January 23,
2008
Mexican Silver Reports Further Drill
Results from the Vallecillo Drill Program
DRILLING AND MAPPING / SAMPLING AT VALLECILLO DELINEATES A 3.5 KM LONG
ZONE OF MINERALIZATION
Mexican
Silver Mines Ltd. ("Mexican Silver")
(TSXV: MSM; Frankfurt WKN: A0MSLE) has received assay results from drill
holes V-05, V-06, V-11, V-12 and V-13 of its 13-hole phase 1 drill
program recently completed on its Vallecillo project. A total of
3,081 meters were drilled by Mexican Silver in this phase of the
Vallecillo drilling program. Mexican Silver highlighted certain
assay results from drill holes V-01, V-02, V-03, and V-04 in its December
5, 2007 news release. Results remain pending for drill holes V-07,
V-08, V-09, and V-10.
The Vallecillo district has been the site of silver-lead mining
activities dating back to 1776, where mineralization is hosted within
structures and mantos of the Eagle Ford formation in a sequence of
interbedded limestones and silty carbonates. The largest historic mine in
the district, the Dolores mine, has a known depth of 100 metres. All the
other mines in the area, all located on Mexican Silver's Providencia
property, have been mined from to depths of ranging from 5 to 20 meters. These
historic mines were restricted in depth to the water table due to
inadequate mining and water management techniques at the time. The
Vallecillo district is located in the southern part of the Mexican
Silver's100-per-cent-owned Providencia concession.
The assay results for these nine drill holes indicate a strong
mineralized system at Vallecillo with a strike length of at least 3.5 km,
which is open along strike and to depth.
To date, all holes except for V-05 have encountered mineralization and
anomalous indications of the mineralizing system, across considerable
widths. Conclusions about the geometry of the system can already be drawn
and which suggest the design of the second phase of the drill program at
Vallecillo. A final appraisal of the phase 1 drill program and
planning of the second phase will be undertaken following receipt of the
assay results for the remaining four drill holes.
The following tables show the material assay results of drill holes V-01,
V-02, V-03, V-04, V-05, V-06, V-11 and V-12.
Drill Hole
|
V-01
|
Azimuth:
|
145º
|
Dip
|
-70º
|
Collar Coordinates:
|
Northing
|
2,949,867 m
|
Easting
|
402,331 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
69.0
|
71.0
|
2.00
|
13.3
|
7,600
|
80
|
85.0
|
87.0
|
2.00
|
3.1
|
1,690
|
226
|
93.0
|
95.0
|
2.00
|
3.7
|
2,570
|
67
|
162.05
|
163.35
|
1.30
|
6.8
|
1,570
|
11,500
|
Drill Hole
|
V-02
|
Azimuth:
|
145º
|
Dip
|
-70º
|
Collar Coordinates:
|
Northing
|
2,949,962 m
|
Easting
|
402,332 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
211.80
|
212.80
|
1.00
|
3.6
|
105
|
715
|
219.90
|
220.85
|
0.95
|
2.8
|
32
|
76
|
220.85
|
221.85
|
1.00
|
2.9
|
55
|
112
|
221.85
|
222.80
|
0.95
|
4.4
|
133
|
31
|
246.00
|
248.00
|
2.00
|
4.0
|
982
|
21
|
248.00
|
250.00
|
2.00
|
2.0
|
152
|
34
|
Drill Hole
|
V-03
|
Azimuth:
|
