Vancouver, British Columbia, February 13, 2015 – Aftermath Silver Ltd. (the “Company” or “Aftermath Silver”) announces that following an internal review and in light of unfavorable market conditions the Company has made a determination to withdraw from its activities in Mexico. The Company will continue with evaluating opportunities that would allow the Company to divest of its Mexican subsidiary, Minera ISP, which holds its rights, permits and mill infrastructure at the San Andres mine in Durango, Mexico. Notwithstanding the aforementioned assets within Minera ISP, the subsidiary also holds roughly US$3 million in usable tax losses. The Company will not be proceeding with the previously announced financing (see news release dated September 22nd, 2014).
Board change
Mr. Sergio Covarrubias received sufficient votes at the recent Annual General Meeting to be elected as a director of the Company, but has determined not to serve as a director this year in order to devote time to his other endeavours. Mr. Covarrubias will however, continue to assist the Company with the divestiture of the Mexican assets. The Company looks forward to the continuing contributions of Mr. Covarrubias in this capacity.
About San Andres
The San Andres project is located in Durango State, Mexico and lies approximately 8 km to the east of Chesapeake Gold’s Metates deposit (resources of 526 Moz Ag, 18.5 Moz Au and 4.2 B lbs of zinc) and 6.5 km south of the privately-owned and operated 1,200 tpd San Miguel del Cantil Au-Ag mine.
San Andres is fully permitted with an existing 300 tpd mill and camp facility on site. With the exception of investment in the mill and the granting of the permits to commence mining (2006-), the project has been largely untouched by modern exploration since historic mining operations ceased in 1915 at the time of the Mexican Revolution. According to historic Mexican Government records (which have not been independently verified and thus should not be relied 2 on) 17 Moz of silver were produced from 1890-1915. The mine is not currently in operation remaining on care and maintenance.
ON BEHALF OF THE BOARD OF DIRECTORS
“Doug Ramshaw”
Doug Ramshaw
President & CEO
604-484-7855
Neither the 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.
Certain disclosure in this release, including statements regarding the intended use of proceeds from the private placement, constitute forward-looking information or statements (collectively, “forward-looking statements”) for the purpose of applicable securities laws. In making the forward-looking statements, the Company has applied certain factors and assumptions that are based on the Company’s current beliefs as well as assumptions made by and information currently available to the Company, including that the Company is able to obtain any government or other regulatory approvals required to complete the Company’s planned exploration and development activities, that the Company is able to procure personnel, equipment and supplies required for its exploration and development activities in sufficient quantities and on a timely basis and that actual results of exploration activities are consistent with management’s expectations. Although the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors include, among others, that the Company will be unable to obtain required regulatory approvals on a timely basis or at all, that actual results of the Company’s exploration activities will be different than those expected by management and that the Company will be unable to obtain or will experience delays in obtaining any required government approvals or be unable to procure required equipment and supplies in sufficient quantities and on a timely basis. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.