Southern Silver Exploration Corp. (TSX.V:SSV) reported today that newly received assays results continue to extend both the on-strike and depth projection of high-grade silver-polymetallic mineralization at the Blind and El Sol zones on the Cerro Las Minitas project, located in Durango State, Mexico.
El Sol Zone
Drilling on the El Sol zone has returned a 26.1 metre interval averaging 67g/t silver, 2.8% lead and 3.3% zinc (239g/t AgEq) including a 1.8 metre interval averaging 163g/t silver, 6.9% lead and 8.8% zinc (619g/t AgEq) from drill hole 12CLM-044. The hole tested the target approximately 50 metres to the northwest of drill hole 11CLM-027 (24.8 metres of 124g/t Ag, 1.9% Pb and 2.1% Zn), and continues to demonstrate the lateral continuity of this mineralized zone.
Drilling on the Blind zone continues the process of delineation of the both the lateralextent and internal continuity of the mineralized zone. Results from the northwest extension of the zone include:
The company also reported that a silver-enriched mineralized interval, which was identified in drill hole 12CLM-042, has further extended the strike length of drill indicted mineralization in the Blind zone to 800 metres and remains open along strike to the southeast.
2012 Exploration Program
Diamond drilling with two core rigs continues on the Cerro Las Minitas project. One drill rig remains dedicated to the continued delineation of mineralization in the Blind and El Sol zones. The second drill rig is testing specific occurrences located within the area of historic mining and several targets derived from the recently completed surface sampling and an IP geophysical program. Multiple geological and geophysical targets remain to be tested and fully delineated within this portion of the property.
Twenty-nine drill holes totaling approximately 8,030 metres were completed on the project in 2011. An additional 4630 metres in twenty drill holes have been completed to date in 2012, one additional hole is in progress. Assays from six drill holes are pending.
The Company has scheduled 20,000 metres of core drilling in 2012, with the aim of completing a NI 43-101 compliant resource on these first set of targets by Q4 of 2012. This will be the initial milestone toward the Company’s goal of delineating a larger, multi-million tonne, high-grade, silver-enriched polymetallic resource on the project.
For a current drill-hole plan and a full table of drill results please visit the company’s website at www.southernsilverexploration.com.
Table 1: Summary of Select Composited Assays from the Cerro Las Minitas Project
Analyzed by FA-ES/AA for gold and ICP-MS by ALS Chemex, Vancouver BC; Silver overlimits (>100g/t Ag) re-assayed with FA-Grav. AgEq calculation uses values that approximate the three year trailing average of the contained metals: $23.3 silver, $1250 gold, $3.15 copper and $0.9 lead and $0.9 zinc. AgEq calculations did not account for relative metallurgical recoveries of the metals.
The Company also reports an amendment to the terms of a Private Placement (the "Offering"), previously announced by way of news releases dated March 12, 2012 and March 28, 2012. The Offering will be comprised of up to 20,000,000 Units, for gross proceeds of $2,000,000. The Unit has been repriced from $0.12 per Unit to $0.10 per Unit. Each Unit will be comprised of one common share and one nontransferable share purchase warrant. Each warrant will entitle the holder to purchase one additional common share of the Company at an exercise price of $0.17 for a period of three years from the date of issuance of the Units.
Net proceeds from the Offering will be utilized for exploration and property maintenance costs incurred on the Cerro Las Minitas project in Mexico and the Oro project in the USA. Finder’s fees may be payable. The private placement and finder’s fees are subject to regulatory approval.
About Southern Silver Exploration Corp.
Southern Silver Exploration Corp. is a precious and base metal exploration company and a member of the Manex Resource Group; a private company comprised of an exceptional multi-disciplinary team of professionals with specific expertise in all areas of exploration, development, corporate finance and public company administration.
The company's growth strategy is to acquire, explore and develop high-quality properties in progressive jurisdictions within North America. Its current projects include the silver-lead-zinc Cerro Las Mintas project and the copper-gold-silver Minas de Ameca in Mexico, the porphyry copper-molybdenum Dragoon project in Arizona and the gold-silver-copper 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.
Lawrence Page, President, Southern Silver Exploration Corp.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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. These statements are based on a number of assumptions, including, but not limited to, assumptions regarding general economic conditions, interest rates, commodity markets, regulatory and governmental approvals for the company’s projects, and the availability of financing for the company’s development projects on reasonable terms. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, the timing and receipt of government and regulatory approvals, and continued availability of capital and financing and general economic, market or business conditions. Southern Silver Exploration Corp. does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent required by applicable law.