145º
|
Dip
|
-55º
|
Collar Coordinates:
|
Northing
|
2,949,841 m
|
Easting
|
402,166 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
162.30
|
163.50
|
1.20
|
136
|
95,200
|
3,780
|
164.85
|
166.30
|
1.45
|
3.9
|
1,690
|
108
|
167.30
|
168.30
|
1.00
|
300.0
|
9,930
|
2,660
|
168.30
|
169.30
|
1.00
|
326.0
|
7,760
|
4,010
|
169.30
|
170.75
|
1.45
|
21.0
|
3,110
|
23,400
|
170.75
|
171.75
|
1.00
|
6.7
|
840
|
2,650
|
171.75
|
174.20
|
2.45
|
7.9
|
788
|
850
|
174.20
|
177.20
|
3.00
|
16.3
|
1,020
|
750
|
179.00
|
181.00
|
2.00
|
2.0
|
155
|
616
|
205.00
|
207.00
|
2.00
|
2.4
|
123
|
388
|
207.00
|
209.00
|
2.00
|
2.3
|
103
|
245
|
209.00
|
211.00
|
2.00
|
2.9
|
113
|
340
|
211.00
|
213.00
|
2.00
|
4.1
|
189
|
34
|
213.00
|
215.00
|
2.00
|
4.2
|
166
|
23
|
215.00
|
216.00
|
1.00
|
5.5
|
40
|
13
|
216.00
|
217.00
|
1.00
|
2.9
|
42
|
33
|
217.00
|
219.00
|
2.00
|
2.1
|
25
|
13
|
219.00
|
221.00
|
2.00
|
3.9
|
29
|
171
|
221.00
|
223.00
|
2.00
|
6.8
|
53
|
11
|
223.00
|
225.00
|
2.00
|
5.2
|
99
|
17
|
225.00
|
227.00
|
2.00
|
4.4
|
147
|
25
|
227.00
|
229.00
|
2.00
|
3.8
|
172
|
19
|
229.00
|
231.00
|
2.00
|
3.2
|
188
|
49
|
231.00
|
233.00
|
2.00
|
3.6
|
442
|
73
|
233.00
|
235.00
|
2.00
|
3.8
|
253
|
45
|
235.00
|
237.00
|
2.00
|
3.8
|
156
|
53
|
237.00
|
239.00
|
2.00
|
3.2
|
152
|
101
|
239.00
|
241.00
|
2.00
|
2.7
|
60
|
40
|
241.00
|
243.00
|
2.00
|
2.3
|
57
|
52
|
243.00
|
245.00
|
2.00
|
3.0
|
48
|
58
|
245.00
|
247.00
|
2.00
|
3.2
|
60
|
45
|
247.00
|
248.00
|
1.00
|
6.4
|
195
|
18
|
248.00
|
249.00
|
1.00
|
5.6
|
233
|
117
|
249.00
|
251.00
|
2.00
|
4.9
|
83
|
36
|
251.00
|
253.00
|
2.00
|
2.7
|
54
|
36
|
253.00
|
255.00
|
2.00
|
2.7
|
62
|
47
|
Drill Hole
|
V-04
|
Azimuth:
|
145º
|
Dip
|
-70º
|
Collar Coordinates:
|
Northing
|
2,949,653 m
|
Easting
|
402,064 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
125.50
|
126.25
|
0.75
|
6.9
|
2,960
|
29,300
|
167.00
|
169.00
|
2.00
|
2.1
|
46
|
190
|
Drill Hole
|
V-06
|
Azimuth:
|
145º
|
Dip
|
-70º
|
Collar Coordinates:
|
Northing
|
2,948,926 m
|
Easting
|
401,074 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
50.00
|
52.00
|
2.00
|
23.8
|
13,400
|
30
|
68.00
|
70.00
|
2.00
|
9.0
|
13,500
|
196
|
70.00
|
72.00
|
2.00
|
2.1
|
119
|
324
|
86.00
|
88.00
|
2.00
|
2.9
|
267
|
80
|
88.00
|
90.00
|
2.00
|
2.8
|
355
|
89
|
100.00
|
102.00
|
2.00
|
2.3
|
80
|
248
|
Drill Hole
|
V-06
|
Azimuth:
|
145º
|
Dip
|
-55º
|
Collar Coordinates:
|
Northing
|
2,948,926 m
|
Easting
|
401,074 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
172.60
|
173.50
|
0.90
|
141.0
|
122,500
|
17,900
|
175.60
|
176.50
|
0.90
|
65.3
|
50,200
|
27,200
|
176.50
|
177.55
|
1.05
|
16.3
|
30,300
|
8,560
|
186.40
|
187.80
|
1.40
|
2.9
|
886
|
343
|
187.80
|
189.00
|
1.20
|
7.9
|
3,910
|
9,830
|
189.00
|
190.20
|
1.20
|
2.2
|
360
|
311
|
191.50
|
193.30
|
1.80
|
3.0
|
529
|
4,470
|
193.30
|
195.20
|
1.90
|
2.2
|
392
|
109
|
195.20
|
196.20
|
1.00
|
2.9
|
251
|
66
|
207.00
|
209.00
|
2.00
|
4.8
|
297
|
170
|
211.00
|
212.50
|
1.50
|
2.1
|
67
|
237
|
Drill Hole
