Vancouver, B.C. – Prospero Silver Corp. (TSXV: PSL) (“Prospero” or the “Company”) is pleased to announce that its JV partner Minera Hochschild Mexico, S.A. de C.V. (“Hochschild”) has commenced a 3,000 meter Reverse Circulation drill program in the northern Cebollas target area at the Baborigame project in Chihuahua. This initial program on the northern part of the 8,458 Hectare claims is aimed at multiple targets defined during the past 6 months. Sampling over the felsic igneous body 2.5 km in length shows both rock-chip and soil sample anomalies, which indicate potential to host both near surface, bulk tonnage as well as high grade vein mineralization.

An additional 2,000 meter diamond drill program is also planned in the southern part of the claims along the southeast extension of the largest vein in the district, the Diente de Oso vein. This large structure exhibits vein widths up to 10 meters and up to multi-pppm gold in surface samples.

Under the terms of the original agreement, Hochschild has the option to earn a 51% interest within 3 years by making total expenditures of US$3.7M, drilling a minimum of 3,500 meters in Year 1, and total cash payments of US$1.9M. Hochschild will have the right to earn an additional 14% with expenditures of at least US$4M and a cash payment of US$200,000. If Prospero elects not to participate in the resulting 65%/35% joint venture, Hochschild will have the option to earn an additional 10% during years 5 and 6 by financing the project through to completion of a Definitive Feasibility Study.

During 2010 Prospero drilled 2,630 meters aimed at high grade vein targets. Highlights from this program included 3.12 meters of 13.0 g/t Au and 24.5 g/t Ag in hole PBAB-10-11; and 1.4 meters of 6.1 g/t Au and 75.2 g/t Ag in hole PBAB-10-09; both under the historic Los Angeles vein and mine. Upon Prospero securing additional claims in 2011 in the northern Cebollas sector of the district, and the recognition of disseminated mineralization hosted within a felsic igneous body in that area, the current exploration program is focused primarily towards exploration of the bulk-tonnage Cebollas targets.

Tawn Albinson, M.Sc., President of the Company, is a Qualified Person, as defined in NI 43-101, and is responsible for the technical content of this press release.

About Prospero Silver Corp.:

Prospero is a Canadian resource company with the majority of its staff based in Mexico and who work for its wholly owned subsidiary MineraFumarola, SA de CV (Fumarola). Prospero’s objective is to quickly evaluate the properties currently optioned for their suitability to provide size potential and/or amenability for strategic joint ventures.

For further information please contact:

William Murray
Chairman
Tel: (604) 288–7813

or

Kirk Gamley
Contact Financial
Tel: (604) 561-3642

Forward-Looking Statement Cautions:

This news release contains certain “forward-looking statements” within the meaning of Canadian securities legislation, relating to the closing of a non-brokered Private Placement. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “aims,” “potential,” “goal,” “objective,” “prospective,” and similar expressions, or that events or conditions “will,” “would,” “may,” “can,” “could” or “should” occur, or are those statements, which, by their nature, refer to future events. Factors that could cause actual results to differ materially from these forward looking statements include, but are not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, the Company’s inability to obtain any necessary permits, consents or authorizations required for its planned activities, and the Company’s inability to raise the necessary capital or to be fully able to implement its business strategies. The reader is referred to the Company’s reports, publicly available through the Canadian Securities Administrators’ System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com, including the risk factors discussed in Prospero’s November 27, 2009 prospectus. Except as required by securities laws and the policies of the TSX Venture Exchange, Prospero disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

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.