SILVER WHEATON REPORTS RECORD PRODUCTION WITH NET EARNINGS AND OPERATING CASH FLOWS MORE THAN DOUBLING IN THE FIRST QUARTER

By Silver Wheaton Corp., PRNE
Sunday, May 8, 2011

VANCOUVER, May 9, 2011 - Silver Wheaton Corp. ("Silver Wheaton" or the
"Company") (TSX:SLW) (NYSE:SLW) is pleased to announce its unaudited results
for the first quarter ended March 31, 2011.

FIRST QUARTER HIGHLIGHTS

———————————————————————

- Revenue increased 84% to a record US$158.2 million compared with
US$85.9 million in Q1 2010.

- Net earnings increased 142% to a record US$122.2 million (US$0.35 per
share), compared with US$50.6 million (US$0.15 per share) in Q1 2010.

- Operating cash flows increased 121% to a record US$127.2 million
(US$0.36 per share1) compared with US$57.6 million (US$0.17 per share1) in Q1
2010.

- Record attributable silver equivalent production of 6.2 million ounces
(6.1 million ounces of silver and 2,900 ounces of gold), representing an
increase of 10% over the comparable period in 2010.

- Silver equivalent sales of 4.9 million ounces (4.8 million ounces of
silver and 2,500 ounces of gold).

- As at March 31, 2011, approximately 3.0 million payable silver
equivalent ounces attributable to the Company have been produced at the
various mines and will be recognized in future sales as they are delivered to
the Company under the terms of their contracts. This represents an increase
in the first quarter of approximately 700,000 payable silver equivalent
ounces, and is primarily due to the timing of concentrate shipments from the
Yauliyacu, Zinkgruvan, Mineral Park and Campo Morado mines.

- Total cash costs of US$4.071 per silver equivalent ounce, compared with
US$4.041 in Q1 2010.

- Cash operating margin1 increased 114% compared to Q1 2010 to a record
US$28.17, while the average realized silver price over the same period
increased by 85%.

- Announced an inaugural quarterly cash dividend of US$0.03 per common
share (US$0.12 per common share, annually). The initial dividend of US$0.03
per common share was distributed on March 30, 2011.

- Announced attributable proven and probable reserves increased by over
nine percent in 2010, as a result of an increase of 80 million ounces of
silver and 23,000 ounces of gold, to a record 954 million silver equivalent
ounces. Over the same period, attributable measured and indicated resources
increased by one percent to 377 million silver equivalent ounces.
Attributable inferred resources increased by 22%, as a result of an increase
of 89 million ounces of silver, to 497 million silver equivalent ounces.

- Barrick Gold Corporation's world-class gold-silver Pascua-Lama project
is forecast to commence production in the first half of 2013. Over 45% of the
pre-production capital budget of $US3.3-3.6 billion has been committed and
earthworks are more than 65% complete. First concrete for the process plant
will be poured in Q2 2011 and pre-strip mining is expected to begin in Q4
2011. Once in production, Pascua-Lama is forecast to be one of the largest
and lowest cost gold mines in the world with an expected mine life in excess
of 25 years. In its first full five years of operation, Silver Wheaton's
attributable silver production is expected to average nine million ounces
annually.

- Subsequent to quarter end, Randy Smallwood, the President and one of
the founders of Silver Wheaton, was appointed Chief Executive Officer,
replacing Peter Barnes who resigned effective April 11, 2011. Since 2004, Mr.
Smallwood has been instrumental in building Silver Wheaton into the second
largest silver company in the world.

1 Refer to discussion on non-IFRS measures at the end of this press
release.

"Record first quarter production represented a solid start to the year,
and we are confident that our 2011 production forecast of 27 to 28 million
silver equivalent ounces, an increase of 15% over 2010, will be met," said
Randy Smallwood, President and Chief Executive Officer of Silver Wheaton.
"Though sales lagged production, and resulted in an increase of over 700,000
payable silver equivalent ounces produced but not yet delivered by our
partners, record earnings and operating cash flows were achieved in this
quarter. We expect increased silver deliveries throughout 2011 to make up for
the sales shortfall, and in the current environment of strong silver prices,
our shareholders should benefit from increased earnings and cash flows in
future quarters from these deferred silver deliveries."

