SSV.V · 2017-09-06 12:00:00

Southern Silver Enlarges High-Grade Extension at Cerro Las Minitas Returning 6.8m (est. TT) Grading 194g/t Ag, 0.8g/t Au, 4.4% Pb, and 2.0% Zn (480g/t AgEq; 13.6% ZnEq) in Recent Drilling

Drill Results

Southern Silver Enlarges High-Grade Extension at Cerro

Las Minitas Returning 6.8m (est. TT) Grading 194g/t Ag,

0.8g/t Au, 4.4% Pb, and 2.0% Zn (480g/t AgEq; 13.6%

ZnEq) in Recent Drilling

Vancouver, British Columbia--(Newsfile Corp. - September 6, 2017) -

Souther

n Silver Exploration Corp.

(TSXV: SSV)

(OTCQB: SSVFF) (FSE: SEG1)

("Southern

Silver

reported today that it has intersected the down-dip projection of two

mineralized zones in the newly identified

Las Victorias

target located southeast of the known mineral deposits on the Cerro Las

Minitas project, Durango State, Mexico. The mineral intercepts from drill hole 17CLM-105 are significant since:

they confirm the extension of the Blind Zone and Skarn Front deposits to the southeast of their previously drilled extents;

and

they open a 500 metre strike-length of new target area for further drill testing.

Highlights from hole

CLM-

include:

a 10.9m down hole interval (6.8m est. True Thickness) averaging 194g/t Ag, 0.8 g/t Au, 4.4% Pb and 2.0% Zn

(480g/t AgEq; 13.6% ZnEq) starting at 356.9m downhole, including a higher grade 3.3m interval (2.0m est. TT)

averaging 551g/t Ag, 0.8g/t Au, 11.9% Pb and 4.7% Zn (1208g/t AgEq; 34.1% ZnEq); and

a 13.3m down hole interval (13.0m est. TT) averaging 105g/t Ag, 0.1% Cu, 0.5% Pb and 0.4% Zn (153g/t AgEq;

4.3% ZnEq) starting at 507.6m down hole, including a higher grade 2.5m interval (2.5m est. TT) averaging 318g/t

Ag, 0.4% Cu, 1.4% Pb and 0.8% Zn (444g/t AgEq; 12.5% ZnEq).

The upper mineralized intercept in drill hole 17CLM-105 intersected approximately 4 metres of semi-massive to massive

sulphide within a broader sulphide interval that correlates well with previously reported mineralization, approximately 125 metres

up-dip, in hole CLM-101 (12.5m est. TT averaging154g/t Ag, 2.0g/t Au, 3.2% Pb and 3.9% Zn - 558g/t AgEq; 15.7% ZnEq).

These two intercepts are believed to form part of a new southeast extension of the Blind Zone Deposit.

Similarly, the lower intercept in hole CLM-105 intersected mineralization that offset previously reported intervals from drill hole

11CLM-025 (10.8m down hole of 182g/t Ag, 0.5% Cu, 1.6% Pb and 6.4% Zn) and 17CLM-101 (9.2m est. TT averaging 220g/t

Ag, 0.3% Cu, 3.6% Pb and 5.4% Zn - 574g/t AgEq; 16.2% ZnEq) all of which are localized along the leading edge of the skarn

surrounding the Central Intrusion (

Skarn Front zone

Figure 1: Plan Map showing the distribution of Drill Holes at Cerro Las Minitas for the 2017 core drilling program

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Results from hole 17CLM-105 confirm the identification of relatively shallow, precious-metal-enriched mineralized intervals in two

separate zones which remain open and largely untested for over 500 metres laterally to the southeast and for up to a 500m

down-dip projection (see Figure 2).

Approximately 13,400 metres in 18 drill holes have now been completed in the planned US$2 million 2017 exploration program.

Drilling is nearly completed on the final drill hole, 17CLM-106; the results from which will be released upon the receipt of final

assays.

President Lawrence Page, Q. C. stated that,

Our exploration team has

excelled in advancing the

Cerro Las Minitas project

this year through the discovery

and delineation of an additional

deposit which

open for

further

exploratory and definition

drilling. We are very keen to soon receive a current Resource Report which will be accretive to the March 2016 Report and

will incorporate data from the

13,000 metres of additional drilling completed in 2017."

