ElQuevar NI 3-101 Tech Report FIN SM

NI 43-101 Technical Report on Resources
Apex Silver Mines Corporation

El Quevar Project
Argentina

Prepared for:
Apex Silver Mines Corporation
1700 Lincoln Street, Suite 3050
Denver, Colorado 80203

SRK Project Number: 182801

Prepared by:

7175 W. Jefferson Ave.
Suite 3000
Lakewood, CO 80235

Effective Date: January 31, 2009
Report Date: February 27, 2009

Contributors: Endorsed by QP:
Leah Mach, CPG, MSc Leah Mach, CPG, MSc
Patrick Hollenbeck, B.A. Geology
Dorinda Bair, BSc Geology
Alva Kuestermeyer, MS Mineral Economics, CP, SME

Apex Silver Mines Corporation i
El Quevar Project NI 43-101 Technical Report on Resources

SRK Consulting (US), Inc. February 27, 2009
El Quevar.NI 43-101 Technical Report on Resources.182801.KG.020.docx
Table of Contents
1 INTRODUCTION (ITEM 4) ................................................................................................. 1-1
1.1 Terms of Reference and Purpose of the Report ......................................................... 1-1
1.2 Reliance on Other Experts (Item 5) ........................................................................... 1-2
1.2.1 Sources of Information ................................................................................ 1-2
1.3 Qualifications of Consultants (SRK) ......................................................................... 1-2
1.3.1 Site Visit ...................................................................................................... 1-3
1.4 Units of Measure ........................................................................................................ 1-3
1.5 Effective Date ............................................................................................................ 1-3
2 PROPERTY DESCRIPTION AND LOCATION (ITEM 6) ................................................. 2-1
2.1 Property Location....................................................................................................... 2-1
2.2 Mineral Titles ............................................................................................................. 2-1
2.3 Location of Mineralization ........................................................................................ 2-4
2.4 Royalties, Agreements and Encumbrances ................................................................ 2-4
2.5 Environmental Liabilities and Permitting .................................................................. 2-7
3 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND
PHYSIOGRAPHY (ITEM 7) ............................................................................................................ 3-1
3.1 Topography, Elevation and Vegetation ..................................................................... 3-1
3.2 Climate and Length of Operating Season .................................................................. 3-1
3.3 Physiography.............................................................................................................. 3-1
3.4 Access to Property ..................................................................................................... 3-1
3.5 Surface Rights ............................................................................................................ 3-2
3.6 Local Resources and Infrastructure ........................................................................... 3-2
3.6.1 Access Road and Transportation ................................................................. 3-2
3.6.2 Power Supply ............................................................................................... 3-2
3.6.3 Water Supply ............................................................................................... 3-2
3.6.4 Camp Site .................................................................................................... 3-2
3.6.5 Waste Disposal Area ................................................................................... 3-3
3.6.6 Manpower .................................................................................................... 3-3
4 HISTORY (ITEM 8) .............................................................................................................. 4-1
4.1 Ownership .................................................................................................................. 4-1
4.2 Past Exploration and Development ............................................................................ 4-2
4.3 Historic Mineral Resource and Reserve Estimates .................................................... 4-2
4.4 Historic Production .................................................................................................... 4-2
5 GEOLOGIC SETTING (ITEM 9) ......................................................................................... 5-1
5.1 Regional Geology ...................................................................................................... 5-1
5.2 Local Geology ............................................................................................................ 5-1
5.2.1 Alteration ..................................................................................................... 5-2
5.2.2 Structure ...................................................................................................... 5-3
5.3 Project Geology ......................................................................................................... 5-3
6 DEPOSIT TYPE (ITEM 10) .................................................................................................. 6-1
7 MINERALIZATION (ITEM 11) ........................................................................................... 7-1
