Southern Silver Acquires Right to Purchase Key Mining Claim Contiguous to Its Cerro Las Minitas Property in Durango, Mexico
Rhea-AI Summary
Southern Silver Exploration (TSXV: SSV) has secured an agreement to acquire the Puro Corazon mining claim, strategically located adjacent to its 100%-owned Cerro Las Minitas project in Durango, Mexico. The currently operational Puro Corazon mine produces approximately 60 tonnes of ore per day, yielding silver-lead and zinc concentrates.
The company plans to launch a 12,000-meter infill drilling program immediately, followed by an updated Technical Report and Preliminary Economic Assessment in Q1 2026. The acquisition will be executed through cash payments over a 40-month period, with no share dilution involved.
This strategic acquisition aims to enhance the Cerro Las Minitas project through improved capital efficiency, optimized mine plan sequencing, and potential throughput increases, ultimately targeting improved NPV and IRR metrics.
Positive
- Strategic acquisition adds operational mine producing 60 tonnes of ore per day
- No share dilution - acquisition structured through cash payments only
- Potential for near-term resource growth through 12,000-meter infill drilling program
- Expected improvements in capital efficiency and project economics
- Integration offers synergies in permitting, environmental management, and operations
Negative
- Significant cash commitment required over 40-month payment period
- Integration and consolidation risks with existing operations
- Execution risk associated with planned 12,000-meter drilling program
News Market Reaction
On the day this news was published, SSVFF gained 1.65%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Vancouver, British Columbia--(Newsfile Corp. - September 17, 2025) - Southern Silver Exploration Corp. (TSXV: SSV) (the "Company" or "Southern Silver") is pleased to report it has reached an agreement to acquire the Puro Corazon mining claim located contiguous to its
The Puro Corazon mine, which is operated privately, is currently mining approximately sixty tonnes of ore per day and produces a silver-lead concentrate and a zinc concentrate. Southern Silver will be incorporating Puro Corazon into the much larger Cerro Las Minitas project to unlock significant capital and operating synergies. Southern Silver intends to immediately commence a 12,000-meter infill drilling program at Puro Corazon and then in the first quarter of 2026, commence preparation of an updated Technical Report and Preliminary Economic Assessment ("PEA") in accordance with the provisions of National Instrument 43-101.
Key Transaction Highlights
Strong Potential for Near-term Resource Growth: infill drilling program to support incremental resource additions for the consolidated Cerro Las Minitas project.
Capital Efficiency Gains: opportunity to improve capital efficiency through faster access to higher value mineralization, while avoiding development around the Puro Corazon mining claim.
Enhanced Mine Plan Sequencing: incorporating Puro Corazon material early in the mine plan, given its near-surface and high-grade characteristic, is anticipated to strengthen project economics.
Improved Project Economics: combination of capital efficiencies, optimized sequencing and potential throughput increases resulting in potential improvements to NPV and IRR.
Additional Benefits: potential synergies and efficiencies across permitting, environmental management, safety and data collection.
Lawrence Page K. C., Company President, said, "The acquisition of Puro Corazon will allow us to derisk and accelerate the development of Cerro Las Minitas in a capital efficient manner, with significantly enhanced production profile and economics."
Robert Macdonald, Vice President of Exploration, said, "I am excited about the opportunity to begin drilling at Puro Corazon, with numerous high-grade near-surface targets already identified. We have significant historic data from Puro Corazon that will guide exploration and the results of which will be incorporated into an updated PEA, and I am confident that we will be able to add significant value to the Cerro Las Minitas project."
Figure 1: Location of Puro Corazon Claim and Existing Small-Scale Mine and Processing Facility
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5344/266683_d7119de9b42d6a17_002full.jpg
Figure 2: Location of Puro Corazon Claim Location Relative to Existing Cerro Las Minitas Deposits
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5344/266683_d7119de9b42d6a17_003full.jpg
The Company has been granted the right to acquire the Puro Corazon mining claim from an arms-length vendor in consideration for a series of cash payments to be made over a forty-month period following entering into of a definitive assignment agreement with the vendor. The acquisition does not involve the issuance of any securities of the Company.
About Southern Silver Exploration Corp.
Southern Silver Exploration Corp. is an exploration and development company with a focus on the discovery of world-class mineral deposits either directly or through joint-venture relationships in mineral properties in major jurisdictions. Our specific emphasis is the
Robert Macdonald, MSc. P.Geo, is Vice President of Exploration for Southern Silver Exploration Corp., is a Qualified Person as defined by National Instrument 43-101 and supervised directly the collection of data from the Cerro Las Minitas project that is reported in this disclosure and is responsible for the presentation of the technical information in this disclosure.
On behalf of the Board of Directors
"Lawrence Page"
Lawrence Page, K.C.
President & Director, Southern Silver Exploration Corp.
For further information, please visit Southern Silver's website at southernsilverexploration.com or contact us at 604.641.2759 or by email at corpdev@mnxltd.com.
Neither TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
This news release contains 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. In particular, this press release contains forward-looking information relating to, among other things, the proposed drilling program on the Puro Corazon claim as well as the preparation of a technical report and PEA. These statements are based on a number of assumptions, including, but not limited to, general economic conditions, interest rates, commodity markets, regulatory and governmental approvals for the Company's projects, and the availability of financing for the Company's development projects on reasonable terms. 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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/266683
FAQ
What is the significance of Southern Silver's Puro Corazon acquisition for SSVFF stock?
How much additional production will Puro Corazon add to Southern Silver's operations?
When will Southern Silver complete the Puro Corazon acquisition payments?
What are Southern Silver's immediate plans for the Puro Corazon property?
How will the Puro Corazon acquisition impact Southern Silver's Cerro Las Minitas project?
