Southern Silver Exploration Corp.

Southern Silver Exploration Corp.

December 01, 2015 09:00 ET

Southern Silver Identifies New Thick High-Grade Massive Sulphide Extension at Its Cerro Las Minitas Project

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 1, 2015) - Southern Silver Exploration Corp. ("Southern Silver") (TSX VENTURE:SSV)(FRANKFURT:SEG1)(SSE:SSVCL) reported today that core drilling on the Cerro Las Minitas project, Durango State, Mexico has identified thick intervals of high-grade semi-massive and massive sulphide mineralization in drill hole 15CLM-081. The mineralized intercepts represent a significant lateral offset from previously outlined mineralization of the Blind-El Sol zones. Highlights from drill hole CLM-081 include:

  • a 16.8m down hole interval (8.7m est TT) averaging 136g/t Ag, 0.5%Cu, 0.3% Pb and 4.5% Zn (361g/t AgEq) including a 4.1m down hole interval (2.1m est TT) averaging 160g/t Ag, 0.6% Cu, 0.4% Pb and 12.0% Zn (663g/t AgEq), and
  • a 7.6m down hole interval (4.0m est TT) averaging 43g/t Ag, 1.1g/t Au, 0.3% Cu, 0.5% Pb and 2.8% Zn (270g/t AgEq).

Mineralization in drill hole 15CLM-081 represents a +400m vertical and +200m lateral offset from previous drilling results in the Blind Zone (see Figure 1) and the identification of a new thick zone of mineralization, previously unrecognized, in the lower part of this deposit. Mineralization is open along-strike to the southeast and up-dip of this intercept in an area that had limited drill testing to date. Further drilling is planned to test the continuation of this zone.

Southern Silver also reported that drilling at the Mina La Bocona Extension discovery (see NR-10-15, Oct 1, 2015) has extended the strike extent of precious-metal enriched sulphides to the northwest and southeast of discovery hole 15CLM-078 and include:

  • a 10.1m down hole interval (4.8m est TT) in drill hole 15CLM-082 averaging 88g/t Ag, 1.4g/t Au, 1.6% Pb and 2.1% Zn (320g/t AgEq), and
  • a 8.6 metre down hole interval (4.6m est TT) averaging 195g/t Ag, 0.4% Cu, 0.7% Pb and 2.5% Zn (360g/t AgEq) including a 1.9m down hole interval (1.0m est TT) averaging 636g/t Ag, 0.7% Cu, 2.8% Pb and 8.0% Zn (1127g/t AgEq) in hole 15CLM-083.

The mineralization from drill hole 15CLM-083 is one of several higher grade intervals within a 60m thick zone of anomalous polymetallic mineralization suggesting an increased potential for further extensions of the Bocona target to the northwest and down dip.

Figure 1: Longitudinal Section of the Blind Zone showing the location of the 15CLM-081 mineralized intercepts:

2015-16 Exploration Program

Management is very pleased with the results received to date from the systematic exploration and definition drilling program on the Cerro Las Minitas project. The program will continue targeting known zones of mineralization and additional "discovery" targets on the property. Approximately 7,000 metres have been completed in ten core holes on the project as part of the +10,000m 2015 exploration program. The results continue to expand the overall size of the deposits with the identification of new zones of high-grade mineralization. Two holes are currently in progress including hole 15CLM-085 which is testing a gold-in-soil anomaly outboard and to the north of the central intrusion.

Noteworthy milestones from the 2015 drilling program include:

  • new high-grade Ag-Pb-Zn discoveries in the Mina La Bocona area (15CLM-078; see NR-12-15) and outboard of the Blind-El Sol zone (15CLM-081; see NR-10-15),
  • the identification of potential new extensions to high-grade mineralization at the Santo Niño Mine (15CLM-023A; see NR-12-15); and
  • the identification of thick zones of massive and semi-massive sulphide at depth in the Blind - El Sol zone (15CLM-077, CLM-081 see NR-10-15 and this release).

The 2015 program has added new areas of high-grade mineralization to the results of earlier exploration work from 2011-2014 by Southern Silver which totaled 23,310 metres of diamond drilling in 75 core holes resulting in the identification of new mineral deposits at the Blind and El Sol zones.

Airborne magnetic geophysics over the entire property and gravity and IP geophysics in specific target areas were also conducted and will form the basis for future exploration drilling programs on the project.

