Southern Silver Exploration Corp (SSV.V) reported today that it has signed a Letter of Intent with a private vendor to acquire a 100% interest in the Cerro Las Mintas project located 70 kilometres northeast of Durango, Durango State, Mexico.
The property comprises 17 concessions totaling 10,980 hectares and lies within the Faja de Plata (Central Plateau) of north-central Mexico, one of the most significant silver producing regions in the world with current reserves/resources and historic production in excess of 3,000,000,000 ounces of silver.
Small-scale mining, which has been active on the property since colonial times, has focused on silver-lead-zinc-rich skarn and replacement deposits localized along a mineralized contact between a central monzonite intrusive and calcareous sedimentary host rocks. Drilling by previous operators has confirmed historic mined grades of +150g/t silver and +10% combined lead and zinc over sometimes +5 metre intervals forming both down-dip and lateral extensions to the historic workings as well as intervals of strongly silver-enriched mineralization beyond the known lenses.
Historic mining is restricted to a series of mineralized exposures underlying only a small portion of the property, approximately 425 hectares. Additional exploration potential exists under gravels with cover much of the remainder of the project.
Southern Silver plans to conduct initial geophysical testing of the property. The company’s goal is to find and develop large precious and base-metal rich deposits similar to recent discoveries in central Mexico including Penasquito (Reserves - 17.8Moz gold, 1,070 million ounces silver), Pitarilla (Geological Resource - 600 million ounces silver) and San Nicolas (Geological Resource – 1,900 million pounds copper, 2,900 million pounds zinc, 1.1 million ounces gold, 67 million ounces silver).
Under the terms of the agreement, Southern can acquire 100% interest in the project by making scheduled payments to a total of US$3,000,000 over a three year period. Initial consideration is a US$300,000 cash payment upon signing of the formal agreement with escalating payments every six months for the term of the option. Southern has secured an exclusive right to the property by issuing a $50,000 deposit while due diligence proceeds.
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 the silver/zinc/lead Pinabete project in Mexico, the Dragoon Porphyry project in Arizona and the Oro project in New Mexico.
Robert Macdonald (P.Geo) is a Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical contents of this release.
On behalf of the Board of Directors
“Lawrence Page”
Lawrence Page, President, Southern Silver Exploration Corp.
For further information, please visit the company’s website at southernsilverexploration.com or contact Liana Shahinian at 1.888.456.1112 or by email at liana@mnxltd.com.
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