"In March, Silver Wheaton reached another major milestone by commencing
an inaugural quarterly cash dividend. Our unique business model, which offers
shareholders very good leverage to increasing silver prices while at the same
time reducing the risks faced by traditional mining companies, now offers
another significant advantage over silver exchange traded funds - a dividend
yield. With one of the strongest cash operating margins in the sector, which
was US$28.17/oz or 87% in the first quarter, Silver Wheaton has the capacity
to offer its shareholders meaningful long-term dividend growth."

"Lastly, our corporate development team remains very busy pursuing
further partnerships, and some stability in the price of silver will likely
result in a significant increase in silver streaming opportunities as mining
companies seek to capitalize on the benefits of the current silver price
environment. For companies striving to grow their core operations, silver
streaming provides a very attractive financing solution, compared to debt and
equity. With in excess of US$560 million in cash, an undrawn US$400 million
revolving credit facility, and very robust operating cash flows, Silver
Wheaton is extremely well-positioned to help mining companies achieve their
growth goals."

This earnings release should be read in conjunction with Silver Wheaton's
unaudited MD&A and Financial Statements, which are available on the Company's
website at www.silverwheaton.com and have been posted on SEDAR at
www.sedar.com.

Randy Smallwood Appointed to Board of Directors

The Board of Directors is also pleased to announce the appointment of
Randy Smallwood, Silver Wheaton's President and Chief Executive Officer, to
the Company's Board of Directors in place of Peter Barnes, who had earlier
tendered his resignation. Randy Smallwood will be nominated for election as a
director of the Company at its Annual General Meeting to be held on May 20,
2011
in lieu of Peter Barnes.

Webcast and Conference Call Details

A conference call will be held Monday, May 9, 2011, starting at 10:00 am
(Eastern Time)
to discuss these results. To participate in the live call use
one of the following methods:

    Dial toll free from Canada or the US: 1-888-231-8191
    Dial from outside Canada or the US:   1-647-427-7450
    Pass code:                            58621503
    Live audio webcast:                   www.silverwheaton.com

Participants should dial in five to ten minutes before the call.

The conference call will be recorded and you can listen to an archive of
the call by one of the following methods:

    Dial toll free from Canada or the US: 1-800-642-1687
    Dial from outside Canada or the US:   1-416-849-0833
    Pass code:                            58621503
    Archived audio webcast:               www.silverwheaton.com

About Silver Wheaton

Silver Wheaton is the largest silver streaming company in the world.
Based upon its current agreements, forecast 2011 attributable production is
27 to 28 million silver equivalent ounces, including 15,000 ounces of gold.
By 2015, annual attributable production is anticipated to increase
significantly to approximately 43 million silver equivalent ounces, including
35,000 ounces of gold. This growth is driven by the Company's portfolio of
world-class assets, including silver streams on Goldcorp's Penasquito mine
and Barrick's Pascua-Lama project.

