( BW)(CO-APEX-SILVER-MINES)(SIL) Apex Silver Provides Operations
Update

Business Editors

DENVER--(BUSINESS WIRE)--Jan. 21, 2008--Apex Silver Mines Limited
(AMEX: SIL) today provided an update regarding operations at its San
Cristobal silver, zinc and lead mine in Bolivia.

As of December 31, 2007, the company had shipped approximately
52,000 tonnes of zinc and lead concentrates, containing total payable
metal of approximately 2.2 million ounces of silver, 19,000 tonnes of
zinc and 8,000 tonnes of lead.

The company is continuing to ramp up to full production at San
Cristobal. San Cristobal achieved milling rates of approximately
40,000 tonnes per day of ore through the plant on several days in the
fourth quarter 2007. Mining continues at the planned rate. As the
ramp-up proceeds, the company continues to focus primarily on
improving the reliability of process water and on improving plant
availability and metals recovery rates. Water produced by the well
field is highly saline and has resulted in well failures that have
reduced available process water below the amount required for full
production rates on a sustained basis. The company expects to complete
the redrilling of the failed wells in late January, which should
provide adequate water for production at designed rates until the
planned delivery and installation mid-year 2008 of larger stainless
steel casings and pumps which should provide a long-term solution. The
company is engaged in metallurgical pilot plant optimization of ore
blends and recovery rates. Plant workforce training in an operating
plant environment continues and adjustments are being made to designed
process control systems to accommodate the real-time operating
environment. The company also continues to address improvement of the
reliability of operating supply delivery to site and the resolution of
various typical start-up mechanical production issues. The company
expects to resolve most of these issues during the second quarter
2008.

The company expects that its year-end 2007 financial results will
reflect a non-cash fourth quarter gain related to its derivatives of
approximately $214 million, which is expected to reduce its recorded
net derivatives liability to approximately $741 million at December
31, 2007, primarily due to metals price decreases in the fourth
quarter 2007.

Jeff Clevenger, the company's President and Chief Executive
Officer, said, "We are progressing with the ramp-up to full production
at San Cristobal and look forward to our first full year of
operations. We have demonstrated the plant's ability to process ore at
design capacity and the mine is performing well. We are working our
way through the types of ramp-up issues characteristic of large
operations with complex plants and are focused on improving operating
consistency and metals recoveries. Now that San Cristobal is in
production, we plan to schedule a conference call following our
quarterly earnings releases to discuss the company's earnings and
operations. This will commence with the release of our earnings for
the first quarter of 2008, and an announcement and call in
instructions will be provided in advance of the call."

Apex Silver is a mining, exploration and development company. Its
65%-owned San Cristobal project is the world's largest development in
silver and zinc. The ordinary shares of Apex Silver trade on the
American Stock Exchange under the symbol "SIL". This press release
contains forward-looking statements regarding the company, within the
meaning of Section 27A of the Securities Act and Section 21E of the
Exchange Act, including statements regarding our efforts to resolve
process water reliability issues including the expected timing of
redrilling and the delivery and installation of larger stainless steel
casings and pumps and the increase in available process water expected
to result from these actions; performance of metallurgical pilot plant
work regarding optimization of ore blends and recovery rates;
expectations regarding the resolution of most of these start-up issues
during the second quarter of 2008; and expected 2007 non-cash fourth
quarter gain related to derivatives and our net derivatives liability
at December 31, 2007. Actual results relating to any and all of these
subjects may differ materially from those presented. Factors that
could cause results to differ materially include problems or delays in
operations, variations in ore grade, plant availability and processing
rates, reliability of process water and delivery of operating supplies
to the site, the results of metallurgical pilot plant optimization of
ore blends and recovery rates, the effectiveness of continued training
of the plant workforce, final determination of the company's
derivative liabilities in connection with completion of the 2007
audited financial statements, problems in emerging financial markets
and political unrest and uncertainty in Bolivia. The company assumes
no obligation to update this information. Additional information
concerning factors that could cause actual results to differ
materially from those in the forward-looking statements can be found
in the company's Form 10-K filed with the SEC for the year ended
December 31, 2006.

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CONTACT: Apex Silver Mines Corporation
Jerry Danni, 303-228-0336
Senior Vice President Corporate Affairs

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