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Southern Silver Hits High-Grade Extension at Cerro Las Minitas Returning 12.5m (est. TT) Grading 154g/t Ag, 2.0g/t Au, 3.2% Pb, and 3.9% Zn (558g/t AgEq; 15.7% ZnEq) in Recent Drilling

Drill Results

Southern Silver Hits High-Grade Extension at Cerro Las

Minitas

Returning 12.5m (est. TT) Grading 154g/t Ag, 2.0g/t Au, 3.2% Pb, and 3.9% Zn

(558g/t AgEq; 15.7% ZnEq) in Recent Drilling

Vancouver, British Columbia--(Newsfile Corp. - July 25, 2017) -

Souther

n Silver Exploration Corp.

(TSXV: SSV) (OTCQB:

SSVFF) (FSE: SEG1) ("Southern

Silver

")

reported today that it continues to identify high-grade mineralization from the

current core drilling program on the

Cerro Las Minitas project

, Durango State, Mexico. Recent drilling has identified two thick

intervals of mineralization in hole 17CLM-101 opening up the potential for significant extensions to the Blind Zone and Skarn

Front deposits to the southeast of their currently drill extents.

Highlights from hole 17CLM-101 include:

a

17.6m

down hole interval (

12.5

m est. True Thickness) averaging

154

g

/t

Ag,

2.0

g/t Au

,

3.2

% Pb and

3.9

% Zn

(

558

g/t AgEq;

15.7

% ZnEq)

starting at 229.9m downhole,

including a

higher grade

4.2

m interval (

3.0

m est. TT)

averaging

329

g/t Ag,

4.6g/t A

u,

7.4

% Pb and

7.3

% Zn (

117

5

g/t AgEq;

33.

2

% ZnEq)

; and

a

10.1

m down hole interval (

9.2

m est.

TT

) averaging

2

20

g/t Ag,

0.3

% Cu,

3.6

% Pb and

5.4

% Zn

(57

4

g/t AgEq;

16.2% ZnEq)

starting at 462.5m down hole,

including a

higher grade

2.3

m interval (2.

1

m est. TT) averaging

373

g/t Ag,

0.9

% Cu,

7.4

% Pb and

10.3

% Zn (1

089

g/t AgEq;

30.7

% ZnEq)

.

The upper mineralized intercept in hole 17CLM-101 is spatially related to thick intervals of monzonite/felsite and appears to be

the southeast extension of the Blind Zone deposit. The deeper intercept is an approximate 125 metre lateral offset from

mineralization in 11CLM-025 (10.8m down hole of 182g/t Ag, 0.5% Cu, 1.6% Pb and 6.4% Zn) and is localized along the

leading edge of the skarn surrounding the Central Intrusion (Skarn Front zone). Neither hole 11CLM-025 nor the hole located

immediately to the southeast of 17CLM-101 (12CLM-040) tested the Blind Zone target.

Results from hole 17CLM-101 are significant in:

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 500m down dip from hole 17CLM-

101; and

the identification of gold values (up to 4.6g/t Au over 3.0m est. TT) in the upper interval which is of particular geological

interest in further enhancing the value of the newly discovered intercept.

Approximately 10,650 metres in 14 drill holes has now been completed in the planned US$2 million 2017 exploration program.

Drilling will continue through July on both the North Skarn target and extensions of the Blind and Skarn Front zones to the

southeast.

Table 1: Select Composites from 2016-17 Drilling on the Cerro Las Minitas Property

Hole #

From

(m)

To

(m)

Interval

(m)

Est.Tr.Thk.

(m)

Ag

(g/t)

Au

(g/t)

Cu

(%)

Pb

(%)

Zn

(%)

AgEq

(g/t)

ZnEq

(%)

Comments

17CLM-101

229.9

247.4

17.6

12.5

154

2.0

0.2

3.2

3.9

558

15.7

Dilution - 31.3%

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

and inc

235.4

239.5

4.2

3.0

329

4.6

0.2

7.4

7.3

1175

33.2

17CLM-101

263.8

265.4

1.6

1.1

88

0.7

0.0

0.4

0.4

169

4.8

17CLM-101

270.9

274.1

3.2

2.3

84

0.9

0.1

1.5

1.9

276

7.8

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

inc.

456.9

459.2

2.3

2.1

373

0.1

0.9

7.4

10.3

1089

30.7

17CLM-099

731.15

734.50

3.35

2.50

55.4

0.01

0.02

1.7

0.7

140.5

4.0

inc.

731.15

732.15

1.00

0.75

112.0

0.02

0.02

3.3

0.1

232.4

6.6

17CLM-100

714.15

715.40

1.25

0.60

7.7

0.01

0.01

0.0

2.3

89.5

2.5

17CLM-100

723.10

724.70

1.60

0.77

3.5

0.00

0.01

0.0

2.4

90.2

2.5

17CLM-100

727.65

728.95

1.30

0.62

1.8

0.00

0.01

0.0

2.5

92.5

2.6

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.

Cannot view this image of Figure 1?

Please visit

http://orders.newsfilecorp.com/files/5344/28116_a1500911269811_33.jpg

to view this image

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

c

ore drilling program

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

st

, 2016

contains an estimated Inferred Resource of

17.5Mozs silv

er and

237Mlbs of lead and 626M

lbs 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 104 drill holes for 46,351 metres have now been completed on the Cerro Las Minitas project with exploration

expenditures of approximately US$10.8 million.

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.

1

.

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

2

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

[email protected]

.

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.