this method, compensation expense for stock options granted to employees, officers, and directors is measured at fair value at the date of the grant using the Black-Scholes valuation model and is expensed in the consolidated statements of operations over the vesting period of the options granted. Stock options granted to consultants are measured at their fair value using the Black-Scholes valuation method.

Upon the exercise of the stock option, consideration received and the related amount transferred from contributed surplus are recorded as share capital.

1.13 Initial Adoption and Change in Accounting Policies

The significant accounting policies outlined within the Audited Consolidated Financial Statements of the Company for the year ended March 31, 2008 have been applied consistently for the three months ended June 30, 2008.

(a) Initial Adoption

(i) Financial Instrument Standards

In December 2006, the CICA issued Section 3862, “Financial Instruments - Disclosure” and Section 3863 “Financial Instruments - Presentation” to replace 3861 “Financial Instruments - Disclosure and Presentation”. These new sections are effective for interim and annual financial statements of the Company’s reporting period beginning on April 1, 2008. There is no significant impact on the classification and measurement to the Company’s interim consolidated financial statement on the adoption of these new sections.

(ii) Inventories

In June 2007, CICA issued Handbook Section 3031 “Inventories” which replaces Section 3030 “Inventories”. Under the new section, inventories are required to be measured at the “lower of cost and net realizable value”, which is different from the existing guidance of the “lower of cost and market”. The new

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 20

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

section contains guidance on the determination of cost and also requires the reversal of any write-downs previously recognized. Certain minimum disclosures are required, including the accounting policies used, carrying amounts, amounts recognized as an expense, write-downs, and the amount of any reversal of any write-downs recognized as a reduction in expenses. The Company adopted the new standard on April 1, 2008. There is no significant impact on the classification and measurement to the Company’s interim consolidated financial statement on the adoption of this new section.

(iii) Capital Disclosures

As of April 1, 2008, the Company is be required to adopt CICA Section 1535 “Capital Disclosures”, issued in December 2006, which requires companies to disclose their objectives, policies and processes for managing capital. In addition, disclosures are to include whether companies have complied with externally imposed capital requirements. There is no significant impact on the classification and measurement to the Company’s interim consolidated financial statement on the adoption of this new section.

The Company’s objective when managing its capital is to maintain its ability to continue as a going concern while at the same time maximizing growth of its business and provide returns to its shareholders.

The Company’s objectives in managing capital are to maintain an optimal capital structure to reduce the overall cost of capital and to safeguard the Company’s ability to continue to deploy capital to pursue its strategy of growth and provide returns to shareholders and other stakeholders. The Company’s capital structure consists of shareholders’ equity, comprising issued share capital plus contributed surplus plus reserves plus retained earnings plus accumulated other comprehensive income. The Board of Directors does not establish a quantitative return on capital criteria for management but promotes year-over-year sustainable earnings growth targets. The Company manages the capital structure and makes adjustments to it in light of changes in economic conditions and the risk characteristics of the underlying assets.

The Company’s capital is subject to People's Republic of China (“PRC”) foreign currency exchange controls which may limit the ability to repatriate funds. As at June 30 2008, the Company has retained earnings of $77 million in the PRC which may be restricted.

The Company’s overall strategy with respect to capital risk management remains unchanged from the year ended March 31, 2008

(b) Future Changes in Accounting Policies

(i) Goodwill and Intangible Assets

In February 2008, the CICA issued Section 3064, “Goodwill and Intangible Assets”, which replaces Section 3062, “Goodwill and Other Intangible Assets” and Section 3450, “Research and Development Costs”. Various changes have been made to other sections of the CICA Handbook for consistency purposes. Section 3064 establishes standards for the recognition, measurement, presentation, and disclosure of goodwill subsequent to its initial recognition and of intangible assets. The new Section will be applicable to the Company’s consolidated financial statements for its fiscal year beginning April 1, 2009. The Company is currently evaluating the impact of the adoption of this new Section on its consolidated financial statements.

(ii) Convergence with IFRS

In January 2006, CICA Accounting Standards Board (“AcSB”) adopted a strategic plan for the direction of accounting standards in Canada. As part of that plan, accounting standards in Canada for public companies are expected to converge with International Financial Reporting Standards (“IFRS”) for accounting periods commencing on or after January 1, 2011. The Company continues to monitor and assess the impact of

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 21

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Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

convergence of Canadian GAAP and IFRS and has engaged a third party advisor to assist in the IFRS diagnostic process to establish a changeover plan to adopt IFRS by 2011. We will continually review and adjust our changeover plan to ensure our implementation process properly addresses the key elements of the plan.

1.14 Financial Instruments and Other Instruments

The Company has exposure to risks of varying degrees of significance which could affect its ability to achieve its strategic objectives for growth and shareholder returns. The principal financial risks to which the Company is exposed are liquidity risk, foreign exchange rate risk, interest rate risk, credit risk, and commodity price risk. The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework and reviews the Company’s policies on an ongoing basis.

(a) Fair value

The fair values of the Company’s cash and cash equivalents, short term investments, accounts receivables, accounts payable and accrued liabilities, deposits received from customers, and amount due to related parties are estimated to approximate their carrying values as they are short term in nature. The fair value of the long term investments is reported based on quoted market prices or estimated using the standard financial valuation model, if a market value is not available.

(b) Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they come due. The Company has in place a planning process to help determine the funds required to support the Company’s normal operating requirements on an ongoing basis and its expansion plans. The Company ensures that there are sufficient funds to meet its short-term business requirements, taking into account its anticipated cash flows from operations and its holdings of cash and cash equivalents and short term investments.

(c) Foreign exchange risk

The Company undertakes transactions denominated in foreign currencies and as such is exposed to risk due to fluctuations in foreign exchange rates.

The Company conducts its operations in Chinese Yuan and thereby the majority of the Company’s assets, liabilities, revenues and expenses are denominated in RMB¥, which was tied to the U.S. Dollar until July 2005 and is now tied to a basket of currencies of China’s largest trading partners. The RMB¥ is not a freely convertible currency.

As at June 30, 2008, approximately $57.3 million (March 31, 2008 - approximately $48.3 million) of cash and cash equivalents and short term investments were held in RMB¥.

(d) Interest rate risk

The Company has no interest-bearing debt and so is not exposed to interest rate risk.

(e) Credit risk

The Company is exposed to credit risk with respect to accounts receivable from customers. The Company undertakes credit evaluations on customers as necessary and has monitoring processes intended to mitigate credit risks. The Company has accounts receivable from clients primarily in China engaged in the mining

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 22

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Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

and milling of base and polymetallic metals industry.

The Company is exposed to credit risk with respect to cash equivalents and accounts receivable. The carrying amount of assets included on the balance sheet represents the maximum credit exposure.

The cash equivalents consist mainly of short-term investments, such as money market deposits. None of the cash equivalents were in asset backed commercial papers. The Company has deposits of cash equivalents that meet minimum requirements for quality and liquidity as stipulated by the Company’s Board of Directors. Management believes the risk of loss to be remote.

The mining industry in China may be affected by economic factors that may impact accounts receivable. Management does not believe that the mining industry or geographic region within China represents a significant credit risk.

(f) Commodity price risk

The Company is subject to price risk from fluctuations in market prices of commodities, and the Company has elected not to actively manage the exposure to the commodity price risk at this time.

1.15 Other MD&A Requirements

1.15.1 Additional Information in relation to the Company

Additional information relating to the Company:
(a) may be found on SEDAR at www.sedar.com;
(b) may be found at the Company’s web-site www.silvercorp.ca;
(c) may be found in the Company’s annual information form; and,
(d) is also provided in the Company’s annual audited consolidated financial statements for the years ended March 31, 2008 and 2007.

1.15.2 Outstanding Share Data

As at the date of this report, the following securities were outstanding:

(a) Share Capital

Authorized - unlimited number of common shares without par value
Issued and outstanding - 152,863,801 common shares with a recorded value of $113,976,240.
Shares subject to escrow or pooling agreements - nil

(b) Warrants

As at the date of this report, outstanding share purchase warrants are comprised of the following:

Number of		Exercise
Warrant Shares		Price (CAD$)	Expiry Date
3,742,119	$	8.00	October 26, 2008
3,742,119

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 23

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

(c) Options

As at the date of this report, the outstanding options are comprised of the following:

	Exercise Price
Number of Options	(CAD$)	Expiry Date
990,000	0.18	October 24, 2009
450,000	0.63	February 28, 2010
10,000	5.99	July 2, 2010
432,399	4.32	July 23, 2011
54,708	4.47	August 14, 2011
207,000	4.43	August 28, 2011
777,204	6.74	April 10, 2012
135,000	6.95	October 1, 2012
137,500	9.05	January 16, 2013
50,000	7.54	May 13, 2013
525,000	5.99	July 1, 2013
3,768,811

1.16 Controls and Procedures

(a) Design and Operation of Disclosure Controls and Procedures

Management, including the Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the design and operation of the Company’s disclosure controls and procedures as at June 30, 2008. Based on this evaluation, the Chief Executive Officer and Chief Financial Officer have concluded that the Company’s disclosure controls and procedures, as defined in Multilateral Instrument 52-109 - Certification of Disclosure in Issuers’ Annual and Interim Filings, are effective to ensure that information required to be disclosed in reports filed or submitted by the Company under Canadian securities legislation is recorded, processed, summarized and reported within the time periods specified in those rules.

There were no significant changes in the Company’s internal controls or in other factors that could significantly affect these controls subsequent to the date the Chief Executive Officer completed his evaluation, nor were there any significant deficiencies of material weaknesses in the Company’s internal controls requiring corrective actions.

(b) Internal Controls over Financial Reporting

The Company’s management, with the participation of its Chief Executive Officer and Chief Financial Officer, are responsible for establishing and maintaining adequate internal control over financial reporting. Under the supervisions of the Chief Financial Officer, the Company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles (“GAAP”). The Company’s controls include policies and procedures that:

pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company;

provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with GAAP; and,

provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the annual financial statements or interim financial statements.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 24

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

The Company has a limited number of staff and it is not always possible to achieve a complete segregation of incompatible duties. Management attempts to mitigate the risk of any material misstatement occurring through compensating controls and the “hands-on” involvement and knowledge of the senior management, however, a control system, no matter how well designed and functioning, can only provide reasonable, not absolute assurance the objectives of the control system are met. Management noted some areas that need improvement in the financial reporting process during a review and evaluation of the effectiveness of its internal controls over financial reporting of the Company’s operations in China.

There has been no change in the Company’s internal control over financial reporting during the Company’s 1st quarter ended June 30, 2008 that has materially affected, or is reasonably likely to materially affect, the Company’s internal control over financial reporting.

(c) Limitations of Controls and Procedures

The Company’s management, including the Chief Executive Officer and Chief Financial Officer, believe that any disclosure controls and procedures or internal controls over financial reporting, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, they cannot provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been prevented or detected. These inherent limitations include the realities that judgments in decision-making can be faulty, and that breakdowns can occur because of simple error or mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by unauthorized override of the control. The design of any systems of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Accordingly, because of the inherent limitations in a cost effective control system, misstatements due to error or fraud may occur and not be detected.

(d) Directors and Officers

As at the date of this report, the Company’s Directors and Officers are as follows:

Directors	Officers
Dr. Rui Feng, Director, Chairman & CEO	Dr. Rui Feng, Director, Chairman & CEO
Myles J. Gao, Director, President & COO	Myles J. Gao, Director, President & COO
Yikang Liu, Director	Grace Soo, Chief Financial Officer
Earl Drake, Director	Lorne Waldman, Corporate Secretary
Paul Simpson, Director	Michael Hibbitts, Vice President, Operations
Greg Hall, Director	Shaoyang Shen, General Manager, China Operations

1.17 Outlook

Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies. For the Ying Mine, as the mining process is working through certain low grade areas at the Ying Mine as outlined in 2007 resources upgrade by Mr. C. Broili and Dr. M. Klohn, it is expected that the head grade of run of mine ores from the Ying Mine will be similar to this quarter for at least one quarter, until those higher grade pockets of ore zones are developed. This may result in the Company’s bottom line not increasing during this period, as the Ying Mine represented 80% of the Company’s total revenue for the last quarter.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 25

SILVERCORP METALS INC.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

For the 1st quarter ended June 30, 2008

(Expressed in US Dollars, except share, per share, and mining data)

For the TLP Mine, mining preparation and development are ramping up to reach capacity of 900 tonnes of ore per day (or 300,000 tonnes per year) in about two to three quarters. This may improve the Company’s sales and profit. The Company is still in the process of transferring the mining permits from the previous owner to the Company’s subsidiary Henan Found which remain subject to receipt of all necessary approvals from the Governmental departments of the Henan Province.

In Guangdong Province, the Company is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.Due to inadequate power coal supply nationwide, and due to measures to ensure power supply to the Beijing Olympic Games and to residential consumers during the Olympic Games, governmental rationing has been imposed for industrial usage. As a result, Silvercorp's mining operations in its Ying mining camp, in Luoyang City, Henan province, have experienced approximately 13.4 percent downtime during the month of July. The total power downtime in July was approximately 100 hours for mines and mills, or about 3.22 hours per day. In addition, during the first eight days of August, Silvercorp experienced 32 percent downtime, losing about 60 hours or 7.5 hours per day. It is expected that during the Olympi c Games period ending September 5, the average downtime will remain about 7.5 hours to 14 hours per day.

Power supply issues have in the past, and may continue to affect Silvercorp's operations after the games, due to coal supply issues, both nationally and within Luoyang City where Silvercorp's Ying mining camp is located. Coal-fired power plants, supply approximately 78 percent of China's electricity. The coal supply problems are due to tough safety production measures imposed by the government which are causing many coal mines to shut down for safety improvements or for consolidation. Silvercorp's management team is working closely with the relevant authorities to reduce the impact of power shortages on the Company's operations. It is unclear at moment the degree and extent of this power ration policy and its impact on the Company’s normal operation.

The Company has noted an improved outlook for its power supply problems outlined in the August 8, 2008 news release. There has been no power rationing for the last five days. The local County Utility Bureau has assured the Company minimum power rationing as power supply to the local county has also improved when a new hydro power generating project in the County was brought into operation last week. Management is working closely with the local Utility Bureau to minimize future power interruptions, including investing almost $1 million since last May to build a new power line to the Ying Mine. The new power line is expected to be complete by the end of this August. The Company is also expanding diesel power generating capacity at the Ying mine to cope with potential power rationing. Further guidance on the power situation will be provided as the situation evolves.

Management’s Discussion and Analysis of Financial Condition and Results of Operations Page 26

EX-99.7

Exhibit 99.7

SILVERCORP METALS INC.

Suite 1378 – 200 Granville Street

Vancouver, BC, V6C 1S4

MANAGEMENT INFORMATION CIRCULAR

FOR THE 2007 ANNUAL AND SPECIAL GENERAL MEETING OF SHAREHOLDERS

TO BE HELD AT 10:00 A.M. ON THE 28th DAY OF SEPTEMBER, 2007

This information is given as at August 28, 2007

This Information Circular is furnished in connection with the solicitation of proxies by the management (the “Management”) of SILVERCORP METALS INC. (the “Company”), for use at the Annual and Special General Meeting (the “Meeting”) of the shareholders of the Company, to be held at the time and place and for the purposes set forth in the accompanying Notice of Meeting and at any adjournments thereof.

In this Information Circular, references to “the Company”, “we” and “our” refer to SILVERCORP METALS INC. “Common Shares” means common shares without par value in the capital of the Company. “Beneficial Shareholders” means shareholders who do not hold Common Shares in their own name and “intermediaries” refers to brokers, investment firms, clearing houses and similar entities that own securities on behalf of Beneficial Shareholders.

SOLICITATION OF PROXIES

This solicitation is made on behalf of Management of the Company. Solicitation of proxies will be conducted by mail, and may be supplemented by telephone or other personal contact to be made without special compensation by directors, officers and employees of the Company or by the Company’s registrar and transfer agent. All costs of solicitation will be borne by the Company.

Unless the context otherwise requires, references herein to “Silvercorp” mean the Company and its subsidiaries. The principal executive office of the Company is located at Suite 1378 – 200 Granville Street, Vancouver, British Columbia, Canada, V6C 1S4. The telephone number is (604) 669-9397 and the facsimile number is (604) 669-9387. The Company’s website address is www.silvercorp.ca. The information on that website is not incorporated by reference into this Information Circular. The registered and records office of the Company is located at Suite 1378 – 200 Granville Street, Vancouver, British Columbia, Canada, V6C 1S4.

Unless otherwise indicated, all currency amounts stated in this Information Circular are stated in the lawful currency of Canada.

PROXY INSTRUCTIONS

Appointment of Proxyholder(s)

The persons named in the accompanying Form of Proxy are Directors of the Company. A shareholder has the right to appoint some other person, who need not be a shareholder, to represent the shareholder at the Meeting by striking out the names of the persons designated in the accompanying Form of Proxy and by inserting that other person’s name in the blank space provided.

The instrument appointing a proxyholder must be signed in writing by the shareholder, or such shareholder’s attorney duly authorized in writing. If signed by a duly authorized attorney, the Form of Proxy must be accompanied by the original power of attorney or a notarially certified copy thereof. If the shareholder is a corporation, the instrument appointing a proxyholder must be in writing signed by an officer or attorney of the

corporation duly authorized by resolutions of the directors of such corporation, which resolutions must accompany such instrument.

An instrument of proxy will only be valid if it is duly completed, signed, dated and received at the Company's registrar and transfer agent, Computershare Investor Services Inc. (“Computershare”), attention: Proxy Department, 100 University Avenue, 9^th Floor, Toronto, Ontario, M5J 2Y1, fax number within North America: 1-866-249-7775, outside North America: (416) 263-9524, not less than forty eight 48 hours (excluding Saturdays, Sundays and holidays) prior to the time set for the holding of the Meeting, unless the Chairman of the Meeting elects to exercise his discretion to accept proxies received subsequently.

REVOCATION OF PROXIES

A shareholder may revoke a proxy by delivering an instrument in writing executed by the shareholder or by the shareholder’s attorney authorized in writing, or where the shareholder is a corporation, by a duly authorized officer or attorney of the corporation, either at the office of the Company at any time up to and including the last business day preceding the day of the Meeting, or with the consent of the Chairman of the Meeting on the day of the Meeting or on the day of any adjournment thereof, before any vote in respect of which the proxy is to be used shall have been taken. A shareholder may also revoke a proxy by depositing another properly executed instrument appointing a proxyholder bearing a later date with the Company’s registrar and transfer agent in the manner described above, or in any other manner permitted by law. A revocation of a proxy does not affect any matter on which a vote has been taken prior to revocation.

HOW TO VOTE

Only Registered Shareholders or their duly appointed proxyholders are permitted to vote at the Meeting.   Non-Registered / Beneficial Shareholders are not permitted to vote at the Meeting as only proxies from Registered Shareholders can be recognized and voted at the Meeting. You may vote as follows:

Registered Shareholders: If you are a Registered Shareholder you may vote by attending the Meeting in person, or if you do not plan to attend the Meeting, by completing the proxy and delivering it according to the instructions contained in the form of proxy and this Management Information Circular.

Beneficial Shareholders: If you are a Beneficial Shareholder you must vote by proxy by carefully following the instructions included in the proxy provided to you by your stockbroker or financial intermediary. If you do not follow the special procedures described by your stockbroker or financial intermediary you will not be entitled to vote.

In accordance with the requirements of National Instrument 54-101 of the Canadian Securities Administrators, the Company has distributed copies of the Notice of Meeting, this Management Information Circular and the Proxy (collectively, the “Meeting Materials”) to the clearing agencies and Intermediaries for distribution to Non-Registered Holders.

VOTING OF SHARES AND EXERCISE OF DISCRETION BY PROXIES

If you complete your proxy properly, then the nominee named in the accompanying form of proxy will vote or withhold from voting the Shares represented by the proxy in accordance with your instructions. If you do not specify a choice on any given matter to be voted upon your Shares will be voted in favour of such matter. The proxy grants the nominee the discretion to vote on amendments or variations to matters identified in the Notice of the Meeting and with respect to other matters that may properly come before the Meeting.

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INTEREST OF CERTAIN PERSONS IN MATTERS TO BE ACTED UPON

Except as disclosed herein, no Person has any material interest, direct or indirect, by way of beneficial ownership of securities or otherwise, in matters to be acted upon at the Meeting. For the purpose of this paragraph, “Person” shall include each person: (a) who has been a director, senior officer or insider of the Company at any time since the commencement of the Company's last completed financial year; (b) who is a proposed nominee for election as a director of the Company; or (c) who is an associate or affiliate of a person included in subparagraphs (a) or (b).

VOTING SHARES AND PRINCIPAL SHAREHOLDERS

The Company is authorized to issue an unlimited number of common shares without par value, each share carrying the right to one vote. As at the date hereof , the Company has issued and outstanding 49,165,262 fully paid and non-assessable common shares. The Company has no other classes of securities.

The directors of the Company have fixed August 28, 2007 as the record date for the determination of shareholders entitled to receive the Notice of Meeting and to vote at the Meeting. Any transferee who acquires shares after the record date and who wishes to attend the Meeting and to vote the transferred shares must demand, not later than 10 days before the Meeting, to be included in the list of shareholders prepared for the Meeting. Registered shareholders should contact Computershare and non-registered shareholders should contact the Intermediary through whom they acquired the shares.

On a show of hands, every individual who is present as a registered shareholder or as a representative of a registered shareholder will have one vote (no matter how many shares such registered shareholder holds). On a poll, every registered shareholder present in person or represented by a proxy and every person who is a representative of a registered shareholder, will have one vote for each common share registered in the name of the registered shareholder on the list of registered shareholders, which is available for inspection during normal business hours at Computershare and at the Meeting. Registered shareholders represented by proxyholders are not entitled to vote on a show of hands.

To the knowledge of the directors and executive officers of the Company, there are no persons who, or companies that beneficially owned, directly or indirectly, or exercised control or direction over, common shares carrying more than 10% of the voting rights attached to all outstanding common shares of the Company as at August 28, 2007.

NUMBER OF DIRECTORS

Management of the Company is seeking shareholder approval of an ordinary resolution fixing the number of directors of the Company at six for the ensuing year.

ELECTION OF DIRECTORS

Management intends to propose for adoption an ordinary resolution that the number of directors of the Company be fixed at six. If there are more nominees for election then there are vacancies to fill, those nominees receiving the greatest number of votes will be elected until all such vacancies have been filled.

Each director of the Company is elected annually and holds office until the next Annual General Meeting of the shareholders, or until his successor is elected or appointed, unless that person’s office is earlier vacated in accordance with the Articles of the Company or with the provisions of the Business Corporations Act (British Columbia) (the “BCBCA”). In the absence of instructions to the contrary, the accompanying form of proxy will be voted for the nominees herein listed. Management does not contemplate that any of these nominees will be unable to serve as a director.

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The following table sets out the names of management’s nominees for election as directors, the province or state, and country in which each is ordinarily resident, all offices of the Company now held by each of them, each nominee’s principal occupation, business or employment, the period of time for which each nominee has served as a director of the Company, and the number of common shares of the Company beneficially owned by each, directly or indirectly, or over which each nominee exercises control or direction as of August 28, 2007:

			Shares
			Beneficially
Name, Position, Province		Period Served	Owned or
& Country of Residence	Present Principal Occupation(1)	as Director	Controlled(1)
(1)
Dr. Rui Feng	Chairman and CEO of the Company from	September 4,	784,600
Chairman, Chief Executive	September 2003 to present; President and	2003
Officer, and Director	Director of New Pacific Metals Corp.
British Columbia, Canada	since May 2004.
Myles Jianguo Gao	President of the Company from March	November 14,	432,700
President, Chief Operating	2003 to August 2006; COO of the	2002
Officer and Director	Company since August 2006; President
British Columbia, Canada	and COO of the Company since July 17,
	2007 to present.
S. Paul Simpson(2)(3)	Lawyer with Armstrong Simpson,	June 24, 2003	291,985
Director	Barristers & Solicitors.
British Columbia, Canada
Greg Hall(4)(5)	Financial Consultant, February 2005 to	March 23, 2005	Nil
Director and Chair of Audit	Present.
Committee
British Columbia, Canada
Earl Drake (2)(4)	Adjunct Professor, Simon Fraser	July 24, 2006	Nil
Director	University at David Lam Centre for
British Columbia, Canada	International Communication;
	Project Director, China Council for
	International Cooperation on
	Environment and Development;
	Vice Chairman, Canada China Business
	Council.
Yikang Liu (2)(4)	Deputy Secretary General of China	July 24, 2006	Nil
Director	Mining Association in September 2000.
Beijing, China

(1)	The information as to residence, principal occupation or employment and shares beneficially owned, directly or indirectly, or controlled is not within the knowledge of the management of the Company and has been furnished by the respective nominees.
(2)	Denotes Member of the Corporate Governance and Compensation Committee.
(3)	Mr. Simpson was the Corporate Secretary of Tournigan Ventures Corporation (now Tournigan Gold Corp) (“TVC”) on January 21, 2002, when the British Columbia Securities Commission (“BCSC”) issued a cease trade order (“CTO”) for failure to file its audited financial statements on time. The necessary materials were filed and the CTO was revoked by the BCSC on April 23, 2002, and by the Alberta Securities Commission (ASC)on May 10, 2002.

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	Mr. Simpson is Corporate Secretary of Salmon River Resources Ltd. (formerly WPI Gold Ltd.) (“WPI”). As a result of failure to file financial statements on time, WPI was the subject of CTOs issued by the ASC April 4, 2003 (revoked May 15, 2004) and December 5, 2003 (revoked on October 31, 2005), and the BCSC issued a CTO against WPI November 25, 2003, (revoked February 9, 2004). Revocations of the CTO’s were issued when appropriate materials were filed.
(4)	Denotes Member of the Audit Committee. Greg Hall is the Chair of the Audit Committee.
(5)	Mr. Hall was fined $1,000 plus costs of $250.00 pertaining to a proceeding dated March 18, 1987 and an order of settlement dated July 6, 1989. The proceeding related to a corporate investment account opened by Mr. Hall, which was found to be missing a required corporate resolution from March 1987 until August 1987.

As at the date of this Information Circular and within the ten years before the date of this Information Circular, except as disclosed herein, no proposed director:

(a)	is or has been a director or executive officer of any company (including the Company), that while that person was acting in that capacity:
	i.	was the subject of a cease trade order or similar order or an order that denied the relevant company access to any exemption under securities legislation, for a period of more than 30 consecutive days;
	ii.	was subject to an event that resulted, after the director or executive officer ceased to be a director or executive officer, in the company being the subject of a cease trade or similar order or an order that denied the relevant company access to any exemption under securities legislation, for a period of more than 30 consecutive days;
	iii.	within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold its assets; or
(b)	has within 10 years before the date of the Information Circular became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold the assets of the director, officers or shareholders.

CORPORATE GOVERNANCE

Board of Directors

In compliance with the requirements of the BCBCA, the directors are elected by the shareholders to manage, or supervise the management of, the business and affairs of the Company. In exercising their powers and discharging their duties, the directors are required to act honestly and in good faith with a view to the best interests of the Company, and to exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances.

The Board has adopted a description of how it delineates its roles and stewardship responsibilities, which is attached hereto as Schedule “1”. This description was revised in light of the adoption of Multilateral Instrument 52-110 – Audit Committees (“MI 52-110”), National Instrument 58-101 - Disclosure of Corporate Governance Practices (“NI 58-101”) and National Policy 58-201 - Corporate Governance Guidelines (“NP 58-201”).

The Board believes that good corporate governance is important to the effective performance of the Company and plays a significant role in protecting shareholders’ interests and maximizing value for the shareholders of the Company.

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The disclosure regarding the Company’s corporate governance practices that is required by NI 58-101 is set out in Appendix “A” to this Information Circular.

Summary of Attendance of Directors

The following table sets out the attendance of directors at Board meetings and meetings of the committees of the Board of which they were members during the year ended March 31, 2007:

Meeting(s) Attended in the Most Recently Completed Financial Year
Director	Board	Corporate Governance	Audit
		and Compensation	Committee
		Committee
	1 Meeting	No Meetings	2 Meetings
Dr. Rui Feng	1 / 1	0 / 0	2 / 2
Myles Gao	1 / 1	0 / 0	n/a
S. Paul Simpson	1 / 1	0 / 0	1 / 2
Greg Hall	1 / 1	0 / 0	2 / 2
Earl Drake	1 / 1	0 / 0	2 / 2
Yikang Liu	1 / 1	0 / 0	1 / 2

As the Company’s operations are primarily in China, resulting in Executive Board Members and other Directors spending considerable time in China, it is difficult to schedule regular face to face meetings and Board decisions are often carried out by telephone meetings and formalized by consent resolutions.

Composition of the Board of Directors

NP 58-201 recommends that the board of directors of a reporting issuer be composed of a majority of independent directors. During the most recently completed financial year, each of Earl Drake, Greg Hall, Yikang Liu, and Paul Simpson, comprising a majority of the Board, were “independent” within the meaning of NI 58-101. Dr. Rui Feng, the Chair of the Board, is not considered independent as he is the Chief Executive Officer of the Company and Myles Gao is not considered independent, as he is the President and Chief Operating Officer of the Company. All of the persons named as nominees of management for election to the Board at the Meeting are considered independent, with the exception of Dr. Rui Feng and Myles Gao, for the reasons set out above.

Corporate Governance and Compensation Committee

The Corporate Governance and Compensation Committee is responsible for assisting the Board in establishing and maintaining a sound system of corporate governance through a process of continuing assessment and enhancement. The Corporate Governance Committee works to ensure that the Board functions independently of management, that management is clearly accountable to the Board, and that procedures are in place to monitor the effectiveness of the performance of the Board, the Committees of the Board and individual directors.

In addition, the Corporate Governance and Compensation Committee is responsible for determining and approving compensation for directors and senior officers. Fees payable to management and directors have been determined

6

using a number of factors, such as the nature and extent of the contributions by individual directors, and by direct comparison with other companies of similar size, complexity and risk profile.

The Corporate Governance and Compensation Committee was previously two separate committees. The charter previously prepared for the Corporate Governance Committee is attached hereto as Schedule “2” and the charter previously prepared for the Compensation Committee is attached hereto as Schedule “3”. Both charters apply to the Corporate Governance and Compensation Committee and the Company plans to combine the charters in the future.

The Corporate Governance and Compensation Committee is comprised of Paul Simpson, Earl Drake, Yikang Liu, all of whom are independent directors pursuant to MI 52-110.

The Corporate Governance and Compensation Committee will be re-constituted after the Meeting.

AUDIT COMMITTEE

Audit Committee Charter

A copy of the Charter of the Audit Committee is attached hereto as Schedule “4”.

Composition of the Audit Committee

The current members of the Audit Committee are Greg Hall, Earl Drake, and Yikang Liu all of whom are considered independent pursuant to MI 52-110. All members of the Audit Committee are considered to be financially literate. The Audit Committee will be re-constituted after the Meeting.

Relevant Education and Experience

Greg Hall
Director

Mr. Hall is an experienced financial market professional with 24 years experience as a broker, senior executive officer and founder of a number of successful brokerage firms. He has also been extensively involved since 1984 in investments in China, including memberships on the board of directors of several private and public companies with projects in China. Mr. Hall was one of the founding directors of Dragon Pharmaceuticals Inc.

Earl Drake
Director

Mr. Earl Drake is currently Vice Chairman of the Canada China Business Council and Project Director of the China Council for the International Cooperation on Environment and Development and was previously the Ambassador of Canada to the People's Republic of China and the Republic of Indonesia. In the past 50 years, Mr. Drake was also the top Canadian representative in the governing councils of the Organization for Economic Cooperation and Development in Paris and the World Bank in Washington, DC and served in Ottawa as Assistant Deputy Minister for Asia-Pacific in the Foreign Affairs Department and as Vice President in the Canadian International Development Agency. Mr. Earl Drake an Adjunct Professor at Simon Fraser University in the Centre for International Communication. Mr. Drake has long experience in cross-cultural negotiation and communication to harmonize economic development goals with sustainable environmental policies and practices.

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Yikang Liu
Director

Mr. Yikang Liu is the Deputy General Secretary of the China Mining Association and the 35th & 36th Vice-Chairman of the Geological Society of China . Before he retired in 2001, Mr. Liu was the Chief Geologist for the former Ministry of Metallurgical Industry of China. While there he made significant contributions to the amendment of the last China Mineral Resources Law. Mr. Liu, representing Chinese interests, is the person responsible for the establishment of the first Sino-foreign joint venture for mineral exploration in China. Mr. Liu has over 40 years of geological experience in managing, evaluating and exploring mineral projects for the Chinese government in China and in 17 countries around the world including Bolivia, Madagascar, the Philippines, Iran, and Peru. Mr. Liu is an Adjunct Professor of Geology at the Changchun College of Technology, Northeast University and the China University of Geoscience. Mr. Liu’s expertise is in mining development and exploration in China.

Reliance on Certain Exemptions

The Company has not relied on any exemptions under securities law in the past year regarding the Audit Committee.

During the last year, any recommendations of the Audit Committee to nominate or compensate an external auditor were adopted by the Board.

External Auditor Services Fees

The Audit Committee has reviewed the nature and amount of the services provided by Ernst & Young LLP to ensure auditor independence. Fees billed by external auditors for audit services in the last two fiscal years are outlined below:

Nature of Services	Year Ended March 31, 2007	Year Ended March 31, 2006
Audit Fees(1)	$190,000	$187,903
Audit-Related Fees (2)	Nil	$44,500
Tax- Fees (3)	$5,000	Nil
All Other Fees (4)	Nil	Nil
Total	$195,000	$232,403

(1)	“Audit Fees” include fees necessary to perform the annual audit and quarterly reviews of the Company’s consolidated financial statements. Audit Fees include fees for review of tax provisions and for accounting consultations on matters reflected in the financial statements. Audit Fees also include audit or other attest services required by legislation or regulation, such as comfort letters, consents, reviews of securities filings and statutory audits.
(2)	“Audit-Related Fees” include services that are traditionally performed by the auditor. These audit-related services include employee benefit audits, due diligence assistance, accounting consultations on proposed transactions, internal control reviews and audit or attest services not required by legislation or regulation.
(3)	“Tax Fees” include fees for all tax services other than those included in “Audit Fees” and “Audit-Related Fees”. This category includes fees for tax compliance, tax planning and tax advice. Tax planning and tax advice includes assistance with tax audits and appeals, tax advice related to mergers and acquisitions, and requests for rulings or technical advice from tax authorities.
(4)	“All Other Fees” include all other fees billed by the Company’s auditors.

EXECUTIVE COMPENSATION

Executive Compensation

The following table sets forth a summary of the total compensation during the three most recently completed financial years paid to the Company’s Chief Executive Officer, Chief Financial Officer, and the three other most highly paid executive officers of the Company and any of its subsidiaries with annual compensation in excess of $150,000 and any additional individuals who satisfy these criteria but for the fact that individual was not serving as an officer at the end of the most recently completed financial year, hereinafter referred to as the Named Executive Officers (the “NEOs”).

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Summary Compensation Table

		Annual Compensation				Long-Term Compensation
					Awards			Payouts
						Shares or
NEO					Securities	Units
Name					Under	Subject to
and				Other Annual	Options	Resale	LTIP	All other
Principal Position	Year	Salary	Bonus	Compensation	granted	Restrictions	Payouts	Compensation
		($)	($)	($)	(#)	($)	($)	($)
Dr. Rui Feng	2007	Nil	Nil	$168,750(1)	Nil	Nil	Nil	Nil
Chairman and	2006	Nil	Nil	$166,500(1)	Nil	Nil	Nil	Nil
CEO	2005	Nil	Nil	$123,500(1)	400,000(2)	Nil	Nil	Nil
Danny Hon(3)	2007	Nil	Nil	88,066(4)	Nil	Nil	Nil	Nil
Former CFO	2006	Nil	Nil	69,614(4)	Nil	Nil	Nil	Nil
	2005	Nil	Nil	$22,777(4)	50,000(2)	Nil	Nil	Nil
Grace Soo(5)	2007	$79,197	Nil	Nil	50,000(6)	Nil	Nil	Nil
CFO	2006	Nil	Nil	Nil	Nil	Nil	Nil	Nil
	2005	Nil	Nil	Nil	Nil	Nil	Nil	Nil

(1)	Consulting fees payable to a firm controlled by Dr. Rui Feng pursuant to a Consulting Agreement dated May 1, 2003.
(2)	Incentive stock options exercisable at $0.55 per share and expiring on October 24, 2009.
(3)	Danny Hon was the CFO of the Company from October 20, 2004 to August 29, 2006.
(4)	Consulting fees payable for accounting services.
(5)	Grace Soo was appointed as CFO of the Company on September 5, 2006.
(6)	Incentive stock options exercisable at $13.28 per share and expiring on August 29, 2011.

Long-term Incentive Plan (“LTIP”) Awards

A long term incentive plan (“LTIP”) is a plan providing compensation intended to motivate performance over a period greater than one financial year and does not include option or stock appreciation rights (“SARs”) plans or plans for compensation through shares or units that are subject to restrictions on resale.

The Company does not have a LTIP in place. No awards were made to the NEOs under any LTIP during the most recently completed financial year.

Options and Stock Appreciation Rights

A stock appreciation right (“SAR”) is a right to receive a payment of cash or an issue or transfer of shares based wholly or in part on changes in the trading price of the Company’s shares. No SARs were granted to or exercised by any NEOs or any directors during the most recently completed financial year.

Option Grants During the Most Recently Completed Financial Year

The Company granted the following stock options to purchase common shares during the fiscal year ended March 31, 2007 to the NEOs.

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		% of Total		Market Value of
	Securities	Options		Securities
	Under	Granted to		Underlying
	Options	Employees in	Exercise or	Options on the
NEO	Granted	Financial	Base Price	Date of Grant
Name	(#)	Year	($/Security)	($/Security)	Expiration Date
Dr. Rui Feng
CEO	Nil	Nil	Nil	Nil	Nil
Danny Hon
Former CFO	Nil	Nil	Nil	Nil	Nil
Grace Soo
CFO	50,000	12%	$13.28	$13.28	August 29, 2011

Aggregated Option Exercises During the Most Recently Completed Financial Year and Financial Year End Options/SAR Values

Option Exercises During the Most Recently Completed Financial Year
				Value of Unexercised in-
		Aggregate	Unexercised Options	the-Money Options at
	Securities	Realized	at Financial Year End	Financial Year End
	Acquired on	Value	Exercisable/	Exercisable ($)/
Name	Exercise	$	Unexercisable	Unexercisable ($)(1)
Dr. Rui Feng	Nil	Nil	600,000/Nil	10,780,000/Nil
Chairman, CEO
Danny Hon	50,000	617,500	Nil/Nil	Nil/Nil
Former CFO
Grace Soo	Nil	Nil	8,332/41,668	43,493/217,507
CFO

(1)     The closing price of the Company’s common shares on the TSX on March 30, 2007 was $18.50.

Option and SAR Repricing

There were no options or SARs held by the NEOs that were repriced during the most recently completed financial year.

Termination of Employment, Changes in Responsibility & Employment Contracts

The Company does not have any employment contracts with the NEOs other than as disclosed below.

Dr. Rui Feng, Chairman and Chief Executive Officer

Dr. Rui Feng entered into a consulting agreement with SKN Resources Ltd. (the previous name of the Company) dated May 1, 2003 to provide the following services: assisting in introducing Company management and personnel

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to Chinese geological personnel; assisting in reviewing and acquiring mineral properties in China; and assisting in negotiating agreements, including mining agreements. Dr. Rui Feng’s consultancy fee, as stipulated under the agreement was initially $700 per day, plus applicable taxes, for each day services were provided to the Company. In addition, the agreement provides Rui Feng with incentive stock options, finders fees or bonuses, in amounts to be determined by the Board of Directors, for bringing mineral resource acquisition opportunities to the Company. All travel and other expenses actually and properly incurred in connection with the provision of services, subject to the furnishment of receipts to the Company in respect to such expenses, are reimburseable.

Dr. Rui Feng is prohibited, during the term of the agreement and for a period of two (2) years thereafter, from acquiring any interest, direct or indirect, through associates or affiliates, in any exploration concessions, mining claims, leases, mining rights, interest in land, fee lands, surface rights or water rights within ten (10) kilometers of any property in which the Company has an interest at the time of execution of, or acquires during the term of, the agreement.

The initial term of the agreement was one year without any formal renewal provisions. The agreement has been renewed and Dr. Rui Feng’s current billing rate is $750 per day, as approved by the Board of Directors of the Company.

Under the terms of the agreement, either party may terminate the agreement upon thirty (30) days written notice to the other party, with no obligations of the Company to Dr. Rui Feng, other than for services performed up to the date of the termination.

Grace Soo, Chief Financial Officer

On August 26, 2006, Grace Soo entered into an employment agreement with the Company to engage Grace Soo as Chief Financial Officer, effective September 5, 2006, for a term of three years. Pursuant to the terms of the agreement, Grace Soo will receive a base salary of $120,000 per annum, be entitled to four weeks vacation, and be granted 50,000 incentive stock options of the Company and 50,000 incentive stock options of New Pacific Metals Corp.

The agreement provides for reimbursement of any and all reasonable and documented expenses actually and necessarily incurred in connection with the performance of duties under the agreement. In addition, the agreement provides for reimbursement of annual professional membership fees .

The agreement may be terminated by the Company or Grace Soo upon one month’s notice within the first year and an additional month’s notice thereafter for each full or partial year of employment completed. In any such event, all outstanding options grants will vest immediately and Grace Soo will have 90 days to exercise the outstanding options.

On January 1, 2007, Grace Soo’s base salary was increased to $150,000 per annum. On May 4, 2007, the Company confirmed by letter agreement, that on termination the 50,000 stock options of the Company, and the 50,000 stock options of New Pacific Metals Corp. would vest immediately. In addition, the Company and Grace Soo agreed that any further options granted would vest pursuant to the respective stock option agreements of the Company and New Pacific Metals Corp.

Composition of the Compensation Committee

See “Corporate Governance and Compensation Committee” for a description of the composition of the Corporate Governance and Compensation Committee.

11

Report on Executive Compensation

The Compensation Committee has prepared this report on executive compensation. The committee is responsible for making recommendations to the Board with respect to the compensation of executive officers of the Company as well as with respect to the Company’s stock option plan. The committee also assumes responsibility for reviewing and monitoring the long-range compensation strategy for the senior management of the Company.

In compensating its executive officers, packages are structured to enhance shareholder value and provide incentives that are commensurate with performance. The Company has employed a combination of base compensation and equity participation through its stock option plan. In addition, the Company may from time to time award some of the executive officers or companies controlled by executive officers performance bonuses for the year. The Company does not offer securities purchase programs, shares or units that are subject to restrictions on resale or other incentive plans, and, except for stock options, focuses on annual, rather than long-term, compensation.

During the 2007 fiscal period, compensation has been in line with prior years packages, which in respect of total cash compensation has been below the market median for comparable companies. A consulting firm has been retained to advise the Compensation Committee on bringing the compensation packages for executive officers and the overall equity participation plan in line with mining and mineral exploration companies of a comparable size listed on the S&P/TSX Small Cap and Capped Gold Indexes and with operations at a similar or a more advanced stage.

Base Compensation

In the committee’s view, paying base compensation that is competitive in the markets in which the Company operates is a first step to attracting and retaining talented, qualified and effective executives. The committee historically set the rate for the CEO’s base compensation in line with its early status as a mineral exploration company. In light of the Company’s rapid advancement to mining, and revenue production, the Compensation Committee will rely in part on independent consultants’ advice as to appropriate comparable packages. In recommending the compensation for the remaining executive officers and the Board, the committee reviews the CEO’s base compensation and compensation paid to equivalent executive officers within the industry.

Equity Participation

The Company believes that encouraging its executive officers and employees to become shareholders is the best way of aligning their interests with those of its shareholders. Equity participation is accomplished through the Company’s stock option plan. Stock options are granted to executive officers taking into account a number of factors, including the amount and terms of options previously granted, base compensation and performance bonuses and competitive factors. During the 2007 fiscal year the Board granted to all optionees options to purchase a total of 433,500 shares, which represented 0.89% of the outstanding shares of the Company at year-end.

Performance bonuses

Performance bonuses awarded for the fiscal 2007 year were based primarily on three elements: (1) share performance; (2) Company performance, and (3) individual executive officer’s performance. With the exception of the past president of the Company, no bonuses were granted to named employees;

Company’s Performance

Executive compensation is related in part to the Company’s performance in the form of performance bonuses awarded. It is difficult in the mineral exploration and early stage mining industry, where growth of the Company is

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in its early stages, to quantitatively measure the Company’s performance. However, it is possible to apply a combination of qualitative and quantitative metrics to this process, and the Company measures its performance by such items as:

• earnings per share and overall financial performance;
  
  
• development progress on the Company’s projects;
  
  
• the ability of the Company to recruit and attract professionals who are recognized as leaders within their sector;
  
  
• confidence of the investment community in the Company;
  
  
• absence of negative dealings with regulatory agencies.

CEO Compensation

The components of the CEO’s compensation are the same as those that apply to all of the Company’s executive officers, namely base compensation, performance bonuses and long-term incentives in the form of stock options. In establishing the CEO’s compensation, the Board considers salaries paid to other CEOs whose market capitalization is similar to that of the Company and the CEO’s contribution to the affairs of the Company.

Performance Graph

The common shares of the Company commenced trading on the TSX on October 24, 2005 under the symbol “SVM” and prior to that time traded on the TSX Venture Exchange. The following chart compares the total cumulative shareholder return for CDN$100 invested in common shares of the Company on March 31, 2001, with the cumulative total return of the S&P/TSX Composite Index and S&P/TSX Global Gold Index for the period from March 31, 2001 to March 31, 2007. The common share performance as set out in the graph does not necessarily indicate future price performance.

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			Cumulative Total Returns ($)
For Date	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 31,
	2001	2002	2003	2004	2005	2006	2007
SVM	100.00	550.00	8,500.00	12,950.00	9,700.00	99,000.00	92,500.00
S&P/TSX Composite Index	100.00	103.20	83.24	112.85	126.35	159.18	173.05
S&P/TSX Global Gold Index	100.00	169.47	155.27	219.38	185.21	285.17	291.88
For Date	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 31,
	2001	2002	2003	2004	2005	2006	2007
Actual Date	Mar 31,	Mar 29,	Mar 31,	Mar 31,	Mar 31,	Mar 31,	Mar 30,
	2001	2002	2003	2004	2005	2006	2007
SVM Closing Price	$0.02	$0.11	$1.70	$2.59	$1.94	$19.80	$18.50
S&P/TSX Composite Index	7,608.00	7,851.47	6,332.60	8,585.93	9,612.38	12,110.61	13,165.50
S&P/TSX Global Gold Index	104.78	177.57	162.69	229.87	194.06	298.80	305.83

Compensation of Directors

The Company has no formal plans pursuant to which cash or non-cash compensation was paid or distributed to executive officers during the most recently completed financial year.

The following table sets out compensation paid to directors in the financial year ended March 31, 2007:

Directors’ Fees During 2007

Name of Director	Director’s Fee	Consulting Fees	Other Compensation	Total
Dr. Rui Feng	$0	$168,750(1)	$0	$168,750
Myles Gao	$0	$143,518(2)	$0	$143,518
S. Paul Simpson	$1,500	$87,642(3)	$5,000	$94,142
Greg Hall	$1,500	$0	$0	$1,500
Earl Drake	$25,000	$0	$0	$25,000
Yikang Liu	$13,404	$0	$0	$13,404

(1)	Consulting fees payable to a firm controlled by Dr. Rui Feng pursuant to a Consulting Agreement dated May 1, 2003.
(2)	Consulting fees payable to Myles Gao and to a firm controlled by Myles Gao pursuant to a Consulting Agreement dated March 1, 2004.
(3)	Legal fees and disbursements paid to a law firm, Armstrong Simpson, Barristers and Solicitors of which Paul Simpson is a Partner.

There are no formal plans pursuant to which options to purchase securities of the Company are granted to executive officers. The Company grants incentive stock options from time to time to its Directors, Officers and Employees in accordance with the policies of the TSX and its stock option plan, at the discretion of the Board.

The following table sets out the options received by directors, in their capacity as a director, during the financial year ended March 31, 2007:

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Option Grants to Directors During 2007

			Market Value of
	Securities		Securities Underlying
	Under Options	Exercise or Base	Options on Date of
Name of Director	Granted	Price	Grant	Expiration Date
Dr. Rui Feng	Nil	$0.00	$0.00	n/a
Myles Gao	Nil	$0.00	$0.00	n/a
S. Paul Simpson	Nil	$0.00	$0.00	n/a
Greg Hall	Nil	$0.00	$0.00	n/a
Earl Drake	50,000	$12.95	$12.95	July 23, 2011
Yikang Liu	50,000	$12.95	$12.95	July 23, 2011

Related Party Transaction

(a)	During the year ended March 31, 2007, the Company incurred the following related party transactions:
	(i)	consulting fees of $173,750 (2006 - $174,000) payable to a company owned by an officer and director of the Company and to an officer of the Company;
	(ii)	legal fees of $87,642 (2006 - $77,546) payable to a law firm controlled by a director of the Company;
	(iii)	management fees of $143,518 (2006 - $128,801) payable to company owned by an officer and director of the Company, and to an officer and director of the Company;
	(iv)	accounting fees of $88,066 (2006 - $69,614) payable to an accounting firm controlled by a former officer of the Company;
	(v)	directors’ fees of $41,404 (2006 - $nil); and,.
	(vi)	expenses and exploration costs recovery of $366,550 (2006 - $nil) from NUX.
(b)	As of March 31, 2007, the related transaction balances included the following:
	(i)	$nil (2006 - $22,085 which was included in accounts payable) due to a law firm controlled by a director of the Company;
	(ii)	$nil (2006 - $32,843 which was included in accounts payable) due to three directors for their services provided;
	(iii)	$nil (2006 - $8,246 which was included in accounts payable) due to an accounting firm controlled by a former officer of the Company;
	(iv)	$nil (2006 - $5,812) due to two directors for expenses incurred on behalf of the Company;
	(v)	$nil (2006 - $14,199) due to a company with a former director in common for expenses incurred on behalf of the Company;

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(vi)	$39,750 (2006 - $17,130) due to a company controlled by a director of the Company for its services provided;
(vii)	$151,769 (2006 - $nil ) due from the joint venture partner of Huawei for funds advanced by Huawei; and,
(viii)	$32,660 (2006 - $nil) due from a Chinese company related by common control; and,
(ix)	$1,377,863 (2006 - $nil) due to NUX for funds advanced from NUX and services rendered and costs incurred on behalf of NUX by the Company.

On December 8, 2006, the NUX entered into a Declaration of Trust Agreement (the “Trust Agreement”) with Yunnan Jin Chang Jiang Mining Co. Ltd. (“YJCJM” and the “Trustee”), an equity investee of the Company, to hold in trust for NUX, two exploration permits (“Guangdong Project”) located in Guangdong Province, China. Pursuant to the agreement, NUX paid $35,331 (US$30,000 ) to the Company as handling fee and NUX is responsible for all costs in relation to the exploration permits.

On January 25, 2007, NUX advanced to the Company $1,461,092 (US$1,240,000). The loan is unsecured, non-interest bearing, and due on demand. The loan will be paid by offsetting the Guangdong Project exploration expenditures incurred by the Trustee on behalf of NUX.

On March 15, 2007, the Company participated in NUX’s private placement and acquired 900,000 units at $2.50 per unit with warrants to acquire a further 450,000 units at $3.00 per unit per a period of one year to expire on March 15, 2008. As at the date of this report, the Company owns 4,987,501 common shares of NUX representing an equity interest of 17.7% .

The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties.

The balances with related parties are unsecured, non-interest bearing, and due on demand.

ISSUER BID

On June 13, 2006, the Company believed that the then prevailing market conditions had resulted in the Company’s shares being undervalued relative to the immediate and long term value of the Company’s Ying-Silver-Lead-Zinc Property and accordingly the Board of Directors approved a normal course issuer bid to acquire up to 1,000,000 of its Common Shares (being approximately 2% of the 47,818,407 shares issued and outstanding as at June 14, 2006), over a one year period. Purchases were made at the discretion of the CEO and Chairman at prevailing market prices, through the facilities of the TSX. A total of 420,500 shares were acquired under the normal course issuer bid through the facilities of the TSX and were returned to treasury and cancelled. The normal course issuer bid has now expired.

SECURITIES AUTHORIZED FOR ISSUANCE
UNDER EQUITY COMPENSATION PLANS

The only equity compensation plan which the Company has in place is its stock option plan (the “Plan”) which was previously approved by the shareholders on November 14, 2002 and an amendment to the Plan was approved by the shareholders on October 20, 2004 and August 24, 2006. The Plan, upon shareholder approval, was further amended October 24, 2005, to bring it in to compliance with the policies of the TSX in conjunction with the listing of the Company’s share on the TSX on that date. On August 24, 2006 an amendment to the Plan was approved by the

16

shareholders to increase the maximum aggregate number of shares issuable pursuant to options granted under the Plan, inclusive of all other stock options outstanding from 5,100,000 to 6,500,000 (the “Amended Plan”). This amendment to increase the number of options issuable under the Plan in order to provide the Company with added flexibility in attracting directors, officers, employees and consultants and in motivating such persons to advance the interests of the Company by affording them with the opportunity to acquire an equity interest in the Company.

The Plan has been established to attract and retain directors, officers, employees and consultants to the Company and to motivate them to advance the interests of the Company by affording them with the opportunity to acquire an equity interest in the Company. The Plan is administered by the directors and Compensation Committee of the Company. The Plan currently provides that the aggregate number of shares issuable under the Plan, inclusive of all other stock options outstanding shall not exceed 6,500,000.

The full text of the Plan is attached hereto as Schedule “5”.

The Company has an authorized capital of an unlimited number of common shares without par value, of which 49,165,262 common shares were issued and outstanding as fully paid and non-assessable as of August 28, 2007. A further 2,893,034 common shares have been reserved and allotted for issuance upon the due and proper exercise of certain incentive options and share purchase warrants outstanding as at the date hereof.

All of the common shares of the Company rank equally as to dividends, voting powers and participation in assets and in all other respects. Each common share carries one vote per share at meetings of the shareholders of the Company. There are no indentures or agreements limiting the payment of dividends and there are no conversion rights, special liquidation rights, pre-emptive rights or subscription rights attached to the common shares. The common shares presently issued are not subject to any calls or assessments.

Under its Stock Option Plan, the Company may grant options to purchase up to 6,500,000 common shares to directors, officers, employees and consultants. As of the date of this circular, the Company has granted options to purchase 5,498,400 common shares at exercise prices from $0.35 to $20.21 per share and terms ranging from three to five years, with the last options expiring on April 10, 2012. Of the options granted, 1,642,411 remain outstanding.

The following table sets out equity compensation plan information as at the end of the financial year ended March 31, 2007:

Plan Category	Number of securities to be	Weighted-average	Number of securities remaining
	issued upon exercise of	exercise price of	available for future issuance
	outstanding options, warrants	outstanding	under equity compensation
	and rights	options, warrants	plans (excluding securities
		and rights	reflected in column (a))
	(a)	(b)	(c)
Equity compensation plans	2,056,636 common shares	$3.58	1,406,250 common shares
approved by securityholders
Equity compensation plans not	N/A	N/A	N/A
approved by securityholders
Total	2,056,636 common shares	$3.58	1,406,250 common shares

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INDEBTEDNESS OF DIRECTORS, EXECUTIVE OFFICERS
AND SENIOR OFFICERS

During the Company's last completed financial year-ended March 31, 2007, no director, executive officer or senior officer of the Company, no proposed nominee for election as a director of the Company, and no associate of any of the foregoing persons has been indebted to the Company or any of its subsidiaries, nor has any of these individuals has been indebted to another entity which indebtedness is the subject of a guarantee, support agreement, letter of credit or other similar arrangement or understanding provided by the Company or any of its subsidiaries.

MANAGEMENT CONTRACTS

There are no management functions of the Company, which are to any substantial degree performed by a person or company other than the directors or executive / senior officers (or private companies controlled by them, either directly or indirectly) of the Company.

INTEREST OF INFORMED PERSONS IN MATERIAL TRANSACTIONS

Except as disclosed in this Information Circular, since the commencement of the Company's last completed financial year, no insider of the Company, nominee for director, or any associate or affiliate of an insider, has any material interest, direct or indirect, in any material transaction or in any proposed transaction, which, in either case, has materially affected or would materially affect the Company.

APPOINTMENT OF AUDITORS

It is proposed that Ernst & Young, LLP, Chartered Accountants of Vancouver, British Columbia be reappointed as the auditors of the Company to hold office until the next annual meeting of the shareholders or until a successor is appointed, and that the directors be authorized to determine the auditor’s remuneration.

Unless otherwise specified, the persons named in the enclosed Form of Proxy will vote for the appointment of Ernst & Young, Chartered Accountants, of Vancouver, BC as auditor of the Company until the next Annual and Special General Meeting of Shareholders, at a remuneration to be fixed by the directors.

PARTICULARS OF OTHER MATTERS TO BE ACTED UPON

Stock Split 1:3

The Board of Directors of the Company has determined that it is desirable and in the best interest of the Company to declare a 1 to 3 split of the Company’s common shares, pursuant to which every one (1) share will be split into three (3) shares.

Shareholders will be asked to approve the proposed 1:3 stock split at the Meeting. The stock split will remain subject to obtaining approval from the TSX.

“RESOLVED, as an ordinary resolution, that:

1.	The 1:3 split of the Company’s common shares be and is hereby approved, ratified and confirmed; and
2.	Any director or officer of the Company be and is hereby authorized, for and on behalf of the Company, to do all such things and execute all such documents and instruments as may be necessary or desirable to give effect to this resolution.”

18

Approval and Ratification of Acts of Directors and Officers

Shareholders will be asked to confirm, ratify and approve all acts, deeds, things done by, and the proceedings of the Directors and officers of the Company on behalf of the Company during the preceding year.

“RESOLVED, as an ordinary resolution, that:

1.

Notwithstanding (i) any failure to properly convene, proceed with, or record any meeting of the Board of Directors or Shareholders of Silvercorp Metals Inc. (the “Company”) for any reason whatsoever, including, without limitation, the failure to properly waive or give notice of a meeting, hold a meeting in accordance with a notice of a meeting, have a quorum present at a meeting, sign the minutes of a meeting or sign a ballot electing a slate of directors; or (ii) any failure to pass any resolution of the directors or Shareholders of the Company or any articles of the Company for any reason whatsoever, all approvals, appointments, elections, resolutions, contracts, acts and proceedings enacted, passed, made done or taken since April 1, 2006 as set forth in the minutes of the meetings, or resolutions of the Board of Directors or Shareholders of the Company or other documents contained in the minutes book and record book of the Company, or in the financial statement s of the Company, and all action heretofore taken in reliance upon the validity of such minutes, documents and financial statements, are hereby sanctioned, ratified, confirmed and approved; and,

2.

Without limiting the generality of the foregoing, all resolutions, contracts, acts and proceedings of the Board of Directors of the Company enacted, made, done or taken since the last annual general meeting as set forth or referred to in the minutes and record books of the Company or in the financial statements of the Company, are hereby approved, ratified and confirmed.”

OTHER BUSINESS

Management of the Company knows of no other matters which will come before the Meeting, other than as set forth above and in the Notice of Meeting, but if such should occur, the persons named in the accompanying Form of Proxy intend to vote on them in accordance with their best judgment exercising discretionary authority with respect to amendments or variations of matters identified in the Notice of Meeting and other matters which may properly come before the Meeting, or any adjournments thereof.

ADDITIONAL INFORMATION

Additional information relating to the Company is available on the System for Electronic Document Analysis and Retrieval (SEDAR), website at www.sedar.com.

Financial information regarding the Company and its affairs is provided in the Company’s comparative financial statements and management discussion and analysis (“MD&A”) for its financial year ended March 31, 2007. Shareholders may contact the Company at the address set out on the face page of this Information Circular to request free copies of the Company’s financial statements and MD&A, alternatively they can be found at www.sedar.com and the Company’s website at www.silvercorp.ca

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BOARD APPROVAL

The contents of this Information Circular have been approved and its mailing has been authorized by the directors of the Company.

Dated at Vancouver, British Columbia, this 28th day of August, 2007.

BY ORDER OF THE BOARD OF DIRECTORS

                        “Rui Feng”

Dr. Rui Feng, Chairman, CEO and Director

20

SCHEDULE “1”

     SUMMARY OF ROLES AND RESPONSIBILITIES
OF THE BOARD OF DIRECTORS OF THE COMPANY

The Board is responsible for the stewardship of the Company and for the oversight of its management and affairs.

Directors shall exercise their best business judgment in a manner consistent with their fiduciary duties. The Board’s primary responsibilities, which are discharged directly and through delegation to its Committees, include the following:

• To act honestly and in good faith with a view to the best interests of the Company.
• To exercise due care, diligence and skill that reasonably prudent persons would exercise in comparable circumstances.
• Consistent with its responsibilities to the Company, to further the interests of the shareholders.
• To consider business opportunities and risks, and to adopt strategic plans from time to time.
• To identify the principal risks of the Company’s business, and to implement an appropriate system to manage these risks.
• To develop an investor relations and shareholder communications policy for the Company.
• To oversee management’s adoption of effective internal control and management information systems.
• To review and approve annual and quarterly financial statements and the publication thereof by management.
• To approve operating plans and any capital budget plans.
• To select and approve all key executive appointments, and to monitor executive development.
• To develop the Company’s approach to corporate governance, including establishing a set of corporate governance principles and guidelines that are specifically applicable to the Company.
• To adopt a code of conduct to govern employees and management in their activities for and on behalf of the Company.
• To promote a culture of integrity throughout the Company consistent with the adopted code of conduct.
• To take action on issues that by law or practice require the independent action of a Board or one of its Committees.
• To oversee management in its implementation of effective programs to provide a safe work environment, to employ sound environmental practices, and to operate in accordance with applicable laws, regulations and permits.
• To oversee management in its implementation of an effective communications policy with regard to investors, employees, the communities in which it operates and the governments of those communities.

SCHEDULE “2”

CORPORATE GOVERNANCE COMMITTEE CHARTER

The Company has established a Corporate Governance Committee of the Board of Directors which consists of three or more directors, a majority of whom shall be independent. The Committee meets at least annually, or more frequently as required.

The Committee’s mandate is to assist the Board in establishing and maintaining a sound system of corporate governance through a process of continuing assessment and enhancement.

The Committee’s duties and responsibilities are:

• To advise the Chairman of the Board and the Board on matters of corporate governance, including adherence to any governance guidelines or rules established by applicable regulatory authorities.
• To advise the Board on issues of conflict of interest for individual directors.
  
  
• To examine the effectiveness of the Company’s corporate governance practices at least annually and to propose such procedures and policies as the Committee believes are appropriate to ensure that the Board functions independently of management, management is accountable to the Board and procedures are in place to monitor the effectiveness of performance of the Board, committees of the Board and individual directors.
  
  
• To develop and review, together with the Chairman, CEO and the President of the Board, annual Board goals or improvement priorities.
  
  
• To identify and to recommend to the Board suitable candidates for nomination as new directors, and to review the credentials of directors standing for re-election.
• With assistance of management, to organize and provide an orientation program for new directors where appropriate.
• To periodically review the mandates of the Board and committees of the Board and determine what additional committees of the Board, if any, are required or appropriate.
• To develop such codes of conduct and other policies as are appropriate to deal with the confidentiality of the Company’s information, insider trading and the Company’s timely disclosure and other public Company obligations.
• To take such other steps as the Committee decides are appropriate, in consultation with the Board, to ensure that proper corporate governance practices are in place for the Company, with reference to the Toronto Stock Exchange guidelines or recommendations and other regulatory requirements on corporate governance.
• To review its charter and assess annually the adequacy of this mandate, the effectiveness of its performance and, when necessary, and to recommend changes to the Board of Directors for its approval.

SCHEDULE “3”

COMPENSATION COMMITTEE CHARTER

The Compensation Committee of the Board of Directors consists of at least three Directors, a majority of whom shall be independent. The Committee meets at least annually, or more frequently as required.

The purpose of the Compensation Committee is to assist the Board in discharging its duties relating to compensation of the executive officers of the Company, the goals are to enable the Company to attract, retain and motivate the most qualified talent who will contribute to the long term success of the Company by aligning compensation with the Company’s business objectives and performance, and aligning incentives with the interests of shareholders to maximize shareholders’ value.

The Committee’s duties and responsibilities are:

• To make recommendations to the Board with respect to the compensation of senior management and executive officers of the Company.

• To review the compensation and benefits of the directors in their capacity as directors of the Company to ensure that such compensation reflects the responsibilities and risks involved in being a director.

• To review and make recommendations to the Board as to the general compensation and benefits policies and practices of the Company, including incentive stock options for all employees, consultants, directors and officers.

• To review the disclosure to be made of director and executive remuneration in the Management Information Circular.

• To ensure there are appropriate training, development and benefit programs in place for management and staff.

• To review and make recommendations to the Board for its approval on any special compensation and benefit arrangements.

• To review its compensation practices by comparing them to surveys of relevant competitors and to set objective compensation based on this review.

• To perform such other functions as the Board may from time to time assign to the Committee.

• To review its charter and assess annually the adequacy of this mandate, the effectiveness of its performance, and to recommend changes to the Board for its approval.

SCHEDULE “4”

AUDIT COMMITTEE CHARTER

I. Purpose

The main objective of the Audit Committee is to act as a liaison between the Board and the Company’s independent auditors (the “Auditors”) and to assist the Board in fulfilling its oversight responsibilities with respect to (a) the financial statements and other financial information provided by the Company to its shareholders, the public and others, (b) the Company’s compliance with legal and regulatory requirements, (c) the qualification, independence and performance of the Auditors and (d) the Company's risk management and internal financial and accounting controls, and management information systems.

Although the Committee has the powers and responsibilities set forth in this Charter, the role of the Committee is oversight. The members of the Committee are not full-time employees of the Company and may or may not be accountants or auditors by profession or experts in the fields of accounting or auditing and, in any event, do not serve in such capacity. Consequently, it is not the duty of the Committee to conduct audits or to determine that the Company’s financial statements and disclosures are complete and accurate and are in accordance with generally accepted accounting principles and applicable rules and regulations.

II. Organization

The Committee shall consist of three or more directors and shall satisfy the laws governing the Company and the independence, financial literacy, expertise and experience requirements under applicable securities law, stock exchange and any other regulatory requirements applicable to the Company.

The members of the Committee and the Chair of the Committee shall be appointed by the Board. A majority of the members of the Committee shall constitute a quorum. A majority of the members of the Committee shall be empowered to act on behalf of the Committee. Matters decided by the Committee shall be decided by majority votes.

Any member of the Committee may be removed or replaced at any time by the Board and shall cease to be a member of the Committee as soon as such member ceases to be a director.

The Committee may form and delegate authority to subcommittees when appropriate.

III. Meetings

The Committee shall meet as frequently as circumstances require, but not less frequently than four times per year. The Committee shall meet at least quarterly.

The Committee may invite, from time to time, such persons as it may see fit to attend its meetings and to take part in discussion and consideration of the affairs of the Committee.

The Company’s accounting and financial officer(s) and the Auditors shall attend any meeting when requested to do so by the Chair of the Committee.

IV. Responsibilities

(1)	The Committee shall recommend to the Board of directors:
	(a)	the external auditor to be nominated for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Company; and
	(b)	the compensation of the external auditor.

(2)	The Committee shall be directly responsible for overseeing the work of the external auditor engaged for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Company, including the resolution of disagreements between management and the external auditor regarding financial reporting.
(3)	The Committee must pre-approve all non-audit services to be provided to the Company or its subsidiary entities by the Company's external auditor.
(4)	The Committee must review the Company's financial statements, MD&A and annual and interim earnings press releases before the Company publicly discloses this information.
(5)	The Committee must be satisfied that adequate procedures are in place for the review of the Company's public disclosure of financial information extracted or derived from the Company's financial statements, other than the public disclosure referred to in subsection (4), and must periodically assess the adequacy of those procedures.
(6)	The Committee must establish procedures for:
	(a)	the receipt, retention and treatment of complaints received by the Company regarding accounting, internal accounting controls, or auditing matters; and
	(b)	the confidential, anonymous submission by employees of the Company of concerns regarding questionable accounting or auditing matters.

(7)      An audit committee must review and approve the Company's hiring policies regarding partners, employees and former partners and employees of the present and former external auditor of the issuer.

V. Authority

The Committee shall have the following authority:

(a)	to engage independent counsel and other advisors as it determines necessary to carry out its duties,
(b)	to set and pay the compensation for any advisors employed by the Committee, and
(c)	to communicate directly with the internal and external auditors.

2

SCHEDULE “5”

STOCK OPTION PLAN (2002)
(amended October 20, 2004, October 24, 2005, August 24, 2006)

PART 1
INTERPRETATION

1.01	Definitions In this Plan the following words and phrases shall have the following meanings, namely:
	(a)	“Board” means the board of directors of the Company and includes any committee of directors appointed by the directors as contemplated by to Section 3.01 hereof;
	(b)	“Company” means SILVERCORP METALS INC.;
	(c)	“Consultant” means an individual who provides consulting, technical, management or other services to the Company or any of its subsidiaries, including a Service Provider as defined by The Toronto Stock Exchange, and who is permitted by Exchange Policy and by Securities Laws to receive, either directly or through a company, shares or options of the Company in exchange for services;
	(d)	“Director” means any director of the Company or of any of its subsidiaries;
	(e)	“Employee” means any individual in the employment of the Company or any of its subsidiaries or of a company providing management or administrative services to the Company;
	(f)	“Exchange” means the The Toronto Stock Exchange;
	(g)	“Exchange Policy” means the policies, bylaws, rules and regulations of the Exchange governing the granting of options by the Company, as amended from time to time;
	(h)	“Expiry Date” means not later than ten years from the date of grant of the option or such shorter period as prescribed by the Exchange;
	(i)	“Insider” has the meaning ascribed thereto in the Securities Act (British Columbia);
	(j)	“Joint Actor” means a person acting “jointly or in concert with” another person as that phrase is interpreted in section 96 of the Securities Act;
	(k)	“Option Price” means the price at which options may be granted in accordance with Exchange Policy and Securities Laws;
	(l)	“Officer” means any senior officer of the Company or of any of its subsidiaries as defined in the Securities Act (British Columbia);
	(m)	“Outstanding Issue” is determined by Exchange Policy and by Securities Laws;
	(n)	“Plan” means this stock option plan as from time to time amended;
	(o)	“Securities Act” means the Securities Act, R.S.B.C. 1996, c.418, as amended, from time to time;
	(p)	“Securities Laws” means the act, policies, bylaws, rules and regulations of the securities commissions governing the granting of options by the Company, as amended from time to time;
	(q)	“Shares” means common shares of the Company.

1.02        Gender Throughout this Plan, words importing the masculine gender shall be interpreted as including the female gender.

PART 2
PURPOSE OF PLAN

2.01        Purpose The purpose of this Plan is to attract and retain Employees, Consultants, Officers or Directors to the Company and to motivate them to advance the interests of the Company by affording them with the opportunity to acquire an equity interest in the Company through options granted under this Plan to purchase Shares.

PART 3
GRANTING OF OPTIONS

3.01        Administration This Plan shall be administered by the Board or, if the Board so elects, by a committee (which may consist of only one person) appointed by the Board from its members.

3.02        Committee's Recommendations The Board may accept all or any part of recommendations of the committee or may refer all or any part thereof back to the committee for further consideration and recommendation.

3.03        Grant by Resolution The Board may, by resolution, designate eligible persons who are bona fide Employees, Consultants, Officers or Directors, or corporations employing or wholly owned by such Employee, Consultant, Officer or Director, to whom options should be granted and specify the terms of such options which shall be in accordance with Exchange Policy and Securities Laws.

3.04        Terms of Option The resolution of the Board shall specify the number of Shares that should be placed under option to each such Employee, Consultant, Officer or Director, the Option Price to be paid for such Shares upon the exercise of each such option, and the period, including any applicable vesting periods required by Exchange Policy, or by the Board or Committee, during which such option may be exercised.

3.05        Written Agreement Every option granted under this Plan shall be evidenced by a written agreement, containing such terms and conditions as are required by Exchange Policy and Securities Laws, between the Company and the optionee and, where not expressly set out in the agreement, the provisions of such agreement shall conform to and be governed by this Plan. In the event of any inconsistency between the terms of the agreement and this Plan, the terms of this Plan shall govern.

PART 4
CONDITIONS GOVERNING THE GRANTING AND EXERCISING OF OPTIONS

4.01        Exercise Price The exercise price of an option granted under this Plan shall not be less than the Option Price at the time of granting the options. In any event, no options shall be granted which are exercisable at a price of less than permitted by Exchange Policy.

4.02        Expiry Date Each option shall, unless sooner terminated, expire on a date to be determined by the Board which will not be later than the Expiry Date.

4.03        Different Exercise Periods, Prices and Number The Board may, in its absolute discretion, upon granting an option under this Plan and subject to the provisions of Section 6.03 hereof, specify a particular time period or periods following the date of granting the option during which the optionee may exercise his option to purchase Shares and may designate the exercise price and the number of Shares in respect of which such optionee may exercise his option during each such time period.

Schedule 5-2

4.04        Number of Shares To one Person the number of Shares reserved for issuance to any one person pursuant to options granted under this Plan shall not exceed 5% of the outstanding Shares at the time of granting of the options.

4.05        Termination of Employment If a Director, Officer, Consultant or Employee ceases to be so engaged by the Company for any reason other than death, such Director, Officer, Consultant or Employee shall have such rights to exercise any option not exercised prior to such termination within a period of 90 calendar days after the date of termination, or such shorter period as may be set out in the optionee’s Option Agreement.

4.06        Death of Optionee If a Director, Officer, Consultant or Employee dies prior to the expiry of his option, his legal representatives may, within the lesser of one year from the date of the optionee's death or the expiry date of the option, exercise that portion of an option granted to the Director, Officer, Consultant or Employee under this Plan which remains outstanding.

4.07        Assignment No option granted under this Plan or any right thereunder or in respect thereof shall be transferable or assignable otherwise than by will or pursuant to the laws of succession except that, if permitted by the rules and policies of the Exchange, an optionee shall have the right to assign any option granted to him hereunder to a trust, RRSP, RESP or similar legal entity established by such optionee.

4.08        Notice Options shall be exercised only in accordance with the terms and conditions of the agreements under which they are respectively granted and shall be exercisable only by notice in writing to the Company.

4.09        Payment Options may be exercised in whole or in part at any time prior to their lapse or termination. Shares purchased by an optionee on exercise of an option shall be paid for in full at the time of their purchase.

4.10        Options to Employees, Consultants or Management Company Employees In the case of options granted to Employees, Consultants or Management Company Employees, the optionee must be a bona-fide Employee, Consultant or Management Company Employee, as the case may be, of the Company or its subsidiary.

PART 5
RESERVE OF SHARES FOR OPTIONS

5.01        Sufficient Authorized Shares to be Reserved Whenever the Memorandum or Articles of the Company limit the number of authorized Shares, a sufficient number of Shares shall be reserved by the Board to satisfy the exercise of options granted under this Plan. Shares that were the subject of options that have lapsed or terminated shall thereupon no longer be in reserve and may once again be subject to an option granted under this Plan.

5.02        Maximum Number of Shares to be Reserved Under Plan The aggregate number of Shares which may be subject to issuance pursuant to options granted under this Plan, inclusive of all other stock options outstanding shall be 6,500,000 shares.

5.03        Maximum Number of Shares Reserved Unless authorized by shareholders of the Company, this Plan, together with all of the Company's other previously established or proposed stock options, stock option plans, employee stock purchase plans or any other compensation or incentive mechanisms involving the issuance or potential issuance of Shares, shall not result, at any time, in:

(a)	the number of Shares reserved for issuance to Insiders pursuant to stock options exceeding 10% of the Outstanding Issue;
(b)	the issuance to any one Insider and such Insider's associates, within a one year period, of a number of Shares exceeding 5% of the Outstanding Issue; or
(c)	if required by Exchange Policy or Securities Laws, the issuance to Consultants of a number of Shares exceeding 2% of the Outstanding Issue.

Schedule 5-3

PART 6
CHANGES IN OPTIONS

6.01        Share Consolidation or Subdivision In the event that the Shares are at any time subdivided or consolidated, the number of Shares reserved for option and the price payable for any Shares that are then subject to option shall be adjusted accordingly.

6.02        Stock Dividend In the event that the Shares are at any time changed as a result of the declaration of a stock dividend thereon, the number of Shares reserved for option and the price payable for any Shares that are then subject to option may be adjusted by the Board to such extent as they deem proper in their absolute discretion.

6.03        Effect of a Take-Over Bid If a bona fide offer ( an “Offer”) for Shares is made to the Optionee or to shareholders of the Company generally or to a class of shareholders which includes the Optionee, which Offer, if accepted in whole or in part, would result in the offeror becoming a control person of the Company, within the meaning of subsection 1(1) of the Securities Act, the Company shall, upon receipt of notice of the Offer, notify each Optionee of full particulars of the Offer, whereupon all Shares subject to such Option (“Option Shares”) will become Vested and the Option may be exercised in whole or in part by the Optionee so as to permit the Optionee to tender the Option Shares received upon such exercise, pursuant to the Offer. However, if:

(a)	the Offer is not completed within the time specified therein including any extensions thereof; or
(b)	all of the Option Shares tendered by the Optionee pursuant to the Offer are not taken up or paid for by the offeror in respect thereof,

then the Option Shares received upon such exercise, or in the case of clause (b) above, the Option Shares that are not taken up and paid for, may be returned by the Optionee to the Company and reinstated as authorized but unissued Shares and with respect to such returned Option Shares, the Option shall be reinstated as if it had not been exercised and the terms upon which such Option Shares were to become vested pursuant to section 4.03 shall be reinstated. If any Option Shares are returned to the Company under this section 6.03, the Company shall immediately refund the exercise price to the Optionee for such Option Shares.

6.04        Acceleration of Expiry Date If at any time when an Option granted under the Plan remains unexercised with respect to any Unissued Option Shares, an Offer is made by an offeror, the Directors may, upon notifying each Optionee of full particulars of the Offer, declare all Option Shares issuable upon the exercise of Options granted under the Plan, Vested, and declare that the Expiry Date for the exercise of all unexercised Options granted under the Plan is accelerated so that all Options will either be exercised or will expire prior to the date upon which Shares must be tendered pursuant to the Offer.

6.05        Effect of a Change of Control If a Change of Control (as defined below) occurs, all Option Shares subject to each outstanding Option will become vested, whereupon such Option may be exercised in whole or in part by the Optionee. “Change of Control” means the acquisition by any person or by any person and a Joint Actor, whether directly or indirectly, of voting securities as defined in the Securities Act) of the Company, which, when added to all other voting securities of the Company at the time held by such person or by such person and a Joint Actor, totals for the first time not less than fifty percent (50%) of the outstanding voting securities of the Company or the votes attached to those securities are sufficient, if exercised, to elect a majority of the Board of Directors of the Company.

PART 7
SECURITIES LAWS AND EXCHANGE POLICIES

7.01        Exchange's Rules and Policies Apply This Plan and the granting and exercise of any options hereunder are also subject to such other terms and conditions as are set out from time to time in the Securities Laws and Exchange Policies and such rules and policies shall be deemed to be incorporated into and become a part of this Plan. In the event of an inconsistency between the provisions of such rules and policies and of this Plan, the provisions of such rules and policies shall govern. In the event that the Company’s listing changes from one tier to another tier on a stock exchange or the Company’s shares are listed on a new stock exchange, the granting of options shall be governed by the rules and policies of such new tier

Schedule 5-4

or new stock exchange and unless inconsistent with the terms of this Plan, the Company shall be able to grant options pursuant to the rules and policies of such new tier or new stock exchange without requiring shareholder approval.

PART 8
AMENDMENT OF PLAN

8.01        Board May Amend The Board may, by resolution, amend or terminate this Plan, but no such amendment or termination shall, except with the written consent of the optionees concerned, affect the terms and conditions of options previously granted under this Plan which have not then been exercised or terminated.

8.02        Exchange Approval Any amendment to this Plan or options granted pursuant to this Plan shall not become effective until such Exchange and shareholder approval as is required by Exchange Policy and Securities Laws has been received.

8.03        Amendment to Insider’s Options Any amendment to Options held by Insiders of the Company at the time of the amendment, which results in a reduction in the exercise price of the options, is conditional upon the obtaining of disinterested shareholder approval to that amendment.

PART 9
EFFECT OF PLAN ON OTHER COMPENSATION OPTIONS

9.01        Other Options Not Affected This Plan is in addition to any other existing stock options granted prior to and outstanding as at the date of this Plan and shall not in any way affect the policies or decisions of the Board in relation to the remuneration of Directors, Officers, Consultants and Employees.

PART 10
OPTIONEE'S RIGHTS AS A SHAREHOLDER

10.01        No Rights Until Option Exercised An optionee shall be entitled to the rights pertaining to share ownership, such as to dividends, only with respect to Shares that have been fully paid for and issued to him upon exercise of an option.

PART 11
EFFECTIVE DATE OF PLAN

11.01        Effective Date This Plan shall become effective upon the later of the date of acceptance for filing of this Plan by the Exchange or the approval of this Plan by the shareholders of the Company, however, options may be granted under this Plan prior to the receipt of approval by shareholders and acceptance from the Exchange.

DATE OF PLAN: November 14, 2002
AMENDED: October 20, 2004; October 24, 2005, August 24, 2006.

Schedule 5-5

APPENDIX “A”

CORPORATE GOVERNANCE DISCLOSURE OF
SILVERCORP METALS INC. (the “Company”)

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of the Company
1.	Board of Directors
	(a)	Disclose the identity of directors who are independent.	The following members of the board of directors of the Company (the “Board”) are considered to be “independent”, within the meaning of NI 58-101: S. Paul Simpson, Greg Hall, Earl Drake and Yikang Liu.
	(b)	Disclose the identity of directors who	The following directors are not independent for the reasons stated: Dr. Rui Feng is currently CEO and Chairman of the Company and Myles Gao is currently President and COO of the Company.
	(c)	Disclose whether or not a majority of	A majority of the Company’s directors are independent, as four of the six persons nominated as directors qualify as independent directors for the purposes of NI 58-101.
	(d)	If a director is presently a director of any other issuer that is a reporting issuer (or the equivalent) in the same jurisdiction or a foreign jurisdiction, identify both the director and the other issuer.	Dr. Rui Feng is a director of New Pacific Metals Corp., S. Paul Simpson is a director and chairman of Maxy Gold Corp. and Greg Hall is a director and audit committee member of Acero-Martin Exploration Inc. and a director and chairman of Ivory Energy Inc.
	(e)	Disclose whether or not the independent directors hold regularly scheduled meetings at which non-independent directors and members of management are not in attendance. If the independent directors hold such meetings, disclose the number of meetings held since the beginning of the issuer’s most recently completed financial year. If the independent directors do not hold such meetings, describe what the Board does to facilitate open and candid discussion among its independent directors.	The independent directors are encouraged to hold meetings at which non-independent directors and members of management are not in attendance on an ad hoc basis. As the Company’s assets are primarily in China, resulting in Executive Board Members and other Directors spending considerable time in China, it is difficult to schedule regular face to face meetings and Board decisions are often carried out by telephone meetings and formalized by a consent resolutions.
	(f)	Disclose whether or not the chair of the Board is an independent director. If the Board has a chair or lead director who is an independent director, disclose the identity of the independent chair or lead director, and describe his or her role and responsibilities. If the Board has neither a chair that is independent nor a lead director that is independent, describe what the Board does to provide leadership for its independent directors.	Dr. Rui Feng, Chair of the Board, is not an independent director. The Board adopted a formal written mandate which defines its stewardship responsibilities to which all Board members strictly adhere. The terms of the Board’s Mandate are attached hereto as Schedule “1” Summary of Roles and Responsibilities of the Board of Directors of the Company.

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of the Company
	(g)	Disclose the attendance record of each director for all Board meetings held since the beginning of the issuer’s most recently completed financial year.	For the financial year ended March 31, 2007, the Board held 1 Board meeting. The following is a list of the directors’ attendance record: Dr. Rui Feng - attended 1 of 1 Board meeting Myles Gao - attended 1 of 1 Board meeting S. Paul Simpson - attended 1 of 1 Board meeting Greg Hall - attended 1 of 1 Board meeting Earl Drake – attended 1 of 1 Board meeting Yikang Liu - attended 1 of 1 Board meetings
2.	Board Mandate
		Disclose the text of the Board’s written mandate. If the Board does not have a written mandate, describe how the Board delineates its role and responsibilities.	The Board has adopted a formal written mandate which defines its stewardship responsibilities. The terms of the Board of Directors Mandate are attached hereto as Schedule “1” Summary of Roles and Responsibilities of the Board of Directors of the Company. In addition, the committees of the Board have adopted formal written mandates that define their roles and responsibilities. The mandates are attached hereto as: Schedule “2” Corporate Governance Committee Charter, Schedule “3” Compensation Committee Charter; and Schedule “4” Audit Committee Charter.
3.	Position Descriptions
	(a)	Disclose whether or not the Board has developed written position descriptions for the chair and the chair of each Board committee. If the Board has not developed written position descriptions for the chair and/or the chair of each Board committee, briefly describe how the Board delineates the role and responsibilities of each such position.	The chair of each committee of the Board has been provided with a Committee Charter and has accepted leadership responsibilities for ensuring compliance with the applicable charter. Each Committee chair is sufficient skilled through education and experience to lead the respective committee. The Board delineates the role and responsibilities of the Board chair and chair of each Board committee by reference to industry norms, past practice and through discussions at Board and committees of the Board meetings. The Board is satisfied that its current practices sufficiently specify the roles and responsibilities for the chair of the Board and the chair of each Board committee.

