Southern Silver Closes Second Tranche of Private Placement

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 11/29/10 -- Southern Silver Exploration Corp. ('Southern Silver') (TSX VENTURE: SSV)(FRANKFURT: SEG) has closed the second tranche of its previously announced non-brokered unit private placement by issuing 10,601,000 units at a price of $0.10 per unit for gross proceeds of $1,060,100. Each unit consisted of one common share and one share purchase warrant, with each warrant exercisable to purchase one additional common share at a price of $0.20 per share for a period of two years.

Finders' fees are payable. The private placement and finders' fees are subject to regulatory approval. All securities issued pursuant to the private placement, including common shares, share purchase warrants and finders' warrants issued as finders' fees, carry a legend restricting trading of the securities until March 27, 2011.

On October 27, 2010 Southern Silver issued 9,900,000 units in a first tranche closing of this private placement, which together with the second tranche closing raised total gross proceeds of $2,050,100. A final tranche of the private placement is expected to close shortly.

The proceeds from the private placement will be utilized to fund exploration projects on the Oro, San Luis and Cerro Las Minitas properties as well as for working capital.

Southern Silver also reports that it has granted incentive stock options to directors, officers, consultants and employees, to purchase 2.5 million common shares at $0.17 per share exercisable for a period of five years in accordance with Southern Silver's stock option plan. The options are subject to acceptance for filing by the TSX Venture Exchange.

On behalf of the Board of Directors

Lawrence Page, President

Southern Silver Exploration Corp.

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. 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. These statements are based on a number of assumptions, including, but not limited to, assumptions regarding general economic conditions, interest rates, commodity markets, regulatory and governmental approvals for the company's projects, and the availability of financing for the company's development projects on reasonable terms. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, 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.

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.

Contacts:

Southern Silver Exploration Corp.

Liana Shahinian

604-641-2773 or Toll Free 1-888-456-1112
liana@mnxltd.com
www.southernsilverexploration.com