Introduction The past producing San Acacio silver property covers 746.6 hectares and is located in the south-eastern half of the Veta Grande vein system. The Veta Grande vein is the most prolific of four sub-parallel vein systems that run through the Zacatecas mining district in central Mexico. Location & Ownership The San Acacio property is situated within the Veta Grande mining camp, approximately 10 kilometres north from the center of Zacatecas. The area is undergoing renewed exploration activity as a result of the success of the nearby San Roberto (or Cozamin) mine in the Mala Noche vein operated by Capstone Mining Corp. Access to the San Acacio property is by highway from the city of Zacatecas and by paved access roads to the small town of Veta Grande. From Veta Grande, gravel or dirt mine roads extend to the numerous shafts and adits of the underground San Acacio mine. The city of Zacatecas is easily reached by paved highway from other parts of Mexico or by a number of airlines with several flights per day through Mexico City and Puerto Vallarta. Through our 99% owned Mexican subsidiary Roca Verde Exploración de México S.A. de C.V., the company has the right to earn a 100% interest in San Acacio property.  History Since the discovery of silver in the Zacatecas mining district in 1546, an estimated180 million ounces of silver have been extracted from the Veta Grande vein complex (Silver Standard Report 1996). The workings at San Acacio extend to a vertical depth of 335 meters & approximately seven kilometres along strike at San Acacio.   Geology The Veta Grande and accessory veins at the San Acacio property are classic epithermal silver-gold-(high-sulphide) deposits in a number of parallel veins. The Veta Grande veins are predominantly silver bearing, with minor gold and base metals. Other veins being explored in the area are the Calicanto and Buenaventura veins, which are also classic silver-gold epithermal veins. The oldest rocks in the Zacatecas District are Triassic metamorphic, sericite schists with quartz nodules covered by a younger volcano sedimentary sequence.Tertiary conglomerates cover the andesites and are in turn covered by tuffs and rhyolitic necks which cut the oldest rocks. The veins are silica-carbonate fissure fillings containing pyrite, anglesite, cerussite, native silver, argentite, freibergite, proustite, galena, sphalerite, cerargyrite and rare chalcopyrite in a gangue of chalcedony, quartz, amethyst and calcite. Exploration Work A number of historical resource estimates have been prepared since 1988. The most recent estimate was complied by Silver Standard based on a 1995 exploration program, which calculated that the project contains 2.47 million tonnes grading 182.4 g/t silver (approximately 14.5 million ounces of silver) above 100 m vertical.  Approximately 900 meters of exposed vein was surveyed and sampled through trenching by Sterling Mining Co. from 2004 to 2006. A total of 41 trenches were sampled over 25-meter intervals. The goal of this program was to verify previous surface sampling and to exploit near-surface material as a source of feed for the nearby Barones leach plan. The adjacent Mala Noche vein system hosts the prolific Cozamin Mine of Capstone Mining Corporation below the historic workings. Their success underscores the robust nature of the old veins to depth in the Zacatecas District, a model which Source hopes to replicate at San Acacio on the Veta Grande vein system. Work Commitment Source Exploration Corp. plans a minimum 2,500m Phase 1 drill program by 4Q/2009 to expand and upgrade the previous non–compliant historical resource into a compliant mineral resource under NI 43-101.