Southern Silver prepares for Puro Corazon drill program

Executive Summary

• Southern Silver announced the start of a up‑to 12,000 m core drilling program on the newly acquired nine‑hectare Puro Corazón claim, integrating it into the larger Cerro Las Minitas project in Durango, Mexico.
• The drill campaign will test lateral extensions (≈200 m) and depths to 450 m, targeting additional Skarn Front mineralization and up to six hanging‑wall structures, with results feeding an updated NI 43‑101 technical report and Preliminary Economic Assessment slated for Q1 2026.
• Concurrently, the company granted incentive stock options to directors, officers and consultants for a total of 13.9 million common shares at $0.41 per share (five‑year term), following the recent expiration of an earlier option pool.

Key Details

• Drilling Scope: Up to 12,000 m of core drilling using three rigs; includes compilation of existing underground geological data, new sampling in historic workings, and a LiDAR survey of underground mines.
• Target Depths & Lateral Extents: Drilling to depths of up to 450 m below surface and laterally an additional ≈200 m beyond current mined zones.
• Geological Targets:
• Extension of the Skarn Front deposit across the claim boundary into higher‑grade mineralization.
• Up to six hanging‑wall structures identified outboard of the main Skarn Front zone, previously noted in historic and recent drilling.
• Current Mine Operations (Puro Corazón): Privately operated; ≈60 t/day ore production yielding silver‑lead concentrate and zinc concentrate; development extends ~200 m laterally and 250 m depth.
• Integration Goal: Incorporate Puro Corazón mineralization early in the Cerro Las Minitas mine plan to improve capital efficiency, sequencing, and overall project economics (NPV & IRR).
• Future Deliverables: Results will be incorporated into an updated technical report and a Preliminary Economic Assessment (PEA) prepared under NI 43‑101, expected to commence in Q1 2026.
• Stock Option Grant: Incentive stock options granted for 13.9 million common shares at $0.41 per share; exercisable over five years; replaces expired pool of 8.5 million options (exercise price $0.51) that terminated on Sept. 24 2025.
• Qualified Person: Robert Macdonald, MSc, PGeo, Vice‑President of Exploration, qualified under NI 43‑101, supervised data collection and technical disclosure.

Notable Quotes

(No direct quotes were provided in the release.)