Appendix A-2

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of theCompany
	(b)	Disclose whether or not the Board and CEO have developed a written position description for the CEO. If the Board and CEO have not developed such a position description, briefly describe how the Board delineates the role and responsibilities of the CEO.	The Board and CEO have not adopted a written position description for the CEO. The Board delineates the role and responsibilities of the CEO by reference to industry norms, past practice and through discussions at Board meetings. While the Board is satisfied that its current practices sufficiently specify the roles and responsibilities for the CEO, it is considering adopting a written position description for the CEO.
4.	Orientation and Continuing Education
	(a)	Briefly describe what measures the Board takes to orient new directors regarding (i) the role of the Board, its committees and its directors, and (ii) the nature and operation of the issuer’s business.	Each new director, on joining the Board, is given an outline of the nature of the Company’s business, its corporate strategy, current issues within the Company, the expectations of the Company concerning input from directors and the general responsibilities of the Company’s directors.
			The Company provides new directors with an orientation program upon joining the Company that includes copies of relevant financial, technical, geological and other information regarding its properties, as well as meetings with management.
			Board members are encouraged to communicate with management and auditors, to keep themselves current with industry trends and development, and to attend related industry seminars. The Company may also request that Board members be advised by counsel to the Company of their legal obligations as directors of the Company. Directors have been and will continue to be given tours of the Company’s mines and development sites to give such directors additional insight into the Company’s business.
	(b)	Briefly describe what measures, if any, the Board takes to provide continuing education for its directors. If the Board does not provide continuing education, describe how the Board ensures that its directors maintain the skill and knowledge necessary to meet their obligations as directors.	Directors have been and will continue to be given tours of the Company’s silver-lead-zinc mines, development, and exploration sites to give the directors additional insight into the Company’s business. In addition, from time to time the Company instructs its general counsel to circulate to the Board members a memorandum summarizing new and evolving precedents applicable to directors of public companies with respect to their conduct, duties and responsibilities.

Appendix A-3

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of the Company
5.	Ethical Business Conduct
	(a)	Disclose whether or not the Board has adopted a written code for the directors, officers and employees. If the Board has adopted a written code: (i) disclose how a person or company may obtain a copy of the code; (ii) describe how the Board monitors compliance with its code, or if the Board does not monitor compliance, explain whether and how the Board satisfies itself regarding compliance with its code; and (iii) provide a cross-reference to any material change report filed since the beginning of the issuer’s most recently completed financial year that pertains to any conduct of a director or executive officer that constitutes a departure from the code.	As part of its stewardship responsibilities, the Board approved a formal “Code of Business Conduct and Ethics” (the “Code”) that is designed to deter wrong-doing and to promote honest and ethical conduct and full, accurate and timely disclosure. A copy of the Code may be obtained by contacting the Company at the address on the cover of this Information Circular or at www.sedar.com. The Company’s corporate governance committee is responsible for setting the standards of business conduct contained in the Code and for overseeing and monitoring compliance with the Code. The Code also sets out mechanisms for the reporting of unethical conduct. The Code is applicable to all employees, consultants, officers and directors, regardless of their position with the Company, at all times and everywhere the Company does business. The Code provides that the Company’s employees, consultants, officers and directors will uphold its commitment to a culture of honesty, integrity and accountability. The Board has not granted any waiver of the Code in favor of a director or executive officer, and no material change report has been required or filed in connection with the Code. When proposed transactions or agreements in which directors or officers may have an interest, material or not, are presented to the Board, the directors are required to disclose any such interest and the persons who have such an interest are excluded from all discussion on the matter and are not permitted to vote on the proposal. All such interests in transactions or agreements involving senior management are dealt with by the Board, regardless of apparent immateriality. The Board also adopted a formal “Code of Ethical Conduct for Financial Managers” that is applicable to all Financial Managers of the Company, being the Company’s Chief Executive Officer, Chief Financial Officer, principal accounting officer, controller and persons performing similar functions. Further, the Board approved and implemented a “Whistle Blower” process available to all directors, officers, employees, and any other party. The Chair of the Audit Committee monitors and reports any wrong doing to the Audit Committee. For the most recently completed financial year, no events were reportable.

Appendix A-4

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of the Company
			The Board approved and implemented a Corporate Disclosure Policy to ensure that communications to the investing public about the Company and its subsidiaries are timely, factual and accurate; and broadly disseminated in accordance with all applicable legal and regulatory requirements.
	(b)	Describe any steps the Board takes to ensure directors exercise independent judgment in considering transactions and agreements in respect of which a director or executive officer has a material interest.	Directors must disclose to the Company’s General Counsel any instances in which they perceive they have a material interest in any matter being considered by the Board; and if it is determined there is a conflict of interest, or that a material interest is held, the conflict must be disclosed to the Board. In addition, the interested Board member must refrain from voting and exit the meeting while the transaction at issue is being considered by the Board.
	(c)	Describe any other steps the Board takes to encourage and promote a culture of ethical business conduct.	The Company’s Corporate Governance and Compensation Committee is responsible for setting the standards of business conduct contained in the Code and for overseeing and monitoring compliance with the Code. The Board sets the tone for ethical conduct throughout the Company by considering and discussing ethical considerations when reviewing the corporate transactions of the Company.
6.	Nomination of Directors
	(a)	Describe the process by which the Board identifies new candidates for Board nomination.	The Board is responsible for recommending candidates for nomination to the Board and its committees. The Corporate Governance and Compensation Committee, which is composed entirely of independent directors, assists the Board by identifying and recommending to the Board suitable candidates for nomination as new directors. New nominees must have one or more of the following attributes: a track record in general business management, particularly with public companies; special expertise in an area of strategic interest to the Company; and financial literacy. Nominees must also have the ability to devote the required time to the Company, show support for the Company’s mission and objectives, and have a willingness to serve the Company and its shareholders. The Board is composed of individuals who will best serve the interest of the Company and assist management in achieving the Company’s goals. Members of the Board and representatives of the mining industry are often consulted for potential candidates.
	(b)	Disclose whether or not the Board has a nominating committee composed entirely of independent directors. If the Board does not have a nominating committee composed entirely of independent directors, describe what steps the Board takes to encourage an objective nomination process.
	(c)	If the Board has a nominating committee, describe the responsibilities, powers and operation of the nominating committee.

Appendix A-5

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of the Company
7.	Compensation
	(a)	Describe the process by which the Board determines the compensation for the issuer’s directors and officers.	The Company’s CEO and Corporate Governance and Compensation Committee review overall compensation policies and make recommendations to the Board on the compensation of the Company’s executive officers. The Corporate Governance and Compensation Committee must be comprised of at least three Directors, a majority of whom shall be independent. The Chair of the Corporate Governance and Compensation Committee is currently S. Paul Simpson. The purpose of the Compensation Committee is to assist the Board in discharging its duties relating to the compensation of the executive officers of the Company. The goals of the Compensation Committee are to enable the Company to attract, retain and motivate the most qualified talent who will contribute to the long term success of the Company by aligning compensation with the Company’s business objectives and performance and the interests of shareholders to maximize shareholders’ value. The Compensation Committee’s duties and responsibilities are: • To make recommendations to the Board with respect to the compensation of senior management and executive officers of the Company. • To review the compensation and benefits of the directors in their capacity as directors of the Company to ensure that such compensation reflects the responsibilities and risks involved in being a director. • To review and make recommendations to the Board as to the general compensation and benefits policies and practices of the Company, including incentive stock options for all employees, consultants, directors and officers. • To review the disclosure to be made of director and executive remuneration in the Company’s information circulars. • To ensure there are appropriate training, development and benefit programs in place for management and staff. • To review and make recommendations to the Board for its approval on any special compensation and benefit arrangements.
	(b)	Disclose whether or not the Board has a compensation committee composed entirely of independent directors. If the Board does not have a compensation committee composed entirely of independent directors, describe what steps the Board takes to ensure an objective process for determining such compensation.
	(c)	If the Board has a compensation committee, describe the responsibilities, powers and operation of the compensation committee.
	(d)	If a compensation consultant or advisor has, at any time since the beginning of the issuer’s most recently completed financial year, been retained to assist in determining compensation for any of the issuer’s directors and officers, disclose the identity of the consultant or advisor and briefly summarize the mandate for which they have been retained. If the consultant or advisor has been retained to perform any other work for the issuer, state that fact and briefly describe the nature of the work.

Appendix A-6

Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)			Corporate Governance Practices of the Company
			• To review its compensation practices by comparing them to surveys of relevant competitors and to set objective compensation based on this review. • To perform such other functions as the Board may from time to time assign to the Compensation Committee. • To review its charter and assess annually the adequacy of its mandate, the effectiveness of its performance, and to recommend changes to the Board for its approval. No compensation consultant or advisor was retained by the Company during the recently completed financial year that was reportable.
8.	Other Board Committees
		If the Board has standing committees other than the audit, compensation and nominating committees, identify the committees and describe their function.	The Board has no other committees other than as noted above.
9.	Assessments
		Disclose whether or not the board, its committees and individual directors are regularly assessed with respect to their effectiveness and contribution. If assessments are regularly conducted, describe the process used for the assessments. If assessments are not regularly conducted, describe how the board satisfies itself that the board, its committees, and its individual directors are performing effectively.	The Corporate Governance and Compensation Committee and the Board annually, and at such other times as they deem fit, monitor the adequacy of information given to directors, communications between the Board and management and the strategic direction and processes of the Board and its committees. As part of the assessments, the Board and/or the committees may review their respective charter and conduct reviews of applicable corporate policies. Each Board member is significantly qualified through their current or previous professions. Each member participates fully in each meeting having in all cases been specifically canvassed for their input.

Appendix A-7

EX-99.8

Exhibit 99.8

SILVERCORP METALS INC.

Security Class

Holder Account Number

Form of Proxy - Annual General and Special Meeting to be held on September 28, 2007

This Form of Proxy is solicited by and on behalf of Management.

Notes to proxy

1.	Every holder has the right to appoint some other person or company of their choice, who need not be a holder, to attend and act on their behalf at the meeting. If you wish to appoint a person or company other than the persons whose names are printed herein, please insert the name of your chosen proxyholder in the space provided (see reverse).
2.	If the securities are registered in the name of more than one owner (for example, joint ownership, trustees, executors, etc.), then all those registered should sign this proxy. If you are voting on behalf of a corporation or another individual you may be required to provide documentation evidencing your power to sign this proxy with signing capacity stated.
3.	This proxy should be signed in the exact manner as the name appears on the proxy.
4.	If this proxy is not dated, it will be deemed to bear the date on which it is mailed by Management to the holder.
5.	The securities represented by this proxy will be voted as directed by the holder, however, if such a direction is not made in respect of any matter, this proxy will be voted as recommended by Management.
6.	The securities represented by this proxy will be voted or withheld from voting, in accordance with the instructions of the holder, on any ballot that may be called for and, if the holder has specified a choice with respect to any matter to be acted on, the securities will be voted accordingly.
7.	This proxy confers discretionary authority in respect of amendments to matters identified in the Notice of Meeting or other matters that may properly come before the meeting.
8.	This proxy should be read in conjunction with the accompanying documentation provided by Management.

Proxies submitted must be received by 10:00 am, PST on Tuesday, September 26, 2007.

VOTE USING THE TELEPHONE OR INTERNET 24 HOURS A DAY 7 DAYS A WEEK!

• Call the number listed BELOW from a touch tone telephone.	• Go to the following web site: www.investorvote.com
1-866-732-VOTE (8683) Toll Free

If you vote by telephone or the Internet, DO NOT mail back this proxy.

Voting by mail may be the only method for securities held in the name of a corporation or securities being voted on behalf of another individual.
Voting by mail or by Internet are the only methods by which a holder may appoint a person as proxyholder other than the Management nominees named on the reverse of this proxy. Instead of mailing this proxy, you may choose one of the two voting methods outlined above to vote this proxy.

To vote by telephone or the Internet, you will need to provide your CONTROL NUMBER, HOLDER ACCOUNT NUMBER and ACCESS NUMBER listed below.

CONTROL NUMBER HOLDER ACCOUNT NUMBER ACCESS NUMBER

Appointment of Proxyholder

The undersigned shareholder ("Registered Shareholder") of Silvercorp Metals Inc. (the "Company") hereby appoints: Dr. Rui Feng, Chairman, CEO and a Direcotor or failing him, Myles Jianguo Gao, President, COO and a Director of the Company


OR


Print the name of the person you are appointing if this person is someone other than the Chairman of theMeeting.

as my/our proxyholder with full power of substitution and to vote in accordance with the following direction (or if no directions have been given, as the proxyholder sees fit) and all other matters that may properly come before the Annual and Special General Meeting of Silvercorp Metals. to be held at The Malaspina Room on the Concourse Level, The Fairmont Waterfront, 900 Canada Place Way, Vancouver, British Columbia, V6C 3L5, on Friday, September 28, 2007 at 10:00 a.m. (Pacific Time) and at any adjournment thereof.

VOTING RECOMMENDATIONS ARE INDICATED BY HIGHLIGHTED TEXT OVER THE BOXES.

	For	Against
1. Fix Number of Directors Fix the number of Directors to be elected at six (6).	¨	¨

2. Election of Directors

	For	Withhold		For	Withhold		For	Withhold
01. Dr. Rui Feng	¨	¨	02. Myles Jianguo Gao	¨	¨	03. Greg Hall	¨	¨
04. Paul Simpson	¨	¨	05. Yikang Liu	¨	¨	06. Earl Drake	¨	¨

	For	Withhold
3. Appointment of Auditor Re-appointment of Ernst & Young, LLP, Chartered Accountants, as Auditors of the Company for the ensuing year and authorizing the Directors to fix their renumeration	¨	¨

	For	Withhold
4. Stock Split To approve, ratify and confirm a 1:3 stock split of the Company's common shares.	¨	¨

	For	Withhold
5. Approve Directors' and Officers' Acts To approve, ratify and confirm all acts of the Directors and Officers on behalf of the Company during the preceding year.	¨	¨

	For	Withhold
6. Transact Other Business To transact such further business as may properly be brought before the Meeting or at any adjournment thereof.	¨	¨

Authorized Signature(s) - This section must be completed for your instructions to be executed.	Signature(s)	Date
I/We authorize you to act in accordance with my/our instructions set out above. I/We hereby revoke any proxy previously given with respect to the Meeting. If no voting instructions are indicated above, this Proxy will be voted as recommended by Management.		DD  /   MM   / YY

Interim Financial Statements		Annual Report
Mark this box if you would like to receive interim financial statements and accompanying Management’s Discussion and Analysis by mail.	¨	Mark this box if you would like to receive the Annual Report and accompanying Management’s Discussion and Analysis by mail.	¨

If you are not mailing back your proxy, you may register online to receive the above financial report(s) by mail at www.computershare.com/mailinglist.

0 3 1 2 0 5 A R 1 S R L Q

EX-99.9

Exhibit 99.9

SILVERCORP METALS INC.
Suite 1378 – 200 Granville Street
Vancouver, British Columbia, Canada V6C 1S4

NOTICE OF ANNUAL AND SPECIAL GENERAL MEETING OF SHAREHOLDERS

NOTICE IS HEREBY GIVEN that the Annual and Special General Meeting (the “Meeting”) of the Shareholders of Silvercorp Metals Inc. (hereinafter called the "Company") will be held at the Malaspina Room located on the Concourse Level of The Fairmont Waterfront, 900 Canada Place Way, Vancouver, British Columbia V6C 3L5 on Friday, September 28, 2007 at the hour of 10:00 a.m. for the following purposes:

1.	to receive the Report of the Directors;
2.	to receive the audited financial statements of the Company for the year ended March 31, 2007, together with the report of the auditor thereon;
3.	to fix the number of Directors to be elected for the ensuing year at six;
4.	to elect Directors of the Company for the ensuing year;
5.	to re-appoint Ernst & Young LLP, Chartered Accountants, as auditor for the Company for the ensuing year and to authorize the Directors to fix the auditor’s remuneration;
6.	to approve a stock split of the Company’s common shares on the basis of three (3) new shares for every one (1) old share;
7.	to approve, ratify and confirm all acts of the Directors and Officers of the Company on its behalf during the preceding year; and
8.	to transact such further and other business as may be properly brought before the Meeting or at any adjournments thereof.

Only Shareholders of record on August 28, 2007 are entitled to receive notice of and vote at the Meeting.

Shareholders are entitled to vote at the Meeting either in person or by proxy. Shareholders who are unable to attend the Meeting are requested to read, complete, sign, date and return the enclosed form of Proxy and deliver it to the Company’s Transfer Agent: Computershare Investor Services Inc., Proxy Department, at 100 University Avenue, 9^th Floor, Toronto, Ontario M5J 2Y1, FACSIMILE (within North America) 1-866-249-7775 (outside North America) (416) 263-9524, by fax, by hand or by mail in accordance with the instructions set out in the form of Proxy and the Circular accompanying this Notice.

DATED at the City of Vancouver, in the Province of British Columbia, this 28^th day of August, 2007.

BY ORDER OF THE BOARD OF DIRECTORS

                     "Rui Feng"
                    Dr. Rui Feng
          Chairman, CEO and Director

EX-99.10

Exhibit 99.10

	Computershare Trust Company of Canada
	510 Burrard Street, 3rd floor
	Vancouver, BC V6C 3B9
	Tel: 604.661.9400
	Fax: 604.661.9401

August 2, 2007

Dear Sirs:	All applicable Exchanges and Commissions
Subject:	SILVERCORP METALS INC.

We advise the following with respect to the upcoming Meeting of Shareholders for the subject Corporation:

1	.	Meeting Type	: Annual General and Special Meeting
2	.	CUSIP/Class of Security entitled to receive notification	: 82835P103/CA82835P1036/COMMON
3	.	CUSIP/Class of Security entitled to vote	: 82835P103/CA82835P1036/COMMON
4	.	Record Date for Notice	: 28 Aug 2007
5	.	Record date for Voting	: 28 Aug 2007
6	.	Beneficial Ownership determination date	: 28 Aug 2007
7	.	Meeting Date	: 28 Sep 2007
8	.	Meeting Location	: Vancouver, BC

Sincerely,

“Brian Kim”
Meeting Specialist
Client Services Department
Tel: 604.661.9400 Ext 4139
Fax: 604.661.9401

Last Version Mar06

EX-99.11

Exhibit 99.11

SILVERCORP METALS INC.
Suite 1378 – 200 Granville Street
Vancouver, BC, V6C 1S4
MANAGEMENT INFORMATION CIRCULAR
FOR THE 2008 ANNUAL GENERAL MEETING OF SHAREHOLDERS
TO BE HELD AT 10:00 A.M. ON THE 26th DAY OF SEPTEMBER, 2008

This information is given as at August 22, 2008

This Information Circular is furnished in connection with the solicitation of proxies by the management (the “Management”) of SILVERCORP METALS INC. (the “Company”), for use at the Annual General Meeting (the “Meeting”) of the shareholders of the Company, to be held at the time and place and for the purposes set forth in the accompanying Notice of Meeting and at any adjournments thereof.

In this Information Circular, references to “the Company”, “we” and “our” refer to SILVERCORP METALS INC. “Common Shares” means common shares without par value in the capital of the Company. “Beneficial Shareholders” means shareholders who do not hold Common Shares in their own name and “intermediaries” refers to brokers, investment firms, clearing houses and similar entities that own securities on behalf of Beneficial Shareholders.

SOLICITATION OF PROXIES

This solicitation is made on behalf of Management of the Company. Solicitation of proxies will be conducted by mail, and may be supplemented by telephone or other personal contact to be made without special compensation by directors, officers and employees of the Company or by the Company’s registrar and transfer agent. All costs of solicitation will be borne by the Company.

Unless the context otherwise requires, references herein to “Silvercorp” mean the Company and its subsidiaries. The principal executive office of the Company is located at Suite 1378 – 200 Granville Street, Vancouver, British Columbia, Canada, V6C 1S4. The telephone number is (604) 669-9397, toll free telephone number is 1-888-224-1881, and the facsimile number is (604) 669-9387. The Company’s website address is www.silvercorp.ca. The information on that website is not incorporated by reference into this Information Circular. The registered and records office of the Company is located at Suite 1378 – 200 Granville Street, Vancouver, British Columbia, Canada, V6C 1S4.

Unless otherwise indicated, all currency amounts stated in this Information Circular are stated in the lawful currency of Canada.

PROXY INSTRUCTIONS

Appointment of Proxyholder(s)

The persons named in the accompanying Form of Proxy are Directors of the Company. A shareholder has the right to appoint some other person, who need not be a shareholder, to represent the shareholder at the Meeting by striking out the names of the persons designated in the accompanying Form of Proxy and by inserting that other person’s name in the blank space provided.

The instrument appointing a proxyholder must be signed in writing by the shareholder, or such shareholder’s attorney duly authorized in writing. If signed by a duly authorized attorney, the Form of Proxy must be accompanied by the original power of attorney or a notarially certified copy thereof. If the shareholder is a corporation, the instrument appointing a proxyholder must be in writing signed by an officer or attorney of the corporation duly authorized by resolutions of the directors of such corporation, which resolutions must accompany such instrument.

An instrument of proxy will only be valid if it is duly completed, signed, dated and received at the Company's registrar and transfer agent, Computershare Investor Services Inc. (“Computershare”) in accordance with the instructions provided on the Proxy, not less than forty eight 48 hours (excluding Saturdays, Sundays and holidays) prior to the time set for the holding of the Meeting, unless the Chairman of the Meeting elects to exercise his discretion to accept proxies received subsequently.

REVOCATION OF PROXIES

A shareholder may revoke a proxy by delivering an instrument in writing executed by the shareholder or by the shareholder’s attorney authorized in writing, or where the shareholder is a corporation, by a duly authorized officer or attorney of the corporation, either at the office of the Company at any time up to and including the last business day preceding the day of the Meeting, or with the consent of the Chairman of the Meeting on the day of the Meeting or on the day of any adjournment thereof, before any vote in respect of which the proxy is to be used shall have been taken. A shareholder may also revoke a proxy by depositing another properly executed instrument appointing a proxyholder bearing a later date with the Company’s registrar and transfer agent in the manner described above, or in any other manner permitted by law. A revocation of a proxy does not affect any matter on which a vote has been taken prior to r evocation.

HOW TO VOTE

Only Registered Shareholders or their duly appointed proxyholders are permitted to vote at the Meeting.

Non-Registered / Beneficial Shareholders are not permitted to vote at the Meeting as only proxies from Registered Shareholders can be recognized and voted at the Meeting. You may vote as follows:

Registered Shareholders: If you are a Registered Shareholder you may vote by attending the Meeting in person, or if you do not plan to attend the Meeting, by completing the proxy and delivering it according to the instructions contained in the form of proxy and this Management Information Circular.

Beneficial Shareholders: If you are a Beneficial Shareholder you must vote by proxy by carefully following the instructions included in the proxy provided to you by your stockbroker or financial intermediary. If you do not follow the special procedures described by your stockbroker or financial intermediary you will not be entitled to vote.

In accordance with the requirements of National Instrument 54-101 of the Canadian Securities Administrators, the Company has distributed copies of the Notice of Meeting, this Management Information Circular and the Proxy (collectively, the “Meeting Materials”) to the clearing agencies and Intermediaries for distribution to Non-Registered Holders.

VOTING OF SHARES AND EXERCISE OF DISCRETION BY PROXIES

If you complete your proxy properly, then the nominee named in the accompanying form of proxy will vote or withhold from voting the Shares represented by the proxy in accordance with your instructions. If you do not specify a choice on any given matter to be voted upon your Shares will be voted in favour of such matter. The proxy grants the nominee the discretion to vote on amendments or variations to matters identified in the Notice of the Meeting and with respect to other matters that may properly come before the Meeting.

INTEREST OF CERTAIN PERSONS IN MATTERS TO BE ACTED UPON

Except as disclosed herein, no Person has any material interest, direct or indirect, by way of beneficial ownership of securities or otherwise, in matters to be acted upon at the Meeting. For the purpose of this paragraph, “Person” shall include each person: (a) who has been a director, executive officer or insider of the Company at any time since the commencement of the Company's last completed financial year; (b) who is a proposed nominee for election as a director of the Company; or (c) who is an associate or affiliate of a person included in subparagraphs (a) or (b).

2

VOTING SHARES AND PRINCIPAL SHAREHOLDERS

The Company is authorized to issue an unlimited number of Common Shares without par value, each share carrying the right to one vote. As at the date hereof, the Company has issued and outstanding 152,863,801 fully paid and non-assessable Common Shares. The Company has no other classes of securities.

The directors of the Company have fixed August 22, 2008 as the record date for the determination of shareholders entitled to receive the Notice of Meeting and to vote at the Meeting. Any transferee who acquires shares after the record date and who wishes to attend the Meeting and to vote the transferred shares must demand, not later than 10 days before the Meeting, to be included in the list of shareholders prepared for the Meeting. Registered shareholders should contact Computershare and non-registered shareholders should contact the Intermediary through whom they acquired the shares.

On a show of hands, every individual who is present as a registered shareholder or as a representative of a registered shareholder will have one vote (no matter how many shares such registered shareholder holds). On a poll, every registered shareholder present in person or represented by a proxy and every person who is a representative of a registered shareholder, will have one vote for each Common Share registered in the name of the registered shareholder on the list of registered shareholders, which is available for inspection during normal business hours at Computershare and at the Meeting. Registered shareholders represented by proxyholders are not entitled to vote on a show of hands.

To the knowledge of the directors and executive officers of the Company, there are no persons who, or companies that beneficially owned, or controlled or directed, directly or indirectly, Common Shares carrying more than 10% of the voting rights attached to all outstanding Common Shares of the Company as at August 22, 2008.

NUMBER OF DIRECTORS

Management of the Company is seeking shareholder approval of an ordinary resolution fixing the number of directors of the Company at six for the ensuing year.

ELECTION OF DIRECTORS

Management intends to propose for adoption an ordinary resolution that the number of directors of the Company be fixed at six. If there are more nominees for election then there are vacancies to fill, those nominees receiving the greatest number of votes will be elected until all such vacancies have been filled.

Each director of the Company is elected annually and holds office until the next Annual General Meeting of the shareholders, or until his successor is elected or appointed, unless that person’s office is earlier vacated in accordance with the Articles of the Company or with the provisions of the Business Corporations Act (British Columbia) (the “BCBCA”). In the absence of instructions to the contrary, the accompanying form of proxy will be voted for the nominees herein listed. Management does not contemplate that any of these nominees will be unable to serve as a director.

The following table sets out the names of management’s nominees for election as directors, the province or state, and country in which each is ordinarily resident, all offices of the Company now held by each of them, each nominee’s principal occupation, business or employment, the period of time for which each nominee has served as a director of the Company, and the number of Common Shares of the Company that each nominee beneficially owned, or controlled or directed, directly or indirectly, as of August 22, 2008:

3

Name, Position, Province & Country of Residence (1)	Present Principal Occupation(1)	Period Served as Director	Shares Beneficially Owned or Controlled(1)
Dr. Rui Feng Chairman, Chief Executive Officer, and Director British Columbia, Canada	Chairman and CEO of the Company from September 2003 to present; President and Director of New Pacific Metals Corp. since May 2004; CEO and Director of Pacific Metals Inc. from August 2000 to December 2002; Director of the Canada China Business Council - BC Chapter Board; Vice President of Canada-China Business Associat ion.	September 4, 2003	3,399,800
Myles Jianguo Gao President, Chief Operating Officer and Director British Columbia, Canada	COO since August, 2006; President since July 2007; President of the Company from March 2003 to August 2006; Director of New Pacific Metals Corp. September 2004 to July 2006; Senior Geologist of Northgate Minerals Inc. until March 2003.	November 14, 2002	1,436,100
S. Paul Simpson(2)(3) Director British Columbia, Canada	Lawyer with Armstrong Simpson, Barristers & Solicitors.	June 24, 2003	848,955
Greg Hall(4) Director and Chair of Audit Committee British Columbia, Canada	Financial Consultant, February 2005 to Present, Senior V.P. Leede Financial Markets from February 2004 to February 2005.	March 23, 2005	450,000
Earl Drake (2)(4) Director British Columbia, Canada	Adjunct Professor, Simon Fraser University at David Lam Centre for International Communication; Advisor, China Council for International Cooperation on Environment and Development; Vice Chairman, Canada China Business Council.	July 24, 2006	18,101
Yikang Liu (2)(4) Director Beijing, China	Deputy Secretary General of China Mining Association since May 2001; Director of New Pacific Metals Corp. September 2004 to July 2006.	July 24, 2006	39,900

(1)	The information as to residence, principal occupation or employment and shares beneficially owned, directly or indirectly, or controlled is not within the knowledge of the management of the Company and has been furnished by the respective nominees.
(2)	Denotes Member of the Corporate Governance Nominating & Compensation Committee.
(3)	Mr. Simpson was the Corporate Secretary of Tournigan Ventures Corporation (now Tournigan Gold Corp) (“TVC”) on January 21, 2002, when the British Columbia Securities Commission (“BCSC”) issued a cease trade order (“CTO”) for failure to file its audited financial statements on time. The necessary materials were filed and the CTO was revoked by the BCSC on April 23, 2002, and by the Alberta Securities Commission (ASC) on May 10, 2002.
	Mr. Simpson is Corporate Secretary of Salmon River Resources Ltd. (formerly WPI Gold Ltd.) (“WPI”). As a result of failure to file financial statements on time, WPI was the subject of CTOs issued by the ASC April 4, 2003 (revoked May 15, 2004) and December 5, 2003 (revoked on October 31, 2005), and the BCSC issued a CTO against WPI November 25, 2003, (revoked February 9, 2004). Revocations of the CTO’s were issued when appropriate materials were filed.
(4)	Denotes Member of the Audit Committee. Greg Hall is the Chair of the Audit Committee.

4

As at the date of this Information Circular and within the ten years before the date of this Information Circular, except as disclosed above, no proposed director:

(a)	is or has been a director, chief executive officer or chief financial officer of any company (including the Company), that while that person was acting in that capacity:
	i.	was the subject of a cease trade order or similar order or an order that denied the relevant company access to any exemption under securities legislation, for a period of more than 30 consecutive days;
	ii.	was subject to an event that resulted, after the director, chief executive officer or chief financial officer, ceased to be a director or executive officer, in the company being the subject of a cease trade or similar order or an order that denied the relevant company access to any exemption under securities legislation, for a period of more than 30 consecutive days;
(b)	is or has been a director or executive officer of any company (including the Company), that while that person was acting in that capacity or; within a year of that person ceasing to act in that capacity, became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold its assets; or
(c)	has within 10 years before the date of the Information Circular became bankrupt, made a proposal under any legislation relating to bankruptcy or insolvency or was subject to or instituted any proceedings, arrangement or compromise with creditors or had a receiver, receiver manager or trustee appointed to hold the assets of the proposed director.

CORPORATE GOVERNANCE

Board of Directors

In compliance with the requirements of the BCBCA, the directors are elected by the shareholders to manage, or supervise the management of, the business and affairs of the Company. In exercising their powers and discharging their duties, the directors are required to act honestly and in good faith with a view to the best interests of the Company, and to exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances.

The Board has adopted a description of how it delineates its roles and stewardship responsibilities in The Board of Director Charter, which is attached hereto as Schedule “1”. This description was revised in light of the adoption of

National Instrument 52-110 – Audit Committees (“NI 52-110”), National Instrument 58-101 - Disclosure of Corporate Governance Practices (“NI 58-101”) and National Policy 58-201 - Corporate Governance Guidelines (“NP 58-201”).

The Board believes that good corporate governance is important to the effective performance of the Company and plays a significant role in protecting shareholders’ interests and maximizing value for the shareholders of the Company.

The disclosure regarding the Company’s corporate governance practices that is required by NI 58-101 is set out in Appendix “A” to this Information Circular.

5

Summary of Attendance of Directors

The following table sets out the attendance of directors at Board meetings and meetings of the committees of the Board of which they were members during the year ended March 31, 2008:

Meeting(s) Attended in the Most Recently Completed Financial Year
Director	Board	Corporate Governance and Compensation Committee	Audit Committee
	3 Meetings	1 Meeting	3 Meetings
Dr. Rui Feng, Director, Chairman & CEO	3 out of 3	N/A	N/A
Myles Gao, Director, President & COO	2 out of 3	N/A	N/A
S. Paul Simpson, Director	3 out of 3	1 out of 1	N/A
Greg Hall, Director	3 out of 3	N/A	3 out of 3
Earl Drake, Director	3 out of 3	1 out of 1	3 out of 3
Yikang Liu, Director	3 out of 3	1 out of 1	3 out of 3

Composition of the Board of Directors

NP 58-201 recommends that the board of directors of a reporting issuer be composed of a majority of independent directors. During the most recently completed financial year, each of Earl Drake, Greg Hall, Yikang Liu, and Paul Simpson, comprising a majority of the Board, were “independent” within the meaning of NI 58-101. Dr. Rui Feng, the Chair of the Board, is not considered independent as he is the Chief Executive Officer of the Company and Myles Gao is not considered independent, as he is the President and Chief Operating Officer of the Company. All of the persons named as nominees of management for election to the Board at the Meeting are considered independent, with the exception of Dr. Rui Feng and Myles Gao, for the reasons set out above.

Corporate Governance and Compensation Committee

The Corporate Governance and Compensation Committee is responsible for assisting the Board in establishing and maintaining a sound system of corporate governance through a process of continuing assessment and enhancement. The Corporate Governance and Compensation Committee works to ensure that the Board functions independently of management, that management is clearly accountable to the Board, and that procedures are in place to monitor the effectiveness of the performance of the Board, the Committees of the Board and individual directors.

In addition, the Corporate Governance and Compensation Committee is responsible for determining and approving compensation for directors and senior officers. Fees payable to management and directors have been determined using a number of factors, such as the nature and extent of the contributions by individual directors, and by direct comparison with other companies of similar size, complexity and risk profile.

The Corporate Governance and Compensation Committee was previously two separate committees. The charter previously prepared for the Corporate Governance Committee is attached hereto as Schedule “2” and the charter previously prepared for the Compensation Committee is attached hereto as Schedule “3”. Both charters apply to the Corporate Governance and Compensation Committee. The Corporate Governance and Compensation Committee is comprised of Paul Simpson, Earl Drake, and Yikang Liu, all of whom are independent directors pursuant to NI 52-110.

The Corporate Governance and Compensation Committee will be re-constituted after the Meeting.

6

AUDIT COMMITTEE

Audit Committee Charter

A copy of the Charter of the Audit Committee is attached hereto as Schedule “4”.

Composition of the Audit Committee

The current members of the Audit Committee are Greg Hall, Earl Drake, and Yikang Liu all of whom are considered independent pursuant to NI 52-110. All members of the Audit Committee are considered to be financially literate. The Audit Committee will be re-constituted after the Meeting.

Relevant Education and Experience

Greg Hall
Director

Mr. Hall is an experienced financial market professional with 24 years experience as a broker, senior executive officer and founder of a number of successful brokerage firms. He has also been extensively involved since 1984 in investments in China, including memberships on the board of directors of several private and public companies with projects in China. Mr. Hall was one of the founding directors of Dragon Pharmaceuticals Inc.

Earl Drake
Director

Mr. Earl Drake is currently Vice Chairman of the Canada China Business Council and Advisor of the China Council for the International Cooperation on Environment and Development and was previously the Ambassador of Canada to the People's Republic of China and the Republic of Indonesia. In the past 50 years, Mr. Drake was also the top Canadian representative in the governing councils of the Organization for Economic Cooperation and Development in Paris and the World Bank in Washington, DC and served in Ottawa as Assistant Deputy Minister for Asia-Pacific in the Foreign Affairs Department and as Vice President in the Canadian International Development Agency. Mr. Earl Drake is an Adjunct Professor at Simon Fraser University in the Centre for International Communication. Mr. Drake has long experience in cross-cultural negotiation and communication to harmonize economic development goals with sustainable environmental policies and pra ctices.

Yikang Liu
Director

Mr. Yikang Liu is the Deputy General Secretary of the China Mining Association and the 35th & 36th Vice-Chairman of the Geological Society of China. Before he retired in 2001, Mr. Liu was the Chief Geologist for the former Ministry of Metallurgical Industry of China. While there he made significant contributions to the amendment of the last China Mineral Resources Law. Mr. Liu, representing Chinese interests, is the person responsible for the establishment of the first Sino-foreign joint venture for mineral exploration in China. Mr. Liu has over 40 years of geological experience in managing, evaluating and exploring mineral projects for the Chinese government in China and in 17 countries around the world including Bolivia, Madagascar, the Philippines, Iran, and Peru. Mr. Liu is an Adjunct Professor of Geology at the Changchun College of Technology, Northeast University and the China University of Geoscience. Mr. Liu’s ex pertise is in mining development and exploration in China.

Reliance on Certain Exemptions

The Company has not relied on any exemptions under securities law in the past year regarding the Audit Committee. During the last year, any recommendations of the Audit Committee to nominate or compensate an external auditor were adopted by the Board.

7

External Auditor Services Fees

The Audit Committee has reviewed the nature and amount of the services provided by Ernst & Young LLP to ensure auditor independence. Fees billed by external auditors for audit services in the last two fiscal years are outlined below:

Nature of Services		Year Ended March 31, 2008		Year Ended March 31, 2007
Audit Fees(1)	$	255,000	$	190,000
Audit-Related Fees (2)	$	219,000		Nil
Tax- Fees (3)	$	18,000	$	5,000
All Other Fees (4)		Nil		Nil
Total	$	492,000	$	195,000

(1)	“Audit Fees” include fees necessary to perform the annual audit and quarterly reviews of the Company’s consolidated financial statements. Audit Fees include fees for review of tax provisions and for accounting consultations on matters reflected in the financial statements. Audit Fees also include audit or other attest services required by legislation or regulation, such as comfort letters, consents, reviews of securities filings and statutory audits.
(2)	“Audit-Related Fees” include services that are traditionally performed by the auditor. These audit-related services include employee benefit audits, due diligence assistance, accounting consultations on proposed transactions, internal control reviews and audit or attest services not required by legislation or regulation.
(3)	“Tax Fees” include fees for all tax services other than those included in “Audit Fees” and “Audit-Related Fees”. This category includes fees for tax compliance, tax planning and tax advice. Tax planning and tax advice includes assistance with tax audits and appeals, tax advice related to mergers and acquisitions, and requests for rulings or technical advice from tax authorities.
(4)	“All Other Fees” include all other fees billed by the Company’s auditors.

EXECUTIVE COMPENSATION

Executive Compensation

The following table sets forth a summary of the total compensation during the three most recently completed financial years paid to the Company’s Chief Executive Officer, Chief Financial Officer, and the three other most highly paid executive officers of the Company and any of its subsidiaries with annual compensation in excess of $150,000 and any additional individuals who satisfy these criteria but for the fact that individual was not serving as an officer at the end of the most recently completed financial year, hereinafter referred to as the Named Executive Officers (the “NEOs”).

Summary Compensation Table

		Annual Compensation				Long-Term Compensation
						Awards		Payouts
							Shares or
NEO						Securities	Units
Name						Under	Subject to
and					Other Annual	Options	Resale	LTIP	All other
Principal Position	Year	Salary	Bonus		Compensation	granted	Restrictions	Payouts	Compensation
		($)	($)		($)	(#)	($)	($)	($)
Dr. Rui Feng Chairman, CEO and Director	2008	Nil	Nil(6)	$	279,412(1)	150,000(2)	Nil	Nil	Nil
	2007	Nil	Nil	$	168,750(1)	Nil	Nil	Nil	Nil
	2006	Nil	Nil	$	166,500(1)	Nil	Nil	Nil	Nil
Myles Gao President , COO and Director	2008	Nil	Nil	$	208,969(3)	150,000(2)	Nil	Nil	Nil
	2007	Nil	Nil	$	143,518	Nil	Nil	Nil	Nil
	2006	Nil	Nil	$	128,801(3)	Nil	Nil	Nil	Nil

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Grace Soo(4) CFO	2008	$	154,167	Nil	Nil	30,000	Nil	Nil	Nil
	2007	$	79,197	Nil	Nil	150,000(3)	Nil	Nil	Nil
	2006		Nil	Nil	Nil	Nil	Nil	Nil	Nil

(1)	Consulting fees payable to a firm controlled by Dr. Rui Feng pursuant to a Consulting Agreement dated May 1, 2003.
(2)	Incentive stock options exercisable at $6.74 per share and expiring on April 10, 2012.
(3)	Consulting fees payable to Myles Gao and to a firm controlled by Myles Gao pursuant to a Consulting Agreement dated March 1, 2004.
(4)	Grace Soo was appointed as CFO of the Company on September 5, 2006.
(5)	Incentive stock options exercisable at $4.43 per share and expiring on August 29, 2011.
(6)	The CEO declined a bonus offered by the Board of Directors in recognition of the CEO’s performance in fiscal 2008. Nevertheless the Board approved a payment of $50,000 as a token bonus for the CEO.

Long-term Incentive Plan (“LTIP”) Awards

A long term incentive plan (“LTIP”) is a plan providing compensation intended to motivate performance over a period greater than one financial year and does not include option or stock appreciation rights (“SARs”) plans or plans for compensation through shares or units that are subject to restrictions on resale.

The Company does not have a LTIP in place. No awards were made to the NEOs under any LTIP during the most recently completed financial year.

Options and Stock Appreciation Rights

A stock appreciation right (“SAR”) is a right to receive a payment of cash or an issue or transfer of shares based wholly or in part on changes in the trading price of the Company’s shares. No SARs were granted to or exercised by any NEOs or any directors during the most recently completed financial year.

Option Grants During the Most Recently Completed Financial Year

The Company granted the following stock options to purchase Common Shares during the fiscal year ended March 31, 2008 to the NEOs.

NEO Name	Securities Under Options Granted (#)	% of Total Options Granted to Employees in Financial Year	Exercise or Base Price ($/Security)		Market Value of Securities Underlying Options on the Date of Grant ($/Security)		Expiration Date
Dr. Rui Feng	150,000	19.16%	$	6.74	$	6.74	April 10, 2012
Chairman, CEO and
Director
Myles Gao	150,000	19.16%	$	6.74	$	6.74	April 10, 2012
COO, President and
Director
Grace Soo	30,000	3.83%	$	6.74	$	6.74	April 10, 2012
CFO

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Aggregated Option Exercises During the Most Recently Completed Financial Year and Financial Year End Options/SAR Values

Option Exercises During the Most Recently Completed Financial Year
Name	Securities Acquired on Exercise	Aggregate Realized Value	Unexercised Options at Financial Year End Exercisable/ $ Unexercisable	Value of Unexercised in- the-Money Options at Financial Year End Exercisable ($)/ Unexercisable ($)(1)
Dr. Rui Feng Chairman, CEO and Director	1,110,000	9,739,800	715,002/124,998	5,568,086/182,914
Myles Gao COO, President and Director	150,000	995,000	25,002/124,998	36,586/182,914
Grace Soo CFO	Nil	Nil	79,995/100,005	290,302/319,597

(1)      The closing price of the Company’s Common Shares on the TSX on March 31, 2008 was $8.20.

Option and SAR Repricing

There were no options or SARs held by the NEOs that were repriced during the most recently completed financial year.

Termination of Employment, Changes in Responsibility & Employment Contracts

The Company does not have any employment contracts with the NEOs other than as disclosed below.

Dr. Rui Feng, Chairman, Chief Executive Officer and Director

Dr. Rui Feng entered into a consulting agreement with SKN Resources Ltd. (the former name of the Company) dated May 1, 2003 to provide the following services: assisting in introducing Company management and personnel to Chinese geological personnel; assisting in reviewing and acquiring mineral properties in China; and assisting in negotiating agreements, including mining agreements. Dr. Rui Feng’s consultancy fee, as stipulated under the agreement was initially $700 per day, plus applicable taxes, for each day services were provided to the Company. In addition, the agreement provides Rui Feng with incentive stock options, finders fees or bonuses, in amounts to be determined by the Board of Directors, for bringing mineral resource acquisition opportunities to the Company. All travel and other expenses actually and properly incurred in connection with the provision of services, subject to the furnishment of receipts to the Com pany in respect to such expenses, are reimbursable.

Dr. Rui Feng is prohibited, during the term of the agreement and for a period of two (2) years thereafter, from acquiring any interest, direct or indirect, through associates or affiliates, in any exploration concessions, mining claims, leases, mining rights, interest in land, fee lands, surface rights or water rights within ten (10) kilometers of any property in which the Company has an interest at the time of execution of, or acquires during the term of, the agreement.

The initial term of the agreement was one year without any formal renewal provisions. The agreement has been renewed and Dr. Rui Feng’s current billing rate is $1,500 per day, as approved by the Board of Directors of the Company.

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Under the terms of the agreement, either party may terminate the agreement upon thirty (30) days written notice to the other party, with no obligations of the Company to Dr. Rui Feng, other than for services performed up to the date of the termination.

Myles Gao, President, Chief Operating Officer and Director

Myles Gao entered into a consulting agreement with SKN Resources Ltd. (the former name of the Company) dated March 1, 2004 to provide services ancillary to the office of President by a company customarily listed on the TSX Venture Exchange.

Myles Gao’s consultancy fee, as stipulated under the agreement was initially $10,000 per month, plus applicable taxes. In addition, the agreement provides Myles Gao with incentive stock options, in amounts to be determined by the Board of Directors. All travel and other expenses actually and properly incurred in connection with the provision of services, subject to the furnishment of receipts to the Company in respect to such expenses, are reimbursable.

Myles Gao is prohibited, during the term of the agreement and for a period of two (2) years thereafter, from acquiring any interest, direct or indirect, through associates or affiliates, in any exploration concessions, mining claims, leases, mining rights, interest in land, fee lands, surface rights or water rights within ten (10) kilometers of any property in which the Company has an interest at the time of execution of, or acquires during the term of, the agreement.

The initial term of the agreement was one year without any formal renewal provisions. The agreement has been renewed and Myles Gao’s current billing rate is $21,875 per month, as approved by the Chief Executive Officer of the Company.

Under the terms of the agreement, either party may terminate the agreement upon thirty (30) days written notice to the other party, with no obligations of the Company to Myles Gao, other than for services performed up to the date of the termination.

Grace Soo, Chief Financial Officer

On August 26, 2006, Grace Soo entered into an employment agreement with the Company to engage Grace Soo as Chief Financial Officer, effective September 5, 2006, for a term of three years. Pursuant to the terms of the agreement, Grace Soo will receive a base salary of $120,000 per annum, be entitled to four weeks vacation, and be granted 50,000 (pre-split) incentive stock options of the Company and 50,000 incentive stock options of New Pacific Metals Corp.

The agreement provides for reimbursement of any and all reasonable and documented expenses actually and necessarily incurred in connection with the performance of duties under the agreement. In addition, the agreement provides for reimbursement of annual professional membership fees.

The agreement may be terminated by the Company or Grace Soo upon one month’s notice within the first year and an additional month’s notice thereafter for each full or partial year of employment completed. In any such event, all outstanding options grants will vest immediately and Grace Soo will have 90 days to exercise the outstanding options.

On January 1, 2007, Grace Soo’s base salary was increased to $150,000 per annum. On May 4, 2007, the Company confirmed by letter agreement, that on termination the 50,000 stock options of the Company, and the 50,000 stock options of New Pacific Metals Corp. would vest immediately. In addition, the Company and Grace Soo agreed that any further options granted would vest pursuant to the respective stock option agreements of the Company and New Pacific Metals Corp.

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On October 1, 2007, Grace Soo’s base salary was increased to $160,000 per annum, and subsequently starting July 1, 2008, her base salary was increased to $168,000 per annum.

Composition of the Compensation Committee

See “Corporate Governance and Compensation Committee” for a description of the composition of the Corporate Governance and Compensation Committee.

Report on Executive Compensation

The Compensation Committee has prepared this report on executive compensation. The committee is responsible for making recommendations to the Board with respect to the compensation of executive officers of the Company as well as with respect to the Company’s stock option plan. The committee also assumes responsibility for reviewing and monitoring the long-range compensation strategy for the senior management of the Company.

In compensating its executive officers, packages are structured to enhance shareholder value and provide incentives that are commensurate with performance. The Company has employed a combination of base compensation and equity participation through its stock option plan. In addition, the Company may from time to time award some of the executive officers or companies controlled by executive officers performance bonuses for the year. The Company does not offer securities purchase programs, shares or units that are subject to restrictions on resale or other incentive plans, and, except for stock options, focuses on annual, rather than long-term, compensation.

A consulting firm was retained in July 2007 to advise the Compensation Committee on bringing the compensation packages for executive officers and the overall equity participation plan in line with mining and mineral exploration companies of a comparable size listed on the S&P/TSX Small Cap and Capped Gold Indexes and with operations at a similar or a more advanced stage. During the 2008 fiscal period, compensation has increased for the Chief Executive Officer and Chief Operating Officer compared to prior years packages which were below the market median for comparable companies.

Base Compensation

In the committee’s view, paying base compensation that is competitive in the markets in which the Company operates is a first step to attracting and retaining talented, qualified and effective executives. The committee historically set the rate for the CEO’s base compensation in line with its early status as a mineral exploration company. In light of the Company’s rapid advancement to mining, and revenue production, the Compensation Committee will rely in part on independent consultants’ advice as to appropriate comparable packages. In recommending the compensation for the remaining executive officers and the Board, the committee reviews the CEO’s base compensation and compensation paid to equivalent executive officers within the industry.

Equity Participation

The Company believes that encouraging its executive officers and employees to become shareholders is the best way of aligning their interests with those of its shareholders. Equity participation is accomplished through the Company’s stock option plan. Stock options are granted to executive officers taking into account a number of factors, including the amount and terms of options previously granted, base compensation and performance bonuses and competitive factors. During the 2008 fiscal year, the Board granted to all optionees options to purchase a total of 1,081,200 shares, which represented 0.7% of the outstanding shares of the Company at year-end.

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Performance bonuses

Performance bonuses awarded for the fiscal 2008 year were based primarily on three elements: (1) share performance; (2) Company performance, and (3) individual executive officer’s performance. The CEO declined a bonus offered by the Board of Directors in recognition of the CEO’s performance in fiscal 2008. Nevertheless the Board approved a payment of $50,000 as a token bonus for the CEO.

Company’s Performance

Executive compensation is related in part to the Company’s performance in the form of performance bonuses awarded. It is difficult in the mineral exploration and early stage mining industry, where growth of the Company is in its early stages, to quantitatively measure the Company’s performance. However, it is possible to apply a combination of qualitative and quantitative metrics to this process, and the Company measures its performance by such items as:

• earnings per share and overall financial performance;
• development progress on the Company’s projects;
• the ability of the Company to recruit and attract professionals who are recognized as leaders within their sector;
• confidence of the investment community in the Company; and
• absence of negative dealings with regulatory agencies.

CEO Compensation

The components of the CEO’s compensation are the same as those that apply to all of the Company’s executive officers, namely base compensation, performance bonuses and long-term incentives in the form of stock options. In establishing the CEO’s compensation, the Board considers salaries paid to other CEOs whose market capitalization is similar to that of the Company and the CEO’s contribution to the affairs of the Company.

Performance Graph

The Common Shares of the Company commenced trading on the TSX on October 24, 2005 under the symbol “SVM” and prior to that time traded on the TSX Venture Exchange. The following chart compares the total cumulative shareholder return for CDN$100 invested in Common Shares of the Company on March 31, 2001, with the cumulative total return of the S&P/TSX Composite Index and S&P/TSX Global Gold Index for the period from March 31, 2001 to March 31, 2008. The Common Share performance as set out in the graph does not necessarily indicate future price performance.

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Cumulative Total Return

For Date	March 31, 2004	March 31, 2005	March 31, 2006	March 31, 2007	March 31, 2008
SVM	100.00	74.90	764.48	714.29	928.96
S&P/TSX Composite Index	100.00	111.96	141.05	153.34	155.49
S&P/TSX Global Gold Index	100.00	84.42	129.99	133.04	146.09

For Date	March 31, 2004	March 31, 2005	March 31, 2006	March 31, 2007	March 31, 2008
Actual Date	March 31, 2004	March 31, 2005	March 31, 2006	March 30, 2007	March 31, 2008
SVM Closing Price	2.59	1.94	19.80	18.50	24.06
S&P/TSX Composite Index	8,585.93	9,612.38	12,110.61	13,165.50	13,350.13
S&P/TSX Global Gold Index	229.87	194.06	298.80	305.83	335.81

Compensation of Directors

The Company has no formal plans pursuant to which cash or non-cash compensation was paid or distributed to executive officers for their roles as directors during the most recently completed financial year.

The following table sets out compensation paid to directors in the financial year ended March 31, 2008:

Directors’ Fees During 2008 Update

Name of Director		Director’s Fee		Consulting Fees			Other Compensation		Total
Dr. Rui Feng	$	0	$	279,412	(1)	$	0	$	279,412
Myles Gao	$	0	$	208,969	(2)	$	0	$	208,969
S. Paul Simpson	$	30,000	$	0		$	0	$	30,000
Greg Hall	$	30,000	$	0		$	0	$	30,000
Earl Drake	$	12,500	$	0		$	0	$	12,500
Yikang Liu	$	25,000	$	0		$	0	$	25,000

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(1)	Consulting fees payable to a firm controlled by Dr. Rui Feng pursuant to a Consulting Agreement dated May 1, 2003.
(2)	Management fees payable to Myles Gao and to a firm controlled by Myles Gao pursuant to a Consulting Agreement dated March 1, 2004.

There are no formal plans pursuant to which options to purchase securities of the Company are granted to executive officers. The Company grants incentive stock options from time to time to its Directors, Officers and Employees in accordance with the policies of the TSX and its stock option plan, at the discretion of the Board.

The following table sets out the options received by directors, in their capacity as a director, during the financial year ended March 31, 2008:

Name of Director	Securities Under Options Granted	Exercise or Base Price		Market Value of Securities Underlying Options on Date of Grant		Expiration Date
Dr. Rui Feng	150,000	$	6.74	$	6.74	April 10, 2012
Myles Gao	150,000	$	6.74	$	6.74	April 10, 2012
S. Paul Simpson	30,000	$	6.74	$	6.74	April 10, 2012
Greg Hall	30,000	$	6.74	$	6.74	April 10, 2012
Earl Drake	30,000	$	6.74	$	6.74	April 10, 2012
Yikang Liu	30,000	$	6.74	$	6.74	April 10, 2012

Related Party Transaction

During the year ended March 31, 2008, the Company incurred the following related party transactions (reported in US$):

(i)	consulting fees of $270,695 (2007 - $152,599) payable to a company owned by an officer and director of the Company and to an officer of the Company;
(ii)	legal fees of $nil (2007 - $76,974) payable to a law firm with a partner that is a director of the Company;
(iii)	management fees of $202,449 (2007 - $126,047) payable to a company owned by an officer and director of the Company, and to an officer and director of the Company;
(iv)	accounting fees of $498 (2007 - $77,346) payable to an accounting firm with a partner that is former officer of the Company;
(v)	directors’ fees of $93,731 (2007 - $36,363);
(vi)	expenses recovered of $302,100 (2007 - $321,931) from New Pacific Metals Corp. (“NUX”).

As at March 31, 2008, the related transaction balances included the following:

(i)	$nil (March 31, 2007 - $34,478) due to a company controlled by a director of the Company for services provided;
(ii)	$nil (March 31, 2007 - $131,641) due to the joint venture partner of Henan Huawei;
(iii)	$12,117,910 (March 31, 2007 - $nil) due to the joint venture partner of Henan Found for non-controlling interest distributable as Henan Found declared dividend during the year;
(iv)	$12,014 (March 31, 2007 - $28,329) due from a company related by common control;

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(v)	$17,113 (March 31, 2007 - $nil) due from the joint venture partner of Qinghai Found;
(vi)	$18,051 (March 31, 2007 - $nil) due from NUX for expenses incurred and recoverable under an inter- company services and cost allocation arrangement; and,
(vii)	$nil (March 31, 2007 - $1,195,129) due to NUX for funds advanced from NUX.

On December 8, 2006, NUX entered into a Declaration of Trust Agreement with Yunnan JCJ, an indirectly wholly owned subsidiary of the Company, to hold in trust for NUX, two exploration permits (“Huaiji Project”) located in Guangdong Province, China.

On January 25, 2007, NUX advanced $1.24 million to the Company to fund the Huaiji Project. As at March 31, 2008, a total of $683,995 of cash held in trust by the Company for the sole benefit of NUX is repayable upon demand, pursuant to a trust agreement dated October 16, 2007.

The transactions with related parties during the year are measured at the exchange amount, which is the amount of consideration established and agreed by the parties. The balances with related parties are unsecured, non-interest bearing, and due on demand.

Normal Course Issuer Bid 2008

With the approval of the TSX, a normal course issuer bid of the Company commenced at market open March 28, 2008 and will continue until no later than March 27, 2009. Under the issuer bid, the Company may on any trading day purchase up to 137,841 of its Common Shares. The Company intends to acquire up to 2,988,029 of its Common Shares over a one year period. Purchases will be made at the discretion of the directors at prevailing market prices, through the facilities of the TSX. The Company intends to cancel all shares acquired under the issuer bid. As of the date hereof, 1,089,700 shares have been acquired and cancelled under the issuer bid.

SECURITIES AUTHORIZED FOR ISSUANCE
UNDER EQUITY COMPENSATION PLANS

The only equity compensation plan which the Company has in place is its stock option plan (the “Plan”) which was previously approved by the shareholders on November 14, 2002 and an amendment to the Plan was approved by the shareholders on October 20, 2004 and August 24, 2006. The Plan, upon shareholder approval, was further amended October 24, 2005, to bring it into compliance with the policies of the TSX in conjunction with the listing of the Company’s share on the TSX on that date. On August 24, 2006 an amendment to the Plan was approved by the shareholders to increase the maximum aggregate number of shares issuable pursuant to options granted under the Plan, inclusive of all other stock options outstanding from 15,300,000 to 19,500,000 (the “Amended Plan”).

The Plan has been established to attract and retain directors, officers, employees and consultants to the Company and to motivate them to advance the interests of the Company by affording them with the opportunity to acquire an equity interest in the Company. The Plan is administered by the directors and Compensation Committee of the Company. The Plan currently provides that the aggregate number of shares issuable under the Plan, inclusive of all other stock options outstanding shall not exceed 19,500,000.

The Company has an authorized capital of an unlimited number of Common Shares without par value, of which 152,863,801 Common Shares were issued and outstanding as fully paid and non-assessable as of August 22, 2008. A further 6,908,588 Common Shares have been reserved and allotted for issuance upon the due and proper exercise of certain incentive options and share purchase warrants outstanding as at the date hereof.

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All of the Common Shares of the Company rank equally as to dividends, voting powers and participation in assets and in all other respects. Each Common Share carries one vote per share at meetings of the shareholders of the Company. There are no indentures or agreements limiting the payment of dividends and there are no conversion rights, special liquidation rights, pre-emptive rights or subscription rights attached to the Common Shares. The Common Shares presently issued are not subject to any calls or assessments.

The major features of the Plan can be summarized as follows:

The Board, or a committee appointed for such purposes, may from time to time designate, by resolution, to bona fide Employees, Consultants, Officers or Directors (collectively, the “Eligible Persons”), or corporations employing or wholly owned by such Eligible Persons options to acquire Common Shares in such numbers, for such terms and at such exercise prices as may be determined by the Board or such committee. The purpose of this Plan is to attract and retain Eligible Persons and to motivate them to advance the interests of the Company by affording them with the opportunity to acquire an equity interest in the Company through options granted under this Plan to purchase shares. The Board, or a committee appointed for such purposes, also has the authority under the Plan to determine other terms and conditions relating to the grant of options, including any applicable vesting provisions.

The maximum number of Common Shares that may be reserved for issuance for all purposes under the Plan is 19,500,000 Common Shares which represents 12.76 % of the issued and outstanding shares, or such additional amount as the Company’s shareholders may approve from time to time. Any Common Shares subject to a share option which for any reason is cancelled or terminated without having been exercised will again be available for grant under the Plan.

The maximum number of Common Shares that may be reserved for issuance to insiders of the Company under the Plan and under any other share compensation arrangement is limited to 10% of the Common Shares outstanding at the time of grant, unless authorized by shareholders of the Company. The maximum number of Common Shares issued to each Eligible Person under the Plan and under any other share compensation arrangement is limited to 5% of the Common Shares outstanding at the time of the grant.

The Board may from time to time, subject to applicable law and to the prior approval, if required, of the TSX or any other regulatory body having authority over the Company or the Plan or, if required by the rules and policies of the TSX, the shareholders of the Company, suspend, terminate or discontinue the Plan at any time, or amend or revise the terms of the Plan or of any option granted under the Plan.

The Board has the authority under the Plan to establish the option price at the time each share option is granted. The exercise price of an option may not be less than the price at which options may be granted in accordance with TSX policies at the time of granting the options. The Board, or a committee appointed for such purposes, also has the authority under the Plan to determine other terms and conditions relating to the grant of the options, including any applicable vesting provisions.

The term of the options granted under the Plan shall expire on a date determined by the Board and all options granted under the Plan are not assignable or transferable other than by will or the laws of succession, except that, if permitted by the rules and policies of the Exchange, an optionee shall have the right to assign any option granted to a trust, RRSP, RESP or similar legal entity. If an optionee ceases to be an Eligible Person for any reason whatsoever other than death, each option held by such optionee will cease to be exercisable 90 days following the termination date (being the date on which such optionee ceases to be an Eligible Person). If an optionee dies, the legal representative of the optionee may exercise the optionee’s options within one year after the date of the optionee’s death but only up to and including the original option expiry date.

As at August 22, 2008, of the 19,500,000 shares reserved for issuance under the Plan, 12,564,720 options have been exercised and 3,768,811 options (representing 2.47% of the Company’s issued and outstanding shares) remain outstanding, leaving 3,166,469 options (representing 2.07% of the Company’s issued and outstanding shares) remain available for future grant.

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The following table sets out equity compensation plan information as at the end of the financial year ended March 31, 2008:

Plan Category	Number of securities to be issued upon exercise of outstanding options, warrants and rights   (a)	Weighted-average exercise price of outstanding options, warrants and rights (b)		Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column (a)) (c)
Equity compensation plans approved by security holders	3,234,685 Common Shares	$	3.42	3,645,077 Common Shares
Equity compensation plans not approved by security holders	N/A		N/A	N/A
Total	3,234,685 Common Shares	$	3.42	3,645,077 Common Shares

INDEBTEDNESS OF DIRECTORS, EXECUTIVE OFFICERS AND SENIOR OFFICERS

During the Company's last completed financial year ended March 31, 2008, no director, executive officer or senior officer of the Company, no proposed nominee for election as a director of the Company, and no associate of any of the foregoing persons has been indebted to the Company or any of its subsidiaries, nor has any of these individuals been indebted to another entity which indebtedness is the subject of a guarantee, support agreement, letter of credit or other similar arrangement or understanding provided by the Company or any of its subsidiaries.

MANAGEMENT CONTRACTS

There are no management functions of the Company, which are to any substantial degree performed by a person or company other than the directors or executive officers (or private companies controlled by them, either directly or indirectly) of the Company.

INTEREST OF INFORMED PERSONS IN MATERIAL TRANSACTIONS

Except as disclosed in this Information Circular, since the commencement of the Company's last completed financial year, no insider of the Company, nominee for director, or any associate or affiliate of an insider or nominee for election as a director or, has any material interest, direct or indirect, in any material transaction or in any proposed transaction, which, in either case, has materially affected or would materially affect the Company or any of its subsidiaries.

APPOINTMENT OF AUDITORS

It is proposed that Ernst & Young, LLP, Chartered Accountants of Vancouver, British Columbia be reappointed as the auditors of the Company to hold office until the next annual meeting of the shareholders or until a successor is appointed, and that the directors be authorized to determine the auditor’s remuneration. Ernst & Young, LLP was first appointed in May 2006.

Unless otherwise specified, the persons named in the enclosed Form of Proxy will vote for the appointment of Ernst & Young, Chartered Accountants, of Vancouver, BC as auditor of the Company until the next Annual General Meeting of Shareholders, at a remuneration to be fixed by the directors.

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PARTICULARS OF OTHER MATTERS TO BE ACTED UPON

Approval of Shareholder Rights Plan

Background
On July 6, 2005, the Board of Directors (the "Board") of the Company adopted a shareholder rights plan, it is currently effective, but will expire at close of business at the Company`s 2008 Meeting. The Company believes that it is in the best interests of the Company to establish a framework to maximize shareholders value in the conduct of bids in a manner to ensure shareholders have an equal opportunity to participate in such a bid, to allow more time for competing bids to emerge, and to give shareholders sufficient time to properly assess the bid, as such, a Rights Plan as set forth in the Shareholder Rights Plan Agreement dated August 11, 2008 (amending the Rights Plan dated July 6, 2005) is prepared (the "Rights Plan").

At the Meeting, shareholders will be asked to consider and, if deemed fit, to pass a resolution approving the adoption of the Rights Plan, and to approve the issuance of all rights pursuant to such Shareholder Rights Plan Agreement, subject to regulatory approval.

"RESOLVED, as an ordinary resolution that:

1.	The Rights Plan as set forth in the Shareholder Rights Plan Agreement dated August 11, 2008 (amending the Rights Plan dated July 6, 2005) between the Company and Computershare Investor Services Inc., and the issuance of all rights pursuant to such Shareholder Rights Plan Agreement, be and are hereby approved, ratified and confirmed;
2.	Any director or officer of the Company be, and is hereby authorized and directed, for and on behalf of and in the name of the Company, to do all such acts and things and to execute, whether under the corporate seal of the Company or otherwise, and deliver all such documents and instruments as may be considered necessary or desirable to give effect to the foregoing.

To remain in full force and effect, the Rights Plan has a term of approximately three years and must be reconfirmed by a resolution passed by a majority of the votes cast by all holders of Voting Shares who vote in respect of such reconfirmation at the annual meeting of the Company held in 2011, and at every third annual meeting of the Company thereafter, unless the Rights are earlier redeemed or exchanged. Approval of the Rights Plan by shareholders is required by the TSX. The Rights Plan is similar to plans adopted by several other Canadian companies and approved by their shareholders.

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Directors' Recommendation

The Board of Directors (the “Board”) has determined that the Rights Plan is in the best interests of the Company and its shareholders and unanimously recommends that shareholders vote in favour of the Rights Plan.

Objectives of the Rights Plan

The Rights Plan is designed to encourage the fair treatment of shareholders in connection with any take-over offer for the Company. The Rights Plan will provide the Board and the shareholders with more time to fully consider any unsolicited take-over bid for the Company without undue pressure, to allow the Board to pursue, if appropriate, other alternatives to maximize shareholder value and to allow additional time for competing bids to emerge. Securities legislation in Canada requires a take-over offer to remain open for 35 days. The Board does not believe that this period is sufficient to permit the Board to determine whether there may be alternatives available to maximize shareholder value or whether other bidders may be prepared to pay more for the Company's shares than the offeror. Under the Rights Plan, a bidder making a Permitted Bid (as defined below) for the Common Shares of the Company may not take up any shares before the close of business on the 60th day after the date of the bid and unless at least 50% of the Company's Common Shares not Beneficially Owned by the person making the bid and certain related parties are deposited, in which case the bid must be extended for 10 business days on the same terms. The Rights Plan will encourage an Offeror to proceed by way of Permitted Bid or to approach the Board with a view to negotiation by creating the potential for substantial dilution of the Offeror's position if a non-Permitted Bid is attempted. The Permitted Bid provisions of the Rights Plan are designed to ensure that, in any take-over bid, all shareholders are treated equally, receive the maximum available value for their investment and are given adequate time to properly assess the bid on a fully informed basis. The Rights Plan allows a partial bid to be a Permitted Bid.

In recent years, unsolicited bids have been made for the shares of a number of large Canadian companies. Many of these companies had a shareholder rights plan which was used by the target's board of directors to gain time to seek alternatives to the bid with the objective of enhancing shareholder value. In most cases, a change of control ultimately occurred at a price in excess of the original bid price. Accordingly, the existence of a shareholder rights plan will not prevent all unsolicited take-over bids for the Common Shares of the Company. Provincial securities regulators have concluded in recent decisions relating to shareholder rights plans that a target company's board will not be permitted to maintain a shareholder rights plan solely to prevent a successful bid, but only so long as the board is actively seeking alternatives to a takeover bid and there is a real and substantial possibility that it can increase shareholder choice and maximize shareholder value.

The Rights Plan is not being proposed in response to, or in anticipation of, any acquisition or take-over offer and is not intended to prevent a take-over of the Company, to secure continuance of current management or the directors in office or to deter fair offers for the Common Shares of the Company. The Rights Plan does not inhibit any shareholder from using the proxy mechanism set out in the Business Corporations Act (British Columbia) to promote a change in the management or direction of the Company, including the right of holders of not less than 5% of the issued voting shares to requisition the directors to call a meeting of shareholders to transact any proper business stated in the requisition. The Rights Plan may, however, increase the price to be paid by a potent ial offeror to obtain control of the Company and may discourage certain transactions. The Rights Plan does not affect in any way the financial condition of the Company. The initial issuance of the Rights is not dilutive and will not affect reported earnings per share or cash flow per share until the Rights separate from the underlying Common Shares and become exercisable.

The adoption of the Rights Plan will not lessen or affect the duty of the Board to act honestly and in good faith and in the best interests of the Company. The Rights Plan is designed to provide the Board with the means to negotiate with an offeror and with sufficient time to seek out and identify alternative transactions on behalf of the Company's shareholders.

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Terms of the Rights Plan

The principal terms of the Rights Plan are summarized below. Capitalized terms used, but not defined, in this summary are defined in the rights plan agreement (the “Rights Agreement”). For full particulars, please refer to the text of the Rights Agreement, a copy of which is available from the Company.

To implement the Rights Plan, one Right will be issued by the Company pursuant to the Rights Agreement in respect of each Common Share outstanding at 4:00 p.m. (Vancouver time) on September 27, 2008 (the "Record Time"). One Right will also be issued for each additional Common Share issued after the Record Time and prior to the earlier of the Separation Time (as defined below) and the Expiration Time. Each initial Right entitles the holder to purchase from the Company one Common Share at an exercise price of an amount equal to three times the market price per Common Share determined as at the Separation Time, subject to certain anti-dilution adjustments. The Rights, however, will not be exercisable until the Separation Time. Upon the occurrence of a Flip-in Event (as defined below), each Right will entitle the holder to purchase Common Shares having an aggregate Market Price equal to twice the Exercise Price, for an amount in cash equal to the Exercise Price.

This issuance of Rights will not change the manner in which shareholders currently trade their Common Shares. Shareholders do not have to return their certificates in order to have the benefit of the Rights. The Rights, until the Separation Time, will trade together with the Common Shares, will be represented by the Common Share certificates and will not be exercisable. The Rights, after the Separation Time, will become exercisable, will be evidenced by Rights certificates and will be transferable separately from the Common Shares.

The Separation Time is defined in the Rights Agreement as the close of business on the eighth trading day (or such earlier or later date as may be determined by the Board) after the earlier of:

(i)	the Stock Acquisition Date, which is the date of the first public announcement that a Person has become an Acquiring Person (defined in the Rights Agreement as a person who has acquired, other than pursuant to an exemption available under the Rights Plan or pursuant to a Permitted Bid, Beneficial Ownership of 20% or more of the Voting Shares of the Company);
(ii)	the date of the commencement of, or first public announcement of an intention to commence, a Take-over Bid (other than a Permitted Bid or a Competing Permitted Bid) to acquire Beneficial Ownership of 20% or more of the Voting Shares of the Company; and
(iii)	the date on which a Permitted Bid or Competing Permitted Bid ceases to qualify as such.

A Permitted Bid is defined in the Rights Agreement as a Take-over Bid made by take-over bid circular and which also complies with the following requirements:

(i)

the bid is made by take-over bid circular to all holders of Common Shares wherever resident; and

(ii)

the Take-over Bid must be open for at least 60 days and more than 50% of the outstanding Common Shares of the Company (other than shares Beneficially Owned by the Offeror on the date of the bid) must be deposited under the bid and not withdrawn before any shares may be taken up and paid for and, if 50% of the Common Shares are so deposited and not withdrawn, an announcement of such fact must be made and the bid must remain open for a further 10-day period.

If an Offeror successfully completes a Permitted Bid, the Rights Plan provides that the Rights will be redeemed at $0.0001 per Right.

A Permitted Bid, even if not approved by the Board, may be taken directly to the shareholders of the Company. Shareholders' approval at a meeting will not be required for a Permitted Bid. Instead, shareholders of the Company will initially have 60 days to deposit their shares. If more than 50% of the outstanding Common Shares of the Company (other than Common Shares beneficially owned by the Offeror on the date of the Take-over Bid) have been deposited and not withdrawn by the end of such 60-day period, the Permitted Bid must be extended for a further period of 10 days to allow initially disapproving shareholders to deposit their shares if they so choose.

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If a potential Offeror does not wish to make a Permitted Bid, it can negotiate with, and obtain the prior approval of the Board to make a bid by Take-over Bid circular on terms which the Board considers fair to all shareholders. In such circumstances, the Board may waive the application of the Rights Plan to that transaction, thereby allowing such bid to proceed without dilution to the Offeror, and will be deemed to have waived the application of the Rights Plan to all other contemporaneous bids made by Take-over Bid circular. All other waivers require shareholder approval.

Under the Rights Agreement, a Flip-in Event is any transaction or event in which any Person becomes an Acquiring Person. Except as set out below, from and after the close of business on the eighth trading day following the Stock Acquisition Date;

(i)	any Rights Beneficially Owned by the Acquiring Person and affiliates, associates and transferees of the Acquiring Person or any person acting jointly or in concert with the Acquiring Person will become void; and
(ii)	each Right (other than Rights which are void) will entitle the holder thereof to purchase Common Shares having an aggregate Market Price equal to two times the Exercise Price for an amount in cash equal to the Exercise Price.

Accordingly, a Flip-in Event that is not approved by the Board will result in significant dilution to an Acquiring Person. The Board may, with shareholder approval, at any time prior to the occurrence of a Flip-in Event, elect to redeem all of the outstanding Rights at a redemption price of $0.0001 per Right.

The Company may, from time to time supplement or amend the Rights Agreement to correct clerical or typographical errors or to maintain the enforceability of the Rights Agreement as a result of a change in law. All other amendments require shareholder approval.

Tax Consequences of the Rights Plan

The following discussion is of a general nature only and is not intended to constitute nor should it be construed to constitute legal or tax advice to any particular shareholder. Shareholders are advised to consult their own tax advisors regarding the consequences of acquiring, holding, exercising or otherwise disposing of their Rights, taking into account their own particular circumstances and applicable foreign, provincial, state and local laws.

Canadian Federal Income Tax Consequences

The Company considers the Rights, when issued, will have negligible monetary value, there being only a remote possibility that the Rights will ever be exercised. While the matter is not free from doubt, the issue of the Rights may be a taxable benefit that must be included in the income of shareholders, however, no amount must be included in income if the Rights do not have a monetary value at the date of issue.

Assuming the Rights have no value, Canadian shareholders will not be required to include any amount in income or be subject to withholding tax under the Income Tax Act (Canada) as a result of the issue of the Rights. The Rights will be considered to be acquired at no cost.

Holders of the Rights may have income or be subject to withholding tax under the Income Tax Act (Canada) if the Rights are exercised or otherwise disposed of, the Company considers the likelihood of such an event occurring to be remote.

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United States Federal Income Tax Consequences

As the possibility of the Rights becoming exercisable is both remote and speculative, the adoption of the Rights Plan will not constitute a distribution of stock or property by the Company to its shareholders, an exchange of property or stock (either taxable or non-taxable), or any other event giving rise to the realization of gross income by any shareholder for U.S. federal income tax purposes. The holder of Rights may have taxable income if the Rights become exercisable or are exercised or sold. In the event the Rights become exercisable, each shareholder should consult their own tax advisor concerning the consequences of acquiring, holding, exercising or disposing of their Rights, taking into account their own particular circumstances and any applicable tax laws.

Shareholders' Approval

In order for the Rights Plan to be confirmed, the resolution must be passed by a majority of the votes cast by the holders of Common Shares who vote in respect thereof.

The persons named in the enclosed form of proxy intend to cast the votes represented by proxy in favour of the resolution approving, ratifying and confirming the Rights Plan and Rights issued pursuant to the Rights Plan, unless a holder of Common Shares who has given such proxy has directed that the votes be otherwise cast.

Approval and Ratification of Acts of Directors and Officers

Shareholders will be asked to confirm, ratify and approve all acts, deeds, things done by, and the proceedings of the Directors and officers of the Company on behalf of the Company during the preceding year.

           “RESOLVED, as an ordinary resolution, that:

1.

Notwithstanding (i) any failure to properly convene, proceed with, or record any meeting of the Board of Directors or Shareholders of Silvercorp Metals Inc. (the “Company”) for any reason whatsoever, including, without limitation, the failure to properly waive or give notice of a meeting, hold a meeting in accordance with a notice of a meeting, have a quorum present at a meeting, sign the minutes of a meeting or sign a ballot electing a slate of directors; or (ii) any failure to pass any resolution of the Directors or Shareholders of the Company or any articles of the Company for any reason whatsoever, all approvals, appointments, elections, resolutions, contracts, acts and proceedings enacted, passed, made done or taken since April 1, 2007 as set forth in the minutes of the meetings, or resolutions of the Board of Directors or Shareholders of the Company or other documents contained in the minutes book and reco rd book of the Company, or in the financial statements of the Company, and all action heretofore taken in reliance upon the validity of such minutes, documents and financial statements, are hereby sanctioned, ratified, confirmed and approved; and,

2.

Without limiting the generality of the foregoing, all resolutions, contracts, acts and proceedings of the Board of Directors of the Company enacted, made, done or taken since the last annual general meeting as set forth or referred to in the minutes and record books of the Company or in the financial statements of the Company, are hereby approved, ratified and confirmed.”

OTHER BUSINESS

Management of the Company knows of no other matters which will come before the Meeting, other than as set forth above and in the Notice of Meeting, but if such should occur, the persons named in the accompanying Form of Proxy intend to vote on them in accordance with their best judgment exercising discretionary authority with respect to amendments or variations of matters identified in the Notice of Meeting and other matters which may properly come before the Meeting, or any adjournments thereof.

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ADDITIONAL INFORMATION

Additional information relating to the Company is available on the System for Electronic Document Analysis and Retrieval (SEDAR), website at www.sedar.com.

Financial information regarding the Company and its affairs is provided in the Company’s comparative financial statements and management discussion and analysis (“MD&A”) for its financial year ended March 31, 2008. Shareholders may contact the Company at the address set out on the face page of this Information Circular to request free copies of the Company’s financial statements and MD&A, alternatively they can be found at www.sedar.com and the Company’s website at www.silvercorp.ca

BOARD APPROVAL

The contents of this Information Circular have been approved and its mailing has been authorized by the directors of the Company.

Dated at Vancouver, British Columbia, this 22^nd day of August, 2008.

BY ORDER OF THE BOARD OF DIRECTORS

“Rui Feng”

Dr. Rui Feng, Chairman, CEO and Director

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SCHEDULE “1”

THE BOARD OF DIRECTOR CHARTER

The Board is responsible for the stewardship of the Company and for the oversight of its management and affairs.

Directors shall exercise their best business judgment in a manner consistent with their fiduciary duties. The Board’s primary responsibilities, which are discharged directly and through delegation to its Committees, include the following:

• To act honestly and in good faith with a view to the best interests of the Company.
   
• To exercise due care, diligence and skill that reasonably prudent persons would exercise in comparable circumstances.
   
• Consistent with its responsibilities to the Company, to further the interests of the shareholders.
   
• To consider business opportunities and risks, and to adopt strategic plans from time to time.
   
• To identify the principal risks of the Company’s business, and to implement an appropriate system to manage these risks.
   
• To develop an investor relations and shareholder communications policy for the Company.
   
• To oversee management’s adoption of effective internal control and management information systems. 
   
• To review and approve annual and quarterly financial statements and the publication thereof by management.
   
• To approve operating plans and any capital budget plans. 
   
• To select and approve all key executive appointments, and to monitor executive development.
   
• To develop the Company’s approach to corporate governance, including establishing a set of corporate governance principles and guidelines that are specifically applicable to the Company.
   
• To adopt a code of conduct to govern employees and management in their activities for and on behalf of the Company.
   
• To promote a culture of integrity throughout the Company consistent with the adopted code of conduct.
   
• To take action on issues that by law or practice require the independent action of a Board or one of its Committees.
   
• To oversee management in its implementation of effective programs to provide a safe work environment, to employ sound environmental practices, and to operate in accordance with applicable laws, regulations and permits.
   
• To oversee management in its implementation of an effective communications policy with regard to investors, employees, the communities in which it operates and the governments of those communities.

SCHEDULE “2”

CORPORATE GOVERNANCE COMMITTEE CHARTER

The Company has established a Corporate Governance Committee of the Board of Directors which consists of three or more directors, a majority of whom shall be independent. The Committee meets at least annually, or more frequently as required.

The Committee’s mandate is to assist the Board in establishing and maintaining a sound system of corporate governance through a process of continuing assessment and enhancement.

The Committee’s duties and responsibilities are:

• To advise the Chairman of the Board and the Board on matters of corporate governance, including adherence to any governance guidelines or rules established by applicable regulatory authorities.
   
• To advise the Board on issues of conflict of interest for individual directors.
   
• To examine the effectiveness of the Company’s corporate governance practices at least annually and to propose such procedures and policies as the Committee believes are appropriate to ensure that the Board functions independently of management, management is accountable to the Board and procedures are in place to monitor the effectiveness of performance of the Board, committees of the Board and individual directors.
   
• To develop and review, together with the Chairman, CEO and the President of the Board, annual Board goals or improvement priorities.
   
• To identify and to recommend to the Board suitable candidates for nomination as new directors, and to review the credentials of directors standing for re-election.
   
• With assistance of management, to organize and provide an orientation program for new directors where appropriate.
   
• To periodically review the mandates of the Board and committees of the Board and determine what additional committees of the Board, if any, are required or appropriate.
   
• To develop such codes of conduct and other policies as are appropriate to deal with the confidentiality of the Company’s information, insider trading and the Company’s timely disclosure and other public company obligations.
   
• To take such other steps as the Committee decides are appropriate, in consultation with the Board, to ensure that proper corporate governance practices are in place for the Company, with reference to the Toronto Stock Exchange guidelines or recommendations and other regulatory requirements on corporate governance.
   
• To review its charter and assess annually the adequacy of this mandate, the effectiveness of its performance and, when necessary, and to recommend changes to the Board of Directors for its approval.

SCHEDULE “3”

COMPENSATION COMMITTEE CHARTER

The Compensation Committee of the Board of Directors consists of at least three Directors, a majority of whom shall be independent. The Committee meets at least annually, or more frequently as required.

The purpose of the Compensation Committee is to assist the Board in discharging its duties relating to compensation of the executive officers of the Company, the goals are to enable the Company to attract, retain and motivate the most qualified talent who will contribute to the long term success of the Company by aligning compensation with the Company’s business objectives and performance, and aligning incentives with the interests of shareholders to maximize shareholders’ value.

The Committee’s duties and responsibilities are:

• To make recommendations to the Board with respect to the compensation of senior management and executive officers of the Company.
   
• To review the compensation and benefits of the directors in their capacity as directors of the Company to ensure that such compensation reflects the responsibilities and risks involved in being a director.
   
• To review and make recommendations to the Board as to the general compensation and benefits policies and practices of the Company, including incentive stock options for all employees, consultants, directors and officers.
   
• To review the disclosure to be made of director and executive remuneration in the Management Information Circular.
   
• To ensure there are appropriate training, development and benefit programs in place for management and staff.
   
• To review and make recommendations to the Board for its approval on any special compensation and benefit arrangements.
   
• To review its compensation practices by comparing them to surveys of relevant competitors and to set objective compensation based on this review.
   
• To perform such other functions as the Board may from time to time assign to the Committee.
   
• To review its charter and assess annually the adequacy of this mandate, the effectiveness of its performance, and to recommend changes to the Board for its approval.

SCHEDULE “4”

AUDIT COMMITTEE CHARTER

I. Purpose

The main objective of the Audit Committee is to act as a liaison between the Board and the Company’s independent auditors (the “Auditors”) and to assist the Board in fulfilling its oversight responsibilities with respect to (a) the financial statements and other financial information provided by the Company to its shareholders, the public and others, (b) the Company’s compliance with legal and regulatory requirements, (c) the qualification, independence and performance of the Auditors and (d) the Company's risk management and internal financial and accounting controls, and management information systems.

Although the Committee has the powers and responsibilities set forth in this Charter, the role of the Committee is oversight. The members of the Committee are not full-time employees of the Company and may or may not be accountants or auditors by profession or experts in the fields of accounting or auditing and, in any event, do not serve in such capacity. Consequently, it is not the duty of the Committee to conduct audits or to determine that the Company’s financial statements and disclosures are complete and accurate and are in accordance with generally accepted accounting principles and applicable rules and regulations.

II. Organization

The Committee shall consist of three or more directors and shall satisfy the laws governing the Company and the independence, financial literacy, expertise and experience requirements under applicable securities law, stock exchange and any other regulatory requirements applicable to the Company.