CAUTIONARY NOTE REGARDING FORWARD LOOKING-STATEMENTS

The information contained herein contains "forward-looking statements"
within the meaning of the United States Private Securities Litigation Reform
Act of 1995 and "forward-looking information" within the meaning of
applicable Canadian securities legislation. Forward-looking statements, which
are all statements other than statements of historical fact, include, but are
not limited to, statements with respect to the future price of silver and
gold, the estimation of mineral reserves and resources, the realization of
mineral reserve estimates, the timing and amount of estimated future
production, costs of production, reserve determination, reserve conversion
rates and statements as to any future dividends. Generally, these forward-
looking statements can be identified by the use of forward-looking
terminology such as "plans", "expects" or "does not expect", "is expected",
"budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of such words and phrases
or statements that certain actions, events or results "may", "could",
"would", "might" or "will be taken", "occur" or "be achieved". Forward-
looking statements are subject to known and unknown risks, uncertainties and
other factors that may cause the actual results, level of activity,
performance or achievements of Silver Wheaton to be materially different from
those expressed or implied by such forward-looking statements, including but
not limited to: fluctuations in the price of silver and gold; the absence of
control over mining operations from which Silver Wheaton purchases silver or
gold and risks related to these mining operations including risks related to
fluctuations in the price of the primary commodities mined at such
operations, actual results of mining and exploration activities, economic and
political risks of the jurisdictions in which the mining operations are
located and changes in project parameters as plans continue to be refined;
and differences in the interpretation or application of tax laws and
regulations; as well as those factors discussed in the section entitled
"Description of the Business - Risk Factors" in Silver Wheaton's Annual
Information Form available on SEDAR at www.sedar.com and in Silver Wheaton's
Form 40-F on file with the U.S. Securities and Exchange Commission in
Washington, D.C. Forward-looking statements are based on assumptions
management believes to be reasonable, including but not limited to: the
continued operation of the mining operations from which Silver Wheaton
purchases silver or gold, no material adverse change in the market price of
commodities, that the mining operations will operate and the mining projects
will be completed in accordance with their public statements and achieve
their stated production outcomes, and such other assumptions and factors as
set out herein. Although Silver Wheaton has attempted to identify important
factors that could cause actual results to differ materially from those
contained in forward-looking statements, there may be other factors that
cause results not to be as anticipated, estimated or intended. There can be
no assurance that forward-looking statements will prove to be accurate.
Accordingly, readers should not place undue reliance on forward-looking
statements. Silver Wheaton does not undertake to update any forward-looking
statements that are included or incorporated by reference herein, except in
accordance with applicable securities laws.

Condensed Interim Consolidated Statement of Operations (unaudited)

                                                  Three Months Ended March 31
    (US dollars and shares in thousands,
    except per share amounts -
    unaudited)                                      2011              2010

    Sales                                     $    158,183       $    85,938
    Cost of sales                             $     19,948       $    20,167
    Depletion                                       11,684            13,551
                                              $     31,632       $    33,718
    Earnings from operations                  $    126,551       $    52,220
    Expenses and other income
    General and administrative (1)            $      6,501       $     7,195
    Gain on fair value adjustment of                     -            (6,306)
    warrants issued
    Foreign exchange gain                              (4)               (32)
    Other (income) expense                            397                427
                                              $     6,894        $     1,284
    Earnings before tax                       $   119,657        $    50,936
    Deferred income tax recovery                    2,519               (377)
    (expense)
                                              $   122,176        $    50,559
    Earnings per share
    Basic                                     $      0.35        $      0.15
    Diluted (2)                               $      0.34        $      0.13
    Weighted average number of shares
    outstanding
    Basic                                         352,898            342,334
    Diluted                                       355,903            346,457
    1) Equity settled stock based             $     1,255        $     3,108
    compensation (a non-cash item)
    included in general and
    administrative expenses.
    2) Diluted earnings per share for the
    three months ended March 31, 2010 was
    calculated using net earnings adjusted
    for the gain on fair value adjustment of
    warrants issued.

Condensed Interim Consolidated Balance Sheets (unaudited)

                                     March 31         December 31   January 1
    (US dollars in thousands -         2011            2010            2010
       unaudited)
    Assets
    Current assets
            Cash and cash equivalents $ 564,075      $ 428,636    $   227,566
            Accounts receivable           7,819          7,088          4,881
            Other                           854            727          1,027
    Total current assets            $   572,748    $   436,451    $   233,474
    Non-current assets
    Silver and gold interests       $ 1,905,841    $ 1,912,877    $ 1,928,476
    Long-term investments               276,888        284,448         73,747
    Other                                 1,588          1,607          1,852
    Total non-current assets        $ 2,184,317    $ 2,198,932    $ 2,004,075
    Total assets                    $ 2,757,065    $ 2,635,383    $ 2,237,549
    Liabilities
    Current liabilities
            Accounts payable and    $     5,296    $     9,843    $    10,302
            accrued liabilities
            Current portion of bank      28,560         28,560         28,560
            debt
            Current portion of silver   132,988        133,243        130,788
            interest payments
    Total current liabilities       $   166,844    $   171,646    $   169,650
    Non-current liabilities
            Deferred income taxes   $       402    $       822    $         -
            Liability for Canadian            -              -         51,967
            dollar share purchase
            warrants
            Long-term portion of bank    71,480         78,620        107,180
            debt
            Long-term portion of        124,405        122,346        236,796
            silver interest payments
    Total non-current liabilities   $   196,287    $   201,788    $   395,943
    Total liabilities               $   363,131    $   373,434    $   565,593
    Shareholders' Equity
    Issued capital and contributed  $ 1,807,497    $ 1,801,786    $ 1,497,095
    surplus
    Retained earnings                   459,755        344,075        190,865
    Long-term investment revaluation    126,682        116,088       (16,004)
    reserve (net of tax)
    Total shareholders' equity      $ 2,393,934    $ 2,261,949    $ 1,671,956
    Total liabilities and           $ 2,757,065    $ 2,635,383    $ 2,237,549
    shareholders' equity

