Southern Silver reports on corporate matters
Southern Silver Exploration Corp. (“Southern Silver” or the “Company”) (TSX VENTURE:SSV)(FRANKFURT:SEG) reports that at the Company’s extraordinary general meeting held on July 29, 2015 shareholders voted to approve an earn-in agreement with an insider shareholder. Voting by disinterested shareholders was unanimous in favour of the resolution which was required on the basis that the shareholder has the right to acquire a 60% interest in the Company’s Cerro Las Minitas mineral property as detailed below and such shareholder approval was required to comply with TSX-V policy.
Southern Silver has granted the Electrum Group LLC (“Electrum”) the right to earn an indirect 60% interest in the Cerro Las Minitas property in Durango, Mexico (“Property”) by funding exploration and development expenditures of US$5 million on the Cerro Las Minitas property over a maximum four year period. Electrum will have the option to earn indirect interests in the property through the acquisition of common shares of a Southern Silver subsidiary company which owns the Mexican company holding a 100% interest in the Property.
Electrum has advanced money to fund the first phase of an exploration program on the property which is currently underway. Up to 10,000 metres of core drilling is anticipated as part of this $US 2 million, 2015 exploration program which will target both known zones of mineralization and new discoveries on the property. Drilling will test the Blind and El Sol mineralized zones to up to 600 metres depth, which could significantly expand the depth and strike projection of these mineralized zones, and test other targets in the vicinity of the Central Intrusion.
The first drill hole has been completed and sampled; assays are pending, and the second hole started. Over 450 soil samples and 20 rock chip and grab samples have been collected from the area of the Cerro and over 275 soil samples have been collected from regional targets. Assays are pending.
The 2015 program follows earlier exploration work by the Company totaling 23,310 metres of diamond drilling in 75 core holes resulting in the identification of two new mineral deposits known as the Blind and El Sol zones, airborne magnetic geophysics over the entire property and gravity and IP geophysics in specific targeted areas.
Southern Silver has granted incentive stock options to directors, officers and consultants to purchase 1,000,000 common shares at $0.08 per share, exercisable for a period of five years in accordance with Southern Silver’s stock option plan. The plan and the grant of options thereunder are subject to TSX Venture Exchange acceptance.
On behalf of the Board of Directors
Lawrence Page, Q.C., President & Director