The members of the Committee and the Chair of the Committee shall be appointed by the Board. A majority of the members of the Committee shall constitute a quorum. A majority of the members of the Committee shall be empowered to act on behalf of the Committee. Matters decided by the Committee shall be decided by majority votes.

Any member of the Committee may be removed or replaced at any time by the Board and shall cease to be a member of the Committee as soon as such member ceases to be a director.

The Committee may form and delegate authority to subcommittees when appropriate.

III. Meetings

The Committee shall meet as frequently as circumstances require, but not less frequently than four times per year. The Committee shall meet at least quarterly.

The Committee may invite, from time to time, such persons as it may see fit to attend its meetings and to take part in discussion and consideration of the affairs of the Committee.

The Company’s accounting and financial officer(s) and the Auditors shall attend any meeting when requested to do so by the Chair of the Committee.

IV. Responsibilities

(1)	The Committee shall recommend to the Board of directors:
	(a)	the external auditor to be nominated for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Company; and
	(b)	the compensation of the external auditor.

(2)	The Committee shall be directly responsible for overseeing the work of the external auditor engaged for the purpose of preparing or issuing an auditor's report or performing other audit, review or attest services for the Company, including the resolution of disagreements between management and the external auditor regarding financial reporting.
(3)	The Committee must pre-approve all non-audit services to be provided to the Company or its subsidiary entities by the Company's external auditor.
(4)	The Committee must review the Company's financial statements, MD&A and annual and interim earnings press releases before the Company publicly discloses this information.
(5)	The Committee must be satisfied that adequate procedures are in place for the review of the Company's public disclosure of financial information extracted or derived from the Company's financial statements, other than the public disclosure referred to in subsection (4), and must periodically assess the adequacy of those procedures.
(6)	The Committee must establish procedures for:
	(a)	the receipt, retention and treatment of complaints received by the Company regarding accounting, internal accounting controls, or auditing matters; and
	(b)	the confidential, anonymous submission by employees of the Company of concerns regarding questionable accounting or auditing matters.
(7)	An audit committee must review and approve the Company's hiring policies regarding partners, employees and former partners and employees of the present and former external auditor of the issuer.

V. Authority

The Committee shall have the following authority:

(a)	to engage independent counsel and other advisors as it determines necessary to carry out its duties,
(b)	to set and pay the compensation for any advisors employed by the Committee, and
(c)	to communicate directly with the internal and external auditors.

APPENDIX “A”

COROPRATE GOVERNANCE DISCLOSURE OF

SILVERCORP METALS INC. (the “Company”)

	Governance Disclosure Guidelines under National Instrument 58-101 Disclosure of Corporate Governance Practices(“NI 58-101”)	Corporate Governance Practices of the Company
1.	Board of Directors
(a)	Disclose the identity of directors who are independent.	The following members of the board of directors of the Company (the “Board”) are considered to be “independent”, within the meaning of NI 58-101: S. Paul Simpson, Greg Hall, Earl Drake and Yikang Liu.
(b)	Disclose the identity of directors who are not independent, and describe the basis for that determination.	The following directors are not independent for the reasons stated: Dr. Rui Feng is currently CEO and Chairman of the Company and Myles Gao is currently President and COO of the Company.
(c)	Disclose whether or not a majority of directors are independent. If a majority of directors are not independent, describe what the Board does to facilitate its exercise of independent judgment in carrying out its responsibilities.	A majority of the Company’s directors are independent, as four of the six persons nominated as directors qualify as independent directors for the purposes of NI 58-101.
(d)	If a director is presently a director of any other issuer that is a reporting issuer (or the equivalent) in the same jurisdiction or a foreign jurisdiction, identify both the director and the other issuer.	Dr. Rui Feng is a director of New Pacific Metals Corp., S. Paul Simpson is a director and chairman of Maxy Gold Corp. and Greg Hall is a director and chairman of Ivory Energy Inc.
(e)	Disclose whether or not the independent directors hold regularly scheduled meetings at which non- independent directors and members of management are not in attendance. If the independent directors hold such meetings, disclose the number of meetings held since the beginning of the issuer’s most recently completed financial year. If the independent directors do not hold such meetings, describe what the Board does to facilitate open and candid discussion among its independent directors.	The independent directors are provided an opportunity to hold meetings at which non-independent directors and members of management are not in attendance at the end of every regularly scheduled board meetings. Two such meetings have been held since March 31, 2008.
(f)	Disclose whether or not the chair of the Board is an independent director. If the Board has a chair or lead director who is an independent director, disclose the identity of the independent chair or lead director, and describe his or her role and responsibilities. If the Board has neither a chair that is independent nor a	Dr. Rui Feng, Chair of the Board, is not an independent director. The Board does not currently have an independent lead director. The Board adopted a formal written mandate which defines its stewardship responsibilities to which all

	lead director that is independent, describe what the Board does to provide leadership for its independent directors.	Board members strictly adhere. The Board also adopted position descriptions for the Chair, the Chair of each Board Committee and the CEO. The terms of the Board’s Mandate are attached hereto as Schedule “1” The Board of Directors Charter.
(g)	Disclose the attendance record of each director for all Board meetings held since the beginning of the issuer’s most recently completed financial year.	For the financial year ended March 31, 2008, the Board held 3 Board meeting. The following is a list of the directors’ attendance record: Dr. Rui Feng - attended 3 of 3 Board meeting Myles Gao - attended 2 of 3 Board meeting S. Paul Simpson - attended 3 of 3 Board meeting Greg Hall - attended 3 of 3 Board meeting Earl Drake – attended 3 of 3 Board meeting Yikang Liu - attended 3 of 3 Board meetings
2.	Board Mandate
	Disclose the text of the Board’s written mandate. If the Board does not have a written mandate, describe how the Board delineates its role and responsibilities.	The Board has adopted a formal written mandate which defines its stewardship responsibilities. The terms of the Board of Directors Mandate are attached hereto as Schedule “1” The Board of Directors Charter of the Company. In addition, the committees of the Board have adopted formal written mandates that define their roles and responsibilities. The mandates are attached hereto as : Schedule “2” Corporate Governance Committee Charter, Schedule “3” Compensation Committee Charter; and Schedule “4” Audit Committee Charter.
3.	Position Descriptions
(a)	Disclose whether or not the Board has developed written position descriptions for the Chair and the Chair of each Board committee. If the Board has not developed written position descriptions for the Chair and/or the Chair of each Board committee, briefly describe how the Board delineates the role and responsibilities of each such position.	The Board has developed written position descriptions for the Chair and the Chair of each Board Committee.
(b)	Disclose whether or not the Board and CEO have developed a written position description for the CEO. If the Board and CEO have not developed such a position description, briefly describe how the Board delineates the role and responsibilities of the CEO.	The Board and CEO have adopted a written position description for the CEO.
4.	Orientation and Continuing Education
(a)	Briefly describe what measures the Board takes to	Each new director, on joining the Board, is given an

	orient new directors regarding (i) the role of the Board, its committees and its directors, and (ii) the nature and operation of the issuer’s business.	outline of the nature of the Company’s business, its corporate strategy, current issues within the Company, the expectations of the Company concerning input from directors and the general responsibilities of the Company’s directors. The Company provides new directors with an orientation program upon joining the Company that includes copies of relevant financial, technical, geological and other information regarding its properties, as well as meetings with management. Board members are encouraged to communicate with management and auditors, to keep themselves current with industry trends and development, and to attend related industry seminars. The Company may also request that Board members be advised by counsel to the Company of their legal obligations as directors of the Company. Directors have been and will continue to be given tours of the Company’s mines and development sites to give such directors additional nsight into the Company’s business.
(b)	Briefly describe what measures, if any, the Board takes to provide continuing education for its directors. If the Board does not provide continuing education, describe how the Board ensures that its directors maintain the skill and knowledge necessary to meet their obligations as directors.	Directors have been and will continue to inspect the Company’s sites of mining operations, mine development, and exploration sites to give the directors an updated view of the Company’s business. In addition, from time to time the Company instructs its general counsel to circulate to the Board members a memorandum summarizing new and evolving precedents applicable to directors of public com panies with respect to their conduct, duties and responsibilities.
5.	Ethical Business Conduct
(a)	Disclose whether or not the Board has adopted a written code for the directors, officers and employees. If the Board has adopted a written code: (i) disclose how a person or company may obtain a copy of the code; (ii) describe how the Board monitors compliance with its code, or if the Board does not monitor compliance, explain whether and how the Board satisfies itself regarding compliance with its code; and (iii) provide a cross-reference to any material change report filed since the beginning of the issuer’s most recently completed financial year that pertains to any conduct of a director or executive officer that constitutes a departure from the code.	As part of its stewardship responsibilities, the Board approved a formal “Code of Business Conduct and Ethics” (the “Code”) that is designed to deter wrong-doing and to promote honest and ethical conduct and full, accurate and timely disclosure. A copy of the Code may be obtained by contacting the Company at the address on the cover of this Information Circular or at www.sedar.com . The Company’s corporate governance committee is responsible for setting the standards of business conduct contained in the Code and for overseeing and monitoring compliance with the Code. The Code also sets out mechanisms for the reporting of unethical conduct. The Code is applicable to all employees, consultants,

		officers and directors, regardless of their position with the Company, at all times and everywhere the Company does business. The Code provides that the Company’s employees, consultants, officers and directors will uphold its commitment to a culture of honesty, integrity and accountability. The Board has not granted any waiver of the Code in favor of a director or executive officer, and no material change report has been required or filed in connection with the Code. When proposed transactions or agreements in which directors or officers may have an interest, material or not, are presented to the Board, the directors are required to disclose any such interest and the persons who have such an interest are excluded from all discussion on the matter and are not permitted to vote on the proposal. All such interests in transactions or agreements involving senior management are dealt with by the Board, regardless of apparent immateriality. The Board also adopted a formal “Code of Ethical Conduct for Financial Managers” that is applicable to all Financial Managers of the Company, being the Company’s Chief Executive Officer, Chief Financial Officer, principal accounting officer, controller and persons performing similar functions. Further, the Board approved and implemented a “Whistle Blower” process available to all directors, officers, employees, and any other party. The Chair of the Audit Committee monitors and reports any wrong doing to the Audit Committee. For the most recently completed financial year, no events were reportable. The Board approved and implemented a Corporate Disclosure Policy to ensure that communications to the investing public about the Company and its subsidiaries are timely, factual and accurate; and broadly disseminated in accordance with all applicable legal and regulatory requirements.
(b)	Describe any steps the Board takes to ensure directors exercise independent judgment in considering transactions and agreements in respect of which a director or executive officer has a material interest.	Directors must disclose to the Company’s General Counsel any instances in which they perceive they have a material interest in any matter being considered by the Board; and if it is determined there is a conflict of interest, or that a material interest is held, the conflict must be disclosed to the Board. In addition, the interested Board member must refrain from voting and exit the meeting whi le the transaction at issue is being considered by the Board.

(c)	Describe any other steps the Board takes to encourage and promote a culture of ethical business conduct.	The Company’s Corporate Governance and Compensation Committee is responsible for setting the standards of business conduct contained in the Code and for overseeing and monitoring compliance with the Code. The Board sets the tone for ethical conduct throughout the Company by considering and discussing ethical considerations when reviewing the corporate transactions of the Company.
6.	Nomination of Directors
(a)	Describe the process by which the Board identifies new candidates for Board nomination.	The Board is responsible for recommending candidates for nomination to the Board and its committees. The Corporate Governance and Compensation Committee, which is composed entirely of independent directors, assists the Board by identifying and recommending to the Board suitable candidates for nomination as new directors.
(b)	Disclose whether or not the Board has a nominating committee composed entirely of independent directors. If the Board does not have a nominating committee composed entirely of independent directors, describe what steps the Board takes to encourage an objective nomination process.	The Company’s Corporate Governance and Compensation Committee is composed entirely of independent directors. New nominees must have one or more of the following attributes: a track record in general business management, particularly with public companies; special expertise in an area of strategic interest to the Company; and financial literacy. Nominees must also have the ability to d evote the required time to the Company, show support for the Company’s mission and objectives, and have a willingness to serve the Company and its shareholders.
(c)	If the Board has a nominating committee, describe the responsibilities, powers and operation of the nominating committee.	The Board is composed of individuals who will best serve the interest of the Company and assist management in achieving the Company’s goals. Members of the Board and representatives of the mining industry are often consulted for potential candidates.
7.	Compensation
(a)	Describe the process by which the Board determines the compensation for the issuer’s directors and officers.	The Company’s CEO and Corporate Governance and Compensation Committee review overall compensation policies and make recommendations to the Board on the compensation of the Company’s executive officers and directors.
(b)	Disclose whether or not the Board has a compensation committee composed entirely of independent directors. If the Board does not have a compensation committee	The Corporate Governance and Compensation Committee must be comprised of at least three Directors, a majority of whom shall be independent.

	composed entirely of independent directors, describe what steps the Board takes to ensure an objective process for determining such compensation.	The Chair of the Corporate Governance and Compensation Committee is currently S. Paul Simpson.
(c)	If the Board has a compensation committee, describe the responsibilities, powers and operation of the compensation committee.	The purpose of the Compensation Committee is to assist the Board in discharging its duties relating to the compensation of the executive officers of the Company. The goals of the Compensation Committee are to enable the Company to attract, retain and motivate the most qualified talent who will contribute to the long term success of the Company by aligning compensation with the Company’s business objectives and performance and the interests of shareholders to maximize shareholders’ value. The Compensation Committee’s duties and responsibilities are set out in the Compensation Committee Charter attached as Schedule 3.
(d)	If a compensation consultant or advisor has, at any time since the beginning of the issuer’s most recently completed financial year, been retained to assist in determining compensation for any of the issuer’s directors and officers, disclose the identity of the consultant or advisor and briefly summarize the mandate for which they have been retained. If the consultant or advisor has been retained to perform any other work for the issuer, state that fact and briefly describe the nature of the work.	Mercer Human Resource Consulting was retained in July 2007 to advise the Compensation Committee on bringing the compensation packages for executive officers and the overall equity participation plan in line with mining and mineral exploration companies of a comparable size listed on the S&P/TSX Small Cap and Capped Gold Indexes and with operations at a similar or a more advanced stage.
8.	Other Board Committees
	If the Board has standing committees other than the audit, compensation and nominating committees, identify the committees and describe their function.	The Board has no other committees other than as noted above.
9.	Assessments
	Disclose whether or not the board, its committees and individual directors are regularly assessed with respect to their effectiveness and contribution. If assessments are regularly conducted, describe the process used for the assessments. If assessments are not regularly conducted, describe how the board satisfies itself that the board, its committees, and its individual directors are performing effectively.	The Corporate Governance and Compensation Committee and the Board annually, and at such other times as they deem fit, monitor the adequacy of information given to directors, communications between the Board and management and the strategic direction and processes of the Board and its committees. As part of the assessments, the Board and/or the committees review their respective charters and conduct reviews of applicable corporate policies.

EX-99.12

Exhibit 99.12

Security Class

Holder Account Number

Form of Proxy - Annual Meeting to be held on September 26, 2008

This Form of Proxy is solicited by and on behalf of Management.

Notes to proxy

1.	Every holder has the right to appoint some other person or company of their choice, who need not be a holder, to attend and act on their behalf at the meeting. If you wish to appoint a person or company other than the persons whose names are printed herein, please insert the name of your chosen proxyholder in the space provided (see reverse).
2.	If the securities are registered in the name of more than one owner (for example, joint ownership, trustees, executors, etc.), then all those registered should sign this proxy. If you are voting on behalf of a corporation or another individual you may be required to provide documentation evidencing your power to sign this proxy with signing capacity stated.
3.	This proxy should be signed in the exact manner as the name appears on the proxy.
4.	If this proxy is not dated, it will be deemed to bear the date on which it is mailed by Management to the holder.
5.	The securities represented by this proxy will be voted as directed by the holder, however, if such a direction is not made in respect of any matter, this proxy will be voted as recommended by Management.
6.	The securities represented by this proxy will be voted or withheld from voting, in accordance with the instructions of the holder, on any ballot that may be called for and, if the holder has specified a choice with respect to any matter to be acted on, the securities will be voted accordingly.
7.	This proxy confers discretionary authority in respect of amendments to matters identified in the Notice of Meeting or other matters that may properly come before the meeting.
8.	This proxy should be read in conjunction with the accompanying documentation provided by Management.

Proxies submitted must be received by 48 hours prior to the meeting.

VOTE USING THE TELEPHONE OR INTERNET 24 HOURS A DAY 7 DAYS A WEEK!

To Vote Using the Telephone	To Vote Using the Internet
• Call the number listed BELOW from a touch tone	• Go to the following web site:
telephone.	www.investorvote.com

1-866-732-VOTE (8683) Toll Free

If you vote by telephone or the Internet, DO NOT mail back this proxy.

Voting by mail may be the only method for securities held in the name of a corporation or securities being voted on behalf of another individual.

Voting by mail or by Internet are the only methods by which a holder may appoint a person as proxyholder other than the Management nominees named on the reverse of this proxy. Instead of mailing this proxy, you may choose one of the two voting methods outlined above to vote this proxy.

To vote by telephone or the Internet, you will need to provide your CONTROL NUMBER, HOLDER ACCOUNT NUMBER and ACCESS NUMBER listed below.

CONTROL NUMBER HOLDER ACCOUNT NUMBER ACCESS NUMBER

Appointment of Proxyholder

The undersigned shareholder ("Registered Shareholder") of Silvercorp Metals Inc. (the "Company") hereby appoints: Dr. Rui Feng, Chairman, CEO and a Director of the Company, or failing him, Myles Jianguo Gao, President, COO and a Director of the Company,		Print the name of the person you are appointing if this person is someone other than the Chairman of the Meeting.
	OR

as my/our proxyholder with full power of substitution and to vote in accordance with the following direction (or if no directions have been given, as the proxyholder sees fit) and all other matters that may properly come before the Annual Meeting of Silvercorp Metals Inc. to be held at the Malaspina Room located on the Concourse Level of The Fairmont Waterfront, 900 Canada Place Way, Vancouver, British Columbia, on 26th September 2008 at 10:00 am PST, and at any adjournment thereof.

VOTING RECOMMENDATIONS ARE INDICATED BY HIGHLIGHTED TEXT OVER THE BOXES.

1. Election of Directors
	For	Withhold		For	Withhold		For	Withhold
01. Dr. Rui Feng	¨	¨	02. Myles Jianguo Gao	¨	¨	03. S. Paul Simpson	¨	¨
04. Greg Hall	¨	¨	05. Earl Drake	¨	¨	06. Yikang Liu	¨	¨
							For	Withhold
2. Appointment of Auditor
Appointment of Ernst & Young LLP, Chartered Accountants, as Auditors of the Company for the ensuing year and authorizing the Directors to fix their remuneration.							¨	¨
							For	Against
3. Approval of Shareholder Rights Plan
To approve, ratify and confirm the Shareholder Rights Plan as set forth in the Shareholder Rights Plan Agreement dated August 11, 2008 (amending the Rights Plan dated July 6, 2005) between the Company and Computershare Investor Services Inc., and the issuance of all rights pursuant to such Shareholder Rights Plan Agreement.							¨	¨
							For	Against
4. Approval and Ratification of Acts of Directors and Officers
To approve, ratify and confirm all acts of the Directors and Officers of the Company on its behalf during the preceding year.							¨	¨
							For	Against
5. Transact Other Business
To transact such further business as may properly be brought before the Meeting or at any adjournment thereof.							¨	¨

Authorized Signature(s) - This section must be completed for your instructions to be executed.		Signature(s)	Date
I/We authorize you to act in accordance with my/our instructions set out above. I/We hereby revoke any proxy previously given with respect to the Meeting. If no voting instructions are indicated above, this Proxy will be voted as recommended by Management.			DD/MM/YY
Interim Financial Statements - Mark this box if you would like to receive interim financial		Annual Report - Mark this box if you would like to receive the
statements and accompanying Management’s Discussion and Analysis by mail.	¨	Annual Report and accompanying Management’s Discussion and	¨
		Analysis by mail.
If you are not mailing back your proxy, you may register online to receive the above financial report(s) by mail at www.computershare.com/mailinglist.

046738 AR1 SRLQ

EX-99.13

Exhibit 99.13

SILVERCORP METALS INC.
Suite 1378 – 200 Granville Street
Vancouver, British Columbia, Canada V6C 1S4

NOTICE OF ANNUAL GENERAL MEETING OF SHAREHOLDERS

NOTICE IS HEREBY GIVEN that the Annual General Meeting (the “Meeting”) of the Shareholders of Silvercorp Metals Inc. (hereinafter called the "Company") will be held at the Malaspina Room located on the Concourse Level of The Fairmont Waterfront, 900 Canada Place Way, Vancouver, British Columbia V6C 3L5 on Friday, September 26, 2008 at the hour of 10:00 a.m. for the following purposes:

1.	to receive the Report of the Directors;
2.	to receive the audited financial statements of the Company for the year ended March 31, 2008, together with the report of the auditor thereon;
3.	to elect Directors of the Company for the ensuing year;
4.	to re-appoint Ernst & Young LLP, Chartered Accountants, as auditor for the Company for the ensuing year and to authorize the Directors to fix the auditor’s remuneration;
5.	to approve, ratify and confirm the Shareholder Rights Plan as set forth in the Shareholder Rights Plan Agreement dated August 11, 2008 (amending the Rights Plan dated July 6, 2005) between the Company and Computershare Investor Services Inc., and the issuance of all rights pursuant to such Shareholder Rights Plan Agreement;
6.	to approve, ratify and confirm all acts of the Directors and Officers of the Company on its behalf during the preceding year; and
7.	to transact such further and other business as may be properly be brought before the Meeting or at any adjournments thereof.

Only Shareholders of record on August 22, 2008 are entitled to receive notice of and vote at the Meeting.

Shareholders are entitled to vote at the Meeting either in person or by proxy. Shareholders who are unable to attend the Meeting are requested to read, complete, sign, date and return the enclosed form of Proxy and deliver it to the Company’s Transfer Agent: Computershare Investor Services Inc., in accordance with the instructions set out in the form of Proxy and the Circular accompanying this Notice.

DATED at the City of Vancouver, in the Province of British Columbia, this 22^nd day of August, 2008.

BY ORDER OF THE BOARD OF DIRECTORS

“Rui Feng”
Dr Rui Feng
Chairman, CEO and Director

EX-99.14

Exhibit 99.14

Silvercorp Metals Inc.
Suite 1378 - 200 Granville Street
Vancouver, BC, Canada V6C 1S4

Tel: (604) 669-9397
Fax: (604) 669-9387
Email: info@silvercorp.ca
Website: www.silvercorp.ca

NOTICE OF MEETING AND RECORD DATE

TO: All Applicable Commissions & Stock Exchanges

Dear Sirs / Mesdames:

Pursuant to the requirements of National Instrument 54-101, Silvercorp Metals Inc. hereby advises the following with respect to the upcoming Meeting of Shareholders:

1	CUSIP Number	:	82835P103
2	Meeting Type	:	Annual and Special General
3	Meeting Location	:	Vancouver
4	Meeting Date	:	September 26, 2008 (Fri)
5	Record Date for Notice	:	August 22, 2008 (Fri)
6	Record Date for Voting	:	August 22, 2008 (Fri)
7	Beneficial Ownership Determination Date	:	August 22, 2008 (Fri)
8	Class of Securities Entitled to Receive Notice and Vote	:	Common Shares
9	Business Type	:	General and Special

DATED AT VANCOUVER, BRITISH COLUMBIA, as of the 25^th day of July, 2008.

Sincerely,

Silvercorp Metals Inc.

PER: “Lorne Waldman”

Lorne Waldman
Corporate Secretary

EX-99.15

Exhibit 99.15

51-102F3
Material Change Report

Item 1   Name and Address of Company

Silvercorp Metals Inc. (the “Company”)
1378 – 200 Granville Street, Vancouver, BC V6C 1S4

Item 2   Date of Material Change

September 20, 2007

Item 3   News Release

The press release reporting the material change (copy attached), was disseminated by the Company on September 20, 2007 via Canadian and US timely disclosure through the facilities of Market Wire.

Item 4   Summary of Material Change

The Company announces the completion of an update of the mineral resources on the Ying silver-lead-zinc and HPG gold-silver-lead projects (“Ying Property”) in the National Instrument (“NI”) 43-101 Technical Update Report dated August 16, 2007 (the "Resource Report”) prepared by BK Exploration Associates (Chris Broili, C.P. Geo. & L.P. Geo and Mel Klohn, L.P. Geo., both independent Qualified Persons). Based on this Resource Report, the Measured + Indicated mineral resources and the Inferred mineral resources for the Ying Project have increased by approximately 30% and 26% respectively in comparison to the last resource estimate dated May 26, 2006, after deduction of the resources mined out.

Item 5   Full Description of Material Change

The Resource Report estimate is quoted below:

"The Ying property has two operating mines, SGX and HPG, with many mineralized veins remaining to be explored. The mineral deposit type is similar to the mesothermal veins of the Coeur d’Alene District, U.S.A. The mineralization occurs as a multitude of quartz-ankerite veins in north- to northeast-trending fault-fissure zones that cut Precambrian-age mafic and felsic gneisses. Individual veins are often a kilometer or more long and typically a meter or less wide. The controlling structures are sometimes filled by altered andesite or diabase dikes, or are identified only as alteration selvages up to 2 meters or more wide within the gneiss. Exploration to date has focused on the veins and alteration zones of three separate areas: SGX (along the west edge of the Ying project), HPG (east of SGX in the north-central part of the Ying project) and HZG (south of SGX in the southwest corner of the Ying project). Underground exploration-development workings have discovered many veins or vein splays that are not exposed at the surface.

Since Silvercorp’s first exploration works at Ying in August, 2004, until now (August, 2007) a total of 63,487 m of tunnels, drifts, declines, raises or shafts have been completed and 78,581 m of underground and surface drilling has been done (280 total holes). The underground work and drilling have focused primarily on 18 of 28 known veins in the SGX Area, on 8 of more than 20 known veins in the HPG Area, and on 4 currently known veins in the HZG Area.

The recent work on the Ying Property has defined silver-lead-zinc mineral resources at SGX, silver-lead-zinc-gold at HPG and silver-lead-copper-gold at HZG. The 18 veins at SGX are discrete tabular quartz-ankerite veins with massive sulfide zones that average 0.39 m wide. The 8 veins at HPG are quartz-sericite-carbonate veins with massive sulfide zones that average 0.96 m wide. The 4 veins at HZG are quartz-ankerite-fuchsite veins with sulfide filled fracture zones that average 0.78 m wide.

These veins were defined by either channel sampling, new underground tunnels or underground drilling. To estimate the mineral resources contained in these veins, resource block models were constructed with polygonal methods on longitudinal vein sections using the same parameters –cutoff grade, cutoff thickness, area of influence, etc. – as those used in the last Ying resource estimation done one year ago (Broili et al, 2006).

This estimated resource (measured plus indicated) is 30% greater than the resource reported in the previous resource estimation (the 2006 Report by Broili, et.al.). This is largely due to the fact that the new estimation is based on 18 veins at SGX as compared to only 14 veins in the 2005 Report, and the two new areas, HPG and HXG have added 8 veins and 4 veins respectively."

During the 1st Quarter of 2008 (the Quarter ended June 30, 2007), the Company has milled 64,574 tonnes of ore and has produced 2,224 tonnes of direct-smelting lead-silver ore, yielding a combined run of mine head grades of 503.8 g/t silver, 8.02% lead and 3.71% zinc. This run of mine head grade is a reflection of mining dilution combined with mining of low grade resources.

Myles Gao, P.Geo., is the Company's Qualified Person on the project under NI 43-101 and has reviewed and given consent to the press release.

Item 6   Reliance on subsection 7.1(2) or (3) of National Instrument 51-102

Not applicable

Item 7   Omitted Information

No information has been omitted

Item 8   Executive Officer

For further information, please contact Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary at the above address or at (604) 669-9397

Item 9   Date of Report

September 20, 2007

EX-99.16

Exhibit 99.16

51-102F3
Material Change Report

Item 1   Name and Address of Company

Silvercorp Metals Inc. (the “Company”)
1378 – 200 Granville Street, Vancouver, BC V6C 1S4

Item 2   Date of Material Change

September 17, 2007

Item 3   News Release

The press release reporting the material change (copy attached), was disseminated by the Company on September 17, 2007 via Canadian and US timely disclosure through the facilities of Market Wire

Item 4   Summary of Material Change

The Company announces that the Board of Directors have declared that an annual dividend of $0.15 per share will be paid to shareholders of record at the close of business on September 28, 2007. The payment date is scheduled on or before October 21, 2007.

Item 5   Full Description of Material Change

This is the first time in the Company’s history it has declared a dividend. The Company believes that the payment of dividends rewards shareholder loyalty and is a validation of the Company’s cash generating capabilities. Silvercorp is a growing and profitable silver and base metals producing Company with the financial resources to return additional value to shareholders through the payment of dividends while continuing to fund new project acquisitions and development.

On August 31, 2007 the Company announced that it would be seeking shareholder approval for a 3:1 stock split at its upcoming Annual and Special General Meeting on September 28, 2007. In the event that the 3:1 stock split is approved and effective prior to the dividend payment date, the dividend will be adjusted to $0.05 per share to reflect the 3:1 stock split.

The declaration and amount of any future dividends will be at the discretion of the Directors.

Item 6   Reliance on subsection 7.1(2) or (3) of National Instrument 51-102

Not applicable

Item 7   Omitted Information

No information has been omitted

Item 8   Executive Officer

For further information, please contact Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary at the above address or at (604) 669-9397

Item 9   Date of Report

September 17, 2007

EX-99.17

Exhibit 99.17

 

SILVERCORP ANNOUNCES ANNUAL GENERAL MEETING OF SHAREHOLDERS TO BE HELD ON FRIDAY, SEPTEMBER 26, 2008; BOARD PROPOSES ADOPTION OF SHAREHOLDER RIGHTS PLAN

Trading Symbol: SVM:TSX August 15, 2008

VANCOUVER, British Columbia – August 15, 2008 – Silvercorp Metals Inc. (“Silvercorp” or the “Company”) announces that the Company’s Annual General Meeting (the “Meeting”) is scheduled to be held at 10:00 am PST on Friday, September 26, 2008. The Meeting will be held at the Malaspina Room located on the Concourse Level of the Fairmont Waterfront Hotel, 900 Canada Place Way, Vancouver, British Columbia.

The Company also announces that its Board of Directors has proposed the adoption of a shareholder rights plan (the “Rights Plan”) designed to encourage the fair and equal treatment of shareholders in connection with any takeover bid for the Company's outstanding securities.

The Rights Plan is intended to provide Silvercorp’s board of directors with adequate time to assess a takeover bid, to consider alternatives to a takeover bid as a means of maximizing shareholder value, to allow competing bids to emerge and to provide the Company's shareholders with adequate time to properly assess a takeover bid without undue pressure. The board of directors is not currently aware of any pending or proposed takeover bid for Silvercorp Metals Inc. but believes the Company's shares are undervalued relative to its financial performance, prospects, and the quality of its various silver-lead-zinc projects in China. The Rights Plan is similar to plans adopted by other Canadian companies and ratified by their shareholders.

The Rights Plan is currently being sent to the TSX Exchange for approval and its adoption by the Company is also subject to ratification by Silvercorp shareholders at the upcoming annual meeting of shareholders on Friday, September 26, 2008. Shareholders should refer to the Information Circular for the Annual General Meeting for further details.

About Silvercorp Metals Inc.

Silvercorp Metals Inc., China’s largest primary silver producer, is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Silvercorp Metals Inc. is operating and developing four highly profitable Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, China. Silvercorp is also applying for a mining permit for the newly acquired 95% owned GC/SMT property to profitably mine and produce silver, lead and zinc metals in Guangdong Province, China. In addition, Silvercorp is also exploring the 82% owned Na-Bao Polymetallic Project in Qinghai Province, China.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information:

SILVERCORP METALS INC.
Rui Feng, Chairman/CEO & Lorne Waldman, Corporate Secretary
Phone: (604) 669-9397 Fax: (604) 669-9387
Toll Free Phone: 1-888-224-1331
Email: info@silvercorp.ca
Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical factual information, including statements relating to Company’s intention to adopt a Rights Plan constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable secu rities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.18

Exhibit 99.18

PRESS RELEASE

Trading Symbol: SVM.TO August 14, 2008

SILVERCORP INCREASES DIVIDEND 60% - Q1 DIVIDEND CAD$0.02

VANCOUVER, British Columbia – August 14, 2008 – Silvercorp Metals Inc. (the “Company” or “Silvercorp”), China’s largest primary Silver producer, announced that its Board of Directors has declared its first quarterly dividend of CAD$0.02 per share, to be paid on October 21, 2008 to shareholders of record at the close of business on September 30, 2008. This is the first quarterly dividend payment of a planned annual dividend of CAD$0.08 per share. In 2007, Silvercorp paid an annual dividend of CAD$0.05 per share.

For the year ended March 31, 2008 Silvercorp earned US$0.41 per share, up 172% from US$0.15 per share in the prior year period. Based on Silvercorp's earnings growth and strong cash flow performance, and management’s confidence in its ability to grow production, the Board of Directors has determined that Silvercorp is in a position to provide an additional return to shareholders through a 60% increase in the dividend. At the same time, the Company will continue moving forward with its US$51 million exploration and mine development program. The declaration and amount of any future dividends will be at the discretion of the Board of Directors, and may be adjusted in the future based on fluctuations in metal prices and cash flows.

About Silvercorp Metals Inc.

Silvercorp Metals Inc., China’s largest primary silver producer, is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Silvercorp Metals Inc. is operating and developing four highly profitable Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, China. Silvercorp is also applying for a mining permit for the newly acquired 95% owned GC/SMT property to profitably mine and produce silver, lead and zinc metals in Guangdong Province, China. In addition, Silvercorp is also exploring the 82% owned Na-Bao Polymetallic Project in Qinghai Province, China. Silvercorp is focusing on exploring, developing, and acquiring profitable silver-polymetallic properties in China.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

Page 1 of 2

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Toll Free Phone: 1-888-224-1881; Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company’s future plans, including payment of dividends constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

Page 2 of 2

EX-99.19

Exhibit 99.19

PRESS RELEASE

Trading Symbol: SVM.TO August 13, 2008

SILVERCORP REPORTS RECORD CASH FLOW OF US$25.1 MILLION & RECORD SILVERPRODUCTION OF 1.1 MILLION OUNCES FOR THE 1st QUARTER ENDED JUNE 30, 2008

VANCOUVER, British Columbia - August 13, 2008 - Silvercorp Metals Inc. (the “Silvercorp” of “Company”) is pleased to announced the unaudited financial and operating results for the first quarter ended June 30, 2008. The financial results in the following text are expressed in US dollars (US$) unless stated otherwise.

FIRST QUARTER HIGHLIGHTS:

Record sales revenue of US$30.9 million, an increase of 39% from the prior year period

Record cash flow from operation of US$25.1 million, an increase of 33% from the prior year period

Record silver production of 1.1 million ounces, an increase of 27% from the prior year period

Industry leading low total production costs per ounce of silver are continuing to be achieved with a cash cost for silver production at negative $6.79 per ounce after adjustment for by-product credits,

Achieved limited production and profit at the TLP and LM Mines within only three months after their acquisition

The Company has noted an improved outlook for its power supply problems outlined in the August 8, 2008 news release. There has been no power rationing for the last five days. The local County Utility Bureau has assured the Company minimum power rationing as power supply to the local county has also improved when a new hydro power generating project in the County was brought into operation last week. Management is working closely with the local Utility Bureau to minimize future power interruptions, including investing almost $1 million since last May to build a new power line to the Ying Mine. The new power line is expected to be complete by the end of this August. The Company is also expanding diesel power generating capacity at the Ying mine to cope with potential power rationing. Further guidance on the power situation will be provided as the situation evolves.

FINANCIAL HIGHLIGHTS

For the 1st quarter ended June 30, 2008, the Company achieved record sales of $30.9 million, compared to $22.3 million for the same period one year ago. This represents an increase of 39% in sales revenue. Gross profit from operations amounted to $21.4 million (2007 - $17.4 million), an increase of 23% and representing a gross margin of 69% (2007 - 78%). Earnings before other income and expenses increased 13% to $17.1 million (2007 - $15.1 million). The net income was $11.6 million (2007 - $14.5 million) with a net profit margin of 38% (2007 - 65%). Net earnings of $0.08 per basic share represent $0.02 less compared to $0.10 per basic share for the same period last year.

After adjusting the prior year’s net income for an income tax benefit of $1.5 million, and mineral property option income of $1.9 million, net income for the 1st quarter ended June 30, 2008 in fact increased by 4% to $11.6 million as compared to adjusted net income for the prior year’s quarter of $11.2 million. The basic earnings per share of $0.08 for the 1^st quarter ended June 30, 2008 is comparable to the adjusted basic earnings per share of $0.08 for the same period one year ago.

Cash provided by operating activities rose 33% to a record of $25.1 million ($0.17 per share) for the 1st quarter ended June 30, 2008, a 33% increase compared to $18.9 million ($0.13 per share) over the same period one year ago.

Net profit and the net earnings per share for the quarter ended June 30, 2008 did not increase in line with increased sales compared to the same period one year ago mainly due to the following reasons: (i) the Company mined low grade areas at the Ying Mine as outlined in the 2007 Resources Upgrade report by Mr. C. Broili and Dr. M. Klohn contributing to the $3.7 million increase in cash cost of goods sold; (ii) $1.2 million increase in amortization, depreciation, and depletion cost; (iii) $0.2 million increase in general exploration expenses; (iv) $1.8 million increase in administrative and professional fees; and (v) income tax expense of $2.1 million as the Company started to pay income tax in China and a tax provision of $2.0 million was recorded.

Capital expenditures during the period amounted to $35.3 million (2007- $4.3 million) representing the purchase of mineral rights and properties of $31.5 million (2007 - $2.8 million) and the purchase of property, plant, and equipment of $3.8 million (2007 - $1.5 million). The Company ended the quarter with cash and cash equivalents and short term investments of $75.1 million (2007 - $72.6 million).

During the 1st quarter ended June 30, 2008, the Company, through the facilities of the TSX Exchange, acquired 764,300 shares under the Normal Course Issuer Bid at a total cost of $4.7 million of which 470,000 shares were cancelled. Subsequent to June 30, 2008, the Company acquired 325,400 common shares under the Normal Course Issuer Bid at a cost of $1.6 million and the remaining 619,700 common shares were cancelled.

OPERATIONAL HIGHLIGHTS

During the quarter, the Company reached limited test production at the LM Mine and TLP Mine. This has enabled the Company to achieve record silver production of 1,106,282 ounces during the quarter, representing an increase of 27% compared to the prior year.

Total sales and realized prices net of value added tax and smelter charges for the 1stquarter ended June 30, 2008 as compared to the same period of 2007, are comprised of the following:

1,106,282 (2007 - 870,608) ounces of silver sold for $15.4 million (2007 - $9.4 million) at an average selling price of $13.93 (2007 - $10.86) per ounce;

525 (2007 - 323 ) ounces of gold sold for $0.3 million (2007 - $0.1 million) at an average selling price of $661.24 (2007 - $452.05) per ounce;

14,427,862 (2007 - 11,269,546) pounds of lead sold for $12.8 million (2007 - $8.3 million) at an average selling price of $0.89 (2007 - $0.74) per pound; and,

4,165,194 (2007 - 3,849,273) pounds of zinc sold for $2.3 million (2007 - $4.3 million) at an average selling price of $0.55 (2007 - $1.13) per pound.

For the 1st quarter ended June 30, 2008, a total of 135,944 (2007- 70,816) tonnes of ores were mined, representing a 92% increase compared to the same period of 2007, from which 3,388 (2007 - 2,658) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 132,556 (2007 - 68,158) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates.

The total mining cost per tonne of ore mined increased by 60% compared to the same period of 2007 to $73.45 per tonne ($/t) (2007 - $46.00/t), primarily caused by: an increase in amortization and depletion of $10.40/t; an increase in raw materials supply cost of $5.84/t; and, an increase in exploration cost of $10.73/t.

The total milling cost per tonne of ore milled has increased by 22% to $13.39 per tonne of ore ($/t) (2007 - $11.00), mainly due to: an increase in depreciation of $1.00/t (2007 - nil); an increase in administration and transportation costs of $1.84/t; salary increase of $0.33/t; resource tax increase of $0.88/t; and, offset by raw materials decrease of $0.99/t, and utility cost decrease of $0.50/t.

The Company continues to achieve industry leading low total production costs per ounce of silver. The total production cost increased by 41% to negative $5.37 per ounce of silver after adjusting for by-product credits for the 1st quarter ended June 30, 2008, compared to negative $9.12 per ounce in the same period a year ago. The cash production cost for silver adjusted for by-product credits increased by 31% to negative $6.79 (2007 - negative $9.79) per ounce.

Ying Mine

The head grades of run of mine ores of 77,762 and 66,798 tonnes from the Ying Mine for the 1st quarter ended June 30, 2008 and June 30, 2007 respectively, were:

396.0 and 444.0 g/t for silver, a decrease of 11%;

6.7% and 7.3% for lead, a decrease of 8%; and,

3.3% and 3.5% for zinc, a decrease of 7%.

The following table lists the grade changes over the last six quarters at the Ying Mine:

Ying Silver Property			For the Quarters Ended
	Q1 2009	Q4 2008	Q3 2008	Q2 2008	Q1 2008	Q4 2007
	30-Jun-08	31-Mar-08	31-Dec-07	30-Sep-07	30-Jun-07	31-Mar-07
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	3,071	2,673	3,210	2,903	2,224	2,018
Ores Milled (tonne)	74,691	51,996	64,635	64,282	64,574	43,047
	77,762	54,669	67,845	67,185	66,798	45,065
Head Grades of Run of Mine Ores
Silver (gram/tonne)	396.0	488.9	461.7	446.8	444.0	502.1
Lead (%)	6.7	8.1	7.5	7.0	7.3	8.8
Zinc (%)	3.3	3.8	3.6	3.9	3.5	3.4

As the mining process at the Ying Mine is going through certain lower grade pockets of ore zones, it is expected that the head grades of run of mine ores from the Ying Mine will be the similar to this quarter for at least one quarter, until those higher grade pockets of ore zones are developed.

HPG Mine

The head grades of run of mine ores of 13,356 and 8,812 tonnes from the HPG Mine for the 1st quarter ended June 30, 2008 and June 30, 2007, were:

248.3 and 185.6 g/t for silver, an increase of 34%;

9.7% and 7.9% for lead, an increase of 23%; and,

0.6% and 1.7% for zinc, a decrease of 62%, respectively.

The following table lists the grade changes over the last five quarters at the HPG Mine:

HPG Project		For the Quarters Ended
	Q1 2009	Q4 2008	Q3 2008	Q2 2008	Q1 2008
	30-Jun-08	31-Mar-08	31-Dec-07	30-Sep-07	30-Jun-07
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	193	496	481	508	434
Ores Milled (tonne)	13,163	12,645	16,434	9,155	8,378
	13,356	13,141	16,915	9,663	8,812
Head Grades of Run of Mine Ores
Silver (gram/tonne)	248.3	198.9	217.3	259.3	185.6
Lead (%)	9.7	7.9	6.5	7.7	7.9
Zinc (%)	0.6	1.1	0.7	1.3	1.7

LM Mine

The LM Mine, in its first quarter of test production, achieved head grades of run of mine ores of 11,587 tonnes for the 1st quarter ended June 30, 2008 of:

305.4 g/t for silver; and,

2.0% for lead.

LM Project	For the Quarter Ended
	Q1 2009
	30-Jun-08
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	71
Ores Milled (tonne)	11,516
	11,587
Head Grades of Run of Mine Ores
Silver (gram/tonne)	305.4
Lead (%)	2.0
Zinc (%)	-

TLP Mine

The TLP Mine, in its first quarter of test production, achieved head grades of run of mine ores of 23,457 tonnes for the 1st quarter ended June 30, 2008 of:

183.0 g/t for silver; and,

2.7% for lead.

TLP Project	For the Quarter Ended
	Q1 2009
	30-Jun-08
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	53
Ores Milled (tonne)	23,404
	23,457
Head Grades of Run of Mine Ores
Silver (gram/tonne)	183.0
Lead (%)	2.7
Zinc (%)	-

OUTLOOK

Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies. For the Ying Mine, as the mining process is working through certain low grade areas at the Ying Mine as outlined in 2007 resources upgrade by Mr. C. Broili and Dr. M. Klohn, it is expected that the head grade of run of mine ores from the Ying Mine will be similar to this quarter for at least one quarter, until those higher grade pockets of ore zones are developed. This may result in the Company’s bottom line not increasing during this period, as the Ying Mine represented 80% of the Company’s total revenue for the last quarter.

For the TLP Mine, mining preparation and development are ramping up to reach capacity of 900 tonnes of ore per day (or 300,000 tonnes per year) in about two to three quarters. This may improve the Company’s sales and profit. The Company is still in the process of transferring the mining permits from the previous owner to the Company’s subsidiary Henan Found which remain subject to receipt of all necessary approvals from the Governmental departments of the Henan Province.

In Guangdong Province, the Company is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company’s Audited Annual and Unaudited Interim Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR at www.sedar.com.

Selected unaudited interim consolidated results for the three months ended June 30, 2008 (Canadian GAAP) are attached to this news release.

CONFERENCE CALL AND WEBCAST INFORMATIONA conference call and live audio webcast to discuss the results have been scheduled as follows:

Date:	Thursday, August 14th, 2008
Time:	9:00 am PST (12:00 pm EST)
Dial-In Number:	1-651-291-5254
Live audio webcast:	www.silvercorp.ca

Playback webcast can be accessed at: www.silvercorp.ca

About Silvercorp Metals Inc.

Silvercorp Metals Inc., China’s largest primary silver producer, is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Silvercorp Metals Inc. is operating and developing four highly profitable Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, China. Silvercorp is also applying for a mining permit for the newly acquired 95% owned GC/SMT property to profitably mine and produce silver, lead and zinc metals in Guangdong Province, China. In addition, Silvercorp is also exploring the 82% owned Na-Bao Polymetallic Project in Qinghai Province, China.

The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO and Lorne Waldman, Corporate Secretary, Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca.

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical factual information, including statements relating to mineral resources and reserves, or the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 su ch statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

SILVERCORP METALS INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited - expressed in US Dollars)

	Notes		June 30, 2008	March 31, 2008
ASSETS
Current Assets
Cash and cash equivalents		$	42,592,496	47,092,890
Short term investments			32,471,317	37,145,656
Accounts receivable and prepaids			11,035,520	5,259,699
Inventories	3		4,612,606	2,389,175
			90,711,939	91,887,420
Long term prepaids			2,277,554	5,194,431
Long term investments	4		17,853,691	17,873,887
Property, plant and equipment	5		17,952,478	14,349,572
Mineral rights and properties	6		148,017,344	60,904,275
Reclamation deposits			9,817	9,729
		$	276,822,823	190,219,314
LIABILITIES
Current Liabilities
Accounts payable and accrued liabilities	6	$	22,353,854	7,026,628
Deposits received from customers			2,350,775	2,573,202
Income tax payable			362,935	719,557
Amounts due to related parties	10		12,178,668	12,070,732
			37,246,232	22,390,119
Future income tax liabilities			25,800,631	6,345,898
Asset retirement obligation	7		1,991,780	1,225,829
			65,038,643	29,961,846
Non-controlling interests			15,699,725	11,265,197
SHAREHOLDERS' EQUITY
Share capital	8		114,236,035	78,334,543
Contributed surplus			-	1,722,036
Reserves	9		11,059,771	2,077,628
Accumulated other comprehensive income			17,536,691	14,121,627
Retained earnings			53,251,958	52,736,437
			196,084,455	148,992,271
		$	276,822,823	190,219,314
Commitments and Contingencies	15

Approved on behalf of the Board:

(Signed) Greg Hall

Director

(Signed) Rui Feng

Director

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS

(Unaudited - Expressed in US Dollars except for share figures)

			Three months ended June 30,
	Notes		2008			2007
Sales		$	30,859,277		$	22,253,286
Cost of sales			7,938,756			4,278,189
Amortization and depletion			1,568,442			586,053
			9,507,198			4,864,242
Gross profit			21,352,079			17,389,044
Expenses
Accretion of asset retirement obligations	7		18,533			15,156
Amortization			292,681			90,381
Foreign exchange loss (gain)			120,416			410,903
General exploration and property investigation expenses			479,251			230,739
Investor relations			94,703			57,667
Mineral properties written off			-			-
Office, administration and miscellaneous	8(d)		2,948,467			1,378,606
Professional fees			289,618			95,343
			4,243,669			2,278,795
Earnings before other income and expenses			17,108,410			15,110,249
Other income and expenses
Equity loss in investment	4		(204,731	)		(120,018	)
Loss on disposal of property, plant and equipment	5		(9,504	)		(48,130	)
Mineral property option income			-			1,913,073
Interest income			776,949			470,912
Other income			28,546			533
			591,260			2,216,370
Income before income taxes and non-controlling interests			17,699,670			17,326,619
Income tax expense
Current			2,039,512			(1,466,991	)
Future			(152,870	)		15,501
			1,886,642			(1,451,490	)
Income before non-controlling interests			15,813,028			18,778,109
Non-controlling interests			(4,211,587	)		(4,251,086	)
Net income			11,601,441			14,527,023
Retained earnings, beginning of period			52,736,437			1,767,831
Appropriation to reserves			(8,982,143	)		(2,077,628	)
Value charged to retained earnings upon shares acquired under
normal course issuer bid			(2,103,777	)		-
Retained earnings, end of period		$	53,251,958		$	14,217,226
Basic earnings per share		$	0.08		$	0.10
Diluted earnings per share		$	0.08		$	0.10
Weighted Average Number of Shares Outstanding - Basic			151,655,320			146,441,295
Weighted Average Number of Shares Outstanding - Diluted			153,178,476			150,235,032

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited - expressed in US Dollars)

		Three months ended June 30,
		2008			2007
Net income for the period	$	11,601,441		$	14,527,023
Other comprehensive income, net of taxes:
Transition adjustment to opening balance upon adoption of new standards		-			8,674
Unrealized gain (loss) on available for sale securities		(68,722	)		72,853
Unrealized exchange gain (loss) on translation of self-sustaining foreign operations		1,825,999			(1,001,667	)
Unrealized exchange gain on translation of functional currency to reporting currency		1,657,787			5,484,221
Other comprehensive income		3,415,064			4,564,081
Comprehensive income	$	15,016,505		$	19,091,104

SILVERCORP METALS INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited - expressed in US Dollars)

		Three months ended June 30,
		2008			2007
Cash provided by (used for)
Operating activities
Net income for the year	$	11,601,441		$	14,527,023
Add (deduct) items not affecting cash :
Accretion of asset retirement obligations		18,533			15,156
Amortization		1,568,442			676,434
Equity Investment loss		204,731			120,018
Future income tax		(152,870	)		15,501
Loss on disposal of property, plant, and equipment		9,504			48,130
Mineral property option income		-			(1,913,073	)
Non-controlling interests		4,211,587			4,251,086
Stock-based compensation		567,035			596,906
		18,028,403			18,337,181
Net change in non-cash working capital
Accounts receivable and prepaids		(5,656,109	)		(473,670	)
Inventory		(2,025,204	)		487,679
Accounts payable and accrued liabilities		15,323,914			1,254,098
Asset retirement obligation discharged upon payment		-			(95,415	)
Income tax payable		(359,139	)		(1,528,500	)
Deposits received from customers		(241,499	)		900,655
Cash provided by operating activities		25,070,366			18,882,028
Investing activities
Acquisition of mineral rights and properties		(31,477,543	)		(2,824,185	)
Acquisition of property, plant, and equipment		(3,829,869	)		(1,438,164	)
Purchase of long term investments		-			(130,316	)
Decrease (increase) of short term investments		5,063,484			(16,036,826	)
Decrease (increase) in long term prepaids		2,956,825			(1,511,033	)
Disposal of property, plant, and equipment		156,975			157,352
Distribution to non-controlling interest shareholder		-			(3,371,257	)
Advances to joint venture parties		-			(365,469	)
Cash used in investing activities		(27,130,128	)		(25,519,898	)
Financing activities
Repayment from (advance to) related parties		107,936			(365,469	)
Share subscriptions for cash, net of commission and expenses		21,092			908,209
Shares returned to treasury for cancellation		(4,655,149	)		-
Cash provided by (used in) financing activities		(4,526,121	)		542,740
Effect of exchange rate changes on cash and cash equivalents		2,085,489			3,011,733
Decrease in cash		(4,500,394	)		(3,083,397	)
Cash and cash equivalents, beginning of period		47,092,890			53,330,468
Cash and cash equivalents, end of period	$	42,592,496		$	50,247,071
Supplemental information:
Income tax paid	$	2,039,512		$	-
Non-cash investing activities:
Common shares of New Pacific Metals Corp. received as	$	-		$	1,913,073
partial consideration for the Option Agreement in
relation to the Kang Dian Project
Share issued for mineral rights and properties	$	36,484,591		$	-
Construction in process transferred to mineral rights and properties	$	-		$	1,313,791

EX-99.20

Exhibit 99.20

Power Supply Rationing

Trading Symbol: SVM:TSX August 8, 2008

VANCOUVER, British Columbia — August 8, 2008 — Silvercorp Metals Inc. ("Silvercorp" or the "Company"), provided an update on power supply issues in China. Due to inadequate power coal supply nation wide, and due to measures to insure power supply to the Beijing Olympic Games and to residential consumers during the Olympic Games, governmental rationing has been imposed for industrial usage. As a result, Silvercorp's mining operations in its Ying Mining Camp, in Luoyang City, Henan Province have experienced approximately 13.4% down time during the month of July. The total power down time in July was approximately 100 hours for mines and mills, or about 3.22 hour per day. In addition, during the first 8 days of August, Silvercorp experienced 32% down time, losing about 60 hours or 7.5 hours per day. It is expected that during the Olympic Games period ending September 5th, the average down time will remain about 7.5 hours to 14 hours per day.

Power supply issues, have in the past, and may continue to affect Silvercorp's operations after the games, due to coal supply issues, both nationally, and within Luoyang City where Silvercorp's Ying Mining Camp is located. Coal-fired power plants, supply approximately 78 percent of China's electricity. The coal supply problems are due to tough safety production measures imposed by the government which are causing many coal mines to shut down for safety improvements or for consolidation. Silvercorp's management team is working closely with the relevant authorities to reduce the impact of power shortages on the Company's operations.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies. In Guangdong Province, it is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SlLVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Toll Free Phone: 1-888-224-1881, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applica ble securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.21

Exhibit 99.21

First Quarter Results and Analyst Conference Call

Trading Symbol: SVM:TSX July 24, 2008

VANCOUVER, British Columbia – July 24, 2008 – Silvercorp Metals Inc. (“Silvercorp”), announcedthat it expects to release its unaudited first quarter results for the period ended June 30, 2008 on Wednesday, August 13, 2008 after the close of the market. Silvercorp’s management will hold a conference call on Thursday, August 14, 2008 at 9:00 a.m. Pacific Time to discuss the first quarter 2008 results with analysts. Shareholders, media, and interested investors are invited to listen to the live conference over the internet by going to www.silvercorp.ca and clicking on the conference call link (on the home page) or over the phone by dialing (651) 291-5254 just prior to its start time. Analysts who wish to receive the toll free dial-in number for this conference ca ll are invited to contact us at (604) 669 9397 or via email to ir@silvercorp.cano later than 2:00 p.m. Pacific Time on Wednesday, August 13, 2008. All participants will be asked to register with the conference call operator.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies. In Guangdong Province, it is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

EX-99.22

Exhibit 99.22

Update on Normal Course Issuer Bid

Trading Symbol: SVM:TSX July 16, 2008

VANCOUVER, British Columbia – July 16, 2008 – Silvercorp Metals Inc. ("Silvercorp"), announced that to date it has acquired 872,500 of its common shares through the facilities of the TSX Exchange. All common shares repurchased will be cancelled.

Under the Normal Course Issuer Bid, announced on March 20, 2008, Silvercorp intends to acquire up to 2,988,029 of its Common Shares (being approximately 2% of the 149,401,476 shares currently issued and outstanding), over a one year period. The Company continues to believe that prevailing market conditions have resulted in Silvercorp's shares being undervalued relative to the immediate and long term value of Silvercorp's assets.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies. In Guangdong Province, it is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statemen ts. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.23

Exhibit 99.23

NEWS RELEASE

Trading Symbol: SVM:TSX June 23, 2008

Drilling Intercepts 1.62 m Interval of Eruptive Breccia Grading 5.4 Grams Per Tonne Gold and 5,474 Grams Per Tonne Silver at the HPG Mine of Ying Silver Mining Camp, Henan Province, China

VANCOUVER, BRITISH COLUMBIA – June 23, 2008 - Silvercorp Metals Inc. ("Silvercorp") is pleased to provide an update on the exploration program at the HPG mine in the Ying Silver Mining Camp for the period from June 2007 to May 2008. The program is aimed at exploring the veins and mineralization along strike and dip, converting inferred resources to indicated and measured resources categories, expanding inferred resources at depth and along strike, and discovering and defining additional mineralized veins in the area.

During the period, 12,353 metres (“m”) of exploration tunnels and 16,997m drilling in 74 diamond drill holes (55 surface and 19 underground drill holes) have been completed. Out of the 74 drill holes, 45 holes intercepted significant mineralization, representing a 61% drilling success rate.

The HPG Mine, acquired one year ago by Silvercorp, has shown steady profitable production. The production profit has financed this extensive exploration work and the acquisition of LM Mining permit. This has again demonstrated Silvercorp’s successful strategy of getting into production early, even before the project’s full potential is explored, and then using the production profit to finance the exploration, resource growth and mine expansion.

The tunneling and drilling work have been carried out on 19 different veins and a new type of gold-silver mineralization, the eruptive breccias. The veins include H5, H6, H10, H10-1, H11, H12, H12-1, H13, H15, H15-1, H15-2, H16, H17, H17-1, H17-2, H18, H29, H32, and H39-1, however, most of exploration work was concentrated on the H15, H17, H29, H32 veins and newly discovered eruptive breccia type mineralization in which significant ore shoots were defined. The mineralization associated with the newly discovered eruptive breccia is high in gold and silver but low in lead and zinc.

The assay results from the drill holes are listed in the tables below. The results of the tunnels are listed on Silvercorp’s web site: www.silvercorp.ca. Significant results are:

• Drill hole ZK1510 intersected 1.62 m interval (core length) of the eruptive breccia grading 5.41 g/t (gram per tonne) gold (Au), 5,474 g/t silver (Ag) at 560m elevation;

• Drill hole ZK1511 intersected 3.52 m interval of the eruptive breccia grading 2.58 g/t Au, 186.17 g/t Ag and 1.25% lead (Pb) at the 573 elevation and a second internal of 9.7m grading 1.98g/t Au, 45.33g/t Ag and 0.16% Pb at 557m elevation;

• Drill hole ZK0703 intersected 0.34m (core length) in H10-1 Vein containing 2.59 g/t Au, 265 g/t Ag, and 12.37% Pb;

• Underground drill hole ZK0302 intersected 2.24m core interval of the H13 vein at 536m elevation, grading 838 g/t Ag, 14.13% Pb, and 0.19% Zn;

• Tunneling intercepted 0.55m true width grading 14.89 g/t Au, 246 g/t Ag, 5.63% Pb, and 0.19% Zn on 637m elevation on the H5 Vein;

• Tunneling intercepted 0.70m true width grading 1.51 g/t Au, 2,493 g/t Ag, 3.47% Pb, and 12.92% Zn at 543m elevation on the H13 Vein;

• Tunneling intercepted 0.20m true width of H6 Vein grading 12.56 g/t Au and 132 g/t Ag, at 693m elevation;

• Tunneling intercepted 0.25m true width containing 1.42 g/t Au, 4,425 g/t Ag, 3.88% Pb, and 1.12% Zn at 653m elevation on the H11 vein;

• Tunneling intercepted 0.15 m true width grading 102 g/t Ag, 29.64% Pb, and 1.12% Zn at 647m elevation on the H12 vein;

• Tunneling intercepted 2.00 m true width grading 5.22 g/t Au, 102 g/t Ag, 7.62% Pb, and 0.23% Zn at 600m elevation on the H12-1 vein; Drill hole ZK23A-03 also hit the H12-1 vein at 970m elevation that contains 104 g/t Ag, 35.06% Pb, and 0.32% Zn over 0.10m core length;

• Tunneling intercepted drifting exposed 0.40m true width grading 0.82 g/t Au, 507 g/t Ag, 29.14% Pb at 624m elevation on the H15 vein;

• Tunneling intercepted H15-1 vein at 746m elevation containing 2.64 g/t Au, 961 g/t Ag, and 7.65% Pb over 0.30m true width;

• Tunneling exposed 0.45m true width of H15-2 Vein at 694m elevation grading 2.40 g/t Au, 670 g/t Ag, 15.70% Pb; Drill hole intersected the H15-2 vein at 450m elevation grading 1.05 g/t Au, 130 g/t Ag, 10.11% Pb over 0.50 m core length;

• Tunneling intercepted 0.40m true width containing 3.04 g/t Au, 3,729 g/t Ag, 8.33% Pb and 2.44% Zn at 625m elevation on the H17 vein; underground drill hole ZK1612 intersected the H17 vein at 217m elevation that grades 5.65 g/t Au, 53 g/t Ag, 7.57% Pb, and 7.26% Zn;

• Tunneling intercepted 0.60m true width of H17-1 vein at 341m elevation containing 325 g/t Ag and 20.34% Pb, and 1.36% Zn.

• Tunneling intercepted 2.70 m true width grading 324 g/t Ag, 29.53% Pb at 364m elevation on the H17-2 vein;

• Tunneling exposed 0.40 m true width grading 4.03 g/t Au, 2,081 g/t Ag, 5.19% Pb, and 0.53% Zn at the 740m elevation on the H18 vein;

• Tunneling on the 749m elevation H29 vein intersected 0.30m true width grading 134 g/t Ag, 25.54% Pb, and 4.67% Zn;

• Tunneling on the 650m elevation H39-1 vein intersected 0.30m true width grading 2.92 g/t Au, 1,011 g/t Ag, 1.33% Pb, and 1.21% Zn;

H5 Vein
The vein is over 600 m and dips to south steeply (84 degree). Over 205 m of drift and 95 m of bypass tunnel was completed on the 460 m elevation, and a 25 m long ore shoot is defined that contains 35 to 145 g/t Ag, and 0.52 to 10.48% Pb over 0.30 to 1.80 m true width.

H6 Vein
The vein was traced over 150 m so far by tunnel with 50 to 80 degree dipping angle at 652m elevation.

H10 Vein
On the surface, the H10 vein extends over 200 m with a dipping angle of 75 degree at southeast direction. Over 88 m drifting and 57 m crosscutting were completed on the vein through PD640, which defined 30 m long, 0.15 m wide gold ore shoot at 640m elevation.

H10-1 Vein
The vein is a branch of H10 Vein and is located southeast of H10 vein. Three drill holes intercepted the vein at 615 to 619m elevation. The drill hole intercepts contain 0.29 to 2.59 g/t Au, 21 to 414 g/t Ag, and 1.49 to 52.70% Pb over 0.15 to 0.34 m core intervals.

H11 Vein
The vein is located 45 m southeast of H10 Vein and extends over 270m in length. It dips to southeast with a dipping angle of 75 degrees. Exploration work includes 137 m drifting along the vein at 652m elevation through PD640 and 6 drill holes at 500 to 530 m elevation.

H12 Vein
The vein is north-south striking and dips to east at a dipping angle of 78 degree. It has been drifted over 339 m through PD640. A 33 m long ore shoot in the vein was defined at 640m elevation which ranges 0.15 to 1.20 m in width.

H12-1 Vein
H12-1 is located 60 m east of H12 and is parallel to H12 and was tunneled over 289 m at 600m and 640m elevation through PD640. Eight diamond drill holes intercepted the vein at an elevation ranging from 571 to 640 m.

H13 Vein
A newly discovered vein, it is traced on surface over a length of 350 m. Exploration work includes 335 m drifting along the vein at 530 m elevation through PD2 and interception by 8 diamond drill holes.

H15 Vein
The vein was explored through five access tunnels – PD3 at 380m, 460m, 500m levels, PD630 at 630m level, PD700 at 700m level, PD710 at 710m level, and PD720 at 720m level. A total of 1,622 m of tunneling was completed and 30 drill holes intersected on the vein. Tunneling includes 676 m drift and 206 m raise along the vein, and 649 m of crosscut. The most significant ore shoot was about 120 m in length and 0.20 to 1.80 m in width at 380m level, grading as high as 5.38 g/t Au, 183 g/t Ag, 13.28% Pb, and 13.57% Zn.

H15-1 and H15-2 Veins
H15-1 Vein is located at 80 to 100 m west of the H15 vein. The H15-2 vein is branching out from H15 Vein at approximately 740m elevation, dipping to northwesterly with 80 degree dipping angle. H15-1 Vein was mapped on the surface about 350m in striking length while H15-2 Vein was only intercepted by diamond drilling and tunneling. The both veins are explored at 720m, 700m, and 630m elevations through the main access tunnel PD720, PD700, and PD730. A total of 413 m and 126 m drifting were completed for the H15-1 and H15-2 veins. Five drill holes intercepted the H15-2 Vein and three of them hit significant mineralization.

H16 Vein
The vein extends over 600 m in length. A total of 248 m of tunneling (217 m drifting and 31 m crosscutting) and 10 drill holes were completed on the vein. The drifting was done at 660 m level through main access tunnel PD670. Five of 10 drill holes intercepted the significant mineralization from 420m to 678m elevation.

H17 Vein
A total of 3,021 m of tunneling were completed for the vein at 10 different levels from 340m to 720m elevation through 6 main access tunnels PD2, PD3, PD630, PD670, PD700, and PD720. In PD3, tunneling was carried out on the 500m, 460m, 420m, 380m, and 340m elevation and drifted 1,364 m. 287 m drifting in PD2 was done at 530m elevation. At 630m elevation through PD630, a 425 m drift was completed. In PD670, about 284 m drift was done along the vein. In PD700 and PD720, 166 m and 495 m drifting was done at 700m and 720m elevation, respectively. Six diamond drill holes have intercepted the H17 vein with significant mineralization.

Tunneling and drilling have defined 6 high grade ore shoots. The largest shoot is 40 to 120m in length and extends from 420m to 50m elevation (350m in down dip direction) grading as high as 6.50 g/t Au, 1,256 g/t Ag, 23.06% Pb, and 14.97% Zn.

H17-1 and H17-2 Veins
H17-1 Vein is located at 35 m west of the H17 vein. H17-2 Vein, located between H17 and H15 Veins, is branching out from H15 Vein approximately at the 410m elevation and merged to H17 Vein around the 365m elevation. Both veins were not shown on the surface and were only intersected by tunneling.

H18 Vein
The vein extends northeasterly for approximately 300 m on the surface. It dips to northwest with a dipping angle of 64 to 72 degrees. A total of 626 m of drifting was completed on the vein at 720 m and 700 m elevation through PD700 and PD720.

H32 Vein
Exploration work on the vein includes 245 m of drift and 60 m of raise along the vein and 26 m of crosscut. The work defined an ore shoot about 35 m long at 620 m elevation and 50 m long at 660m elevation.

H39-1 Vein
The vein was mapped over 600 m on the surface along northeast striking direction. H39-1 Vein steeply dips to southeast. Over 422 m of tunneling was developed on the vein. The work includes 224 m of drift and 48 m of raise along the vein, and 151 m of crosscut to access the vein from main access tunnel PD640.

Eruptive Breccia
Eruptive breccia, irregularly shaped, strikes northwesterly. On the surface, the breccia is over 700m on strike and 120m in width, dipping nearly vertically and extending at least over 450m.

Drill Hole Assay Results
Mineralized	Drill	Intersection		Interval	Distance to South of Section Line 16	Elevation	Au	Ag	Ag	Pb	Zn
Veins	Holes	From (m)	To (m)	(m)		(m)	(g/t)	(g/t)	(oz/t)	(%)	(%)
.Breccia	ZK1501	126.32	128.2	1.88	794	576	0.289	160	5.14	0.33	0.02
Breccia	ZK1507	177.08	177.26	0.18	780	625	1.338	38	1.21	1.34	0.88
Breccia	ZK1509	191.15	192.64	1.49	780	583	1.191	6	0.20	0.01	0.01
Breccia	ZK1509	51.36	53.41	2.05	780	709	0.062	15	0.47	3.35	0.30
Breccia	ZK1509	37.5	41.17	3.67	780	720	0.015	4	0.12	0.57	1.32
Breccia	ZK1510	205.3	206.97	1.62	780	560	5.405	5747	184.76	0.20	0.03
Breccia	ZK1510	42.09	45.79	3.70	780	715	0.041	17	0.56	2.30	1.71
Breccia	ZK1511	186.38	190.00	3.52	800	572	2.58	186.17	5.98	1.25	Na
Breccia	ZK1511	197.10	209.00	9.7	800	557	1.98	45.53	1.46	0.16	Na
Breccia	ZK6606	33.6	35.42	1.82	900	532	0.343	32	1.02	1.15	0.10
Breccia	ZK8408	219.64	221.44	1.80	776	610	0.150	227	7.31	0.35	0.32
Breccia	ZK8408	164.58	166.38	1.80	776	649	0.124	19	0.60	2.23	0.10
Breccia	ZK8408	159.22	161.35	2.13	776	652	1.282	190	6.09	0.93	0.07
H10-1	ZK0701	4.28	4.60	0.32	610	619	0.288	21	0.67	1.49	0.03
H10-1	ZK0702	4.95	5.10	0.15	610	618	0.727	414	13.32	52.70	0.10
H10-1	ZK0703'	7.48	7.82	0.34	610	615	2.592	265	8.53	12.37	0.08
H11	ZK0703	96.12	98.8	2.68	610	532	0.792	91	2.93	9.80	0.04
H11	ZK0706	139.9	140.7	0.80	610	506	0.932	29	0.94	0.31	1.14
H12	ZK23A02	61.36	61.51	0.15	970	589	0.622	70	2.26	18.92	1.59
H12	ZK23B01	92.92	93.02	0.10	970	583	5.190	67	2.17	0.28	0.04
H12-1	ZK23A01	10.53	12.50	1.97	970	639	2.758	6	0.18	1.18	0.10
H12-1	ZK23A02	46.59	47.09	0.50	970	603	0.019	10	0.32	2.29	0.09
H12-1	ZK23A03	17.47	17.57	0.10	970	633	0.140	104	3.34	35.06	0.32
H12-1	ZK23B01	11.19	13.25	2.06	970	639	2.489	18	0.59	0.31	0.09
H12-1	ZK23B02	14.16	16.27	2.11	970	635	0.640	66	2.11	5.06	0.15
H12-1	ZK23C01	11.06	11.97	0.97	970	640	0.213	22	0.71	1.05	0.07
H12-1	ZK23C02	13.00	13.66	0.66	970	637	0.262	31	1.00	1.98	0.10
H12-1	ZK2503	116.31	117.58	1.27	990	562	0.649	135	4.34	0.35	0.08
H12-1	ZK2503	105.39	105.49	0.10	990	571	0.391	70	2.26	21.97	2.42
H13	ZK0301	75.51	77.61	2.10	506	571	0.104	139	4.47	1.55	0.65
H13	ZK0302	105.17	107.41	2.24	506	536	0.511	838	26.94	14.13	0.19
H13	ZK0303	188.01	188.61	0.60	506	453	0.223	238	7.64	21.36	0.30
H13	ZK0701	174.05	174.10	0.05	600	504	0.030	23	0.74	3.51	1.82
H13	ZK0702	219.1	221.6	2.50	602	449	0.397	25	0.80	1.89	0.14
H13	ZK0703	287.1	288.47	1.37	602	359	0.971	252	8.12	0.68	0.74
H15	ZK1609	167.33	168.23	0.84	-8	323	1.576	73	2.36	2.74	1.50
H15	ZK1609	160.20	162.26	2.06	-8	328	2.160	192	6.18	11.05	0.59
H15	ZK1612	248.41	249.16	0.75	6	237	0.046	8	0.24	0.44	1.19
H15	ZK20A01	178.72	180.17	1.45	-116	321	1.219	4	0.14	0.11	0.01
H15	ZK3601	56.03	58.05	2.02	-500	843	1.681	11	0.34	0.09	0.05
H15	ZK3602	81.05	82.25	1.16	-503	809	1.090	42	1.35	1.52	0.05
H15	ZK4404	68.17	69.05	0.88	-686	806	1.030	3	0.10	0.04	0.01
H15	ZK4408	181.79	182.09	0.30	-686	676	1.403	9	0.29	0.09	0.03
H15	ZK4806	67.73	67.91	0.18	-800	807	8.606	18	0.59	0.22	0.03

H15-2	ZK1609	14.28	14.78	0.50	-8	450	1.053	130	4.17	10.11	0.20
H15-2	ZK1610	25.03	26.18	1.15	6	438	0.180	130	4.19	1.38	0.22
H15-2	ZK16B01	41.02	42.03	1.01	-40	421	0.176	128	4.11	5.16	0.28
H16	ZK0701	247.5	47.7	0.20	604	455	0.142	43	1.40	2.33	0.36
H16	ZK1509	302.38	304.48	2.10	780	482	0.043	249	7.99	1.45	0.12
H16	ZK1510	356.02	356.53	0.51	780	420	1.584	9	0.28	0.15	0.03
H16	ZK1701	114.65	114.9	0.25	850	678	1.551	67	2.15	9.90	2.52
H16	ZK1702	184.64	184.94	0.30	850	588	0.445	45	1.43	2.62	0.65
H17	ZK0701	280.34	281.06	0.72	635	432	0.475	14	0.46	1.17	0.52
H17	ZK1101	204.2	205.35	1.15	766	548	0.313	31	1.00	4.20	0.20
H17	ZK1609	185.04	185.04	1.13	-3	308	0.049	117	3.76	11.65	1.19
H17	ZK1612	269.81	271.11	1.30	6	217	5.648	53	1.70	7.57	7.26
H17	ZK16B01	306.99	309.80	2.81	-40	160	0.371	23	0.73	0.77	2.31
H17	ZK3601	178.78	179.23	0.45	-537	758	9.902	64	2.07	0.31	0.06
H17	ZK3602	243.24	243.55	0.31	-536	656	6.260	10	0.31	0.15	0.09
H17-1	ZK1609	201.82	202.44	0.62	-3	295	0.937	69	2.20	9.47	1.33
H17-2	ZK1609	212.60	213.09	0.49	-3	286	2.758	6	0.18	1.18	0.10
H29	ZK004	117.41	117.71	0.30	1210	795	0.015	5	0.16	1.38	0.03
H29	ZK008	134.03	136.09	2.06	1230	774	0.083	12	0.40	2.02	0.08

Quality Control
Rock samples were collected by channel sampling the face of the undercut drifts. The channels were usually cut 10cm in width and 5cm in depth producing a sample weighing approximately 2kg to 10kg for each 0.10 to 1.00m interval depending on the thickness of mineralization. Drill cores are NQ/HQ size and drill core samples were taken from sawn half core limited by apparent massive galena sheet contact or shear/alteration contact.

The Company maintains a quality control program to ensure best practice in sampling and analysis of the tunnel samples. The samples are shipped directly in security sealed bags to two labs: and the Langfang Institute of Geochemical and Geophysical Exploration (Certification ISO 9001), a well-regarded analytical laboratory in Langfang, Hebei Province near Beijing and analytical Lab of No. 6 Team of Henan Non-Ferrous Metals Geological and Mineral Resources Bureau in Luoyang located 125km by road northeast of the LM Mine.

The sample preparation consists of drying, crushing, and splitting of the sample to 250 grams, then the sample is pulverized to 200 mesh.

No. 6 Lab utilizes two acid digestion and AA finish on a 0.5 gram sample for lead and zinc. Titration is utilized as a modified process for higher grade materials. Silver is also analyzed using a two acid digestion on a 0.5 gram sample and AA finish.

Langfang Lab uses the ICP-OES process to analyze for lead, zinc and silver a 0.1 gram sample is digested with hot HCL, Hot HNO₃, HF and HClO₄ (200 degrees centigrade) the pregnant solution is analyzed utilizing mass spectrometry.

Both labs utilize a QA/QC system of duplicates replicates and Standards.

Michael Hibbitts, P.Geo, is the Qualified Person on the project under NI 43-101.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies. In Guangdong Province, it is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 suc h statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.24

Exhibit 99.24

 

NEWS RELEASE

Trading Symbol: SVM:TSX June 18, 2008

Tunnelling Discovers Two High Grade Silver-Lead Veins at Newly Acquired TLP Mine, Ying Silver Camp, Henan Province, China

VANCOUVER, BRITISH COLUMBIA – June 18, 2008 - Silvercorp Metals Inc. (“Silvercorp” or the “Company”) is pleased to report successful exploration results at the newly acquired TLP Mine at the Ying Silver Camp, Henan Province, China.

The TLP vein system is composed of 10 veins, 6 of which are roughly parallel and are stacked en-echelon veins with a strike length of up to 3 km. Historical exploration on the T1, T2, T3, T4, T5, and T6 veins has resulted in historical mineral resources, calculated between 1,100 metre and 700 metre elevations for these veins, of 3,688,343 tonnes grading 292 grams per tonne (g/t) silver (Ag) and 3.30% lead (Pb) (Chinese Government Standard Class C+D). As a non - NI 43-101 compliant resource calculation, and as mining of the resource by the prior operator has occurred, the resource cannot be relied upon.

The current goals for TLP exploration program are: (1) to evaluate the remaining quantity of the historical resources of the existing veins after the previous operators operations; (2) to define the strike and dipping extension of the existing veins; and, (3) to discover new veins. The results of the exploration program may form the basis, of a resource estimate in accordance with NI 43-101.

From March to May 2008, Silvercorp’s field crew:

• surveyed and mapped over 45,000 metres (m) of old tunnels and stopes,
• took 3,300 channel samples,
• developed 2,645m of new tunnels, and
• completed 3,309m of diamond drilling (four surface holes and one underground hole). All five drill holes intercepted the apparent silver (Ag) and lead (Pb) mineralization with assay results pending for 4 holes.

The program so far has confirmed a substantial amount of historical resources remaining in-situ, and drill holes have extended the main veins, T2,T3,T4 and T5 by 800m along strike and by 200m down dip to about 500m elevation, below the 700m elevation historical mining boundary. In addition, two new high grade Ag-Pb veins (T14 and T20) have been discovered in tunnel.

Significant results from tunnels and drill holes:

• 2.2m true width grading 1,118 g/t or (35.96 oz per tonne-oz/t) Ag, 24.33% Pb, 0.27% Zn and 2.10 g/t Au (gold) on the 800m elevation T2 vein.
• 0.70m true width grading 1,142 g/t or (36.73 oz/t) Ag, 4.09% Pb, 038% Zn and 0.76 g/t Au on the 725m elevation T3 vein.

• 0.40m true width grading 1,570 g/t or (50.47 oz/t ) Ag, 4.75% Pb 0.18% Zn and 0.92 g/t Au on the 800m elevation T4 vein.
• 0.78m true width grading 342 g/t or (10.97 oz/t) Ag, 17.21 % Pb and 0.21 %Zn on the 725m elevation T5 vein.
• 0.40m true width grading 1,914 g/t or (61.53 oz/t) Ag, 12.28% Pb and 0.87% Zn on the 960m elevation T14 vein.
• 0.30 m true width grading 1,764 g/t or (56.71 oz/t) Ag, 18.64% Pb and 3.03% Zn on the 780m elevation T20 vein.
• 0.60 m true width grading 208 (g/t) or 6.68 (oz/t) silver Ag, 4.87% lead (Pb) and 0.79 % (Zn) on the 930m elevation T1 vein.
• Surface drill hole ZK6501 intersected 0.40 m (core length) on the T3 vein at the 662m elevation grading 111 g/t or (3.56 oz/t) Ag and10.28% Pb and 0.02% Zn.

Newly Discovered Veins

T14 Vein
The vein does not show on the surface and was only intersected by tunneling. The vein strikes north-northwesterly and dips 80 degrees to the east. The T14 vein has been explored through main access tunnels PD890, PD930 and PD960 at 890m, 930m, and 960m elevations, respectively. A total of 210m drifting has been completed on the vein. To date T14 vein mineralization has been traced for 100m along strike on the 890m level.

T20 Vein
The T20 vein is not mapped out on the surface and was discovered by drifting on 780m elevation through main access tunnel PD780. The vein extends nearly north-south and dips 84 degrees to the east. To date, high grade mineralization of the T20 vein has been traced over 120m. Vein T20 is typified by well defined silver rich, massive galena and sphalerite. Zinc mineralization is notably higher than other veins at the TLP mine. The vein ranges 0.10 to 0.75 m in true width.

The T14 and T20 shows a developing trend of vein sets which are striking approximately north-south, compared to the 035 degree strike of veins T1 to T6, which represents a new vein orientation not previously recognized.

Tunneling assay results are listed in the Table 1 below.

Update on the TLP mine development

A 776m long tunnel, 3.5m by 3.2m in dimension, has been completed to divert water from a narrow valley, thereby providing space for a waste rock dump. To facilitate production by allowing access for large mechanized equipment, the main access tunnel PD730, at 730m elevation, has been widened to 3.5m by 3.2m over 653m in length. A further 180m remains to be completed to enable heavy equipment to reach the T2 and T3 veins.