Figure 2: Plan Map showing the distribution of 2015 Drill Holes at Cerro Las Minitas:

Table 1: Summary Assays from 2015 Drilling on the Cerro Las Minitas Property

Hole # From To Inter-
Ag Au Cu Pb Zn AgEq Comments
(m) (m) (m) (m) (g/t) (g/t) (%) (%) (%) (g/t)
15CLM-081 73.9 74.3 0.4 0.2 272 0.8 0.0 8.6 2.3 703 Previously reported NR-12-15
15CLM-081 575.3 582.9 7.6 4.0 43 1.1 0.3 0.5 2.8 270
and inc. 581.6 582.9 1.3 0.7 73 0.0 1.1 0.1 10.2 551
15CLM-081 607.4 608.1 0.7 0.4 4 0.0 0.0 0.2 4.9 190
15CLM-081 616.1 632.9 16.8 8.7 136 0.0 0.5 0.3 4.5 361
inc. 616.1 620.2 4.1 2.1 160 0.0 0.6 0.4 12.0 663
15CLM-081 645.2 654.3 9.1 4.7 24 0.0 0.3 0.0 3.9 192
inc. 650.8 654.3 3.5 1.8 36 0.0 0.5 0.0 8.8 406
15CLM-081 710.2 712.3 2.1 1.1 32 0.0 0.4 1.5 2.3 211
15CLM-081 717.6 720.0 2.4 1.2 66 0.0 0.8 0.1 0.2 163
15CLM-082 44.5 46.2 1.7 0.8 4 0.6 0.0 0.3 0.4 70
15CLM-082 184.3 194.4 10.1 4.8 88 1.4 0.1 1.6 2.1 320
inc. 184.3 186.9 2.6 1.3 322 5.0 0.2 5.7 7.7 1148
15CLM-083 419.7 420.5 0.8 0.4 308 0.1 0.1 8.3 8.1 902
15CLM-083 431.8 437.8 6.0 3.2 124 0.0 0.0 1.8 0.5 211
inc. 434.0 435.0 1.0 0.5 530 0.1 0.0 8.5 1.2 876
15CLM-083 444.2 445.9 1.7 0.9 224 0.1 0.3 2.3 1.2 385
inc. 444.2 445.0 0.8 0.4 439 0.2 0.5 4.9 1.9 742
15CLM-083 481.6 490.1 8.6 4.6 195 0.2 0.4 0.7 2.5 360
inc. 487.4 489.3 1.9 1.0 636 0.5 0.7 2.8 8.0 1127
Analyzed by FA/AA for gold and ICP-AES by ALS Laboratories, North Vancouver, BC. Silver (>100ppm), copper, lead and zinc (>1%) overlimits assayed by ore grade ICP analysis, High silver overlimits (>1500g/t Ag) and gold overlimits (>10g/t Au) re-assayed with FA-Grav. High Pb overlimits (>20%) assayed by titration. AgEq was calculated using the approximate 2 year trailing average metal prices as of September 25, 2015: US$18.2/oz silver, US$1240/oz gold, US$2.8/lbs copper and US$0.9/lbs lead and US$0.9/lbs zinc. AgEq calculations did not account for relative metallurgical recoveries of the metals.

About Southern Silver Exploration Corp.

Southern Silver Exploration Corp. is a precious metal exploration and development company with a focus on the discovery of world class mineral deposits in north-central Mexico and the southern USA. Our specific emphasis is the Cerro Las Minitas silver-lead-zinc project located in the heart of Mexico's Faja de Plata which hosts multiple world class mineral deposits such as Penasquito, San Martin, Naica and Pitarilla. We have assembled a team of highly experienced technical, operational and transactional professionals to support our exploration efforts in developing the Cerro Las Minitas project into a premier, high-grade, silver-lead-zinc mine. The Company engages in the acquisition, exploration and development either directly or through joint venture relationships in mineral properties in major jurisdictions. Our property portfolio also includes the Oro porphyry copper-gold project located in southern New Mexico, USA.

Robert Macdonald, MSc., P.Geo, is a Qualified Person as defined by National Instrument 43-101 and responsible for the supervision of the exploration on the Cerro Las Minitas Project and for the preparation of the technical information in this disclosure.

On behalf of the Board of Directors

Lawrence Page, Q.C., President & Director, 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. 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. Factors that could cause actual results to differ materially from those in forward looking statements include 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.

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