Southern Silver Exploration Corp. reported today an exploration update on the company’s projects in Mexico, Arizona and New Mexico as well as recent executive corporate appointments.
Exploration Update
Minas de Ameca, Jalisco, Mexico
Southern Silver has completed the second phase of drilling on the San Luis prospect. As of January 2008, a total of 4,832 metres of drilling had been completed in 20 drill holes which targeted an 800 metre strike length of the main vein and to depths of up to 400 metres. Previously reported mineralized intervals include 1.91 metres grading 4.14g/t Au 11.7g/t Ag and 2.4% Cu from drill hole 07SL-08 and 1.73 metres grading 5.92g/t Au, 2.6g/t Ag and 0.23% Cu from drill hole 07SL-11.
The most recent drilling targeted deeper portions of the San Luis vein system which appears to flatten at depth and split into two separate veins/breccia zones. Results form drill hole 07SL-17are highlighted by a 2.67 metre interval grading 0.48g/t Au, 4.73g/t Ag and 0.58% Cu which was returned from one of two thicker (>1 metre) veined intervals from this hole. Partial returns from drill hole 07SL-18 which tested a strong IP geophysical anomaly returned 4.4 metres grading 0.24g/t Au, 13.99g/t Ag and 1.08% Cu and includes strongly anomalous Mo values throughout the mineralized interval. All intervals are reported as estimated true thicknesses. Assay results for the balance of hole 07SL-18 and 2008 drill holes 08SL-19 and 08SL-20 are pending. These most recent results extend the vein system to depths of over 400 metres and up to 800 metres strike.
Exploration on the Minas de Ameca property will continue in May 2008 following the completion of the Pinabete exploration program. An anticipated 1,500 metres of core drilling will target a series of quartz-hematite breccias which were identified through regional mapping and sampling in the Altavista and Texcalme areas located about 7 kilometres south of the San Luis prospect and within the northern portion of the Quila concessions where up to 3.8 metres of 7.12 g/t Au with strongly anomalous Cu and Ag values was returned from surface sampling.
Pinabete, Chihuahua Mexico
Drilling has now started on a two to three drill hole exploration program, totaling approximately 800 metres, on the Pinabete project, Chihuahua Mexico. Drilling will test the potential for Ag-Pb-Zn-rich replacement bodies and mineralized skarns along the margins of a large rhyolite stock exposed in the northeast portion of the claims. Previous work on this target by Anglo American identified a large AMT geophysical anomaly and was tested with one drill hole. Drilling encountered altered and pyritized volcanic stratigraphy but failed to adequately test carbonate horizons along the margins of the felsic intrusive.
Tombstone South, Arizona
The company also reported that drilling continues on the Tombstone South project, Arizona. Two drill holes, totaling 881 metres have been completed to date. A third drill hole is currently underway. Up to 3,000 metres of core drilling is planned to test prospective stratigraphy, structures and a series of mineralized, east-northeast-trending fracture zones, which were initially identified in the northwest corner of the Tombstone South property and can be traced on surface through a series of outcrops and historic workings for up to 600 metre strike length. A recently completed NSAMT geophysical survey on the property suggests that these structures are through-going and may be traced into gravel covered areas in the eastern and southern portion of the claim block.
Since acquisition of the property in 2005, Southern Silver has added extensively to the claim group through the acquisition of additional claims over contiguous prospective areas. The Tombstone project has now expanded from its original 200 hectare claim block by approximately 1,600 hectares providing a “district scale” target which encloses a discrete magnetic high located 1.8 km to the east of the original claims.
Corporate Update
Southern Silver also announced that Jeannine PM Webb, CGA has been appointed as Chief Financial Officer (“CFO”) of the company effective January 29th, 2008. Jeannine PM Webb has 20 years of experience in the mining resource sector. She was a principal of Badger & Co. Management Corp. (“Badger & Co.”), a private company providing full range financial, corporate and geological management services to junior public mineral exploration companies operating nationally and internationally. During this time, Mrs. Webb served as CFO and Corporate Secretary for companies under management with Badger & Co. She currently serves as CFO for a number of companies, in addition to serving as Corporate Secretary to Pacific Ridge Exploration Ltd.
The company also reported that Scott B. Hean, having served as the company’s previous CFO since 2006, has been appointed VP Administration, effective February 1, 2008. Mr. Hean has held senior management and executive positions with J.P. Morgan of New York, primarily financing junior oil and gas companies and Bank of Montreal as Senior Vice President and Managing Director responsible for financing in the natural resources sectors in North America. Currently he is a Director and Chair of the Audit Committee, Sabina Silver Corporation (SBB on TSX-V) and Chair, Bill Reid Foundation Services Ltd. He has served on numerous not-for-profit Boards, including Outward Bound and B.C. Children’s Hospital. Graduating from Simon Fraser University in 1973 and from the Ivey School of Business, London, Ontario, in 1975, Mr. Hean recently graduated from the Institute of Corporate Directors, Directors Education Program.
As well, the company has also appointed Arie Page as Corporate Secretary effective January 29, 2008.
The company has reported today that it has granted 625,000 incentive stock options to directors, officers, employees and consultants, each exercisable at $0.21 per share and for a period of five years.
The granting of the stock options is subject to regulatory approval.
About Southern Silver Exploration Corp.
Southern Silver Exploration Corp. is focused on the exploration and development of quality assets, in significant mineralized trends, close to infrastructure. Its current projects include the copper/gold/silver Minas de Ameca project and silver/zinc/lead Pinabete project in Mexico and the Dragoon Porphyry project and copper/silver Tombstone project in Arizona.
Rob Macdonald, (P.Geo.), is the Qualified Person responsible for reviewing the technical results reported in this release.
On behalf of the Board of Directors
“Lawrence Page”
Lawrence Page, President, Southern Silver Exploration Corp.
For further information visit www.southernsilverexploration.com or please contact Jay Oness at 1-888-456-1112 / 604-684-9384 or by email at corpdev@mnxltd.com.
This News Release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Southern Silver Exploration Corp. relies upon litigation protection for forward looking statements.