Table 1. Assay Results
Mineralized Veins	Elevation (m)	Distance to	True
		South of line	Width	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
		15 (m)	(m)
T1	960	92	0.5	125	4.03	0.12	0.05	0	0.06
	930	97	0.6	170	5.47	3.15	0.08	0.1	0.01
	930	137	0.6	208	6.68	4.87	0.79	0.07	0.18
	800	110	0.45	131	4.21	0.91	0.18	0.21	Na
	800	113	0.35	169	5.43	6.23	0.42	0.28	Na
T2	1020	268	3.3	428	13.75	3.28	0.11	0.098	0.12
	1020	310	1.8	204	6.57	3.09	0.1	0.02	0.14
	1020	312	2.5	196	6.29	1.73	0.11	0.02	0.13
	960	-120	0.8	211	6.77	0.44	0.23	0	Na
	960	-33	1.1	113	3.63	5.58	0.59	0.02	0.01
	960	0	1	154	4.96	3.27	0.24	0.01	0.02
	960	37	0.8	102	3.27	0.94	0.84	0.01	0.01
	960	305	0.4	213	6.86	0.7	0.06	0.02	0.03
	960	334	0.4	215	6.92	1.02	0.13	0.02	0.04
	960	360	1.2	646	20.76	3.7	0.35	0.08	0.01
	960	365	0.3	212	6.81	6.65	0.18	0.01	Na
	930	-98	0.4	358	11.51	15.61	0.16	0.06	0.09
	930	-60	3.16	114	3.67	3.24	0.32	0.02	0.02
	930	-43	1.1	255	8.2	5.83	0.31	0.03	0.05
	930	180	0.3	107	3.42	1.72	0.08	0.01	0.01
	930	207	0.5	623	20.03	2.05	0.42	0.06	0.02
	930	405	0.2	902	29.01	5.08	0.07	0.17	0.33
	930	425	1.2	130	4.19	1.75	0.13	0.01	0.03
	930	480	1.7	155	4.98	5.51	0.16	0.015	0.051
	930	492	0.3	337	10.82	4.5	0.23	0.02	0.15
	890	30	1.1	196	6.27	1.10	0.05	0.05	Na
	890	31	0.8	178	5.72	1.01	0.04	0.01	0.03
	890	43	0.9	196	6.31	1.84	0.04	0.04	0.04
	890	50	0.25	348	11.2	3.32	0.07	0.28	0.11
	890	227	0.25	1377	44.27	3.62	0.23	0.17	Na
	890	283	0.9	258	8.29	14.47	1.03	0.05	Na
	890	300	0.2	274	8.8	39.3	0.07	0.17	Na
	840	-176	0.7	364	11.7	0.66	0.06	0.27	0.2
	840	5.04	0.3	162	5.21	1.27	0.08	0.04	0.11
	840	29	0.2	110	3.53	31.89	0.06	0.15	0.13
	840	47	0.6	275	8.84	4.37	0.2	0.27	0.12
	840	55	3	186	5.96	1.34	0.18	0.137	0.1
	840	119	0.2	333	10.72	7.54	0.4	0.13	0.93
	840	129	0.6	531	17.08	3.63	0.3	1.87	0.54
	840	208	0.35	107	3.44	1.95	0.07	0.07	0.66

Mineralized Veins	Elevation (m)	Distance to	True
		South of line	Width	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
		15 (m)	(m)
	840	241	0.75	360	11.58	7.23	0.13	0.57	0.13
	800	-429	3.05	147	4.76	1.08	0.17	0.17	0.30
	800	-406	1.66	226	7.27	4.38	0.10	0.56	0.39
	800	-380	1	208	6.68	0.9	0.17	0.13	0.14
	800	-360	3.15	432	13.88	1.84	0.08	0.43	0.10
	800	-351	2.2	1118	35.96	24.33	0.27	2.10	0.45
	800	-311	1.15	111	3.58	5.70	0.19	0.10	0.19
	800	-305	0.5	119	3.81	3.02	0.14	0.1	0.12
	800	-303	0.7	102	3.27	0.64	0.19	0.04	0.08
	800	-253	0.4	382	12.29	4.55	0.07	0.33	0.09
	800	-226	1.2	163	5.23	2.66	0.12	0.48	0.14
	800	-158	0.55	149	4.77	1.23	0.26	0.1	0.09
	780	-1030	0.7	325	10.44	8.87	0.31	0.77	0.58
	780	-993	2.3	168	5.41	7.23	1.94	0.43	0.09
	780	-955	1	1378	44.31	4.82	0.14	1.54	0.14
	770	-538	0.6	466	14.97	5.6	0.19	0.27	0.23
	770	-531	0.5	231	7.43	4.9	0.21	0.13	0.18
	760	-501.5	0.4	291	9.35	6.73	0.14	1.4	0.33
	730	-562	4.79	133	4.28	22.14	1.61	0.61	0.36
	730	-497	0.1	400	12.86	5.61	0.79	0.76	2.37
	730	-476	0.5	134	4.3	3.01	0.02	0.24	0.73
	730	-425	0.3	279	8.96	28.48	0.05	1.31	0.41
	730	-192	0.85	308	9.89	8.68	0.21	1.52	4.24
	730	-138	1.1	397	12.77	0.62	0.09	0.29	0.08
	730	-96	1.1	110	3.53	6.53	1.38	0.31	0.96
	730	-23	1.2	216	6.94	4.94	0.05	2.86	0.09
	730	8	1.9	622	20.02	8.51	1.57	2.10	1.28
	730	58	0.4	156	5.02	6.34	0.26	0.67	0.53
	730	300	0.2	115	3.68	11.17	0.17	0.43	0.04
	730	345	1	453	14.56	13.17	0.06	0.95	0.73
	730	395	0.2	435	13.99	5.17	0.19	0.45	0.13
	730	414	0.2	104	3.36	37.46	0.06	0.17	0.05
	730	445	0.3	598	19.21	1.77	0.89	0.31	0.45
	725	-656	0.45	143	4.61	37.31	0.03	1.07	0.02
	725	-519	0.6	198	6.38	10.62	0.32	0.29	0.64
	725	-39	2.9	178	5.74	2.29	0.57	0.52	2.07
	725	90	0.9	228	7.34	3.91	1.21	0.86	0.33
	710	-601	0.95	104	3.36	0.03	0.03	0.36	0.1
T3	960	-43	0.5	207	6.66	3.68	0.4	0.08	Na
	960	193	0.6	112	3.6	0.3	0.08	0.01	Na
	960	295	0.7	114	3.66	2.14	0.48	0.02	Na
	890	-345	1.8	438	14.07	3.90	0.43	0.31	Na

Mineralized Veins	Elevation (m)	Distance to	True
		South of line	Width	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
		15 (m)	(m)
	890	-340	0.8	180	5.79	2.55	0.17	0.07	Na
	890	-335	0.8	110	3.53	2.63	0.23	0.06	Na
	890	-41	0.1	176	5.65	18.05	0.93	0.09	Na
	890	174	0.2	468	15.04	18.88	0.34	0.09	Na
	840	-63	1.9	205	6.58	6.61	0.18	0.27	0.17
	840	-55	0.75	148	4.76	4.08	0.13	0.33	0.28
	840	-48	1	258	8.30	5.47	0.08	0.14	0.08
	840	-39	1	188	6.03	1.33	0.06	0.08	0.07
	840	-38	0.5	107	3.44	1.49	0.16	0.06	0.19
	840	-7	1.1	132	4.25	1.42	0.1	0.07	0.22
	840	28	0.3	166	5.33	0.92	0.18	0.1	Na
	840	47	0.4	643	20.67	8.44	0.37	0.69	0.84
	840	55	3	180	5.79	0.95	0.37	0.07	0.12
	840	154	1.67	136	4.36	4.07	0.22	0.03	0.05
	840	162	1	132	4.23	4.34	0.1	0.07	0.06
	840	250	0.1	187	6.01	30.16	0.8	0.06	0.62
	840	311	0.5	119	3.82	7.73	0.17	0.03	0.08
	800	-492	0.7	131	4.2	22.92	0.27	0.19	0.93
	800	-411	0.9	101	3.24	2.16	0.06	0.02	0.02
	800	-398	0.65	278	8.93	1.50	0.09	0.09	0.21
	800	-392	0.7	474	15.23	8	0.23	0.25	0.1
	800	-373	0.4	103	3.32	28.56	1.32	0.06	0.12
	800	-367	1	106	3.41	11.55	0.09	0.46	0.38
	800	-89	0.4	235	7.54	2.25	0.05	0.79	Na
	800	32	0.8	160	5.13	0.68	0.24	0.29	1.46
	800	228	0.5	169	5.45	1.47	0.06	0.04	0.05
	800	235	0.4	226	7.25	3.63	0.12	0.01	0.14
	780	44.3	0.85	186	5.99	0.95	0.77	1.63	na
	780	55	1.26	351	11.28	5.74	0.19	0.17	0.28
	770	-573	0.7	103	3.3	0.53	0.07	0.03	0.03
	760	-543	1	250	8.02	9.71	0.25	0.4	0.71
	730	-644	1.3	199	6.39	6.73	0.51	0.56	0.39
	730	-605	0.8	332	10.66	13.39	0.4	2.36	0.68
	730	-603	0.95	184	5.92	16.35	0.61	0.39	0.49
	730	-568	1.8	168	5.41	3.80	0.69	0.06	0.44
	730	-488	2.8	167	5.38	3.35	0.45	0.22	0.36
	730	-450	0.5	183	5.89	2.27	0.17	0.63	0.03
	730	-421	0.8	467	15.02	5.38	0.08	1.07	0.02
	730	-86	0.2	182	5.85	57.43	1.88	0.21	0.03
	730	26	2.1	359	11.53	11.82	0.34	0.89	2.20
	730	120	1	116	3.72	1.02	0.02	0.03	0.09
	730	398	0.4	276	8.87	15.97	0.07	0.45	0.09
	725	-689	0.2	374	12.02	11.03	0.08	0.32	0.01

Mineralized Veins	Elevation (m)	Distance to	True
		South of line	Width	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
		15 (m)	(m)
	725	-546.5	1.3	188	6.03	9.59	0.44	0.35	0.14
	725	-532	0.45	215	6.92	0.76	0.09	0.38	0.75
	725	-27.5	0.7	1142	36.73	4.09	0.38	0.76	na
	725	-18	0.7	235	7.56	7.5	0.68	0.32	na
	725	1	0.95	210	6.74	6.51	1.1	1.19	3.02
	725	38	0.2	105	3.38	16	2.66	0.25	1.54
	725	97	1	104	3.35	0.3	0.02	0.21	0.02
	725	656	0.8	111	3.57	6.53	0.02	0.13	0.25
	720	-634	0.7	215	6.91	45.21	0.8	0.31	0.03
	720	-626	0.8	178	5.74	26.51	0.84	0.28	0.13
	720	-519	1	124	3.99	2.62	0.09	0.25	0.09
	720	-474	0.5	131	4.21	21.83	0.36	0.32	1.01
	720	-465	0.85	185	5.96	1.56	0.07	0.34	0.04
T4	1070	295	0.8	178	5.72	2.56	0.48	0.11	na
	1070	237	0.6	411	13.22	1.78	0.10	0.08	na
	1070	273	0.2	1366	43.92	3.84	0.52	0.25	na
	725	-22.5	0.4	191	6.13	0.94	1.18	0.23	na
	800	-273	0.2	285	9.17	19.83	0.66	1	na
	800	83	0.4	1570	50.47	4.75	0.18	0.92	Na
	800	274	0.2	105	3.38	6.91	0.59	0.07	Na
	960	355	4	253	8.13	2.13	0.09	0.01	Na
	960	134	1	125	4.01	1.34	0.11	0.06	Na
	960	127	0.45	258	8.27	6.15	0.09	0.08	Na
	960	110	0.15	375	12.07	15.29	0.14	0.12	Na
	960	284	1.1	270	8.69	4.19	0.06	0.12	Na
	960	195	0.6	197	6.32	3.36	0.19	0.19	Na
	960	345	0.8	196	6.30	4.7275	0.105	0.01	Na
T5	725	-8	0.78	342	10.97	17.21	0.21	0.22	Na
	840	-87	0.1	173	5.56	0.97	0.12	0.03	Na
	840	62	0.3	354	11.38	6.5	0.14	0.17	Na
T14	960	-16	1.55	22	0.72	0.45	0.08	0.00	Na
	960	-11	0.8	1250	40.18	11.74	0.63	0.03	Na
	960	64	1	487	15.65	13.14	1.22	0.11	Na
	960	69	0.4	1914	61.53	12.28	0.87	0.1	Na
	960	84	0.8	105	3.36	50.07	0.3	0.02	Na
	930	0	0.2	259	8.33	6.58	0.38	na	Na
	930	30	0.4	331	10.64	10.3	0.85	0.15	Na
	930	35	0.7	114	3.65	3.98	0.52	0.08	Na
	930	40	0.9	567	18.23	4.81	0.56	0.18	Na
	930	45	0.3	261	8.39	3.12	0.15	0.2	Na
	930	70	0.2	549	17.65	1.11	0.86	0.24	Na
	909	-220	0.7	193	6.21	2.17	0.06	0.18	Na

Mineralized Veins	Elevation (m)	Distance to	True
		South of line	Width	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
		15 (m)	(m)
	904	-222	0.8	7	0.23	3.71	0.12	0.02	Na
	890	-286	0.9	54	1.72	25.44	0.1	0.01	Na
	890	-281	2.2	29	0.92	11.38	0.38	0.09	Na
	890	-276	0.7	42	1.38	3.31	0.12	0.02	Na
	890	-271	0.5	83	2.68	27.22	0.16	0.04	Na
	890	-266	0.8	517	16.61	2.78	0.16	0.19	Na
	890	-261	1.1	145	4.65	3.94	0.06	0.01	Na
	890	-251	1.1	120	3.88	9.46	0.04	0.12	Na
	890	-246	0.9	413	13.29	3.40	0.14	0.14	Na
	890	-241	1.4	670	21.53	2.99	0.33	0.27	Na
	890	-236	1.2	444	14.27	2.03	0.12	0.03	Na
	890	-231	1.8	662	21.30	10.80	0.14	0.07	Na
	890	-226	0.9	302	9.71	17.55	0.14	0.26	Na
	890	-221	0.8	327	10.51	2.06	0.26	Na	Na
	890	-216	0.9	25	0.81	0.43	0.08	na	Na
	890	-206	0.4	158	5.08	12.65	0.06	0.09	Na
T20	780	-606	0.6	314	10.1	2.07	0.47	0.17	Na
	780	-600	0.75	107	3.44	1.29	0.72	0.12	Na
	780	-590	0.6	412	13.25	46.96	2.56	0.25	Na
	780	-564	0.18	732	23.53	35.17	2.53	0.2	Na
	780	-560	0.3	894	28.75	2.60	5.72	0.29	Na
	780	-554	0.3	1764	56.71	18.64	3.03	0.32	Na
	780	-550	0.12	474	15.24	15.21	1.16	0.5	Na
	780	-545	0.4	1294	41.6	17.34	2.8	0.42	Na
	780	-540	0.1	241	7.75	17.69	0.49	0.17	Na
	780	-512	0.1	831	26.72	11.03	1.11	0.31	Na
	780	-506	0.1	641	20.61	33.17	4.26	0.23	Na

Quality Control
Rock samples were collected by channel sampling the face of the undercut drifts. The channels were usually cut 10cm in width and 5cm in depth producing a sample weighing approximately 2kg to 10kg for each 0.10 to 1.00m interval depending on the thickness of mineralization. Drill cores are NQ/HQ size and drill core samples were taken from sawn half core limited by apparent massive galena sheet contact or shear/alteration contact.

The Company maintains a quality control program to ensure best practice in sampling and analysis of the tunnel samples. The samples are shipped directly in security sealed bags to two labs: the Langfang Institute of Geochemical and Geophysical Exploration (Certification ISO 9001), a well-regarded analytical laboratory in Langfang, Hebei Province near Beijing and analytical Lab of No. 6 Team of Henan Non-Ferrous Metals Geological and Mineral Resources Bureau in Luoyang located 125km by road northeast of the LM Mine.

The sample preparation consists of drying, crushing, and splitting of the sample to 250 grams, and then the sample is pulverized to 200 mesh.

No. 6 Lab utilizes two acid digestion and AA finish on a 0.5 gram sample for lead and zinc. Titration is utilized as a modified process for higher grade materials. Silver is also analyzed using a two acid digestion on a 0.5 gram sample and AA finish.

Langfang Lab uses the ICP-OES process to analyze for lead, zinc and silver a 0.1 gram sample is digested with hot HCL, Hot HNO₃, HF and HClO₄ (200 degrees centigrade) the pregnant solution is analyzed utilizing mass spectrometry.

Both labs utilize a QA/QC system of duplicates replicates and Standards.

Michael W. Hibbitts, P.Geo, is the Qualified Person on the project under NI 43-101.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). In Henan Province it is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, owned through its 77.5% and 70% Chinese subsidiaries. In Guangdong Province, it is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetallic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 suc h statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.25

Exhibit 99.25

PRESS RELEASE

Trading Symbol: SVM.TO June 9, 2008

SILVERCORP REPORTS RECORD EPS, UP 173%, TO $0.41 (CAD $0.42)
FOR THE YEAR ENDED MARCH 31, 2008
(All amounts expressed in US dollars unless otherwise stated)

VANCOUVER, British Columbia – June 9, 2008 – Silvercorp Metals Inc. (the “Company”) is pleased to announce the financial and operational results for the 4th quarter and year ended March 31, 2008. The financial results are expressed in US dollars (US$), other than share and mining data, and are based on Canadian GAAP.

2008 FINANCIAL HIGHLIGHTS (12 Months - Audited)

For the year ended March 31, 2008, the Company recorded net earnings of $59.9 million (CAD$61.7 million), or $0.41 (CAD$0.42) per share, up 172%, compared to $22.0 million (CAD$25.1 million), or $0.15 (CAD$0.17) per share over the same period last year. The company achieved a net profit margin of 55% (2007 - 55%) for the year ended March 31, 2008.

For the year ended March 31, 2008, sales increased by $68.6 million (CAD$66.6 million), or 172% to $108.4 million (CAD$111.9 million) compared to $39.8 million (CAD$45.3 million) for the same period last year.

For the year ended March 31, 2008, gross profit from mine operations amounted to $85.0 million (2007 -$30.8 million), representing a gross margin of 78% (2007 - 78%). The net income was $59.9 million (2007 - $22.0 million) with a net profit margin of 55% (2007 - 55%). The net earnings are $0.41 (CAD$0.42) per basic share, a 173% increase compared to $0.15 (2007 - CAD$0.17) per basic share for the same period last year.

Net cash provided by operating activities rose to $79.8 million (CAD$82.8 million) for the year ended March 31, 2008, a 165% increase compared to $30.1 million (CAD$34.2 million) over the same period last year.

Capital expenditures during the period amounted to $36.6 million representing the purchase of mineral rights and properties. A cash dividend distribution of $6.9 million (CAD$7.4 million) was paid to the shareholders during the year ended March 31, 2008. The Company ended the year with cash and cash equivalents and short term investments of $84.2 million as of March 31, 2008.

2008 OPERATIONAL HIGHLIGHTS (12 Months - Unaudited)

For the year ended March 31, 2008, ores mined increased by 80% resulting in a total of 306,143 (2007-169,830) tonnes of ores mined, from which 12,929 (2007 - 6,843) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 293,214 (2007 - 162,987) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $50.44 (2007 -$40.74) per tonne of ore and average milling cost is $11.93 (2007 - $17.68) per tonne of ore.

The head grades of run of mine ores of 256,497 tonnes from the Ying Mine for the year ended March 31, 2008, are:

• 464.2 g/t for silver;

• 7.4% for lead; and,

• 3.1% for zinc, respectively.

The head grades of run of mine ores of 48,531 tonnes from the HPG Mine for the year ended March 31, 2008, are:

• 207.4 g/t for silver;
• 7.4% for lead; and,
• 1.1% for zinc, respectively.

Total sales and realized prices net of value added tax and smelter charges for the year ended March 31, 2008, are comprised of the following:

• 3,960,189 ounces of silver sold for $44,677,949 at an average selling price of $11.28 per ounce;
• 2,152 ounces of gold sold for $1,189,764, at an average selling price of $552.86 per ounce;
• 49,623,448 pounds of lead sold for $48,433,127 at an average selling price of $0.98 per pound; and,
• 15,911,881 pounds of zinc sold for $14,061,922 at an average selling price of $0.88 per pound.

For the year ended March 31, 2008, the cash production cost for silver adjusted for by-product credits is negative $10.99 (2007 - negative $7.25) per ounce.

CHANGE IN REPORTING CURRENCY

Effective April 1, 2007, the Company changed its reporting currency to the US dollar. The change in reporting currency is to better reflect the Company’s business activities and to improve investors’ ability to compare the Company’s financial results with other publicly traded businesses in the mining industry. Prior to April 1, 2007, the Company reported its annual and quarterly consolidated balance sheets and the related consolidated statements of operations and cash flows in the Canadian dollar (CAD). In making this change in reporting currency, the Company followed the recommendations of the Emerging Issues Committee (EIC) of the Canadian Institute of Chartered Accountants (CICA), set out in EIC-130, “Translation Method when the Reporting Currency Differs from the Measurement Currency or there is a Change in the Reporting Currency”. In accordance with EIC-130, the financial statements for all years and periods presented have been translated into the new reporting currency using the current rate method. Under this method, the statements of operations and cash flows statements items for each year and period have been translated into the reporting currency using the average exchange rates prevailing during each reporting period. All assets and liabilities have been translated using the exchange rate prevailing at the consolidated balance sheets dates. Shareholders’ equity transactions since April 1, 2006 have been translated using the rates of exchange in effect as of the dates of the various capital transactions, while shareholders’ equity balances on April 1, 2006 have been translated at the exchange rate on that date. All resulting exchange differences arising from the translation are included as a separate component of other comprehe nsive income. All comparative financial information has been restated to reflect the Company’s results as if they had been historically reported in US dollars.

FOURTH QUARTER FINANCIAL HIGHLIGHTS (3 Months - Unaudited)

During the 4th quarter ended March 31, 2008, gross profit from mine operations amounted to $20.2 million (2007 - $9.8 million) on total sales of $26.8 million (2007 - $13.4 million), representing a gross margin of 75% (2007 - 73%). The net income realized was $10.9 million (2007 - $6.9 million) with a net profit margin of 40% (2007 - 51%). Both basic and diluted earnings per share increased by 40% to $0.07 (CAD$0.09) as compared to $0.05 (CAD$0.05) in the prior year period.

During the 4th quarter ended March 31, 2008, total sales amounted to $26.8 million (CAD$27.0 million) a 101% increase over the prior year’s sales of $13.4 million (CAD$15.5 million).

Net cash provided by operating activities rose to $17.8 million in the 4th quarter, a 50% increase over the same period a year ago, capital expenditures during the period amounted to $10.2 million representing the purchase of mineral rights and properties, resulting in cash and cash equivalents and short term investments of $84.2 million as of March 31, 2008.

The 4th quarter is traditionally a slower quarter for the Company as the traditional Chinese Spring Festival normally occurs in January or February, which resulted in the Company’s mining operations being shut down for two and one-half weeks. In addition, the Company’s production in this quarter was affected by the severe weather for about 15 days.

The Company’s subsidiary, Henan Found Mining Company Ltd. (“Henan Found”), is now subject to 12.5% income tax rate until December 31, 2010. Based on Chinese GAAP, Henan Found has paid $1.3 million in tax in the 4th quarter ended March 31, 2008.

FOURTH QUARTER OPERATIONAL HIGHLIGHTS (3 Months - Unaudited)

For this quarter, a total of 72,488 (2007 - 45,065) tonnes of ores were mined, from which 3,169 (2007 -2,018) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 69,319 (2007 -43,047) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $50.31 (2007 - $63.18) per tonne of ore and average milling cost is $12.10 (2007 -$18.00) per tonne of ore.

Ying Mine

	For the Quarters Ended
	Q4 2008	Q3 2008	Q2 2008	Q1 2008	Q4 2007
	31-Mar-08	31-Dec-07	30-Sep-07	30-Jun-07	31-Mar-07
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	2,673	3,210	2,903	2,224	2,018
Ores Milled (tonne)	51,996	64,635	64,282	64,574	43,047
	54,669	67,845	67,185	66,798	45,065
Head Grades of Run of Mine Ores
Silver (gram/tonne)	488.9	461.7	446.8	444.0	502.1
Lead (%)	8.1	7.5	7.0	7.3	8.8
Zinc (%)	3.8	3.6	3.9	3.5	3.4

HPG Mine

	For the Quarters Ended
	Q4 2008	Q3 2008	Q2 2008	Q1 2008
	31-Mar-08	31-Dec-07	30-Sep-07	30-Jun-07
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	496	481	508	434
Ores Milled (tonne)	12,645	16,434	9,155	8,378
	13,141	16,915	9,663	8,812
Head Grades of Run of Mine Ores
Silver (gram/tonne)	198.9	217.3	259.3	185.6
Lead (%)	7.9	6.5	7.7	7.9
Zinc (%)	1.1	0.7	1.3	1.7

During the 4th quarter of 2008, the Company milled 23,590 tonnes of purchased ore with head grades of 276.1 gram/tonne (g/t) for silver and 2.1% for lead.

Total sales and realized prices net of value added tax and smelter charges for the 4th quarter ended March 31, 2008, are comprised of the following:

• 1,000,534 ounces of silver sold for $12,897,563 at an average selling price of $12.89 per ounce;
• 461 ounces of gold sold for $226,746 at an average selling price of $491.86 per ounce;
• 11,697,714 pounds of lead sold for $12,405,860 at an average selling price of $1.06 per pound; and,
• 2,393,274 pounds of zinc sold for $1,314,410 at an average selling price of $0.55 per pound.

For the 4th quarter ended March 31, 2008, the cash production cost for silver adjusted for by-product credits is negative $7.50 (2007 - negative $8.56) per ounce.

OUTLOOK

Silvercorp has grown from a single producing mine at Ying Mining Camp of Henan province to multiple mining projects diversified in three silver-polymetallic mining camps in three provinces.

At its flagship Ying Mining Camp, through its acquisition of the LM and TLP Silver-Lead Mines, Silvercorp is consolidating the silver, lead, and zinc mines and exploration properties in the Ying/HPG Silver Mining camp, providing a solid base to significantly expand resources and increase production. The Company plans to spend $26 million to increase its mining and milling capacity in fiscal 2009, including:

• $12 million to build a new 2,000 t/d capacity mill plus associated tailing dam. The new mill, is expected to be operational by November 2008 at which time total milling capacity will increase to approximately 3,000 t/d;

• $10 million for developing mining capacity and infrastructure at TLP and LM Mines; and,

• $4 million for further upgrading and mechanizing the Ying and HPG Mines

Production Capacity Forecast for the Ying Mining Camp
	Year ending March 31
	2008	2009
Milling Capacity (tonne)	350,000	600,000
Mining Capacity (tonne)
Ying Mine	240,000	250,000
HPG Mine	60,000	100,000
TLP Mine		120,000
LM Mine		30,000
Total Mining Capacity	300,000	500,000

Silvercorp plans an extensive 167,500 metres of drilling and exploration tunneling program a the Ying mining camp at estimated cost of about $15.5 million to upgrade the resources from inferred categories to indicated and higher ones, and to drill and tunnel new targets.

Mine and Project	Metres			Cost Estimate
	Tunneling	Surface Drilling	Underground Drilling
Ying Mine Area	32,000	14,500	32,000	7,500,000
TLP Mine	8,000	10,000	20,000	2,600,000
HPG Mine	10,000	6,000	14,000	3,400,000
LM Mine	10,000	2,000	9,000	2,000,000
Total	60,000	22,500	75,000	15,500,000

Secondly, with the recently completed acquisition of the Gaocheng (“GC”) and Shimentou (“SMT”) properties in Guangdong Province, Silvercorp expects to realize the benefits of growth in resources and near term production from a new mining camp in a different province. It also establishes a new base for further consolidation of the prolific GC silver, lead, zinc mining district. Silvercorp is applying for a mining permit for the newly acquired GC/SMT property in Guangdong province. Meanwhile, a $1.5 million, 10,000 metre drilling campaign of is planned to grow resources.

Third, Silvercorp has planned an extensive $8.5 million exploration program, including a 30,000 metre drilling program, at its Na Bao project, Qinghai province, hoping to make a new discovery.

The Company’s Audited Annual and Unaudited Interim Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR at www.sedar.com.

Selected audited results for the years ended March 31, 2008 and 2007 are attached to this news release.

CONFERENCE CALL AND WEBCAST INFORMATION
A conference call and live audio webcast to discuss the results have been scheduled as follows:

Date:	Monday, June 9th, 2008
Time:	11:00 am PST (2:00 pm EST)
Dial-In Numbers:
North America toll-free:	1-800-398-9367
International :	1-612-332-0418

Audio Webcast:
A live audio and playback webcast can be accessed at: www.silvercorp.ca

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China").. In Henan Province it is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, owned through its 77.5% and 70% Chinese subsidiaries. In Guangdong Province, it is applying for a mining permit for the newly acquired GC/SMT property, owned through a 95% Chinese subsidiary. Silvercorp is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO and Lorne Waldman, Corporate Secretary, Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca.

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical factual information, including statements relating to mineral resources and reserves, or the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, rea ders should not place undue reliance on such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

SILVERCORP METALS INC.
CONSOLIDATED BALANCE SHEETS
(Expressed in US Dollars)

		March 31, 2008		March 31, 2007
ASSETS
Current Assets
Cash and cash equivalents	$	47,092,890	$	53,330,468
Short term investments		37,145,656		5,449,238
Accounts receivable and prepaids		5,259,699		1,275,757
Inventories		2,389,175		1,802,371
		91,887,420		61,857,834
Long term prepaids		5,194,431		1,535,131
Long term investments		17,873,887		6,554,847
Property, plant and equipment		14,349,572		7,868,694
Mineral rights and properties		60,904,275		16,326,046
Reclamation deposits		9,729		8,674
	$	190,219,314	$	94,151,226
LIABILITIES
Current Liabilities
Accounts payable and accrued liabilities	$	7,026,628	$	3,121,802
Deposits received from customers		2,573,202		1,387,263
Income tax payable		719,557		1,455,847
Current portion of asset retirement obligation		-		292,406
Amounts due to related parties		12,070,732		1,332,919
		22,390,119		7,590,237
Future income tax liabilities		6,345,898		1,405,189
Asset retirement obligation		1,225,829		669,996
		29,961,846		9,665,422
Non-controlling interests		11,265,197		6,947,986
SHAREHOLDERS' EQUITY
Share capital		78,334,543		74,336,151
Contributed surplus		1,722,036		954,041
Reserves		2,077,628		-
Accumulated other comprehensive income		14,121,627		479,795
Retained earnings		52,736,437		1,767,831
		148,992,271		77,537,818
	$	190,219,314	$	94,151,226

SILVERCORP METALS INC.
CONSOLIDATED STATEMENTS OF OPERATIONS AND RETAINED EARNINGS
(Expressed in US Dollars except for share figures)

	Years ended March 31
		2008			2007
Sales	$	108,362,762		$	39,777,218
Cost of sales		20,114,464			7,738,301
Amortization and depletion		3,208,260			1,189,766
		23,322,724			8,928,067
Gross profit		85,040,038			30,849,151
Expenses
Accretion of asset retirement obligations		61,688			61,899
Amortization		516,814			122,718
Foreign exchange loss (gain)		612,481			(307	)
General exploration and property investigation expenses		1,816,544			807,693
Investor relations		283,561			752,552
Office, administration and miscellaneous		4,781,381			2,267,255
Professional fees		2,133,783			453,002
Stock-based compensation expenses		2,472,685			1,955,545
		12,678,937			6,420,357
Earnings before other income and expenses		72,361,101			24,428,794
Other income and expenses
Equity loss in investment		(250,113	)		(222,061	)
Gain on disposal of mineral rights and property		563,147			-
Loss on disposal of property, plant and equipment		(48,130	)		(4,424	)
Loss on disposal of long term investments		-			(11,048	)
Interest income		2,585,192			1,714,661
Other income		4,473,779			3,857,560
		7,323,875			5,334,688
Income before income taxes and non-controlling interests		79,684,976			29,763,482
Income tax expense
Current		(440,872	)		(1,425,686	)
Future		(109,607	)		-
		(550,479	)		(1,425,686	)
Income before non-controlling interests		79,134,497			28,337,796
Non-controlling interests		(19,197,243	)		(6,315,137	)
Net income		59,937,254			22,022,659
Retained earnings (deficit), beginning of year		1,767,831			(20,254,828	)
Appropriation to reserves		(2,077,628	)		-
Cash dividends declared and distributed		(6,891,020	)		-
Retained earnings, end of year	$	52,736,437		$	1,767,831
Basic earnings per share	$	0.41		$	0.15
Diluted earnings per share	$	0.40		$	0.15
Weighted Average Number of Shares Outstanding - Basic		147,660,730			143,913,693
Weighted Average Number of Shares Outstanding - Diluted		150,954,072			149,674,056

SILVERCORP METALS INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Expressed in US Dollars)

		Year ended March 31,
		2008			2007
Net income for the year	$	59,937,254		$	22,022,659
Other comprehensive income, net of tax:
Transition adjustment to the opening balance of investment in Dajin Resources Corp. as
per the initial adoption of new standards , net of tax of $1,128		8,674			-
Unrealized loss on available for sale securities, net of tax recovery of $6,323		(48,643	)		-
Unrealized exchange gain on translation of self-sustaining foreign operations		3,972,486			1,041,822
Unrealized exchange gain (loss) on translation of functional currency to reporting currency		9,709,315			(919,849	)
Other comprehensive income		13,641,832			121,973
Comprehensive income	$	73,579,086		$	22,144,632

SILVERCORP METALS INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in US Dollars)

		Year ended March 31,
		2008			2007
Cash provided by (used for)
Operating activities
Net income for the year	$	59,937,254		$	22,022,659
Add (deduct) items not affecting cash :
Accretion of asset retirement obligations		61,688			61,899
Amortization		3,725,074			1,312,484
Equity investment loss		250,113			222,061
Future income tax		109,607			-
Gain on disposal of mineral property		(563,147	)		-
Loss on disposal of long term investments		-			11,048
Loss on disposal of property, plant, and equipment		48,130			4,424
Non-cash other income		(4,388,267	)		(3,824,281	)
Non-controlling interests		19,197,243			6,315,137
Stock-based compensation		2,472,685			1,955,545
		80,850,380			28,080,976
Net change in non-cash working capital
Accounts receivable and prepaids		(3,626,740	)		(416,953	)
Inventory		(342,635	)		(1,708,108	)
Accounts payable and accrued liabilities		3,412,728			1,804,242
Asset retirement obligation discharged upon payment		(513,831	)		(229,163	)
Income tax payable		(949,607	)		1,474,131
Deposits received from customers		954,884			1,047,399
Cash provided by operating activities		79,785,179			30,052,524
Investing activities
Acquisition of mineral rights and properties		(36,583,262	)		(11,752,043	)
Acquisition of property, plant, and equipment		(7,451,952	)		(6,324,996	)
Purchase of long term investments		(5,552,310	)		(2,035,039	)
Decrease (Increase) of short term investments		(29,489,423	)		2,304,618
Increase in long term prepaids		(3,397,197	)		(1,241,114	)
Disposal of long term investments		-			208,677
Disposal of mineral rights and properties		563,147			-
Disposal of property, plant, and equipment		157,352			8,783
Distribution to non-controlling interest shareholder		(3,371,257	)		-
Cash dividends declared and distributed		(6,891,020	)		-
Advances to joint venture parties		-			104,760
Cash used in investing activities		(92,015,922	)		(18,726,354	)
Financing activities
Repayment from (advance to) related parties		(1,428,710	)		1,587,398
Share subscriptions for cash, net of commission and expenses		2,293,702			42,395,973
Shares returned to treasury for cancellation		-			(4,890,169	)
Cash provided by financing activities		864,992			39,093,202
Effect of exchange rate changes on cash and cash equivalents		5,128,173			(430,359	)
Increase (Decrease) in cash		(6,237,578	)		49,989,013
Cash and cash equivalents, beginning of year		53,330,468			3,341,455
Cash and cash equivalents, end of year	$	47,092,890		$	53,330,468
Supplemental information:		-
Interest paid	$	87,178		$	45
Income tax paid	$	1,273,784		$	-
Non-cash investing activities:
Common shares of New Pacific Metals Corp. received as	$	-		$	3,824,281
partial consideration for the Option Agreement in
relation to the Kang Dian Project
Construction in process transferred to mineral rights and properties	$	1,313,791		$	-

EX-99.26

Exhibit 99.26

PRESS RELEASE

Trading Symbol: TSX: SVM June 6, 2008

Silvercorp Completes Acquisition of Significant Silver-Lead-Zinc Resources in Guangdong Province, Southern China

VANCOUVER, B.C. – June 6, 2008 –Silvercorp Metals Inc. (TSX-SVM) (“Silvercorp” or the “Company”) is pleased to announce that it has completed the purchase from Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company, of all of the issued shares of Yangtze Mining Ltd. (“Yangtze Mining”). Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of the Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China. Properties details were included in the press release dated April 28, 2008 announcing the acquisition.

The purchase price for the shares of Yangtze Mining is about C$61.95 million and will be paid 40% in cash and 60% in common shares of Silvercorp. To date 20% of the purchase price amounting to about C$12.39 million has been paid with the remaining 20%, plus interest at 5.5% on that amount, payable when Silvercorp receives its next dividend payment from its Chinese subsidiary Company, or within 3 months, whichever is earlier. The 60% common share portion of the purchase price was paid by issuing 4,532,543 common shares of the Company. The transaction has been approved by the independent directors of the Company in accordance with applicable regulations, a NI 43-101 independent technical report has been completed on the Permits by SRK Consulting China Ltd. and a fairness opinion and was received by the independent directors.

The Company has taken over the operation of Anhui Yangtze, is currently applying for a mining permit, and plans to spend $1.5 million to complete approximately 10,000 metres of drilling this fiscal year. With the purchase of the GC and SMT Properties, Silvercorp expects to realize the benefits of growth in resources and near term production from a new mining camp in a different province, and establishes a new base for further consolidation of the GC silver, lead, zinc mining district.

Release of Fourth Quarter and Year End Results

The Company will release its fourth quarter and year end audited results before the opening of the market on June 9^th, 2008. A conference call and live audio webcast to discuss the results will be held on Monday, June 9^th at 11:00 am PST (2:00 pm ET). Analysts wishing to ask questions on the call are asked to register with Silvercorp by calling 604-669-9397.

Dial-In Numbers

North America 1-800-398-9367
International 1-612-332-0418

Live and playback audio webcast can be accessed at www.silvercorp.ca.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiaries respectively, applying for permitting to develop the GC/SMT projects in Guangdong Province owned through its 95% owned Chinese subsidiary, and is exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical factual information, including statements relating to mineral resources and reserves, or the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, rea ders should not place undue reliance on such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

2

EX-99.27

Exhibit 99.27

JOINT PRESS RELEASE

Trading Symbols: TSX: SVM, TSX-V:NUX May 21, 2008

Silvercorp Metals Inc., New Pacific Metals Corp. and Dr. Rui Feng
Donate $700,000 to Sichuan Earthquake Relief

Silvercorp Metals Inc., (TSX-SVM) (“Silvercorp”) and its affiliate New Pacific Metals Corp. (TSX-V: NUX) (“New Pacific”) today announced that the Companies and their employees have committed to donations of over US$700,000 to provide relief support for the victims of China's May 12, 2008 earthquake in Sichuan province.

"On behalf of the entire Silvercorp and New Pacific family, I would like to offer our deepest sympathies and support to all those suffering from and affected by this natural disaster," said Dr. Rui Feng, Chairman and CEO, Silvercorp and President and CEO of New Pacific. "We hope that our donation can help alleviate some of the damage, and demonstrates our commitment to contributing to the communities and countries where we operate.”

The $700,000 of donation consists of $100,000 from New Pacific Metals Corp, $150,000 from Silvercorp Metals Inc., both donated through the Consulate General of The People's Republic of China in Vancouver, RMB1.4 million donated directly in China by Silvercorp’s and New Pacific’s Chinese subsidiaries, and Dr. Rui Feng and family will also commit a minimum $250,000 donation through a charitable organization in Canada. In addition, the Companies’ employees have also made donations for the relief effort.

Silvercorp Metals Inc. is China’s largest primary producer of Silver, with four operating mines in Henan province, a development stage project in Guangdong province, and exploration stage project in Qinghai province. New Pacific Metals Corp. is exploring for gold-polymetallic and base metals in Guangdong and Sichuan Provinces. Neither company has sustained any physical losses and all employees are accounted for.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

About New Pacific Metals Corp.

New Pacific Metals Corp. is exploring for gold-polymetallic and base metals in the provinces of Guangdong and Sichuan, China.

For further information:

SILVERCORP METALS INC.,
Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: +1 (604) 669-9397, Fax: +1 (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

NEW PACIFIC METALS CORP.
The Honourable Jack Austin, Chairman. & Lou Duarte Director, Phone: +1 (604) 633-1368, Fax: +1 (604) 669-9387, Email: info@newpacificmetals.com, Website: www.newpacificmetals.com

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the release.

2

EX-99.28

Exhibit 99.28

PRESS RELEASE

Trading Symbol: TSX: SVM May 14, 2008

Silvercorp Announces Appointment of The Honourable Jack Austin as a Special
Adviser to the Chairman and Chief Executive Officer

VANCOUVER, B.C. – May 14, 2008 –Silvercorp Metals Corp. (TSX-SVM) (“Silvercorp” or the “Company”) is pleased to announce the appointment of The Honourable Jack Austin, P.C., Q.C., B.A., LL.B., LL.M., Doc.Soc.Sci. (Hon), as a Special Adviser to the Chairman and CEO.

Mr. Austin brings to the Company over 40 years experience in law, business, public service and politics. A graduate of the University of British Columbia in Economics and Law, and from Harvard Law School in International Trade Law, Mr. Austin has had a diversified and successful career. Silvercorp will benefit from Mr. Austin’s counsel and expertise in cross-cultural communications and business development.

After serving as legal counsel to several senior mining companies, including Placer Dome and International Mineral Corporation, and to BC Hydro in the development of its Peace River and Columbia River power projects, Mr. Austin was President and CEO of two operating mining companies based in B.C. In May 1970, he was appointed Deputy Minister of Energy, Mines and Resources in Ottawa by Prime Minister Pierre Trudeau and served until May 1974 when he was appointed Prime Minister Trudeau's Chief of Staff. In August 1975, Mr. Austin was elevated to the Senate of Canada, representing British Columbia.

In 1981, Senator Austin was brought into the Federal Cabinet by Prime Minister Trudeau as Minister for Social Development; Minister for Expo 86; Minister for the Canada Development Investment Corporation (where he was responsible for projects such as Canadair; deHavilland; Eldorado; Nuclear; Uranium Canada; Fisheries Products; Massey Ferguson).

On the election of Prime Minister Jean Chretien in early 1993, Senator Austin became President of the Canada China Business Council, serving until 2000, and as Deputy Chairman until entering the Martin Cabinet in 2003. He organized the first Team Canada visit to Beijing in November, 1994, headed by Prime Minister Chretien and 12 of the 13 Provincial and Territorial Premiers, accompanied by over 350 business executives. Senator Austin subsequently organized Team Canada visits to Shanghai in 1996 and Beijing in 1998, and the visits of Premier Li Peng to Montreal in 1995, President Jiang Zemin to Toronto in 1997, and Premier Zhu Rongji to Toronto in 1999.

As a Minister in Prime Minister Paul Martin's government, Senator Austin accompanied Mr. Martin to China on an official visit to China in 2005 and participated in the return official visit of President Hu Jintao to Ottawa and Vancouver in September 2005.

Senator Austin also founded in 1998 the Canada China Legislative Association, which is the formal inter-parliamentary relationship between the Parliament of Canada and the National Peoples Congress of China, and served as Co-Chair until entering Prime Minister Paul Martin's Cabinet in December, 2003.

During his career, Senator Austin has served as an Adjunct Professor at the Faculty of Law at the University of British Columbia; President of the International Division of the Bank of British Columbia; President of Elite Insurance Company; President of Uranium Canada and a director of a number of public and private companies. Currently, he is an advisor to Stern Partners Inc., a private capital group based in Vancouver and holds an appointment as Honorary Professor and Senior Fellow at the Institute of Asian Research at the University of British Columbia.

Confirms No Damages To Mine Or Mill From Recent Earthquake

The Company has confirmed that the earthquake on Monday, May 12^th, 2008 in Sichuan Province China did not damage its mines or mills.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiaries, respectively and is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

2

EX-99.29

Exhibit 99.29

PRESS RELEASE

Trading Symbol: SVM.TO May 5, 2008

SILVERCORP REPORTS RECORD SALES OF $108.4 MILLION (unaudited)
UP 172% FOR THE YEAR ENDED MARCH 31, 2008

(All amounts expressed  in US dollars  unless otherwise stated)

VANCOUVER, British Columbia – May 5, 2008 – Silvercorp Metals Inc. (the “Company”) is pleased to announce select unaudited financial and operational results for the 4^th quarter and year ended March 31, 2008. The financial results are expressed in US dollars (US$), other than share and mining data, and are based on Canadian GAAP.

For the year ended March 31, 2008, sales increased by $68.6 million (CAD$66.6 million), or 172% to $108.4 million (CAD$111.9 million) compared to $39.8 million (CAD$45.3 million) for the same period last year.

FOURTH QUARTER FINANCIAL HIGHLIGHTS (3 Months - Unaudited)

During the 4^th quarter ended March 31, 2008, total sales amounted to $26.8 million (CAD$27.0 million) a 101% increase over the prior year’s sales of $13.4 million (CAD$15.5 million).

For this quarter, a total of 72,488 (2007 - 45,065) tonnes of ores were mined, from which 3,169 (2007 - 2,018) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 69,319 (2007 - 43,047) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The  average mining cost is $50.31 (2007 - $63.18) per tonne of ore and average milling cost is $12.10 (2007 - $18.00) per tonne of ore.

FOURTH QUARTER OPERATIONAL HIGHLIGHTS (3 Months - Unaudited)

Ying Mine		For the Quarters Ended
	Q4 2008	Q3 2008	Q2 2008	Q1 2008	Q4 2007
	31-Mar-08	31-Dec-07	30-Sep-07	30-Jun-07	31-Mar-07
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	2,673	3,210	2,903	2,224	2,018
Ores Milled (tonne)	51,996	64,635	64,282	64,574	43,047
	54,669	67,845	67,185	66,798	45,065
Head Grades of Run of Mine Ores
Silver (gram/tonne)	488.9	461.7	446.8	444.0	502.1
Lead (%)	8.1	7.5	7.0	7.3	8.8
Zinc  (%)	3.8	3.6	3.9	3.5	3.4

HPG Mine		For the Quarters Ended
	Q4 2008	Q3 2008	Q2 2008	Q1 2008
	31-Mar-08	31-Dec-07	30-Sep-07	30-Jun-07
Run of Mine Ores (tonne)
Direct Smelting Ores (tonne)	496	481	508	434
Ores Milled (tonne)	12,645	16,434	9,155	8,378
	13,141	16,915	9,663	8,812
Head Grades of Run of Mine Ores
Silver (gram/tonne)	198.9	217.3	259.3	185.6
Lead (%)	7.9	6.5	7.7	7.9
Zinc  (%)	1.1	0.7	1.3	1.7

During the 4^th quarter of 2008, the Company milled 23,590 tonnes (Q3 2008 - 3,959 tonnes) of purchased ore with head grades of 276.1 gram/tonne (g/t) (Q3 2008 - 211.7 g/t) for silver and 2.1% for lead (Q3 2008 - 1.2% for lead).

Total sales and realized prices net of value added tax and smelter charges for the 4th quarter ended March 31, 2008, are comprised of the following:

Ø

1,000,534 ounces of silver sold for $12,897,563 at an average selling price of $12.89 per ounce;

Ø

461 ounces of gold sold for $226,746 at an average selling price of $491.86 per ounce;

Ø

11,697,714 pounds of lead sold for $12,405,860 at an average selling price of $1.06 per pound; and,

Ø

2,393,274 pounds of zinc sold for $1,314,410 at an average selling price of $0.55 per pound.

The 4th quarter is traditionally a slower quarter for the Company as the traditional Chinese Spring Festival normally occurs in January or February, therefore, the Company’s mining operations were shut down for two and one-half weeks.  In addition, the Company’s production in this quarter was affected by the severe weather for about 15 days.

The Company’s subsidiary, Henan Found Mining Company Ltd. (“Henan Found”), is now subject to 15% income tax rate until December 31, 2010. Based on this income tax rate and Chinese GAAP, Henan Found  has paid $1.3 million in tax in the 4th quarter ended March 31, 2008.

2008 FINANCIAL HIGHLIGHTS (12 Months- Unaudited)

For the year ended March 31, 2008, a total of 306,143 (2007- 169,830) tonnes of ores were mined, from which 12,929 (2007 - 6,843) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 293,214 (2007 - 162,987) tonnes of ores were shipped to mills for treatment to recover silver- lead and zinc concentrates. The average mining cost is $50.44 (2007 - $40.74) per tonne of ore and average milling cost is $11.69 (2007 - $17.68) per tonne of ore.

2008 OPERATIONAL HIGHLIGHTS (12 Months – Unaudited)

The head grades of run of mine ores of 253,839 tonnes from the Ying Mine for the year ended March 31, 2008, are:

Ø

464.2 g/t for silver;

Ø

7.4% for lead; and,

Ø

3.1% for zinc, respectively.

The head grades of run of mine ores of 52,304 tonnes from the HPG Mine for the year ended March 31, 2008, are:

Ø

207.4 g/t for silver;

Ø

7.4% for lead; and,

Ø

1.1% for zinc, respectively.

Total sales and realized prices net of value added tax and smelter charges for the year ended March 31, 2008, are comprised of the following:

Ø

3,960,189 ounces of silver sold for $44,677,949 at an average selling price of $11.28 per ounce;

Ø

2,152 ounces of gold sold for $1,189,764, at an average selling price of $552.86 per ounce;

Ø

49,623,448 pounds of lead sold for $48,433,127 at an average selling price of $0.98 per pound; and,

Ø

15,911,881 pounds of zinc sold for $14,061,922 at an average selling price of $0.88 per pound.

CHANGE IN REPORTING CURRENCY

Effective April 1, 2007, the Company changed its reporting currency to the US dollar. The change in reporting currency is to better reflect the Company’s business activities and to improve investors’ ability to compare the Company’s financial results with other publicly traded businesses in the mining industry. Prior  to April 1, 2007, the Company reported its annual and quarterly consolidated balance sheets and the related consolidated statements of operations and cash flows in the Canadian dollar (CAD). In making this change in reporting currency, the Company followed the recommendations of the Emerging Issues Committee (EIC) of the Canadian Institute of Chartered Accountants (CICA), set out in EIC-130, “Translation Method when the Reporting Currency Differs from the Measurement Currency or there is a Change in the Reporting Currency”. In accordance with EIC-130, the financial statements for all years and pe riods presented have been translated into the new reporting currency using the current rate method. Under this  method, the statements of operations and cash flows statements items for each year and period have been  translated into the reporting  currency using the average exchange rates prevailing during each  reporting  period. All assets and liabilities have been translated using the exchange rate prevailing at the consolidated  balance sheets dates. Shareholders’ equity transactions since April 1, 2005 have been translated using the rates of exchange in effect as of the dates of the various capital transactions, while shareholders’ equity balances on April 1, 2005 have been translated at the exchange rate on that date. All resulting exchange differences  arising  from  the  translation  are  included  as  a  separate component of other comprehensive income. All comparative financial information has been restated to reflect the Company’s results as if they  had been historically reported in US dollars.

OUTLOOK

The Company is well positioned to grow through consolidating the fragmented primary silver sector in China, starting from its foot-hold in Henan Province. With the encouragement of local county government, the Company, through its acquisition of the LM and TLP Silver-Lead Mines, is consolidating the silver, lead, and zinc mines and exploration properties in the Ying/HPG Silver Mining camp, providing a solid base from which to significantly expand resources and growth potential.

Through consolidation of the Ying Mining Camp over the last six months, the Company is now operating four mines at the Ying Camp and is increasing its mill throughput to 3,000 tonnes per day from its current  throughput of 1,300 tonnes per day. With the recently announced purchase (to close before June 8, 2008), of the Gaocheng (“GC”) and Shimentou (“SMT”) Properties in Guangdong Province., Silvercorp expects to realize the benefits of growth in resources and near term production from a new mining camp in a different province.  It also establishes a new base for further  consolidation of the prolific GC silver, lead, zinc  mining district.

The Company’s historical unaudited Interim Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR  at www.sedar.com.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying  Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiaries, respectively and is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX  Global Gold, and the S&P/TSX Global Mining Indexes.

For  further  information:  SILVERCORP  METALS  INC., Rui Feng, Chairman & CEO and Lorne Waldman, Corporate Secretary, Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca,  Website: www.silvercorp.ca.

CAUTIONARY DISCLAIMER - - FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical factual information, including statements relating to mineral resources and reserves, or the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward- looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.30

Exhibit 99.30

PRESS RELEASE

Trading Symbol: TSX SVM April 28, 2008

Silvercorp Acquires Significant Silver-Lead-Zinc Resources in Guangdong
Province, Southern China

VANCOUVER, B.C. – April 28, 2008 –Silvercorp Metals Inc. (TSX-SVM) (“Silvercorp” or the “Company”) is pleased to announce that it has entered into a share purchase agreement with Yangtze Gold Ltd. (“Yangtze Gold”), a private BVI company, to acquire from Yangtze Gold all of the issued shares of Yangtze Mining Ltd. (“Yangtze Mining”). Yangtze Mining owns a 95% interest in a Sino-Foreign joint venture company, Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”), which owns 100% of the Gaocheng (“GC”) and Shimentou (“SMT”) silver, lead and zinc exploration permits located in Guangdong Province, People’s Republic of China.

The GC and SMT Permits, located about 200 kilometres west of Guangzhou City, Guangdong Province, China, cover an area of 5.54 and 9.49 square kilometres respectively. The permits, since 2001, have been explored for gold, silver, lead, zinc, and sulphur. A total of 16,819 metres of diamond drilling in 53 drill holes and 13,630 cubic metres of trenching have been completed on the properties by Anhui Yangtze.

A NI 43-101 independent technical report dated January 17, 2008 has been completed on the Permits by SRK Consulting China Limited (the “SRK Report”) which reported Measured and Indicated Resources on the GC Permit alone of 1,829,700 tonnes grading 129 grams per tonne (g/t) silver (Ag), 1.45% lead (Pb), 2.79% zinc (Zn) and 0.14% tin (Sn), and Inferred Resources of 7,281,300 tonnes grading 125 g/t Ag, 1.38% Pb, 3.00% Zn and 0.13% Sn.

In compliance with Chinese regulations for obtaining a mining license, a Chinese qualified agent, the Guangdong Geological Survey Institute (“GGSI”) has also prepared a Geological Report on the GC Permit dated September 30, 2007. The report summarizes the geology and exploration of the GC permit, and contains a resource estimate conducted in accordance with Chinese Resource Standards. The GGSI resource estimate was accepted by the Mineral Resources and Reserves Examination Center (“MRREC”) of the Ministry of Land and Resources PR China (“MLR”) based in Beijing which issued a “Resource Estimate Confirmation Letter”, on December 24, 2007, which has, in turn, been accepted for filing by the Department of Land and Resource of Guangdong Province, thus allowing Anhui Yangtze to apply for a mining license on the GC Permit, based on the resource estimate.

The purchase price for the shares of Yangtze Mining is about C$61.95 million and will be paid 40% in cash and 60% in common shares of Silvercorp. The 40% cash portion will be payable as to 20% at closing and 20% plus interest at 5.5% on that amount from the date hereof payable when Silvercorp receives its next dividend payment from its Chinese subsidiary Company, or within 3 months, whichever is earlier. The 60% common share portion of the purchase price will be payable by the issuance at the closing of 4,532,543 common shares of the Company at a price of C$8.20 per share, being the volume weighted average trading price of the shares of the Company during the 30 calendar days prior to the date of signing this agreement.

The Company will pay a deposit of C$2.0 million to Yangtze Gold, which amount will be credited against the cash portion of the Purchase Price. The deposit is non-refundable unless a breach of certain representations and warranties by Yangtze Gold or that Silvercorp’s financial advisor is unwilling or unable to deliver a written opinion that the transaction is fair from a financial point of view to Silvercorp’s shareholders. The Company will take over the operation of Anhui Yangtze immediately and will advance RMB¥20 million to Anhui Yangtze so that it can start the process of applying for a mining permit and carry out further exploration program, including drilling.

Dr. Rui Feng, Chairman & CEO of the Company, is a Director of Yangtze Gold, Yangtze Mining, and Anhui Yangtze, and Mr. J. Feng, a relative of Dr. Feng, controls Yangtze Gold. The transaction has been approved by the independent directors of the Company in accordance with applicable regulations. Closing of the transaction is subject to the Company’s due diligence, receipt of a fairness opinion, and approval by required regulatory authorities. Closing is expected to occur on or before June 8, 2008.

Through consolidation of the Ying Mining Camp over the last six months, the Company is now operating four mines at the Ying Camp and is increasing its mill throughput to 3,000 tonnes per day from its current throughput of 1,300 tonnes per day. With the purchase of the GC and SMT Properties, Silvercorp expects to realize the benefits of growth in resources and near term production from a new mining camp in a different province, and establishes a new base for further consolidation of the GC silver, lead, zinc mining district.

Geology of the GC and SMT Permit areas
The GC and SMT Permits are located at the South China Orogenic Belt, where the NE trend DGS Dome structure is developed with Proterozoic and Sinian metamorphic rocks as core and Carboniferous and Triassic sedimentary as limbs. Yanshanian (Mesozoic period) intermediate-acid magma emplaced along DGS Dome structure accordingly led to the faulting trending NE and NW. These Yanshanian faults host the mineralization at both GC and SMT Permits, which is believed to be intrusion related similar to other hydrothermal deposits.

The following is a brief summary of the GC and SMT Permits from the SRK Report.

GC Permit
Mineralized bodies in the GC permit occur as veins within alteration zones in both granite stock and strata which may reach more than a few metres (m) wide along faults and into hanging wall and footwall, and are structurally controlled. A total of 13 silver-lead-zinc mineralized veins have been identified within an area of 3km long on NW by 1.5km wide on NE. Mineralized veins V2, V6, V7, V2-2 and V10 are dominant, accounting for approximately 86% of known mineralization with V2, being the largest vein, accounting for approximately 48% of known mineralization. This vein has been outlined along strike for 1,255m and at depth down to 466m with thickness ranging 0.39 -9.69m grading 7.45 -968g/t Ag, 0.03 -6.81% Pb, 0.01 -10.61% Zn and 0.0 -0.56% Sn.

2

The calculated mineral resources for the GC Permit as outlined by the SRK Report are:

Category	Tonne	Ag (g/t)	Pb (%)	Zn (%)	Sn (%)	Ag (Kg)	Ag (oz)	Pb (t)	Zn (t)	Sn (t)
Measured	499,800	207	1.31	3.94	0.14	103,270	3,320,226	6,546	19,712	709
Indicated	1,329,900	100	1.51	2.36	0.13	133,590	4,295,043	20,040	31,362	1,772
Inferred(o)*	707,200	239	1.01	0.1	0.08	168,680	5,423,219	7,121	673	561
Inferred(s)*	6,574,100	113	1.42	3.32	0.13	742,360	23,867,564	93,669	218,002	8,619
Measured+Indicated	1,829,700	129	1.45	2.79	0.14	236,860	7,615,269	26,587	51,075	2,481
Inferred	7,281,300	125	1.38	3.00	0.13	911,040	29,290,783	100,790	218,675	9,179

* O is oxide ore and S is sulphide ore
**These mineral resources were calculated based on a cut-off grade of 40 g/t for Ag, 0.7% for Pb, 0.7% for Zn and 0.1% for Sn. with a minimum mineable thickness of 0.8 m and maximum thickness of internal waste of 2.0 m.

The following table outlines assay results of some of the drill holes, tunnels and trenches at the GC Permit area:

Significant intersection of diamond drill holes from GC Permit area
Mineralized Veins	Section#	Drill Hole	From (m)	To (m)	Interval (m)	Ag (g/t)	Pb (%)	Zn (%)	Sn (%)
V2	14	ZK1401	255.97	257.50	11.53	207	0.08	4.67
		Including	255.97	259.60	3.63	471	0.05	7.83
	14	ZK1402	307.03	308.00	0.97	56	0.54	4.32	0.05
	16	ZK1601	216.89	223.39	6.50	238	0.21	6.10	0.56
	24	ZK2402	268.36	282.51	14.15	126	0.77	1.54	0.21
		Including	273.51	278.51	5.00	203	1.04	1.70	0.31
	28	ZK2802	278.95	279.95	1.00	159	0.49	0.99	0.16
	32	ZK3202	226.00	231.81	5.81	117	1.77	2.98	0.08
	32	ZK3202	360.67	365.80	5.13	292	8.44	5.90	0.19
		Including	360.67	364.55	3.88	373	10.92	7.15	0.20
	32	ZK3204	518.06	525.60	7.54	197	1.54	5.00	0.32
		Including	519.06	522.66	3.60	385	2.59	8.47	0.56
	48	ZK4803	71.79	72.09	0.30	125	1.78	1.54	0.01
	54	ZK5401	117.32	118.40	1.08	34	1.55	2.10	0.14
V2-1	36	ZK2802	202.45	203.85	1.40	111	0.12	3.02	0.37
	32	ZK3202	162.90	163.79	0.89	51	2.24	2.68	0.07
	32	ZK3204	487.00	488.00	1.00	107	0.55	5.88	0.93
	36	ZK3603	283.28	275.28	2.00	37	1.36	1.31	0.06
	36	ZK3604	333.66	334.93	1.27	147	1.75	6.20	0.64
V2-2	18	ZK1801	387.32	388.78	1.46	139	0.06	0.14	0.42
	32	ZK3201	147.73	150.98	3.25	72	2.71	5.76	0.05
	32	ZK3204	576.20	577.66	1.46	121	0.21	4.23	0.59
	36	ZK3602	299.86	300.27	0.41	119	0.08	9.71	0.09
	44	ZK44102	32.10	34.80	2.70	147	1.77	4.75	0.08
	44	ZK44201	3.70	5.07	1.37	113	0.04	1.47	-
V4	406	ZK40601	168.79	170.79	2.00	307	0.37	1.40	0.02
	406	ZK40602	207.19	208.09	0.90	41	1.46	6.01	0.31
V5	14	ZK1402	81.28	82.05	0.79	112	0.04	0.08	0.01
	32	ZK3203	87.57	88.26	0.69	524	2.05	0.38	0.10
	32	ZK3204	180.00	180.60	0.60	144	3.38	4.01	0.05

3

Mineralized	Section#	Drill	From	To	Interval	Ag	Pb	Zn	Sn
Veins		Hole	(m)	(m)	(m)	(g/t)	(%)	(%)	(%)
V5-1	32	ZK3204	100.65	100.95	0.30	196	0.15	21.96	0.16
V6	12	ZK1201	160.07	164.40	4.33	124	0.23	9.51	0.10
		Including	162.87	164.40	1.53	289	0.13	20.52	0.20
	24	ZK2401	343.06	343.56	0.50	122	2.81	3.98	0.23
	32	ZK3204	641.56	642.11	0.55	209	1.61	2.95	0.06
V7	10	ZK1001	183.37	183.94	0.57	224	0.84	4.70	1.24
	16	ZK1602	264.25	265.72	1.47	52	0.03	4.07	0.12
	18	ZK1801	182.71	183.48	0.77	143	0.11	0.99	0.05
	20	ZK2001	242.04	243.24	1.20	109	0.22	0.38	0.06
	20	ZK2002	318.62	319.88	1.26	105	0.17	9.75	0.30
	28	ZK2802	132.62	141.75	9.13	55	0.96	3.79	0.07
		Including	141.75	142.75	1.00	245	4.09	11.94	0.21
	36	ZK3602	116.55	118.72	2.17	58	1.46	2.34	0.06
	36	ZK3603	147.34	149.17	1.83	29	0.17	4.70	0.09
	36	ZK3604	205.90	209.73	3.83	51	2.86	3.18	0.10
V7-0	32	ZK3204	291.50	292.05	0.55	101	1.17	13.84	0.10
	36	ZK3604	190.00	191.03	1.03	36	0.02	3.51	0.16
V7-1	20	ZK2002	239.40	240.50	1.10	670	8.37	4.21	0.17
	28	ZK2801	71.00	71.57	0.57	119	4.07	0.98	0.15
	28	ZK2802	125.60	126.70	1.10	37	1.41	2.73	0.03
	32	ZK3204	255.30	255.70	0.40	1200	4.62	1.44	0.02
	36	ZK3602	67.90	69.90	2.00	153	0.41	10.65	0.16
V10	44	ZK44101	40.81	42.87	2.06	589	6.03	4.19	0.08
	44	ZK44102	78.22	79.00	0.78	172	3.87	3.27	0.14

Significant intersection of tunnels and surface trenches of the GC Permit area
Mineralized Veins			True Width (m)
	Section#	Trench/Tunnels		Ag (g/t)	Pb (%)	Zn (%)	Sn (%)
V2	14	ML6	1.40	271	0.32	10.61	0.40
	16	ML6	3.10	245	2.58	3.29	0.17
	18	ML6	2.05	97	1.80	2.96	0.12
	20	ML9	4.80	418	5.13	1.75	0.29
	16	TC1602	4.90	525	1.06	0.07	0.22
	26	TC42	1.93	250	1.33	0.01
	30	BT3	2.70	217	4.18	0.17	0.15
	52	ML8	0.90	45	1.40	3.16	0.18
	52	TC060	1.60	968	0.40	0.04	0.39
V2-1	40	ML5	0.45	10	0.04	6.06	0.02
V3	403	ML2	1.00	137	13.74	10.74	0.05
	401	TC5	2.55	550	0.25	0.02	0.04
V4	425	ML4	0.85	270	0.06	0.05	0.02
	423	BT2	1.00	143	0.14	0.05	0.03
	400	ML1	3.30	106	0.51	0.14	0.03
	401	ML1	3.46	204	1.00	0.19	0.11

4

Mineralized Veins			True Width (m)
	Section#	Trench/Tunnels		Ag (g/t)	Pb (%)	Zn (%)	Sn (%)
	406	ML3	2.20	416	1.19	0.09	0.12
V5-1	34	BT07-17	0.40	161	2.62	0.17	0.04
	36	TC3601	0.90	353	1.40	0.09
V6	6	BT07-21	2.00	108	0.20	0.05	0.02
	44	PD12	1.10	186	0.12	0.10	0.01
	44	TC058	1.70	423	1.42	0.05	0.30
V7	34	TC4	0.60	103	0.11	0.36	0.04
	38	ML5	0.20	133	5.97	1.67	0.09
V8	32	TC054	2.00	293	0.46	0.02	0.04
	38	BT13	2.00	108	0.02	0.08	0.04
V10	42	ML5	1.40	504	6.92	6.84	0.21
	44	TC059	8.60	273	1.92	0.11	0.05
	36	TC3601	2.80	206	0.34	0.07
TC is Trench and ML and PD are tunnels

SMT Permit
The poly-metallic mineralization in the SMT deposit is both strata and structurally controlled and considered to be a sedimentary-hydrothermal type deposit. Based on previous historical work which included 3,218m of drilling (17 holes) and 4,196 cubic meters of trenching, it has been established that mineralized veins occur in a certain layer of strata that is underneath a thick layer of pyrite-rich strata as a layer-like or lenses which may extend up to 4,000 m along strike. Six (6) mineralized veins ( V1, V2, V3, V5, V6 and V7) have been defined.

V3, V7 and V2 are the main mineralized veins. V3 mineralized vein has a defined length of 1000m and a defined depth of 100m with vertical thickness of 0.7 to 3.65m with grades varying 54.4 to 344 g/t Ag, 5.21 to 8.87% Pb, 0.07 to 6.08% Zn, 0.03 to 0.44% Sn and 0.17 to 1.79 g/t Au. Vein V7 has a defined length of 300m a depth of 145m and a vertical thickness of 2.27 to 7.59m with grades varying 14.6 to 154.2 g/t Ag, 0.57 to 7.28% Pb, 0.60 to 7.45% Zn, 0.21 to 1.44% Sn and 0.05 to 0.43 g/t Au. Vein V2 has a defined length of 400m, depth of 500m and a vertical thickness of 1.17 to 3.21m with grades varying 20.8 to 88.6 g/t Ag, 1.71 to 1.74% Pb, 0.83 to 0.58% Zn, 0.21 to 1.44% Sn and 0.12 to 0.63 g/t Au.

The SRK Report did not calculate any resource for the SMT Permit area. However, based on the SRK report, a historical resource was calculated by the GGSI in 2005, which contains 2,129,800 tonne materials grading 1.53 g/t Au, 130 g/t Ag, 5.09% Pb and % Zn. Please note that a qualified person has not done sufficient work to classify the GGSI historical resource estimate as current mineral resources and Silvercorp is not considering these historical resources as current mineral resources. This historical resource calculation is not in compliance with NI 43-101 and should not be relied upon:

Historical Resource Estimate by GGSI (not NI43-101 compliant)
Category	Tonnes	Au (g/t)	Ag (g/t)	Pb (%)	Zn (%)	Sn (%)	Au (oz)	Ag (oz)	Pb (t)	Zn (t)	Sn (t)
Inferred	2,129,800	1.53	130	5.09	2.23	0.18	104,842	8,923,976	108,487	47,805	3,757

5

The following table outlines assay results of drill holes, tunnels and trenches at SMT Permit area:

Mineralized Vein	Section#	Drill Hole/Trench/Tunnel	True Thickness (m)	Ag (g/t)	Pb (%)	Zn (%)	Sn (%)	Au (g/t)
			4.18	76	1.22	3.85	0.02	0.05
		ML2	1.8	1262	12.18	2.79	0.06
V1	0		0.81	191	2.19	3.34	0.02
		ML1	1.47	79	2.77	2.37	0.05
		ZK001	1.61	35	1.30	1.73	0.26
		D534	0.95	89	1.74	0.58	0.04
V2	0	BT10	2.35	21	1.71	0.08	0.02
		D029	2.46	20	1.56	0.33	0.52
	16	TC18	2.04	93	8.01	0.95	0.06	0.17
		ZK001	0.57	77	6.28	0.07	0.03	1.20
	10		1.74	344	8.87	6.08	0.44	1.60
V3		D064	0.9		5.26	0.08		0.59
	1	TC0402	0.98	4	0.31	0.06	0.78	0.59
		ML0401	1.57	45	5.21	0.18	0.21	0.38
	9	TC0001	1.01	185	9.11	0.13	0.09	1.79
		ZK901	1.81	228	5.86	0.13	0.06	0.40
V5	11	ZK1103	2.91	38	10.66	4.89	0.02	8.54
V6			2.19	148	3.47	1.14	0.02	5.63
V7	10	ZK001	1.84	15	0.57	0.60	1.44	0.05
		ML11	5.81	154	7.28	7.45	0.21	0.43

ZK: drilling hole; ML: tunnel; TC and BT: trench

Future Plan
The Company will initiate a drilling program on both the GC and SMT properties immediately as the current information indicates that a number of drilling targets exist. Concurrently, the Company will also start the process of applying for a mining permit on the GC Permit using the resource estimate done by GGSI in 2007 that has been accepted for filing by the relevant Chinese government authorities.

Quality Control
Anhui Yangtze Mining Co. Ltd. has implemented a quality control program to ensure best practice in sampling and analysis of the trench, tunnel and drilling hole samples. All samples are shipped directly in a security sealed bag to the Assaying Centre of South-western Metallurgy and Geology (ISO9001 certified) in Chengdu, Sichuan, China and the Laboratories of Guangdong Zhaoqing Engineering Geology and Exploration Institute (ISO9001 certified), the internal checking samples are cross checked by the two laboratories, while the external check samples are assayed by Chengdu Center for Mineral Resource Supervision and Assay, and Guangzhou ALS Chemex. In the laboratories, samples are dried, crushed, split, pulverized to 200mesh, and then assay by Atomic Absorption Spectrometer for gold, silver, copper, and Iodometric Titration for tin.

Mike Hibbitts, P.Geo., a qualified person on the project under NI 43-101, has reviewed this news release.

6

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiaries, respectively and is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical factual information, including statements relating to mineral resources and reserves, or the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statemen ts. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

7

EX-99.31

Exhibit 99.31

PRESS RELEASE

Trading Symbol: SVM.TO April 3, 2008

Drilling and Tunnelling Discover High Grade Silver-Lead Veins in
the LM Silver-Lead Mine in the Ying Silver District, Henan
Province, China

VANCOUVER, BRITISH COLUMBIA, CANADA – April 3, 2008 – Silvercorp Metals Inc. ("Silvercorp” - SVM.T) is pleased to provide an update on its LM Silver (Ag)-Lead (Pb) Mine. The LM Mine was acquired in November 2007 through a 70% owned subsidiary, Henan Huawei Mining Co. Ltd. ("Huawei") which also holds the HPG Property. The acquisition of the LM mine has been approved by relevant Chinese Government authorities and the application for transfer of the LM mine permit was accepted by the Department of Land and Resources of Henan Province.

Since acquiring the LM mine in November 2007, work completed up to March 25, 2008 includes ; a total of 2,740 metres (m) of tunneling, and 3,037m of drilling 2 surface and 10 underground drill holes. To date, the exploration program has discovered 6 additional veins, increasing the total number of mineralized veins for the LM Mine to 14. These veins are LM-1 to LM-8, LM-10 to LM-12, LM-14, and LM-14-1. Exploration has been focused on the LM2, LM3, LM-5, LM-8, LM-12, and LM-14 veins, which are better defined and show significant Ag-Pb mineralization and several large high grade pockets. Of the drill holes with received assays, 7 holes intercepted high grade Ag-Pb mineralization, representing an outstanding 78% exploration drilling success rate. The latest two holes drilled show significant mineralization with assay results being pending. Exploration success was also achieved from new underground tunneling where assayed channel samples have shown significant exploration results.

Selected significant intercepts are as follows:

• Tunneling on the 900m elevation LM-2 Vein intersected 0.50m true width grading 1,285 g/t Ag and 11.78% Pb.

• Tunneling on the 838m elevation LM-3 Vein has intersected 0.50m true width grading 1,169 g/t Ag and 13.87% Pb.

• Tunneling on the 915m elevation LM-4 Vein intersected 0.20m true width grading 2,231 g/t Ag and 4.40% Pb, and 2.09% Zn.

• Tunneling on the 838m elevation LM-5 Vein intersected 0.20m true width grading 3,310 g/t Ag and 4.70% Pb.

• Tunneling on the 838m elevation LM-6 Vein intersected 0.30m true width grading 1,217 g/t Ag, 10.31% Pb, and 2.06% Zn.

• Tunneling on the 900m elevation LM-8 has intersected 0.70m true width grading 2,288 g/t Ag.

• Diamond drill hole ZK10201 on section 102 LM-8 Vein has intersected 0.50m grading 1,595 g/t Ag and 2.98% Pb at the 780m elevation.

• Diamond drill hole ZKA001, section 0 LM11 Vein has intersected 0.35m grading 1,837 g/t Ag, 7.77% Pb, and 1.73% Zn at the 825m elevation.

• Tunneling on the 924m elevation LM-12 Vein intersected 0.60m true width grading 1,896 g/t Ag, 4.19 Pb, and 0.88% Zn.

• Tunneling on the 916m elevation LM-14 Vein has intersected 0.60m true width grading 1,568 g/t Ag, 3.36% Pb, and 1.93% Zn.

• Diamond drill hole ZK10202, section 102 LM-20 Vein intersected 0.47m, grading 1,509 g/t Ag, 5.93% Pb at the 860m elevation.

LM1 Vein

LM-1 Vein is north-south striking, exposed over about 250m, 0.2 to 0.8m in width, and dips to the west at 70-80 degree dipping angle. The vein was discovered by tunneling and was exposed in drift along the veins on three levels (915m, 875m, and 855m elevations). A total of 62.1m drifting was completed through access tunnel PD855 by Silvercorp at 855m elevation and exposed a 0.35m wide high grade pocket containing 199 to 747 g/t Ag and 0.32 to 12.58% Pb.

LM2 Vein

LM2 is one of the largest veins discovered in the property. It extends north-southerly over 1,100m, dips to east with a 45 to 80 degree dipping angle. The vein shows on surface (above 1,100m elevation) and extends down to 764m elevation where it was intersected by a drill hole (ZK402). Its true thickness ranges from 0.1 to 1.7m. Exploration work on the vein includes 741m drifting along the vein on 4 levels (838m, 830m, 915m, and 968m) through two main access tunnel PD838 and PD900, 137m crosscutting, and 4 drill holes. Three high grade pockets have been defined, which ranges 50 to 70m in strike length, 0.10 to 1.05m in true thickness, and extends at least 160m at dipping direction. The pockets contain up to 1,709 g/t Ag and up to 28% Pb.

LM3 Vein

The vein extends northeasterly over 500m and steeply dips to the northwest. LM3 exposes on the surface above 1,150m elevation and was intersected at 748m elevation by a drill hole. The true width of the vein varies from 0.2 to 0.70 m. Silvercorp completed 4 drill holes on the vein and three of them hit significant Ag mineralization grading 92 to 559 g/t Ag. Tunneling includes 773m drifting along the vein at 830m, 842m, 862m, 780m, 900m, and 914m elevation, which were completed by the previous operator through main access tunnels PD838, PD855, PD900.

LM4 Vein

The vein, parallel to LM3, is about 400m in strike length, with a 65 to 75 dip to the northwest. The vein is 0.2 to 0.4m in true thickness with high grade pocket being over 20m in length and containing 128 to 2,231 g/t Ag and 0.43 to 11.28% Pb. A 136m long drift was developed at 915m elevation along the vein by previous operator through main access tunnel PD900.

LM5 Vein

The vein extends over 1,500m northeasterly and dips to northwest with 60 to 75 degree dipping angle. Exploration was focused on 838m elevation, including 114m drifting and 147m crosscutting through main access tunnel PD900. True width of the vein ranges from 0.15 to 1.0m. Grades range from 3310 Ag to 23 gt Ag and 14.48%Pb to 0.91% Pb.

LM6 Vein

The vein is located at 30m west of LM-5 Vein, and is parallel to LM-5 Vein and also steeply dips to the northwest. The vein extends over 550m along strike. Tunneling work was carried out at the 838m elevation, which exposed true width of the vein ranges from 0.2 to 0.55m and contains 50 to 1,217 g/t Ag, 1.03 to 10.43% Pb, and 0.28 to 2.49% Zn.

LM7 Vein

LM7 is a silver rich vein with little Lead identified. It strikes northeasterly over 500m and dips to northwest at 45 to 50 degree dipping angle. The width of the vein is up to 10m. Tunneling includes 25m drift at 924m elevation and 8m drifting at 870m elevation along the vein through main access tunnel PD924. A sample was recently collected from 870m elevation containing 653 g/t Ag.

LM8 Vein

The vein features high grade silver, a moderate amount of lead and minor zinc. LM8 extends over 500m and steeply dips to southwest, being cut off by LM7 at its southeast end. Width of the vein varies from 0.1 to 1.7m. The vein was exposed on 3 levels - 930m, 890m, and 869m elevation. Silvercorp completed a 49m drift along the vein and 3 drill holes. One hole (ZK10202) LM-8-3 intersected mineralization grading 903 g/t Ag and 2.05% Pb over 0.31m true width (0.38m core interval) at 763m elevation. The 2^nd hole only hit vein structure and assay results for the 3^rd hole is pending.

LM-8, LM-8-1, and LM-8-2 Veins

At 8m and 22m east and 36m west of vein LM 8, drill hole ZK10201 intersected three high grade silver veins: LM8, LM8-1, and LM8-2, respectively. The LM-8 is 031m true width, grading 1595 g/t Ag and 2.98% Pb. The LM8-1 contains 374 g/t Ag and 1.48% Pb over 1.12m true width, while LM-8-2 vein grades 454 g/t Ag and 0.43% Pb over 0.68m true width. These three veins were not shown on the surface and their dimensions are yet to be determined. Additional tunneling and extra drill holes have been designed and work is underway to define their striking and dipping extensions.

LM12 Vein

The vein was only revealed by tunneling at 924m elevation through main access tunnel PD924. It extends northeasterly and dips to the northwest with 65 degree dipping angle. A 457m long drift was developed along the strike of the vein, in which 3 high grade high grade pockets totaling 112m in length was defined and averaging 0.37m in true width. The vein features high value of silver with moderate amount of lead and zinc.

LM14 Vein

LM14 is shown on surface for about 320m in northwesterly striking length and dips southwest at 70 degree dipping angle. A total of 171m drifting was completed along the vein on 3 levels –975m, 960m, and 916m elevation through access tunnel PD7 and PD8. Tunneling has defined a significant high grade Ag-Pb pocket that extends 70m in length on the 970m level and 30m in length on the 916m level. The true width of the vein varies from 0.25 to 0.70m.

LM18 Vein

The vein, being parallel to LM3 vein, was only discovered by tunneling on 968m level and 915m level through and access tunnels PD968 and PD900, respectively. It strikes to the northeast and dips to the northwest at 60 to 75 degree dipping angle. Silvercorp has completed 83m drifting on the 968m level and 238m crosscutting on the 915m level. Significant Ag-Pb mineralization was intercepted on both levels ranging from 849gt Ag to 173gt Ag and 7.77% Pb to 0.91% Pb.

LM20 Vein

This is a newly discovered vein which was intercepted by drill hole ZK10202 at 860m elevation. The drill core interval is 0.47m wide, grading 1,509 g/t Ag and 5.93% Pb. Additional drill hole and tunneling have been planned to define the veins.

