Solitario Exploration & Royalty Reports Solid Development and Exploration Progress on Its Bongará Zinc Project, Peru

Solitario Exploration & Royalty Corp. (NYSE Amex: XPL; TSX: SLR)
announced solid progress on development and exploration activities on
its high-grade Bongará zinc project in Peru. Included in these
activities are access road construction, underground tunneling to
further define mineralization and surface exploration drilling. The
program is being managed and entirely funded by Solitario's joint
venture partner Votorantim Metais ('Votorantim?). The Bongará project
hosts the high-grade Florida Canyon zinc deposit where zinc
mineralization has been intersected over a four square kilometer area.

Road Construction

Road construction to access the Bongará project area began in
late-October of this year. Approximately 60% of the alignment to the
eastern portion of the property adjacent to the La Union target has now
been completed. Previously, access to the deposit has occurred via
helicopter and foot-trails. Road construction is planned to continue
throughout 2011, until it is completed. Upon completion, access to the
property will be greatly improved and provide for more efficient
development of the project.

Underground Tunneling

Underground tunneling to more effectively access mineralization began in
late-September of this year. Approximately 200 meters of tunnel
advancement has been completed of an initial 700 meter program.
Tunneling is planned to continue throughout 2011. This tunneling will
allow for improved deposit definition and at much lower costs than
helicopter assisted deep surface drilling.

Exploration Drilling

Results from twenty-four core holes have been received from three
different zones: the San Jorge, San Jorge North and Karen-Milagros. The
2010 drilling program is just now coming to a close and some holes
remain to be assayed. The ten best intercepts thus far are:

* True thickness has not been estimated for each individual
intercept, but in all cases are thought to represent at least 85% of
true thickness

The deposit is open to expansion in all directions. A complete listing
of all assay results received thus far are appended below and a drill
hole map can be accessed at http://www.solitarioxr.com/art/Bongara2010drillmaplan.pdf.
Additional project information is found at http://www.solitarioxr.com/bongara.html.

Chris Herald, President and CEO of Solitario, commented, 'We are
extremely pleased with the solid progress made in 2010 by Votorantim on
all development fronts. Votorantim is finalizing 2011 activities that
include engineering/infrastructure related studies, detailed resource
modeling, permitting, continued exploration drilling, road construction
and underground development. With zinc prices remaining strong at
approximately US$1.00 per pound, the economics of this attractive
project are further enhanced.'

The drill hole information contained within this release is reported
under a quality control program reviewed by Mr. Walt Hunt, COO for
Solitario Exploration & Royalty Corp., who is a qualified person as
defined by National Instrument 43-101. Samples are derived from 50%
splits of HQ and NQ (2.5 and 1.9 inch) diameter core. Samples are then
shipped via secured third-party land and air transportation companies
and analyzed by ALS Chemex Inc., North Vancouver, Canada, an ISO9002
registered company.

Bongará Agreement with Votorantim Metais

Votorantim Metais can earn up to a 70% interest in the project by
committing to place the project into production based upon a positive
feasibility study. After earning 70%, Votorantim Metais has further
agreed to finance Solitario's 30% participating interest for
construction. Solitario will repay the loan facility through its cash
flow distributions.

About Votorantim Metais

Votorantim Metais belongs to a privately held Brazilian business
conglomerate that is a leader in every market segment in which it
operates, including cement, pulp and paper, metals, chemicals, orange
juice, and finance. The metals business division accounted for 29% of
revenues from production of zinc, nickel, steel and aluminum. Votorantim
Metais is the world's fifth largest primary zinc producer with three
operating zinc smelters and two operating zinc mines. It owns the
Cajamarquilla zinc smelter in Peru and is the majority shareholder of
Milpo, also located in Peru. Votorantim Metais also recently acquired US
Zinc, a zinc recycling company based in the USA with a plant located in
China.

About Solitario

Solitario recently announced (August 26, 2010) a joint venture
arrangement with Ely Gold & Minerals on Ely′s advanced Mt. Hamilton Gold
in eastern Nevada. Solitario is currently moving the project through
feasibility and is conducting a drilling program. Solitario is a gold,
silver, platinum-palladium, and base metal exploration and royalty
company actively exploring in Brazil, Mexico, and Peru. Besides
Votorantim, Solitario has significant business relationships with Minera
Buenaventura, Newmont Mining and Anglo Platinum. Solitario has
approximately US$15 million in net cash and marketable securities and no
debt. Solitario is traded on the NYSE Amex ('XPL') and on the Toronto
Stock Exchange ('SLR'). Additional information about Solitario is
available online at www.solitarioxr.com

This press release includes certain 'Forward-Looking Statements'
within the meaning of section 21E of the United States Securities
Exchange Act of 1934, as amended. All statements, other than statements
of historical fact, included herein, including without limitation,
statements regarding potential mineralization and reserves, exploration
results and future plans and objectives of Solitario, are
forward-looking statements that involve various risks and uncertainties.
There can be no assurance that such statements will prove to be accurate
and actual results and future events could differ materially from those
anticipated in such statements. Development ofSolitario′s
properties are subject to the success of exploration, completion and
implementation of an economically viable mining plan, obtaining the
necessary permits and approvals from various regulatory authorities,
compliance with operating parameters established by such authorities and
political riskssuch as higher tax and royalty rates, foreign
ownership controls and our ability to finance in countries that may
become politically unstable. Important factors that could cause actual
results to differ materially from Solitario′s expectations are disclosed
under the heading 'Risk Factors' and elsewhere in Solitario′s documents
filed from time to time with Canadian Securities Commissions, the United
States Securities and Exchange Commission and other regulatory
authorities.

Solitario Exploration & Royalty Corp.

Debbie Mino-Austin,
800-229-6827

Director ? Investor Relations

or

Christopher
E. Herald, 303-534-1030

President & CEO