Work on the Cerro Las Minitas project through the Fall 2017 will include an independent update of the 2016 Mineral Resource

Estimate, additional metallurgical studies and further advancement and development of the exploration targets on the Biznagas

and Los Lenchos claims.

Figure

: Vertical Longitudinal Section of the Skarn Front Mineralization and the New Target area in the North Skarn

zone

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Table 1

Significant mineralized intercepts from the

Las Victorias Target area

Hole No.

From

Interval

est TT

g/t

AgEq

g/t

Blind Zone (upper)

17CLM-101

229.9

247.4

17.6

12.5

154

1.98

0.2

3.2

3.9

657

17CLM-105

356.9

367.8

10.9

6.8

194

0.79

0.1

4.4

2.0

561

Skarn Front (Lower)

11CLM-025

488.9

499.7

10.8

10.0

182

0.97

0.51

1.6

6.4

691

17CLM-101

452.5

462.6

10.1

9.2

220

0.04

0.3

3.6

5.4

682

17CLM-105

507.6

520.9

13.3

13.0

105

0.05

0.1

0.5

0.4

153

Cerro Las Minitas Project

Exploration on the company's flagship Cerro Las Minitas property, Durango Mexico is funded by Electrum Global Holdings L.P.

("Electrum"), which has financed a broad range of exploration activities and has earned a 60% interest in the project through a

US$5.0M earn-in on the property, with Southern Silver acting as operator.

The Cerro Las Minitas project as of March 21

, 2016 contains an estimated Inferred Resource of

17.5Mozs silver and

237Mlbs of lead and 626Mlbs zinc (77.3Mozs AgEq)

and an estimated Indicated Resource of

10.8Mozs silver, 189Mlbs

lead and 207Mlbs zinc (36.5Mozs AgEq)

(1)

A total of 107 drill holes for 49,430 metres have now been completed on the Cerro Las Minitas project with exploration

expenditures of approximately US$10.8 million.

Table

: Select Composites from

2016-17

Drilling on the Cerro Las Minitas Property

Hole #

From

(m)

Interval

(m)

Est.Tr.Thk.

(m)

(g/t)

(%)

AgEq

(g/t)

ZnEq

(%)

Comments

17CLM-105

356.9

367.8

10.9

6.8

194

0.8

0.1

4.4

2.0

480

13.6

inc.

356.9

360.1

3.3

2.0

551

0.8

0.2

11.9

4.7

1208

34.1

and inc.

358.2

359.1

0.9

0.6

1100

1.5

0.4

23.2

5.9

2244

63.4

17CLM-105

507.6

520.9

13.3

13.0

105

0.1

0.5

0.4

153

4.3

35% Dilution

inc.

510.6

513.2

2.5

318

0.1

0.4

1.4

0.8

444

12.5

17CLM-105

525.9

534.7

8.9

8.7

0.1

0.3

1.1

152

4.3

32% Dilution

inc.

529.8

530.5

0.8

0.7

195

0.0

1.1

0.8

4.4

498

14.1

17CLM-105

557.9

558.5

0.6

0.5

0.2

2.5

0.0

337

9.5

17CLM-102

NSV

17CLM-103

859.3

864.4

5.2

3.3

27.4

0.0

0.4

2.6

134

3.8

46.6% Dilution

inc.

859.3

860.2

1.0

0.6

126.0

0.0

1.7

8.2

480

13.6

17CLM-103

872.4

873.9

1.5

0.9

29.0

0.3

0.0

0.1

3.2

170

4.8

17CLM-104

NSV

17CLM-101

229.9

247.4

17.6

12.5

154

2.0

0.2

3.2

3.9

558

15.7

Previously

Released

inc.

229.9

232.9

3.0

2.1

269

0.9

0.8

4.7

5.6

769

21.7

and inc.

235.4

241.0

5.7

4.0

261

4.0

0.2

6.0

6.9

999

28.2

17CLM-101

270.9

274.1

3.2

2.3

0.9

0.1

1.5

1.9

276

7.8

Previously

Released

inc.