    Condensed Interim Consolidated Statement of Cash Flows (unaudited)

                                                 Three Months Ended March 31
    (US dollars in thousands -                    2011            2010
    unaudited)
    Operating Activities
    Net earnings                                  $  122,176       $  50,559
    Items not affecting cash
    Depreciation and depletion                        11,754          13,616
    Equity settled stock-based                         1,255           3,108
    compensation
    Deferred income tax                              (2,519)             377
    (recovery) expense
    Gain on fair value adjustment                          -         (6,306)
    of warrants issued
    Other (income) expense                              (67)             291
    Change in non-cash operating                     (5,392)         (4,045)
    working capital
    Cash generated by operating                   $  127,207       $  57,600
    activities
    Financing Activities
    Bank debt repaid                              $  (7,140)       $ (7,140)
    Share issue costs                                      -            (85)
    Share purchase warrants                               61             167
    exercised
    Share purchase options exercised                   4,395           3,294
    Dividends paid                                  (10,595)               -
    Cash applied to financing activities          $ (13,279)       $ (3,764)
    Investing Activities
    Silver and gold interests                     $  (2,857)       $   (517)
    Long-term investments                                  -         (1,135)
    Proceeds on disposal of                           24,270               -
    long-term investments
    Other                                                (8)           (212)
    Cash generated by (applied to)                $   21,405       $ (1,864)
    investing activities
    Effect of exchange rate changes on
    cash and cash equivalents                     $      106       $     120
    Increase in cash and cash                     $  135,439       $  52,092
    equivalents
    Cash and cash equivalents, beginning             428,636         227,566
    of period
    Cash and cash equivalents, end of             $  564,075       $ 279,658
    period
    Interest paid                                 $      315       $     399
    Interest received                             $      198       $      45

    Results of Operations (unaudited)

                                Three Months Ended March 31, 2011
                       Average Total
                       realized cash  Total                        Cash flow
                         price  cost depletion Net                     from
                        (US$'s (US$'s (US$'s earnings              (used in)
        Ounces   Ounces  Sales  per    per    per       (loss)     operations
        produced(2)sold (US$'s) ounce) ounce)(3)ounce)     (US$'s)     (US$'s)
    Silver
    San Dimas 1,606  1,748  $58,371  $33.39  $4.04  $0.71  $50,051  $  50,203
    Zinkgruvan  500    321   11,049   34.41   4.08   1.69    9,195      9,606
    Yauliyacu   683    120    3,523   29.36   3.98   5.02    2,443      3,045
    Penasquito1,207    941   27,020   28.72   3.90   2.41   21,085     23,351
    Cozamin     325    271    8,651   31.87   4.04   4.62    6,299      7,776
    Barrick (4) 722    680   21,663   31.84   3.90   3.55   16,595     17,451
    Other (5) 1,088    741   24,027   32.44   3.93   3.95   18,186     20,184
              6,131  4,822 $154,304  $32.00  $3.98  $2.33  $23,854   $131,616
    Gold
    Minto     2,925  2,524    3,879   1,537    300    168    2,697      2,870
    Silver
    Equivalent
    (6)       6,228  4,905 $158,183  $32.24  $4.07  $2.38 $126,551   $134,486
    Corporate
    General and                                             (6,501)
    administrative
    Other                                                    2,126
    Total                                                 $ (4,375)  $(7,279)
    corporate
              6,228  4,905 $158,183  $32.24  $4.07  $2.38 $122,176   $127,207

1) All figures in thousands except gold ounces produced and sold and per
ounce amounts. 2) Ounces produced represent the quantity of silver and gold
contained in concentrate or dore prior to smelting or refining deductions and
certain production figures are based on management estimates. 3) Refer to
discussion on non-IFRS measures at the end of this press release. 4)
Comprised of the Lagunas Norte, Pierina and Veladero silver interests. 5)
Comprised of the Los Filos, Mineral Park, Neves-Corvo, Stratoni, Keno Hill,
Minto, Campo Morado and Aljustrel silver interests. 6) Gold ounces produced
and sold are converted to a silver equivalent basis on the ratio of the
average silver price received to the average gold price received during the
period from the assets that produce both gold and silver.

