Paramount Gold and Silver Corp.
AMEX : PZG
FRANKFURT : WKN:A0HGK

Paramount Gold and Silver Corp.

August 30, 2007 08:30 ET

Paramount Gold & Silver Corp's Trenching Program Extends the New La Veronica Zone to over 700 Meters with Assays up to 241 g/t Silver at San Miguel, Mexico

CHIHUAHUA, MEXICO--(Marketwire - Aug. 30, 2007) - Paramount Gold & Silver Corp. (AMEX:PZG)(FRANKFURT:P6G)(WKN:A0HGKQ) is pleased to announce trenching results from its ongoing exploration program in the central part of its San Miguel concession block near Temoris, Chihuahua, Mexico. These 18 trenches are located in the new La Veronica zone, and have extended the zone south towards San Antonio, where Paramount reported drill results of 468 g/t silver with 0.81% lead + zinc across 10.2 meters, including 5,370 g/t silver across 0.4 meters true width.

Paramount's Manager of Exploration in Mexico, Bill Reed, commented, "The trench results at La Veronica compare very well with earlier trenches from other zones. More importantly, these results continue to infill this zone that possibly extends the total strike length about 2,000 meters to the north from San Antonio. Our drill and trench results at La Union, San Jose, San Luis, San Antonio, Santa Clara and La Veronica have now identified a mineralized zone over a considerable length of approximately 5.7 kilometers (5,700 meters) and it remains open in all directions."

The trenches are excavated to a depth of 2-3 meters and extend from west to east across the quartz veins and stockwork quartz veins that host silver and gold mineralization in the Guazapares mining district. The trenches were cut through thin overburden to better define drill targets and were spaced approximately 50 to 75 meters apart. The geology of the trenches is mapped in detail and continuous rock chip samples are collected from the trench walls. In altered areas of the trench, continuous rock chip samples of no more than one meter in length are collected. Elsewhere, samples are still collected, but sample lengths can be more than one meter.

La Veronica is sub divided into La Veronica North and South (ZLV-13, 14, 15)



Trench # Length Average Average Notes
(m) Ag(g/t) Au(g/t)
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ZLV - 06 12.0 14.0
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ZLV - 07 4.7 13.0 Extension of
ZLV - 06
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ZLV - 08 No significant
values
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ZLV - 09 21.0 44.0 0.04
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15.5 29.0
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ZLV - 10 2.5 62.0 0.03
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11.5 17.0
--------------------------------------------------------------------------
ZLV - 11 15.0 11.0
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ZLV - 12 19.0 106.0 0.02
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ZLV - 13 2.0 119.0 La Veronica
South
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ZLV - 14 2.0 140.0 La Veronica
South
--------------------------------------------------------------------------
ZLV - 15 24.0 38.0 La Veronica
South
--------------------------------------------------------------------------
ZLV - 16 No significant
values
--------------------------------------------------------------------------
ZLV - 17 27.0 25.0
--------------------------------------------------------------------------
9.0 67.0 0.14
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12.2 23.0
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ZLV - 18 31.0 52.0 0.04
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11.0 27.0
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ZLV - 19 12.5 6.0 0.01
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Previously reported in the La Veronica zone

ZLV-00 - 12.0 meters averaging 134.0 g/t Ag, including
2.7 meters of 241 g/t Ag with 0.14 g/t Au and
3.0 meters of 222 g/t Ag with 0.10 g/t Au.

ZLV-01 - 45.0 meters averaging 121.0 g/t Ag, including
10.0 meters of 201 g/t Ag and
11.0 meters of 180 g/t Ag.

ZLV-02 - 30.8 meters averaging 82.0 g/t Ag, including
8.0 meters of 161 g/t.

ZLV-03 - 19.5 meters averaging 87.0 g/t Ag, including
8.0 meters of 128 g/t silver.


The new zone, La Veronica South area (trenches ZLV-13, ZLV-14 and ZLV-15) is located a little over 200 meters south of ZLV-6 towards the San Antonio zone where trench ZLV-13 is located 760 meters from drill hole SA-07 in the northern area of the San Antonio zone. The La Veronica North zone (from TAJO LV-12 to ZLV-6) is now defined over a length of 510 meters. The best results from this zone are from ZLV-12 with values of 0.02 ppm Au and 106 ppm Ag across 19 metres. Note that ZLV-12 is a pit rather than a trench. The La Veronica south and north zones combine for a length of 710 meters.

C.W. (Bill) Reed, B. Sc. Mineralogy, is the qualified person and has prepared the detail and review with respect to this news release.

About San Miguel

San Miguel is currently comprised of 17 concessions covering an estimated +8 kms strike of silver and gold mineralization. It is located in Chihuahua, Mexico and lies in the Guazapares mining district, part of the gold-silver belt of the Sierra Madre Occidental. Paramount has earned a 70% interest in the San Miguel project.

About Paramount Gold & Silver Corp.

Paramount Gold & Silver Corp. is listed on the AMEX under the symbol PZG and on the Frankfurt Stock Exchange under the symbol P6G (WKN: A0HGKQ). Paramount is a precious metals mining exploration company, presently in the early stages of an extensive exploration program at their San Miguel project in the Sierra Madre, Temoris mining district of Mexico. Paramount has completed 15,000 meters of drilling, totaling 98 drill holes on the project with results pending on the last 25 of these holes. In early 2007, Paramount began a 50,000 meter drill program, of which 8,000 meters have been completed to date. In March 2007, Paramount completed a $21.8 million financing which is being utilized to develop their San Miguel project and other opportunities.

"Safe-Harbor" Statement: This press release contains forward-looking information within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company may not be realized. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control, and that actual results may differ materially.

Contact Information

  • Paramount Gold and Silver Corp.
    Charles W. Reed,
    Exploration Manager, Mexico
    520-907-9986
    or
    Paramount Gold and Silver Corp.
    Chris Halkai
    Corporate Relations
    Toll-free: 1-866-481-223
    613-226-9881