272.2

274.1

1.9

1.4

114

1.2

0.1

2.0

2.7

374

10.6

17CLM-101

452.5

462.6

10.1

9.2

220

0.0

0.3

3.6

5.4

574

16.2

Previously

Released

inc.

456.9

459.2

2.3

2.1

373

0.1

0.9

7.4

10.3

1089

30.7

Analyzed by FA/AA for gold and ICP-AES by ALS Laboratories, North Vancouver, BC. Silver (>100ppm), copper, lead and zinc (>1%) overlimits assayed by ore grade ICP analysis, High

silver overlimits (>1500g/t Ag) and gold overlimits (>10g/t Au) re-assayed with FA-Grav. High Pb (>20%) and Zn (>30%) overlimits assayed by titration. AgEq and ZnEq were calculated

using average metal prices of: US$18.2/oz silver, US$1240/oz gold, US$2.8/lbs copper and US$0.91/lbs lead and US$0.94/lbs zinc. AgEq and ZnEq calculations did not account for

relative metallurgical recoveries of the metals. Ore-grade composites calculated using a 80g/t AgEq cut-off and <20% internal dilution, except where noted; anomalous intercepts

calculated using a 10g/t AgEq cut-off.

About Southern Silver Exploration Corp.

Southern Silver Exploration Corp. is a precious metal exploration and development company with a focus on the discovery of

world-class mineral deposits in north-central Mexico and the southern USA. Our specific emphasis is the Cerro Las Minitas

silver-lead-zinc project located in the heart of Mexico's Faja de Plata, which hosts multiple world-class mineral deposits such as

Penasquito, San Martin, Naica and Pitarrilla. We have assembled a team of highly experienced technical, operational and

transactional professionals to support our exploration efforts in developing, along with our partner, Electrum Global Holdings LP,

the Cerro Las Minitas project into a premier, high-grade, silver-lead-zinc mine. The Company engages in the acquisition,

exploration and development either directly or through joint-venture relationships in mineral properties in major jurisdictions. Our

property portfolio also includes the Oro porphyry copper-gold project located in southern New Mexico, USA.

The 2016 Cerro Las Minitas Resource Estimate was prepared following CIM definitions for classification of Mineral Resources. Resources are constrained using mainly geological

constraints and approximate 10g/t AgEq grade shells. The block models are comprised of an array of blocks measuring 10m x 2m x 10m, with grades for Au, Ag, Cu, Pb, Zn and

AgEq values interpolated using ID

weighting. The models identified at a 150g/t AgEq cut-off, an indicated resource of 3,724,000 tonnes averaging 90g/t Ag, 0.05g/t Au, 2.3% Pb,

2.5% Zn and 0.09% Cu and a cumulative inferred resource of 6,611,000 tonnes averaging 82g/t Ag, 0.17g/t Au, 1.6% Pb, 4.3% Zn and 0.2% Cu. Mineral Resource cut-offs are

estimated using an average long-term price of $15/oz silver, $1,100/oz gold, $2.75/lb Cu, $0.90/lb lead and $0.90/lb zinc and metal recoveries of 82% silver, 86% lead and 80%

zinc. AgEq calculations did not account for relative metallurgical recoveries of the metals. All prices are stated in $USD. Mineral Resources are conceptual in nature and as such

do not have demonstrated economic viability.

The current Resource Estimate was prepared by Garth Kirkham, P.Geo. of Kirkham Geosciences Ltd. who is the Independent Qualified Person responsible for presentation and

review of the Mineral Resource Estimate.

Robert Macdonald, MSc. P.Geo, is a Qualified Person as defined by National Instrument 43-101 and responsible for the

supervision of the exploration on the Cerro Las Minitas Project and for the preparation of the technical information in this

disclosure.

On behalf of the Board of Directors

"Lawrence Page"

Lawrence Page, Q.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

@mnxltd.com

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.

This news release may contain 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. 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.

Southern Silver Exploration Corp. does not assume any obligation to

update or revise its forward-looking statements, whether as a result of new information, future events or otherwise, except to

the extent required by applicable law.

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