Oro, New Mexico - USA
Southern Silver Exploration Corp reported that it has received a report from its Consulting Geologist with recommendations for further work at the Oro Property, New Mexico.
The report, which details the Company’s geological mapping, surface sampling and a five-hole, 1645 metre diamond drill program, conducted over a nine month period in 2009-10, outlines three deposit models and target types at Oro with recommendations for IP geophysics to assist drill targeting and a minimum of six core holes to test additional targets.
Southern Silver’s work on the project to date has identified strong surface alteration and distinct geochemical zoning in rock and bio-geochemical samples throughout the property. The preliminary, widely spaced five hole drill program encountered anomalous gold, arsenic and base-metals in intervals tens-of-metres thick with silicification, pyritic sulphides, within variable skarn and hornfels alteration.
The report concludes that there exists good exploration potential for bulk-tonnage, intrusion-related gold mineralization, copper porphyry potential at depth and blind polymetallic replacement/skarn deposits along several prominent structures identified on the property. The report recommends IP/resistivity geophysics followed up by at least five shallow drill holes as an initial test of three currently identified targets for bulk-tonnage gold mineralization and one deep drill hole as an initial test for buried copper mineralization. The geophysics will help to identify areas that are silicified and associated with sulfides; this data will then be integrated with completed mapping and sampling to refine drill targets.
The Company plans to conduct the recommended geophysical surveys and to follow up with diamond drilling.
Dragoon Project, Arizona - USA
The Company has received advice from Freeport McMoRan Exploration Corporation that it intends to drill the initial 300 metre hole at the Dragoon porphyry property in mid to late May 2010. Exploration costs associated with the initial hole are part of the $3 million expenditures to be completed by December 31, 2012 to earn a 70% interest in the property.
San Luis Project, Jalisco - Mexico
All drilling permits have now been received and a drilling contract executed for a proposed 10 hole 1500 metre drill program to commence in the third quarter of 2010.
San Juan Project, Sinaloa - Mexico
The Company has completed surface sampling and preliminary mapping as part of its due diligence on the San Juan Project. Planning and permitting of several priority drill targets for an anticipated 1200 metre drill program are under way. Historical drilling on the project by a previous operator returned strongly anomalous gold mineralization from 27 shallow (<50 metre depth) air rotary drill holes along a +1 kilometre trend. Values ranged from narrower higher-grade intervals of up to 27.3g/t gold over 3.0 metres to thicker intervals of mineralization ranging from 0.6g/t gold over 15.0 metres to 3.9g/t gold over 27 metres. (1)
Appointment of Senior Geological Advisor Mexico
Roger Scammell, B.Sc. P.Geo has served on the Company’s Board of directors since October 2002 and has agreed to act as a liaison with the Company’s Mexican geology team. He has in excess of 30 years experience in the mining and exploration industry. He was the regional manager for exploration for Teck Corporation’s Mexican subsidiary, Minera Teck SA de CV from 1992 to 2002. Under his direction Minera Teck discovered the 72 million tonne San Nicolas volcanogenic massive sulphide deposit in Zacatecas, Mexico and the El Limon gold skarn in Guerro, Mexico. He is a Director and Officer of Scorpio Mining Corporation.
(1) The San Juan drill results were initially reported under the Hercules project name by US Gold Corporation; under the supervision of Steve Brown, Senior Geologist and Project Manager, in a News Release dated September 17, 2008. Southern believes the data relevant and reliable, but has not independently verified the drill results. Due diligence drilling will be conducted as part of continued exploration on the property.
Rob Macdonald, (P.Geo.), is the Qualified Person responsible for reviewing the technical data for the Dragoon, Minas de Ameca and San Juan Projects; Elliott Crist (P.Geo) is the Qualified Person responsible for reviewing the technical data of the Oro Project.
On behalf of the Board of Directors
“Lawrence Page”
Lawrence Page, President, Southern Silver Exploration Corp.
For further information visit southernsilverexploration.com or please contact Jeff Stuart at
1-888-456-1112 / 604-641-2771 or by email at corpdev@mnxltd.com.
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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.