                                Three Months Ended March 31, 2010
                              Total
                               cash
                   Average      cost                             Cash flow
                  realized     (US$'s     Total        Net          from
                   price       per     depletion    earnings       (used in)
            Ounces Ounces    Sales (US$'s per ounce) (US$'s (loss) operations
            produced 2 sold  (US$'s)  ounce)   3   per ounce) (US$'s)(US$'s)
    Silver
    San Dimas 1,206 1,206 $ 20,851 $ 17.29  $ 4.04  $  0.79  $15,033 $ 15,980
    Zinkgruvan  387   498    8,557   17.19    4.04     1.72    5,692    5,704
    Yauliyacu   737   581   10,135   17.44    3.97     3.47    5,809    7,849
    Penasquito  557   424    7,375   17.40    3.90     2.54    4,644    5,722
    Cozamin     401   281    4,813   17.13    4.00     4.62    2,391    4,035
    Barrick (4) 780   783   13,498   17.24    3.90     3.50    7,705    8,410
    Other (5)   947   654   11,233   17.16    3.92     3.99    6,061    8,982
              5,015 4,427  $76,462  $17.27   $3.97    $2.61  $47,335  $56,682
    Gold
    Minto     9,729 8,611    9,476   1,100     300      233    4,885    5,752
    Silver
    Equivalent
    (6)       5,660 4,998   $85,93  $17.20   $4.04    $2.71  $52,220  $62,434
    Corporate
    General and                                               (7,195)
    administrative
    Gain on fair value                                         6,306
    adjustment of warrants
    issued
    Other                                                       (772)
    Total                                           $(1,661) $(4,834)
    corporate
              5,660 4,998  $85,938  $17.20   $4.04  $  2.71  $50,559  $57,600

    1) All figures in thousands except gold ounces produced and sold and per
       ounce amounts.
    2) Ounces produced represent the quantity of silver and gold contained in
       concentrate or dore prior to smelting or refining deductions and
       certain production figures are based on management estimates.
    3) Refer to discussion on non-IFRS measures at the end of this press
       release.
    4) Comprised of the Lagunas Norte, Pierina and Veladero silver interests.
    5) Comprised of the Los Filos, San Martin, Mineral Park, Neves-Corvo,
       Stratoni, Minto, Campo Morado and La Negra silver interests.
    6) Gold ounces produced and sold are converted to a silver equivalent
       basis on the ratio of the average silver price received to the average
       gold price received during the period from the assets that produce
       both gold and silver.

Non-IFRS Measures

Silver Wheaton has included, throughout this press release, certain
non-IFRS performance measures, including total cash costs of silver and gold
on a sales basis, as well as operating cash flows per share and cash
operating margin. These non-IFRS measures do not have any standardized
meaning prescribed by IFRS, nor are they necessarily comparable with similar
measures presented by other companies. Cash costs are presented as they
represent an industry standard method of comparing certain costs on a per
unit basis. Cash operating margin is defined as the realized selling price
less total cash cost per silver equivalent ounce. The Company believes that
certain investors use this information to evaluate the Company's performance.
The data is intended to provide additional information and should not be
considered in isolation or as a substitute for measures of performance
prepared in accordance with IFRS. During the three months ended March 31,
2011
, the Company's total cash costs, which were equivalent to the Company's
cost of sales in accordance with IFRS, were $3.98 per ounce of silver and
$300 per ounce of gold (2010 - $3.97 per ounce of silver and $300 per ounce
of gold).

    For further information:
    Brad Kopp
    Vice President, Investor Relations
    Silver Wheaton Corp.
    Tel: 1-800-380-8687
    Email: info@silverwheaton.com
    Website: www.silverwheaton.com

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