Mexican Silver Mines Ltd.
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Mexican Silver Mines Ltd.

October 23, 2007 13:30 ET

Mexican Silver Mines Uncovers Additional Historic Mines on its Anillo de Fuego Property and Initiates Work on the Santo Nino Mine

CALGARY, ALBERTA--(Marketwire - Oct. 23, 2007) - Mexican Silver Mines Ltd. ("Mexican Silver") (TSX VENTURE:MSM)(FRANKFURT:MS2)(WKN:A0MSLE) is pleased to announce that it has identified several additional historical mining shafts in the Mamulique district of its Anillo de Fuego concession during the initial geologic exploration program of this property. The Mamulique district is located 30 kilometers northeast of Monterrey, Mexico at the southern most tip of the Anillo de Fuego property and is a historic silver-lead-zinc mining district of the Eastern Cordillera Silver Belt of northeastern Mexico. The National Highway between Monterrey, Mexico and Laredo, Texas transects the Mamulique area and Mexican Silver is able to use these road cuts as an exploration tool.

While the date of initial underground mining activities at Mamulique has not been firmly established, it is believed that operations began in the 1700s, similar to mines in the surrounding districts. Information on more recent mining activities in the 20th century has been more accurately determined. Underground operations were in existence at Mamulique just prior to World War II, with a further active mining period occurring from 1960 to 1980 by Cia Minera del Norte and later by Cia Minera El Diente. The majority of the mining was conducted from the historic Santo Nino mine. No drilling has ever been carried out in this district or mine area.

Mineralization within the Mamulique district is contained primarily within structures and mantos of the Washita Group limestones which is a sequence of thin and thick bedded carbonates with shale partings. The largest historic mining operation in the Mamulique district was undertaken at the Santo Nino mine which is located on an east-west trending cross structure at the crest of the Mamulique anticline. A report by Servicio Geologico Mexicano (SGM) indicated production from the Santo Nino mine was reported to be 500 tons per month of high grade zinc ore with subsidiary silver and lead values. The ore grade of historic production from this mine was reported to be up to 40% zinc. Ore was described as having come from high angle structures varying from 0.5 to 1.0 meter wide. At depths of 200 meters, the ore bearing structures increased in width from 1.0 meter to 3.0 meters of massive sulphide mineralization. The more recent operations however were limited to a depth of 180 meters where water inflows inhibited mining to the extent that operations were terminated at that level. The ore was shipped to Cia Zinc National in Monterrey.

In 1980, the Geological Survey of Mexico COREMI (Consejo de Recursos Minerales) conducted an underground sampling program at the Santo Nino mine where the base metal content of 24 samples averaged 16% zinc and 9% lead with 99 g/t silver. Their work indicated a 600 meter strike length to the mineralization at Santo Nino.

Mexican Silver has now initiated a surface and underground mapping and sampling program of the Santo Nino mine. This will be followed with an initial drilling program which will begin immediately following the drilling of the historic Iguana Mine on Mexican Silver's Ral Property.

Data collected by Mexican Silver shows that at least fifteen shafts along the crest of the Mamulique anticline and south of the Santo Nino mine were used to mine the Mamulique district over a strike length of 10 km, including the Mina El Milagro, Mina La Torre and Mina La Paloma. The location of the historic workings line up along an east-west trend. The initial review indicates that these workings, other than the Santo Nino mine, were mined to depths of only 10 to 20 metres. No historic information is available for these other mines; however, Mexican Silver will commence an initial exploration program on these historic mines following the completion of the surface and underground mapping and sampling program at the Santo Nino mine.

While initial exploration on the Anillo de Fuego concession is focused on the Santo Nino mine, other strong occurrences of silver-rich base metal mineralization occur in the surrounding mountain ranges exhibiting anticlinal structures. These other areas known as El Cedral and El Mortero and will be explored by Mexican Silver in due course.

Mr. William Dynes, P. Geol. is the Qualified Person, as defined in NI 43-101, who has reviewed and verified the scientific and technical mining disclosure contained in this news release.

About Mexican Silver Mines

Mexican Silver Mines is a silver focused junior resource company developing three former silver producing properties in north-eastern Mexico. To learn more about Mexican Silver Mines, please visit: www.mexicansilvermines.com.

ON BEHALF OF THE BOARD OF MEXICAN SILVER MINES LTD.

Feisal Somji, B.Sc., MBA, President and Chief Executive Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy and accuracy of this information.

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