South American Silver Corp.
TSX : SAC

South American Silver Corp.

March 26, 2009 19:39 ET

South American Silver Corp. Files Fiscal 2008 Annual Financial Statements

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 26, 2009) - South American Silver Corp. ("SASC" or the "Company") (TSX:SAC) reports that it has released its audited financial statements for the year ended December 31, 2008 and the related management's discussion and analysis of financial position and results of operations ("MD&A").

As at December 31, 2008, the Company had cash and cash equivalents of US$7.4 million and working capital of US$7.2 million. With this funding in place, the Company is in a strong financial position to pursue its current exploration and property development strategy.

The Company's strategic plan for 2009 is to focus more on the engineering aspects and metallurgical test work at the Malku Khota silver-indium gold project in Bolivia in preparation to carry out a prefeasibility/feasibility study and the exploration of the remaining part of the 15 km trend to define drill targets to further expand the resource. At the Escalones copper-gold molybdenum project in Chile, the Company has presently put exploration on hold and may look for a joint venture partner.

Community relations are an important part of doing business in Bolivia and the Company has a Community Relations Manager at Malku Khota who speaks both Aymara and Quechua to maintain good relations with the communities in which the Company operates. The Company has signed agreements of cooperation with each of the eleven communities in the area surrounding Malku Khota and has an excellent working relationship with each of these groups. The Company, through a consulting group, has completed a series of lectures to each community to help them become better informed about mining development. In February 2009, the Company joined Business for Social Responsibility ("BSR"), an organization which works with its global network of more than 250 member companies to develop sustainable business strategies and solutions through consulting, research and cross-sector collaboration. The Company also signed a contract with BSR to assist us and the communities in which we work to achieve mutually acceptable objectives.

Copies of the audited financial statements and related MD&A can be found on SEDAR at www.sedar.com.

Certain statements contained herein constitute "forward-looking statements". These forward-looking statements are based on current expectations and entail various risks and uncertainties. The nature, timing and extent of the exploration programs may materially change from current intentions for a number of reasons. Additionally, "forward looking statements" look into the future and provide an opinion as to the effect of certain events and trends on the business. Subject to applicable laws, the Company assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.

SASC is a mineral exploration company that acquires, explores and develops mineral properties, primarily silver, gold and copper in South America. The Company presently holds interests in two material properties: the flagship Malku Khota silver-indium-gold property in Bolivia and the Escalones copper-gold-molybdenum property in Chile.

Contact Information

  • South American Silver Corp.
    William Filtness
    Chief Financial Officer
    (604) 684-0693
    (604) 684-0642 (FAX)