Detailed Tunnel Assay Results:
Mineralized Veins		Elevaton (m)	True	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)
	Tunnels		Width
			(m)
LM1	PD855-LM1-855-NYM	855	0.35	747	24.02	12.58	0.23
	PD855-LM1-855-SYM	855	0.20	199	6.40	1.98	0.33
	PD855-LM1-855-SYM	855	0.20	239	7.68	0.32	0.24
	PD855-LM1-855-SYM	855	0.50	613	19.71	0.90	0.17
	PD838-LM1-838NYM	838	0.10	76	2.44	15.19	4.12
	PD838-LM1-838NYM	838	0.40	233	7.49	0.81	0.14
	PD838-LM1-838NYM	838	0.20	395	12.70	9.72	0.28
	PD838-LM1-838NYM	838	0.40	1720	55.30	0.89	0.20
LM2	PD900-LM2-915-NYM	915	0.40	45	1.45	11.77	0.03
	PD900-LM2-915-NYM	915	0.40	128	4.12	24.52	0.07
	PD900-LM2-915-NYM	915	0.60	162	5.21	0.06	0.16
	PD900-LM2-915-NYM	915	0.40	166	5.34	0.05	0.22
	PD900-LM2-915-NYM	915	0.60	177	5.69	0.44	0.13
	PD900-LM2-915-NYM	915	0.40	241	7.75	6.73	0.07
	PD900-LM2-915-NYM	915	0.40	319	10.26	3.40	0.11
	PD-900-LM2-915-NYM	915	0.40	105	3.38	2.48	1.38
	PD900-LM2-915-SYM	915	0.20	168	5.40	0.24	0.11
	PD900-LM2-915-SYM	915	0.20	192	6.17	0.05	0.09
	PD900-LM2-915-SYM	915	0.30	222	7.14	0.55	0.31

PD900-LM2-915-SYM	915	0.20	239	7.68	8.40	0.32
PD900-LM2-915-SYM	915	0.40	816	26.24	7.95	0.39
PD900-LM2-915-SYM	915	0.30	925	29.74	4.00	0.42
PD900-LM2-915-SYM	915	0.20	949	30.51	7.24	0.34
PD900-LM2-915-SYM	915	0.50	1136	36.52	3.82	0.39
PD900-LM2-900-NYM	900	0.30	76	2.44	9.48	0.23
PD900-LM2-900-NYM	900	0.50	111	3.57	4.52	0.79
PD900-LM2-900-NYM	900	0.30	130	4.18	4.02	1.33
PD900-LM2-900-NYM	900	0.70	132	4.24	7.46	0.06
PD900-LM2-900-NYM	900	0.40	134	4.31	1.07	0.08
PD900-LM2-900-NYM	900	0.40	143	4.60	0.77	0.29
PD900-LM2-900-NYM	900	0.50	147	4.73	1.22	0.16
PD900-LM2-900-NYM	900	0.30	164	5.27	0.74	0.19
PD900-LM2-900-NYM	900	0.50	174	5.59	8.15	0.16
PD900-LM2-900-NYM	900	0.50	211	6.78	0.26	0.05
PD900-LM2-900-NYM	900	0.40	225	7.23	0.19	0.10
PD900-LM2-900-NYM	900	0.30	293	9.42	11.95	0.13
PD900-LM2-900-NYM	900	0.30	470	15.11	0.75	0.75
PD900-LM2-900-NYM	900	0.20	834	26.81	2.79	0.29
PD900-LM2-900-NYM	900	0.50	1285	41.31	11.78	0.03
PD900-LM2-900-NYM	900	0.40	1375	44.21	0.72	0.13
PD855-LM2-855-NYM	855	0.30	25	0.80	4.20	0.12
PD855-LM2-855-NYM	855	0.35	240	7.72	1.59	0.12
PD855-LM2-855-NYM	855	0.50	244	7.84	0.96	0.24
PD855-LM2-855-NYM	855	0.25	1709	54.95	7.51	0.08
PD838-LM2-838	838	0.30	96	3.09	2.85	0.10
PD838-LM2-838	838	1.00	161	5.18	0.91	0.08
PD838-LM2-838	838	0.40	217	6.98	0.91	0.11
PD838-LM2-838	838	0.60	323	10.38	2.54	0.26
PD838-LM2-838	838	0.90	330	10.61	2.08	0.15
PD838-LM2-838	838	0.70	407	13.09	1.19	0.25
PD838-LM2-838-SYM	838	0.30	199	6.40	0.05	0.37
PD838-LM2-838-SYM	838	1.70	214	6.88	0.41	0.47
PD838-LM2-838-SYM	838	0.70	257	8.26	0.17	0.12
PD838-LM2-838-SYM	838	0.35	268	8.62	2.20	0.35
PD838-LM2-838-SYM	838	0.20	716	23.02	5.13	1.50
PD-838-LM2-838-SYM	838	0.30	231	7.43	0.87	0.61
PD838-LM2-1-830	830	0.90	166	5.34	0.93	0.22
PD838-LM2-1-830	830	0.50	226	7.27	0.99	0.15
PD838-LM2-1-830	830	0.40	243	7.81	0.28	0.14
PD838-LM2-2-830	830	0.40	245	7.88	1.27	0.26
PD838-LM2-2-830-NYM	830	1.00	219	7.04	0.18	0.09
PD838-LM2-2-830-SYM	830	0.70	192	6.17	0.32	0.35
PD838-LM2-2-830-SYM	830	0.70	199	6.40	0.34	0.14
PD838-LM2-2-830-SYM	830	0.70	727	23.37	3.77	0.39
PD838-LM2-2-830-SYM	830	0.60	834	26.81	3.94	0.99
PD838-LM2-2-830-SYM	830	0.40	1279	41.12	5.77	0.22
PD838-LM2-830-NYM	830	0.70	162	5.21	0.17	0.16

 

	PD-838-LM2-830-NYM	830	0.80	141	4.53	0.40	0.18
	PD-838-LM2-830-NYM	830	0.60	159	5.11	1.76	0.26
	PD838-LM2-830-SYM	830	0.80	168	5.40	0.47	0.15
LM3	PD838-LM3-830-ECM	830	0.60	290	9.32	0.54	0.41
	PD838-LM3-830-NYM	830	1.10	165	5.30	1.51	0.42
	PD838-LM3-830-NYM	830	0.20	312	10.03	0.37	0.09
	PD900-LM3-900	900	0.70	0	0.00	21.00	0.14
	PD900-LM3-900	900	0.30	1	0.03	21.00	0.12
	PD855-LM3-855-SYM	855	0.20	330	10.61	2.46	0.21
	PD855-LM3-855-SYM	855	0.70	419	13.47	0.84	0.24
	PD855-LM3-855-SYM2	855	0.35	116	3.73	7.82	0.32
	PD838-LM3-838	838	0.50	112	3.60	2.51	0.40
	PD838-LM3-838	838	0.30	132	4.24	4.63	0.21
	PD838-LM3-838	838	0.70	172	5.53	0.56	0.09
	PD838-LM3-838	838	0.50	301	9.68	1.45	0.11
	PD838-LM3-838	838	0.30	437	14.05	3.64	0.26
	PD838-LM3-838	838	0.35	650	20.90	5.09	0.18
	PD838-LM3-838	838	0.50	1169	37.58	13.87	0.51
	PD838-LM3-830-SYM	830	0.50	181	5.82	0.99	0.25
LM4	PD900-LM4-915	915	0.20	128	4.12	1.08	0.17
	PD900-LM4-915	915	0.20	254	8.17	0.43	0.52
	PD900-LM4-915-YM	915	0.30	153	4.92	0.53	0.27
	PD900-LM4-915-YM	915	0.40	492	15.82	1.33	0.47
	PD900-LM4-915-YM	915	0.20	515	16.56	1.28	0.58
	PD900-LM4-915-YM	915	0.40	655	21.06	0.68	0.19
	PD900-LM4-915-YM	915	0.25	879	28.26	0.59	0.32
	PD900-LM4-915-YM	915	0.20	956	30.74	0.99	0.39
	PD900-LM4-915-YM	915	0.30	1347	43.31	0.92	0.50
	PD900-LM4-915-YM	915	0.30	1397	44.91	11.28	2.02
	PD900-LM4-915-YM	915	0.20	1399	44.98	1.30	0.56
	PD900-LM4-915-YM	915	0.30	1560	50.16	2.05	0.47
	PD900-LM4-915-YM	915	0.20	2231	71.73	2.38	2.09
LM5	PD900-LM5-915-SYM	915	0.40	137	4.40	0.05	0.06
	PD900-LM5-915-SYM	915	1.00	142	4.57	0.24	0.13
	PD900-LM5-915-SYM	915	0.70	181	5.82	0.04	0.03
	PD900-LM5-915-SYM	915	0.40	266	8.55	0.62	0.26
	PD900-LM5-915-SYM	915	0.40	345	11.09	1.65	0.20
	PD900-LM5-915-YM	915	0.40	127	4.08	3.98	0.48
	PD900-LM5-915-YM	915	0.30	660	21.22	4.21	0.63
	PD838-LM5-838-SYM	838	0.30	23	0.74	14.49	0.29
	PD838-LM5-838-SYM	838	0.50	99	3.18	2.68	0.28
	PD838-LM5-838-SYM	838	0.30	714	22.96	14.13	2.46
	PD838-LM5-838-SYM	838	0.20	3310	106.42	4.70	0.40
	PD838-LM5-838-ZCM	838	0.15	1298	41.73	0.91	0.49
LM6	PD838-LM6-838	838	0.30	230	7.39	5.78	0.17
	PD838-LM6-SYM	838	0.30	50	1.61	10.43	0.28
	PD838-LM6-SYM	838	0.55	130	4.18	1.03	0.31
	PD838-LM6-SYM	838	0.20	209	6.72	1.12	1.30
	PD838-LM6-SYM	838	0.30	229	7.36	1.53	0.29
	PD838-LM6-SYM	838	0.25	1130	36.33	5.71	2.06
	PD838-LM6-SYM	838	0.30	1217	39.13	10.31	2.49
LM8	XPD924-LM8-924-NYM	924	0.60	237	7.62	0.68	0.04
	XPD924-LM8-924-NYM	924	0.50	390	12.54	0.69	0.01
	XPD924-LM8-924-NYM	924	1.00	480	15.43	0.55	0.10

	XPD924-LM8-924-NYM	924	0.20	475	15.27	2.05	0.07
	XPD924-LM8-924-NYM	924	0.50	892	28.68	0.62	0.01
	XPD924-LM8-924-NYM	924	0.40	938	30.16	1.20	0.07
	XPD924-LM8-XJ2-900-NYM	900	0.30	170	5.47	0.51	0.07
	XPD924-LM8-XJ2-900-NYM	900	0.80	187	6.01	0.17	0.04
	XPD924-LM8-XJ2-900-NYM	900	0.60	201	6.46	0.31	0.11
	XPD924-LM8-XJ2-900-NYM	900	0.30	234	7.52	0.45	0.06
	XPD924-LM8-XJ2-900-NYM	900	0.35	295	9.48	0.18	0.05
	XPD924-LM8-XJ2-900-NYM	900	0.70	318	10.22	0.53	0.06
	XPD924-LM8-XJ2-900-NYM	900	0.70	285	9.16	1.50	0.48
	XPD924-LM8-XJ2-900-NYM	900	0.30	458	14.73	0.55	0.07
	XPD924-LM8-XJ2-900-NYM	900	0.10	516	16.59	0.76	0.08
	XPD924-LM8-XJ2-900-NYM	900	1.10	521	16.75	0.81	0.09
	XPD924-LM8-XJ2-900-NYM	900	1.00	859	27.62	0.45	0.14
	XPD924-LM8-XJ2-900-NYM	900	0.95	879	28.26	0.38	0.05
	XPD924-LM8-XJ2-900-NYM	900	0.60	609	19.58	7.15	0.14
	XPD924-LM8-XJ2-900-NYM	900	0.25	961	30.90	3.24	0.13
	XPD924-LM8-XJ2-900-NYM	900	1.20	1141	36.68	0.66	0.06
	XPD924-LM8-XJ2-900-NYM	900	0.20	1938	62.31	6.19	0.24
	XPD924-LM8-XJ2-900-NYM	900	0.20	2203	70.83	1.89	0.48
	XPD924-LM8-XJ2-900-NYM	900	0.70	2288	73.56	0.40	0.14
	XPD924-LM8-XJ2-900-NYM	900	0.25	2147	69.03	6.10	0.35
	XPD924-LM8-XJ2-860-NWYM	860	0.45	121	3.89	1.75	0.07
	XPD924-LM8-XJ2-860-NWYM	860	0.50	428	13.76	3.39	0.18
	XPD924-LM8-XJ2-860-SWYM	860	0.60	180	5.79	0.40	0.08
	XPD924-LM8-XJ2-860-SWYM	860	0.60	233	7.49	1.10	0.12
	XPD924-LM8-XJ2-860-SWYM	860	0.40	466	14.98	0.51	0.12
	XPD924-LM8-XJ2-860-SWYM	860	0.40	511	16.43	0.96	0.06
	XPD924-LM8-XJ2-860-SWYM	860	0.30	534	17.17	1.05	0.15
	XPD924-LM8-XJ2-860-SWYM	860	0.60	1634	52.53	0.86	0.55
	XPD924-LM8-XJ2-860-SWYM	860	0.35	1983	63.76	3.88	0.44
LM12	PD924-LM12-924-SYM	924	0.60	150	4.82	1.50	0.09
	PD924-LM12-924-SYM	924	0.50	114	3.67	0.93	2.09
	PD924-LM12-924-SYM	924	0.50	136	4.37	2.80	0.10
	PD924-LM12-924-SYM	924	0.40	234	7.52	1.58	0.07
	PD924-LM12-924-SYM	924	0.15	294	9.45	0.49	0.01
	PD924-LM12-924-SYM	924	0.50	421	13.54	1.52	0.06
	PD924-LM12-924-SYM	924	0.40	164	5.27	6.86	1.98
	PD924-LM12-924-SYM	924	0.60	388	12.47	5.09	n/a
	PD924-LM12-924-SYM	924	0.30	784	25.21	2.57	n/a
	PD924-LM12-924-SYM	924	0.10	977	31.41	4.29	n/a
	PD924-LM12-924-SYM	924	0.30	1159	37.26	1.73	n/a
	PD924-LM12-924-SYM	924	0.20	752	24.18	8.97	2.18
	PD924-LM12-924-SYM	924	0.20	1050	33.76	7.15	0.33
	PD924-LM12-924-SYM	924	0.20	1841	59.19	4.27	0.38
	PD924-LM12-924-SYM	924	0.60	1896	60.96	4.19	0.88

LM14	PD991-LM14-972-NYM	972	0.40	28	0.90	4.09	0.43
	PD991-LM14-972-NYM	972	0.55	51	1.65	5.12	0.06
	PD991-LM14-972-NYM	972	0.60	243	7.81	1.62	0.15
	PD991-LM14-972-NYM	972	0.40	329	10.59	0.54	0.09
	PD991-LM14-972-NYM	972	0.50	354	11.38	1.05	0.08
	PD991-LM14-972-NYM	972	0.25	295	9.50	2.39	0.16
	PD991-LM14-972-NYM	972	0.35	172	5.53	7.03	0.92
	PD991-LM14-972-NYM	972	0.70	533	17.15	0.68	0.04
	PD991-LM14-972-NYM	972	0.55	517	16.62	19.39	1.40
	PD991-LM14-972-NYM	972	0.55	816	26.22	28.10	0.40
	PD991-LM14-972-NYM	972	0.20	736	23.66	35.78	1.95
	PD8-LM14-916-NYM	916	0.55	634	20.38	1.15	0.10
	PD8-LM14-916-NYM	916	0.45	1407	45.24	43.60	1.20
	PD8-LM14-916-SYM	916	0.50	101	3.25	5.16	0.18
	PD8-LM14-916-SYM	916	0.60	1568	50.41	3.36	1.93
LM18	PD968-LM18-968-SYM	968	0.20	173	5.56	2.28	0.30
	PD968-LM18-968-SYM	968	0.40	279	8.97	0.91	1.17
	PD968-LM18-SYM-Stope	968	0.30	174	5.59	3.23	0.05
	PD968-LM18-SYM-Stope	968	0.35	227	7.30	1.43	0.10
	PD968-LM18-SYM-Stope	968	0.30	849	27.30	7.77	0.08

Drill Hole Assay Results
		Intersection
Mineralized	Drill			Interval	Elevation	Ag	Ag	Pb	Zn
Veins	Hole	From	To (m)	(m)	(m)	(g/t)	(oz/t)	(%)	(%)
		(m)
LM2	ZK001	224.17	224.74	0.57	695	95	3.04	1.92	3.07
	ZK301	117.93	118.03	0.10	774	633	20.34	2.85	4.71
	ZK401	111.18	111.49	0.31	789	337	10.83	5.54	0.18
LM20	ZK10202	104.01	104.48	0.47	860	1509	48.51	5.93	0.23
LM3	ZK302	102.69	103.08	0.39	748	92	2.96	0.10	0.21
	ZK402	86.32	86.70	0.38	784	250	8.05	0.42	0.18
	ZK001	62.21	63.06	0.85	805	559	17.96	0.88	0.12
	ZK001	54.21	55.31	1.10	810	137	4.40	0.33	0.15
LM8	ZK10201	262.41	262.91	0.50	780	1595	51.29	2.98	0.17
LM8-1	ZK10201	272.28	273.98	1.70	777	374	12.04	1.48	0.40
LM8-2	ZK10201	297.93	298.93	1.00	763	454	14.59	0.43	0.39
LM8-3	ZK10202	250.20	250.58	0.38	763	903	29.03	2.05	0.37
LM10	ZKA003	18.91	19.26	0.35	915	9	0.29	3.03	0.13
LM11	ZKA003	140.20	141.52	1.32	801	62	1.99	0.07	0.09
	ZKA001	113.25	113.60	0.35	825	1837	59.05	7.77	1.73

As reported, the Company has planned and budgeted for 10,000m of tunnelling and an 11,000m of drilling program for the LM mine. This program is underway.

Quality Control

Rock samples were collected by channel sampling the face of the undercut drifts. The channels were usually cut 10cm in width and 5cm in depth producing a sample weighing approximately 2kg to 10kg for each 0.10 to 1.00m interval depending on the thickness of mineralization. Drill cores are NQ/HQ size and drill core samples were taken from sawn half core limited by apparent massive galena sheet contact or shear/alteration contact.

The Company maintains a quality control program to ensure best practice in sampling and analysis of the tunnel samples. The samples are shipped directly in security sealed bags to two labs: and the Langfang Institute of Geochemical and Geophysical Exploration (Certification ISO 9001), a well-regarded analytical laboratory in Langfang, Hebei Province near Beijing and analytical Lab of No. 6 Team of Henan Non-Ferrous Metals Geological and Mineral Resources Bureau in Luoyang located 125km by road northeast of the LM Mine.

The sample preparation consists of drying, crushing, and splitting of the sample to 250 grams, then the sample is pulverized to 200 mesh.

No. 6 Lab utilizes two acid digestion and AA finish on a 0.5 gram sample for lead and zinc. Titration is utilized as a modified process for higher grade materials. Silver is also analyzed using a two acid digestion on a 0.5 gram sample and AA finish.

Langfang Lab uses the ICP-OES process to analyze for lead, zinc and silver a 0.1 gram sample is digested with hot HCL, Hot HNO₃, HF and HClO₄ (200 degrees centigrade) the pregnant solution is analyzed utilizing mass spectrometry.

Both labs utilize a QA/QC system of duplicates replicates and Standards.

Mike Hibbitts, P.Geo, is the Qualified Person on the project under NI 43-101.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively and is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China owned through its 82% Chinese subsidiary company.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.32

Exhibit 99.32

PRESS RELEASE

Trading Symbol: SVM.TO March 26, 2008

NORMAL COURSE ISSUER BID

VANCOUVER, British Columbia – March 26, 2008 – Silvercorp Metals Inc..(“Silvercorp”), advises that the Normal Course Issuer Bid announced March 21, 2008 will commence at market open March 28, 2008 and continue until no later than March 27, 2009. Under the Issuer Bid, Silvercorp may on any trading day purchase up to 137,841 shares, being 25% of the average daily trading volume for the most recently completed six calendar months. Silvercorp intends to acquire up to 2,988,029 of its Common Shares over a one year period. Purchases will be made at the discretion of the Directors at prevailing market prices, through the facilities of the TSX. The Company intends to cancel all shares acquired under the issuer bid.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining District, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively and is also exploring the Nao-Bao Polymetalic Project in Qinghai Province, China.

The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

EX-99.33

Exhibit 99.33

PRESS RELEASE

Trading Symbol: SVM.TO March 20, 2008

NORMAL COURSE ISSUER BID

VANCOUVER, British Columbia – March 20, 2008 – Silvercorp Metals Inc..(“Silvercorp”), is of the opinion that prevailing market conditions have resulted in Silvercorp’s shares being undervalued relative to the immediate and long term value of Silvercorp’s Ying, HLP, TLP and LM Mines in Henan Province, and its Na Bao Project in Qinghai Province, China. Accordingly, Silvercorp intends to commence a Normal Course Issuer Bid to acquire up to 2,988,029 of its Common Shares (being approximately 2% of the 149,401,476 shares currently issued and outstanding), over a one year period. Purchases will be made at the discretion of the Directors at prevailing market prices, through the facilities of the TSX Exchange. The Company intends to hold all shares acquired under the issuer bid for cancellation. The Issuer Bid is subject to regulatory approval.

Directors and senior officers of the Company are not aware of any previously undisclosed material changes or plans or proposals for material changes in the affairs of the Company, nor do any of them have the present intention to sell shares of the Company during the Normal Course Issuer Bid. The Company is limited, pursuant to the policies of the TSX Exchange, to purchasing not more than 2% of the Company’s outstanding shares during any 30-day period. Shares purchased pursuant to the Normal Course Issuer Bid by the Company will be acquired at a price that is not higher than the last independent trade of a board lot of common shares of the Company.

On June 13, 2006, the Board of Directors approved a normal course issuer bid to acquire up to 3,000,000 (1,000,000 pre-split) of its Common Shares over a one year period. A total of 1,261,500 (420,500 pre-split) common shares were acquired at an average price of $4.36 ($13.08 pre-split) under the normal course issuer bid through the facilities of the TSX and were returned to treasury and cancelled.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining District, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively and is also exploring the Nao-Bao Polymetalic Project in Qinghai Province, China. The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

EX-99.34

Exhibit 99.34

PRESS RELEASE

Trading Symbol: SVM.TO March 13, 2008

$50 Million Exploration and Development Program Budgeted for Silvercorp’s
Projects in China for Fiscal 2009

VANCOUVER, BRITISH COLUMBIA, CANADA – March 13, 2008 – Silvercorp Metals Inc. ("Silvercorp” - SVM.TO) announces that its three operating subsidiaries in China (77.5% owned joint venture company, Henan Found Mining Co. Ltd. for the Ying and TLP Mines; 70% owned Henan Hua Wei Mining Co. Ltd. for the HPG and LM Mines, and 82% owned Qinghai Found Mining Co. Ltd. for the Na Bao Project) have planned extensive exploration and development programs with a budget at US$50 million for fiscal 2009, starting April 1, 2008. The program, covering the four mines within the Ying Mining Camp and the new exploration project, Na Bao, in Qinghai Province, will be funded with cash flows from mine production.

For the Ying Mining Camp, it is anticipated that this program will increase the total milling capacity to about 600,000 tonnes (mining capacity about 500,000 tonnes) for fiscal 2009 and to about 1,000,000 tonnes (mining capacity about 700,000 tonnes) for fiscal 2010, as compared to about 350,000 milling capacity (300,000 tonnes mining capacity) for fiscal 2008 ending March 31, 2008. The extra milling capacity will leave room for further mining capacity increases at the Ying Camp

The goal for the Na Bao Project after the program is to define a resource base that satisfies the Chinese government’s minimum application requirement for a mining permit for silver/lead/zinc, being 1,000 tonnes per day (“t/d”) mining/milling capacity with a mine life of 10 years, thereby providing further growth for Silvercorp beyond fiscal 2010. The details of the exploration and development programs are as follows:

Mine and Mill Developments at the Ying Mining Camp

Based on the most recent mill design by a qualified Chinese engineering firm, the proposed new 2,000 t/d capacity mill plus associated tailing dam will be built at a cost of about US$12 million with all new equipment made in China. The new mill, at a central location within 16 km of the four mines, is expected to be operational by November 2008. At that time the new mill plus the existing operational 1,000 t/d mill will provide a total milling capacity of approximately 3,000 t/d to treat ores from within the Ying Mining Camp.

US$10 million has been budgeted for developing mining capacity and infrastructure at the newly acquired TLP and LM Mines and US$4 million is budgeted for further upgrading and mechanizing the Ying and HPG Mines. The following table summarizes the mining and milling capacity growth forecasts through to 2010 for the four mines at the Ying Mining Camp. The development program is anticipating to more than double the current mining and production capacity at a cost of only US$26 million plus the acquisition cost for the TLP and LM Mines which have been fully paid in fiscal 2008.

Production Capacity Forecast for the Ying Mining Camp
	Year ending March 31
	2008	2009	2010
Milling Capacity (tonne)	350,000	600,000	1,000,000
Mining Capacity (tonne)
Ying Mine	240,000	250,000	250,000
HPG Mine	60,000	100,000	100,000
TLP Mine		120,000	300,000
LM Mine		30,000	50,000
Total Mining Capacity	300,000	500,000	700,000

Exploration Program

In additional to the above mining and development program, Silvercorp’s Chinese operating subsidiaries have also planned 197,500 metres of drilling and exploration tunneling program at an estimated cost of about US$24 million to upgrade the resources from inferred categories to indicated and higher ones, and to drill and tunnel new targets. The detailed break-down of the exploration program for each mine or project is in the following table:

		Metres		Cost
Mine and		Surface	Underground	Estimate
Project	Tunneling	Drilling	Drilling	(US$)
Ying Mine
Area	32,000	14,500	32,000	7,500,000
TLP Mine	8,000	10,000	20,000	2,600,000
HPG Mine	10,000	6,000	14,000	3,400,000
LM Mine	10,000	2,000	9,000	2,000,000
Na Bao Project		30,000		8,500,000
Total	60,000	62,500	75,000	24,000,000

Drilling at the Na Bao Project is expected to commence in May 2008 following completion of an IP geophysical survey. The US$8.5 million drilling cost estimate for Na Bao also includes first time infrastructure setup.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining Camp, Henan Province, owned through its 77.5% and 70% Chinese operating subsidiaries, respectively and is also exploring the Na Bao Polymetalic Project in Qinghai Province, owned through its 82% Chinese operating subsidiary.

The Company's common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to updat e any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements.

EX-99.35

Exhibit 99.35

PRESS RELEASE

Trading Symbol: SVM.TO February 14, 2008

SILVERCORP RECORDS $0.12 EPS FOR Q3 FISCAL 2008 ENDED DECEMBER 31, 2007

VANCOUVER, British Columbia – February 14, 2008 – Silvercorp Metals Inc. (the “Company”) is pleased to announce that for the 3^rd quarter ended December 31, 2007 the Company recorded consolidated net earnings of $17.5 million or $0.12 per share compared to $9.3 million or $0.06 per share in the same quarter a year ago. Total gross profit increased by 100% to $24.0 million in the 3^rd quarter compared to the same period a year ago. Net cash provided by operating activities rose to $22.9 million in the 3^rd quarter, a 71% increase over the same period a year ago.

For the nine months ended December 31, 2007, the Company recorded net earnings of $51.0 million, or $0.35 per share, compared to $17.1 million, or $0.12 per share over the same period last year. Sales for the nine month period increased by $55.1 million, or 185% to $84.9 million compared to $29.8 million for the same period last year. Net cash provided by operating activities rose to $65.2 million for the nine months, a 186% increase compared to $22.7 million over the same period last year.

3rd QUARTER HIGHLIGHTS

During the 3^rd quarter ended December 31, 2007, gross profit from mine operations amounted to $24.0 million (2007 - $12.0 million) on a total sales of $29.8 million, representing a gross margin of 81% (2007 -82%). The net income realized was $17.5 million (2007 - $9.3 million) with a net profit margin of 59% (2007 - 63%) after deduction of minority interest. Both basic and diluted earnings per share doubled to $0.12 as compared to $0.06 in the prior year period.

Included in the results for the 3^rd quarter ended December 31, 2007, Henan Found purchased and milled 3,959 tonnes of ore from a third party that produced 124 tonnes of lead-silver concentrate.

The Company continues to achieve industry leading low total production costs per ounce of silver. In the 3^rd quarter, the total production cost is negative $11.07 per ounce of silver after adjusting for by-product credits, compared to negative $8.49 per ounce in the same quarter a year ago.

For this quarter, a total of 88,122 (2007 - 53,521) tonnes of ores were mined, from which 3,691 (2007 -2,042) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 84,431 (2007 -51,479) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $53.40 (2007 - $44.00) per tonne of ore and average milling cost is $12.10 (2007 -$20.42) per tonne of ore.

In comparing to the 2^nd quarter ended September 30, 2007, the Company’s ores mined increased by 18%, or 13,405 tonnes to 88,122 tonnes and ores milled increased by 16%, or 11,591 tonnes to 85,028 tonnes in the 3^rd quarter of fiscal 2008. The increase in production was offset by a 10% and 39%, respectively, drop in the average selling price for lead and zinc, and by the strong Canadian dollar, resulting in production costs, adjusted for by-products credits, increasing by 19% to negative $11.07 per ounce of silver from negative $13.62 in the 2^nd quarter ended September 30, 2007.

Net cash provided by operating activities rose to $22.9 million in the 3^rd quarter, a 71% increase over the same period a year ago, capital expenditures during the period amounted to $22 million representing the purchase of mineral rights and properties, and a cash dividend distribution of $7.4 million was paid to the shareholders, resulting in cash and cash equivalents and short term investments of $82.1 million as of December 31, 2007.

NINE MONTH HIGHLIGHTS

For the nine months ended December 31, 2007, gross profit from mine operations amounted to $67.5 million (2007 - $23.7 million), representing a gross margin of 80% (2007 - 80%). The net income realized was $51.0 million (2007 - $17.1 million) with a net profit margin of 60% (2007 - 57%). The net earnings are $0.35 (2007 - $0.12) per basic share, representing almost a 300% increase.

The Company continues to achieve industry leading low total production costs per ounce of silver. The total production cost is negative $11.62 per ounce of silver after adjusting for by-product credits for the nine months ended December 31, 2007, compared to negative $7.20 per ounce in the same period a year ago.

For the nine months ended December 31, 2007, a total of 233,655 (2007 - 124,765) tonnes of ores were mined, from which 9,760 (2007 - 4,825) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 223,895 (2007 - 119,940) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $51.19 (2007 - $40.00) per tonne of ore and average milling cost is $11.92 (2007 - $20.26) per tonne of ore.

Net cash provided by operating activities rose to $65.2 million in the nine months ended December 31, 2007, a 186% increase over the same period a year ago, capital expenditures during the period amounted to $27.5 million representing the purchase of mineral rights and properties, and a cash dividend distribution of $7.4 million was paid to the shareholders, resulting in cash and cash equivalents and short term investments of $82.1 million as of December 31, 2007.

OPERATION HIGHLIGHTS FOR THE MINES - For the 3^rd quarter and 9 months of fiscal 2008

The head grades of run of mine ores of 70,680 and 191,768 tonnes from the Ying Mine for the three and nine months ended December 31, 2007, are:
>461.7 and 468.1 gram/tonne for silver;
>7.5% and 7.5% for lead; and,
>3.6% and 3.7% for zinc, respectively.

The head grades of run of mine ores of 17,442 and 41,887 tonnes from the HPG Mine for the three and nine months ended December 31, 2007, are:
>217.3 and 227.6 gram/tonne for silver;
>6.5% and 7.5% for lead; and,
>0.7% and 1.2% for zinc, respectively.

Total sales and realized prices net of value added tax and smelter charges for the three months ended December 31, 2007, are comprised of the following:
>1,087,055 ounces of silver sold for $11,962,856 at an average selling price of $11.00 per ounce;
>853 ounces of gold sold for $578,339 at an average selling price of $678.01 per ounce;
>13,776,546 pounds of lead sold for $13,953,971 at an average selling price of $1.01 per pound; and,
>4,925,076 pounds of zinc sold for $3,306,611 at an average selling price of $0.67 per pound.

Total sales and realized prices net of value added tax and smelter charges for the nine months ended December 31, 2007, are comprised of the following:
>2,959,655 ounces of silver sold for $33,099,272 at an average selling price of $11.18 per ounce;
>1,691 ounces of gold sold for $1,002,983 at an average selling price of $593.13 per ounce;
>37,925,734 pounds of lead sold for $37,522,399 at an average selling price of $0.99 per pound; and,
>13,518,607 pounds of zinc sold for $13,276,534 at an average selling price of $0.98 per pound.

For the three and nine months ended December 31, 2007, the cash production cost for silver adjusted for by-product credits is negative $11.97 (2007 - negative $9.27) and negative $12.70 (2007 - negative $7.87) per ounce, respectively.

OUTLOOK

The Company is well positioned to grow through consolidating the fragmented primary silver sector in China, starting with its foot-hold in Henan Province. With the encouragement of local county government, the Company, through its acquisition of the LM and TLP Silver-Lead Mines, is consolidating the silver, lead, and zinc mines and exploration properties in the Ying/HPG Silver Mining camp, providing a solid base from which to significantly expand resources and growth potential.

The fourth quarter is traditionally a slower quarter for the Company as the traditional Chinese Spring Festival normally occurs during January or February. This year the Ying Mill will be in operation, treating ores purchased from third parties as a result of acquiring the TLP and LM Mines. The Company’s mining operations were shut down for two weeks, starting from February 1^st. In addition, the Company’s production in the 4^th quarter of 2008 has been affected by the severe weather in Central China this January that led to unstable power supply and limitations on staff mobility and transportation for about 15 days.

The Company’s Unaudited Interim Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR at www.sedar.com.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining District, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively and is also exploring the Na-Bao Polymetalic Project in Qinghai Province, China.

The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO and Lorne Waldman, Corporate Secretary, Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca.

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake any obligati on to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.36

Exhibit 99.36

PRESS RELEASE

Trading Symbol: SVM.TO January 21, 2008

Silvercorp Discovers High Grade Polymetalic Mineralization At The Na-Bao Project, Qinghai, China

VANCOUVER, BRITISH COLUMBIA – January 21, 2008 - Silvercorp Metals Inc. ("Silvercorp" – SVM.TO) is pleased to provide an update on the establishment of Qinghai Found Mining Co. Ltd. ("Qinghai Found"), a Sino-foreign cooperative joint venture company to explore and develop the Na-Bao Polymetalic Project in the Qinghai Province, and an update on the preliminary exploration results for the Na-Bao Project.

All required government approvals and filings for the establishment of Qinghai Found have been obtained and completed, and a business license was issued to Qinghai Found in September 2007. Silvercorp will acquire an 82% interest in the Qinghai Found by funding exploration and development. Transferring of the three Na-Bao permits of about 320 square km in area (19 km by 16 km) into Qinghai Found from our Chinese partner has been approved by Chinese military, related city and provincial authorities. It is now waiting for the final approval from the Ministry of Land and Resources of China in Beijing.

The limited exploration program was carried out during July to October 2007 to test the mineralization at one of the several regional geochemical anomalies discovered by our Chinese partner, focusing on the area of about 35 square km (7 km by 5 km) at the middle and east portions of the three Na-Bao Exploration Permits. The program consisted of a total of 28 trenches for 13,380 cubic meters, geological mapping at 1:10,000 scale over an area of 30 square kilometres as well as a coincident geochemical soil survey over the 30 square kilometres. Grab samples during the geological mapping process were taken from surface gossans over 65 localities within the area of about 35 square km and their assay results demonstrate widespread lead (Pb), zinc (Zn), Copper (Cu) and Silver (Ag) polymetalic mineralization.

All 28 trenches are distributed within the area of 3 km on Northeast by 2 km on Northwest, where 21 of the 28 trenches have exposed zones of mineralization of either oxidized/weathered gossans materials or primary sulfides by channel sampling. Based on these trenches, three inter-joint mineralized structures, F3, F2 and F1, were identified. The F3 structure strikes along the near north-south orientation for over 3 kilometres. From north to south, Trenches TC9, TC8,TC7, TC5, TC4, TC1, and TC2 all intercepted the F3 structure over a 2 kilometre strike length, with intercepts at the TC5 and TC1 close to the true thickness. F2 structure is over 3 kilometre length but orientates in northeast direction. From northeast to southwest, trenches TC13, TC14, TC12, TC11, TC6, and TC17 intercepted the F2 structure, with intercept at the TC17 close to the true thickness. F1 structure extends along an east-west strike for over 2 kilome tres. From east to west, trench TC21, TC18 and TC22 have intercepted the F1 structure. Some significant assays from the trenches and surface gossans grab samples include the following:

1.	Trench TC1 has intercepted F3 structure with two wide mineralization zones about 15 metres apart wide, Zone I, is a 20 metre wide zone of massive galena (lead sulfide) with average grades of 16.18% Pb and 45.9g/t Ag including 10 metres grading 30.61% Pb and 80.1g/t Ag. Zone II is oxidized/weathered (gossanous) materials of 43.5m wide grading 0.54% Pb, 1.53% Zn, and 20.1 g/t Ag.
2.	Trench TC8 has exposed 3.0m mineralization zone of primary sulfide along F3 structure with grades 20.99% Pb, 11.58% Zn and 45.7g/t Ag.
3.	Trench TC9 has intercepted 39m wide mineralization zone (gossans) grading 0.34% Pb and 2.51% Zn on the F3 structure.
4.	Trench 5 intercepted 114 m wide mineralization (gossans) grading 0.35% Pb and 0.62% Zn on the F3 structure
5.	Trench TC22 has intercepted 3.0m mineralization zone of gossans grading 6.64% Cu on F1 structure.
6.	Trench TC17 has intersected 40.5m wide mineralization zone (gossans) grading 1.44% Pb and 1.71% Zn on F2 structure.
7.	Grab samples outside the trenches also returned significant results: Sample D706H1 grades 1.07% Pb, 0.87% Zn, 9.05% Cu and 4,080 g/t Ag; Sample NB006 grades 0.33% Pb, 1.1% Zn, 7.03% Cu, and 1,537 g/t Ag; Sample DHPM1H1 grades 1.38% Pb, 0.76% Zn, 6.55% Cu and 3,640 g/t Ag; Sample DHPM1H2 grades 0.79% Pb, 0.78% Zn, 4.39% Cu, and 1,620 g/t Ag; Sample D718H1 grades 9.56% Pb, 36.38% Zn, and 298 g/t Ag, Sample NB002 grades 84.57% Pb 0.39% Zn and 172 g/t Ag.

Except the Zone I of the Trench TC1 and TC8, all other trenches only exposed oxidized/weathered materials (gossans) due to heavy overburden. These trench results indicate that multiple, wide mineralization zones of up to 114 m exist in this project area. The weighted average grades of assay results of selected trenches and their intervals are set out in the table below.

Trench	Mineralization Zone	Interval (m)	Pb %	Zn %	Cu %	Ag g/t
	Zone I: Weighted average grade	20.0	16.18	0.54	0.011	45.9
TC1	Including	10.0	30.61	0.15	0.008	80.1
	Zone II: Weighted average grade	43.5	0.54	1.53	0.01	20.1
TC2	Weighted average grade	15	0.65	1.46	0.126	60.7
TC4	Weighted average grade	10.0	0.44	7.90	0.034	6.2
	Zone I: Weighted average grade	38	0.17	0.47	0.003	1.0
TC5
	Zone II: Weighted average grade	114	0.35	0.62	0.004	4.9
TC6	Weighted average grade	1.5	1.13	0.11	0.017	46.8
TC7	Weighted average grade	3.0	0.06	4.65	0.002	0.05
TC8	Weighted average grade	3.0	20.99	11.58	0.009	45.7
	Zone I: Weighted average grade	28.5	0.38	3.23	0.014	3.7
	Zone II: Weighted average grade	12.0	0.18	0.43	0.027	1.7
TC9
	Zone III: Weighted average grade	12.0	0.15	0.27	0.064	5.2
	Zone IV: Weighted average grade	3.0	0.13	4.37	5.20	10.7
TC4	Weighted aaverage grade	10.0	0.44	7.90	0.034	6.2
	Zone I: Weighted average grade	4.0	0.06	0.08	0.338	126.1
TC11
	Zone II: Weighted average grade	2.0	0.01	0.01	0.12	45.1
	Zone I: Weighted average grade	3.0	0.58	1.36	0.008	13.5
TC12	Zone II:	1.5	0.01	0.02	0.14	66.45
	Zone III:	1.0	0.09	0.04	0.12	80.3
TC13	Weighted average grade	7.0	0.02	0.017	0.081	25.8
	Zone I: Weighted average grade	2.0	4.29	0.013	0.142	167.8
TC14	Zone II Weighted average grade	1.5	5.75	4.6	0.034	90.5
	Zone III: Weighted average grade	7.5	0.79	0.78	0.004	10.8
TC17	Weighted average grade	40.5	1.44	1.71	0.009	5.4
TC18	Weighted average grade	18.0	0.01	1.79	0.003	0.9
TC20	Weighted average grade	3.0	0.73	1.36	0.016	19.1
TC21	Weighted average grade	3.0	4.28	0.35	0.006	27.1
TC22	Weighted average grade	3.0	0.21	0.22	6.635	2.4

The assay results for Grab samples listed below.

Location	Sample	Pb %	Zn %	Cu %	Ag g/t
Current	D703H1	0.06	0.10	0.600	187.0
trench area	D706H1	1.07	0.87	9.050	4080.0
	D718H2	0.37	0.73	1.200	345.0
	D1009H1	0.84	0.80	0.100	37.1
	D1183H1	0.19	0.08	0.580	202.0
	D1184H1	1.69	0.71	0.026	72.8
	D1185H1	4.90	1.28	0.029	144.0

	D1186 H1	0.21	0.22	1.250	508.0
	D1198 H1	0.52	2.17	0.026	6.8
	D1205 H1	2.85	0.43	0.001	12.6
	D1208 H1	0.95	0.31	0.001	6.2
	D1210 H1	0.19	0.62	0.009	3.0
	D1658 H1	10.46	1.50	0.730	43.2
	D1665 H1	13.46	29.98	0.068	44.0
	D1668 H1	0.51	1.46	24.830	8.0
	D1668 H2	0.48	0.54	1.170	12.0
	D1681 H1	0.45	1.60	0.078	2.8
	NB001	12.18	13.62	0.010	31.9
	NB002	84.57	0.39	0.008	172.0
	NB003	1.68	1.72	0.008	4.5
	NB004	0.69	0.68	4.030	998.0
	NB005	0.96	6.93	0.066	35.6
	NB006	0.33	1.10	7.030	1537.0
	NB007	0.45	0.06	0.035	19.6
	NB008	0.79	1.15	0.460	8.3
	NB009	0.36	1.94	18.250	14.4
	NB010	2.27	3.85	0.059	32.4
Out of	DHPM1H1	1.38	0.76	6.550	3640.0
current	DHPM1H2	0.79	0.78	4.390	1620.0
trench area	D114H1	0.02	0.04	6.370	21.6
	D511H1	0.36	0.38	0.081	10.1
	D550H1	8.65	2.70	0.017	26.9
	D608H1	1.08	0.73	0.015	14.6
	D695H1	0.02	0.02	1.350	10.3
	D718H1	9.56	36.38	0.110	298.0
	D724H1	0.74	0.34	1.270	289.0
	D1110H1	2.89	0.63	0.014	26.6
	D1203H1	0.62	0.26	0.004	20.4
	D1203H1	12.21	0.08	0.450	273.0
	D691H1	0.04	0.08	0.170	63.1
	DHPM2H1	0.03	0.05	0.094	29.6
	DHPM2H2	1.57	2.85	5.600	400.0
	D1570H1	0.65	0.24	0.110	3.9
	D1579H1	0.37	0.15	0.001	1.8
	D1633H1	4.18	0.75	0.290	11.2
	D1636H1	0.38	0.41	0.026	26.6
	D1638H1	0.12	0.85	0.160	3.3

D1641H1	0.19	0.30	1.700	384.0
D1654H1	0.58	1.30	0.052	9.5

* D163 means No 163 grab site

A soil sampling survey with a grid 200m by 20m was completed, demonstrating very high geochemical background of Pb, Zn, Ag, Cd and Cu. A total of 8,723 soil samples were taken with average values of Pb 254.9 ppm and maximum 24,526.0 ppm; Zn 284.1 ppm and maximum 82,108.4 ppm; Ag 0.416 ppm and maximum 44.5 ppm; Cd 1.44 ppm and maximum 231 ppm and Cu 25.1ppm and maximum 1,198.6ppm.

Based on these encouraging preliminary exploration results, Qinghai Found has planned a significant exploration program for 2008, including 30,000 meters drilling, tunneling and metallurgical study with an intention to define a resource base that satisfies the Chinese government’s minimum requirement to apply for a mining permit for silver/lead/zinc mine, that is, 1,000 tonne per day mining/milling capacity with a mine life of 10 years.

Quality Control of Assay results
The samples were collected by QGS, a Qinghai Provincial government agency in charge of exploration of mineral resource in the Province, supervised by Qinghai Found. The samples were assayed in Qinghai Assay Center of Nonferrous Metals (ISO9001 certified), Qinghai Chaidamu Lab of Geological Exploration Team (ISO9001 certified) and Langfang Lab, Institute of Geophysical and Geochemical (IGGE-LAB, ISO9001 certified).

The sample preparation consists of drying, crushing, splitting of samples to 150 grams, then the samples are pulverized to 200 mesh. Silver, lead, zinc, and copper were analyzed by a 3-hour hot aqua regia digestion on 10-gram samples with an AA/ICP finish.

Mike, Hibbitts P.Geo., is the Qualified Person on the project under NI 43-101.

Announcement of Release Date for Third Quarter Results
Silvercorpwill release its financial results for the 3rd quarter ended December 31, 2007 on Thursday, February 14, 2008 after market close.

About Silvercorp Metals Inc.Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the Company is operating and developing four Silver-Lead-Zinc mines at the Ying Mining District, Henan Province, owned through its 77.5% and 70% Chinese subsidiary companies, respectively and is also exploring the Nao-Bao Polymetalic Project in Qinghai Province, China.

The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and

S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTSStatements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake any obligation to upda te any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.37

Exhibit 99.37

PRESS RELEASE

Trading Symbol: SVM.TO December 12, 2007

Silvercorp To Build A New 2,000 Tonne Per Day Mill For The Ying
Silver Mining District, Henan Province, China

VANCOUVER, BRITISH COLUMBIA, CANADA – December 12, 2007 – Silvercorp Metals Inc. ("Silvercorp” - SVM.TO) announces that its 77.5% owned joint venture company, Henan Found Mining Co. Ltd. (“Henan Found”) has started the process of constructing a new 2,000 tonne per day (t/d) mill and associated tailings dam adjacent to its existing 1,000 t/d mill. Upon the new mill being completed by November 2008, the combined milling capacity will be 3,000 t/d to treat ores from the Ying, HPG, LM and TLP Mines, all located within approximately 15 km distance. The preliminary estimated capital cost for the new mill is approximately US$6 million and will be funded from Henan Found’s cash on hand. Government approvals are required for the new mill.

With Silvercorp’s recent acquisitions of the LM and TLP Silver-Lead Mines, construction of the new 2,000 t/d capacity mill is needed to accommodate anticipated new mining capacity from these two new mines. When the new mill is operational in November 2008, the total milling capacity will be approximately 600,000 tonnes for fiscal 2009 (April 1, 2008 to March 31, 2009) and one million tonnes for fiscal 2010 (April 1, 2009 to March 31, 2010) and beyond, compared to a current capacity of approximately 350,000 tonnes.

Under its preliminary mining plan, Silvercorp is expected to produce a total of 500,000 tonnes of ore in its 2009 fiscal year, including 250,000 tonnes of ore from Ying Mine, 100,000 tonnes of ore from HPG Mine, 120,000 tonnes from TLP Mine, and 30,000 tonnes from LM Mine. Further growth of mining capacity is anticipated for fiscal 2010 from increased production at the TLP Mine.

Michael William Hibbitts, P.Geo, is the Qualified Person on the project under NI 43-101.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements.

EX-99.38

Exhibit 99.38

PRESS RELEASE

Trading Symbol: SVM.TO December 6, 2007

Silvercorp Announces Additions to its Senior Management Team

VANCOUVER, BRITISH COLUMBIA, CANADA – December 6, 2007 – Silvercorp Metals Inc. (“Silvercorp” or the “Company”) (TSX: SVM) today announced additions to its senior management team to support the Company’s recent growth and expansion plans.

To build a foundation to support its rapid growth and expansion Silvercorp is strengthening its senior management team with three additions. Lorne Waldman, MBA, LL.B. has joined as Corporate Secretary, and will be responsible for regulatory and compliance affairs of the Company, and managing investor relations duties. Michael Hibbitts, B.Sc (Geology), B.Ed, P.Geo, has joined as Vice President Operations and is monitoring Silvercorp’s exploration and mining activities in China to ensure high standards to satisfy regulatory requirements. Shao-Yang Shen, MMPA, MBA, CMA will join Silvercorp on January 1, 2008 as General Manager China Operations to strengthen the internal control of financial aspects of operations in China.

“Silvercorp is a young company which has achieved remarkable growth in resources, revenues and profits in a very short period of time but we still see many growth opportunities ahead” commented Dr. Feng, Chairman of Silvercorp. “These three senior management additions will help Silvercorp manage its existing growth.”

Corporate Secretary - Mr. Lorne Waldman, MBA, LL.B.
Mr. Lorne Waldman joined Silvercorp in September as Corporate Secretary. Based out of the Company’s Vancouver office he is responsible for regulatory and compliance affairs of the Company, and managing investor relations duties. Mr. Waldman brings with him over ten years experience with Nam Tai Electronics, Inc. (NYSE: NTE), an electronics manufacturer with 100% of its manufacturing in China, where he held positions of in-house legal counsel, corporate secretary, and was responsible for investor relation functions.

V.P. Operations – Mr. Michael Hibbitts, B.Sc (Geology), B.Ed, P.Geo,
Mr. Michael Hibbitts joined Silvercorp in October as Vice President of Operations. Based primarily in China, he is monitoring Silvercorp’s exploration and mining activities in China to ensure high standards to satisfy regulatory requirements. Mr. Hibbitts is a professional geologist with 30 years experience in mining, mine geology and exploration. He has held senior positions at numerous public Canadian mining companies including New Gold Inc., Northgate Exploration Ltd., Royal Oak Mines, and Noranda Mines among others. He has a proven track record in exploration, mine development and production including experience with the narrow vein underground mining as conducted by Silvercorp. He was co- recipient E. A. Scholts award for his work in the development of the Kemess Mine in Northern B.C. by the B.C. and Yukon chamber of mines in 2002.

General Manager China Operations – Mr. Shao-Yang Shen, MMPA, MBA, CMA
Mr. Shao-Yang Shen has been hired for the position of General Manager – China Operations with a commencement date of January 1, 2008. Based primarily in China, he will be responsible for strengthening the internal control of financial aspects of operations in China. Mr. Shen has over 10 years of experience working in China and Canada. In 2004 he obtained his Master of Management and Professional Accounting (MMPA) degree from the University of Toronto, Canada. Most recently he worked in Toronto, Canada with the world’s fifth largest accounting firm, Grant Thorton LLP.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans, growth, and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements.

EX-99.39

Exhibit 99.39

PRESS RELEASE

Trading Symbol: SVM.TO December 4, 2007

Silvercorp Acquires TLP Silver-Lead Mine Near The Ying Silver
Project, Henan Province, China

VANCOUVER, BRITISH COLUMBIA, CANADA – December 4, 2007 – Silvercorp Metals Inc. ("Silvercorp” - SVM.TO) is pleased to announce that its 77.5% owned joint venture company, Henan Found Mining Co. Ltd. (“Henan Found”), has successfully concluded a contract to acquire 100% of the TLP Silver-Lead Mine (“TLP Mine”) by paying $11 million plus assuming debts, obligations and winding down of certain leasing agreements for approximately an additional $9 million. The acquisition will be funded by Henan Found’s cash on hand.

The TLP Mine is located 9.5 kilometres (km) east of the SGX mine of the Ying project and borders the recently acquired LM Silver Mine to the south. The TLP Mine operates under a mining permit that covers an area of 3.3 square kilometres, from surface at 1,140 metres (m) elevation to a depth of 700m with an overlapping exploration permit that covers the area below 700m elevation.

The TLP Mine is the third in a series of strategic acquisitions by Silvercorp to consolidate the silver, lead and zinc mines and exploration grounds in the Ying Silver Project area, as the Chinese Government encourages the consolidation within a mining district of small mining operations and companies into larger, well organized operations in order to improve safety and environmental practices and for better utilization of resources. With the acquisition of the TLP Mine, Silvercorp now holds a land package of 76.16 square kilometres, consisting of 5 mining permits, 8 exploration permits, and four operating mines. This provides a solid base from which to significantly expand resources and growth potential for Silvercorp in an important silver district in China.

The TLP Mine was previously operated by numerous small miners until 2002, when it was consolidated under its current four shareholders, each of whom have operated separately on four different stacked levels with approximately 100m intervals between the 1,140m and 700m elevations. The TLP Mine is currently shut down by the local government due to its poor record of safety and environmental practices. As Henan Found is designated by the local government as the sole consolidator of the TLP Mine, it is expected that once Henan Found takes control of the TLP Mine in two weeks, the local government authorities will allow Henan Found to resume operations at the TLP Mine.

The geology of the TLP deposit is similar to that of the Ying, HPG and LM mines, typified by high grade mesothermal Lead/Zinc veins rich in silver and hosted in Achaean gneissic rocks. Of particular importance, the TLP veins systems are much wider than any of the other deposits found to date in the district, attaining widths of up to 19.21m with grades up to 1,102 grams per tonne (g/t) silver (Ag) and 19.4 % lead (Pb) as reported by the government geological team, the No. 6 Team of Henan Non-Ferrous Geological Bureau, in a detailed exploration report in 1995.

Small scale mining activities started many years before 1993 when the No. 6 Team began to systematically explore at the TLP Mine. By 1995, the No. 6 team had completed 54 steeply dipping, surface diamond drill holes on 100m sections totaling 14,814 metres of drilling with the deepest hole intercepts at above 750m elevation, as well as sampling on a number of underground cross cuts and drifts of totaling about 2,800m. These exploration results were summarized in a “Detailed Exploration Report” dated in 1995 by the No. 6 Team. Based on the report, the Chinese government standard Class C+D resources of 3,688,343 tonnes grading 292g/t (9.38 ounces per tonne) Ag and 3.30 % Pb (no assay data is available for Zinc) in the mine permit area (between 1,140m to 700m elevations) were estimated. This resource estimate is historical and is not NI 43-101 compliant and, therefore, must not be relied on. Official mining capacity was designed at 100 tonnes of ore per day in 1995 and it has reached about 450 tonnes per day by 2005, meanwhile it was also dominated by illegal mining activities from locals and it is thus unclear how much of these resources remain after over 10 years of non planned small scale mining.

Ten en-echelon vein sets have been identified by the No. 6 Team for strike lengths of over 2km, striking northeast and dipping at approximately 60-70 degrees to the west. Of the ten mineralized veins, only 6 veins have been subject to the above mentioned drilling and subsequent underground development and mining. Mining activities on these six veins took place over strike lengths of no more than 600m and at depths above 720m elevation. This leaves ample strike and down dip length to define a further resource at the TLP Mine. The dimensions of the 6 better defined veins are shown in the table below.

Vein#	Strike Length	Dip Length	Average True
	(m)	(m)	Thickness (m)
1	1500	150-270	2.08
2	1600	220-520	3.15
3	1500	190-380	2.97
4	1400	220-320	1.27
5	1500	50-400	1.53
6	2000	85-130	1.22

Assay results of historical drill holes and tunnels samples (1995) are listed in the following table.

Vein#	Section	Drill Holes /Tunnels	Elevation (m)	True Thickness (m)	Ag (g/t)	Pb (%)
1	11 7 3 11 11	ZK1108 ZK0706 ZK0314 PD5 PD4	1065 1070 1154 1082 1072	2.24 0.91 3.20 3.00 6.64	243 250 148 266 165	3.63 7.92 3.20 3.57 2.38
2	0 0 3	ZK0004 ZK0005 ZK0314	1144 1050 1060	0.86 3.20 11.64	140 154 500	0.69 0.78 4.08

	3	ZK0316	1000	4.59	922	0.44
	7	ZK0705	1070	1.80	128	1.44
	7	ZK0708	978	1.44	108	1.47
	7	ZK0706	1035	1.57	52	1.57
	11	ZK1107	1075	8.35	232	10.94
	11	ZK1108	1040	1.60	108	0.50
	11	ZK1109	1060	1.02	110	11.52
	2	CM02	1020	6.87	379	8.97
	1	CM01	1020	15.49	310	4.34
	3	CM03	1020	19.21	352	19.40
	5	CM05	1020	4.53	103	1.96
	7	CM07	1020	1.92	155	3.07
	9	CM09	1020	9.00	160	1.65
	11	CM11	1020	2.80	141	2.80
	5	CM05	1080	4.67	613	5.79
	7	CM07	1080	1.64	164	1.04
	9	CM09	1080	15.74	335	3.87
	1	CM01	1080	1.31	213	9.53
	4	CM04	1125	6.13	152	1.02
	5	CM05	1125	1.18	108	1.56
3	7	ZK0705	1040	18.83	482	8.57
	7	ZK0704	1075	1.84	73	2.17
	7	ZK0708	930	6.22	110	0.93
	3	ZK0302	1070	2.52	285	4.01
	3	ZK0314	982	2.37	236	16.07
	3	ZK0316	960	9.05	522	5.37
	0	ZK0004	1076	10.17	117	1.48
	0	ZK0005	1029	2.13	149	1.13
	0	ZK0006	940	0.82	96	1.10
	0	ZK0008	902	5.34	1102	7.10
	4	ZK0406	1070	8.78	145	1.49
	4	CM04	1020	0.94	50	0.29
	1	CM01	1020	0.80	190	1.90
	3	CM03	1020	0.92	102	0.95
	5	CM05	1020	3.17	290	3.00
	7	CM07	1020	9.25	162	3.41
	9	CM09	1020	1.90	207	1.90
	11	CM11	1020	8.64	227	2.15
	12	PD1	1030	8.34	1006	10.22
	14	YM1-14	1030	0.82	284	1.07
	4	PD3	1100	4.85	108	6.35

4	4 5 7	PD3 YM47 CM07	1100 1020 1020	3.89 1.14 1.27	161 290 233	2.33 10.72 20.26
5	12 5	TC12 LD15	Surface Surface	0.88 2.81	330 685.31	0.53 4.19
6	3 4	ZK0320 ZK0416	1070 1085	1.19 1.61	250 123	1.87 1.12
ZK are drill holes. PD, CM, YM and LD are tunnels. TC is a trench.

Silvercorp's geologists made visits to the mine, mapped the tunnels, and collected check samples mainly at the 740m elevation. The check assays show a trend of increasing gold and copper content in depth. Assay results of the check samples are listed in the table below.

Vein#	Elevation (m)	True Sample Width* (m)	Au (g/t)	Ag (g/t)	Cu (%)	Pb (%)
2	740 740 740 740 710	5.60 0.80 3.00 3.00 0.70	0.39 0.73 0.57 0.80 2.50	51 38 158 104 103	0.25 0.30 2.78 1.70 0.97	6.21 10.21 1.69 1.88 33.14
5	740 740 740 740 740 740	0.20 0.40 2.00 0.40 0.50 Grab	1.13 0.74 1.47 0.63 1.25 4.89	224 77 201 121 408 328	0.34 0.23 0.49 3.56 1.36 0.26	12.48 7.93 23.76 12.25 9.91 44.08
* Not necessarily representing full mineralization width of veins

Following the anticipated resumption of TLP Mine operations, Silvercorp intends to carry out systematic underground drilling, tunneling, and mine development including sinking several declines and shafts. Exploration will be undertaken on all ten veins to define the resource while concurrently continuing mining operations. Silvercorp will also commission an independent NI43-101 geology and resource review on the TLP project.

The acquisition of the TLP Mine remains subject to regulatory approvals.

LM Mine: Silvercorp has taken control of the LM Mine. Exploration, mine development, and production is resumed.

Quality Control
Rock samples were collected by continuously chip sampling the face of the undercut drifts or the tunnel back. The samples are shipped directly in security sealed bags to the analytical Lab of No. 6 Team of Henan Non-Ferrous Metals Geological and Mineral Resources Bureau in Luoyang located 120km by road northeast of the TLP Mine.

The sample preparation consists of drying, crushing, and splitting of the sample to 150 grams, then the sample is pulverized to 200 mesh. Ag, Au, Pb and Cu were analyzed by a 3 hour hot aqua regia digestion on 30 gram samples with an AA finish.

Michael William Hibbitts, P.Geo, is the Qualified Person on the project under NI 43-101.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to updat e any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements.

EX-99.40

Exhibit 99.40

PRESS RELEASE

Trading Symbol: SVM.TO November 14, 2007

SILVERCORP RECORDS $0.36 EPS (or $0.12 EPS AFTER 3 for 1 SPLIT)
FOR THE 2^nd QUARTER ENDED SEPTEMBER 30, 2007

VANCOUVER, British Columbia – November 14, 2007 – Silvercorp Metals Inc. (the “Company”) is pleased to announce that for the 2^nd quarter ended September 30, 2007 the Company recorded consolidated net earnings of $17.6 million or $0.36 per share (or $0.12 per share adjusted for the 3 for 1 stock split) compared to $5.4 million or $0.11 per share (or $0.04 per share adjusted for the 3 for 1 stock split) in the same quarter a year ago. Total gross profit increased by 195% to $24.4 million in the 2^nd quarter compared to the same period a year ago. Net cash provided by operating activities rose to $21.5 million in the 2^nd quarter, a 186% increase over the same period a year ago.

For the first six months ended September 30, 2007, the Company recorded net earnings of $33.5 million, or $0.68 per share (or $0.23 per share adjusted for the 3 for 1 stock split). Sales increased by $40.1 million to $55.1 million compared to $15.0 million for the same period last year. Net cash provided by operating activities rose to $42.2 million for the six months, a 350% increase over the same period a year ago.

2^nd QUARTER HIGHLIGHTS

During the 2^nd quarter ended September 30, 2007, gross profit from mine operations amounted to $24,405,908 (2007 - $8,279,088) representing a gross margin of 79.59% (2007 - 77.32%) . The net income realized was $17,573,061 (2007 - $5,361,840) with a net profit margin of 57.31% (2007- 50.07%) after deduction of minority interest. The net earnings are $0.36 (2007 - $0.11) per basic share or $0.12 (2007 - $0.04) per share adjusted for the 3 for 1 stock split.

Sales from the Ying Silver Mine increased 156% over the prior comparable period to $27,387,148. The HPG Mine achieved sales of $3,275,930 in its 2^nd quarter of operations.

The Company continues to achieve industry leading low total production costs per ounce of silver. In the 2^nd quarter, the total production cost is negative $13.62 per ounce of silver after adjusting for by-product credits, compared to negative $6.07 per ounce in the same quarter a year ago.

For this quarter, a total of 74,717 (2007 - 40,525) tonnes of ores were mined, from which 3,411 (2007 - 1,723) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 71,306 (2007 - 38,802) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $55.95 (2007 - $39.00) per tonne of ore and average milling cost is $12.61 (2007 - $21.00) per tonne of ore.

Net cash provided by operating activities rose to $21.5 million in the 2^nd quarter, a 186% increase over the same period a year ago, resulting in cash and cash equivalents and short term investments of $89.7 million as of September 30, 2007.

The Canadian dollar appreciation against the Chinese currency resulted in an exchange loss of $687,005 charged against earnings in the 2^nd quarter.

SIX MONTHS HIGHLIGHTS

For the six months ended September 30, 2007, gross profit from mine operations amounted to $43,500,817 (2007 - $11,691,802) representing a gross margin of 78.95% (2007 - 77.73%) . The net income realized was $33,460,557 (2007 - $7,719,420) with a net profit margin of 60.73% (2007- 51.32%) . The net earnings are $0.68 (2007 - $0.16) per basic share or $0.23 (2007 - $0.05) per share adjusted for the 3 for 1 stock split.

Sales from the Ying Silver Mine increased 233% over the prior comparable period to $50,135,420. The HPG Mine achieved sales of $4,963,991 in its first two quarters of operations.

The Company continues to achieve industry leading low total production costs per ounce of silver. The total production cost is negative $11.94 per ounce of silver after adjusting for by-product credits for the six months ended September 30, 2007, compared to negative $6.21 per ounce in the same period a year ago.

For the six months ended September 30, 2007, a total of 145,533 (2007 - 71,245) tonnes of ores were mined, from which 6,069 (2007 - 2,784) tonnes of direct smelting ores were hand sorted for direct shipment to smelters, and 139,464 (2007 - 68,461) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $52.94 (2007 - $41.00) per tonne of ore and average milling cost is $12.23 (2007 - $20.00) per tonne of ore.

Net cash provided by operating activities rose to $42.2 million in the six months ended September 30, 2007, a 350% increase over the same period a year ago, resulting in cash and cash equivalents and short term investments of $89.7 million as of September 30, 2007.

The Canadian dollar appreciation against the Chinese currency resulted in an exchange loss of $1,138,218 charged against earnings for the six months ended September 30, 2007.

The Company is well positioned to grow through consolidating the fragmented primary silver sector in China, starting with its foot-hold in Henan Province. With the encouragement of local government, the Company is expanding its Ying /HPG Silver Camp through extensive exploration and acquisition of nearby mines.

OPERATION HIGHLIGHTS FOR THE MINES

Total recovery of metals from the run of mine ores for the three and six months ended September 30, 2007, are:
> 90.5% and 90.2% for silver;
> 94.8% and 95.1% for lead; and,
> 77.0% and 75.3% for zinc, respectively.

The combined head grades of run of mine ores of 74,717 and 145,533 tonnes from the Company’s Mines, for the three and six months ended September 30, 2007, are:
> 425.2 and 422.0 gram/tonne for silver;
> 7.1% and 7.5% for lead; and,
> 3.4% and 3.4% for zinc, respectively.

The head grades of run of mine ores of 62,826 and 121,088 tonnes from the Ying Mine for the three and six months ended September 30, 2007, are:
> 446.8 and 471.8 gram/tonne for silver;
> 7.7% and 7.8% for lead; and,
> 3.9% and 3.8% for zinc, respectively.
The lower grade is a reflection of mining low grade ore bodies to take advantage of current high metal prices.

The head grades of run of mine ores of 11,891 and 24,445 tonnes from the HPG Mine for the three and six months ended September 30, 2007, are:
> 259.3 and 221.5 gram/tonne for silver;
> 7.0% and 7.5% for lead; and,
> 1.3% and 1.5% for zinc, respectively.

Total sales and realized prices net of value added tax and smelter charges for the three months ended September 30, 2007, are comprised of the following:
> 1,001,992 ounces of silver sold for $10,761,522 at an average selling price of $10.74 per ounce;
> 515 ounces of gold sold for $264,307 at an average selling price of $513.22 per ounce;
> 12,879,642 pounds of lead sold for $14,428,950 at an average selling price of $1.12 per pound; and,
> 4,744,258 pounds of zinc sold for $5,208,299 at an average selling price of $1.10 per pound.

Total sales and realized prices net of value added tax and smelter charges for the six months ended September 30, 2007, are comprised of the following:
> 1,872,600 ounces of silver sold for $21,136,416 at an average selling price of $11.29 per ounce;
> 838 ounces of gold sold for $424,644 at an average selling price of $506.74 per ounce;
> 24,149,188 pounds of lead sold for $23,568,428 at an average selling price of $0.98 per pound; and
> 8,593,531 pounds of zinc sold for $9,969,923 at an average selling price of $1.16 per pound.

For the three and six months ended September 30, 2007, the cash production cost for silver adjusted for byproduct credits is negative $15.18 (2007 - negative $6.57) and negative $13.12 (2007 - negative $6.72) per ounce, respectively.

The Company’s Unaudited Interim Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR at www.sedar.com.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) is engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China (“China”). The Company’s common shares are included as a component of the S&P/TSX Composite, the S&P/TSX Global Gold, and the S&P/TSX Global Mining Indexes.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO and Lorne Waldman, Corporate Secretary, Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca.

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, mining, and political risks operating in China. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.41

Exhibit 99.41

PRESS RELEASE

Trading Symbol: SVM.TO November 7, 2007

Silvercorp Comments on the New Policy of Foreign Investment in China

VANCOUVER, British Columbia – November 7, 2007 – Silvercorp Metals Inc. (the “Company”) issued a statement to clarify a news story by XFN-Asia dated November 7, 2007 relating to China’s foreign investment policy. On October 31, 2007 the Ministry of Commerce and the National Development and Reform Commission of China issued a new “Foreign Investments Industry Sector Guidance Catalogue” which will become effective on December 1, 2007.

In comparison to the previous “Foreign Investments Industry Sector Guidance Catalogue” issued in 2004, no change in this new catalogue will affect any of Silvercorp’s current and future business activities in China which focuses on the exploration, development and mining of lead, zinc, copper, nickel, silver and gold.

Changes in the new catalogue which may impact other sectors of the mining industry for foreign investment in China include the reclassification of tungsten, molybdenum, tin, antimony and fluorite into a “forbidden category” for foreign investors from a “restricted category” and a requirement for a Chinese majority shareholding in exploration and mining of specialty coal such as coking coal. Silvercorp does not mine any of these minerals and is not impacted by such reclassification.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People’s Republic of China (“China”). Currently, the Company’s main mining operations are the Ying Silver-Lead-Zinc mine (“Ying Silver Project”) and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine (“HPG Project”), owned through its 77.5% and 70% Chinese subsidiary companies, respectively. The Company's common shares trade on the TSX Exchange under the symbol “SVM” while share purchase warrants trade under the symbol "SVM.WT". The Company’s shares are included in the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-lookin g statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.42

Exhibit 99.42

PRESS  RELEASE

Trading Symbol: SVM.TO November 1, 2007

Silvercorp Acquires LM Silver-Lead Mine Near the Ying Silver
Project, Henan Province, China

VANCOUVER, BRITISH COLUMBIA, CANADA – November 1, 2007 – Silvercorp Metals Inc. ("Silvercorp") is pleased to announce that its 70% owned joint venture company, Henan Huawei Mining Co. Ltd. (“Huawei”), has signed an agreement to acquire a 100% of the operating LM Silver-Lead Mine, which has a mining permit of 3.07 square kilometres (km) in area and is located just southeast of the Ying silver project (“Ying Mine”). The acquisition is carried out by acquiring the private Chinese company holding the LM mining permits for approximately $3.25 million. It is expected that the acquisition will be funded by cash flow from Huawei’s HPG Mine and the LM Mine mining operations.

The acquisition of the LM Mine advances Silvercorp’s strategy to consolidate the fragmented primary silver sector in China, starting from its foot-hold in Henan Province by expanding the Ying Silver Camp. The current Chinese National Government mandate for the mining industry is to encourage the consolidation within a mining district of small mining operations and companies into larger, well organized operations in order to improve safety and environmental practices and for better utilization of resources.

Silvercorp’s Chinese subsidiary company, Henan Found Mining Co. Ltd. (“Henan Found”), has emerged as the largest silver-lead-zinc mining company and one of the largest tax payer in Luoyang City, Henan Province, China. The Ying Mine being the best operated mine in Luoning County is favored by local governments to be the consolidator. The local governmental authorities have designated Henan Found as the sole consolidator of TLP Silver-Lead Mine, where significant amounts of silver and lead have reportedly been produced. Negotiations are currently underway with the shareholders of the TLP Mine to acquire a 100% interest. The TLP Mine, which is located to the east boundary of the Ying Project area, is currently shut down by the local government due to its poor record of safety and environmental practices.

The LM mining permit area is underlain by a highly metamorphosed basement of Archean-aged mafic to felsic gneisses, similar to the Ying and HPG project areas. At least 8 mineralized vein structures have been identified and mapped in the LM area to date. The veins range from 300 to 1,000 meters (m) in striking length and 0.2 to 5.0m in true thickness. Main metallic minerals are massive and disseminated galena, native silver, and freibergite.

The mining and exploration operations at LM started in 2005 and currently produces 300 tonnes of ores per day which are processed using custom mills. A total of 19 adits - approximately 15,000m of exploration and production tunnels - were developed on different veins and on different levels. As the previous operator is only interested in mining any ore shoots found along the veins, no resource was estimated. Its current mining activities have been focused on the high grade ore shoots of veins LM2 (about 1000m long) and LM8 (about 800m long). Silvercorp’s geologists made visits to the mine, mapped the tunnels, and collected check samples. Assay results of the check samples are listed in the table below.

Some of the significant intercepts are:

• 1.0m true width grading 2,841 grams per tonne (g/t) silver (Ag), 12.87 % lead (Pb), and 3.78% zinc (Zn) at 900m elevation on the LM2 vein;
• 1.2m true width grading 4,336 g/t Ag, 4.91 % Pb, and 0.37% Zn at 846m elevation on the LM2 vein;
• 1.5m true width grading 2,032 g/t Ag, 1.39 % Pb, and 0.11% Zn at 924m elevation on the LM8 vein;
• 3.0m true width grading 1,113 g/t Ag, 5.69 % Pb, and 0.71% Zn at 851m elevation on the LM8 vein and;
• 0.6m true width grading 2,349 g/t Ag, 8.52 % Pb, and 0.26% Zn at 845m elevation on the LM3 vein;

Vein#	Tunnel	Elevation (m)	True Width (m)	Ag (g/t)	Pb (%)	Zn (%)	Ag Equivalent (g/t) *
LM2	PD900-LM2-920-NYM	920	0.70	183	0.80	0.39	235
	PD900-LM2-920-NYM	920	0.70	125	0.21	0.35	150
	PD900-LM2-920-NYM	920	1.40	154	0.51	0.37	193
	PD900-LM2-920-NYM	920	0.50	284	0.57	0.26	320
	PD900-LM2-920-NYM	920	0.30	4140	22.59	1.40	5160
	PD900-LM2-920-NYM	920	0.45	539	1.42	0.26	611
	PD900-LM2-920-NYM	920	0.30	4860	16.41	1.30	5614
	PD900-LM2-915-NYM	915	0.85	610	3.48	0.28	770
	PD900-LM2-915-NYM	915	0.80	348	4.78	0.26	562
	PD900-LM2-915-NYM	915	0.50	84	0.75	0.46	137
	PD900-LM2-915-NYM	915	1.10	111	0.28		123
	PD900-LM2-915-NYM	915	0.70	95	0.28	0.75	142
	PD900-LM2-915-NYM	915	0.30	126	0.25	0.22	147
	PD900-XJ2-LM2-920-NYM	907	1.45	1005	4.96	1.38	1280
	PD900-LM2-900-NYM	900	0.78	58	9.65	0.24	477
	PD900-LM2-900-NYM	900	1.00	2841	12.87	3.78	3564
	PD900-LM2-900-NYM	900	1.30	104	1.33	0.30	174
	PD900-LM2-900-NYM	900	0.30	2233	24.05	0.13	3254
	PD900-LM2-900-NYM	900	0.70	1056	10.07	0.30	1495
	PD900-LM2-900-NYM	900	1.40	264	4.94	0.13	479
	PD900-LM2-900-NYM	900	0.55	270	5.74	0.18	521
	PD900-LM2-900-NYM	900	0.15	3996	18.58	0.33	4796
	PD900-LM2-900-NYM	900	0.40	2404	12.69	0.30	2954
	PD900-LM2-900-NYM	900	0.50	1711	27.59	0.96	2921
	PD855-LM2-880-NYM	882	0.60	134	0.99	0.18	184
	PD855-LM2-880-NYM	882	1.50	537	4.64	0.39	751
	PD855-LM2-880-NYM	882	1.10	146	1.19	0.30	210
	PD855-LM2-880-NYM	882	1.00	1085	5.56	0.17	1328
	PD855-LM2-880-NYM	882	0.55	72		0.28	85
	PD855-LM2-880-NYM-TJ2	882	1.00	1564	31.57	0.54	2922
	PD855-LM2-860-NYM	861	1.50	80	0.28	0.28	105

Vein#	Tunnel	Elevation (m)	True Width (m)	Ag (g/t)	Pb (%)	Zn (%)	Ag Equivalent (g/t) *
	PD855-LM2-860-NYM PD855-LM2-860-NYM PD855-LM2-860-NYM PD855-LM2-860-SYM PD838-LM2-845-NYM PD838-LM2-845-NYM PD838-LM2-845-NYM PD838-LM2-845-NYM PD838-LM2-830-NYM PD838-LM2-830-NYM PD838-LM2-830-NYM PD838-LM2-830-NYM PD838-LM2-830-NYM	861 861 861 861 845 845 845 845 830 830 830 830 830	1.20 0.65 0.85 0.90 0.90 1.40 1.00 1.20 1.00 0.50 0.70 1.00 1.70	713 24 800 81 227 113 268 4336 3407 713 181 153 165	3.63 3.21 2.59 0.49 1.09 0.42 0.42 4.91 11.23 1.85 0.14 0.92 0.60	0.26 0.22 0.30 0.09 0.44 0.30 0.20 0.37 0.56 0.31 0.30 0.18	879 170 924 106 294 145 295 4561 3907 806 187 206 198
LM3	PD900-LM3-900-NYM PD900-LM3-900-SYM PD855-LM3-880-SYM PD855-XJ1 PD855-LM3-860-SYM PD855-LM3-860-SYM PD838-LM3-845-NYM PD838-LM3-845-NYM PD838-LM3-845-NYM PD838-LM3-845-NYM PD838-LM3-845-NYM PD838-LM3-830-NYM	915 900 880 870 861 861 845 845 845 845 845 830	0.90 0.20 0.70 0.65 0.40 1.00 1.20 0.60 0.80 0.20 0.40 0.95	132 224 12 470 1327 30 315 2349 60 991 636 346	1.52 22.32 0.14 24.47 27.55 1.18 0.85 8.52 1.65 6.99 14.68 0.28	0.44 0.33 0.21 0.57 0.61 0.30 0.26 1.18 0.70	217 1182 28 1530 2518 80 365 2721 130 1342 1289 358
LM4	PD900-LM4-920-SYM PD900-LM4-920-SYM	920 920	0.30 0.40	252 448	0.38 2.66	0.41 0.52	287 585
LM7 LM8	XPD924-LM7-924-NEYM XPD924-LM8-924-NWYM XPD924-LM8-924-NWYM XPD924-LM8-924-NWYM XPD924-LM8-924-NWYM XPD891-LM8-891-NWYM XPD891-LM8-891-NWYM XPD891-LM8-891-NWYM XPD891-LM8-891-NWYM XPD891-LM8-891-NWYM XPD860-LM8-860-SEYM XPD860-LM8-860-NWYM XPD924-LM8-924-NWYM	924 924 924 924 924 891 891 891 891 891 860 860 851	9.50 1.50 1.10 0.50 0.60 0.50 0.30 0.65 0.80 0.70 0.60 0.50 3.00	263 2032 322 2344 124 174 1134 386 261 220 1570 747 1113	2.54 1.39 0.72 0.97 0.63 0.21  0.63 0.47 0.54 0.22  6.36 3.71 5.69	0.11 0.11 0.06 0.08 0.16 0.06 0.05 0.08 0.05 0.05 0.43 0.11 0.77	375 2096 355 2388 159 185 1162 409 286 231 1859 909 1390
Silver equivalent grade is calculated on the basis of US$6.5/oz Ag, US$0.40/lb for Pb, and US$0.45/lb for Zn. Copper grade is not included in the calculation.

After taking over the LM mine operation in early November 2007, Silvercorp will carry out systematic underground drilling and tunneling programs, including sinking several decline and short shafts, on all 8 veins to define the resource while continuing current mining activities. Ore produced from the LM will be processed in Silvercorp’s new 1,000 t/d mill about 14 km northwest of the LM Mine. The exploration and mine development will focus on better-explored LM2, LM3, and LM8 veins.

The acquisition of the HPG property remains subject to regulatory approvals.

Quality Control
Rock samples were collected by channel sampling the face of the undercut drifts. The channels were usually cut 10 cm in width and 5 cm in depth producing a sample weighing approximately 2 kg to 10 kg for each 0.10 to 1.00m interval depending on the thickness of mineralization.

The Company maintains a quality control program to ensure best practice in sampling and analysis of the tunnel samples. The samples are shipped directly in security sealed bags to analytical Lab of No. 6 Team of Henan Non-Ferrous Metals Geological and Mineral Resources Bureau in Luoyang located 120 km by road northeast of the LM Mine.

The sample preparation consists of drying, crushing, and splitting of the sample to 150 grams, then the sample is pulverized to 200 mesh. Ag, Pb and Zn were analyzed by a 3 hour hot aqua regia digestion on 30 gram samples with an AA finish.

Myles Gao, P.Geo, is the Qualified Person on the project under NI 43-101.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, & Lorne Waldman, Corporate Secretary.
Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to updat e any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.43

Exhibit 99.43

PRESS RELEASE

Trading Symbol: SVM.TO October 16, 2007

SILVERCORP COMMENTS ON ALL TIME HIGH LEAD METAL PRICES
ANNOUNCES RELEASE DATE FOR 2^nd QTR. RESULTS

VANCOUVER, British Columbia – October 16, 2007 – Silvercorp Metals Inc. (the “Company”) will release its financial results for the 2^nd quarter ended September 30, 2007 on Wednesday, November 14, 2007 after market close.

COMMENTS ON ALL-TIME RECORD HIGH LEAD PRICES

The Company announced that it is pleased to see the continuing strength in lead prices which reached a record high of US$1.80/lb on October 10, 2007 on the London Metal Exchange. For the first quarter ended June 30, 2007 lead accounted for $9.1 million, or 37.4%, of the aggregate metal sales.

According to Reuters, the record lead price is due both to problems on the supply side and to strong demand. On the supply side, “production by Chinese smelters has fallen due to newly established export tax duties and lower fees, … and a series of problems at mines and smelters elsewhere in the world is putting pressure on limited stocks.”

And on the demand side, Reuters reports that, “every year, millions of Chinese are hitting the streets on ‘e’ bikes — battery-powered contraptions that are increasingly popular as soaring fuel prices make traditional motorbikes and scooters expensive to drive. The bikes are getting bigger, faster and more glamorous — and the growing size of their batteries is soaking up increasing amounts of lead.”

Analysts Raymond Goldie and Rodney Stevensof Salman Partners in a commentary on the lead commodity recently wrote that “investors might consider Silvercorp, which, with roughly 40% its revenues coming from lead, currently represents the market’s purest play on lead production. Silvercorp’s production is entirely in China.”

DIVIDEND PAYMENT REMINDER

The Company will be sending its first dividend payment on or before October 21, 2007 to all shareholders on record at the close of business on September 28, 2007.

3 for 1 SHARE SPLIT REMINDER

On September 28, 2007 the Company’s shareholders approved a share split on the basis of three (3) shares for every one (1) existing share. The record date for the Stock Split is the close of business on October 31, 2007.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

About Silvercorp Metals Inc.

Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the "Company") are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People's Republic of China ("China"). The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, and trades on the TSX Exchange under the symbol "SVM". The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

EX-99.44

Exhibit 99.44

PRESS RELEASE

Trading Symbol: SVM.TO October 1, 2007

SILVERCORP SHAREHOLDERS APPROVE STOCK SPLIT

VANCOUVER, British Columbia – October 1, 2007 – Silvercorp Metals Inc. (the “Company”) held its Annual General and Special Meeting (the “Annual Meeting”) on September 28, 2007. All matters placed before the shareholders were approved, including the proposed Stock Split of the Company’s common shares on the basis of three (3) shares for every one (1) existing share. The Board of Directors has set the record date for the Stock Split at the close of business on October 31, 2007.

The shareholders of record of Silvercorp’s common shares as of the close of business on October 31, 2007 will receive two additional shares for each Common Share held at that time. No action is required on the part of shareholders to receive shares pursuant to the stock split. The new shares are expected to be mailed by the Company’s transfer agent, on or about November 7, 2007.

The number of shares reserved for the exercise of warrants and options, together with the exercise price payable for any shares that are subject to warrants and options shall be adjusted accordingly. No action is required on the part of option or warrant holders.

The voting report of the Annual Meeting is available for review on the SEDAR system.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

About Silvercorp Metals Inc.
Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the "Company") are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People's Republic of China ("China"). The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, and trades on the TSX Exchange under the symbol "SVM". The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

EX-99.45

Exhibi 99.45

PRESS RELEASE

Trading Symbol: SVM.TO September 20, 2007

Measured Plus Indicated Silver Resources Increased by 30% in the New Report on
the Ying Property, Henan Province, China

VANCOUVER, British Columbia – September 20, 2007 – Silvercorp Metals Inc. (the “Company”) is pleased to report the completion of an update of the mineral resources on the Ying silver-lead-zinc and HPG gold-silver-lead projects (“Ying Property”) in the National Instrument (“NI”) 43-101 Technical Update Report dated August 16, 2007 (the "Resource Report”) prepared by BK Exploration Associates (Chris Broili, C.P. Geo. & L.P. Geo and Mel Klohn, L.P. Geo., both independent Qualified Persons). Based on this Resource Report, the Measured + Indicated mineral resources and the Inferred mineral resources for the Ying Project have increased by approximately 30% and 26% respectively in comparison to the last resource estimate dated May 26, 2006, after deduction of the resources mined out. The Resource Report will be available for review on the SEDAR system and on the Company’s website at www.silvercorp.ca.

The Resource Report estimate is quoted below:

"The Ying property has two operating mines, SGX and HPG, with many mineralized veins remaining to be explored. The mineral deposit type is similar to the mesothermal veins of the Coeur d’Alene District, U.S.A. The mineralization occurs as a multitude of quartz-ankerite veins in north- to northeast-trending fault-fissure zones that cut Precambrian-age mafic and felsic gneisses. Individual veins are often a kilometer or more long and typically a meter or less wide. The controlling structures are sometimes filled by altered andesite or diabase dikes, or are identified only as alteration selvages up to 2 meters or more wide within the gneiss. Exploration to date has focused on the veins and alteration zones of three separate areas: SGX (along the west edge of the Ying project), HPG (east of SGX in the north-central part of the Ying project) and HZG (south of SGX in the southwest corner of the Ying project). Underground exploration-development workings have discovered many veins or vein spla ys that are not exposed at the surface.

Since Silvercorp’s first exploration works at Ying in August, 2004, until now (August, 2007) a total of 63,487 m of tunnels, drifts, declines, raises or shafts have been completed and 78,581 m of underground and surface drilling has been done (280 total holes). The underground work and drilling have focused primarily on 18 of 28 known veins in the SGX Area, on 8 of more than 20 known veins in the HPG Area, and on 4 currently known veins in the HZG Area.

The recent work on the Ying Property has defined silver-lead-zinc mineral resources at SGX, silver-lead-zinc-gold at HPG and silver-lead-copper-gold at HZG. The 18 veins at SGX are discrete tabular quartz-ankerite veins with massive sulfide zones that average 0.39 m wide. The 8 veins at HPG are quartz-sericite-carbonate veins with massive sulfide zones that average 0.96 m wide. The 4 veins at HZG are quartz-ankerite-fuchsite veins with sulfide filled fracture zones that average 0.78 m wide.

These veins were defined by either channel sampling, new underground tunnels or underground drilling. To estimate the mineral resources contained in these veins, resource block models were constructed with polygonal methods on longitudinal vein sections using the same parameters – cutoff grade, cutoff thickness, area of influence, etc. – as those used in the last Ying resource estimation done one year ago (Broili et al, 2006).

The current estimated mineral resources of the 29 veins explored by Silvercorp to date in the SGX, HZG and HPG area are as follows:

Ying Project - Summary of Mineral Resources

										Contained Metals
	Width (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Au (g/t)	Pb (%)	Zn (%)	Cu (%)	eq-Ag (g/t)	Ag (oz)	Pb (t)	Zn (t)	Cu (t)	Au (oz)	eq-Ag (oz)
SGX Area - High-grade
Measured	0.50	215,173	1,250	40.18		20.41	9.14		2,545	8,646,679	44,450	21,817	523		17,607,571
Indicated	0.43	787,089	1,227	39.46		21.54	7.14		2,475	31,058,205	169,515	56,232	479		62,638,615
Meas + Ind	0.44	1,002,261	1,232	39.62		21.30	7.57		2,490	39,704,887	205,956	73,381	1,001		80,246,081
Inferred	0.44	1,707,850	1,219	39.19		21.80	7.57		2,498	61,447,487	345,936	122,480	3,333		137,180,776
SGX Area - Low-grade
Measured	0.50	48,770	281	9.02		6.13	6.84		865	528,119	3,459	3,641			1,553,133
Indicated	0.41	750,329	223	7.18		3.55	3.86		560	5,390,121	26,661	28,936		1,324	12,769,092
Meas + Ind	0.42	799,099	227	7.30		3.71	4.04		578	5,830,237	29,568	32,179		1,324	18,541,705
HZG Area
Indicated	0.78	248,484	598	19.23		1.76		0.78	796	4,777,198	4,364		1,941		6,356,729
Inferred	0.62	271,042	552	19.23		1.40		0.43	679	4,807,002	3,784		1,176		5,916,975
HPG Area
Measured	0.99	35,226	117	3.77	1.41	6.28	1.28		519	132,794	2,174	261		1,594	553,359
Indicated	0.95	166,661	67	2.15	2.33	3.52	0.30		355	357,887	5,859	502		12,476	1,901,060
Meas + Ind	0.96	201,887	76	2.43	2.15	3.95	0.38		376	490,687	8,033	763		14,069	2,454,419
Inferred	0.96	1,513,222	120	3.85	1.41	6.68	2.17		581	5,824,580	101,017	32,906		68,706	28,250,515
Ying Project - Total Estimated Mineral Resources
Measured		299,169								9,307,592	50,084	25,719	523	1,594	19,714,063
Indicated		1,952,563								41,583,412		85,670	2,419	13,800	83,665,496
Meas + Ind		2,251,731								50,891,004		111,389	2,942	15,393	103,379,559
Inferred		3,492,114								72,079,069		155,386	4,509	68,706	171,348,265

-Ag Equivalent is calculated using US$6.50/oz Ag, US$0.40/lb Pb, US$0.45/lb Zn, US$1.5/lb Cu and US$350/oz Au. Calculations reflect gross metal content and have not been adjusted for metallurgical recoveries.

This estimated resource (measured plus indicated) is 30% greater than the resource reported in the previous resource estimation (the 2006 Report by Broili, et.al.). This is largely due to the fact that the new estimation is based on 18 veins at SGX as compared to only 14 veins in the 2005 Report, and the two new areas, HPG and HXG have added 8 veins and 4 veins respectively."

During the 1st Quarter of 2008 (the Quarter ended June 30, 2007), the Company has milled 64,574 tonnes of ore and has produced 2,224 tonnes of direct-smelting lead-silver ore, yielding a combined run of mine head grades of 503.8 g/t silver, 8.02% lead and 3.71% zinc. This run of mine head grade is a reflection of mining dilution combined with mining of low grade resources.

Myles Gao, P.Geo., is the Company's Qualified Person on the project under NI 43-101 and has reviewed and given consent to the press release.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People’s Republic of China (“China”). Currently, the Company’s main mining operations are the Ying Silver-Lead-Zinc mine (“Ying Silver Project”) and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine (“HPG Project”), owned through its 77.5% and 70% Chinese subsidiary companies, respectively. The Company's common shares trade on the TSX Exchange under the symbol “SVM” while share purchase warrants trade under the symbol "SVM.WT". The Company’s shares are included in the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-lookin g statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

CAUTIONARY NOTE TO U.S. INVESTORS CONCERNING ESTIMATES OF MEASURED, INDICATED AND INFERRED RESOURCES

This press releases uses the terms “Measured”, “Indicated” and Inferred” Resources. U.S. investors are advised that while such terms are recognized and required by Canadian regulations, the Securities and Exchange Commission does not recognize them. “Inferred Resources” have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Resources may not form the basis of feasibility or other economic studies. U.S. investors are cautioned not to assume that all or any part of Measured or Indicated Resources will ever be converted into reserves. U.S. investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally of an Inferred Mineral Resource existence, or is economically or legally mineable.

EX-99.46

Exhibit 99.46

PRESS RELEASE

Trading Symbol: SVM.TO September 17, 2007

SILVERCORP DECLARES FIRST ANNUAL DIVIDEND AT $0.15

VANCOUVER, British Columbia — September 17, 2007 — Silvercorp Metals Inc. (the "Company" or "Silvercorp") announces that the Board of Directors have declared that an annual dividend of $0.15 per share will be paid to shareholders of record at the close of business on September 28, 2007. The payment date is scheduled on or before October 21, 2007.

This is the first time in the Company's history it has declared a dividend. The Company believes that the payment of dividends rewards shareholder loyalty and is a validation of the Company's cash generating capabilities. Silvercorp is a growing and profitable silver and base metals producing Company with the financial resources to return additional value to shareholders through the payment of dividends while continuing to fund new project acquisitions and development.