7.1 Mineralized Zones ..................................................................................................... 7-1
7.2 Surrounding Rock Types ........................................................................................... 7-1
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7.3 Relevant Geological Controls .................................................................................... 7-2
7.4 Type, Character and Distribution of Mineralization .................................................. 7-2
8 EXPLORATION (ITEM 12) ................................................................................................. 8-1
8.1 Interpretation .............................................................................................................. 8-2
9 DRILLING (ITEM 13) .......................................................................................................... 9-1
9.1 Type and Extent of Drilling ....................................................................................... 9-1
9.2 Logging ...................................................................................................................... 9-2
9.3 Results ........................................................................................................................ 9-2
10 SAMPLING METHOD AND APPROACH (ITEM 14) ..................................................... 10-1
10.1 Sample Methods....................................................................................................... 10-1
10.2 Factors Impacting Accuracy of Results ................................................................... 10-1
10.3 Sample Quality and Parameters ............................................................................... 10-1
10.4 Relevant Samples ..................................................................................................... 10-1
11 SAMPLE PREPARATION, ANALYSES AND SECURITY (ITEM 15) .......................... 11-1
11.1 Sample Preparation and Assaying Methods Alex Stewart ................................... 11-1
11.2 Sample Preparation and Assaying Methods ALS Chemex ................................... 11-1
11.3 Testing Laboratories Certification ........................................................................... 11-2
11.4 Quality Controls and Quality Assurance ................................................................. 11-2
11.4.1 Blanks ........................................................................................................ 11-3
11.4.2 Duplicates .................................................................................................. 11-3
11.4.3 Standard Samples ...................................................................................... 11-5
11.5 Sample Security ....................................................................................................... 11-6
11.6 Interpretation ............................................................................................................ 11-6
12 DATA VERIFICATION (ITEM 16) ................................................................................... 12-1
12.1 Quality Control Measures and Procedures .............................................................. 12-1
12.2 SRK Verification ..................................................................................................... 12-1
12.3 Limitations ............................................................................................................... 12-1
13 ADJACENT PROPERTIES (ITEM 17) .............................................................................. 13-1
14 MINERAL PROCESSING AND METALLURGICAL TESTING (ITEM 18) ................. 14-1
14.1 Metallurgical Testing ............................................................................................... 14-1
14.1.1 Procedures ................................................................................................. 14-1
14.1.2 Results ....................................................................................................... 14-2
15 MINERAL RESOURCES AND MINERAL RESERVE ESTIMATES (ITEM 19) .......... 15-1
15.1 Drillhole Database ................................................................................................... 15-1
15.2 Topography .............................................................................................................. 15-1
15.3 Geology .................................................................................................................... 15-1
15.4 Oxidation State......................................................................................................... 15-2
15.5 Specific Gravity ....................................................................................................... 15-2
15.6 Grade Capping ......................................................................................................... 15-3
15.7 Compositing ............................................................................................................. 15-4
15.8 Variogram Analysis ................................................................................................. 15-4
15.9 Grade Estimation ..................................................................................................... 15-5
15.9.1 Model Validation ....................................................................................... 15-5
15.10 Resource Classification ............................................................................................ 15-6
15.11 Cut-off Grade ........................................................................................................... 15-6
Apex Silver Mines Corporation iii

