South American Silver Corp. Enters into an Agreement to Acquire High Desert Gold Corporation - Seite 2

Cut-off Grade		Gold		Silver		Gold Equivalent AuEq(1)
(AuEq)	Tonnes	Grade (g/t)	Troy Ounces	Grade (g/t)	Troy Ounces	Grade (g/t)	Troy Ounces
0.3 g/t	19,373,085	0.48	301,756	10.4	6,476,149	0.67	415,254

1 AuEq means gold-equivalent. AuEq calculations for Gold Springs reflect gross metal content using a metal price ratio of 57.14 Au/Ag and have not been adjusted for metallurgical recoveries.

In announcing the proposed merger, Phillip Brodie-Hall, President and CEO of South American Silver Corp., commented:

"This is an excellent development for both companies. It puts South American Silver back into precious metals through the acquisition of the Gold Springs gold-silver project. Gold Springs straddles the border of Utah and Nevada, both of which are pro-development, safe, mining-friendly states. Gold Springs is an outcropping, near-surface gold-silver deposit which early metallurgical test-work suggests will produce material that is amenable to heap leaching. This all means that, should the Gold Springs deposit prove economic after further exploration and engineering studies, it could be brought into production relatively quickly with minimal technical risk and at reasonable capital costs. I am very excited about this opportunity."

Ralph Fitch, President, CEO and Chairman of High Desert Gold Corporation went on to say:

"I, too, am very excited about this opportunity and agree that this is an excellent development for both companies. It provides HDGC shareholders with the financial resources to have a continuing interest in this important, developing exploration property as well as exposure to the other major assets of SASC. Gold Springs' exploration and development will be the immediate focus of the merged company and will be achievable through the availability of funding and the existing exploration team. This year's drilling at Gold Springs has been very successful in expanding the footprint of mineralization in the Grey Eagle target to beyond the limits of the reported resource. Now with the additional funding we will be able to continue this expansion and move towards developing a PEA and an updated, expanded resource in the near term."