On August 31, 2007 the Company announced that it would be seeking shareholder approval for a 3:1 stock split at its upcoming Annual and Special General Meeting on September 28, 2007. In the event that the 3:1 stock split is approved and effective prior to the dividend payment date, the dividend will be adjusted to $0.05 per share to reflect the 3:1 stock split.

The declaration and amount of any future dividends will be at the discretion of the Directors.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the "Company") are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People's Republic of China. The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, and trades on the TSX Exchange under the symbol "SVM". The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Lorne Waldman, Corporate Secretary. Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca. Website: www.silvercorp.ca

Page 1 of 2

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statemen ts that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

Page 2 of 2

EX-99.47

Exhibit 99.47

PRESS RELEASE

Trading Symbol: SVM.TO September 7, 2007

SILVERCORP ANNOUNCES LISTING OF WARRANTS

VANCOUVER, British Columbia – September 7, 2007 – Silvercorp Metals Inc. (“Silvercorp”) announces that, commencing at the opening of trading on September 10, 2007, up to 1,250,625 of Silvercorp’s common share purchase warrants will be listed on the Toronto Stock Exchange and will trade under the symbol “SVM.WT”. The warrants, which were issued under the April 2006 bought deal financing, entitle the holder to purchase one common share of Silvercorp at a price of $24 per share until expiry on October 26, 2008.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) is engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China. The Company trades on the TSX under the symbol “SVM”. The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.48

Exhibit 99.48

PRESS RELEASE

Trading Symbol: SVM.TO August 31, 2007

SILVERCORP ANNOUNCES ANNUAL AND SPECIAL GENERAL MEETING
OF SHAREHOLDERS TO BE HELD ON FRIDAY, SEPTEMBER 28, 2007

VANCOUVER, British Columbia – August 31, 2007 – Silvercorp Metals Inc. (“Silvercorp”) announces that Silvercorp’s Annual and Special General Meeting (the “Meeting”) is scheduled to be held at 10:00 am PST on Friday, September 28, 2007, at the Malaspina Room located on the Concourse Level of The Fairmont Waterfront, 900 Canada Place Way, Vancouver, British Columbia V6C 3L5.

The Meeting will give shareholders current development update on Silvercorp, as well as the opportunity to ask questions.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China. The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, and trades on the TSX Exchange under the symbol “SVM”. The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

EX-99.49

Exhibit 99.49

PRESS RELEASE

Trading Symbol: SVM.TO August 31, 2007

SILVERCORP SEEKS SHAREHOLDER APPROVAL FOR A 1:3 STOCK SPLIT

VANCOUVER, British Columbia – August 31, 2007 – Silvercorp Metals Inc. (the “Company”) announces that at the Company’s annual & special general meeting scheduled for Friday, September 28, 2007 shareholder approval will be sought for a stock split of the Company’s common shares on the basis of three (3) new shares for every one (1) existing share.

The Company believes that the stock split will encourage greater liquidity and wider distribution among retail investors.

Currently, the Company has 49.17 million shares outstanding. Upon implementation of the stock split, the number would increase to 147.5 million shares.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China. The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, and trades on the TSX Exchange under the symbol “SVM”. The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO Phone: (604) 669-9397, Fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.50

Exhibit 99.50

SILVERCORP ANNOUNCES A ONE YEAR EXTENSION OF EXPIRY
DATE OF WARRANTS ISSUED IN 2006 FINANCING

August 23, 2007

Vancouver, British Columbia – August 23, 2007 – Silvercorp Metals Inc. (“Silvercorp”) announced today that it has received conditional approval from the Toronto Stock Exchange to extend the expiry date of the 1,250,623 common share purchase warrants issued by Silvercorp in its April 2006 bought deal financing from October 26, 2007 to October 26, 2008. The exercise price of these warrants remains unchanged at $24.00 and none of the warrants are held by insiders. The effective date of the change will be September 7, 2007.

About Silvercorp Metals Inc.

Silvercorp is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People’s Republic of China (“China”). Currently, Silvercorp’s main mining operations are the Ying Silver-Lead-Zinc mine (“Ying Silver Project”) and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine (“HPG Project”), owned through its 77.5% and 70% Chinese subsidiary companies, respectively.

Silvercorp is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

EX-99.51

Exhibit 99.51

PRESS RELEASE

Trading Symbol: SVM.TO August 13, 2007

SILVERCORP ACHIEVES RECORD $0.33 EPS FOR THE 1st QUARTER ENDED JUNE 30, 2007

VANCOUVER, British Columbia – August 13, 2007 – Silvercorp Metals Inc. (the “Company”) is pleased to announce that for the first quarter ended June 30, 2007, the Company recorded consolidated net earnings of $15,887,496, equating to $0.33 per share or $0.32 per share fully diluted. The cash flows provided from operations were $20,734,355 with a record profit margin of 65.02% (2007- 54.41%) . All figures are expressed in Canadian dollars, other than share and mining data.

FIRST QUARTER HIGHLIGHTS

During the first quarter ended June 30, 2007, earnings from mine operations amounted to $19,094,909 (2007 - $3,412,714) representing a gross margin of 78.14% (2007 - 78.76%) . The net income realized was $15,887,496 (2007 - $2,357,580) with a record profit margin of 65.02% (2007- 54.41%) . The net earnings are $0.33 (2007 - $0.05) per basic share or $0.32 (2007 - $0.05) per fully diluted share. The net income increase of $13,529,916, over the comparable period in the prior year, is attributed to the increased through-put capacity of the Ying Silver Mine and the commencement of production at the HPG Property since April 1, 2007. Sales from the Ying Silver Mine increased four-fold to $22,748,272 over the prior comparable period. The HPG Mine achieved sales of $1,688,061 in its first quarter of operations.

During the first quarter, our operating subsidiary, Henan Found received a favorable ruling from the local Chinese tax authorities on it’s tax exemption application. Accordingly, the Company adjusted the income tax provision of $1,623,286 recorded for the fourth quarter ended March 31, 2007 and an income tax recovery of $1,610,903 was recorded for this quarter.

Total sales and realized prices net of value added tax and smelter charges for this quarter are:

• 870,608 ounces of silver sold for $10,374,894 at an average selling price of $11.92 per ounce;
• 323 ounces of gold sold for $160,337 at an average selling price of $496.40 per ounce;
• 11,269,546 pounds of lead sold for $9,139,478 at an average selling price of $0.81 per pound; and,
• 3,849,273 pounds of zinc sold for $4,761,624 at an average selling price of $1.24 per pound.

The total cost of sales, including milling costs, for the first quarter amounted to $5,341,424 (2007 - $920,336), and are:

• $4,697,879 (2007 - $814,671) for the cash cost of production; and,
• $643,545 (2007 - $105,665) for the depreciation charges.

For this quarter, 70,816 (2007 - 30,719) tonnes of ores were mined, from which 2,658 (2007 - 1,061) tonnes of direct shipping ores were hand sorted for direct shipment to smelter, and 68,158 (2007- 29,658) tonnes of ores were shipped to mills for treatment to recover silver-lead and zinc concentrates. The average mining cost is $49.84 (2007 - $43.44) per tonne of ore and average milling cost is $13.12 (2007 - $18.56) per tonne of ore.

The average production cost recorded per metal is: $2.61 (2007 - $2.07) per ounce for silver, $108.83 (2007 - $nil) per ounce for gold, $0.18 (2007 - $0.10) per pound for lead, and $0.27 (2007 - $0.23) per pound for zinc. The average silver production cost adjusted for by-product credit is negative $10.00 (2007 - negative $6.59) per ounce.

The mills continue to achieve high recovery rates from the Ying Silver Property ores:

• 88.58% (2007 - 91.44%) for silver;
• 93.32% (2007 - 97.06%) for lead; and,
• 79.05% (2007 - 81.21%) for zinc.

OUTLOOK

The Company anticipates ore production and milling through-put to be stable for the 2008 fiscal year; therefore, the Company’s revenue and net profit should increase substantially over the 2007 fiscal year.

The Company’s Unaudited Interim Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR at www.sedar.com.

The following are non-GAAP measurements and investors are cautioned not to place undue reliance on it and are urged to read all GAAP accounting disclosures present in the unaudited interim consolidated financial statements and accompanying notes: Average selling price (net of Value Added tax and smelter charges); Average production cost per ounce; Average production cost per pound; Average production cost per ounce; Mining cost per tonne of ore mined; Milling cost per tonne of ore milled; Average silver production costs adjusted for by-product credit; and, Cash cost of production. These non-GAAP measures are used by the Company to manage and evaluate operating performance of the Company’s mines and are widely reported in the silver mining industry as benchmarks for performance measurement, but does not have standardized meaning.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. along with its subsidiary companies and joint ventures (collectively the “Company”) are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China (“China”). The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, and trades on the TSX Exchange under the symbol “SVM”. The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to updat e any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.52

Exhibit 99.52

PRESS RELEASE

Trading Symbol: SVM.TO July 10, 2007

Silvercorp Signed Joint Venture Contract to Explore Two Silver-Polymetalic
Mineral Properties in Qinghai Province, China

VANCOUVER, British Columbia – July 10, 2007 – Silvercorp Metals Inc. (the “Company”) announces that it has signed a joint venture contract with Qinghai Geological Survey (“QGS”) to form Qinghai Found Mining Company Ltd. (“Qinghai Found”), a Sino-foreign cooperate joint venture company, to explore and develop the Na-Bao silver-polymetalic Project in Qinghai Province. Under the joint venture contract, the Company can earn an 82% interest in Qinghai Found by investing about US$4.0 million. QGS will retain an 18% carried interest in Qinghai Found in exchange for transferring the three Na-Bao permits to Qinghai Found.

Na-Bao Project
The Na-Ba Project is located in the Na-Bao area of southwest Qinghai province about 100 km west of the Qinghai-Tibet Railway. It consists of three exploration permits covering an area of about 320 square km (19 km by 16 km) . The Na-Bao Project was discovered through 1:200,000 and 1:50,000 scale stream sedimentary geochemical surveys completed in 2006 which revealed a 10 km long by 6 km wide silver-lead geochemical anomalies in the centre of the Project area. A follow-up field check of the anomalies has discovered two silver-polymetalic prospects within the anomalies. The No.1 prospect is made of two parallel, over 1,000 metre (m) structural zones that show significant silver-lead-zinc sulfide mineralization, as evidenced by massive galena (lead mineral) and sphalerite (zinc mineral). Based on a 2006 Qinghai Geological Survery (“QGS”) report, the mineralization zones contain as high as 71.06% lead and 23.99% Zinc. The No. 2 prospect shows outcrop of coppe r-iron skarn, grab sample of which returned 4.8% copper, 25.1% total iron, and 41.8 grams per tonne silver.

Currently, the Company has engaged QGS to carry out an exploration program, including 50 square km of geological mapping, 30 square km of IP geophysical survey, and 10,000 cubic metres of surface trenching. The field season is generally from May to October.

XG Project
The Company has also signed a letter of intent with QGS to jointly explore the XG silver polymetalic project, which consists of two exploration permits (the XGE and XR Permits) owned by QGS and totaling about 161 square km, 460 km southeastern of the Na-Bao project. With the establishment of Qinghai Found, the XG project permits will also be transferred to Qinghai Found in exchange for a cash payment to QGS. Golder Association Consulting Ltd. of Australia (“Golder”) completed a NI 43-101 technical report on the XG Project in November 2006.

Based on the Golder report, in the XGE permit area, 4 major stream sedimentary geochemical anomalies were identified. Surface trench exploration on one of the geochemical anomalies discovered the XGE silver-copper-lead mineralization zone, which is about 2200m long and 250m wide. Within the zone, four mineralized structures ranging from 130m to1600m in length and 1m to 45m in width were identified by trenches. The Significant trench interval includes 7.6 metres grading 1920 gram/tonne (g/t) silver and 2.47% copper. The assay result for the trenches are listed in the table below.

In the western XR permit area, 6 silver stream sedimentary anomalies were identified. Surface trench work in one of the geochemical anomalies has discovered four mineralized structures ranging from 150m to 2,200m in length and 3m to 45m in width within a 2.5 km by 1 km area. The assay results for the trenches are listed in the table below.

Trench Assay Results

Trench	Prospect	Sample length		Grade
		(metre)	Ag g/t	Cu %	Pb %	Zn %
TC5		3.80	76	1.01	0.005	0.007
TC6		6.20	7	2.48	0.010	0.060
TC11		0.41	124	1.2	0.004	0.040
TC17	XGE	1.00	3	0.88	0.002	0.015
TC3		23.70	714	1.05	0.370	0.430
Including		7.60	1920	2.47	0.440	0.630
TC1	XR	4.60	1	-	10.970	0.340
TC14		21.30	30	-	3.160	2.180
Including		1.50	71	-	12.660	2.720
TC14		6.00	114	-	19.680	0.140
TC15		2.00	98	-	15.270	0.170
TC13		4.20	48	-	2.670	0.280
TC3W		8.00	193	-	7.930	0.700
Including		4.50	321	-	13.150	1.130
TC3E		4.50	88	-	2.680	0.070
TC9		5.90	245	-	7.230	0.310
TC11		3.00	10	-	3.000	8.720
TC12		2.80	5	-	2.530	0.870
TC16		1.30	3	-	0.700	0.009
QJ3		4.10	111	-	23.930	0.210
QJ2		4.00	106	-	4.940	0.450

QJ1	5.50	182	-	7.080	0.120
Including	2.00	364	0.15	14.020	0.020
	Grab sample (TC9 of
Golder Check sample	XR Prospect)	305	-	10.960	-

Both Na-Bao and XG Projects are subject to receive final approvals from regulatory authorities.

Quality Control of Assay results
The samples were collected by the Qinghai Geological Survey, a Qinghai Provincial government agency in charge of exploration of mineral resource in the Province. The samples were assayed in Qinghai Geological Central Laboratories (“QGCL”), an ISO9001-2000 certified lab which also is accredited by Chinese National Accreditation Board for Laboratories.

The sample preparation consists of drying, crushing, splitting of samples to 150 grams, then the samples are pulverized to 200 mesh. Silver, lead, zinc, and copper were analyzed by a 3-hour hot aqua regia digestion on 10-gram samples with an AA/ICP finish. Check samples by Golder was assayed in Tianjian SGS Laboratory, China.

Myles Gao, P.Geo., is the Qualified Person on the project under NI 43-101.

About Silvercorp Metals Inc.
Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People’s Republic of China (“China”). Currently, the Company’s main mining operations are the Ying Silver-Lead-Zinc mine (“Ying Silver Project”) and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine (“HPG Project”), owned through its 77.5% and 70% Chinese subsidiary companies, respectively.

The Company is on the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to updat e any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.53

Exhibit 99.53

PRESS RELEASE

Trading Symbol: SVM.TO June 25, 2007

SILVERCORP RECEIVES US$11.264 MILLION DIVIDEND PAYMENT AND
FAVORABLE INCOME TAX HOLIDAY RULING FOR ITS YING SILVER
PROJECT, CHINA

VANCOUVER, British Columbia - June 25, 2007 - Silvercorp Metals Inc. (the "Company") announces that it has received a notification from the Chinese tax authorities which confirms that the Company's 77.5% subsidiary company, Henan Found Mining Co. Ltd. ("Henan Found"), is a qualified Foreign Investment Enterprise that can enjoy a zero income tax rate for its first two years from its first year of recording a profit, and a 15% th income tax rate for the 3^rd to 5^th year.

The Chinese tax authorities have also accepted annual income tax filing by Henan Found that 2006 calendar year is the first year of its profitability. Accordingly, Henan Found's income tax holiday starts from the 2006 calendar year, instead of 2005 calendar year as the Company has conservatively provided for in its Audited Annual Financial Statement for the fiscal year ended March 31, 2007 (see June 10, 2007 Company Press Release). As a result, the $1,623,286 income tax provision recorded for the Company's fourth quarter in the Audited Financial Statement for the year ended March 31, 2007 will be adjusted as a credit in the Company's first quarter financial statement ending June 30, 2007.

As Henan Found's 2007 calendar year will be the second year of zero income tax and therefore no income tax provision on this operation will be required for the Company's first to third quarters financial statements of fiscal year ending March 31, 2008.

Based on its 2006 calendar year income tax filings, Henan Found's net distributable profit is RMB¥131,347,992 after compensating for its 2005 calendar year loss. Henan Found's Board of Directors has decided to distribute RMB¥111,000,000 as a dividend to its shareholders, representing a payout of 84.5%. The balance of net distributable profit will be allocated to Henan Found's three funds: Enterprise Reserve Fund; Enterprise Development Fund; and, its Employee's welfare and bonus fund.

The Company has received its share (77.5%) of dividend payment of RMB¥86,025,000 or USD$11,263,945 and has set a precedent in repatriating its profit earned from a mining operation in China.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is engaged in the acquisition, exploration, and development of silver related mineral properties focusing in the People's Republic of China ("China"). Currently, the

Company's main mining operations are the Ying Silver-Lead-Zinc mine ("Ying Silver Project") and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine ("HPG Project"), owned through its 77.5% and 70% Chinese subsidiary companies, respectively.

The Company's common shares are the components of the S&P/TSX Composite Index, the S&P/TSX Global Gold Index, and S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to upd ate any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.54

Exhibit 99.54

PRESS RELEASE

Trading Symbol: SVM.TO June 18, 2007

Silvercorp Reports on the Mac Molybdenum Property, BC, Canada
and the Ying Molybdenum Property, Henan, China

VANCOUVER, British Columbia - June 18, 2007 - Silvercorp Metals Inc. (the "Silvercorp") reports on the status of its 100% owned Mac Molybdenum Property, located in British Columbia, Canada and the Ying Molybdenum Project, located in Henan Province, China.

Mac Property

The Mac property covers 500 hectares and is located approximately 43 kilometres (km) southeast of the Bell and Granisle past producing porphyry mines, and the town of Granisle in BC, where development logistics are located. The Mac property is directly accessible by a 35 km forestry road from the paved highway to Granisle. The topography in the area is moderate, with elevations ranging from 900 to 1,500 metres (m). The property is in an area with a long history of mining, free of any issues related to parks, the environment or native.

The Mac prospect was originally discovered in 1982 by Rio Algom Exploration Inc. An extensive surface exploration program was conducted in 1983 and 1984 which resulted in the discovery of the porphyry system and three mineralized zones. In 1989, 12 diamond drill holes (totaling 1,488m) outlined the molybdenum/copper mineralization within the Camp Zone. Silvercorp (then known as Spokane Resources Ltd.) acquired the property in the spring of 1995, and by 1997 had completed a total of 49 drill holes averaging 220m per hole — total 10,818m - and 62 km of geophysics and geochemical survey. Based on a technical report published by Dr. P.E. Fox (P. Eng.) for Silvercorp in 1997, the work outlined a mineralization zone some 700m by 500m consisting of two lobes or contact zones linked by an porphyry body hosting a molybdenite stockwork. The drill results have been in the public domain since 1997 and were filed with the TSX Venture Exchange and related government authorities. The reports predate NI 43-101, however they are believed to be reliable. The significant drill results from the technical report include:

Drill hole	Zone	Intercept (m)	MoS2 (%)	Cu (%)
89-11	East Contact Zone	50.0	0.225	0.190
95-14	East Contact Zone	66.0	0.110	0.094
96-27	East Contact Zone	165.8	0.203	0.214
	Including	96.0	0.308	0.256
95-15	East Contact Zone	196.3	0.125	0.172
	Including	79.0	0.217	0.256

Drill hole	Zone	Intercept (m)	MoS2 (%)	Cu (%)
96-24	East Contact Zone	200.0	0.135	0.221
	Including	78.0	0.226	0.378
89-3	East Contact Zone	54.0	0.117	0.040
89-4	East Contact Zone	128.3	0.143	0.160
96-25	East Contact Zone	96.0	0.168	0.130
96-25	East Contact Zone	41.9	0.090	0.314
89-1	Prophyry	70.5	0.073	0.050
89-3	Prophyry	54.0	0.070	0.040
89-9	Prophyry	105.2	0.045	-
89-10	Prophyry	51.0	0.095	0.060
96-31	West Contact Zone	18.0	0.106	0.093
96-31	West Contact Zone	52.0	0.116	0.111
89-2	West Contact Zone	47.6	0.098	0.090
96-30	West Contact Zone	117.9	0.130	0.093
	Including	80.0	0.190	0.141
96-29	West Contact Zone	96.0	0.133	0.072
	Including	56.0	0.172	0.074
95-16	West Contact Zone	93.0	0,220	0.122
	Including	73.0	0.252	0.139
96-34	West Contact Zone	90.0	0.118	0.106
89-12	West Contact Zone	221.9	0.155	0.120
	Including	72.2	0.335	0.210
95-17	West Contact Zone	91.7	0.125	0.090
	Including	39.0	0.215	0.132
89-5	West Contact Zone	12.0	0.175	0.040
89-2	West Contact Zone	47.6	0.059	0.090

The preliminary metallurgical study carried out by Lakefields in 1997 indicated a recovery rate of 71% for copper and 78% for molybdenum. Based on a preliminary scoping study report by Fluor Daniels Wright (1998), the potential strip ratio of 1.5:1 is assumed for open pit mining.

As Silvercorp is focused on exploring and developing silver related properties in China, Silvercorp intends to maximize shareholders value by optioning or selling the Mac Molybdenum Property.

Ying Molybdenum Project, Henan, China

On April 12, Silvercorp announced that it had commenced drilling the NPG Molybdenum Project ("Ying Moly Project") located within the Ying Silver Mining Permit area. Legal advice was subsequently received that the Ministry of Land and Resources and the National Development and Reform Commission of China recently issued a policy prohibiting the granting of land usage title to any new development of molybdenum and tungsten mines in China. As a result Silvercorp has decided to stop the program at the Ying Moly Project, so that it can focus its drill rigs and technical staff on silver exploration and development.

Myles Gao, P.Geo, is the Qualified Person on the project.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is an exploration and development stage company, which along with its subsidiary companies and joint ventures (collectively the "Company"), is engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People's Republic of China. Currently, the Company's main mining operations are in Henan Province at the Ying Silver-Lead-Zinc mine and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine, owned through 77.5% and 70% Chinese subsidiary companies, respectively. The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, and Saskatchewan and trades on the TSX under the symbol "SVM".

Standard & Poors Canadian Index operations added the Company's common shares to the S&P/TSX Composite Index and the S&P/TSX Global Gold Index (formerly the S&P/TSX Capped Gold Index), effective December 18, 2006. In addition, effective June 12, 2007, Standard & Poor's Canadian index operations added Silvercorp Metals Inc. as a constituent for the new S&P/TSX Global Mining Inex.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Phone: (604) 669­9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company's business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statemen ts. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.55

Exhibit 99.55

PRESS RELEASE

Trading Symbol: SVM.TO June 10, 2007

SILVERCORP REPORTS RECORD EPS OF $0.52 FOR THE YEAR ENDED MARCH 31, 2007

VANCOUVER, British Columbia –June 10, 2007 –Silvercorp Metals Inc. (the “Company”) is pleased to announce record 2007 audited consolidated annual net income of $25,108,808, $0.52 and $0.50 basic and fully diluted earnings per share, respectively, and operating cash flows of $34,217,804. For the fourth quarter ended March 31, 2007 the Company recorded net earnings of $8,050,571, $0.17 and $0.16 basic and fully diluted earnings per share, respectively, and operating cash flows of $13,670,600. All figures expressed in Canadian dollars, other than share and mining data.

Based on China’s Foreign Investment Enterprise (“FIE”) income tax incentive policy, a qualified FIE will enjoy zero income tax rate for the first two years, from the time it records a profit, and a 15% income tax rate for the 3^rd to 5^th year. The Company has taken a conservative approach in applying the FIE income tax incentive policy towards the Ying operating company (“Henan Found”) by starting the income tax holiday from the 2005 calendar year for Henan Found. Accordingly, the Company applied a 15% income tax rate on Henan Found’s first quarter financial results of 2007 (January 1 to March 31, 20 07) or the Company’s fourth quarter ended March 31, 2007. As a result, a $1,623,286 income tax provision was recorded for the quarter. The Company’s net income for the quarter therefore was reduced by $1,623,286 or $0.03 basic and fully diluted earnings per share.

The 2005 calendar year was a year of loss for Henan Found and it has applied with local Chinese tax authorities to start the tax holiday from calendar year 2006, pending receipt of the favorable income tax certificate from the authorities to approve Henan Found’s application, the Company will subsequently adjust the income tax provision.

2007 HIGHLIGHTS (12 Months) - Audited

During the year ended March 31, 2007, the Company realized net income (loss) of $25,108,808 (2006 -($6,259,255)) resulting in earnings (loss) per share of $0.52 (2006 - ($0.15)) and $0.50 (2006 - ($0.15)) on weighted average number of shares outstanding of 47,971,231 (2006 - 42,416,005) and 49,891,352 (2006 -42,416,005), basic and fully diluted, respectively. The net income increase of $31,368,063, as compared to the prior year, is primarily attributed to the sale of direct shipping ore and metal concentrates from the Ying Project since April 1, 2006.

During the year ended March 31, 2007, the Company turned around a loss of $6,259,255 in 2006 to achieve net income of $25,108,808, which is mainly attributable to the Company’staged start-up and ramp-up of its Ying Project mining operations resulting in earnings from mine operations of $35,124,844 (2006 - $nil).

During the year ended March 31, 2007, the Company recorded total sales of $45,290,340 (2006 - $nil) comprised of the following:

• 1,935,031 ounces of silver sold for $20,493,069 at an average selling price of $10.59 per ounce;
• 249 ounces of gold sold for $78,384 at an average selling price of $315.40 per ounce;
• 26,262,191 pounds of lead sold for $16,019,484 at an average selling price of $0.61 per pound; and,
• 7,135,930 pounds of zinc sold for $8,694,166 at an average selling price of $1.22 per pound.

All prices are net of value added tax and smelter charges.

The total cost of sales, including milling costs, for the year ended March 31, 2007 amounted to $10,165,496 (2006 - $nil), and is comprised of $8,810,829 for the cash cost of production and $1,354,667 for the depreciation charges. The average silver production cost adjusted for by-product credit was ($7.56) per ounce.

For the year ended March 31, 2007, 169,830 tonnes of ores were extracted, from which 6,843 tonnes of direct shipping ores were hand sorted for direct shipment to smelter, and 162,987 tonnes of ores were shipped to local custom mills for treatment to recover silver-lead and zinc concentrates. The custom mills have achieved high recovery rates: 90.18% for silver, 94.38% for lead, and 75.31% for zinc. The total production cost for silver adjusted for lead and zinc credits is negative $7.56 per ounce.

For the year ended March 31, 2007, average production costs were $2.38 per ounce for silver, $70.79 per ounce for gold, $0.14 per pound for lead, and $0.27 per pound for zinc, respectively.

The Company generated gross revenue of $45,290,340 (2006 - $nil) for the year ended March 31, 2007, through the sale of the direct shipping ore, gold, silver-lead and zinc concentrates. This resulted in earnings from mine operations of $35,124,844 (2006 - $nil) and a gross margin of 77.55%, for the year ended March 31, 2007.

FOURTH QUARTER HIGHLIGHTS (3 Months)

During the fourth quarter ended March 31, 2007, the Company realized net income of $8,050,571 (Q4-2006 - ($1,556,317)) resulting in earnings per share of $0.17 (Q4 - 2006- ($0.04)) on weighted average number of basic shares outstanding of 48,606,665 (Q4 - 2006 - 42,416,005) or $0.16 per share on fully diluted shares outstanding of 50,257,368 (Q4-2006 - 42,416,005). The net income increase of $9,606,888, as compared to the prior year, is primarily attributed to the sale of direct shipping ore and metal concentrates from the Ying Project since April 1, 2006.

During the fourth quarter ended March 31, 2007, net income increased six fold to $8,050,571,as compared to the same period of 2006, and is mainly attributable to the Company’s staged start-up and ramp-up of its Ying Project mining operations resulting in earnings from mine operations of $11,405,935.

During the fourth quarter ended March 31, 2007, the Company recorded total sales of $15,517,529 (Q4 -2006 - $nil) comprised of the following:

• 592,554 ounces of silver sold for $6,749,843 at an average selling price of $11.39 per ounce;
• 73 ounces of gold sold for $24,050 at an average selling price of $331.60 per ounce;
• 8,371,480 pounds of lead sold for $5,846,242 at an average selling price of $0.70 per pound; and,
• 2,328,418 pounds of zinc sold for $2,892,157 at an average selling price of $1.24 per pound.

All prices are net of value added tax and smelter charges.

The total cost of sales, including milling costs, for the fourth quarter ended March 31, 2007 amounted to $4,111,594 (Q4-2006 - $nil), and is comprised of $3,346,847 for the cash cost of production and $764,747 for the depreciation charges. The average silver production cost adjusted for by-product credit was ($7.76) per ounce.

For the fourth quarter ended March 31, 2007, 45,065 tonnes of ores were extracted, from which 2,018 tonnes of direct shipping ores were hand sorted for direct shipment to smelter, and 43,047 tonnes of ores were shipped to local custom mills for treatment to recover silver-lead and zinc concentrates. The custom mills have achieved high recovery rates: 89.95% for silver, 94.31% for lead, and 76.70% for zinc. The total production cost for silver adjusted for lead and zinc credits is negative $7.76 per ounce.

During the fourth quarter ended March 31, 2007, average production costs were $3.15 per ounce for silver, $91.48 per ounce for gold, $0.19 per pound for lead, and $0.34 per pound for zinc, respectively.

The Company generated gross revenue of $15,517,529 (Q4-2006 - $nil) for the fourth quarter ended March 31, 2007 through the sale of the direct shipping ore, gold-silver-lead and zinc concentrates. This resulted in an earnings from mine operations of $11,405,935 (Q4-2006 - $nil) and a gross margin of 73.50%, for the quarter ended March 31, 2007.

OUTLOOK

As the custom built 300 tonne loading capacity barge and the new 750 tonnes per day mill are operating smoothly at the Ying Mine, the Company anticipates ore production and milling put-through to be stable for the 2008 fiscal year; therefore, the Company’s revenue and net profit should increase substantially in comparison to 2007 fiscal year from this operation.

For the HPG Project, after several months of preparation, mining and milling operations have also been resumed since May 1, 2007. The mining capacity at HPG h as achieved approximately 200 tonnes per day, while the mill is operating at a capacity of about 250 tonnes per day to produce Au-Ag-Pb and zinc (Zn) concentrates. Sales of direct shipping Au-Ag-Pb ores and recovered concentrates since May 1, 2007 indicate a positive cash flow being achieved. The Company anticipates that the HPG operation shall add to the 2008 fiscal year’s revenue and net profit.

The Company’s Audited Consolidated Financial Statements and Management’s Discussion and Analysis are available for review on our website at www.silvercorp.ca and through SEDAR at www.sedar.com.

About Silvercorp Metals Inc.

Silvercorp Metals Inc. is an exploration and development stage company, which along with its subsidiary companies and joint ventures (collectively the “Company”), is engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China (“China”). Currently, the Company’s main mining operations are the Ying Silver-Lead-Zinc mine (“Ying Project”or “Ying Silver Project”) and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine (“HPG Project”), owned through its 77.5% and 70% Chinese subsidiary companies, respectively. The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, and Saskatchewan and trades on the TSX under the symbol .

Standard & Poors Canadian Index operations have added the Company’s common shares to the S&P/TSX Composite Index and the S&P/TSX Global Gold Index (formerly the S&P/TSX Capped Gold Index), effective December 18, 2006. In addition, effective June 12, 2007, Standard & Poor's Canadian index operations will add Silvercorp Metals Inc. as a constituent for the new S&P/TSX Global Mining Index.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.56

Exhibit 99.56

PRESS RELEASE

Trading Symbol: SVM.TO May 31, 2007

Further Ten Percent Interest Acquired And High Grade Gold-Silver-Lead Veins Discovered at the HPG Gold-Silver-Lead Project, Henan, China

VANCOUVER, BRITISH COLUMBIA – May 31, 2007 - Silvercorp Metals Inc. ("Silvercorp") is pleased to provide an update on business development and exploration results for the HPG Gold (Au)-Silver (Ag)-Lead (Pb) Property. Exploration and mining at the HPG Property is being carried out through Silvercorp’s 60% subsidiary, Henan Huawei Mining Co. Ltd. (“Huawei”), a Sino-foreign joint venture company which holds the HPG Property and operates under a 30-year business license.

Business and Operation Update
Silvercorp has recently signed an agreement to purchase an additional 20% interest of the Huawei from its JV partner, HT Mining Co. Ltd (“HT Mining”), in which 10% interest will be held in trust for a shareholder of HT Mining. Total consideration for the 20% interest is $1.98 million with Silvercorp’s share of $990,000 paid in full. While government approval is expected to be received shortly, Silvercorp is now entitled to 70% interest of Huawei.

Since Silvercorp took over the HPG operations in early January 2007, an extensive exploration program budgeted at about $3 million for 2007 has been implemented. The program includes 15,000 metres (m) of tunneling, sinking two 200 m shafts, and 13,500 m of surface and underground drilling.

After several months of preparation, mining and milling operations have also been resumed at the HPG Property since May 1, 2007. The mining capacity at HPG has achieved approximately 200 tonnes per day, while the mill is operating at a capacity of about 250 tonnes per day to produce Au-Ag-Pb and zinc (Zn) concentrates. Sales of direct shipping Au-Ag-Pb ores and recovered concentrates since May 1^st indicates a positive cash flow that will be more than enough to cover all the cost of mine expansion and the exploration program for the remainder of fiscal year 2007 at current mining and milling rates.

Exploration Update
Exploration activities have been focused on the most easily accessible veins such as H15 and H17, while other veins such as H5, H12, H13, H15-1, H20, H29, and H32 will also be explored through tunneling. Exploration and mine development in the HPG project area are conducted through 10 main access tunnels, PD2, PD3, PD630, PD638, PD698, PD720, HPD29, HPD30, HPD640, and HPD850. However, the majority of exploration and development work is being undertaken in PD3, in which four declines were developed from 600m to 340m elevations.

As of May 25th, 2007, a total of 2,445 meters (m) of exploration tunnels and a total of 4 surface drill holes totaling 750 m using 3 drill rigs have been completed. Based on this work, several new ore shoots were discovered and defined. The assay results from the tunnels are listed in the table below with drill holes results pending. Significant results from the tunnels are as follows:

• 1.00m true width grading 1.15 grams per tonne (g/t) Au, 120 g/t Ag, 13.80% Pb from a tunnel at 420m elevation on the H15 Vein;

• tunneling intercepted 0.40m true width massive galena in H15-1 Vein grading 5.03 g/t Au, 766 g/t Ag, and 17.23% Pb at 735m elevation;

• 2.50m true width massive galena containing 1.03 g/t Au, 415 g/t Ag and 50.89% Pb on H17 Vein at 360m elevation and a 4.4 m true width grading 3.37 g/t Au, 176 g/t Ag, 7.86% Pb, and 1.49% Zn; and,

• 0.25m true width grading 125 g/t Ag, 26.19% Pb, and 1.28% Zn in the 688m elevation tunnel on the H32 vein.

H5 Vein
The vein was mapped out on surface about 480m in length, extends northeasterly and dips steeply to northwest. The width of the vein ranges from 0.25 to 1.70 m. A total of 171 m tunneling was completed on the H5 vein from 460m elevation through main access tunnel PD3.

H15-1 Vein
The vein features Au, Ag, and Pb mineralization. It extends northeasterly for over 340m in length and dips to northwest at approximately 70 degrees. Exploration work includes 129 m drift along the vein at 720m elevation in PD720 and 17.4 m drift along the vein at 630m elevation through PD630.

H15 Vein
A total of 427 m of tunneling were completed on the vein through main access tunnel PD3, PD630, and PD698. In PD3, 113 m of drift along the vein at 420m elevation expose significant Au, Ag, Pb and Zn mineralization for a true width being as wide as 1.40 m. The rest of tunneling were cross-cuts approaching the vein from 630m and 698m elevations.

H17 Vein
The focus of exploration work during the period was tunneling on the H17 vein. A total of 422 m were completed and majority of work was done through PD3 at 460m, 380m, and 340m elevations. Significant Au-Ag-Pb-Zn mineralization, including massive galena sheets, was exposed. At 380m elevation, a 4.4 m wide (true width) high grade pocket was intersected, containing 3.37 g/t Au, 176 g/t Ag, 7.86% Pb, and 1.49% Zn. At 720m level, 32 m of drifting exposed Au-Ag mineralization, averaging 6.02 g/t Au and 84.3 g/t Ag over 1.10 m true width.

H32 Vein
On the surface, the vein was mapped out for 240 m. The vein strikes north-south and dips to east at 60 to 70 degree of dipping angle. A total of 204 m of tunneling was done on the vein. At 688m elevation, 110 m of drift was developed along the vein through PD688. Through PD638, a 62 m raise was driven along the vein to the 688m level, and significant mineralization was intersected. Assay results from the raise samples are pending.

Table: Tunnel Assay Results

Mineralized Veins	Tunnels	Elavation (m)	True Width (m)	Au (g/t)	Ag (g/t)	Pb (%)	Zn (%)	Ag Equiv* (g/t)	Ag Equiv* (oz/t)
H15	PD3-H15-420-NYM	420	1.00	0.47	51	4.06	3.22	382	12.27
	PD3-H15-420-NYM	420	1.30	1.23	84	9.45	1.42	566	18.20
	PD3-H15-420-NYM	420	1.00	1.56	68	1.60	2.55	277	8.91
	PD3-H15-420-NYM	420	1.00	1.15	120	13.80	0.11	722	23.22
	PD3-H15-420-NYM	420	1.00	2.94	69	3.19	2.10	341	10.98
H15-1	PD720-H15-1-735- NYM	735	0.40	1.43	65	2.68	0.24	207	6.67
	PD720-H15-1-735- NYM	735	0.40	3.16	37	0.68	0.15	114	3.66
	PD720-H15-1-735- NYM	735	0.30	1.72	216	5.33	0.14	469	15.09
	PD720-H15-1-735- SYM	720	0.80	14.40	81	0.85	0.33	318	10.22
	PD720-H15-1-735- SYM	720	0.70	0.05	175	0.60		201	6.46
	PD720-H15-1-735- SYM	720	0.40	5.03	766	17.23	0.08	1561	50.20
	PD720-H15-1-735- SYM	720	0.40	1.23	90	2.87		227	7.30
H17	PD3-H17-380-SYM- CM1	380	4.40	3.37	176	7.86	1.49	622	20.00
	PD3-H17-360-YM	360	2.70	0.54	324	29.53	0.23	1652	53.11
	PD3-H17-360-YM	360	2.50	1.03	415	50.89	0.09	3404	109.43
	PD3-H17-360-YM	360	3.10	1.88	76	2.95	0.33	620	19.93
	P03-H17-360-YM	360	0.40	0.73	48	15.11	0.36	102	3.26
	PD3-H17-360-YM	360	2.00	0.26	79	28.87	0.09	217	6.96
	PD3-H17-340-SYM	340	0.15	2.45	126	4.35	4.86	572	18.39
	PD3-H17-340-SYM	340	0.35	0.87	319	19.64	25.11	2351	75.57
	PD3-H17-340-SYM	340	1.10	0.15	41	3.58	0.92	237	7.63
	PD3-H17-340-SYM	340	0.30	1.07	121	37.17	6.36	2005	64.47
	PD3-H17-340-SYM	340	1.00	0.76	96	1.36	1.67	243	7.81
	PD3-H17-340-SYM	340	1.45	0.91	57	3.35	3.76	389	12.50
	PD3-H17-340-SYM	340	0.90	5.21	208	16.80	4.79	1211	38.94
	PD3-H17-340-SYM	340	1.00	1.45	89	18.86	3.38	1064	34.21
	PD3-H17-340-SYM	340	1.00	5.79	351	3.00	5.03	791	25.43
H32	PD688-H32-688-NYM	688	0.10	0.14	24	3.82	0.03	188	6.05
	PD688-H32-688-NYM	688	0.10	0.27	72	17.20	0.90	844	27.13
	PD688-H32-688-NYM	688	0.80	0.19	27	2.47	0.06	136	4.37
	PD688-H32-688-NYM	688	0.50	1.82	347	12.32	0.10	895	28.79
	PD688-H32-688-NYM	688	0.35	1.37	234	11.62	1.20	799	25.68
	PD688-H32-688-NYM	688	0.25	0.23	125	26.19	1.28	1294	41.60
	PD688-H32-688-NYM	688	0.35	0.23	74	12.34	0.26	610	19.60
	PD688-H32-688-NYM	688	0.15	0.67	59	1.32	0.53	148	4.76
	PD688-H32-688-NYM	688	0.20	0.57	92	15.68	0.86	802	25.78
	PD688-H32-688-NYM	688	0.15	0.49	143	14.65	1.37	832	26.76
	PD688-H32-688-NYM	688	0.20	3.46	77	14.82	0.08	751	24.13

*Ag Equivalent is calculated on the basis of US$6.5/oz Ag, US$400/oz Au, US$0.40/lb for Pb, and US$0.45/lb for Zn. Calculations reflect gross metal content and have not been adjusted for metallurgical recoveries.

Re-Appointment of Myles Gao as President
Effective July 16, 2007, upon completion of her current employment contract with Silvercorp, Ms. Cathy Fong will cease to be the President of Silvercorp. Mr. Myles Gao will resume the position as President of Silvercorp, which he previously held from March 2003 to August 2006. Silvercorp would like to thank Ms. Fong for her efforts and hard work over the past two years for Silvercorp, and wishes her well in her future endeavours.

Myles Gao is a Director of Silvercorp, General Manager of the Ying Silver Mines, and Executive Director of Huawei. Mr. Gao, a professional geologist, has worked in the mineral resource industry since 1983, is a member of the Association of Professional Geoscientists of Ontario and a member of the Association of Professional Engineers and Geoscientists of British Columbia.

Quality Control
Rock samples were collected by channel sampling the face of the undercut drifts. The channels were usually cut 10 cm in width and 5 cm in depth producing a sample weighing approximately 2 kg to 10 kg for each 0.10 to 1.00 m interval depending on the thickness of mineralization. Drill cores are NQ size and drill core samples were taken from sawn half core limited by apparent massive galena sheet contact or shear/alteration contact.

The Company has implemented a quality control program to ensure best practice in sampling and analysis of the tunnel samples. The samples are shipped directly in security sealed bags to two labs: Analytical Lab of No. 6 Team of Henan Non-Ferrous Metals Geological and Mineral Resources Bureau in Luoyang located 125km by road northeast of the HPG Project Area and the Langfang Institute of Geochemical and Geophysical Exploration (Certification ISO 9001), a well-regarded analytical laboratory in Langfang, Hebei Province near Beijing.

The sample preparation consists of drying, crushing, and splitting of the sample to 150 grams, then the sample is pulverized to 200 mesh. Au, Ag, Pb and Zn were analyzed by a 3 hour hot aqua regia digestion on 30 gram samples with an AA finish.

Myles Gao, P.Geo, is the Qualified Person on the project under NI 43-101.

SILVERCORP METALS INC.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS

Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to update any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.57

Exhibit 99.57

PRESS RELEASE

Trading Symbol: SVM.TO May 16, 2007

SILVERCORP TO REPORT 2007 FOURTH QUARTER AND YEAR END RESULTS ON
JUNE 10, 2007

VANCOUVER, British Columbia – May 16, 2007 – Silvercorp Metals Inc. (the “Company”) announced today that it will release its fourth quarter financial highlights and audited financial results for year ended March 31, 2007 on June 10, 2007.

About Silvercorp Metals Inc.

Silvercorp Metals Inc., an exploration and development stage company, along with its subsidiary companies and joint ventures (collectively the “Company”) are engaged in the acquisition, exploration, development, and mining of precious and base metal mineral properties in the People’s Republic of China (“China”). Currently, Silvercorp’s main mining operations are the Ying Silver-Lead-Zinc mine (“Ying Project” or “Ying Silver Project”) and the Hou-Ping Gou Silver-Gold-Lead-Zinc mine (“HPG Project”), owned through its 77.5% and 60% Chinese subsidiary company, respectively. The Company is a reporting issuer in British Columbia, Alberta, Ontario, Nova Scotia, New Brunswick, Manitoba, and Saskatchewan and trades on the TSX Exchange under the symbol SVM.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Cathy Fong, President. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca, Website: www.silvercorp.ca

CAUTIONARY DISCLAIMER -- FORWARD LOOKING STATEMENTS
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in mineral exploration, development, and mining. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability. As a result, actual results may vary materially from those described in the forward-looking statements. There can be no assurance that such forward-looking statements 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 such statements. The Company does not undertake to updat e any forward-looking statements that are incorporated by reference herein, except in accordance with applicable securities laws. The Company expressly disclaims any obligation to update any forward-looking statements. We seek safe harbour.

EX-99.58

Exhibit 99.58

PRESS RELEASE

Trading Symbol: SVM:TSX April 16, 2007

Silvercorp Signed Agreement to Participate in Constructing a New Lead
Smelter in Luoning County, Henan, China

VANCOUVER, BRITISH COLUMBIA – April 16, 2007 - Silvercorp Metals Inc. ("Silvercorp") announces that through its 77.5% subsidiary, Henan Found, it has signed a joint venture agreement with three Chinese mining companies Luoyang Luanchuan Molybdenum Group Inc. (“Luomu”), HT Mining Co. Ltd (“HT Mining”), and Luochuan Xinchuan Mining Co. Ltd (“LX Mining”) to build a 150,000-tonne/year lead-silver-gold smelter in Luoning County, Luoyang City, Henan Province, China. Under the agreement, Luomu will have a 51% interest, Henan Found and HT Mining each will have a 22.5% interest and LX Mining will hold a 4% interest in the smelter. Capital contributions to fund the smelter project will be made pro-rata. The construction of the smelter has received preliminary approval from the Henan provincial government and is subject to further approval by relate d Chinese governmental authorities.

The proposed smelter will use the SKS lead smelting process (“SKS process”) that has been highly recommended by the Chinese Government. The SKS process (an invention from China utilizes oxidizing process in the bottom blowing furnace and reduces smelting in the blast furnace) is considered to be one of the most advanced lead smelting technologies due to its advantages in environmental friendliness, reduced energy consumption, higher metal recovery, longer furnace life, lower capital cost and ease of maintenance. In China, six smelters have been built using the SKS process and five more such smelters are under construction and will be in commercial production this year. This new smelter complies with current government requirements and is expected to replace some of the lead smelter capacity recently shut down due to environment concerns.

The smelter is expected to be completed in two phases to reach its final 150,000-tonne/year electrolyte lead capacity. The first phase of the smelter is designed to produce 80,000 tonnes of electrolyte lead per year. Construction and installation of the first phase of the smelter will take approximately 18 months. After first phase completion, the smelter is designed to produce 80,000 tonnes of lead electrolyte, 7 million ounces of silver, 71,000 ounces of gold, 6,910 tonnes of zinc ashes (61% Zn), 1,265 tonnes of copper snug (40% Cu), and 86,600 tonnes of sulphuric acid annually.

The capital cost of the first phase smelter is estimated to be approximately US$25.9 million based on the Engineering Design by a Class A Qualification Chinese Engineering firm based in Beijing. Henan Found’s share of the cost will thus be US$5.83 million and will be financed by cash flow from its Ying Silver Mine. In order to support the project, the Luoning County government will cover all costs for the access road, power and water lines, and land preparations.

It is expected that the new smelter will improve current sale prices for silver, lead, zinc and gold for all the partners. The smelter will have the first right to purchase, at prevailing market prices, all lead-silver and gold concentrates produced by mines from the four participants in the smelter, including Silvercorp’s Ying and HPG mines. The proposed smelter is about 48 km road distance from Silvercorp’s newly built 600 t/d mill.

About Luomu, HT Mining, and LX Mining
Luomu, produces as much as 24 million pounds of molybdenum per year, is 52% owned by the Luoyang City government and will be listed on the Hong Kong Stock Exchange in late April 2007 under the name China Molybdenum Co., Ltd., in a US$886 million IPO. Luomu acquired three producing gold mines from the Luoning County government in 2006, which produce 41,000 ounces of gold per year. HT Mining, Silvercorp’s joint venture partner on the HPG Gold-Silver-Lead Project, is a private company and operates several gold and silver-lead mines in Luoning County. LX Mining is also a private company and controls 70% of the lead resources in Luochuan County, due south of Luoning County. LX Mining operates twelve lead mines.

SILVERCORP METALS INC.

For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Cathy Fong, President. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca Website: www.silvercorp.ca

Statements in this press release other than purely historical information, including statements relating to Silvercorp's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in Silvercorp's business, including risks inherent in mineral exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability.

EX-99.59

Exhibit 99.59

PRESS RELEASE

Trading Symbol: SVM.TO April 12, 2007

Silvercorp Announces Commencement of Drill Program on the NPG Molybdenum Project
Within the Ying Silver Project Permit Area, Henan, China

VANCOUVER, BRITISH COLUMBIA – April 12, 2007 - Silvercorp Metals Inc. ("Silvercorp") is pleased to announce that it has commenced the first phase 5000 metre (“m”) drill program on the NPG Molybdenum Project (“Ying Moly Project”) located within the Ying Silver Mining Permit area, Henan, China The Ying Moly Project was first discovered through regional geochemical survey by the previous property owner and was further defined by a detailed soil geochemical survey which revealed a 1,000m by 1,000m molybdenum soil geochemical anomaly in 1985. Since 2004 the Ying Moly Project site was the subject of illegal mining by a third party who constructed a 200 tonne per day mill on site to treat the molybdenum ores. In July 2006, a settlement was reached with the third party, its mining activity was stopped, and Silvercorp, through its 77.5% subsidiary Henan Fou nd Mining Co. Ltd. (“Henan Found”), took over the Ying Moly Project. In November 2006, a five kilometre access road from the SGX (Ying) silver mining camp to the Ying Moly Property was completed, and power supply restored.

During the last two months, old mining tunnels were mapped and over 600m of cross tunnels were developed along NPD701, NPD801, and NPD1 tunnels (visit www.silvercorp.ca under Ying Moly Project). Based on this work, an east-west trending area of 300m wide by over 600m long (open at both ends) molybdenum mineralization was mapped out to be located within the centre of the 1,000m by 1,000m molybdenum soil geochemical anomalies. Within this 300m wide zone, four east-west extending molybdenum mineralization trends of 8 to 15m in width dipping north at about 75 degree are easily observed in the cross-cut tunnels of NPD701, NPD801 and NPD1 where densely quartz-molybdenite (molybdenum-bearing sulfide mineral) vein-lets or stockworks and disseminated molybdenite-silicification have developed on the diabase dykes or apalites with locally massive molybdenite occurring. Between the four strongly molybdenum mineralization trends, l ower grade Molybdenum mineralization occurs where molybdenite fine vein-lets filled in the joints or fractures developed within the host rocks of gneisses or diabase dykes. Systematic channel samples have been taken along the three cross-cut tunnels and assay results are pending. An initial 8-hole, 5,000m drill program is designed to further delineate moly mineralization at depth using two Longyear drill rigs. The first drill has been mobilized to on the site and the second rig will arrive at the site in ten days.

Geologically, the Ying Moly Project is located in the Xiao-Qin-Ling Metallurgical Belt, where prolific molybdenum mineralization and molybdenum mines, are related to Mesozoic granitic porphyries, which may be the heat sources for the surrounding silver, lead, zinc and gold occurrences. The mines of Jinduicheng Molybdenum Group Co. and China Molybdenum Co. Ltd., China’s two largest Molybdenum Miners are all located in the Xiao-Qin-Ling Metallurgical Belt. Jinduicheng Molybdenum operates a 25 million pounds per year Molybdenum mine about 120 km west of the Ying

Moly Project area, and China Molybdenum’s 24 million pounds per year Molybdenum mine is only 40 km south of the Ying Moly Project. Surrounding China Molybdenum’s open pit mine, numerous lead-silver deposits occur and mines exist.

According to several news sources, including Reuters and The Globe and Mail, Jinduicheng Molybdenum is planning a Hong Kong IPO to raise US$1 billion, whereas China Molybdenum is raising as much as US$886 million also in a Hong Kong IPO this month.

Update on the 600 tonne per day Flotation Mill for the Ying Silver Mine
The 600 tonnes per day flotation mill and associated tailing dam facilities for the Ying Silver Mine is completed and has been in a test run since Mid-March. The mill has reached a capacity of about 750 tonnes per day since April 1st. While government authorities allow Henan Found to test run the mill, it is subject to inspection by authorities for environmental and safety qualifications before formal commercial production will be allowed. It is expected to pass the government inspection in several months.

Stock Options
Silvercorp also announces that incentive stock options of 308,000 shares have been granted to officers, directors, employees and consultants pursuant to the stock option plan.

Quality Control
Quality Control/Quality Assurance Program is disclosed in the January 22, 2007 press release.

Myles Gao, P.Geo, is the Qualified Person on the project under NI 43-101. Exploration and mining at the Ying mine and on the Ying Moly Project is being carried out through Silvercorp’s 77.5% subsidiary, Henan Found, which holds 100% of the Ying Project and operates under a 30-year business license.

SILVERCORP METALS INC.
For further information: SILVERCORP METALS INC., Rui Feng, Chairman & CEO, Cathy Fong, President. Phone: (604) 669-9397, fax: (604) 669-9387, Email: info@silvercorp.ca Website: www.silvercorp.ca

Statements in this press release other than purely historical information, including statements relating to Silvercorp's future plans and objectives or expected results, constitute forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in Silvercorp's business, including risks inherent in mineral exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements. Production and revenue projections are based not on mineral reserves but on mineral resources which do not have demonstrated economic viability.

EX-99.60

Exhibit 99.60

TECHNICAL REPORT

Update on the

Ying Silver-Lead-Zinc and

HPG Gold-Silver-Lead Projects

Henan Province,

People’s Republic of China

Prepared for

Silvercorp Metals Inc.

Prepared by
Chris Broili, C.P. Geo. & L.P. Geo.
Mel Klohn, L.P. Geo.

BK Exploration Associates
August 16, 2007

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

TABLE OF CONTENTS

			PAGE
1.	SUMMARY		4
2.	INTRODUCTION		7
3.	RELIANCE ON OTHER EXPERTS		8
4.	PROPERTY DESCRIPTION AND LOCATION		9
5.	ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE, AND PHYSIOGRAPHY		13
6.	HISTORY		14
7.	GEOLOGICAL SETTING		16
	7.1 REGIONAL GEOLOGY		16
	7.2 PROPERTY GEOLOGY		16
8.	DEPOSIT TYPE		18
9.	MINERALIZATION AND ALTERATION		20
10.	EXPLORATION WORK		28
11.	TUNNELING AND DRILLING		31
12.	SAMPLING METHOD AND APPROACH		36
13.	SAMPLE PREPARATION, ANALYSES, AND SECURITY		37
14.	DATA VERIFICATION		38
15.	ADJACENT PROPERTIES		39
16.	MINERAL PROCESSING AND METALLURGY		40
	16.1 SPECIFIC GRAVITY		40
17.	MINERAL RESOURCE ESTIMATES		42
	17.1 RESOURCE DATA		46
	17.2 RESOURCE GEOLOGY		46
	17.3 RESOURCE ESTIMATES		47
18.	OTHER RELEVANT DATA AND INFORMATION		60
19.	INTERPRETATION AND CONCLUSIONS		62
20.	RECOMMENDATIONS		63
21.	REFERENCES		64
22.	DATE AND SIGNATURE PAGE		65
CERTIFICATE OF QUALIFIED PERSON			66
CERTIFICATE OF QUALIFIED PERSON			67
CONSENT OF AUTHORS		.	68
APPENDIX I DRILL HOLE ASSAY RESULTS			69
APPENDIX II DRILL HOLE COLLAR DOWNHOLE SURVEY			70
APPENDIX III CORE RECOVERIES			77
APPENDIX IV MINERALIZATION RATIOS			79

 

BK Exploration Associates 2

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

LIST OF FIGURES

	PAGE
Figure 1: Geology and Location Map of Western Henan	10
Figure 2: Project and Mill Location	12
Figure 3: Property Geology and Vein Locations	21
Figure 4: Tunnel and Veins at SGX Area	23
Figure 5: Cross Section on Exploration Line 56	27
Figure 6: Longitudinal Projection of S14 Vein	50
Figure 7: Longitudinal Projection of S16W Vein	51
Figure 8: Longitudinal Projection of S21 Vein	52
Figure 9: Tunnels and Veins at HPG Area	53
Figure 10: Cross Section on Exploration Line 16	54
Figure 11: Longitudinal Projection of H15 Vein	55
Figure 12: Longitudinal Projection of H17 Vein	56
Figure 13: Tunnels and Veins at HZG Area	57
Figure 14: Longitudinal Projection of H20 Vein	58
Figure 15: Longitudinal Projection of H22 Vein	59

BK Exploration Associates 3

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

1. SUMMARY

The Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects are in the Luoning area of western Henan Province of central China. Several recent 43-101-compliant Technical Reports have described the Ying Project in its various stages of exploration history (Broili, 2004; Broili 2005; Broili, et.al., 2006). The most recent of these reports (Broili, et.al., 2006) provided an updated resource estimate, current as of May 26, 2006, together with a scoping-level review of the expected economic viability of the project. Another Technical Report prepared about the same time by SRK (Xu et.al., 2006) offered a review of the HPG Project adjacent to Ying. At the time, the data on the HPG Project, which was subsequently acquired by Silvercorp, were insufficient to provide a resource estimate for that project. The current technical report (this report) was commissioned by Silvercorp Metals Inc. (“Silvercorp”) to offer updated resource estimates and an update of exploration activities for the entir e Project area which now the HPG Area as well as Ying.

The Ying Project is the result of a joint venture in which Silvercorp has a 77.5% interest in Henan Found Mining Ltd (“Found”), the 100% owners of the Ying project. In addition, Silvercorp also has a joint venture with Luoning Huatai Mining Development Co., Ltd ("Huatai") in which Silvercorp can earn as much as 70% interest in the HPG project which will be managed by Henan Huawei Mining Co. Ltd. (“Huawei”).

Silvercorp’s Ying Project includes six Exploration Permits totaling 50.50 km²and a Mining Permit covering 9.95 km²over the Sha Gou (“SGX”) Area. During 2007, Silvercorp additionally acquired the adjacent Haopinggou (“HPG”) property which includes an Exploration Permit covering 5.86 km²and two Mining Permits covering 0.54 km².

All necessary Chinese government business licenses and mining permits have been issued to Found. The mining permit is in the process of being transferred from Huatai to Huawei. Huatai will retain the exploration permit to convert to a mining permit, then transfer it to Huawei. Mr. Myles Gao, P. Geo., President of Silvercorp, is the General Manager of Found. Reference to Silvercorp in this report includes, where appropriate, reference to Found or Huawei which owns and operates both the Ying and HPG projects.

The Ying property has two operating mines, SGX and HPG, with many mineralized veins remaining to be explored. The mineral deposit type is similar to the mesothermal veins of the Coeur d’Alene District, U.S.A. The mineralization occurs as a multitude of quartz-ankerite veins in north- to northeast-trending fault-fissure zones that cut Precambrian-age mafic and felsic gneisses. Individual veins are often a kilometer or more long and typically a meter or less wide. The controlling structures are sometimes filled by altered andesite or diabase dikes, or are identified only as alteration selvages up to 2 meters or more wide within the gneiss. Exploration to date has focused on the veins and alteration zones of three separate areas: SGX (along the west edge of the Ying project), HPG (east of SGX in the north-central part of the Ying project) and HZG (south of SGX in the southwest corner of the Ying project). Underground exploration-development workings have discovered many veins or vein splay s that are not exposed at the surface.

BK Exploration Associates 4

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Since Silvercorp’s first exploration works at Ying in August, 2004, until now (August, 2007) a total of 63,487 m of tunnels, drifts, declines, raises or shafts have been completed and 78,581 m of underground and surface drilling has been done (280 total holes). The underground work and drilling have focused primarily on 18 of 28 known veins in the SGX Area, on 8 of more than 20 known veins in the HPG Area, and on 4 currently known veins in the HZG Area.

The recent work on the Ying Property has defined silver-lead-zinc mineral resources at SGX, silver-lead-zinc-gold at HPG and silver-lead-copper-gold at HZG. The 18 veins at SGX are discrete tabular quartz-ankerite veins with massive sulfide zones that average 0.39 m wide. The 8 veins at HPG are quartz-sericite-carbonate veins with massive sulfide zones that average 0.96 m wide. The 4 veins at HZG are quartz-ankerite-fuchsite veins with sulfide filled fracture zones that average 0.78 m wide.

These veins were defined by either channel sampling new underground tunnels or underground drilling. To estimate the mineral resources contained in these veins, resource block models were constructed with polygonal methods on longitudinal vein sections using the same parameters – cutoff grade, cutoff thickness, area of influence, etc. – as those used in the last Ying resource estimation done one year ago (Broili et al, 2006).

The current estimated mineral resources of the 29 veins explored by Silvercorp to date in the SGX, HZG and HPG area are as follows:

Ying Project - Summary of Mineral Resources

										Contained Metals
	Width (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Au (g/t)	Pb (%)	Zn (%)	Cu (%)	eq-Ag (g/t)	Ag (oz)	Pb (t)	Zn (t)	Cu (t)	Au (oz)	eq-Ag (oz)
SGX Area - High-grade
Measured	0.50	215,173	1,250	40.18		20.41	9.14		2,545	8,646,679	44,450	21,817	523		17,607,571
Indicated	0.43	787,089	1,227	39.46		21.54	7.14		2,475	31,058,205	169,515	56,232	479		62,638,615
Meas + Ind	0.44	1,002,261	1,232	39.62		21.30	7.57		2,490	39,704,887	205,956	73,381	1,001		80,246,081
Inferred	0.44	1,707,850	1,219	39.19		21.80	7.57		2,498	61,447,487	345,936	122,480	3,333		137,180,776
SGX Area - Low-grade
Measured	0.50	48,770	281	9.02		6.13	6.84		865	528,119	3,459	3,641			1,553,133
Indicated	0.41	750,329	223	7.18		3.55	3.86		560	5,390,121	26,661	28,936		1,324	12,769,092
Meas + Ind	0.42	799,099	227	7.30		3.71	4.04		578	5,830,237	29,568	32,179		1,324	18,541,705
HZG Area
Indicated	0.78	248,484	598	19.23		1.76		0.78	796	4,777,198	4,364		1,941		6,356,729
Inferred	0.62	271,042	552	19.23		1.40		0.43	679	4,807,002	3,784		1,176		5,916,975
HPG Area
Measured	0.99	35,226	117	3.77	1.41	6.28	1.28		519	132,794	2,174	261		1,594	553,359
Indicated	0.95	166,661	67	2.15	2.33	3.52	0.30		355	357,887	5,859	502		12,476	1,901,060
Meas + Ind	0.96	201,887	76	2.43	2.15	3.95	0.38		376	490,687	8,033	763		14,069	2,454,419
Inferred	0.96	1,513,222	120	3.85	1.41	6.68	2.17		581	5,824,580	101,017	32,906		68,706	28,250,515
Ying Project - Total Estimated Mineral Resources
Measured		299,169								9,307,592	50,084	25,719	523	1,594	19,714,063
Indicated		1,952,563								41,583,412	206,400	85,670	2,419	13,800	83,665,496
Meas + Ind		2,251,731								50,891,004	256,483	111,389	2,942	15,393	103,379,559
Inferred		3,492,114								72,079,069	450,737	155,386	4,509	68,706	171,348,265

Note: The equivalent-Ag calculation is explained previously in this chapter. It reflects gross metal content using the metal prices cited earlier and has not been adjusted for metallurgical recoveries.

BK Exploration Associates 5

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

This estimated resource (measured plus indicated) is 30% greater than the resource reported in the previous resource estimation (the 2006 Report by Broili, et.al.). This is largely due to the fact that the new estimation is based on 18 veins at SGX as compared to only 14 veins in the 2005 Report, and the two new areas, HPG and HXG have added 8 veins and 4 veins respectively.

A recently constructed mill, 17 km from the Ying property, is now operating at 800 tpd capacity. With production underway in two operating mines, exploration is now expanding into other parts of the Ying project. Two new areas with increased exploration effort will be XM, immediately northwest of HPG, and RHW near the east margin of the Ying project.

A Phase 4 exploration program of geophysics, mapping and continued tunneling and drilling is recommended to help discover and define additional mineral resources within the Ying and HPG Project Areas and to upgrade existing mineral resources from inferred to indicated and from indicated to measured. The proposed budget for this program is US$7.47 million.

BK Exploration Associates 6

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

2. INTRODUCTION

During May 2007, Chris Broili and Mel Klohn, acting as BK Exploration Associates, were asked by Silvercorp Metals Inc. to review the latest property and resource data from their Ying Project in China in order to prepare a NI 43-101-compliant Technical Report (this report) providing an update of the project and resource information.

The previous project and resource update was a NI 43-101 Technical Report dated May 26, 2006 (Broili et.al., 2006). At that time, most exploration-development work and all defined resources were confined to a single prospect, the SGX Area. Further, the resource estimate then was prepared using a single high cutoff grade; a substantial amount of lower-grade material of possible future interest had not yet been quantified.

The primary purpose of this new Technical Report is to provide an updated resource estimate of the Ying Project. The new estimate includes resources newly identified during the past year on two other exploration-development prospects, the HPG Area and the HZG Area, as well new and upgraded resources from the SGX Area. Additionally, the lower-grade material has now been quantified and is separately tabulated in this report as a possible low-grade resource.

On July 15, 2007, Mr. Klohn, one of the authors of this report, traveled to China and spent six days at the Ying and HPG Projects reviewing data and visiting the Project’s three currently active exploration and development areas: the SGX Area, the HPG Area and the HZG Area. The principal focus was to examine and audit current resource information in detail and visit underground workings representative of new resource blocks that had been defined in each of the three exploration/development areas. During this review and site visit, Mr. Klohn was accompanied and assisted by Mr. Jiawen Wang, the Chief Geologist for Found and Mr. Myles Gao, P. Geo., President of Silvercorp. Mr. Gao also helped in translating data and information while providing other material assistance for this report.

Except for the new project and resource information presented herein, much of the information in this report has been extracted from the recent series of Technical Reports prepared on the Ying Project for Silvercorp, specifically:

Broili, 2004
Broili, 2005
Broili, Klohn, Yee, Fong and Petrina, 2006
Xu, Schrimpf and Liu, 2006.

Full citations of these previous Technical Reports, as well as other relevant information sources, are provided in the References Chapter included in this report.

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Silvercorp Metals Inc.

3. RELIANCE ON OTHER EXPERTS

In preparing this report, we (the authors) have relied heavily on the various data and reports supplied by Silvercorp. During his visit to the Ying Project, Mr. Klohn reviewed the current field and resource data from the Projects and discussed the data in detail with the Silvercorp technical staff. The data were collected and prepared by competent persons supervised by Myles Gao, P.Geo., a Qualified Person as defined by NI 43-101. Overall, the data are professionally organized, well-documented, comprehensive and generally complete.

Most of the information and sample data used in preparing this report were originally compiled in Chinese and subsequently translated into English by Dr. Yiefei Jia, (Ph.D. Geol.), Mr. Myles Gao, P. Geol., President of Silvercorp, and Dr. Rui Feng (Ph.D., Geol.), CEO of Silvercorp. While we cannot vouch for the veracity of these translations, we assume the translations are reliable because all these persons are fluent in Chinese, competent in English and have experience in translating technical documents.

In this report, we have liberally borrowed or extracted information contained in the earlier Technical Reports, as noted in the previous Introduction chapter. Because the earlier Technical Reports are all NI 43-101 compliant and were prepared by Qualified Persons as defined by NI 43-101, we find no reason to question the veracity of this borrowed information.

Disclaimer

We believe the information contained in this report is generally complete and reliable, but we disclaim the absolute accuracy or completeness of the data supplied to us. We do not accept responsibility for any errors or omissions in the supplied information and do not accept any consequential liability arising from commercial decisions or actions resulting from them.

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Silvercorp Metals Inc.

4. PROPERTY DESCRIPTION AND LOCATION

The Ying Silver-Lead-Zinc Project (“Ying”) and HPG Gold-Silver-Lead Project (“HPG”) are located in western Henan Province at latitude 34º07’ to 34º12’ N and longitude 111º14’ to 111º22’ E (Figures 1 & 2).

The Ying Project is currently covered by one Mining Permit and six Exploration Permits. HPG is covered by two Mining Permits and one Exploration Permit. These permits are as follows:

Permit	YING PROJECT AREA	Area (km2)
1	Mining Permit No. 4100000610045 expires May, 2014 Yuelianggou Ag project	9.95
2	Exploration Permit No. 4100000740232 expires June 19, 2008 Qiaogoubei Ag project	3.55
3	Exploration Permit No. 4100000640561 expires November 2, 2007 Qiaogou Ag project	1.42
4	Exploration Permit No. 0100000730232 expires June 06, 2009    Ximiao- Leileisi Au project	12.34
5	Exploration Permit No. 0100000520145 expires November 03,2007 Shagou Ag project	7.10
6	Exploration Permit No. 4100000620073 – expires on December 5, 2007 Luoning County Sidaogou – Lushi County Lijiagou Ag project	19.70
7	Exploration Permit No. 4100000620377 – expires on July 29, 2008 Dong Cao Gou Au project	6.39
HPG PROJECT AREA
8	Mining Permit No. 4100000410514 expires April, 2009	0.39
9	Mining Permit No. 4100000620027 expires August, 2015	0.15
10	Exploration Permit No. 4100000520048 expired February 11, 2006	5.86
	Mining Total	10.49
	Exploration Total	56.36

The existing permits cover all of the target areas outlined in the present report.

Exploration permits can be renewed by the payment of further rental fees. Surface rights for mining purposes are not included in the permits but can be acquired by payment of a purchase fee based on the appraised value of the land. Subject to negotiation, some land use compensation fees may also be due to the local farmers if their agricultural land is disturbed by exploratory work. The exploration permits give the right to carry out all the exploration presently contemplated and no additional permitting is required.

There are no known or recognized environmental problems that might preclude or inhibit a mining operation in this area. Some major land purchases may be required in the future for mine infrastructure purposes (processing plant, waste disposal, office and accommodations).

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Silvercorp Metals Inc.

Figure 1: Geology and Location Map of Western Henan

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Silvercorp Metals Inc.

The existing land agreements are as follows:

Ying Project

A co-operative joint venture contract dated April 15, 2004, was consummated between Victor Mining Ltd. (“Victor”), which is the wholly owned British Virgin Islands subsidiary of Silvercorp Metals Inc. (“Silvercorp”), and Henan Non-Ferrous Geological & Mineral Resources Co. Ltd. (“HNGMR”). Pursuant to the joint venture contract, a Chinese cooperative joint venture company, Henan Found Mining Ltd. (“Found”), was established to hold 100% of Ying Project. Victor consummated the obligation and now owns 77.5% interest in Found.

The Ying Mining Permits controlled by Found encompass 9.95 km² and Exploration permits encompass 50.50 km².

HPG Project

A co-operative joint venture contract dated March 31, 2006, was consummated between Victor Resources Ltd., which is the wholly owned British Virgin Islands subsidiary of Silvercorp, and Luoning Huatai Mining Development Co., Ltd. (“Huatai”). Pursuant to the joint venture contract, a Chinese co-operative joint venture company, Henan Huawei Mining Co. Ltd. (“Huawei”), was established to hold 60% of the HPG Project. Victor Resources is obligated to pay a total of C$6.00 million to Huatai in installments to acquire a 60% interest in Huawei. In 2007, Silvercorp signed an agreement to purchase an additional 20% interest of Huawei from its JV partner, Huatai, in which 10% interest will be held in trust for a shareholder of Huatai. Total consideration for the 20% interest is C$1.98 million with Silvercorp's share of C$0.99 million paid in full. While government approval is expected shortly, Silvercorp is now entitled to 70% interest of Huawei.

The HPG Mining Permits are in the process of being transferred to Huawei. The HPG Exploration Permit is being held by Huatai who will apply for Mining Permit and then transfer it to Huawei upon issuance of the Mining Permit. The HPG Mining Permits controlled by Huawei encompass 0.54 km² and Exploration permits encompass 5.86 km².

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Silvercorp Metals Inc.

Figure 2: Project and Mill Location

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Silvercorp Metals Inc.

5. ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE, AND PHYSIOGRAPHY

The Ying and HPG Projects are about 240 km west-southwest of Zhengzhou (pop. 7.0 million), the capital city of Henan Province, and 80 km west of Luoyang (pop. 1.4 million), the nearest major city (Figure 1). Both of these cities are served by airlines with regular flights to Beijing and other major population centers. The nearest small city to the Ying Project is Luoning (pop. 80,000+), about 40 km by paved roads from the Ying mill site in the central part of the Project. The mill site is about 15 km by paved road from the Guxian Reservoir, and the Project’s main exploration-development camp, the SGX Camp, is accessed via a 30-minute ferry ride across the Reservoir.

Much of the project area is rugged, deeply dissected mountainous terrain with elevations ranging from 300 to 1,200 m above sea level. Hill slopes are steep, commonly exceeding 25^o, and the rock exposures on these hillsides range from fair to good. Almost all of the mineralization and significant geochemical and geophysical anomalies were discovered on the hillsides.

The area has a continental sub-tropical climate with four distinct seasons. Temperature changes are dependent on elevation, with an annual range of -10°C to 38°C and annual average of 15°C. The annual precipitation averages 900 mm, mostly occurring in the July to September rainy season and supplemented by snow and frost occurring from November to March.

The area is sparsely vegetated, consisting mostly of bushes, shrubs, ferns and small trees. The local economy is based on agriculture (wheat, corn, tobacco, medicinal herbs) and mining. Agriculture is confined to the bottoms of the larger stream valleys and to the many terraced hillsides.

There are major power grids adjacent to the property and a power line extends to the SGX Area. Adjacent to the SGX property is a hydropower generating station at the dam that forms the Guxian Reservoir (Fig. 2). This reservoir is on the Luo River, a tributary to the Yellow River. Sufficient manpower is available to serve most exploration or mining operations.

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Silvercorp Metals Inc.

6. HISTORY

Silver-lead-zinc-gold mineralization in the HPG and Ying Project areas has been known and intermittently mined for at least the last several hundred years. The first systematic geological prospecting and exploration was initiated in 1956 by the Chinese government. Detailed summaries of the exploration activities at Ying from 1956 to 2004, when Silvercorp acquired it first interest in the Project, are available in previous recent 43-101 Technical Reports prepared for Silvercorp (Broili, 2004; Broili, 2005; Broili et.al., 2006; Xu et.al., 2006).

When Silvercorp acquired its interest in the Ying Project in 2004, the resource estimate for the project was contained solely within the SGX Area. This resource was reviewed and verified in the first Technical Report (Broili, 2004) as follows:

Resource Category	Resource (Tonnes)	Grade			In Situ Metal Resource
		Ag (g/t)	Pb (%)	Zn (%)	Ag (ounces)	Pb (tonnes)	Zn (tonnes)
Indicated	630,100	412.66	6.57	3.18	8,359,713	41,429	20,015
Inferred	6,901,800	237.33	4.84	3.11	52,663,286	333,983	214,390

From 2004 to March 2005, Silvercorp expanded underground workings on five of the veins in the SGX area. Their work during this period consisted of the following:

a)	tunnel enlarging: 1,271 m
b)	declines: 298 m
c)	undercut drifting: 1,897 m
d)	main tunnel: 497 m
e)	raise: 200 m
f)	ventilation raise: 102 m
g)	underground drilling: 15 holes for 1,376 m
h)	sampling and metallurgical work

This work substantially upgraded and expanded the resources in the SGX Area. These resources, reported in a second NI 43-101 Technical Report (Broili, 2005), are as follows:

Resource Category	Resource (Tonnes)	Grade			In Situ Metal Resource
		Ag (g/t)	Pb (%)	Zn (%)	Ag (ounces)	Pb (tonnes)	Zn (tonnes)
Measured	229,481	1419	33.25	9.88	10,470,661	76,314	22,675
Indicated	190,671	1362	32.16	10.12	8,362,276	61,416	19,329
Inferred	495,205	1539	35.01	9.56	24,502,345	173,394	47,323

From March 2005 to April 2006, Silvercorp continued to expand underground workings in the SGX area, extending their underground exploration to include 14 veins. In addition, reconnaissance exploration was initiated in other areas outside the SGX Area. Work conducted during this period consisted of the following:

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a)	tunnel enlarging: 1,467 m
b)	declines: 817 m
c)	undercut drifting: 18,888 m
d)	main tunnel: 5,216 m
e)	raise: 2,569 m
f)	ventilation raise: 85 m
g)	shaft: 658 m
h)	underground drilling: 79 holes for 12,488 m
i)	surface drilling: 12 holes for 5,209 m
j)	sampling and metallurgical work

Results of this work allowed further upgrading and expansion of the SGX resources, as reported in a third NI 43-101 Technical Report (Broili et.al., 2006). The resource estimate reported in the 2006 report was nearly twice that reported a year earlier in the 2005 report, due largely to the fact that the new estimate was based on parts of 14 veins versus only 5 veins in the previous report. The 2006 resource estimate is as follows:

Mineral Resource Estimates, May 26, 2006

Resource Category	thickness (m)	Tonnes	Ag (g/ t)	Ag (oz/t)	Pb (%)	Zn (%)	Ag Equiv* (g/t)	Contained Metal Resource
								Ag (oz)	Pb (t)	Zn (t)	Ag Equiv* (oz)
Measured	0.49	350,765	1,397	44.92	24.34	9.69	2,884	15,755,537	85,381	34,001	32,524,723
Indicated	0.37	460,854	1,639	52.7	28.11	7.79	3,195	24,288,513	129,557	35,894	47,338,605
Measured + Indicated	0.42	811,620	1,535	49.34	26.48	8.61	3,061	40,044,051	214,938	69,896	79,863,312
Inferred	0.45	1,246,013	1,426	45.86	25.47	9.38	2,946	57,143,860	317,362	116,914	118,030,219

*Ag Equivalent is calculated using US$6.50/oz Ag, US$0.40/lb Pb, and US$0.45/lb Zn Calculations reflect gross metal content and have not been adjusted for metallurgical recoveries.

On March 30, 2006, Silvercorp was issued a mining permit for the SGX Area. A third of the 27,574 m of the underground workings completed since the first Technical Report in 2004, were mine development workings sufficient to immediately support production in 10 of 20 stopes on 7 different veins.

At the time of the last previous Technical Report in May, 2006, 16 shrinkage stopes were being mined, 4 additional stopes were planned and 3 hoist-equipped shafts were being sunk at the Ying Mine. For this reason, the 2006 Technical Report included detailed scoping-level information (prepared by co-authors Yee, Fong, and Petrina) regarding mine planning and economics. Even assuming that the resource reported above was not increased in size, the report concluded that the Ying mining operation would be profitable (Broili, et.al., 2006).

At HPG, a resource generated by tunneling, diamond drilling and trenching was described and examined by Xu et.al., 2006, however they concluded that no valid resource exists by CIM standards.

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

7. GEOLOGICAL SETTING

7.1REGIONALGEOLOGY

The Ying and HPG Projects are within a major west-northwest trending ancient mountain belt known as the Qinling orogenic belt (Figure 1). More than 300 km long, the belt was formed at the joining of two major crustal tectonic plates when these plates collided in Paleozoic time. The tectonic plate to the north, which covers all of Henan Province, is the North China Precambrian plate; the plate on the south, which covers the south half of Hubei Province, Henan’s southern neighbor, is the Yangtze plate. The rocks along this crustal join, which forms the Qinling orogenic belt, are severely folded and broken by many faults, offering optimal structural conditions for the emplacement of a myriad of mineral deposits, and several operating silver-lead-zinc, in addition to Ying, occur along this belt.

The basement beneath the Qinling orogenic belt consists of highly metamorphosed rock units of Archean-age belonging to the North China Precambrian tectonic plate. The basement consists predominantly of felsic to mafic gneisses with minor amphibolites, intrusive gabbros and diabases. The Qinling belt itself is comprised largely of Proterozoic- to Paleozoic-aged sequences of mafic to felsic volcanic rocks with variable amounts of interbedded clastic and carbonate sedimentary rocks. The Qinling rock units have all been weakly metamorphosed to lower greenschist facies, with local areas of stronger metamorphism to lower amphibolite facies. The metamorphosed Qinling belt and Archean basement rocks are overlain by non-metamorphosed sedimentary rock sequences of Mesozoic- to Cenozoic-age, primarily marls and carbonaceous argillites which are capped locally by sandstone-conglomerate sequences. Major intrusives consist of mafic to felsic dikes and stocks of Proterozoic and Mesozoic ages.

The dominant structures in the Qinling orogenic belt are west-northwest trending folds and faults which were generated when the two major tectonic plates collided in Paleozoic time. The faults consist of numerous thrusts having a component of oblique movement and sets of conjugate shear structures that trend either northwest or northeast. These conjugate shear zones, which display features of brittle fracturing such as fault gouge, brecciation and well-defined slickensides, are associated with all the important mineralization recognized along the 300 km orogenic belt. At least three important north-northeast trending mineralized fault sets are recognized in the Ying Project area: 1) Heigou-Luan-Weimosi, deeply seated fault zone, 2) Waxuezi-Qiaoduan fault zone, and 3) Zhuyangguan-Xiaguan fault zone.

7.2PROPERTYGEOLOGY

The Ying and HPG Projects are underlain by a highly metamorphosed basement of Archean-age, rocks, mainly mafic to felsic gneisses formed from mafic to felsic volcanic and sedimentary rock units (Fig. 2). The lowest part of the basement gneiss sequence is about 1 km thick and comprised

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Silvercorp Metals Inc.

of mafic gneiss with local gabbroic dikes and sills that trend north-northeast and dip 30^o to 60^o southeast. This sequence is overlain by a much thicker sequence of thin-bedded quartzo-feldspathic gneiss, which is bounded on the north and west by Proterozoic-age andesitic greenstones along a very high-angle (>70°) “detachment” fault-shear zone. The greenstones have been folded and dip steeply toward the northeast and southwest.

The basement rocks are locally intruded by small granite porphyry stocks of Proterozoic to Paleozoic age and are extensively cut by northeast-trending, high-angle, mostly west-dipping conjugate faults. These faults are sometimes filled with younger andesitic to basaltic diabase dikes, resulting in dike swarms. Continued movement on these same faults has provided openings which are sites for all of the important silver-lead-zinc mineralization in the Project area.

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Silvercorp Metals Inc.

8. DEPOSIT TYPE

The targeted deposit types in the Ying and HPG Projects are “mesothermal silver-lead-zinc veins” as described by Waldemar Lindgren (1933), more recently termed “Cordilleran vein type deposits” by Guilbert and Park (1986), “silver-lead-zinc veins in clastic metasedimentary terranes” by Beaudoin and Sangster (1992), or “polymetallic Ag-Pb-Zn±Au veins” by Lefebure and Church (1996). Mesothermal vein systems are formed at considerable depth (from 600 m to 4000 m or more) by hydrothermal processes in a temperature range of 200^o C to 300^o C.

Classic deposits of this type include the Coeur d’Alene silver district in northern Idaho, U.S.A., one of the largest silver-lead-zinc districts in the world (Park & MacDiarmid, 1970). Other examples include the Kokanee Range and Keno Hill, Canada, the Harz Mountains and Freiberg, Germany and Príbram, Czechoslovakia (Beaudoin and Sangster, 1992).

Common characteristics of these Ag-Pb-Zn-Au vein systems are as follows:

• Usually occur in thick sequences of metamorphosed clastic sedimentary rocks or intermediate to felsic volcanic rocks, but can occur in almost any type of host rock (Lefebure and Church, 1996).
  
  
• Usually occur in areas of strong structural deformation in brittle and brecciated rock units. Mineralization is in altered country rock parallel to anticlinal axes and faults (Park & MacDiarmid, 1970; Sorenson, 1951; McKinstry and Svendsen, 1942).
  
  
• Often found proximal to igneous rocks, either spatially or genetically, but not to intrusions related to porphyry-copper mineralization (Beaudoin and Sangster, 1992). Many veins are associated with dikes which follow the same structures (Lefebure and Church, 1996).
  
  
• Exhibit strong structural control, generally occurring as steep-dipping, narrow, tabular or splayed fissure veins, commonly as sets of parallel and offset veins. Individual veins range from centimeters up to more than 3 m wide, and generally continuous along strike for a few hundred to more than 1000 m in length and depth. Can be 10 m wide or more in stockwork zones (Lefebure and Church, 1996).
  
  
• Veins often display crustiform textures (mineral banding) (Bateman, 1951), locally with open space drusy quartz, cockade and/or collofrom textures. Sulfides are confined to the veins and occur as granular masses, coarse-grained patches and/or disseminations.
  
  
• Wall rock alteration is typically limited in extent – usually only a few to several meters – and consists of sericite, quartz, siderite, ankerite, pyrite and K-feldspar within or proximate to the veins, and chlorite, clay and calcite more distal to the veins.
  
  
• Common ore minerals are galena (PbS), sphalerite (ZnS) and tetrahedrite (Cu,Fe)₁₂Sb₄S₁₃ with lesser amounts of chalcopyrite (CuFeS₂), pyrargyrite (Ag₃SbS₃) or other sulfosalts. Small amounts of acanthite (AgS₂) and native silver may occur but most silver in the veins is

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contained as inclusions in galena or tetrahedrite (silver-bearing tetrahedrite is also known asfreibergite). Copper and gold may increase at depth. Common gangue minerals are quartz,pyrite (FeS₂) and carbonate – usually siderite (FeCO₃) or ankerite (Ca(Fe,Mg,Mn)(CO₃)₂) withdistal calcite (Park & MacDiarmid, 1970; Lefebure and Church, 1996).


