Prospero Announces Private Placement

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 05/22/12 -- Prospero Silver Corp. (TSX VENTURE: PSL) ("Prospero" or the "Company") is pleased to announce that it intends to complete a non-brokered private placement of up to 7,000,000 units at a price of $0.10 per unit, for an aggregate gross proceeds of up to CDN $700,000. Each unit will consist of one common share and one half warrant, each whole warrant exercisable by the holder to acquire one additional common share at a price of $0.20 for a period of 18 months from of the date of closing.

If for any time from four months and one day after the closing of the financing, the volume weighted average trading price of the Company's common shares on the TSX Venture Exchange over a period of 20 consecutive trading days exceeds $0.20 the Company may, within five days of such event, provide notice to the warrant holders that the warrants will expire early, namely on the date which is 30 calendar days after the date of such notice to the warrant holders.

A finder's fee may be paid on all or part of the placement. The finder's fee will consist of 6% cash and 6% one half warrants, each whole warrant will entitle the holder to purchase one common share at $0.20 exercisable for a period of 18 months from the date of closing.

The Company plans to use the net proceeds from this private placement to continue the mapping, sampling and magnetic ground work on the Santa Maria Del Oro project and for general working capital purposes.

This proposed financing is subject to the approval of the TSX Venture Exchange.

About Prospero Silver Corp.:

Prospero is a Canadian resource company with the majority of its staff based in Mexico and who work for its wholly owned subsidiary Minera Fumarola, SA de CV (Fumarola). Prospero's objective is to quickly evaluate the properties currently optioned for their suitability to provide size potential and/or amenability for strategic joint ventures.

Forward-Looking Statement Cautions:

This news release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, relating to the closing of a non-brokered private placement and the use of the net proceeds from such financing. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions, or that events or conditions "will", "would", "may", "can", "could" or "should" occur, or are those statements, which, by their nature, refer to future events. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, the Company's inability to secure sufficient subscriptions from investors to complete the above-described private placement, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company's inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company's inability to raise the necessary capital or to be fully able to implement its business strategies. The reader is referred to the Company's reports, publicly available through the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com, including the risk factors discussed in Prospero's November 27, 2009 prospectus. Except as required by securities laws and the policies of the TSX Venture Exchange, Prospero disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Neither the 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.

Contacts:

Prospero Silver Corp.

William Murray

Chairman

604-248-0797


Contact Financial

Peter Murray

604-689-7422