Shoshone Silver and Minco, Plc Enter Into Option and Joint Venture Agreement.

KELLOGG, Idaho -- Shoshone Silver Mining Company (OTC:SHSH) announced today a three part option and joint venture agreement with Minco, Plc, to advance Shoshone's Bilbao silver-copper-zinc project located in the Panfilo Natera mining district, 56 kilometers southeast of the city of Zacatecas, Mexico.

Under the terms of the first option of the agreement, Minco, upon payment of $100,000 and the issue of 1.2 million Minco shares, will have the exclusive right to carry out exploration and development of Shoshone's Bilbao properties at an initial cost to Minco of $500,000 during the first 6 months of the agreement. The first option also includes the preparation of an updated feasibility study of the properties by Minco. After 6 months, the second option of the agreement calls for an additional payment of $300,000 to Shoshone and a further expenditure by Minco of $500,000 during the following 12 months. Under the third option, by meeting the above commitments, Minco will earn a 75 percent interest in the Bilbao properties. Additionally, under the terms of the option agreement, Minco will be the sole operator during the exploration and development phase. After the exploration and development period, if Minco elects to complete a bankable feasibility study, a new company will be formed by Shoshone and Minco to mine the Bibao properties and operate a joint venture agreement. When the new company is formed, Shoshone will retain a 25 percent interest in that company.

"This option and joint venture agreement with Minco is an excellent step in Shoshone Silver Mining Company's drive to move from being an exploration company to being a company with producing mining projects in the United States and in Mexico," said Shoshone president Lex Smith. "Minco, Pls. is a strong and dynamic mining company, and this joint venture with them to develop and mine Shoshone's Bilbao properties bodes well for the overall future success of the company."

Shoshone Silver Mining Company was founded in 1969 as a silver exploration, development and production company centered on its Lakeview Mine and Mill, south of Lake Pend d'Oreille in northern Idaho. Shoshone has acquired several formerly producing precious and base metal properties in northern Idaho in preparation for a return to production at Lakeview. Shoshone also maintains a diverse portfolio of mineral exploration projects across the western United States, as well as the Bilbao properties in Mexico. Shoshone stock trades on the OTC Market under the symbol "SHSH".

Certain statements contained in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on beliefs of management as well as assumptions made by and information currently available to management. Forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from expected results.