• In some cases, mineral zones are formed by multiple hydrothermal events or a telescoped single event rather than zoning about a single point (Beaudoin and Sangster, 1992)
  
  
• Individual vein systems range from several hundred to several million tonnes grading from 5 to 1,500 g/t Ag, 0.5 to 20% Pb and 0.5 to 8% Zn, with exceptional veins being even richer. The larger vein systems continue to be attractive targets because of their high grades and relatively easy benefication (Lefebure and Church, 1996).

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Silvercorp Metals Inc.

9. MINERALIZATION AND ALTERATION

The 53-square kilometer Ying and HPG Project blocks are crossed by a myriad of mesothermal silver-lead-zinc-gold rich quartz-carbonate veins in steeply-dipping fault-fissure zones which cut Precambrian gneiss and greenstone (Fig. 3). To date, Silvercorp’s exploration-development activities have focused on three target areas at Ying:

• SGX – a 9 km² area immediately south of the Guxia Reservoir,
• HPG – a 6 km² area east of the SGX Area, and
• HZG – a 2 km² area adjoining the SGX Area on the south.

Of these three target areas, the SGX Area has received the most attention. At least 28 mineralized vein structures have been identified and mapped in the SGX Area to date, and resources have been defined in 18 of these, compared with only 14 veins with resources a year ago (Broili, et.al., 2006). Additionally more than 20 mineralized veins have been identified in the HPG Area and resources have been defined in 7 of these. New resources have also been defined in 4 veins in the HZG area. A year ago, neither of these two target areas were credited with reportable resources. Because none of the current three target areas have yet been fully explored, it is quite likely that continuing work in these areas will find new veins as well as new mineralized shoots in known veins. Future work will almost certainly find new veins in these areas and continue to find new shoots in the already known veins. Further, these three target areas together comprise only a small part of the large Ying Project block; it is likely that exploration will find other important new target areas with mineralized vein systems elsewhere on the block.

Vein structure

Structurally, the Ying-HPG vein systems all appear to be generally similar, occupying steeply-dipping fault-fissure zones which trend most commonly northeast-southwest, less commonly north-south, and rarely east-west (Fig. 3). The structures extend for hundreds to a few thousand meters along strike and are often filled by altered andesite or diabase dikes together with quartz-carbonate veins, or are mapped as discrete zones of altered bedrock (mainly gneiss) with local selvages of quartz-carbonate veinlets. At the surface, a third to half of the exposed structures are conspicuously mineralized as well as altered.

The veins occur as steeply-dipping, narrow, tabular or splayed veins, commonly as sets of parallel and offset veins. Individual veins along the structures thin and thicken abruptly, from a few centimeters up to a few meters in width, in classic “pinch-and-swell” fashion. The pinching and swelling are the result of flexural irregularities from movement along the structure, with “swells” representing zones of dilation (Figs. 5 & 10). The dilation zones (swells) are often sites of high-grade pockets or “ore shoots.” At Ying, these “ore shoots” range from 30 m to 60 m or more in vertical and horizontal dimensions over vein widths ranging from 0.4 m to 3.0 m. Commonly the vertical dimension of the Ying shoots is greater – often twice or more – than the horizontal dimension. In long-sections constructed along the veins, many of these shoots are seen to have a steep, non-vertical rake.

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Silvercorp Metals Inc.

Figure 3: Property Geology and Vein Locations

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Mineralogy

Although veins in each of the three target areas in the Ying and HPG Projects are structurally similar, there are differences in the mineralization observed in each area. The mineral differences between the areas are due possibly to different generations of mineralization or are the results of district-wide mineral zonation at different levels of exposure; analogous perhaps to broad-scale zonation patterns observed in other mesothermal silver-lead-zinc districts such as the Coeur d’Alene district, U.S.A.

SGX Area

The SGX Area is the most extensively explored target area to date with at least 28 veins identified to date and high-grade mineralization currently defined in 18 of these veins (Fig. 4). Sampling in exploration and development workings at various levels in these mineralized vein structures indicates that approximately 27 percent of the material filling these veins is highly mineralized, ranging from 0.2 m to more than 1 m in width (average 0.4 m) and containing an average of about 25% galena and 12% sphalerite. Other metallic minerals present in much smaller amounts include pyrite, chalcopyrite and hematite, with very sparse amounts of wire silver, silver-bearing sulfosalts (mainly the mineral pyrargyrite), silver-bearing tetrahedrite (known as “freibergite) and possibly acanthite (a silver sulfide).

The metallic minerals are confined to the veins, occurring as massive accumulations or as disseminations. Much of the galena in the SGX veins occurs in massive tabular lenses consisting of coarse crystalline aggregates to fine, granular “steel galena.” These bodies can be up to 1 meter thick and 100 m or more in vertical and horizontal dimensions. Sphalerite consists of the dark-colored, iron-bearing variety (also known as “blackjack” sphalerite) and occurs as coarse bands or aggregates with the galena. Alternating bands of galena, sphalerite, pyrite and quartz are common near the vein margins (Fig. 4a).

Most of the silver in the SGX veins is probably present as microscopic inclusions in the galena. Silver occurs at a reasonably consistent ratio with lead, ranging from 45 to 65 grams silver (1.4 to 2.1 troy ounces) for each percent lead. Ag:Pb and Zn:Pb metal ratios using tonnes contained metal and calculated as (Ag*100)/((Ag*100)+Pb) and Pb/(Pb+Zn), in the SGX veins are 0.36 and 0.74, respectively, very close to the Coeur d’Alene ratios of 0.29 and 0.72, and generally within the 0.22 – 0.63 and 0.51 – 0.72 ratio ranges considered to be characteristic of the silver-lead-zinc vein deposit model summarized previously in this report (Beaudoin and Sangster, 1992).

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Silvercorp Metals Inc.

Figure 4: Tunnel and Veins at SGX Area

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Several shoots in some of the SGX veins contain from 92 to 165 grams silver for each percent lead, much greater amounts of silver relative to lead than the usual range noted above for SGX veins. Much of the silver in these shoots may possibly be carried as a silver-rich, non-lead-bearing mineral such as freibergite, which is a dark-colored metallic mineral that could easily be hidden within metallic granular masses of galena. Not surprisingly, these same shoots contain up to several percent of potentially valuable copper, which is a major constituent of freibergite. Exploration in the SGX veins to date has found very little gold except for the short S7-2 vein in the eastern part of the target area which contains from 4.4 to 8.9 g/t gold, but very little silver, lead or zinc.

Gangue in the SGX vein systems consists mostly of quartz-carbonate minerals with occasional inclusions of altered wall-rock. The carbonate is dominantly ankerite in contrast to siderite which is the most common carbonate gangue mineral in many mesothermal silver-lead-zinc districts. In the Coeur d’Alene district, for example, siderite is closely associated with the sulfide ore minerals, ankerite occurs farther away from the ore, and calcite is present as a distal carbonate mineral.

Wall rock alteration commonly consists of a myriad of quartz veinlets accompanied by sericite, chlorite, silicification and ankerite on fractures. There is also some retrograde alteration, expressed as epidote along fractures. The vein systems appear to persist or even strengthen at depth with many veins exposed in the underground workings often significantly richer in silver-lead-zinc than the same veins exposed at the surface. This suggests that the mineralization is either leached from the surface outcroppings or, more likely, is zoned and becomes richer at depth (Broili et.al., 2006).

HPG Area

More than 20 mineralized veins have been identified in the HPG Area (Fig. 9). To date, Silvercorp has defined low-grade resources in 7 of these veins. Sampling at various levels in workings along these vein structures indicates that from 27% to 50% or more of the vein material is mineralized, ranging from 0.2 m to 5.2 m in width, averaging 0.96 m.

The veins occur in relatively permeable fault-fissure zones and are extensively oxidized from the surface to depths of about 80 m. Within this zone, the veins show many open spaces with conspicuous boxwork lattice textures resulting from the leaching and oxidation of sulfide minerals. Secondary minerals present in varying amounts in this zone include cerussite, malachite and limonite. Beneath this oxide zone, sulfide minerals are mixed with secondary oxide minerals in the vein, with sulfides becoming increasingly abundant downward to about 150 m depth, beyond which fresh sulfides are present with little or no oxidation.

The dominant sulfides are galena, typically comprising a few percent to 10% of the vein, together with a few percent sphalerite, pyrite, chalcopyrite and freibergite-tetrahedrite. Other metallic minerals in much smaller amounts include argentite, native silver, bornite and various sulfosalts. The minerals occur in narrow massive bands, veinlets or as disseminations in the gangue. Gangue minerals include quartz, sericite and carbonate, occurring as dolomite and calcite with some ankerite.

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Figure 4(a): Photos of SGX Samples

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Most of the HPG veins contain significant amounts of gold, often 1.0 to 4.0 g/t Au or more over widths up to 1 meter, distinctly more than veins typical of the other two Ying target areas. The HPG veins, which trend northeast-southwest, are crossed by a 1-km long, northwest-southeast trending breccia body which caps a ridge across the vein trend. The breccia locally carries from 1.86 to 2.77 g/t gold over widths of 3.0 to 7.5 m. Additionally, strongly anomalous amounts of gold (up to 30 g/t gold over 2.5 m widths) are locally associated with a several-kilometer long north-south diabase dike(?) that lies just south of the principal HPG vein swarm.

Alteration minerals associated the HPG vein systems include silica, sericite, pyrite and chlorite, together with clay minerals and limonite. Silicification is common near the center of the veins, chlorite and sericite occur near and slightly beyond the vein margins.

HZG Area

In the HZG area, 4 mineralized veins have been identified to date. The mineralization comprises from 14 to 23% of these veins over widths ranging from 0.3 to 0.8 m, averaging 0.78 m. The HZG veins contain distinctly more copper than the veins of the other two Ying target areas, with the largest vein yet defined at HZG, the HZ20 vein, containing an average of 1.19% copper, carried mostly in chalcopyrite and tetrahedrite. The tetrahedrite occurs commonly as lensoidal masses, probably filled tension gashes, which are distributed in relay-like fashion near the vein margins and in ladder-like fashion in the center of the vein. Chalcopyrite is present as disseminated crystals in the gangue and in the tetrahedrite. Other sulfides include galena (up to several percent locally) and pyrite.

The gangue is predominantly quartz-ankerite with conspicuous amounts of bright green fuchsite (a chrome-bearing muscovite). Fuchsite is especially abundant near the vein margins. The contact of the vein with wallrocks is sharp and marked by shearing and gouge. The most distinctive feature of alteration in the HZG veins compared with veins in the SGX and HPG areas is the presence of fuchsite, which is common in many greenstone-related, mesothermal gold districts.

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Figure 5: Cross Section on Exploration Line 56

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10. EXPLORATION WORK

Starting in 2006, Silvercorp focused detailed exploration-development activities on three separate target areas: SGX, HZG and HPG. The exploration work completed by Silvercorp from May 2006 to June 2007 in these three areas is summarized as follows.

SGX Area – Most of Silvercorp’s recent exploration work has been confined to the tunneling and drilling programs in the SGX Area now covered by a mining license. The details of this is included in Chapter 11, Tunneling and Drilling, of this report. Most of the surface exploration at SGX was done in past years, so very little was done during the past year.

Underground exploration-development activities in the SGX Area included expanding the workings on 18 veins. Work accomplished during this period includes:

a)	tunnel enlarging: 0 m
b)	declines: 940 m
c)	undercut drifting: 16,450 m
d)	main tunnel: 680 m
e)	raise: 1,593 m
f)	ventilation raise: 1,077 m
g)	shaft: 717 m
h)	underground drilling: 134 holes for 44,143 m
i)	surface drilling: 18 holes for 8,260 m
j)	sampling and metallurgical work.

HZG Area – Surface mapping and sampling were started on the HZG veins (south of SGX). Many of the altered structures and veins identified by this work were subsequently tested by drilling or extending the underground workings on 4 veins. Details of this work is included in Chapter 11 of this report (Tunneling and Drilling), a summary listing of this work is as follows:

a)	tunnel enlarging: 139 m
b)	declines: 117 m
c)	undercut drifting: 2,093 m
d)	main tunnel: 1,236 m
e)	raise: 17 m
f)	ventilation raise: 0 m
g)	shaft: 0 m
h)	underground drilling: 2 holes for 329 m
i)	surface drilling: 18 holes for 6,017 m
j)	sampling and metallurgical work.

HPG Area – Some surface mapping and sampling was also done in the HPG areas. Altered structures and veins were subsequently tested by drilling or extending the underground workings on 7 veins. Details of this work is included in Chapter 11 of this report (Tunneling and Drilling), a summary listing of this work is as follows:

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a)	tunnel enlarging: 0 m
b)	declines: 0 m
c)	undercut drifting: 2,740 m
d)	main tunnel: 1,523 m
e)	raise: 201 m
f)	ventilation raise: 0 m
g)	shaft: 0 m
h)	underground drilling: 0 holes for 0 m
i)	surface drilling: 2 holes for 760 m
j)	sampling and metallurgical work.

Reconnaissance exploration in new areas on the Ying Project

Recent surface exploration has focused on two nearby areas: (1) the XM Area, immediately northwest of the HPG area and 3.5 km northeast of SGX camp, and (2) the RHW Area adjacent to the northeast boundary of the Ying Project, about 10 km northeast of the main SGX camp.

XM Area

The XM Area is underlain by Archean gneiss intruded by Proterozoic diabase dikes and Mesozoic granite porphyry stocks (Fig. 3). A thrust fault along the north flank of the area separates a footwall of Archean gneiss from a hanging wall of Proterozoic andesite. Soil geochemistry has outlined a north-northeast trending Au-Ag-Pb-Zn anomaly about 0.3 km² in size. Three high-grade Au-Ag-Pb-Zn veins (H15, H17, and H32) that extend from the HPG Area into the XM Area are considered prime exploration targets.

Since 2004, Silvercorp has completed 3 km² geologic mapping at 1:10,000 scale, 42 m of trenching, 630 m of tunneling, 479 m of drilling (2 holes), and collected 299 samples in the XM Area. This work has identified 16 quartz-pyrite veins trending northeast or north-south and ranging from 70 to 1,200 m in length and 0.2 to 26.8 m in width. The most significant veins are X1, X8, and X11, which is the northern extension of the H32 vein from the HPG mine. Drill hole ZK001 intersected a 12.6 m wide zone of quartz-pyrite with anomalous gold and silver.

Tunnel sampling and drilling have examined two veins, X1 and X11, across true widths of 0.38 to 1.05 m containing 11.1 to 59.9 g/t silver, 0.20 to 1.90 g/t gold, occasional high lead values up to 4.90% and sparse zinc. The X1 vein was sampled from several different underground tunnels scattered along 553m of strike between the 697 and 744 m levels and the X11 vein was sampled at the 750m level along 29 m of strike.

RHW Area

The RHW area includes 6.39 km² of very rugged, forested hills (Fig 3). Previous surface mapping, trenching and limited tunneling by the Henan Non-ferrous Metals Geological Bureau defined five NE-trending mineralized veins and one N-S mineralized vein. The veins range from 460 to 3,600 m

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in length and are 0.3 to 2.0 m wide. The best sample interval was cut on vein C8 over a 1.5m width containing 1,161 g/t silver, 1.15 g/t gold, and 6.06% lead.

In October, 2006, Silvercorp started the following exploration:

1)	0.3 km2 of surface geological mapping at 1:10,000 scale,
2)	1,496 m of underground geological mapping and sampling (66 samples) in artisanal tunnels,
3)	drilled 7 diamond core holes (1,981 m) resulting in 205 core samples.

Dimension and characteristics of the 5 veins are described as follows:

Vein#	Strike Direction	Strike Length (m)	Dip Direction	Dip Depth (m)	Dip Angles	True Width (m)	Ag (g/t)	Pb (%)	Zn (%)	Au (g/t)	Cu (%)
C4	NE	3600	NW	To be explored	55-75	0.5-2.0	30-728	0.14-7.11	n/a	0.11-12.05	n/a
C6	NE	500	NW	To be explored	65-75	0.50-1	01-Jun	0.02-0.35	n/a	0.1-0.23	n/a
C8	NE	1800	NW	>200	40-70	0.1-1.5	1-1161	0.21-8.33	0.20-1.16	0-24.3	0.01-2.53
C9	NS	650	W	>300	25-65	0.4-0.8	1- 152	<0.78	0.01-1.09	0-14.35	n/a
C10	EW	>1700	N	>50	Oct-30	May-30	Jan-15	<0.1	<0.1	0.34-1.53	n/a

Extensive exploration was initiated on the C8 and C9 veins. The C8 vein was defined by 3 drill holes and the mapping and sampling of 5 artisanal tunnels. Drilling and tunnel sample assays are listed in the tables below. Assay results for hole ZK002 are pending, however 0.10 m (true thickness) of massive galena was intersected in this hole.

Tunnel and drilling found C8 vein has over 1000 m strike ranging from 0.1 to 0.5 m wide with up to 490 g/t Ag, 8.3% Pb, 2.9% Zn, 2.5% Cu and 24.3 g/t Au.

In addition to surface trenching, the C9 vein was further defined by 2 diamond dill holes and by mapping and sampling artisanal tunnels on three levels (841 m, 833 m, 800 m). Several old stopes up to 20 m high and 169 m long were encountered on the 641 m and 833 m levels. Tunnel and drilling found the C9 vein has over 200 m strike ranging from 0.2 to 1.0 m wide with up to 152 g/t Ag, 8.7% Pb, 4.1% Zn and 14.4 g/t Au.

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11. TUNNELING AND DRILLING

The third phase program initiated about a year ago with a capital budget of US$13.5 million focused on underground exploration-development in three Ying and HPG target areas and in constructing the new Ying mill. Previous work on the Ying property, specifically tunnelling and drilling, is described in detail in the last previous Technical Report by Broili, et.al. (2006).

Since the last report, exploration has been extended to the south of SGX into the HZG Area and to the east of SGX into the HPG Area, recently acquired by Silvercorp. The HZG area consists of additional parallel westerly dipping veins located east of the SGX S8 vein, which is the easternmost major vein in the SGX Area. The recently acquired HPG Area consists of parallel westerly dipping veins located east of the SGX S8 vein. These veins might be extensions of the HZG veins from the southwest, but because they are 4 to 5 km away the connection between the two areas is tenuous at this time. The HPG Area is apparently richer in gold than SGX or HZG, and the HZG Area appears to be richer in copper than SGX or HPG.

SGX Area

S2 and S2E Veins — A 41m long section of raise was completed on the S2 and S2E veins from the 460m level through access tunnel CM103. The S2 vein was intersected with 3 drill holes (ZK1007, ZK1207, and ZK0606) and significant Ag-Pb-Zn mineralization was encountered at levels 442m, 463m, and 483m. Massive galena was cut in the S2E vein in hole ZK1807 at the 357m level.

S4 Vein — No significant new drilling or tunneling was done on this vein during the past year.

S5, S8-2 and S21W Veins — Minor tunneling and drilling defined some small resources on these veins.

S6 Vein — Significant resources were added by tunneling on the 480m level from the CM102 access tunnel.

S7 Vein — Significant resources were added by underground drilling and tunneling.

S7-1 Vein — Explored by tunneling at the 600m and 560m levels through main access tunnels PD700 and CM103. More than 82 m of massive galena is exposed in a 110 m drift on the 600m level, and a 126 m drift on the 560m level exposes 76 m of massive galena. Three drill holes (ZK14A02, ZK5105, and ZK5504) hit significant Ag-Pb-Zn mineralization at the 393, 468 and 482m levels, which extends significantly the down-dip extension of the vein.

S7-3 Vein — This vein does not crop out at the surface. It was discovered by tunneling and surface drilling and has not yet been fully defined. It splays off the S7-1 vein a few meters east and extends NE with a 65 to 80º SW dip. A drift along the vein exposes more than 42 m of continuous massive galena. Three surface drill holes intersect the vein with one hole hitting 0.37 m of massive galena grading 2,711 g/t Ag, 23.03% Pb, and 13.18% Zn at the 374m level. Another hole hit a 1.35 m wide

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shear zone on level 186 m, which indicates the vein may extend at least 400 m deeper.

S8 Vein — 989 m of tunnelling was completed, including: 6 raises totalling 162 m; 131 m of drift on the 705m level in tunnel CM104; 292 m of drift on the 640m level in CM101; 58 m of drift on the 600m level in PD66; and 346 m of drift on the 510m level in YPD01 at the YLG camp,

S8E Vein — This vein, a splay immediately east of the S8 vein, extends more than 400 m NE-SW along strike and dips both SE and NE. It is delineated with a total of 52 m of raises, 50 m of crosscuts, and 540 m of drifting on the 640m and 700m levels through the CM101 and CM104 tunnels.

S14 Vein — An 82 m drift and two raises totaling 100 m were completed from the 480m level through the main CM102 access tunnel. Tunneling along the vein to the south at this has exposed more massive galena which suggests that the mineralization may continue even further south.

Diamond drilling has extended the mineralized portion of the S14 vein and is expected to upgrade a large portion of the existing Inferred resources to Indicated and to add more Inferred resources. Drill hole ZK814 is noteworthy, cutting cut two additional veins (S14-2 and S14-3) which contain up to 1,314 g/t equivalent silver less than 10 m east of the S14 vein. The full extents of these new veins have yet to be defined. A total of 22 holes (5,735 m) have been completed on the S14 vein of which 16 have intersected more than 100 g/t equivalent-silver. Ten holes hit massive galena over core lengths of 0.30 to 1.15 m – a drill success rate of almost 50%. These holes were drilled on 50 X 80 m spacings from the 268m to 444m levels between grid sections 0 to 18.

S16E Vein — 371m of tunneling was completed at four levels: 79 m on the 680m level from PD680, 47 m on the 640m level from CM101, 11 m on the 570m level and 206 m on the 534m level level 534 through CM102. A 29 m raise was driven on the 570m level from CM102. Massive galen is exposed in the drift on the 534m level and in the raise.

S16E1 Vein — The S16E1 vein splays east off the S16E vein. It was discovered by underground drilling and has been defined by drilling and by tunneling through access tunnel CM102. Seven drill holes and tunneling on three different levels indicate the vein extends for more than 200 m both along strike and to depth.

S16E2 Vein — Located 7 to 8 m east of the S16E1 vein, the S16E2 vein is a splay off the S16E vein and extends for 200m along strike. The vein was intersected by a crosscut from CM102 on the 610m level and followed by an 18 m drift. Drill hole ZK133 intersected the vein at the 573m level.

S16E3 Vein — The S16E3 vein, a splay to the west off the S16E vein, extends for more than 150m NE along strike and for more than 80 m down dip (55 to 70° SW).

S16W Vein — The S16W vein was explored by 227 m of drifts on four levels (680m, 650m, 570m, and 534m), 141 m of crosscuts, and 141 m of raises. The majority of the drift on the 534m level and all five raises contain from 0.1 to 2.6 m (true width) of massive galena.

S16W1 Vein — Explored on the 680m and 534m levels, with 84 m of drift, 32 m of raise, and 33 m

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of crosscutting completed on the 680m level. Massive galena is exposed in drawpoints developed on the 534m level in access tunnel CM102.

S21 Vein — Additional high-grade massive galena was found with drilling and tunneling on the S21 vein. The vein has now been mapped for 1,500 meters at the surface. Tunneling and drilling is focused on a 1,000-m long x 500-m high section of the vein. Tunnels have been completed on levels 680m, 640m, 580m, and 560m through the main access tunnels CM101, CM102, CM103, and PD680 (SGX camp) and YPD01 (YLG camp). Access tunnels include 1,434 m of drifts along the vein, 332 m of cross-cuts, and 86 m of raises. Tunneling and drilling have defined 4 massive galena bodies 0.20 to 1.43 m wide, 25 to 256 m long and extending 170 to 450 m down dip.

Significant assay results from the new tunnels and the 15 drill holes completed August through December, 2006, include:

• 6,823 g/t silver (=219 oz/t silver) with 36.58% lead and 19.94% zinc over a true width of 0.7m were intersected in a raise on the 699m level,
• 993 g/t (31.92 oz/t) silver, 71.19% lead, and 3.20% zinc were intersected over 0.35 m (core length) of massive galena in drill hole ZK6006 at the 299m level
• 1,585 g/t (50.96 oz/t) silver, 47.51% lead and 10.8% zinc were intersected over 0.55 m (core length) of massive galena in drill hole ZK7406 at the 543m level.

HZG area

HZ10 Vein — Mapped at the surface and in underground workings, the HZ10 vein extends for 600m north-south along strike and dips 65 to 89° east. A surface drill hole (ZK1290) intersected the vein on the level 567 m level, indicating that the vein extends at least 210 m down-dip.

HZ12 Vein — This vein, located approximately 150 m southeast of the HZ10 vein, extends for northeast along strike for more than 225 m and extends steeply down-dip to the SE for more than 107 m. A surface drill hole (ZK13503) hit the vein on the 693m level, intersecting 0.4 m (apparent thickness) of 312 g/t (10.03 oz/t) silver, 0.33% lead and 0.22% zinc.

HZ20 Vein — Located approximately 800 m east of the HZ10 vein, HZ20 is the most significant vein yet discovered in the HZG Area. It has been defined by 22 drill holes from the surface and 3 underground drill holes and extends north-south for more than 1845 m along strike and dips dipping steeply east to a depth of more than 300 m. Eight surface drill holes have intersected significant silver-lead-copper mineralization from levels 600 to 780 m over true widths of 0.20 to 2.22 m. Tunnels on levels 840 m and 890 m also intersect the vein. Two mineralized zones have been defined by drilling and tunnelling. The first zone is 85 m long, 310 m deep, and 1.39 m wide and averages 385 g/t Ag, 0.14% Pb, 0.32% Zn, and 1.11% Cu. The second zone extends 290 m along strike, 230 m down dip, is 0.31 m thick and averages 1107 g/t Ag, 3.03% Pb, 0.47% Zn, 1.25% Cu.

HZ22 Vein — More than 900 m of vein, striking north-northeast and dipping east-southeast at 60 to 70º, have been delineated by surface mapping. The vein is 860 m southeast of the HZ10 vein is sub-parallel to the HZ20 vein. Its width ranges from 0.4 to 1.2 m.

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HPG Area

Exploration activities on this recently acquired property have focused on the most easily accessible veins such as H15 and H17. Exploration and mine development utilize 10 main access tunnels – PD2, PD3, PD630, PD638, PD698, PD720, HPD29, HPD30, HPD640, and HPD850. Most of the exploration-development work has used the PD3 access tunnel which has 4 declines from the 600m level to the 340m level. 2,445 m of exploration tunnels and 4 surface drill holes (750 m) had been completed by May 25, 2007, resulting in the discovery of several new ore shoot. Significant assay results from the tunneling are:

• 1.0 m (true width) with 1.15 g/t gold, 120 g/t silver and 13.80% lead in a tunnel in the H15 vein on the 420m level;
• 0.4 (true width) of massive galena containing 5.03 g/t gold, 766 g/t silver and 17.23% lead in a tunnel on the H15-1 vein on the 735m level;
• 2.5 m (true width) of massive galena containing 1.03 g/t gold, 415 g/t silver and 50.89% lead and 4.4 m (true width) with 3.37 g/t gold, 176 g/t silver, 7.86% lead and 1.49% zinc in the H17 vein on the 360m level;
• 0.25 m (true width) with 125 g/t silver, 26.19% lead and 1.28% zinc in a tunnel in the H32 vein on the 688m level.

H5 Vein — The H5 vein trends NE, dips steeply NW and has been mapped for about 480 m at the surface with widths ranging from 0.25 to 1.70 m. It has been explored by 171 m of tunnels completed from the 460m level through the main access tunnel PD3.

H12 Vein — Tunnels on the 645m level found a thin vein with a small resource.

H15 Vein — 427 m of tunnels have been completed through main access tunnels PD3, PD630, and PD698. Significant Au, Ag, Pb and Zn mineralization having a true width of 1.4 m is exposed in 113 m of drift in the PD3 tunnel at the 432m level. The vein has also been intersected by cross-cut tunnels on the 630m and 698m levels.

H15-1 Vein — Gold-silver-lead mineralization extends NE more than 340 m along strike and dips 70° NW. Exploration includes 129 m of drift along PD720 at the 720m level and 17.4 m of drift through PD630 at the 630m level.

H17 Vein — 422 m of tunnels have been completed through the PD3 access tunnel on the 460m, 380m and 340m levels. Significant Au-Ag-Pb-Zn mineralization including massive galena has been intersected, including 4.4 m (true width) of high-grade containing 3.37 g/t gold, 176 g/t silver, 7.86% lead and 1.49% zinc on the 380m level, and 1.1 m (true width) of 6.02 g/t gold and 84.3 g/t silver in 32m of drifts on the 720m level.

H18 Vein — A 0.5 m wide vein averaging 4.15 g/t gold was found in tunnels on the 720m level.

H32 Vein — Surface mapping found 240 m of N-S trending vein, dipping 60 to 70° E. Tunnels totaling 204 m have intersected significant mineralization including a 110 m drift on the 688m level accessed through PD688 and a 62 m raise to the 688m level through PD638. Assay results are

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pending.

B1 Vein —A 5.18 m wide breccia averaging 2.13 g/t gold (but very little silver-lead-zinc) was discovered by tunneling on the 640m level.

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12. SAMPLING METHOD AND APPROACH

Most tunnel sampling at Ying and HPG are continuous chip sampling with some minor channel sampling. The chip sampling consists of continuous chips across the vein, yielding a 2 to 5 kg sample depending upon the width of the vein. The channel samples are cut 10 cm wide and 5 cm deep, yielding a 2 to 10 kg sample for each 0.1 to 1.0 m interval, depending upon the width of the vein. The channel or chip samples collected across the vein are taken at 5 to 7 m intervals along the vein where there is evidence of mineralization or significant alteration.

All drill core from the Ying and HPG Projects, from both underground and surface drilling, are NQ-size core (4.8 cm diameter). The core is logged initially at the drill site and the mineralized or favorably altered intervals are hauled to the surface core shack where it is logged, photographed and sampled in detail. Samples are taken by cutting the core in half, one piece at a time, with a diamond saw. One half of the core is returned to the core box for archival storage, the other half is placed in a labeled cotton bag with the sample number written on the bag. The bagged core sample is then shipped to the laboratory for assaying.

Individual samples, whether taken underground as continuous chip or channel samples or taken from drill core, are from veins that range from 0.1 m to 1.5 m in width. The veins consist of either massive sulfides or sulfide-bearing quartz-ankerite and can be easily identified and separately sampled from non-mineralized wall rock.

Core recoveries are determined by measuring the actual amount of core recovered vs. the length of the drilled interval from which the core was obtained. Core recoveries (calculated as percentage) are documented in the log. The only core recoveries of relevance are those of core taken across the mineralized veins. In general, the recoveries range from acceptable to excellent, although it appears the recoveries vary somewhat from vein to vein. For example, veins S16, S7 and S8 and their satellite veins have lower core recoveries (88 to 91%) than veins S2, S6, S14 and S21 (95 to 98%). This suggests that either the vein or wall-rock adjacent to the veins is more broken in the S16, S7 and S8 areas than the other vein areas.

Samples appear to have no sampling or recovery difficulties that would effect the reliability of results. The samples appear to be representative and results of check samples show no evidence of sample bias. Rocks sampled underground or in drill core are sulfide-rich veins that follow structures (faults). These veins are easily identified because of their bright metallic sulfides and they can be sampled with little difficulty.

The determinations of the true widths of sample intervals are a consideration only with the drill core samples. The angle of the vein to core is determined by using the vein to core angles and cross-sectional correlations to determine the dip of the veins. The apparent thickness is then corrected to true thickness using simple trigonometry.

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Silvercorp Metals Inc.

13. SAMPLE PREPARATION, ANALYSES, AND SECURITY

Tunnel samples are taken at regular intervals and entail taking a certain volume of sample across the vein, depending upon the vein width. No splitting of these samples is done prior to being sent to the laboratory. However, the core is split by a diamond saw with one-half of the core sent to the laboratory for analysis and the other half retained for archive. The samples are individually secured in sample bags and then collectively secured in rice bags for shipment to the laboratory. Employees of Found, the subsidiary of Silvercorp, collect the tunnel samples and split the core for sampling. No officer or director of either Silvercorp or Found has contact with any of these samples prior to shipment to the laboratory.

All samples are prepared and analyzed by Langfang Institute of Geochemical and Geophysical Exploration, an ISO 9001 certified laboratory located in Langfang, Hebei Province, approximately 60 km from Beijing.

The sample preparation consists of drying, crushing and splitting of the sample with a riffle splitter to 150 g, then pulverizing the sample to 200 mesh. Lead, zinc, copper, silver and gold are all analyzed with an Atomic Absorption Spectrometer after a 3-hour hot aqua regia digestion on a 30 g split of the pulverized portion. A gravimetric finish is done on samples with silver values in excess of 1,500 g/t. On samples containing more than 30% lead, an acid dissolution and titration is used to complete the analysis. Langfang’s lower detection limits are 100 parts-per-billion (“ppb”) for gold, 3 g/t for silver, 0.03% for lead and zinc, and 0.02% for copper.

Silvercorp’s check procedures include (a) inserting standards in the sample batches submitted to the Lanfang lab or a regular basis, (b) submitting duplicate pulps to the Langfang lab on a regular basis, and (c) submitting duplicate pulps to an independent external lab on an intermittent basis.

Details of these check procedures are offered in the previous Technical Report on the Ying Project (Broili, et.al., 2006). In general:

• Standards included in samples sent to Langfang have been within 3% for the lead, zinc and silver values.
  
  
• Duplicate pulps sent to the Langfang lab (restricted to samples containing more than 50 g/t Ag, 0.5% Pb and 0.5% Zn) show average differences of less than 1% for the silver and zinc values and 1.2% for the lead values.
  
  
• Duplicate pulps selected at random, rather than from regular intervals, and sent for check analyses to ALS Chemex in Guangzhou, China, an ISO 9001: 2000 accredited lab. The average differences between the Lanfang analyses and the check analyses are near or below 5% for silver, lead and zinc.

Procedures used by Silvercorp for the preparation, security, analysis and checking of samples and sample results appear to be adequate and closely conform to standard industry practices.

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

14.DATA VERIFICATION

During the property site visit, July 16–21, 2006, one of the authors of this report, Mr. Klohn, was given unrestricted access to all available information and all underground workings. Fortunately, this type of lead-zinc-silver-gold mineralization present in the Ying and HPG Projects are easy to recognize and identify, making verification relatively straightforward. Lead, zinc or silver assay grades can typically be confirmed within reasonable limits by visual estimation of the abundance of galena and sphalerite and sometimes wire silver.

The on-site verification visit consisted of the following:

• checking of property locations using a GPS
• visual inspection of the local geology, mostly underground but also on the surface
• visual inspection of the mineralized alteration zones, both underground and on the surface and verification with a digital camera
• review of all on site maps, longitudinal sections, cross sections and assay spreadsheets

As part of the verification process, Mr. Klohn traversed many of the tunnels on foot using tunnel maps and digital camera to locate, document, verify and confirm various veins and drill sites against corresponding database entries and map postings. Included were inspections of randomly selected underground geological features and mineralized veins. Additionally, diamond drill cores and other sample materials stored at the project site were examined.

During the site visit, randomly selected parts of mineralized veins were measured and compared to lengths shown on maps and longitudinal sections. Additionally, the bearings of the veins were verified by hand-held compass readings. Finally, the length of the tunnels where they intersected veins, was paced to verify the accuracy of the working maps. The expectedly wide local variability in grade and continuity of lead-zinc-silver vein mineralization is a situation somewhat analogous to nuggety, coarse gold veins. The tunneling shows acceptable to very good correlations in vein thickness and grade between the historical tunneling and the new tunnels and drilling. This confirms the veracity of the historical tunnel sample results.

There were no limitations placed on Mr. Klohn for verification purposes. In Mr. Klohn’s opinion, the data are adequate for preparing mineral resource estimates compliant with NI 43-101.

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

15. ADJACENT PROPERTIES

Silver-lead-zinc-gold properties similar to the Ying and HPG Projects are reported from various places in the Qinling orogenic belt. The property nearest to Ying is the Tieluping silver-lead mine immediately adjacent to the Ying Project block on the east.

The Tieluping mine is characterized by north-northeast trending, closely spaced, steeply-dipping, structurally-hosted quartz-ankerite veins with silver and lead mineralization in mafic gneiss. Alteration associated with this mineralized system includes quartz-ankerite and sericite. All silver mineralization is associated with increasing galena content of the veins.

Several local operators are currently mining the multiple vein sets at the Tieluping deposit underground. The veins are as much as 950 m long, from 2.0 to 5.6 m wide and extend 270 to 420 m down-dip. An indicated resource – according to Chinese resource standards but not compliant with Canadian NI 43-101 standards – of 1,061.69 tonnes of contained silver (about 34 million ounces) and approximately 200,000 tonnes of contained lead has been reported at average grades of 292 g/t Ag and 3% Pb. How much of this “resource” has been mined and how much remains in place is uncertain.

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

16. MINERAL PROCESSING AND METALLURGY

Silvercorp has been producing silver-lead-zinc ore from the Ying project for more than a year. After being mined, the ore is often hand-sorted at the mine site to produce an exceptionally high-grade ore (more than 60% lead) which is crushed to minus 25 mm then shipped by truck via barge directly to custom smelters. A belt-driven hand-sorting facility has been built at the SGX mine site with a capacity of approximately 25 tonnes per day.

In March, 2007, Silvercorp completed construction of the Ying mill to process the much more abundant lower-grade ores. The mill, about 15 km by paved road northeast of Guxian Reservoir, is supplied with power from the Henan Province power grid. A quality control laboratory attached to the mill can process up to 100 samples per day using wet chemical analytical methods and Atomic Absorption Spectrophotometry methods.

The Ying mill is currently operating at a rate of 800 tonnes ore per day and receives ore transported via barges across the reservoir from mines in the SGX and HPG areas. The average head grades for ore processed for the first 3 months of operation are 5.8% lead, 3.6% zinc and 438 g/t silver. The processes used in the mill are typical of polymetallic Pb-Zn ores. There are two stages of ore crushing, from 400 mm to 15 mm, followed by ball milling such that 70% of the material passes 200 mesh (74 microns). The minerals are then separated by a series of flotation circuits, producing a lead concentrate (carrying the silver) which averages 69% lead, and a zinc concentrate which averages 52% zinc.

The concentrates are of high quality, containing very little arsenic (less than 0.001%) or other penalty elements. Metal recoveries to date have averaged 94.3% for lead, 90.0% for silver and 79.5% for zinc. The silver and lead recoveries exceed those expected from the design specifications. The concentrates are currently being transported via trucks to custom smelters located 70 to 190 km from the mill site. A new smelter, partly owned by Silvercorp, is being constructed about 40 km by road from the Guxian mill site.

16.1SPECIFICGRAVITY

Procedures and results of specific gravity (“SG”) determinations on mineralized vein material from the Ying Project were described in some detail in the last previous Technical Report on the Project (Broili, et.al., 2006). SG determinations were done on 45 samples of high grade vein material, i.e., material containing more than 1,250 g/t equivalent-Ag. The average contained metal contents of these 45 samples were 37.55% Pb, 10.05% Zn and 1,994 g/t Ag. The theoretical SG of material with this composition – assuming the lead is all carried as galena (SG of 7.5), the zinc as sphalerite (SG of 4.0), and the remainder similar to quartz (SG of 2.6) – is 4.9 (equivalent to a density of 4.9 g/cm³). The average SG of these samples as determined by the wax-immersion method was 4.28. Based on this, Silvercorp has used what we consider to be a safely conservative SG of 4.2 in calculating the tonnage of the high-grade vein resource blocks. Nevertheless, we recommend that

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Silvercorp Metals Inc.

additional SG determinations be done on a regular basis with checks from different independent laboratories.

Lower-grade material (between 200 g/t and 1,250 g/t equivalent-silver) in the SGX vein contains substantially lesser amounts of dense metallic minerals, especially galena, and has therefore been assigned a SG of 3.0 by Silvercorp in calculating tonnages of the SGX low-grade resource blocks. We consider this SG to be reasonable and safely conservative.

Veins in both the HPG and HZG areas typically contain even smaller amounts of the dense mineral galena than even the low-grade veins in the SGX Area, and for this reason Silvercorp has assigned all the material from the HPG and HZG veins a SG of 2.8 in calculating tonnages of the resource blocks from these areas. We believe this SG is also reasonable and safely conservative.

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

17. MINERAL RESOURCE ESTIMATES

The mineral resource categories used in this report are those established by the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) in the CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines as adopted by the CIM Council on August 20, 2000. These resource definitions are summarized as follows:

“A Mineral Resource is a concentration or occurrence of natural, solid, inorganic or fossilized organic material in or on the Earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge.

A Measured Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape, physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters, to support production planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough to confirm both geological and grade continuity.

An Indicated Mineral Resource is that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The estimate is based on detailed and reliable exploration and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that are spaced closely enough for geological and grade continuity to be reasonably assumed.

An Inferred Mineral Resource is that part of a Mineral Resource, for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified, geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.”

Mineralization in the Ying project consists of narrow vein type deposits which occur as discrete planes of variable grade and finite but variable thickness. Resources in deposits of this type are amenable to definition using polygonal methods on longitudinal sections constructed for each vein. The resource estimates reported herein were prepared using such methods by Mr. Wang Jianwen, Chief Geologist of Found, and Mr. Myles J. Gao, P.Geo, President of Silvercorp, who is a Qualified Person, as defined by NI 43-101.

We (the authors of this report) have audited in detail Silvercorp’s methodologies and resulting resource estimates reported in this report. We are both Independent Qualified Persons as defined by NI 43-101 with experience using similar methodologies on vein systems elsewhere in the world. Further, the basic data utilized in these resource estimates – assay results, geological maps, level plans, construction of longitudinal and cross sections, sampling procedures, etc. – were all reviewed in detail during the July, 2007, site visit by one of the authors (Klohn) .

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Silvercorp Metals Inc.

Following is an explanation with comments regarding the parameters and assumptions used to prepare the resource estimations reported in this Technical Report:

1.	The polygonal block model used in this resource estimation is a valid way to determine resources for this type and configuration of mineralization.
2.	The polygonal block model utilizes detailed long-sections constructed for each of the veins. The topographic control for these sections, taken from 1:10,000 government topographic maps, appears reliable.
3.	Polygonal resource blocks drawn on long-sections of the vein were constructed, and their areas measured, using MapGIS, a MapInfo-like GIS software application widely used in China.
4.	Resources categorized as either “measured” or “inferred” are estimated using only the assays obtained from drilling or underground channel sampling. Surface and trench samples are not used because these samples might be affected by surface leaching. However, surface and trench data are used in estimating resource blocks categorized as “inferred.”
5.	Blocks defined by tunnel sampling are each limited to 25 m in length and 40 m in height, and the thickness of the block is calculated as the weighted average of the true widths of all samples included in the area of the block.
6.	Underground channel samples are collected across the veins every 5 to 7 m along the vein. The results are composited in groups of 5 to represent approximately 25 m of section along the vein strike.
7.	The minimum cutoff thickness used for mineralization is 0.10 m.
8.	The veins are polymetallic veins containing several payable metals. Although contents of each of the potentially payable metals are separately reported in the resource estimations, Silvercorp uses “equivalent-silver” values to assess and compare the vein resources. The “equivalent-silver” values, which are reported also in the resource estimate tables, are calculated as follows: g/t AgEquiv = g/t Ag + (22.0462 (%Pb x Pb Price + %Zn x Zn Price + %Cu x Cu Price + g/t Au x Au Price in $/gram) / Ag price in $/gram).

Metal prices used are	Ag:	US$ 6.50/troy ounce = US$ 0.21/gram
	Pb:	US$ 0.40/pound
	Zn:	US$ 0.45/pound
	Cu:	US$ 1.50/pound
	Au:	US$ 350.00/troy ounce = US$ 11.25/gram
Conversions	1 troy ounce = 31.1035 grams
	1 tonne = 2204.62 pounds

The metal prices above are well below current market prices; these low prices are used as a “safety cushion” in determining the Ying silver-equivalencies because the calculation above presently does not account for metal recovery percentages.

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Silvercorp Metals Inc.

9.	The cutoff grade used for the mineralization termed “high-grade” by Silvercorp is 1,250 g/t equivalent-silver. The cutoff grade used for mineralization termed “low-grade” is 200 g/t equivalent-silver.
10.	A top-cut value of 9,019 g/t Ag is applied for extremely high silver assay values, however only a handful of assays to date have exceeded that value. No top-cut is applied to lead, zinc, copper or gold.
11.	This is an in situ resource estimate only; no internal or external dilution has been applied.
12.	Mined-out areas as of June 30, 2007, are excluded from the resource estimates.
13.	Any interpolations are based upon vein thickness and grade.
14.	The specific gravity (SG) determinations for the Ying Project are discussed in more detail in the Mineral Processing and Metallurgy chapter (Chapter 16) of this report and in the previous Technical Report by Broili, et.al., 2006. In our opinion the SG values used by Silvercorp in calculating tonnages of the individual resource blocks aresafely conservative.
	In the SGX Area, where the veins all contain significant to major amounts of dense metallic sulfide minerals, especially galena, the SG value used for high-grade mineralization (i.e., >1,250 g/t equivalent-Ag) is 4.2, and the SG value used for low-grade mineralization (200 to 1,250 g/t equivalent-Ag) is 3.0.
	In the HPG and HZG areas, which typically contain much smaller amounts of the dense metallic minerals, especially galena, a SG of 2.8 in used in calculating tonnages of the resource blocks in these areas.
15.	The mining method employed is resuing stoping because of the narrow vein character of the mineralization. The resuing method separately breaks and removes ore from the wallrock.
16.	The wall rock surrounding the veins is commonly silicified, which means the vein usually breaks clean from the wall rock, thus minimizing dilution.
17.	The veins closely follow fault structures and they pinch-and-swell depending upon the curves along the fault and movement direction of conjugate faults.
18.	Because the mineralization pinches-and-swells, it is difficult to project mineralization over substantial distances. However, considering this is strictly a resource estimation, not a reserve, the data and methods employed are adequate to allow resources to be categorized as measured, indicated and inferred.
19.	Resource blocks categorized as “measured” are defined solely by continuous chip or channel sample assays in tunnels or drifts. These blocks are projected up to 20 m above and below a given tunnel and 20 m along strike from a given tunnel intersection.
20.	Resource blocks categorized as “indicated” begin either above or below a measured resource block or are projected from a drill intercept or cross-cut tunnel. For blocks projected from the measured resource blocks, the distances are not greater than 40 m. For blocks projected from drill holes, the distances are not greater than 70 to 80 m. Block boundaries are defined as the midpoint between drill holes.
21.	Resource blocks categorized as “inferred” use grades and thicknesses derived from the average of all the measured and indicated blocks along the vein. For veins intersected by

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

deep holes, the inferred resource blocks are projected 160 m down-dip from the indicated blocks, otherwise, they are projected 80 m down-dip. A mineralization ratio (“MR”) is used to estimate the proportion of the block that will exceed the 1,250 g/t equivalent-silver cutoff. The MR is based upon the length of an adjacent tunnel or drift along the vein having values above the equivalent silver cutoff grade divided by the total length of the tunnel or drift. The tonnages calculated for each “inferred” resource block is calculated using the MR. The estimated proportions of mineralized sections (MS) for veins in all three areas (SGX, HPG and HGZ) are shown in the table below.

Mineralization Ratio of Different Veins at SGX, HZG & HPG

SGX Veins	Drift Length (m)	MS Length (m)	Mineralization Ratio (%)
S2E	343.3	133.8	38.97
S2	540.3	172.6	31.95
S4	247.8	92	37.13
S5	147.3	17	12.06
S6	815.6	271.6	33.29
S7	851.1	69	8.11
S7-1	897.3	398	44.6
S7-2	390.4	5	1.45
S7-3	96.5	15	31.71
S8	4114.4	635.9	15.34
S8E	727	183.1	33.58
S8-1	185	24.9	17
S8-2	81.1	13	20.87
S11-E	206.5	20	9.69
S14	2042.9	997	50.31
S16E	2248.4	636	30.11
S16E1	110.7	40	36.13
S16E3	118	46	38.98
S16W	4265.7	1400.5	35.18
S16W1	339.4	72.9	21.48
S19	163.6	7.5	7.55
S21	2072.7	545.8	28.09
S21W	271	45	37.88
TOTAL	21,276.00	5841.6	27.46

HZG Veins	Drift Length (m)	MS Length (m)	Mineralization Ratio (%)
HZ10	312.9	55	17.58
HZ12	142	20	14.08
HZ20	130.4	30	23.01
HZ22	151.7	30	19.78
TOTAL	737	135	18.32

HPG Veins	Drift Length (m)	MS Length (m)	Mineralization Ratio (%)
H5	170.9	10	9.52
H12	162.8	30	18.43
H15	845.1	168	19.88
H15-1	254.5	45	27.52
H17	330.6	155.7	47.1
H18	279.2	40	14.33
H32	408.8	152	41.93
B	91.3	32	35.05
TOTAL	2,543.20	632.7	24.88

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

17.1RESOURCEDATA

The information used to calculate project resources is maintained in a series of linked Excel worksheets maintained for all exploration-development areas. The worksheets contain individual sample information such as sampling dates, locations, sample number, elevation, width, and assay results, and additionally, for drill holes, collar information, down hole survey data, sample intervals, and assay results. The data are organized in a manner such that information plotted on the vein long-sections and used to constrain boundaries of the resource block polygons can be readily retrieved and verified, samples on a vein-by-vein basis, and within each vein on a pocket-by-pocket basis, such that widths, grades and tonnages can be calculated if warranted down to very small blocks or areas within each vein.

17.2RESOURCEGEOLOGY

The high-grade pockets (shoots) of mineralization in the veins pinch-and-swell along the strike and dip of the veins. This is readily observed in underground workings and graphically demonstrated in grade variation plots of channel samples across the vein taken at regular intervals along the vein, as shown in figure below, where “high-grade” means samples with more than 1,250 g/t equivalent-Ag:

Grade Variation Plot Along S14 & S16 Veins

The resource polygons constructed on the vein long-sections also show the shoot-like character of the mineralization.

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Silvercorp Metals Inc.

17.3RESOURCEESTIMATES

The Ying and HPG mineralization is polymetallic and the contents of each potentially payable metal is separately reported in the resource estimations. Additionally, “equivalent-silver” values, calculated as explained previously in this chapter, are also reported, offering a way to quickly compare vein-to-vein resources.

We caution that the silver-equivalencies reported herein do not account for metal recovery percentages. However, the metal prices used in the “equivalent-silver” calculation are well below current market prices, offering a conservative “safety cushion” for the omission of these recovery factors. The mill recoveries experienced to date, and reported previously in the Metal Processing and Metallurgy chapter (Chapter 16) appear to fall well within this “safety cushion.” Nevertheless, we recommend that future reporting of silver equivalencies incorporate these recovery factors.

The estimated mineral resources of the three exploration-development areas at Ying and HPG, current as of June 30, 2007, are summarized in the following table:

Ying Project - Summary of Mineral Resources

										Contained Metals
	Width (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Au (g/t)	Pb (%)	Zn (%)	Cu (%)	eq-Ag (g/t)	Ag (oz)	Pb (t)	Zn (t)	Cu (t)	Au (oz)	eq-Ag (oz)
SGX Area - High-grade
Measured	0.50	215,173	1,250	40.18		20.41	9.14		2,545	8,646,679	44,450	21,817	523		17,607,571
Indicated	0.43	787,089	1,227	39.46		21.54	7.14		2,475	31,058,205	169,515	56,232	479		62,638,615
Meas + Ind	0.44	1,002,261	1,232	39.62		21.30	7.57		2,490	39,704,887	205,956	73,381	1,001		80,246,081
Inferred	0.44	1,707,850	1,219	39.19		21.80	7.57		2,498	61,447,487	345,936	122,480	3,333		137,180,776
SGX Area - Low-grade
Measured	0.50	48,770	281	9.02		6.13	6.84		865	528,119	3,459	3,641			1,553,133
Indicated	0.41	750,329	223	7.18		3.55	3.86		560	5,390,121	26,661	28,936		1,324	12,769,092
Meas + Ind	0.42	799,099	227	7.30		3.71	4.04		578	5,830,237	29,568	32,179		1,324	18,541,705
HZG Area
Indicated	0.78	248,484	598	19.23		1.76		0.78	796	4,777,198	4,364		1,941		6,356,729
Inferred	0.62	271,042	552	19.23		1.40		0.43	679	4,807,002	3,784		1,176		5,916,975
HPG Area
Measured	0.99	35,226	117	3.77	1.41	6.28	1.28		519	132,794	2,174	261		1,594	553,359
Indicated	0.95	166,661	67	2.15	2.33	3.52	0.30		355	357,887	5,859	502		12,476	1,901,060
Meas + Ind	0.96	201,887	76	2.43	2.15	3.95	0.38		376	490,687	8,033	763		14,069	2,454,419
Inferred	0.96	1,513,222	120	3.85	1.41	6.68	2.17		581	5,824,580	101,017	32,906		68,706	28,250,515
Ying Project - Total Estimated Mineral Resources
Measured		299,169								9,307,592	50,084	25,719	523		19,714,063
Indicated		1,952,563								41,583,412		85,670	2,419		83,665,496
Meas + Ind		2,251,731								50,891,004		111,389	2,942		103,379,559
Inferred		3,492,114								72,079,069		155,386	4,509		171,348,265

Note: The equivalent-Ag calculation is explained previously in this chapter. It reflects gross metal content using the metal prices cited earlier and has not been adjusted for metallurgical recoveries.

A detailed vein-by-vein breakdown of the estimated mineral resources is provided in the tables in the following pages:

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Silvercorp Metals Inc.

SGX AREA: VEIN-BY-VEIN MINERAL RESOURCE ESTIMATES - HIGH-GRADE (1,250 g/t Ag Equiv. cutoff)

											Contained metals
vein#	Width (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Cu (%)	Au (g/t)	Ag Equiv* (g/t)	Ag (oz)	Pb (t)	Zn (t)	Cu (t)	Au (oz)	Ag Equiv* (oz)
Measured Mineral Resources - High grade
S2	0.29	3,636	1,586	51.00	23.03	10.20			3,042	185,445	1,367	2,519			355,675
S2E	0.60	4,383	1,881	60.49	24.91	7.15			3,272	265,145	1,092	313			461,120
S4	0.36	1,011	1,408	45.26	30.00	9.66			3,132	45,760	303	98			101,821
S6	0.47	14,582	1,382	44.43	23.27	9.79			2,829	647,949	3,393	1,427			1,326,091
S7	1.05	6,311	632	20.33	13.75	7.57			1,572	128,271	868	478			318,892
S7-1	0.19	16,954	699	22.46	18.68	14.25			2,163	380,751	3,166	2,417			1,179,161
S8	0.61	27,943	1,698	54.58	18.94	5.34	1.87		2,750	1,525,149	5,292	1,492	523		2,470,914
S8-2	0.28	1,065	249	8.02	22.88	7.91			1,590	8,540	244	84			54,482
S14	0.34	22,607	1,788	57.47	36.41	3.84			3,506	1,299,212	8,231	867			2,548,440
S16E	0.61	29,680	1,276	41.03	12.65	11.19			2,341	1,217,638	3,755	3,322			2,233,915
S16W	0.49	53,822	1,014	32.59	20.95	10.13			2,379	1,754,293	11,276	5,452			4,116,189
S16W1	0.55	13,331	1,178	37.87	17.95	11.52			2,482	504,850	2,393	1,536			1,063,904
S21	0.48	18,788	1,085	34.87	15.43	9.39			2,182	655,086	2,899	1,765			1,317,826
S21W	0.31	1,059	839	26.99	16.22	4.48			1,736	28,590	172	47			59,140
Total	0.50	215,173	1,250	40.18	20.41	9.14			2,545	8,646,679	44,450	21,817	523		17,607,571
Indicated Mineral Resources - High-grade
S2	0.54	43,629	1,101	35.40	17.14	5.77			2,098	1,544,289	7,480	2,519			2,943,539
S2E	0.37	22,938	1,044	33.57	26.58	11.67			2,720	769,927	6,097	2,677			2,005,671
S4	0.25	1,845	785	25.24	39.55	4.21			2,654	46,556	730	78			157,387
S5	0.10	1,431	1,928	61.97	28.18	15.13			3,835	88,714	403	217			176,502
S6	0.40	46,429	1,494	48.03	30.82	7.49			3,150	2,230,006	14,310	3,480			4,702,460
S7	0.54	67,987	793	25.49	13.12	9.75			1,809	1,732,660	8,918	6,628			3,954,178
S7-1	0.24	49,831	608	19.55	12.23	7.66			1,488	974,203	6,096	3,819			2,384,033
S7-3	0.21	13,437	1,299	41.76	21.27	11.08			2,723	561,134	2,858	1,489			1,176,115
S8	0.61	28,483	1,750	56.26	19.98	8.99	1.68		3,020	1,602,338	5,691	2,561	479		2,765,241
S8E	0.44	19,890	1,106	35.56	7.20	7.38			1,761	707,363	1,433	1,468			1,125,871
S14	0.34	116,071	2,209	71.02	27.70	3.15			3,528	8,243,784	32,156	3,655			13,164,142
S16E	0.30	34,027	1,157	37.18	12.27	11.09			2,200	1,265,301	4,174	3,772			2,407,343
S16E3	0.67	10,149	1,008	32.40	15.67	12.56			2,265	328,794	1,591	1,275			739,189
S16W	0.46	111,911	819	26.33	18.43	8.55			2,002	2,946,394	20,625	9,568			7,204,983
S16W1	0.50	97,985	1,083	34.83	32.61	6.37			2,762	3,413,239	31,950	6,244			8,700,902
S21	0.42	115,283	1,180	37.94	20.08	5.74			2,300	4,373,633	23,146	6,618			8,524,008
S21W	0.19	5,761	1,241	39.90	32.25	2.86			2,737	229,869	1,858	165			507,051
Total	0.43	787,089	1,227	39.46	21.54	7.14			2,475	31,058,205	169,515	56,232	479		62,638,615
Measured+Indicated Mineral Resources - High-grade
S2	0.51	47,266	1,138	36.60	17.60	6.11			2,171	1,729,737	838	371			3,299,109
S2E	0.41	27,321	1,178	37.88	26.31	10.95			2,808	1,035,072	7,189	2,990			2,466,792
S4	0.29	2,856	1,005	32.33	36.17	6.14			2,823	92,316	1,033	175			259,208
S5	0.10	1,431	1,928	61.97	28.18	15.13			3,835	88,714	403	217			176,502
S6	0.42	61,011	1,467	47.17	29.02	8.04			3,073	2,877,956	17,703	4,907			6,028,551
S7	0.56	74,298	779	25.05	13.17	9.56			1,789	1,860,930	9,786	7,106			4,273,070
S7-1	0.23	66,785	631	20.29	13.87	9.34			1,659	1,354,954	9,262	6,235			3,563,194
S7-3	0.21	13,437	1,299	41.76	21.27	11.08			2,723	561,134	2,858	1,489			1,176,115
S8	0.61	56,426	1,724	55.43	19.46	7.18	1.77		2,886	3,127,486	10,983	4,053	1,001		5,236,154
S8-2	0.28	1,065	249	8.02	22.88	7.91			1,590	8,540	244	84			54,482
S8E	0.44	19,890	1,106	35.56	7.20	7.38			1,761	707,363	1,433	1,468			1,125,871
S14	0.34	138,678	2,140	68.81	29.12	3.26			3,524	9,542,996	40,387	4,522			15,712,581
S16E	0.45	63,707	1,212	38.97	12.45	11.13			2,266	2,482,940	7,929	7,094			4,641,259
S16E3	0.67	10,149	1,008	32.40	15.67	12.56			2,265	328,794	1,591	1,275			739,189
S16W	0.47	165,732	882	28.36	19.25	9.06			2,125	4,700,688	31,901	15,020			11,321,171
S16W1	0.50	111,317	1,095	35.20	30.85	6.99			2,728	3,918,089	34,343	7,780			9,764,806
S21	0.43	134,071	1,167	37.51	19.43	6.25			2,283	5,028,719	26,046	8,383			9,841,834
S21W	0.20	6,821	1,179	37.89	29.76	3.11			2,582	258,459	2,030	212			566,191
Total	0.44	1,002,261	1,232	39.62	21.30	7.57			2,490	39,704,887	205,956	73,381	1,009		80,246,081
Inferred Mineral Resources - High-grade
S2	0.54	154,085	1,159	37.25	18.01	6.26			2,216	257,820	1,309	2,849			10,976,957
S2E	0.40	45,831	1,196	38.45	26.30	10.59			2,809	1,762,317	12,054	4,854			4,138,388
S4	0.29	45,577	1,079	34.68	33.87	7.32			2,855	1,580,513	15,439	3,335			4,184,124
S5	0.10	4,018	1,928	61.97	28.18	15.13			3,835	249,032	1,132	608			495,464
S6	0.42	155,244	1,467	47.17	29.02	8.04			3,073	7,323,053	45,045	12,485			15,339,847
S7	0.56	106,553	779	25.05	13.17	9.56			1,789	2,668,841	14,034	10,191			6,128,197
S7-1	0.23	144,033	600	19.29	12.29	8.23			1,509	2,778,047	17,707	11,853			6,989,321
S7-3	0.21	18,801	1,299	41.76	21.27	11.08			2,723	785,147	3,998	2,084			1,645,639
S8	0.56	216,453	1,522	48.93	21.18	6.51	1.54		2,725	10,591,849	45,845	14,091	3,333		18,962,245
S8E	0.44	16,067	1,106	35.56	7.20	7.38			1,761	571,387	1,157	1,186			909,445
S14	0.34	161,470	2,115	68.01	30.65	3.25			3,563	10,981,152	49,498	5,247			18,497,436
S16E	0.41	108,619	1,172	37.68	13.46	11.27			2,275	4,093,066	14,625	12,238			7,945,013
S16E3	0.67	6,060	1,008	32.40	15.67	12.56			2,265	196,305	950	761			441,330
S16W	0.48	219,203	894	28.74	20.38	9.31			2,196	6,300,537	44,674	20,408			15,476,144
S16W1	0.52	174,725	1,137	36.57	30.15	6.98			2,741	6,389,505	52,677	12,190			15,396,787
S21	0.43	128,003	1,167	37.51	19.43	6.25			2,283	4,801,134	24,867	8,004			9,396,421
S21W	0.20	3,108	1,179	37.89	29.76	3.11			2,582	117,781	925	97			258,017
Total	0.44	1,707,850	1,219	39.19	21.80	7.57			2,498	61,447,487	345,936	122,480	3,333		137,180,776

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Silvercorp Metals Inc.

HZG AREA: VEIN-BY-VEIN MINERAL RESOURCE ESTIMATES

									Contained metal
vein#	Thickness (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Pb (%)	Cu (%)	Ag Equiv (g/t)	Ag (oz)	Pb (t)	Cu (t)	Ag Equiv (oz)
Indicated Mineral Resources
HZ10	0.72	50,643	146	4.68	2.50		251	237,219	1,267	0	409,177
HZ12	0.31	5,004	442	14.22	5.77		686	71,144	288	0	110,282
HZ20	0.84	176,505	738	23.72	1.53	1.10	976	4,185,873	2,708	1,941	5,540,647
HZ22	0.40	16,333	539	17.33	0.62	-	565	282,963	101	0	296,623
Total	0.78	248,484	598	19.23	1.76	0.78	796	4,777,198	4,364	1,941	6,356,729
Inferred Mineral Resources
HZ10	0.72	43,787	146	4.68	2.50		251	205,108	1,096	0	353,790
HZ12	0.31	5,948	442	14.22	5.77		686	84,567	343	0	131,090
HZ20	0.84	106,910	738	23.72	1.53	1.10	976	2,535,396	1,640	1,176	3,355,987
HZ22	0.40	114,397	539	17.33	0.62		565	1,981,931	705	0	2,077,611
Total	0.62	271,042	552	19.23	1.40	0.43	679	4,807,002	3,784	1,176	5,916,975

HPG AREA: VEIN-BY-VEIN MINERAL RESOURCE ESTIMATES

										Contained Metals
vein#	Width (m)	Tonnes	Ag (g/t)	Ag (oz/t)	Au (g/t)	Pb (%)	Zn (%)	Ag Equiv (g/t)	Ag (oz)	Au (oz)	Pb (t)	Zn (t)	Ag Equiv (oz)
Measured Mineral Resources
H15	1.20	23,667	114	3.67	1.45	5.72		434	86,950	1,103	1,354	0	330,007
H15-1	0.35	707	84	2.71	1.98	2.83		310	1,916	45	20	0	7,051
H17	1.15	9,304	125	4.03	1.49	7.01	2.80	634	37,480	445	652	261	189,752
H32	0.27	1,548	130	4.17		9.57		533	6,449	0	148	0	26,549
Total	0.99	35,226	117	3.77	1.41	6.28	1.28	519	132,794	1,594	2,174	261	553,359
Indicated Mineral Resources
H12	0.18	779	104	3.33		15.25		747	2,597	0	119	0	18,711
H15	1.04	54,958	88	2.82	0.86	4.90		341	155,118	1,520	2,693	0	602,260
H15-1	0.25	5,690	143	4.60	2.77	12.41		816	26,166	507	706	0	149,212
H17	1.15	42,932	85	2.72	4.65	3.06	1.17	519	116,717	6,415	1,314	502	717,020
H18	0.48	3,065	153	4.93	4.15	0.36		392	15,117	409	11	0	38,641
H32	0.24	10,193	110	3.53	0.80	9.83		567	35,959	262	1,002	0	185,961
B(1)	5.18	49,044	4	0.13	2.13	0.03		120	6,213	3,363	15	0	189,256
Total	0.95	166,661	67	2.15	2.33	3.52	0.30	355	357,887	12,476	5,859	502	1,901,060
Measured+Indicated Mineral Resources
H12	0.18	779	104	3.33		15.25		747	2,597	0	119	0	18,711
H15	1.08	78,625	96	3.08	0.98	5.07		363	242,066	2,481	3,987	0	916,607
H15-1	0.26	6,397	137	4.39	2.68	11.35		760	28,082	551	726	0	156,237
H17	1.15	52,236	92	2.95	4.08	3.76	1.47	540	154,204	6,860	1,964	770	907,445
H18	0.48	3,065	153	4.93	4.15	0.36		392	15,117	409	11	0	38,641
H32	0.25	11,741	112	3.61	0.78	9.79		568	42,409	294	1,150	0	214,235
B(1)	5.18	49,044	4	0.13	2.13	0.03		120	6,213	3,363	15	0	189,256
Total	0.96	201,887	76	2.43	2.15	3.95	0.38	376	490,687	13,959	7,972	770	2,441,131
Inferred Mineral Resources
H12	0.18	6,081	104	3.33	0.32	15.25		765	20,276	63	927	0	149,461
H15	1.08	291,347	96	3.08	0.98	5.07		363	896,985	9,195	14,775	0	3,396,528
H15-1	0.26	12,263	137	4.39	2.68	11.35		760	53,830	1,056	1,391	0	299,450
H17	1.15	1,173,297	125	4.03	1.49	7.01	2.80	634	4,726,502	56,173	82,233	32,906	23,929,381
H18	0.48	13,473	153	4.93	4.15	0.36		392	66,446	1,798	49	0	169,844
H32	0.25	16,761	112	3.61	0.78	9.79		568	60,541	420	1,641	0	305,852
Total	0.96	1,513,222	120	3.85	1.41	6.68	2.17	581	5,824,580	68,706	101,017	32,906	28,250,515

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 6: Longitudinal Projection of S14 Vein

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Silvercorp Metals Inc.

Figure 7: Longitudinal Projection of S16W Vein

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Silvercorp Metals Inc.

Figure 8: Longitudinal Projection of S21 Vein

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Silvercorp Metals Inc.

Figure 9: Tunnels and Veins at HPG Area

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Silvercorp Metals Inc.

Figure 10: Cross Section on Exploration Line 16

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Silvercorp Metals Inc.

Figure 11: Longitudinal Projection of H15 Vein

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Silvercorp Metals Inc.

Figure 12: Longitudinal Projection of H17 Vein

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 13: Tunnels and Veins at HZG Area

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 14: Longitudinal Projection of H20 Vein

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

Figure 15: Longitudinal Projection of H22 Vein

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

18. OTHER RELEVANT DATA AND INFORMATION

In the last previous 43-101 Technical Report on the Ying Project (Broili et.al., 2006) information relevant to development and production at Ying were covered in detail in this chapter. This included relevant information on mine site access, mine permitting, mining methods, mine design, mine ventilation, hydrology, ore sorting, ore haulage, ore milling, direct shipping ore, power supplies, manpower, metal markets, environmental permitting and similar issues, health and safety, capital costs, operating costs and a scoping-level economic analysis. The conclusions from this evaluation were positive and suggest: (1) there is a strong likelihood the Ying Project will be economically successful, and (2) none of the relevant information detains or detracts from the Ying Project operation.

Some of the more relevant positive features in the evaluation of the Ying operation were:

• proximity to Guxian Reservoir offers good access for supplies and ore haulage,
• availability of local power for the mine and mill facilities,
• topography favors accessing the veins by driving horizontal tunnels from the sides of the narrow valleys,
• ore and wall-rock mechanics allow the use of shrinkage stopes, providing 95% ore recoveries with minimum dilution,
• the several horizontal portals created for exploration can be used to provide a fast and effective method of moving the high-grade ore from underground
• abundant labor supply at low costs provides a major economic advantage over similar deposits in other parts of the world,
• prices for silver, lead and zinc quoted on the Shanghai Metal Exchange are about 13% above world prices due to a 13% Value Added Tax on metal imports levied by the Chinese government,
• access to a number of existing nearby custom mills and smelters,
• a capital payback period of zero because ore produced by development and exploration pays for the costs of development,
• a safety program implemented at Ying which exceeds Chinese standards and a current record of no serious injury or death.

The only relevant data of minor concern is the unlikely event of a natural catastrophe such as a major flood or earthquake that could impact safety or the environment.

Some new relevant information received after the last previous Technical Report is hydrological data provided by Zhengzhou Geological Engineering Exploitation Institute of Henan Province in a detailed hydrogeology report in May, 2006. The conclusions of this report are as follows:

• Seepages in veins (mine workings) are derived from wall rock fractures.
• The source of groundwater is rainfall.

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• Wall rock adjacent to mineralized veins is competent and blocky Archean gneiss that acts as an aquiclude; saturation rate in the mining area is low.
• Pumping tests demonstrate that waterflow into underground warkings is stable: 11.9 m³ /hr at 518m level in main access tunnel CM102 and 5.45 m³ /hr at 496m level in main access tunnel CM103 (the workings nearest to Guxian Reservoir).
• Hydrogeologic investigation and comparison of water quality proves that seepages in the S2 vein (the nearest vein to Guxian Reservoir) are not related to the Guxian reservoir).

Other new and relevant information collected as a follow-up to the hydrologic study is a TEM geophysical survey recently conducted by the Henan Non-ferrous Geology Institute for the Ying project. The TEM survey was done in February and March, 2007, in the northwest corner of the SGX Area. The purpose was to investigate the relationship between the Guxian reservoir and the veins. The survey revealed that a majority of the veins in the SGX Area and a few northeast-trending faults are parallel to the reservoir shoreline. The survey indicated the faults were probably not pathways allowing reservoir water to flow into the veins where mining is planned.

The TEM survey also showed excellent correlation between low resistivity anomalies and known mineralized veins.

In May, 2007, a TEM survey was conducted in the HZG Area. Survey lines were perpendicular to the veins and spaced 100 m by 20 m. To date, 14 lines have been completed and show TEM anomalies that correlate with the known veins. One anomaly suggests the presence of a vein 200 to 300 m southeast of the HZ20 vein. Surface mapping may be able to better define the vein structure.

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Silvercorp Metals Inc.

19. INTERPRETATION AND CONCLUSIONS

Silvercorp has completed to date, since August, 2004, to August, 2007, 74,619 m of underground workings and 78,581 m of underground and surface drilling in 280 holes. This work has defined silver-lead-zinc-gold-copper resources in numerous shoots within 29 veins averaging 0.39 m wide at SGX (18 veins), 0.96 m wide at HPG (8 veins) and 0.78 m wide at HZG (4 veins). The mineralization is hosted by quartz-ankerite veins cutting Precambrian age gneisses, and is similar to the important mesothermal vein system of the famous Coeur d’Alene District, USA, and other similar silver-lead-zinc districts throughout the world.

New resource calculations presented in this report consist of high and low grade, measured plus indicated resources at SGX, HPG and HZG of 2,251,731 tonnes with contained metals of 50.89 million ounces of Ag, 256,483 tonnes of Pb, and 111,389 tonnes of Zn, 2,942 tonnes of Cu and 15,393 ounces of Au. The inferred resource is 3,492,114 tonnes with contained metals 72.08 million ounces of Ag, 450,737 tonnes of Pb, and 155,386 tonnes of Zn, reflecting more than a 30% increase from one year ago (Broili et al, 2006).

During the past three years, Silvercorp has rapidly expanded the silver-lead-zinc resources defined in the Ying veins. In addition, they have found new, albeit small, resources of gold and copper. Silvercorp’s resource additions is due to an aggressive program of underground exploration and development tunnels, declines, raises and crosscuts which have been successful in intersecting new veins and expanding or upgrading existing resources in known veins. Considering the geologic setting of the area and the large areas of known and potential vein systems yet to be explored in detail, it is highly likely that by continuing a similar level of exploration-development many more new veins will be discovered and significant extensions to known veins will be defined.

The expected economic viability of the Ying Project was scoped at length in the last previous Technical Report which concluded that the project, based on the estimated resources known at that time, would likely be a financial success (Broili, et.al., 2006). Since then, the estimated resources at HPG and Ying, calculated using the same parameters as in the last report, have increased significantly, roads and other infrastructure have improved, and a 600 tpd mill has been completed to produce high quality concentrates in close proximity to the property. Considering these improvements, an update to the previous review of project economics would be of interest. Such a review, however, is beyond the scope of this current Technical Report.

We consider HPG and Ying to be an advanced production stage project of considerable merit. With geological interpretation and understanding of the Ying property and considering its similarity to the Coeur d’Alene district, we would expect the aggressive tunneling and drilling program recommended in this report as the Phase 4 Exploration Program could well extend the life of the HPG and Ying operation by many years.

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Silvercorp Metals Inc.

20. RECOMMENDATIONS

We (the authors) together with Mr. Myles Gao, President of Silvercorp, reviewed Silvercorp’s proposed work program and we recommend a Phase 4 Exploration Program. This program is designed to upgrade inferred mineral resources to indicated and measured and to discover additional mineral resources in the Ying and the recently acquired HPG target areas. The estimated cost of this program for 2007 will be approximately US$7.5 million and is broken down as follows:

Project	Area	Program	Meters	Unit Cost (US$/m)	Budget (US$)	Work Completed (m)
Ying	SGX	Tunneling  Underground Drilling	7,500 12,000	129 32	838,816 338,158	6,943 13,630
	HZG	Tunneling  Underground Drilling  Surface Drilling	10,000 3,000 18,100	129 23 95	1,118,421 59,211 1,500,395	2,652 524 10,167
	XM	Surface Drilling	500	64	27,632	479
	SDG-LJG	Tunneling	1,550	129	173,355	836
		Drilling	4,000	95	331,579
	RHW	Surface Drilling	2,980	64	164,684	1,981
	TEM Geophysical Survey		70 km2		263,158	1
	Ying Total		59,630		4,815,408	35,231
HPG	HPG	Tunneling  Surface Drilling	14,670 12,936	129 95	1,640,724 1,234,800	4,463 759
	HPG Total		27,606		2,875,524	5,222

For the Ying Project, this program includes:

• SGX area – tunneling and drilling on known veins (S2, S6, S7, S7-1, S8, S8E, S10, S11, S14, S16E, S16W, S19, and S21) through main access tunnels CM101, CM102, CM103, PD640, PD680, PD700, YPD01, YPD02 and YM01 at the SGX;
• HZG area – tunneling and drilling on HZ3, HZ5, HZ10, HZ12, HZ18, HZ20 and HZ22, with drilling concentrated mainly on the HZ20 vein;
• XM – drilling on X1 and X8 veins;
• SDG-LJG – tunneling and drilling along the C29 vein (which is about 8 km long);
• RHW area – drilling on C8 and C9;
• Conducting a TEM geophysical survey over the entire Ying property.

For the HPG Area, this program includes:

• Tunneling on veins H5, H13, H15, H17, H18, H20, and H32, with drilling focused on the H15, H16, and H17 veins.

BK Exploration Associates 63

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Silvercorp Metals Inc.

21. REFERENCES

1.	The Tectonic Evolution and Mineralization in the South Margin of North China Block, 1997.
2.	Bateman, A.M. 1951; The Formation of Mineral Deposits: John Wiley and Sons, Inc.
3.	Beaudoin, G., and Sangster, D.F., 1992; A Descriptive Model for Silver-Lead-Zinc Veins in Clastic Metasedimentary Terranes, Economic Geology, v. 87.
4.	Broili, C., 2004; Technical Report For SKN Resources Ltd. on the Ying Silver-Lead-Zinc Project, Henan Province, China, April 21, 2004.
5.	Broili, C., 2005; Technical Report For SKN Resources Ltd. on the Ying Silver-Lead-Zinc Project, Henan Province, China, April 18, 2005.
6.	Broili, C., Klohn, M., Yee, J.W., Fong, C.S.Y, and Petrina, M.A., 2006; Technical Update 2006 for Silvercorp Metals Inc. on the Ying Silver-Lead-Zinc Project, Henan Province, China, May 26, 2006.
7.	Broili, C., Yee, J.W., and Fong, C.S.Y, 2006; Technical Update 2006 for Silvercorp Metals Inc. on the Ying Silver-Lead-Zinc Project, Henan Province, China, April 18, 2006.
8.	Lefebure, D.V., and Church, B.N., 1996; Polymetallic Veins Ag-Pb-Zn±Au, British Columbia Ministry of Energy of Employment and Investment, Open File 1996-13.
9.	Lindgren, W. 1913; Mineral Deposits: McGraw-Hill Book Company, Inc.
10.	Park, C.F. & MacDiarmid, R.A., 1970; Ore Deposits: W.H. Freeman and Company.
11.	Xu, A., Schrimpf, T., and Liu, Z., 2006; Technical Review on HPG Silver-Lead Project, Luoning County, Henan Province, People’s Republic of China; Report prepared for Silvercorp Metals, Inc. by SRK Consulting, Beijing, China.

BK Exploration Associates 64

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Silvercorp Metals Inc.

22. DATE AND SIGNATURE PAGE

	“Chris Broili”
Centralia, Washington, U.S.A.	Chris Broili, C.P. Geo. & L.P. Geo.
August 16, 2007	Consulting Geologist
	BK Exploration Associates
	“Mel Klohn”
Spokane Valley, Washington, U.S.A.	Mel Klohn,, L.P. Geo.
August 16, 2007	Senior Consultant
	BK Exploration Associates

BK Exploration Associates 65

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

CERTIFICATE OF QUALIFIED PERSON

1.	I, Chris Broili, of 2104 Graf Road, Centralia, Washington, U.S.A., am currently an Exploration Geologist with BK Exploration Associates.
2.	I am the primary author responsible for the preparation of the technical report titled " Update –2007– for Silvercorp Metals Inc. on the Ying Silver-Lead-Zinc and the HPG Gold-Silver-Lead Projects, Henan Province, People’s Republic of China" and dated August 16, 2007 (the “Technical Report”).
3.	I graduated with a Bachelor’s degree in Geology from Oregon State University (B.Sc.) and a Master’s degree in Economic Geology from the University of Idaho, College of Mines (M.Sc.). I am a licensed Professional Geologist in the State of Washington (#547), a Certified Professional Geologist in the United States (#7937) with the American Institute of Professional Geologists, a Fellow of the Society of Economic Geologists, and a member of the American Institute of Mining and Metallurgy. My relevant experience for purposes of this Technical Report include Senior Minerals Geologist with Union Carbide Corp. and Atlas Precious Metals Inc., Vice President of Exploration for Yamana Resources Inc., Vice President of Exploration for Mines Management Inc., and Senior Geological Consultant for numerous junior and senior mining companies. I have been directly involved in mining exploration for the past 35 years. I have read the de finition of “qualified person” set out in NI 43-101 (“NI 43-101”) and certify that by reason of my education, affiliation with a professional association (as defined in NI 43-101) and past relevant work experience, I fulfill the requirements to be a “qualified person” for the purposes of NI 43-101.
4.	I visited the properties and reviewed data on January 9th through 12th, 2006, (four days) and March 18th through 24th, 2006, (six days) with the technical staff of Silvercorp Metals and Henan Found Mining Ltd.
5.	I am responsible for Chapters 2 through 4, 7 through 13, 15, 18 and 19 of this report.
6.	I am independent of the issuer applying all of the tests in section 1.5 of NI 43-101.
7.	I have had previous involvement with the Ying Project. I have no interest, nor do I expect to receive any interest, either directly or indirectly, in the Ying Project, nor in the securities of Silvercorp Metals Inc.
8.	I have read NI 43-101 and Form 43-101F1, and the Technical Report has been prepared in compliance with that instrument and form.
9.	I am not aware of any material fact or material change with respect to the subject matter of the Technical Report that is not reflected in the Technical Report, the omission to disclose which makes the Technical Report misleading.

Dated this 16th day of August, 2007
Centralia, Washington, U.S.A.

“Chris Broili”

Chris Broili, C.P. Geo. & L.P. Geo.

BK Exploration Associates 66

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

CERTIFICATE OF QUALIFIED PERSON

1.	I, Mel Klohn, of 11309 E. 48th Ave., Spokane Valley, Washington, U.S.A., am currently a Senior Consulting Exploration Geologist for BK Exploration Associates, a director of Red Hill Energy, Inc., a director of International Enexco, Inc., and a director of Nevoro, Inc.
2.	I am a co-author responsible for the preparation of the Technical Report titled “Update on the Ying Silver-Lead Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China, Prepared for Silvercorp Metals Inc.” and dataed August 16, 2007.
3.	I graduated with B.Sc. and M.Sc. degrees in Geology from the University of Oregon. I am a licensed Professional Geologist (#830) with the State of Washington, a member of the Society of Economic Geologists, the Canadian Institute for Mining and Metallurgy, and the Society for Mining Metallurgy and Exploration. I have been directly involved in resource exploration for the 40 years since my graduation, serving 25 years as a Professional Geologist and Senior Research Geoscientist for Exxon Corporation, and subsequently as Vice President of Exploration for Yamana Resources Inc., Yamana Gold Inc., Samba Gold Inc., and most recently Aura Gold Inc. I have read the definition of “qualifed person” set out in National Instrument 43-101 (“NI 43-101”) and certify that by reason of my education, affiliation with a professional association as defined in NI 43-101, and past relevant work experience, I fulfill the requirements to be a “qualified person” for the purposes of NI 43-101.
4.	I visited the Ying and HPG properties from July 15 through 23, 2007, where I also reviewed property data, and reviewed further data in the Silvercorp Metals Inc. office in Vancouver from August 4 through 11, 2007.
5.	I am responsible for Chapters 1, 5, 6, 14, 16, 17 and 20 of this report.
6.	I am independent of the issuer applying all of the tests in section 1.5 of NI 43-101.
7.	I have had no previous involvement with the Ying and HPG Projects, and I have no interest, nor do I expect to receive any interest, either directly or indirectly, in the Ying Project, nor in the securities of Silvercorp Metals Inc.
8.	I have read National Instrument 43-101 and Form 43-101F, and the Technical Report has been prepared in compliance with that instrument and form.
9.	I certify that, as of the date of this Certificate, to the best of my knowledge, information and belief, this Technical Report contains all scientific and technical information that is required to be disclosed to make the Technical Report not misleading.

Dated this 16th day of August, 2007,
Spokane Valley, Washington, U.S.A.

“Mel Klohn”

Mel Klohn, L.P.Geol

BK Exploration Associates 67

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

CONSENT OF AUTHORS

TO:	Toronto Stock Exchange
	Ontario Securities Commission
	British Columbia Securities Commission
	Alberta Securities Commission
	Saskatchewan Securities Commission
	Manitoba Securities Commission
	New Brunswick Securities Commission
	Nova Scotia Securities Commission

We, Chris Broili, C.P. Geo & L.P. Geo., of 2104 Graf Road, Centralia, Washington, U.S.A. and Mel Klohn, L.P. Geo., of 11309 E. 48th Ave., Spokane Valley, Washington, U.S.A do hereby consent to the filing, with the regulatory authorities referred to above, of the technical report titled "Technical Report – Update on the the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, People’s Republic of China" prepared for Silvercorp Metal Inc. and dated August 16, 2007, (the "Technical Report") and to the written disclosure of the Technical Report and of extracts from or a summary of the Technical Report in the written disclosure in the Annual Information Form of Silvercorp Metals Inc. being filed.

Dated this 16th day of August, 2007

“Chris Broili”

Chris Broili, C.P. Geo. & L.P. Geo.

“Mel Klohni”

Mel Klohn, L.P. Geo.

