Southern Silver Closes Second Tranche of Oversubscribed Private Placement
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/28/13 -- Southern Silver Exploration Corp. ("Southern Silver") (TSX VENTURE: SSV)(FRANKFURT: SEG) has closed the second tranche of its non-brokered private placement and, together with the first tranche closing on January 31, 2013 (see news release NR-04-13), Southern Silver has raised an aggregate $783,100 by the issuance of 15,662,000 units. The financing was oversubscribed by 662,000 units.
In this second tranche closing, Southern Silver issued 7,660,000 units at a price of $0.05 per unit for gross proceeds of $383,000. Each unit consists of one common share and one share purchase warrant exercisable to purchase one additional common share for a period of three years at an exercise price of $0.10 per share. All securities issued pursuant to this second tranche, including common shares, share purchase warrants and finder's warrants issued as finder's fees, carry a legend restricting trading of the securities until June 29, 2013. The private placement and finder's fees relative thereto are subject to regulatory approval. Net proceeds from the Offering will be utilized for exploration and property maintenance expenses incurred at the Dragoon project in Arizona and will be added to general working capital.
About Southern Silver Exploration Corp.
Southern Silver Exploration Corp. is a precious and base metal exploration and development company and a member of the Manex Resource Group; a private company comprised of an exceptional multi-disciplinary team of professionals with specific expertise in all areas of exploration, development, corporate finance and public company administration.
The company's growth strategy is to acquire, explore and develop either directly or through joint venture relationships high-quality mineral properties in progressive jurisdictions within North America.
Southern Silver's silver-lead-zinc Cerro Las Minitas project located in Durango, Mexico is currently under option to Freeport-McMoRan Exploration Corporation which can earn a 70% interest in the project by making staged purchase payments and funding exploration and development expenditures of $25 million on the project over a ten year period. Desert Star Resources Ltd. has the option to earn up to a 70% interest in the gold-silver-copper Oro project in New Mexico by making cash payments to underlying optionors, issuing one million shares, completing a preliminary economic assessment and incurring exploration expenditures of $6 million on the property over a period of 66 months. Southern Silver is currently advancing the porphyry copper-molybdenum Dragoon project in Arizona.
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.
Contacts:
Southern Silver Exploration Corp.
Liana Shahinian
1.888.456.1112
liana@mnxltd.com
www.southernsilverexploration.com