|
V-12
|
Azimuth:
|
145º
|
Dip
|
-50º
|
Collar Coordinates:
|
Northing
|
2,948,145 m
|
Easting
|
399,980 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
38.70
|
39.70
|
1.00
|
24
|
714
|
42
|
83.95
|
86.00
|
2.05
|
3.0
|
111
|
774
|
106.00
|
108.00
|
2.00
|
2.3
|
389
|
125
|
146.50
|
147.80
|
1.30
|
374.0
|
123,500
|
74
|
147.80
|
149.80
|
2.00
|
6.1
|
1,480
|
41
|
149.80
|
151.80
|
2.00
|
4.3
|
577
|
103
|
151.80
|
153.80
|
2.00
|
2.6
|
726
|
31
|
Drill Hole
|
V-13
|
Azimuth:
|
145º
|
Dip
|
-50º
|
Collar Coordinates:
|
Northing
|
2,949,803 m
|
Easting
|
402,209 m
|
From
m
|
To
M
|
Interval
m
|
Silver
gm/tonne
|
Lead
ppm
|
Zinc
ppm
|
157.60
|
159.90
|
2.30
|
8.9
|
1,025
|
58,500
|
159.90
|
162.25
|
2.35
|
6.3
|
1,165
|
342
|
162.25
|
164.05
|
2.20
|
5.3
|
229
|
482
|
Discussion of partial results:
The phase 1 drill program completed by Mexican Silver at Vallecillo
was the first ever drilling directed at this district. As the majority of
the underground workings are inaccessible, and historic mine maps from
the various mines in the district were not available, this drill program
provided the first modern subsurface data regarding in situ
mineralization. Mexican Silver was cautious in its drilling pattern due
to the lack of historic mine maps as it did not want the drill to
encounter underground open areas which would result in the loss of the
hole and potential damage to the drilling equipment. The subsurface
information obtained through this phase of drilling will allow phase 2
drilling to step closer to the historic mining targets. Mexican
Silver believes because of this it has not yet drilled through the main
vein or mantos but is drilling the conduits of the fluids bringing the
mineralization.
In this context, the assay results of the nine drill holes received to date
are very favorable, with all holes other than hole V-05, having
intersected mineralization. In particular the total widths of
intersections with analyses of greater than 1 gm Ag/ tonne are
impressive: Hole V-01 intersected a sequence of 70.0 meters with values
equal to or greater than 1 gm/tonne Ag, and likewise holes V-02
intersected 44.1 meters of > 1 gm/tonne Ag, hole
V-03 intersected 81.5 meters of > 1 gm/tonne Ag, V-04
intersected 43.25 m of > 1 gm/tonne Ag, hole V-06
intersected 54.5 meters of > 1 gm/tonne Ag, (V-07, V-08, V-09,
V-10 results still pending) ,V-11: intersected 36.06 meters of > 1
gm/tonne Ag, V-12: intersected 13.35 meters of > 1 gm/tonne Ag
and V-13 intersected 6.85 m of > 1 gm/tonne Ag.
While a final robust statistical analysis will be undertaken following
receipt of the assay results for holes V-07, V-08, V-09, V-10, an initial
interpretation of the assay results received to date indicate the
presence of a strong mineralizing system. Three-dimensional rendering of
the data obtained from the 13 hole phase 1 drill program is anticipated
to allow Mexican Silver to model the geometry of this system and identify
drilling programs needed to further delineate this system, perhaps on a
district scale.