BK Exploration Associates 68

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

APPENDIX I DRILL HOLE ASSAY RESULTS

Drill	Mineralized	Sample	From (m)	To (m)	Core Interval	True Width	Distance to	Elevation (m)	Ag (g/t)	Ag (oz/t)	Pb (%)	Zn (%)	Ag Equivalent	Ag Equivalent	Cu (%)
Holes	Veins				s (m)	(m)	CM103-
ZK0606	S2	B746348	20.21	20.69	0.48	0.48	450.80	483.26	46.00	1.47	0.43	6.61	378.00	12.14
ZK1207		B747277	120.50	120.70	0.20	0.19	198.58	463.05	37.00	1.18	1.12	5.47	344.00	11.04
ZK1009		B744078	218.25	218.85	0.60	0.46	247.00	363.00	277.00	8.90	0.56	1.26	360.00	11.58
ZK1211		B739735	148.30	149.11	0.81	0.53	197.00	411.00	116.00	3.74	1.32	0.41	191.00	6.15
ZK1807	S2E	B747255	247.55	247.80	0.25	0.19	-58.13	357.07	821.00	26.41	4.70	7.83	1391.00	44.73
ZK1605		B39711	94.61	94.92	0.31	0.21	-20.00	382.00	922.00	29.63	55.11	11.18	3778.00	121.46
ZK1608		C500757	172.12	172.67	0.55	0.17	-21.00	296.00	19.00	0.61	1.67	1.92	181.00	5.82
ZK1009	S4	B744079	251.30	251.85	0.55	0.42	254.00	335.00	207.00	6.65	2.82	2.34	437.00	14.05
ZK1807	S5	B747253	81.25	81.65	0.40	0.29	-44.40	482.34	245.00	7.87	0.37	0.14	267.00	8.58
ZK807	S6	B740694	0.00	0.67	0.67	0.56	243.04	482.33	2931.00	94.23	32.13	4.57	4504.00	144.80
ZK811		B743115	0.00	2.02	2.02	0.92	457.59	482.18	440.00	14.13	4.70	1.68	718.00	23.07
ZK817		B743102	0.96	1.39	0.43	0.27	220.57	481.47	1193.00	38.35	7.96	0.87	1570.00	50.48
ZK814		B747266	2.73	4.04	1.31	0.48	458.08	480.25	2986.00	96.00	51.03	5.14	5384.00	173.09
ZK812		B746322	3.34	4.13	0.79	0.47	449.39	479.98	4701.00	141.14	68.76	2.21	7707.00	247.80
ZK815		B746395	4.16	5.53	1.37	0.49	454.93	478.28	1998.00	64.24	42.41	6.15	4080.00	131.16
ZK0202		ZK0202	176.90	177.30	0.40	0.18	671.03	429.87	90.00	2.89	1.25	5.70	414.00	13.30
ZK1207		B747282	224.70	224.80	0.10	0.24	213.43	391.75	63.00	2.02	0.32	1.73	159.00	5.10
ZK1210		B743157	224.65	224.95	0.30	0.26	220.88	370.46	55.00	1.75	1.94	1.20	193.00	6.22
ZK8A01		C500625	269.33	269.65	0.32	0.23	354.00	370.00	200.00	6.41	6.92	0.22	502.00	16.14
ZKY4-1	S7	B740938	57.54	58.62	1.08	0.59	-595.00	530.00	203.00	6.51	13.35	13.70	1416.00	45.53
ZK1409		B744883	91.36	91.86	0.50	0.44	-15.00	597.00	1938.00	62.31	3.51	9.96	2559.00	82.27
ZK14A08		B744058	102.77	103.25	0.48	0.42	38.00	601.00	164.00	5.26	3.02	9.90	761.00	24.47
ZK14B01		C500551	177.62	177.86	0.24	0.12	-101.00	465.00	1184.00	38.05	7.45	2.86	1634.00	52.53
ZK4A06		C499861	173.44	174.16	0.72	0.67	412.00	663.00	183.00	5.88	1.32	0.29	252.00	8.10
ZK5504	S7-1	B746353	110.75	110.96	0.21	0.14	492.36	481.62	197.00	6.35	0.46	12.36	804.00	25.84
ZK5105		ZK5105	130.66	130.96	0.30	0.17	449.99	468.21	59.00	1.90	0.20	18.01	922.00	29.66
ZK14A02		B747262	201.71	201.87	0.16	0.10	40.17	392.98	845.00	27.16	2.40	7.05	1280.00	41.17
ZK14A08		B744064	115.25	115.90	0.65	0.56	43.00	605.00	110.00	3.52	1.96	20.09	1146.00	36.85
ZK1903		B739730	158.65	159.80	1.15	0.59	1673.00	564.00	605.00	19.46	1.70	8.92	1101.00	35.38
ZK1907		B742463	305.90	306.20	0.30	0.16	1686.00	374.00	986.00	31.71	1.25	7.03	1373.00	44.14
ZK6A06		C500776	163.47	163.58	0.11	0.11	330.00	662.00	507.00	16.30	22.21	16.30	2218.00	71.31
ZK1905	S7-3	B744099	324.78	325.15	0.37	0.30	1672.00	374.00	2711.00	87.16	23.02	13.18	4308.00	138.52
ZK12B01	S8	B743162	107.07	107.38	0.31	0.28	-60.60	506.10	58.00	1.85	0.32	6.29	370.00	11.89
ZK12B02		ZK12B02	145.27	146.07	0.80	0.49	-51.00	440.00	329.00	10.58	0.41	0.87	388.00	12.46
ZK3201		B740959	205.90	206.55	0.65	0.31	-981.00	427.00	44.00	1.40	8.93	1.50	492.00	15.81
ZK3001		B740954	149.96	150.52	0.56	0.34	-876.00	433.00	172.00	5.53	2.00	0.74	291.00	9.37
ZK32A01	S8E		171.86	172.66	0.80		-928.00	431.00	17.00	0.53	3.49	0.10	169.00	5.42
ZK1602	S14	B746385	151.69	152.02	0.33	0.09	-23.80	446.24	54.00	1.74	3.22	2.12	290.00	9.34
ZK16A01		B747226	158.47	158.89	0.42	0.33	-63.42	443.91	1297.00	41.69	17.26	29.73	3436.00	110.48
ZK816		B747291	86.85	87.17	0.32	0.30	495.33	437.81	1096.00	35.24	42.30	0.60	2909.00	93.54
ZK807		B740699	86.94	87.26	0.32	0.27	455.96	411.12	4296.00	138.12	31.70	2.35	5745.00	184.71
ZK812		B746325	104.20	104.55	0.35	0.21	394.71	408.66	8205.00	263.80	33.47	2.64	9743.00	313.24
ZK1820		B743141	190.00	190.85	0.85	0.48	-110.22	407.95	518.00	16.65	3.84	1.79	765.00	24.60
ZK0216		B746392	202.23	202.53	0.30	0.18	638.48	406.30	4494.00	144.49	18.31	0.61	5296.00	170.26
ZK814		B747266	134.85	135.80	0.95	0.48	367.28	386.83	1941.00	62.40	2.15	0.53	2057.00	66.13
ZK16B01		B747294	193.40	194.80	1.40	0.89	-62.50	386.33	358.00	11.52	2.68	4.94	706.00	22.69
ZK0202		B746377	270.40	270.75	0.35	0.16	698.76	340.47	1419.00	45.63	25.15	1.27	2541.00	81.68
		B747285
ZK1207		B747286	319.60	321.00	1.40	1.12	214.41	328.92	1928.00	62.00	23.99	3.37	3101.00	99.68
		B747287
ZK1210		B743159	370.40	370.55	0.15	0.15	217.60	270.93	283.00	9.08	4.99	4.57	710.00	22.83
ZK16B02		B743177	277.85	278.45	0.60	0.29	-62.00	286.00	1078.00	34.67	14.71	2.66	1825.00	58.69
ZK1007		B743186	331.95	332.80	0.85	0.29	306.00	302.00	891.00	28.63	14.59	0.70	1539.00	49.49
		B744866
ZK12A07		B744867	330.25	332.60	2.35	1.41	168.00	319.00	138.00	4.45	0.54	2.09	261.00	8.38
		B744868
ZK1606		B744875	246.05	246.60	0.55	0.30	-20.00	319.00	370.00	11.91	5.49	4.10	797.00	25.61
ZK14A03		B744889	194.15	194.85	0.70	0.45	-37.00	386.00	1919.00	61.70	56.86	0.52	4343.00	139.63
ZK1211		B739740	499.20	499.60	0.40	0.32	219.00	93.00	435.00	13.98	1.07	0.28	493.00	15.86
ZK16B04		C500648	319.88	320.20	0.32	0.11	-73.00	237.00	221.00	7.11	6.77	1.28	567.00	18.24
ZK814	S14-2		124.47	124.62	0.15		369.60	394.17	929.00	29.86	7.64	1.33	1314.00	42.25
ZK814	S14-3		116.81	117.09	0.28		374.72	399.59	205.00	6.59	0.21	0.30	228.00	7.34
ZK5805	S16E	B741721	327.10	327.40	0.30	0.29	323.00	297.00	399.00	12.83	0.91	8.55	843.00	27.11
ZK7405	S16W	B743127	354.20	354.90	0.70	0.59	-20.86	356.08	1055.00	33.92	0.20	3.99	1253.00	40.28
ZK5805		B741726	378.35	379.00	0.65	0.62	331.00	255.00	82.00	2.63	0.28	0.56	120.00	3.87
ZK6006		C500799	435.85	436.35	0.50	0.38	265.00	176.00	34.00	1.09	3.81	0.06	198.00	6.36
ZK6308	S16W1	B747209	306.60	306.85	0.25	0.20	930.30	434.82	2179.00	70.05	48.58	13.11	4851.00	155.97
ZK7405	S21	B743123	25.40	28.30	2.90	0.08	-1.89	548.46	66.00	2.11	0.37	0.50	105.00	3.39
ZK7205		B743192	27.90	28.18	0.28	0.22	-0.30	544.53	136.00	4.38	0.14	0.25	154.00	4.95
ZKY4-2		B740947	65.94	67.59	1.65	0.67	-585.00	518.00	66.00	2.13	1.87	4.92	379.00	12.18
ZKY4-1		B740935	41.40	42.82	1.42	0.78	-574.00	545.00	377.00	12.10	4.70	16.44	1355.00	43.57
ZKY3-2		B740956	65.62	66.35	0.73	0.476	-508.00	541.00	94.00	3.03	4.79	9.98	770.00	24.76
ZKY3-1		B740962	65.93	66.53	0.60	0.44	-479.00	530.00	662.00	21.28	3.54	8.47	1213.00	39.01
ZKY6-5		B740986	68.73	69.10	0.37	0.21	-334.00	551.00	1741.00	55.98	10.01	24.66	3334.00	107.20
ZKY6-3		B740983	59.72	60.67	0.95	0.83	-267.00	554.00	212.00	6.81	6.15	7.50	828.00	26.61
ZK7406		B744891	29.05	29.60	0.55	0.385	-3.00	543.00	1585.00	50.96	47.51	10.80	4103.00	131.90
ZK6006		C500788	296.16	296.78	0.62	0.40	133.00	300.00	607.00	19.51	40.65	2.06	2420.00	77.80
		C500789	296.16	296.51	0.35	0.21	including		993.00	31.92	71.19	3.20	4149.00	133.39
ZK6005		B742481	259.70	260.26	0.56	0.398	147.00	356.00	418.00	13.44	10.28	0.99	899.00	28.91
ZK5805		B741714	281.90	282.30	0.40	0.26	188.00	334.00	193.00	6.21	4.72	6.15	684.00	22.01

BK Exploration Associates 69

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

APPENDIX II DRILL HOLE COLLAR DOWNHOLE SURVEY

Drill Hole	Northing (m)	Easting (m)	Elevation	From	To	Azimuth	Dip	Veins intercepted
ZK15101	3779637.58	524296.39	940.43	0	25	315	-60	HZ20 HZ22
				25	75	320.3	-59.77	HZ20 HZ22
				75	125	319.7	-58.6	HZ20 HZ22
				125	175	320.53	-58.2	HZ20 HZ22
				175	225	322.13	-56.2	HZ20 HZ22
				225	275	319.87	-54.2	HZ20 HZ22
				275	325	320.37	-54	HZ20 HZ22
				325	375	320.67	-53.8	HZ20 HZ22
				375	425	320.57	-53.7	HZ20 HZ22
				425	445.8	319.93	-53.37	HZ20 HZ22
ZK15301	3779638.07	524295.30	940.37	0	25	277	-82	HZ20 HZ22
				25	75	273.67	-81.3	HZ20 HZ22
				75	125	273.7	-81.3	HZ20 HZ22
				125	175	271.07	-81.6	HZ20 HZ22
				175	225	274.47	-80.0	HZ20 HZ22
				225	275	276.77	-80.0	HZ20 HZ22
				275	325	275.33	-80.6	HZ20 HZ22
				325	375	278.7	-79.37	HZ20 HZ22
				375	425	279.47	-78.17	HZ20 HZ22
				425	485	283.8	-76.9	HZ20 HZ22
				485	522	281.93	-76	HZ20 HZ22
ZK15501	3779639.45	524294.10	940.37	0	25	224	-60	HZ20 HZ22
				25	75	229.53	-59.77	HZ20 HZ22
				75	125	230.30	-58.60	HZ20 HZ22
				125	175	228.33	-58.20	HZ20 HZ22
				175	225	230.57	-58.80	HZ20 HZ22
				225	275	230.87	-58.80	HZ20 HZ22
				275	325	231.47	-59.43	HZ20 HZ22
				325	375	230.83	-58.83	HZ20 HZ22
				375	425	231.67	-58.97	HZ20 HZ22
				425	465	231.67	-58.90	HZ20 HZ22
				465	483.00	232.90	-59.30	HZ20 HZ22
ZK15901	3779498.67	524294.45	955.23	0	25	270	-50	HZ20 HZ22

BK Exploration Associates 70

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

				25	75	270	-49.8	HZ20 HZ22
				75	125	269.9	-49	HZ20 HZ22
				125	175	270.4	-49	HZ20 HZ22
				175	225	271.9	-48.6	HZ20 HZ22
				225	275	270.3	-47.5	HZ20 HZ22
				275	315.5	271.4	-46.8	HZ20 HZ22
				315.5	331.00	271.5	-46.1	HZ20 HZ22
ZK16901	3779260.47	524217.27	926.20	0	25.65	270	-45	HZ20 HZ22
				25.65	75.7	271	-44.5	HZ20 HZ22
				75.7	125.15	271	-44.5	HZ20 HZ22
				125.15	175.5	270.5	-44	HZ20 HZ22
				175.5	225.4	270	-43.5	HZ20 HZ22
				225.4	275.65	270.5	-43.5	HZ20 HZ22
				275.65	310.05	270	-43.5	HZ20 HZ22
				310.05	318.80	270	-43.5	HZ20 HZ22
ZK15102	3779725.89	524428.57	983.91	0	24.72	270	-70	HZ20 HZ22
				24.72	75.205	270	-70.5	HZ20 HZ22
				75.205	127.395	271	-71	HZ20 HZ22
				127.395	180.01	271.5	-71	HZ20 HZ22
				180.01	228.97	274	-70	HZ20 HZ22
				228.97	276.71	273.5	-70	HZ20 HZ22
				276.71	328.93	274	-69.5	HZ20 HZ22
				328.93	378.83	273.5	-68.5	HZ20 HZ22
				378.83	424.405	273.5	-68.5	HZ20 HZ22
				424.405	447.33	272	-68.5	HZ20 HZ22
ZK14301	3779901.67	524273.46	1024.84	0	25.35	270	-66	HZ20
				25.35	75.45	269.5	-66	HZ20
				75.45	125.8	269.5	-66	HZ20
				125.8	175.8	270	-66	HZ20
				175.8	226.45	270	-66	HZ20
				226.45	277.35	270	-66.5	HZ20
				277.35	330.45	270	-66.3	HZ20
				330.45	358.90	269.5	-66.3	HZ20
ZK13101	3780195.61	524211.81	930.63	0	25	270	-83	HZ20
				25	75	270	-83.0	HZ20
				75	125	270.35	-83.0	HZ20
				125	175	270.6	-82.6	HZ20
				175	225	270.9	-82.8	HZ20

BK Exploration Associates 71

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

				225	279.4	271.25	-83.25	HZ20
				279.4	308.8	271.9	-83.75	HZ20
				0	25	270.00	-83.00	HZ20
				25	75	269.00	-83.10	HZ20
				75	125	269.00	-83.20	HZ20
				125	175	269.00	-82.60	HZ20
ZK12701	3780297.17	524210.03	912.77	175	225	267.00	-82.10	HZ20
				225	275	267.50	-81.50	HZ20
				275	325	266.50	-80.50	HZ20
				325	375	265.00	-80.50	HZ20
				375	430	264.00	-80.50	HZ20
				430	460.50	264.00	-79.50	HZ20
				0	25	270	-83	HZ20
				25	75	270	-83.0	HZ20
				75	125	271.25	-82.6	HZ20
				125	175	271.35	-82.3	HZ20
ZK13102	3780192.147	524279.10	887.85	175	225	271.9	-82.6	HZ20
				225	275	268	-83.6	HZ20
				275	325	267	-84.8	HZ20
				325	375	269	-84.25	HZ20
				375	423.85	270.5	-85.35	HZ20
				423.85	447.7	271.5	-85.75	HZ20
				0	25	270	-60	HZ20 HZ22
				25	75	270	-60	HZ20 HZ22
				75	125	270.5	-60.5	HZ20 HZ22
				125	174.95	271	-60	HZ20 HZ22
ZK15103	3779725.894	524428.07	983.91	174.95	224.95	271	-60	HZ20 HZ22
				224.95	275.55	271	-59.5	HZ20 HZ22
				275.55	326.7	271	-59.5	HZ20 HZ22
				326.7	376.45	271	-59	HZ20 HZ22
				376.45	421	270.5	-59	HZ20 HZ22
				421	441.4	270	-58.5	HZ20 HZ22
ZK15902	3779498.674	524295.647	955.230	0	25	270	-80	HZ20 HZ22
				25	75	274.5	-80.5	HZ20 HZ22
				75	125	273.3	-79.5	HZ20 HZ22
				125	175	272.8	-78.3	HZ20 HZ22
				175	225	271	-77.6	HZ20 HZ22
				225	275	269	-77.5	HZ20 HZ22

BK Exploration Associates 72

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

				275	325	267.6	-75.9	HZ20 HZ22
				325	375	268.2	-74.4	HZ20 HZ22
				375	425	266.7	-73.3	HZ20 HZ22
				425	475	270.1	-70.2	HZ20 HZ22
				475	519.55	269.3	-67.7	HZ20 HZ22
				519.55	539.1	269.3	-67.7	HZ20 HZ22
				0	26.15	270	-55	HZ20
				26.15	78.125	271	-55	HZ20
				78.125	127.9	269.5	-54.5	HZ20
ZK13501	3780095.17	524284.58	918.78	127.9	176.66	270	-54	HZ20
				176.66	227.115	270	-54	HZ20
				227.115	266.19	270	-54.5	HZ20
				266.19	279.62	270	-54.5	HZ20
				0	25	270	-60	HZ20
				25	75	270.5	-69	HZ20
				75	125	270.5	-68	HZ20
ZK13701	3780045.39	524306.75	947.96	125	175	270.5	-67.5	HZ20
				175	225	270.5	-67	HZ20
				225	275	271	-67	HZ20
				275	325.5	270.5	-66.5	HZ20
				325.5	350.8	270.5	-66.5	HZ20
				0	25.15	270	-82	HZ20
				25.15	75.3	270.5	-81.8	HZ20
				75.3	125.15	270	-81.8	HZ20
				125.15	175.05	270	-81	HZ20
				175.05	225.65	269.5	-82	HZ20
ZK14302	3779901.67	524273.96	1024.84	225.65	276.25	269.5	-82	HZ20
				276.25	326.85	269.5	-82	HZ20
				326.85	376.65	269	-81.5	HZ20
				376.65	426.8	269	-81	HZ20
				426.8	464.6	269	-82	HZ20
				464.6	476.5	268.5	-82	HZ20
				0	25	270	-83	HZ20
				25	75	270	-83.1	HZ20
zk13103	3780194.98	524160.15	963.08	75	125	270.1	-83.1	HZ20
				125	175	270.6	-83.4	HZ20
				175	231.55	270.7	-83.5	HZ20
				231.55	263.10	271.25	-83.7	HZ20

BK Exploration Associates 73

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

				0	25	270	-65	HZ20 HZ22
				25	75	272.7	-65.5	HZ20 HZ22
				75	125	272.1	-64.5	HZ20 HZ22
				125	175	272.3	-65	HZ20 HZ22
zk15903	3779498.674	524295.147	955.230	175	225	271.6	-64.9	HZ20 HZ22
				225	275	270.2	-64.8	HZ20 HZ22
				275	325	269.8	-64.1	HZ20 HZ22
				325	375	268.8	-64.6	HZ20 HZ22
				375	425	268.6	-64.2	HZ20 HZ22
				425	450.00	266.1	-63.8	HZ20 HZ22
				0	25.6	270	-87	HZ20
				25.6	75.85	269	-87	HZ20
				75.85	125.65	269	-86.5	HZ20
				125.65	175.95	269.5	-86.5	HZ20
				175.95	226.4	270	-86	HZ20
zk14501	3779838.90	524251.41	1035.43	226.4	276.2	270.5	-86.5	HZ20
				276.2	325.75	270.5	-86.5	HZ20
				325.75	376.5	270.5	-87	HZ20
				376.5	426.9	271	-86.5	HZ20
				426.9	465.95	271.5	-86.5	HZ20
				465.95	480.30	271.5	-86	HZ20
				0	25	270	-83	HZ20
				25	75	270	-84	HZ20
				75	125	270	-84.5	HZ20
				125	175	270	-84.5	HZ20
zk13901	3779997.28	524298.99	955.02	175	225	267.5	-84	HZ20
				225	275	267.5	-84	HZ20
				275	325	266	-84.5	HZ20
				325	375	266	-84.5	HZ20
				375	433.6	265	-84.5	HZ20
				433.6	467.20	265	-84.5	HZ20
zk12902	3780241.84	524308.34	892.49	0	26.425	270	-70	HZ20
				26.425	76.45	270	-70	HZ20
				76.45	125.95	269.5	-70	HZ20
				125.95	177.34	269.5	-70	HZ20
				177.34	226.605	269.5	-70	HZ20
				226.605	276.1	270	-70.5	HZ20
				276.1	315.55	270.5	-70	HZ20

BK Exploration Associates 74

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

				315.55	329.28	270.5	-69.5	HZ20
				0	25	270	-83	HZ20
				25	75	270	-84	HZ20
				75	125	270	-84.5	HZ20
				125	175	270	-84.5	HZ20
ZK13901	3779997.28	524298.99	955.02	175	225	267.5	-84	HZ20
				225	275	267.5	-84	HZ20
				275	325	266	-84.5	HZ20
				325	375	266	-84.5	HZ20
				375	433.6	265	-84.5	HZ20
				433.6	467.20	265	-84.5	HZ20
				0	25.8	270	-81	HZ20
				25.8	75.85	270	-80.5	HZ20
				75.85	125.9	270	-80.3	HZ20
				125.9	176.85	269.5	-80.8	HZ20
ZK14101	3779943.85	524290.40	990.78	176.85	226.25	269.5	-80.5	HZ20
				226.25	275.55	269.5	-80.5	HZ20
				275.55	325.65	269	-80	HZ20
				325.65	376.35	268.5	-80	HZ20
				376.35	402	268	-80.5	HZ20
ZK35A01	3779605.87	524233.16	892.95	0	136.04	292	-46	HZ20 HZ22
ZK3501	3779607.26	524232.29	892.95	0	175.5	312	-34	HZ20 HZ22
ZK35A02	3779605.150	524233.714	892.946	0	212.22	292	-71	HZ20 HZ22
				0	25	330	-57	HZ10 HZ12
				25	75	329.8	-57.8	HZ10 HZ12
				75	125	330.7	-56.7	HZ10 HZ12
ZK12901	3780097.652	523542.48	806.42	125	175	331.7	-55.2	HZ10 HZ12
				175	225	330.2	-54.4	HZ10 HZ12
				225	275.2	330.5	-52.5	HZ10 HZ12
				275.2	300.4	332	-50.9	HZ10 HZ12
				0	25	270.00	-75.00	HZ10 HZ12
				25	75	272.67	-75.97	HZ10 HZ12
				75	125	272.13	-75.83	HZ10 HZ12
ZK13503	3780098.42	523542.01	806.42	125	175	272.70	-75.60	HZ10 HZ12
				175	225	271.93	-76.03	HZ10 HZ12
				225	275	275.10	-75.30	HZ10 HZ12
				275	346.6	275.63	-75.20	HZ10 HZ12
ZK13504	3780098.42	523542.21	806.42	0	25	270	-87	HZ10 HZ12

BK Exploration Associates 75

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

25	75	269	-88.0	HZ10 HZ12
75	125	268.8	-87.9	HZ10 HZ12
125	175	269.5	-87.7	HZ10 HZ12
175	225	270	-87.5	HZ10 HZ12
225	275	270.3	-87.2	HZ10 HZ12
275	325	270.8	-87.0	HZ10 HZ12
325	375	271	-86.8	HZ10 HZ12
375	425	271.3	-86.4	HZ10 HZ12
425	450	271.8	-85.9	HZ10 HZ12

BK Exploration Associates 76

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

APPENDIX III CORE RECOVERIES

Appendix VII: Core Recoveries
		Mineralized	Hanging	Footwall
Drill Holes	Veins	Layer (%)	Wall (%)	(%)
ZK15301	HZ22	100.00	100.00	100.00
ZK15301	HZ20	100.00	100.00	100.00
ZK15101	HZ22	100.00	100.00	100.00
ZK15101	HZ20	100.00	100.00	100.00
ZK12701	HZ20	100.00	100.00	100.00
ZK12701	HZ20W	100.00	100.00	100.00
ZK13102	HZ22	100.00	100.00	100.00
ZK15501	HZ20	100.00	100.00	100.00
ZK13503	HZ12W	100.00	100.00	100.00
ZK13503	HZ11	100.00	100.00	100.00
ZK13503	HZ10	100.00	100.00	100.00
ZK13102	HZ20	100.00	100.00	100.00
ZK12901	HZ12	100.00	100.00	100.00
ZK12901	HZ11	100.00	100.00	100.00
ZK12901	HZ10	100.00	100.00	100.00
ZK13504	ZH12	100.00	100.00	100.00
ZK13504	HZ11	100.00	100.00	100.00
ZK13504	ZH10	100.00	100.00	100.00
ZK16901	HZ22	100.00	100.00	100.00
ZK16901	HZ20	100.00	100.00	100.00
ZK3501	HZ22	97.83	92.78	98.21
ZK13101	HZ20	100.00	100.00	100.00
ZK15102	HZ22	100.00	100.00	100.00
ZK15901	HZ20	100.00	100.00	100.00
ZK15901	HZ20W	100.00	100.00	100.00
ZK15901	HZ22	100.00	100.00	100.00
ZK15901	HZ22W	100.00	100.00	100.00
ZK35A01	HZ22	94.74	98.04	95.00
ZK35A01	HZ20	92.20	88.98	93.02
ZK14301	HZ20	100.00	100.00	100.00
ZK15103	HZ22E	100.00	100.00	100.00
ZK15103	HZ22	100.00	100.00	100.00

BK Exploration Associates 77

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

ZK15103	HZ20	100.00	100.00	100.00
ZK15103	HZ20W	100.00	100.00	100.00
ZK13501	HZ20	100.00	100.00	100.00
ZK13501	HZ20W	100.00	100.00	100.00
ZK15902	HZ20	100.00	100.00	100.00
ZK15902	HZ20W	100.00	100.00	100.00
ZK15902	HZ22	100.00	100.00	100.00
ZK13701	HZ20	100.00	100.00	100.00
ZK14302	HZ20E	100.00	100.00	100.00
ZK14302	HZ20	100.00	100.00	100.00
ZK13103	HZ20	100.00	100.00	100.00
ZK15903	HZ20	100.00	100.00	100.00
ZK15903	HZ20W	100.00	100.00	100.00
ZK15903	HZ22	100.00	100.00	100.00
ZK15903	HZ22W	100.00	100.00	100.00
ZK14501	ZH20	100.00	100.00	100.00
ZK12902	HZ20	100.00	100.00	100.00
ZK35A02	HZ22	91.67	92.74	94.09
ZK35A02	HZ20	91.18	95.89	90.67
ZK13901	HZ20	100	100	100

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Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

APPENDIX IV MINERALIZATION RATIOS

Appendix IV: Mineralization Ratios of the SG Veins
Vein	Tunnel	Drift Length	MGS Length (m)	Mineral. Ratio	Comments
		(m)		(%)
	CM103-S2E-496-NYM	81.10	40.00		Completed
	CM103-S2E-496-SYM	72.00	7.50		In progress
S2E	CM103-S2E-460-NYM-TJ8-SYM	36.20	36.20		In progress
	CM103-S2E-460-NYM	73.00	50.10		In progress
	CM103-S2E-460-SYM	81.00	0.00		In progress
	Subtotal	343.30	133.80	38.97
	CM102-S2-518-NYM	60.00	7.30		Completed
	CM102-S2-518-SYM	130.00	53.00		Completed
	CM103-S2-496-NYM	81.50	9.00		Completed
S2	CM103-S2-496-SYM	155.00	55.80		Completed
	CM103-S2-460-NYM	101.80	47.50		In progress
	CM103-S2-460-SYM	5.00	0.00		In progress
	CM102-S2-480-NYM2	7.00	0.00		In progress
	Subtotal	540.30	172.60	31.95
	CM103-S4-496-NYM	40.00	24.60		Completed
S4	CM103-S4-496-SYM	95.00	32.40		Completed
	CM103-S4-460-NYM	112.80	35.00		Completed
	Subtotal	247.80	92.00	37.13
	CM103-S5-549-NYM	46.00	17.00		In progress
S5	CM103-S5-496-SYM	61.30	0.00		In progress
	CM103-S5-480-NYM	40.00	0.00		In progress
	Subtotal	147.30	17.00	12.06
	CM102-S6-555-SYM	60.50	22.30		Old stope
	CM102-S6-555-NYM	64.00	31.00		Old stope
	CM102-S6-535-NYM	58.00	22.00		Old stope
	CM102-S6-518-NYM	72.00	30.50		Old stope
	CM102-S6-518-SYM	114.10	5.40		Old stope
	CM102-S6-480-NYM	27.30	10.00		In progress
S6	CM102-S6-480-SYM-CM2-SYM	70.40	42.50		In progress
	CM102-S6-480-SYM	38.00	33.00		In progress
	SPD05-S6-533-SYM	111.60	0.00		In progress
	SPD05-S6-533-NYM	123.30	0.00		In progress
	CM102-S6-480-NYM1	51.10	51.10		In progress
	CM102-S6-480-NYM2	25.30	23.80		In progress
	Subtotal	815.60	271.60	33.29
S7	CM104-S7-705-NYM	62.50	0.00		Old stope
	CM104-S7-705-SYM	66.00	0.00		Old stope
	CM101-S7-640-NYM	107.60	5.00		In progress
	CM101-S7-640-SYM	151.50	0.00		Old stope

BK Exploration Associates 79

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

	PD700-S7-640-NYM	24.50	0.00		Old stope
	PD700-S7-640-SYM	37.10	0.00		Old stope
	PD680-S7-680-NYM	41.00	0.00		Old stope
	PD680-S7-680-NYM2	116.00	0.00		Old stope
	CM102-S7-570-NYM	74.00	18.00		In progress
	CM102-S7-570-SYM	100.00	20.00		In progress
	CM103-S7-560-NYM	50.90	18.50		In progress
	CM103-S7-560-SYM	20.00	7.50		In progress
	Subtotal	851.10	69.00	8.11
	CM102-S7W-570-NYM	12.00	0.00		In progress
S7W	CM102-S7W-570-SYM	9.00	0.00		In progress
	Subtotal	21.00	0.00	0.00
	PD700-S7-1-700-SYM	113.50	0.00		In progress
	XJ01-S7-1-648-NYM	112.00	92.00		In progress
	PD700-S7-1-640-NYM	22.00	0.00		In progress
	PD700-S7-1-640-SYM	65.70	0.00		In progress
	PD700-S7-1-600-NYM	110.50	30.00		In progress
S7-1	PD700-S7-1-600-SYM	65.00	42.50		In progress
	PD700-S7-1-600-SYM1	101.70	47.50		In progress
	CM103-S7-1-560-NYM	139.70	126.00		In progress
	CM103-S7-1-560-SYM	128.00	55.00		In progress
	CM102-S7-1-534-NYM	24.20	5.00		In progress
	CM102-S7-1-534-SYM	15.00	0.00		In progress
	Subtotal	897.30	398.00	44.60
	YPD02-S7-2-565-NYM	360.00	5.00		In progress
S7-2	YM01-S7-2-585-NYM1	15.00	0.00		In progress
	YM01-S7-2-585-NYM2	15.40	0.00		In progress
	Subtotal	390.40	5.00	1.45
	PD700-S7-3-600-SYM	63.40	15.00		In progress
S7-3	PD700-S7-3-600-SYM3	22.70	0.00		In progress
	PD700-S7-3-600-NYM3	10.40	0.00		In progress
	Subtotal	96.50	15.00	31.71
S8	CM104-S8-705-NYM	228.00	0.00		In progress
	CM101-S8-640-NYM	352.90	30.00		In progress
	CM101-S8-640-SYM	404.50	0.00		In progress
	CM102-S8-570-NYM	318.50	109.80		In progress
	CM102-S8-570-SYM	298.30	57.50		In progress
	CM103-S8-560-SYM	7.80	0.00		In progress
	YM01-S8-585-NYM	204.90	85.00		Completed
	YM01-S8-585-SYM	292.00	20.00		Completed
	YM01-S8-550-NYM	153.70	48.30		In progress
	YM01-S8-550-SYM	318.80	62.10		In progress
	YPD02-S8-510-NYM	312.50	42.50		In progress
	YPD02-S8-510-SYM	478.90	51.20		In progress
	SPD66-S8-603-SYM	677.50	80.00		Completed
	CM102-S8-570-TJ1-600-NYM	20.00	12.50		In progress

BK Exploration Associates 80

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

	CM102-S8-570-TJ12-NYM	9.10	0.00		In progress
	CM102-S8-570-TJ12-SYM	37.00	37.00		In progress
	Subtotal	4114.40	635.90	15.34
	CM101-S8E-640-NYM	82.80	20.00		In progress
	CM101-S8E-640-SYM	260.10	95.60		In progress
	CM104-S8E-710-NYM	102.70	10.00		In progress
S8E	CM104-S8E-710-SYM	118.30	20.00		In progress
	CM104-S8E-680-NYM	48.50	25.00		In progress
	CM104-S8E-680-SYM	22.70	0.00		In progress
	YPD02-S8E-510-NYM	91.90	12.50		In progress
	Subtotal	727.00	183.10	33.58
	YPD02-S8-1-545-NYM	108.50	0.00		In progress
	YPD02-S8-1-565-NYM	25.20	5.00		In progress
S8-1	YPD02-S8-1-565-SYM	47.50	19.90		In progress
	YPD02-S8-1-545-SYM	3.80	0.00		In progress
	Subtotal	185.00	24.90	17.00
	YPD02-S8-2-565-NYM	19.10	13.00		In progress
	YPD02-S8-2-565-SYM	33.20	0.00		In progress
S8-2	YPD02-S8-2-545-NYM	21.60	0.00		In progress
	YPD02-S8-2-545-SYM	7.20	0.00		In progress
	Subtotal	81.10	13.00	20.87
	YPD02-S10-565-NYM	92.20	0.00		In progress
S10	YPD02-S10-565-NYM-CM1#-NYM	7.10	0.00		In progress
	Subtotal	99.30	0.00	0.00
	YPD666-S11-670-NYM	630.90	0.00		In progress
S11	YPD02-S11-560-NYM	27.70	0.00		In progress
	YPD02-S11-560-SYM	55.10	0.00		In progress
	Subtotal	713.70	0.00	0.00
	YPD02-S11E-565-SYM	25.30	0.00		In progress
	YPD02-S11E-565-NYM	50.00	20.00		In progress
	YPD02-S11E-560-SYM-CM1-SYM	41.70	0.00		In progress
S11E	YPD02-S11E-565-NYM	50.00	0.00		In progress
	YPD666-S11-615-NYM-ECM-SYM	17.70	0.00		In progress
	YPD666-S11-615-NYM-ECM-NYM	21.80	0.00		In progress
	Subtotal	206.50	20.00	9.69
	YPD700-S13-700-SYM	100.20	0.00		In progress
S13	CM101-S13-640-NYM	14.10	0.00		In progress
	CM102-S13-640-SYM	14.30	0.00		In progress
	Subtotal	128.60	0.00	0.00
S14	CM102-S14-555-NYM	95.00	36.50		Old stope
	CM102-S14-570-SYM	19.00	10.00		Old stope
	CM102-S14-570-NYM	57.00	45.00		Old stope
	CM102-S14-549-SYM	74.60	46.00		Old stope
	CM102-S14-549-NYM	145.00	5.00		Old stope
	CM102-S14-518-NYM	170.00	160.20		Completed
	CM102-S14-518-SYM	216.10	121.90		Completed

BK Exploration Associates 81

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

	CM103-S14-555-SYM2	58.50	5.00		Completed
	CM103-S14-518-NYM	99.30	67.80		Completed
	CM103-S14-518-SYM	117.00	53.70		In progress
	CM102-S14-480-NYM-490-SYM	69.40	30.00		In progress
	CM103-S14-480-SYM-CM-SYM	11.00	0.00		In progress
	CM102-S14-480-NYM	137.50	44.50		In progress
	CM102-S14-480-NYM-CM2-NYM	5.00	5.00		In progress
	CM102-S14-480-NYM-CM4-NYM	15.00	15.00		In progress
	CM102-S14-480-SYM	304.00	197.40		In progress
	CM103-S14-480-NYM	245.70	124.10		In progress
	CM103-S14-480-SYM	143.00	29.90		In progress
	CM103-S14-480-NYM-WCM -NYM	39.80	0.00		In progress
	CM103-S14-480-NYM-WCM -SYM	21.00	0.00		In progress
	Subtotal	2042.90	997.00	50.31
	PD680-S16E-680-NYM	100.00	0.00		Completed
	CM101-S16E-640-NYM	317.40	30.00		In progress
	CM101-S16E-640-SYM	149.00	0.00		In progress
	CM101-S16E-640-NYM1	110.00	15.00		In progress
	CM102-S16E-610-NYM	180.50	170.00		In progress
	CM102-S16E-610-SYM	55.00	5.00		In progress
	CM102-S16E-570-NYM	51.00	31.60		In progress
	CM102-S16E-570-SYM	425.00	130.60		Completed
	CM102-S16E-570-NYM1	112.00	15.00		In progress
S16E	CM102-s16w-534-NYM-CM3-S16E-NYM	25.00	25.00		In progress
	CM102-S16E-534-NYM	135.00	79.30		Completed
	CM102-S16E-534-SYM	215.00	100.00		In progress
	CM102-S16E-534-SYM1	210.00	12.50		In progress
	CM103-S16E-555-NYM	17.00	10.00		Completed
	CM103-S16E-555-SYM	33.00	12.00		Completed
	CM103-S16E-534-NYM	26.00	0.00		In progress
	CM103-S16E-534-SYM	67.50	0.00		In progress
	CM102-S16E-570-NYM3	20.00	0.00		In progress
	Subtotal	2248.40	636.00	30.11
	CM102-S16E1-534-NYM	21.80	15.00		In progress
	CM102-S16E1-534-SYM	16.30	0.00		In progress
	CM102-S16E-570-SYM-CM4-NYM	25.10	17.50		In progress
S16E1	CM102-S16E-570-SYM-CM4-SYM	22.80	7.50		In progress
	CM102-S16E-610-NYM-CM1-S16E1-SYM	17.40	0.00		In progress
	CM102-S16E-610-NYM-CM1-S16E1-NYM	7.30	0.00		In progress
	Subtotal	110.70	40.00	36.13
	CM102-S16E3-570-SYM	40.00	24.00		In progress
S16E3	CM102-S16E3-534-SYM	78.00	22.00		In progress
	Subtotal	118.00	46.00	38.98
S16W	PD680-S16W-680-NYM	125.80	0.00		Completed
	SPD680-S16W-680-SYM	80.00	20.00		Completed
	CM101-S16W-640-NYM	385.00	110.00		In progress

BK Exploration Associates 82

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

	CM101-S16W-640-SYM	125.00	0.00		Completed
	PD650-S16W-655-NYM	123.00	0.00		Completed
	PD650-S16W-655-SYM	440.00	37.50		In progress
	CM103-S16W-600-NYM	28.00	17.50		In progress
	PD650-S16W-650-TCM1-NYM	13.80	13.80		In progress
	PD650-S16W-650-TCM1-SYM	25.00	20.00		In progress
	CM103-S16W-600-SYM	90.00	57.50		In progress
	CM103-S16W-600-NYM	67.60	50.00		In progress
	CM103-S16W-600-NYM-CM6-NYM	10.00	10.00		In progress
	CM103-S16W-600-NYM-CM7-NYM	10.20	0.00		In progress
	CM103-S16W-600-NYM-CM8-NYM	9.00	9.00		In progress
	CM103-S16W-600-NYM-CM9-NYM	5.50	5.50		In progress
	CM102-S16W-610-SD-NYM	87.00	46.50		In progress
	CM102-S16W-610-SD-SYM	186.80	35.00		In progress
	CM102-S16W-610-CM3-SYM	80.00	0.00		In progress
	CM103-S16W-558-NYM	162.00	44.80		Completed
	CM103-S16W-558-SYM	195.00	111.90		Completed
	CM102-S16W-570-NYM	350.00	188.70		Completed
	CM102-S16W-570-SYM	540.00	196.50		Completed
	CM102-S16W-534-NYM	351.00	145.00		Completed
	CM102-S16W-534-SYM	277.00	91.80		In progress
	CM103-S16W-534-NYM	301.80	160.00		Completed
	CM103-S16W-534-SYM	144.00	0.00		Completed
	CM103-S16W-600-SYM-CM9-SYM	43.60	25.00		In progress
	CM102-S16W-570-SYM-TJ22-SYM	5.10	0.00		In progress
	CM102-S16W-570-SYM-TJ22-NYM	4.50	4.50		In progress
	Subtotal	4265.70	1400.50	35.18
	CM102-S16W1-680-NYM	83.70	10.00		In progress
	CM102-S16W1-610-SYM	110.40	20.00		In progress
	CM102-S16W-570-NYM-CM2-S16W1-NYM	6.50	0.00		In progress
	CM102-S16W1-570-NYM	10.10	0.00		In progress
	CM103-S16W1-600-NYM	5.00	5.00		In progress
S16W1	CM102-S16W1-534-NYM	50.80	0.00		In progress
	CM102-S16W1-534-SYM	10.60	0.00		In progress
	CM102-S16W1534-NYM-CM10-S16W1-NYM	20.40	10.00		In progress
	CM102-S16W1534-NYM-CM9-S16W1-NYM	19.00	5.00		Completed
	CM102-S16W1534-NYM-CM9-S16W1-SYM	22.90	22.90		In progress
	Subtotal	339.40	72.90	21.48
	CM102-S19-570-SYM	139.80	7.50		In progress
S19	CM101-S19-640-NYM	11.00	0.00		In progress
	CM101-S19-640-SYM	12.80	0.00		In progress
	Subtotal	163.60	7.50	7.55
S21	PD680-S21-680-NYM1	310.40	115.40		In progress
	PD680-S21-680-NYM2	131.50	5.00		In progress
	CM101-S21-640-NYM	217.00	30.00		In progress
	CM101-S21-640-NYM1	84.00	84.00		In progress

BK Exploration Associates 83

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China	August 16, 2007
Silvercorp Metals Inc.

	YPD01-S21-580-SYM	524.00	105.00		In progress
	YPD01-S21-585-SYM-CM2-SYM	37.10	0.00		In progress
	CM103-S21-560-NYM	247.00	25.00		In progress
	CM103-S21-560-SYM	265.30	81.40		In progress
	CM102-S21-570-NYM	56.50	2.50		In progress
	YPD01-S21-550-NYM	39.60	17.50		In progress
	YPD01-S21-550-SYM	89.50	80.00		In progress
	YPD01-S21-585-SYM-CM4-SYM	70.80	0.00		In progress
	Subtotal	2072.70	545.80	28.09
	YPD02-S21w-585-NYM	35.90	15.00		In progress
	YPD02-S21W-585-SYM	51.70	25.00		In progress
S21W	CM103-S21W-560-NYM	40.80	5.00		In progress
	CM103-S21-560-NYM-CM2-S21W-NYM	69.30	0.00		In progress
	PD680-S21-680-NYM1-WCM3-NYM	73.30	0.00		In progress
	Subtotal	271.00	45.00	37.88
	CM103-S22-560-NYM	10.00	0.00		In progress
	CM103-S22-560-SYM	79.80	0.00		In progress
	CM102-S22-570-NYM	43.00	0.00		In progress
S22	CM102-S22-570-SYM	5.00	0.00		In progress
	CM101-S23-640-SYM	53.40	0.00		In progress
	CM101-S23-640-NYM	6.00	0.00		In progress
	YPD730-S25-730-NYM	344.80	0.00		In progress
	Subtotal	542.00	0.00	0.00
SG Mine	Total	22482.20	5782.60	27.18

BK Exploration Associates 84

EX-99.61

Exhibit 99.61

Technical Report

On Gaocheng Ag-Zn-Pb Project,

And Shimentou Au-Ag-Zn-Pb Project,

Guangdong Province,

People’s Republic of China

Report Prepared for

Silvercorp Metals Inc.

Report Prepared by

April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page i

Technical Report

On Gaocheng Ag-Zn-Pb Project,

And Shimentou Au- Ag-Zn-Pb Project,

Guangdong Province,

People’s Republic of China

Report Prepared for

Silvercorp Metals Inc.

SRK Project Number SCN078

SRK Consulting China Ltd.

B1317 COFCO Plaza, Beijing, China

Contact:

Anson Xu - axu@srk. cn

www.srk. cn

April 2008

Compiled by:	Endorsed by:
Dr Anson Xu, MAusIMM	Dr Yonglian Sun, MAusIMM

 

Authors:

Jinhui Liu

Lanliang Niu

Dr Anson Xu

Zhaojun Wang

Peer Reviewed by:

Dr Bielin Shi

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final.doc April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page ii

Table of Contents
	List of Tables			v
	List of Figures			vi
1	Summary			1
	1.1	Summary of Principal Objectives		1
	1.2	Outline of Work Program		1
	1.3	Results		1
2	Introduction and Terms of Reference			8
	2.1	Program Objectives		8
	2.2	Purpose of the Report and Scope of Work		8
	2.3	Reporting Standard		8
	2.4	Work Program		8
	2.5	Project Team		9
3	Disclaimer			10
4	Abbreviations and Units			11
5	Property Description and Location			12
	5.1	Guangdong Projects		12
	5.2	Exploration Permits		12
6	Accessibility, Climate, Local Resources, Infrastructure, and Physiography			14
7	History			15
	7.1	History of Exploration		15
		7.1.1	Gaocheng property	15
		7.1.2	Shimentou property	16
	7.2	History of Mining		16
	7.3	History of Mineral Resources		16
8	Geological Setting			18
	8.1	Regional Geology		18
	8.2	Gaocheng Property Geology		20
	8.3	Shimentou Property Geology		22
9	Deposit Types			24
	9.1	Gaocheng Deposit		24
	9.2	Shimentou Deposit		24
10	Mineralization and Alteration			25
	10.1 Mineralization			25
		10.1.1 Gaocheng Property		25
		10.1.2 Shimentou Property		29
	10.2 Alterations			31
		10.2.1 Gaocheng Silver –Zinc-Lead Deposit		31
		10.2.2 Shimentou Gold-Silver Deposit		31
11	Exploration			32
	11.1 Gaocheng Property			32
		11.1.1 Soil Survey		33
		11.1.2 Topographic and Geological Mapping		33

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final.doc April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page iii

		11.1.3   Trenching and Pitting	33
		11.1.4   Underground Development	34
		11.1.5   Drilling	34
	11.2	Shimentou Property	36
		11.2.1   Soil Survey, Geological and topographical Mapping	37
		11.2.2   Trenching	37
		11.2.3   Drilling	39
12	Sampling Method and Approach		41
	12.1	Sampling Method for Trenches and Underground Development	41
	12.2	Sampling Method for Drilling Cores	41
13	Sample Preparation, Analyses and Security		42
14	Data Verification		43
15	Adjacent Properties		47
16	Mineral Resource and Mineral Reserve Estimates		49
	16.1	Data Evaluation	49
	16.2	Solid model	49
	16.3	Topography	50
	16.4	Compositing	51
	16.5	Specific Gravity	53
	16.6	Resource Estimate	53
17	Other Relevant Data and Information		58
	17.1	Metallurgical Test	58
		17.1.1   Mineralogy and Occurences of the Beneficial Elements	58
		17.1.2   Summary of the results of the metallurgical test	59
	17.2	Share Purchase Agreement between Silvercorp and Yangtze Gold Ltd	61
18	Interpretation and Conclusions		63
	18.1	Interpretation and Conclusions on Geology, Mineralization, and Mineral Resource of
		Gaocheng Project	63
	18.2	Interpretation and Conclusions on Geology, Mineralization, and Mineral Resource of
		Shimentou Project	63
19	Recommendations		64
	19.1	Recommendations for Gaocheng Project	64
		19.1.1   Recommendations on Further Work	64
		19.1.2   Proposed Programs and Budget	64
	19.2	Recommendations for Shimentou Project	64
		19.2.1   Recommendations on Exploration	64
		19.2.2   Proposed Programs and Budget	64
20	Date and Signature Page		66
21	Additional Information about Mine Operation and Production		67
22	References		68
23	Certificate of Qualified Persons		69
	23.1	Dr. Anson Xu	69
	23.2	Dr. Bielin Shi	71
	23.3	Jinhui Liu	73

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final.doc April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page iv

24	Consent of Authors	75
Appendices		76
Appendix 1- Resource and Reserve Standards		77
Appendix 2: Exploration Permits		79
Appendix 3: Assaying results of pulp duplicates for Gaocheng Project		82
Appendix 4: Detailed information about the resource estimate of Gaocheng deposit		89

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final.doc April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page v

List of Tables
Table 5-1:	Exploration Permits owned by Yangzi	13
Table 7-1:	Resources of Shimentou project estimated by Guangdong Provincial Institute of Geological Survey (2005)	16
Table 10-1:	Geological characteristics of mineralized bodies of Gaocheng deposit	25
Table 10-2:	Characteristics of mineralized veins in Shimentou project	29
Table 11-1:	Main programs conducted on Gaocheng Property Since 2001	32
Table 11-2:	Core recoveries of the drill holes at Gaocheng Property	36
Table 11-3:	Main programs conducted on Shimentou Property Since 2003	37
Table 11-4:	Assays of Samples Taken from Some Trenches etc. of Shimentou Property	38
Table 11-5:	Core recoveries of the 2003-2004 drill holes at Shimentou Property	40
Table 11-6:	Assays of Samples Taken from Some Drill holes of Shimentou Property	40
Table 14-1:	Assaying results of filed checking samples and their original assays from Gaocheng  property	43
Table 14-2:	Assaying results of filed checking samples and their original assays from Gaocheng property	44
Table 16-1:	Univariate Statistics of exploration data	51
Table 16-2:	Coefficient of variation of thickness of mineralized bodies in Gaocheng deposit	52
Table 16-3:	Coefficient of variation of grades of mineralized bodies in Gaocheng deposit	52
Table 16-4:	Technical and economic parameters	54
Table 16-5:	Summary of mineral resources in Gaocheng deposit	55
Table 17-1:	Summary of samples taken from Gaocheng deposit for a metallurgical test	58
Table 17-2:	Summary of mineralogy of the samples taken from Gaocheng deposit	58
Table 17-2:	Balance sheet of the ore processing test	60
Table 19-1:	Proposed Programs and Budget for Gaocheng Project	64
Table 19-2:	Proposed Programs and Budget for Shimentou Project	65

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final.doc April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page vi

List of Figures
Figure 5-1:	Location map, Yunfu, Guangdong Province	12
Figure 8-1:	Regional geological Map of the Projects	19
Figure 8-2:	A Regional geological Map of the Projects showing structures and geochemical anomalies	20
Figure 8-3:	Geological Map of Gaocheng Deposit	21
Figure 8-4:	Geological Map of Shimentou Deposit	22
Figure 10-1:	Cross-section on Line 36 of Gaocheng Deposit	26
Figure 10-2:	Cross-section on Line 10 of Shimentou Deposit	30
Figure 11-1.	Locations of Samples Taken from Some Trenches and Pits of Gaocheng Property	33
Figure 11-2:	Drill-hole locations at Gaocheng property	34
Figure 11-3:	Drill-holes shown at a cross-section at Gaocheng property	35
Figure 11-4:	Locations of Samples Taken from Shimentou Property	38
Figure 11-5:	Locations of drill holes in Shimentou Project Area	39
Figure 14-1:	Original assays vs. duplicate assays of Ag	44
Figure 14-2:	Original assays vs. duplicate assays of Zn	45
Figure 14-3:	Original assays vs. duplicate assays of Pb	46
Figure 15-1:	Zonation of Mineralization in Daganshan Mineralization Field	48
Figure 16-1:	Drill hole and Trench Location Plan	49
Figure 16-2:	Geological model in plan view of Gaocheng deposit using Surpac Software	50
Figure 16-3:	Plan view of topographic contour map	51
Figure 16-4:	Longitudinal projection map of V2 showing blocks	57
Figure 17-1:	Flowsheet of the closed circuit for the sequential flotation technique	60

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1 Summary

1.1 Summary of Principal Objectives

The objective of the project was to provide Silvercorp Metals Inc. (“Silvercorp”) with an independent technical report in Canadian NI43-101 (“NI 43-101”) format on Gaocheng Ag-Zn-Pb project and Shimentou Au-Ag-Pb-Zn in Guangdong province, China. S

1.2 Outline of Work Program

The technical review project was conducted in two phases.

• Phase 1 – travel to Yunfu, Guangdong Province, and Chengdu, Sichuan province, People’s Republic of China, for inspection of the properties and laboratories, interviews with related technical personnel, collection of check samples and return travel to Beijing. The SRK team visited the properties during the periods from June 4 to 9, 2007;
• Phase 2 –Compilation and peer review of a draft of the technical report for Silvercorp’s comments; and the finalisation of the report.

1.3 Results

Overall
Silvercorp is acquiring 95% shares of Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”). Anhui Yangtze possesses two exploration projects. The Gaocheng project is an advanced exploration project with defined NI43-101 resource which provides a basis for a preliminary economic assessment and for future development with more exploration work to be done. The Shimentou project is an exploration project which has been explored by geological and geochemical prospecting methods, and drilling, and some mineralized bodies have been defined with historical resource in Chinese standard. SRK reviewed the geology of both projects, and conducted a resource estimate of the Gaocheng project, and believes that further work is warranted for the projects.

Geology and Mineralization
Geologically, the projects’ area is located in the north-eastern margin of Luoding Basin, which is at the middle portion of uplift in Hua’nan (South China) Fold System. The deposits of the projects occur on the intersection of a north-easterly striking faulting zone and a near east-westerly striking faulting zone. North-east striking structures and arc structures form the basic geological framework of the region. The regional outcropped strata include Later Proterozoic Sinian sedimentary clastics and carbonate rocks, which host Ag-Pb-Zn multi-metallic deposits in the region, and Paleozoic Ordovician, Silurian, Devonian, Carboniferous sedimentary clastics and carbonate rocks which host some Cu-Pb-Zn, Mn and Au-Ag deposits, and Mesozoic Triassic coal-bearing clastics rocks, and Cretaceous red clastics rocks. Magmatic intrusive rock bodies intruded basically in the central area of an arc/ring structure, including Paleozoic granite batholiths, and Mesozoic granite stocks and dyk es. The Mesozoic stocks and dykes intrude in the inner zone of the arc/ring structure, and are closely related to the Pb-Zn-Ag multi-metallic mineralization in the region.

Gaocheng Property
Mineralized bodies in Gaocheng property occur as veins within alteration zones in both a granite stock, and strata, which may reach more than a few meters wide along faults and into hanging wall and footwall, and are structurally controlled. There are totally 13 silver-lead-zinc mineralized bodies having been delineated in Gaocheng property area, which are divided into two groups, namely NWW striking and NE striking. The NWW-striking mineralized bodies are numbered, from north to south in turn, Mineralized bodies V3, V4, V6, V2-2, V2, V2-1, V7, V5, B5-1 and V8, which are nearly parallel dipping toward SE at an angle of 60-85°. The NE-striking mineralized bodies are numbered, from east to west in turn, Mineralized bodies V10 and V11, which are parallel in the NE

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striking and dip south-eastward at an angle of 60-75°. V2, V2-2, V6 and V7 are the main mineralized bodies.

Mineralized body V2Principal mineralized body in the region, with the largest scale and relative rich grade. There are a number of geological exploration works on the surface and to the depth. The mineralized body occurs in the granite body within the NWW-striking fault, F7. The mineralized body occurs as a vein with a defined length of 1255m and defined depth of 466m, and an average horizontal thickness of 3.12m. The mineralized body is still open to depth. Figure 10-1 is a cross-section map showing the body. The average grades are Ag 128.29g/t, Pb1.62%, Zn 2.87%, and Sn 0.17% .

Mineralized body V2-2The body is about 30m from and in the footwall of the Mineralized body V2. It also occurs in the granite body. The mineralized body appears as a vein striking generally 280-300°, dipping SW at angles of 60-80°. It has a defined length of 918m, a defined depth of 548m, and a horizontal thickness of 1.07m, and average grades of: Ag 66.18g/t, Pb 0.89%, Zn 2.50%, and Sn 0.11% .

Mineralized body V6It is one of the main mineralized bodies in the deposit. The mineralized body is about 80-150m apart from Mineralized body V2. Fault F8 hosts the mineralized body within a granite body. The body generally strikes 280-300°, and dips SW at angles of 65-80°. The mineralized body appears as a narrow vein locally with swells. The body has a defined length of 1144m, a defined depth of 618m, and an average horizontal thickness of 1.03m. It contains average grades of Ag 97.68g/t, Pb 0.61%, Zn 5.01%, and Sn 0.09% .

Mineralized body V7It is one of the main mineralized bodies in the property. The mineralized body is about 100m apart from the V2 and is hosted in the ore-bearing fault F8 within a granite body. The mineralized body generally strikes 275-300°, and dips SW at angles of 60-80°. It has a defined length of 891m, a defined depth of 315m, and an average horizontal thickness of 1.76m. The averages are Ag 56.93g/t, Pb 0.85%, Zn 2.77%, and Sn 0.12% .

The mineralized bodies are generally composed of silicified structural breccia and cata-clastic rocks. Ore minerals including pyrite, sphalerite and galena are distributed in string, veinlets, and crumb. Other metallic minerals include: pyrrhotite, magnetite and hematite, arsenopyrite, chalcopyrite, bornite, cassiterite, dialogite and limonite, etc.; as well as trace amount of wolframite, scheelite and antimonite, etc. The gangue minerals include chlorite, quartz, fluorite, feldspar, mica, hornblende, etc. with a small amount or trace amount of kaolinite, tremolite, actinolite, chalcedony, garnet, zoisite, apatite and tourmaline, etc.

Shimentou Property

The poly-metallic mineralization in the Shimentou deposit is both strata and structural controlled, and considered as a sedimentary-hydrothermal type deposit. The mineralized bodies occur in a certain layer of strata that is underneath a thick layer of pyrite-rich strata, as layer-like or lenses which may extend up to 4000 m along strike. The occurrence of the mineralization bodies is consistent with that of the host strata. A total of six mineralized bodies (V1, V2, V3, V5, V6 and V7) were defined. V1 and V2 occur in the black rock system near the bottom of the pyrite layer in Daganshan Formation, while V3, V5, V6 and V7 are hosted in the quartz rock of Daganshan Formation, occurring along the bed slipping fault zone with obvious late hydrothermal reformation effects. Of these mineralized bodies, V3, V7, and V2 are the main mineralized body.

Mineralized body V3
The mineralized body has a defined length of 1000m and a defined depth of 100m, dipping westward on the north of Line 1 and eastward on the south. Occurrences of the body vary, i.e. at the North

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section the occurrence is 250-290° (dip) ∠33-43° (angle); and at the South section, it is 100°∠ 43°. The vertical thickness of the mineralized body is 0.7-3.65m. The grades of the interception along Line 10 are 5.2 -8.87% and averaging 6.65% for Pb, 0.072-6.08% and averaging 1.14% for Zn, 45.4-344.0g/t averaging 134.50g/t for Ag, 0.0 -0.44 % and averaging 0.19% for Sn, and 0.17-1.79g/t and averaging 0.68g/t for Au.

Mineralized body V7
The mineralized body is distributed near Line 10. Its occurrence is 270-280° (dip)∠36-40° (angle). It has a defined length of 300m, a defined depth of 145m, and vertical thickness of 2.27-7.59m. The grades are Pb 0.57-7.28%, averaging 5.73%, Zn 0.60-7.45%, averaging 5.87%, Ag 14.6-154.2g/t, averaging 122g/t, Sn 0.21-1.44% averaging 0.49%, and Au 0.05-0.43g/t, averaging 0.34g/t.

Mineralized body V2
The mineralized body has an occurrence of 80-88°∠ (dip) 38-40° (angle). The defined length is over 400m. According to the historic borehole data, its inclined depth is up to 500m. The vertical thickness is 1.17-3.21m. Grades are Pb 1.71-1.74%, averaging 1.65%; Zn 0.083-0.58%, averaging 0.27%; Ag 20.8-88.6g/t, averaging 31.37g/t; Sn 0.02-0.52 %, averaging 0.24%; and Au 0.12-0.63g/t.

Main ore minerals include galena, sphalerite, pyrite, pyrrhotite, arsenopyrite, and cassiterite, etc. Gangue minerals mainly include quartz, feldspar, calcite, sericite and carbon, etc.

Mineral Resource

Gaocheng Property

SRK has reviewed all data and information available for the Gaocheng project, done some data verification, which allows SRK to conduct a NI43-101 mineral resource estimate for the deposit. During the resource estimate,

• The polygonal blocks were constructed on longitudinally projected sections using MapGIS, a MapInfo-like GIS software application which is widely used in China;
• Topographic control for the polygonal sections is taken from the topographic maps provided by Yangzi and appears to be reasonably reliable.
• The related technical and economic parameters are listed in the table below;

Parameter	Pb(%)	Zn(%)	Ag(g/t)	Sn(%)
Cut-off	0.7	0.7	40	0.1
Minimum block grade	1.5	1.5	100	0.2
Minimum mineable thickness (m)	0.8
Maximum band thickness (m)	2
If the thickness is less than the minimum mineable thickness, corresponding m.g/t or m.% values were used

• The maximum value of Ag is 1,110 g/t and the average Ag grade of the mineralized bodies is 125g/t Ag. The value of 700g/t is applied as top-cut grade for Ag estimation based on statistical anaylsis. No top-cut was applied to lead and zinc values.
• The current estimation is only for in situ resource; no internal or external dilution has been applied. Mined-out areas are excluded from the resource estimates.
• The specific gravity value used is 3.57;
• It is not easy to project mineralization over substantial distances because of the pinches-and- swells in mineralization. However, the mineralization shows relatively steady continuities in both thickness and grades. The current resource is preliminarily estimated based upon the data provided by Yangzi and complied by Dr Anson Xu, Principal Consultant at SRK China, and Member of the Austaliasian Institute of Mining of Metallurgy. The resource estimate was classified in compliance with the Australasian Code for the Reporting of Identified Mineral

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Resources and Ore Reserves (JORC, 2004), and the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Standards on Mineral Resources and Mineral Reserves Definitions and Guidelines (CIM Code).
• The initial classification process was based on an interpolation distance as defined as follows:

The resources were classified into Measured if the average weighted sample distance was less than 50m;

The resources were classified into Indicated if the average weighted sample distance was between 50m and 120m;

The resources were classified into Inferred if the average weighted sample distance was greater than 120m; or either the extrapolation of the Indicated resource.

The initial classification was reviewed visually. The difined resource categories were based on a combination of data density and geological confidence.

Table below provides a summary of the resource estimate for the Gaocheng deposit.

Vein	Category	Tonnage	Ag(g/t)	Pb(%)	Zn(%)	Sn(%)	Ag(kg)	Pb(t)	Zn(t)	Sn(t)
V2	Measured	490033	207.24	1.30	3.98	0.14	101554	6393	19526	709
	Indicated	948659	111.39	1.62	2.33	0.15	105672	15391	22128	1441
	Inferred (o)	196979	277.17	1.78	0.11	0.14	54596	3500	210	272
	Inferred (s)	2493966	131.76	2.02	3.23	0.17	328600	50293	80487	4247
	Inferred	2690945	142.40	2.00	3.00	0.17	383196	53793	80698	4519
V2-1	Indicated	75895	50.44	1.18	2.26	0.12	3828	898	1715	95
	Inferred (o)	15395	82.20	0.27	0.03	0.00	1265	41	4	0
	Inferred (s)	293027	65.26	0.99	2.70	0.24	19122	2897	7905	708
	Inferred	308422	66.10	0.95	2.56	0.23	20387	2938	7910	708
V2-2	Indicated	84897	51.41	0.90	2.57	0.07	4365	761	2186	63
	Inferred (o)	90854	85.40	0.24	0.18	0.00	7759	220	164	0
	Inferred (s)	731122	54.25	0.87	2.64	0.11	39664	6376	19300	796
	Inferred	821976	57.69	0.80	2.37	0.10	47423	6597	19464	796
V3	Inferred (o)	38913	549.89	0.25	0.02	0.04	21398	97	8	16
	Inferred (s)	28455	114.11	10.89	8.95	0.04	3247	3100	2547	11
	Inferred	67368	365.83	4.75	3.79	0.04	24645	3197	2554	27
V4	Inferred (o)	80450	282.67	0.85	0.10	0.08	22741	680	80	66
	Inferred (s)	310616	187.87	0.88	1.15	0.08	58356	2721	3569	247
	Inferred	391066	207.37	0.87	0.93	0.08	81096	3401	3649	313
V5	Inferred (o)	26534	101.20	0.05	0.02	0.00	2685	14	6	0
	Inferred (s)	88669	342.48	2.19	1.50	0.07	30367	1944	1328	63
	Inferred	115203	286.91	1.70	1.16	0.06	33053	1958	1Inferred	63
V5-1	Inferred (o)	36518	197.94	1.09	0.07	0.01	7228	397	27	3
	Inferred (s)	27307	62.02	0.35	6.24	0.18	1694	95	1705	50
	Inferred	63825	139.79	0.77	2.71	0.08	8922	492	1732	53
V6	Inferred (o)	104856	247.54	0.82	0.07	0.15	25956	858	73	159
	Inferred (s)	1140652	84.64	0.62	5.50	0.12	96543	7028	62779	1325
	Inferred	1245508	98.35	0.63	5.05	0.12	122499	7886	62852	1484
V7	Indicated	154471	49.92	0.97	2.40	0.09	7711	1492	3704	142
	Inferred (o)	2998	102.50	0.11	0.36	0.04	307	3	11	1
	Inferred (s)	605937	53.05	0.92	2.51	0.10	32143	5593	15196	596
	Inferred	608935	53.29	0.92	2.50	0.10	32451	5597	15207	597

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Vein	Category	Tonnage	Ag(g/t)	Pb(%)	Zn(%)	Sn(%)	Ag(kg)	Pb(t)	Zn(t)	Sn(t)
V7-1	Indicated	13456	72.76	2.56	1.97	0.08	979	345	265	11
	Inferred (o)	2544	102.50	0.11	0.36	0.04	261	3	9	1
	Inferred (s)	295224	161.60	1.09	2.99	0.10	47709	3224	8816	283
	Inferred	297768	161.10	1.08	2.96	0.10	47970	3227	8825	284
V8	Inferred (o)	14378	214.54	0.28	0.04	0.04	3085	40	6	6
	Inferred (s)	0	0.00	0.00	0.00	0.00	0	0	0	0
	Inferred	14378	214.54	0.28	0.04	0.04	3085	40	6	6
v10	Measured	9760	175.81	1.57	1.91	0.00	1716	153	186	0
	Indicated	52525	210.08	2.20	2.60	0.04	11035	1154	1364	20
	Inferred (o)	78262	217.06	1.32	0.08	0.04	16987	1033	63	28
	Inferred (s)	424882	196.52	2.40	2.94	0.07	83496	10202	12481	288
	Inferred	503143	199.71	2.23	2.49	0.06	100483	11236	12544	316
Vein	Category	Tonnage	Ag(g/t)	Pb(%)	Zn(%)	Sn(%)	Ag(kg)	Pb(t)	Zn(t)	Sn(t)
v11	Inferred (o)	18556	237.86	1.26	0.06	0.05	4414	233	11	9
	Inferred (s)	134290	10.57	0.15	1.41	0.00	1420	196	1890	4
	Inferred	152846	38.17	0.28	1.24	0.01	5833	429	1901	13
Total	Measured	499793	206.63	1.31	3.94	0.14	103270	6546	19712	709
	Indicated	1329903	100.45	1.51	2.36	0.13	133590	20040	31362	1772
	Inferred (o)	707237	238.51	1.01	0.10	0.08	168682	7121	673	561
	Inferred (s)	6574146	112.92	1.42	3.32	0.13	742361	93669	218002	8619
	Measured+ Indicated	1829695	129.45	1.45	2.79	0.14	236860	26587	51075	2481
	Inferred	7281383	125.12	1.38	3.00	0.13	911043	100790	218675	9179

Note: o – oxidized s- sulphide

SRK estimates that the previous underground mining has mined about 100,000t resource from V2.

Shimentou Property

SRK has not conducted resource estimation for the Shimentou deposit, because there is no enough data availability. The resource estimated by Guangdong Provincial Institute of Geological Survey (2004) using Chinese Codes is included in Section 7. SRK should point out that the resource is historical, which is not compliant with NI43-101, and should be used with cautions.

Metallurgical Study

Hunnan Institute of Non-ferrous Metallurgical Study conducted ore dressing experiments on the ores taken from Gaocheng projects. The Institute recommended a sequential flotation technique to produce a lead concentrate, a zinc concentrate, and a sulphur concentrate squently. The experiment achieved a recovery of 87.49% and 90.15% for lead and zinc, respectively from the lead and zinc concentrates, while silver is mainly concentrated in the lead concentrate with 44.7% of recovery. The zinc concentrate also recovers 26% of silver.

In general, the experiment indicates that the samples taken from the Gaocheng deposit can be easily processed to produce a lead concentrate, a zinc concentrate, and a sulphur concentrate by using the recommended technique. SRK believes that the recommended technique is reasonable and commonly used, and can be applied in Gaocheng project as an industrial production. SRK recommends that more tests should be conducted to concentrate higher silver recovery in the lead concentrate by adjusting pH value and quantity of some chemical ageants, or some other methods. Hunan Institute has not conducted tests to recover tin. SRK believes that extracting tin could be economicly potential, and recommends more tests to address the issue.

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Share Purchase Agreement between Silvercorp Metals Inc. and Yangtze Gold Ltd.
On April 24, 2008, Silvercorp reached a share purchase agreement with Yangtze Gold Ltd. (“Yangtze Gold”) which is a company duly organized and existing under the law of British Virgin Islands. Yangtze Gold wishes to sell and Silvercorp wishes to buy the 100 shares of Yangtze Mining Ltd. (“Yangtze Mining”) currently owned by Yangtze Gold, representing 100% legal and beneficial interest of Yangtze Mining. Yangtze Mining holds an undivided 95% interest in Anhui Yangtze Mining Co. Ltd. (“Anhui Yangtze”) which is a joint venture company registered and authorized to do business in the People’s Republic of China, and holds certain mining and mineral exploration rights, including the Gaocheng and Shimentou projects, in China.

Both Parties agreed that the aggretate consideration payable by Silvercorp to Yangtze Gold for the Yangtze Mining shares shall be 427,500,000 Chinese RMB Yuan converted into Canadian dollars based on the average Bank of Canada exchange rate over 30 days prior to (and excluding) the date hereof (“Purchase Price”). The payable by Silvercorp is as follows:

(i)

an amount in cash equal to 40% of the Purchase Price (“Cash Payment”). Silvercorp shall deliver to Yangtze Gold the 20% of the Purchase Price in cash on the Closing Date, and other 20% of the Purchase Price in cash plus interest at 5.5% of that amount from the date hereof payable when Silvercorp receives its next dividend payment from its China subsidiary Company, or within 3 months, whichever is earlier;

(ii)

that amount of common shares of Silvercorp with a cash value equal to 60% of the Purchase Price with each common share having an agreed value equal to the volume weighted average trading price of the shares of Silvercorp during 30 calendar days prior to the date hereof, that being C$8.20.

Recommendations for Further Work

Gaocheng Property

SRK recommends that Yangzi should further do a scoping or pre-feasibility study about the development of the project, including more metallurgical tests before a delineation program to mineral bodies in order to upgrade the resource categories. The old underground workings and new tunnels have to be opened and developed to take mineralized materials for the study and tests. Upon a positive result of the study and test, the procedure of applying for a mining license may start.

SRK proposes the Phase I programs with a total budget of 1,500,000 Canadian dollars as listed in the table below. Phase II programs which will be subject to positive results from the Phase I programs may include more drilling to upgrade the resource categories, a resource estimate compliant with NI 43-101, and a feasibility study and design of a mine and ore processing plant.

Item	Unit	Quantity	Unit Price	Amount
			(C$)	(C$)
More metallurgic tests	Lump sum	1	250,000	250,000
Scoping study	Lump sum	1	500,000	500,000
Underground working	Lump sum	1	100,000	100,000
Application of mining license etc	Lump sum	1	200,000	200,000
Management	Lump sum	1	300,000	300,000
Contingent fund	Lump sum	1	150,000	150,000
Total				1,500,000

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Shimentou Property

SRK recommends that Yangzi should further explore and delineate mineralized bodies in Shimentou exploration permits’ areas. The programs may include detailed topographical and geological surveys, surface programs to reveal the geochemical anomalies defined previously, geophysical surveys to define drilling targets, and drilling. Qualified persons are necessary to take strict QA/QC procedures in order for the data to demonstrate the quality as required by NI 43-101, so a resource database to the NI 43-101 standard can be established.

SRK proposes the Phase I programs with a total budget of 1,000,000 Canadian dollars as listed the table below. Phase II programs which will be subject to positive results from the Phase I programs may include more drilling and metallurgical test, underground workings, and a resource estimate.

Item	Unit	Quantity	Unit Price	Amount
			(C$)	(C$)
Topographic survey	Km2	5	5,000	25,000
Geological survey	Km2	5	5,000	25,000
Geophysical depth sounding	point	200	250	50,000
Surface programs	Lump sum	1	50,000	50,000
Drilling and logging	m	5,000	100	500,000
Core sampling and assaying etc	Sample	2,000	25	50,000
Management	Lump sum	1	200,000	200,000
Contingent fund	Lump sum	1	100,000	100,000
Total				1,000,000

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2 Introduction and Terms of Reference

SRK was commissioned by Silvercorp to perform a technical review of the Gaocheng Ag-Pb-Zn project and the Shimentou Au-Ag-Pb-Zn in Guangdong Province, the People’s Republic of China (China). Silvercorp is a Canadian public company headquartered in Vancouver, BC, Canada, and traded on Toronto Stock Exchange under the symbol of “SVM”. Silvercorp is acquiring 100% shares of Yangtze Gold Ltd. (“Yangtze Gold”) that wholly owns Yangtze Mining Ltd. (“Yangtze Mining”) that owns 95% of Anhui Yangtze Mining Co. Ltd (“Anhui Yangtze”). Anhui Yangtze has obtained the mineral rights and conducted exploration in the two projects. SRK was further requested to prepare a NI43-101 technical report for the acquisition and its sharehlders.

2.1 Program Objectives

The review objective of t the Gaocheng Ag-Pb-Zn project and the Shimentou Au-Ag-Pb-Zn was to provide Silvercorp with a clear understanding of the potential of precious metal (Ag-Au) and base metal (Pb-Zn) mineralization and mineral resources, and to recommend further exploration and development of the properties. SRK was further required to provide an independent technical review report, which will summarise previous information about the properties, and recommend an exploration program and strategy for developing the projects.

2.2 Purpose of the Report and Scope of Work

The purpose of the SRK report is to provide the shareholders of Silvercorp with an independent technical report on the Gaocheng and Shimentou projects.

The scope of work includes providing a summary of previous information about the properties, and recommending an exploration program and strategy for the future development.

2.3 Reporting Standard

This report has been produced in accordance with the Standards of Disclosure for Mineral Projects as contained in NI 43-101 and accompanying policies and documents. NI 43-101 utilises the definitions and categories of mineral resources and mineral reserves as set out in the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Standards on Mineral R5esources and Mineral Reserves Definitions and Guidelines (CIM Code). This report has also been prepared to the standard of and is considered by SRK to be, a Technical Assessment Report under the guidelines of the Valmin codes. The Valmin Code incorporates the Joint Ore Reserve Commission (JORC) codes for the reporting of Mineral Resources and Ore Reserve and is binding upon all Australasian Institute of Mining and Metallurgy (AusIMM) members.

This report is not a valuation report and does not express an opinion as to the value of mineral assets. Aspects reviewed in this report may include product prices, socio-political issues, and environmental considerations; however, SRK does not express an opinion regarding specific value of assets and tenements involved.

2.4 Work Program

The technical review project was conducted in two phases.

• Phase 1 – travel to Yunfu, Guangdong Province, and Chengdu, Sichuan province, People’s Republic of China, for inspection of the properties and laboratories, interviews with related technical personnel, collection of check samples and return travel to Beijing. The SRK team visited the properties during the periods from June 4 to 9, 2007;

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final.doc April 2008

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page 9

• Phase 2 –Compilation and peer review of a draft of the technical report for Yangzi’s comments; and the finalisation of the report.

2.5 Project Team

The SRK project team includes:

EX-99.62

Exhibit 99.62

Update on the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, China Silvercorp Metals Inc. August 16, 2007

CONSENT OF AUTHORS

TO:

Toronto Stock Exchange

Ontario Securities Commission

British Columbia Securities Commission

Alberta Securities Commission Saskatchewan Securities Commission Manitoba Securities Commission

New Brunswick Securities Commission

Nova Scotia Securities Commission

We, Chris Broili, C.P. Geo & L.P. Geo., of 2104 Graf Road, Centralia, Washington, U.S.A. and Mel Klohn, L.P. Geo., of 11309 E. 48th Ave., Spokane Valley, Washington, U.S.A do hereby consent to the filing, with the regulatory authorities referred to above, of the technical report titled "Technical Report — Update on the the Ying Silver-Lead-Zinc and HPG Gold-Silver-Lead Projects, Henan Province, People's Republic of China" prepared for Silvercorp Metal Inc. and dated August 16, 2007, (the "Technical Report") and to the written disclosure of the Technical Report and of extracts from or a summary of the Technical Report in the written disclosure in the Annual Information Form of Silvercorp Metals Inc. being filed.

Dated this 16th day of August, 2007 "Chris Broili "

Chris Broili, C.P. Geo. & L.P. Geo.

"Mel Klohni"

Mel Klohn, L.P. Geo.

BK Exploration Associates 68

EX-99.63

Exhibit 99.63

SRK Consulting
Technical Report on Guangdong Yunfu Projects	Page 75

24 Consent of Authors

TO:

Toronto Stock Exchange

Ontario Securities Commission

British Columbia Securities Commission Alberta Securities Commission

Saskatchewan Securities Commission Manitoba Securities Commission

New Brunswick Securities Commission Nova Scotia Securities Commission

I, Anson Xu, MAusIMM, of SRK Consulting China Limited, B1317 COFCO Plaza, 8 Jianguomen Nei Dajie, Beijing, China, do hereby consent to the filing, with the regulatory authorities referred to above, and other regulatory authorites and or stock exchanges as required, of the technical report titled " Technical Report on Gaocheng Ag-Zn-Pb Project, and Shimentou Gold Project, Guangdong Province, People's Republic of China " dated April 30, 2008 (the "Technical Report") and to the written disclosure of the Technical Report and of extracts from or a summary of the Technical Report in the written disclosures of Silvercorp Metals Inc., including in its Annual Information Form being filed.

Dated this 30^th day of April 2008

Signature of QP

AX/ZW/LN/JL/BS NI43-101Report Guangdong Gaochengand Shimentou Projects -Final doc April 2008

EX-99.64

Exhibit 99.64

CONSENT OF INDEPENDENT AUDITORS

We consent to the use of our report dated April 30, 2008 (except for notes 13, 14, and 20 which are as of July 4, 2008) with respect to the consolidated financial statements of Silvercorp Metals Inc. (the “Company”) as at March 31, 2008 and 2007 and for the years then ended, included as exhibit 1 and incorporated by reference in the Registration Statement (Form 40-F).

We also consent to the use of our report dated July 4, 2008 to the board of directors of the Company with respect to the Reconciliation to United States Generally Accepted Accounting Principles as at March 31, 2008 and 2007 and for the years then ended, included as exhibit 4 and incorporated by reference in the Registration Statement (Form 40-F).

	/s/ Ernst & Young LLP
Vancouver, Canada
July 21, 2008	CHARTERED ACCOUNTANTS

1

EX-99.65

Exhibit 99.65

	Ministry of Finance	Number: BC0414648
	Corporate and Personal
	Property Registries

CERTIFICATE

OF

CHANGE OF NAME

BUSINESS CORPORATIONS ACT

I Hereby Certify that SKN RESOURCES LTD. changed its name to SILVERCORP METALS INC. on May 2, 2005 at 06:30 AM Pacific Time.

	Issued under my hand at Victoria, British Columbia
	On May 2, 2005
	LIZ MUELLER
	Registrar of Companies
	Province of British Columbia
	Canada

EX-99.66

Exhibit 99.66

Date and Time: July 23, 2008 03:47 PM Pacific Time

BRITISH	Ministry of Finance	Mailing Address: PO BOX 9431 Stn Prow Govt	Location: 2nd Floor – 940 Blanshard St
COLUMBIA	BC Registry Services	Victoria BC V8W 9V3	Victoria BC
		www.corporateonhine.qovbc.ca	250 356-8626

Notice of Articles

BUSINESS CORPORATIONS ACT

      This Notice of Articles was issued by the Registrar on: June 21, 2007 12:01 AM Pacific Time

      Incorporation Number:                 BC0414648

      Recognition Date:    October 31, 1991 as a result of an Amalgamation

NOTICE OF ARTICLES

Name of Company:

SILVERCORP METALS INC.

REGISTERED OFFICE INFORMATION

Mailing Address:	Delivery Address:
1378 200 GRANVILLE STREET	1378 200 GRANVILLE STREET
VANCOUVER BC V6C 1S4	VANCOUVER BC V6C 1S4
CANADA	CANADA

RECORDS OFFICE INFORMATION

Mailing Address:	Delivery Address:
1378 200 GRANVILLE STREET	1378 200 GRANVILLE STREET
VANCOUVER BC V6C 1S4	VANCOUVER BC V6C 1S4
CANADA	CANADA

BC0414648 Page: 1 of 3

DIRECTOR INFORMATION

Last Name, First Name Middle Name:

SIMPSON, S. PAUL

Mailing Address:	Delivery Address:
2080 – 777 HORNBY STREET	2080 – 777 HORNBY STREET
VANCOUVER BC V6Z 1S4	VANCOUVER BC V6Z 1S4
CANADA	CANADA

Last Name, First Name Middle Name:

Drake, Earl Gordon

Mailing Address:	Delivery Address:
SUITE 2600	SUITE 2600
SIMON FRASER UNIVERSITY, HARBOUR CENTER	SIMON FRASER UNIVERSITY, HARBOUR CENTER
515 WEST HASTINGS STREET	515 WEST HASTINGS STREET
VANCOUVER BC V6B 5K3	VANCOUVER BC V6B 5K3
CANADA	CANADA

Last Name, First Name Middle Name:

Hall, Greg

Mailing Address:	Delivery Address:
SUITE 1378, 200 GRANVILLE STREET	SUITE 1378, 200 GRANVILLE STREET
VANCOUVER BC V6C 1S4	VANCOUVER BC V6C 1S4
CANADA	CANADA

Last Name, First Name Middle Name:

GAO, MYLES JIANGUO

Mailing Address:	Delivery Address:
SUITE 1378, 200 GRANVILLE STREET	SUITE 1378, 200 GRANVILLE STREET
VANCOUVER BC V6C 1S4	VANCOUVER BC V6C 1S4
CANADA	CANADA

Last Name, First Name Middle Name:

Liu, Yikang

Mailing Address:	Delivery Address:
SUITE 1378, 200 GRANVILLE STREET	SUITE 1378, 200 GRANVILLE STREET
VANCOUVER BC V6C 1S4	VANCOUVER BC V6C 1S4
CANADA	CANADA

Last Name, First Name Middle Name:

FENG, RUI

Mailing Address:	Delivery Address:
SUITE 1378, 200 GRANVILLE STREET	SUITE 1378, 200 GRANVILLE STREET
VANCOUVER BC V6C 1S4	VANCOUVER BC V6C 1S4
CANADA	CANADA

BC0414648 Page: 2 of 3

RESOLUTION DATES:

Date(s) of Resolution(s) or Court Order(s) attaching or altering Special Rights and Restrictions attached to a class or a series of shares:

                                                                           October 20, 2004

AUTHORIZED SHARE STRUCTURE

1. No Maximum	Common Shares	Without Par Value
		Without Special Rights or Restrictions attached

BC0414648 Page: 3 of 3