15.12 Resource Statement .................................................................................................. 15-7
15.13 Mineral Resource Sensitivity ................................................................................... 15-7
16 OTHER RELEVANT DATA AND INFORMATION (ITEM 20) ..................................... 16-1
17 INTERPRETATION AND CONCLUSIONS (ITEM 21) .................................................. 17-1
17.1 Field Surveys ........................................................................................................... 17-1
17.2 Analytical and Testing Data..................................................................................... 17-1
17.3 Exploration Conclusions .......................................................................................... 17-1
17.4 Resource Estimation ................................................................................................ 17-1
18 RECOMMENDATIONS (ITEM 22) .................................................................................. 18-1
18.1 Recommended Work Programs and Costs .............................................................. 18-1
19 REFERENCES (ITEM 23) .................................................................................................. 19-1
20 GLOSSARY ........................................................................................................................ 20-1
20.1 Mineral Resources and Reserves ............................................................................. 20-1
20.1.1 Mineral Resources ..................................................................................... 20-1
20.1.2 Mineral Reserves ....................................................................................... 20-1
20.2 Glossary ................................................................................................................... 20-2

List of Tables
Table 1: Resource Statement, Yaxtch Deposit, as of December 31, 2008 ....................................... IV
Table 1.3.1: Key Project Personnel................................................................................................... 1-3
Table 2.2.1: Exploration and Exploitation Concessions at El Quevar .............................................. 2-3
Table 2.3.1: Exploration Projects with Mineralized Zones .............................................................. 2-4
Table 2.4.1: Details of the Purchase Option and JV Agreements ..................................................... 2-6
Table 5.2.1.1: Simplified Paragenetic Sequence for the Hydrothermal Phases ................................ 5-3
Table 5.2.1.2: Hydrothermal Phases Related to Geological Evolution of the Project Area ............. 5-3
Table 9.1.1: El Quevar Drilling by Program and Contractor ............................................................ 9-1
Table 10.4.1: Summary of Relevant Samples, Excluding Yaxtch* .............................................. 10-2
Table 11.4.1: Standards Used in the El Quevar QA/QC Program .................................................. 11-3
Table 11.4.2.1: Summary of Quarter Core Duplicates ................................................................... 11-4
Table 11.4.2.2: Percentage of Quarter Core Duplicate Assays* ..................................................... 11-4
Table 11.4.2.3: Summary of Coarse Duplicates ............................................................................. 11-4
Table 11.4.2.4: Percentage Coarse Duplicate Assays * .................................................................. 11-5
Table 11.4.2.5: Summary of Pulp Duplicates ................................................................................. 11-5
Table 11.4.2.6: Percentage Pulp Duplicate Assays* ....................................................................... 11-5
Table 11.4.3.1: Results of Standard Sample Analysis .................................................................... 11-6
Table 14.1.1.1: Composite Head Analysis ...................................................................................... 14-1
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Table 14.1.2.1: Test Results from Whole Ore Leaching ................................................................ 14-2
Table 14.1.2.2: Test Results from Selective Silver Flotation ......................................................... 14-2
Table 14.1.2.3: Test Results from Silver and Bulk Sulfide Flotation ............................................. 14-3
Table 14.1.2.4: Test Results from Flotation Tailings Cyanidation ................................................. 14-3
Table 14.1.2.5: Combined Silver Recovery from Flotation and Tailings Cyanidation .................. 14-4
Table 14.1.2.6: Summary of Test Results on El Quevar Sample Composites ................................ 14-4
Table 15.3.1: Statistics of Raw Silver Assay Intervals within the Yaxtch Grade Shell ............... 15-2
Table 15.4.1: Raw Silver Assay Statistics by Oxidation Type ....................................................... 15-2
Table 15.5.1: Specific Gravity Statistics ......................................................................................... 15-3
Table 15.6.1: Statistics of Capped Silver Assay Intervals within the Yaxtch Grade Shell ........... 15-4
Table 15.7.1: Statistics of Silver Composite Intervals within the Yaxtch Grade Shell ................ 15-4
Table 15.8.1: Silver Variogram Parameters .................................................................................... 15-4
Table 15.9.1: El Quevar Block Model Limits ................................................................................. 15-5
Table 15.9.2: El Quevar Grade Estimation Parameters .................................................................. 15-5
Table 15.9.1.1: Comparison of Kriged and Nearest Neighbor Estimations ................................... 15-6
Table 15.12.1: Resource Statement, Yaxtch Deposit, as of December 31, 2008 .......................... 15-7
Table 15.13.1: Tonnage and Grade of Indicated Resource by Cut-off ........................................... 15-7
Table 15.13.2: Tonnage and Grade of Inferred Resource by Cut-off ............................................. 15-8
Table 20.2.1: Glossary .................................................................................................................... 20-2
Table 20.2.2: Abbreviations ............................................................................................................ 20-3

List of Figures
Figure 2-1: Location Map of El Quevar Project ............................................................................... 2-8
Figure 2-2: Exploration and Exploitation Concessions of El Quevar Project .................................. 2-9
Figure 2-3: Three Areas of Exploration Focus at El Quevar Project .............................................. 2-10
Figure 5-1: Regional Geology of the El Quevar Project ................................................................... 5-5
Figure 5-2: Local Geology of the El Quevar Project ........................................................................ 5-6
Figure 5-3: Representative Section through the Yaxtch Structural Trend ...................................... 5-7
Figure 9-1: Drillhole Location Map .................................................................................................. 9-3
Figure 11-1: Duplicate QA/QC Samples ........................................................................................ 11-8
Figure 11-2: Standard Samples GBM ............................................................................................. 11-9
Figure 11-3: Standard Samples STD 1-6 ...................................................................................... 11-10
Apex Silver Mines Corporation v