Holes V-03, V-11 and V-13 have intersected and partially delineated (at
50 meter centers), a new mineralized manto located 250 meters west of the
Dolores shaft. Near the Santa Maria mine hole V-06 intersected 2
meters of 1.34% lead and 23.4 gm of Ag/tonne and then 16 meter further
down the hole 2 meter of 1.34% Pb and 23.5 gm of Ag/tonne. Hole V-07
intersected similar veins and mantos nearby V-06. Analytical results for
V-07 are pending.
In addition to the drilling program, surface mapping and sampling also
made significant progress at Vallecillo. West of the Santa Maria mine,
surface mapping has located the trace of a vein with widths of 0.4 to 0.7
meters that continues 1 kilometer to the west to the Magnolia mine where
multiple veins were mapped in an area of 300 by 600 meters. Hole V-12,
located near the Magnolia mine, intersected a vein with a width of 1.3
meters which assayed at 374 gm/tonne silver and 12.35% lead. The multiple
veins sampled on surface near the Magnolia mine averaged 0.2 to 0.8
meters in width with assay results ranging from 10 to 100 gm/tonne silver
and 0.5% to 5.0% lead. Additional information regarding this
surface mapping and sampling program is anticipated to be announced
soon.
Although assay results from four drill holes of the phase 1 drill program
remain pending, the current results have already identified in drilling
and surface mapping / sampling, a zone of mineralization along 3.5 km of
strike. This zone is open along strike in both directions and to depth.
Assay results from the remaining four holes of the phase 1 drill program
at Vallecillo are expected to be received shortly.
Mexican Silver also announces that significant progress has been made in
exploration of its properties located in the Mamulique and Iguana
districts. Additional information regarding these exploration
activities is anticipated to be announced soon.
Mexican Silver has $11 million in cash and will be initiating a
substantial exploration program in 2008.
All drill core samples were shipped to ALS Chemex Laboratory ("Chemex")
for analyses. Chemex has an International Standard Organization rating of
ISO 9001:2000 and is independent of Mexican Silver. The split drill core
sample was crushed and a sub-sample (aliquot) split off, pulverized and
screened through a 150 mesh screen. Analyses were preformed using
standard acid digestion and spectrographic techniques.
Mexican Silver follows a rigorous Quality Assurance/Quality Control
program consisting of inserting standards and duplicates into the sample
stream submitted to Chemex for analyses.
Mr. William Dynes, P. Geol., the project supervisor of Mexican Silver's
drilling program on the Vallecillo Property, is the Corporation's
nominated Qualified Person responsible for monitoring the supervision and
quality control of the programs completed within the its properties. Mr.
Dynes has reviewed and verified the technical information contained in
this news release.
This news release contains forward-looking information including but not
limited to comments regarding the timing and content of upcoming work
programs, geological interpretations and potential mineral recovery
processes. Forward-looking information includes disclosure regarding
possible future events, conditions or results of operations that is based
on assumptions about future economic conditions and courses of action,
and therefore, involves inherent risks and uncertainties. When used in
this news release. The words "estimated", "plan",
"anticipated", "expected", "intend",
believe", and similar expressions are intended to identify
forward-looking statements. These statements involve known and unknown
risks, uncertainties and other factors that may cause the actual results,
performance or achievements of Mexican Silver to be materially different
from any future results, performance or achievement expressed or implied
by such forward-looking statements. For any forward-looking information
given, management has assumed that the analytical results it has received
are reliable, and has applied geological interpretation methodologies
which are consistent with industry standards. Although management has a
reasonable basis for the conclusions drawn, there can be no assurance
that forward-looking statements will prove to be accurate and actual
results may differ materially from those currently anticipated in such
statements. For such statements, we claim safe harbour.
About Mexican Silver Mines
Mexican Silver Mines is a silver focused junior resource company
developing three former silver producing properties in north-eastern
Mexico. To learn more about Mexican Silver Mines, please visit: www.mexicansilvermines.com.
ON
BEHALF OF THE BOARD OF
MEXICAN SILVER MINES LTD.
Feisal
Somji, B.Sc., MBA
President and Chief Executive Officer
FOR FURTHER INFORMATION, CONTACT:
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy and accuracy of this information.
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