SNS Silver (TSX VENTURE: SNS) Enters Into Emerald Lake Option Agreement With NYSE Listed Paramount Gold & Silver (TSX: PZG)(NYSE: PZG)

VANCOUVER, BRITISH COLUMBIA, Dec 16, 2009 (MARKETWIRE via COMTEX News Network) --

SNS Silver Corporation ("SNS" or the "Company") (TSX VENTURE: SNS) announces that is has entered into an option agreement dated December 4, 2009 with Paramount Gold & Silver Corp., (TSX: PZG)(NYSE: PZG) whereby SNS has granted Paramount the sole and exclusive right and option to earn up to 30% of SNS's interest in and to the Emerald Lake Gold project as SNS acquires its interest in the Claims under the Northern Nickel Agreement by Paramount spending and incurring Exploration Expenditures on the Claims in the amount of $1,400,000.

On the date Paramount incurs $1,400,000 of Exploration Expenditures on the Claims, the Earn-In Option shall have been exercised subject to and conditional upon the funds having been spent by Paramount for Exploration. In the event that Paramount, with the aid and assistance of SNS is unable to spend the entire $1,400,000 on Exploration Expenditures by December 31, 2009, Paramount shall have the option of either (a) reducing its percentage interest in and to the Claims to a lesser earned percentage calculated based on the actual amount spent divided by $1,400,000 multiplied by 30%; or (b) funding the unspent balance on Exploration Expenditures in the next ensuing year which Exploration Expenditures must then be incurred on or before December 31, 2010. Paramount shall have a project equity conversion right whereby it may later convert any and all sums spent by Paramount on the Exploration Program into shares of SNS at a price of C$0.23 per share.

David Greenway, President SNS Silver states: "The desires of Paramount to participate in the Emerald Lake Project under these terms are a testament to the caliber of the project and the favorable terms in which SNS was initially able to acquire the option. We are pleased to secure a NYSE listed partner that is well financed and has a highly experienced technical management team in place. SNS is certain to benefit from the expertise of Paramount as we aggressively advance our first phase exploration program. It is apparent that both SNS and Paramount share the same view of the project and we are elated that they have selected Emerald Lake to diversify their existing portfolio."

About the Emerald Lake project:

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