Southern Silver Exploration Corp. (the “Company”) reported today that it plans to issue up to 16,700,000 units in a non-brokered private placement at a price of $0.12 per unit to raise $2,004,000. Each unit will consist of one common share and one share purchase warrant, with each warrant exercisable to purchase one additional common share for a period of three years at an exercise price of $0.17 per share.
Net proceeds from the Offering will be utilized for exploration and property maintenance expenses incurred on the Cerro Las Minitas project in Mexico and the Oro project in the USA.
Drilling in 2011 and early 2012 at the Cerro Las Minitas project, has delineated a 600 metres strike-length of the newly discovered Blind zone to a depth of up to 300 metres and has started testing the adjacent El Sol zone. Other targets continue to be developed through surface exploration and drill testing.
The Company plans 20,000 metres of core drilling in 2012, with the aim of completing a NI 43-101 compliant resource on these first 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.
The drill program on Oro will commence after completion of a ground geophysical survey over the target areas. The Company reserves the right to expend the funds on any other Exploration Property.
Finder’s fees may be payable. The private placement and finder’s fees are subject to regulatory approval.
On behalf of the Board of Directors
Lawrence Page, Q.C.
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 email@example.com.
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.