South American Silver Announces US Trading on OTCQX

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/07/13 -- South American Silver Corp. (TSX: SAC)(OTCQX: SOHAF) (the "Company") is pleased to announce that effective December 21, 2012, the Company began trading on OTCQX International under the symbol "SOHAF".

OTCQX International is a segment of the OTCQX marketplace reserved for high-quality non-U.S. companies listed on a qualified stock exchange in their home country. OTCQX has the highest financial standards of all U.S. OTC marketplaces, and requires qualified third-party sponsorship. U.S. investors can find current financial disclosures and Real-Time Level 2 quotes for the Company on www.otcmarkets.com.

Phillip Brodie-Hall, President and CEO commented: "We are proud to join OTCQX International and look forward to increasing our exposure to U.S. investors. We feel this marks an important step towards enhancing trading and liquidity of our common shares and increasing our global visibility."

The Company also wishes to announce that John Watson has resigned as a director of the Company effective November 15, 2012. The Company wishes to thank Mr. Watson for his contributions as a director since the Company's initial public offering in 2007.

About South American Silver Corp.

South American Silver Corp. is a growth focused mineral exploration company creating value through the exploration and development of the large scale Escalones copper-gold project in Chile, the pursuit of new opportunities, and the realization of value from the Malku Khota project in Bolivia. The Company's approach to business combines the team's track record of discovery and advancement of large projects, key operational and process expertise, and a focus on community relations and sustainable development. Management has extensive experience in the global exploration and mining industry. The Company's shares are listed on the Toronto Stock Exchange under the symbol "SAC" and on the US OTCQX market as "SOHAF". Information related to South American Silver Corp. is available at www.soamsilver.com and on SEDAR at www.sedar.com.

Forward-looking statements

Forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business. Forward-looking statements may include words such as "increasing", "enhancing", "creating", "realization" and similar expressions. This release contains forward-looking statements. These forward-looking statements are based on current expectations and various estimates, factors and assumptions and involve known and unknown risks, uncertainties and other factors.

Readers are cautioned not to place undue reliance on these statements as the Company's actual results, performance or achievements may differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements if known or unknown risks, uncertainties or other factors affect the Company's business, or if the Company's estimates or assumptions prove inaccurate. Therefore, the Company cannot provide any assurance that forward-looking statements will materialize. Factors that could cause results or events to differ materially from current expectations expressed or implied by the forward-looking statements, include, but are not limited to, market conditions; the performance of the Common Shares or the Issuer; results of the Issuer's exploration and development programs on its material properties; risks of the mineral exploration industry which may affect the Issuer and risks of the mineral exploration industry which may affect the advancement of the Escalones project, in each case, including possible variations in mineral resources or grade, metal prices, timely receipt of required permits, availability of equipment and qualified personnel, failure of equipment or processes to operate as anticipated and changes in project parameters as plans continue to be refined; the political and economic climate in Bolivia including the attitudes and actions of the Bolivian government related to foreign investment in Bolivia; the pursuit by the Bolivian government of stated courses of action; the international arbitration process; and other risks more fully described in the Company's Annual Information Form filed and publicly available on SEDAR at www.sedar.com. The assumptions made in developing the forward-looking statements include: the accuracy of publicly available information regarding the Issuer; the accuracy of current inferred resources and the interpretation of drill and other exploration results for Escalones; the timely receipt of required permits for Escalones; the availability of equipment and qualified personnel to advance the Escalones project and execution of the Company's existing plans and further exploration and development programs for Escalones, which may change due to changes in the views of the Company or if new information arises which makes it prudent to change such plans or programs; the ability of the Company to realize value from its investments in Bolivia and that statements made by Bolivian government officials reflect the government's intentions. Subject to applicable laws, the Company assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason. Unless otherwise indicated, forward-looking statements in this release describe the Company's expectations as of January 7, 2013.

Contacts:

South American Silver Corp.

Robert Gill

Investor Relations

604-681-6926 or Toll Free 1-855-681-6926
www.soamsilver.com