Figure 14-1: Whole Ore Leach Kinetics ......................................................................................... 14-6
Figure 14-2: Leach Kinetics for Flotation Tailings Cyanide .......................................................... 14-7
Figure 15-1: Yaxtch Drillhole Location Map ............................................................................... 15-9
Figure 15-2: Grade Shell Plan View ............................................................................................. 15-10
Figure 15-3: Grade Shell Oblique View, Looking West .............................................................. 15-11
Figure 15-4: Grade Shell Cross-section Looking West ................................................................ 15-12
Figure 15-5: Location Map Specific Gravity samples .................................................................. 15-13
Figure 15-6: Specific Gravity Plot for Breccia Samples .............................................................. 15-14
Figure 15-7: Specific Gravity by Oxidation State ........................................................................ 15-15
Figure 15-8: Probability Plot of Silver Assays ............................................................................. 15-16
Figure 15-9: Block Model Cross Section, Looking West ............................................................. 15-17
Figure 15-10: Block Model Elevation 4795 ................................................................................. 15-18
Figure 15-11: Swath Plots Block Model vs. Composites ............................................................. 15-19
Figure 15-12: Grade Tonnage Curve Indicated and Inferred Resources ...................................... 15-20

List of Appendices
Appendix A
Certificate of Author

Apex Silver Mines Corporation I

Summary (Item 3)
Apex Silver Mines Corporation (Apex Silver or the Company), a subsidiary of Apex Silver
Mines Limited, has engaged SRK Consulting (US), Inc. (SRK) to prepare a Technical Report
for the El Quevar Project (El Quevar or the Project) to meet the requirements of Canadian
National Instrument 43-101 (NI 43-101). This report reflects the most recent resource based
on drill data produced between 2006 and 2008. Apex Silver has been exploring the Project since
acquiring exploration rights to El Quevar in 2004.
Property Description and Location
El Quevar is located in the Argentine Republic (Argentina), in the Northwest geographic
region of the Puna/Altiplano. The Project is approximately 300km west-northwest of the
provincial capital city of Salta in the western part of Salta province.
The Project is accessed from Salta by following National Road 51 (NR51) to the turn off to
Provincial Road 27 (PR27) for approximately 226km (Figure 2-1). From Salta to San Antonio
de los Cobres NR51 is 166km of paved road and beyond San Antonio de los Cobres to
Provincial Road 27 (PR27), NR51 is a well-maintained gravel road. At the intersection
between NR51 and PR27, El Quevar is accessed by traveling south for approximately 30km and
then east on the access road for 15km.
Ownership
El Quevar includes 10 exploitation concessions totaling 14,622.32ha and six exploration
concessions totaling 50,365.28ha. A total canon payment of US$37,750 was assessed for the
exploitation concessions in 2008, and all annual payment canons for the exploitation concessions
are current. Apex Silver through its subsidiary Silex Argentina S.A. (Silex) controls all
exploration concessions at El Quevar.
Surface rights are owned and administered by Salta province, and as a result there are no
required agreements for access and in this area, no existing infrastructure limiting exploration
activities. Apex Silver, through its subsidiary Silex, acquired the first two exploitation
concession at El Quevar (Quirincolo I and Quirincolo II) in 2004 and began exploration on these
two concessions at that time. In 2006, Apex Silver formed a joint venture (JV) agreement with
Hochschild Mining PLC (Hochschild) and its subsidiary Minera Hochschild Argentina
(Minera Hochschild) expanding the Project to include five additional exploitation concessions.
Since then, nine more concessions have been added to the Project through property purchase
from Mansfield Minerals, Inc. and purchase option agreements with Saravia Carlos Alberto and
Salta Exploraciones S.A. (SESA). Apex Silver and Hochschild have recently formed the
company Minera El Quevar, S.A. (Minera El Quevar) to manage the exploitation concessions
with the exception of Viejo Campo. Apex Silver is the operator and holds 65% of Minera El
Quevar.
Viejo Campo, while still part of El Quevar, is currently not included in the JV agreement and is
managed separately by Apex Silver. Apex Silver has recently entered into an agreement with
SESA regarding Viejo Campo and can earn a 60% interest in the property after a US$600,000
payment to SESA and a US$1,000,000 investment in Veijo Campo.
Apex Silver Mines Corporation II

Geology and Mineralization
El Quevar is interpreted as an intermediate sulfidation (IS) to high sulfidation (HS)
epithermal deposit associated with caldera collapse, stratovolcano formation and development of
dacitic domes. These types of deposits form under acidic, oxidizing conditions within 1km of
the surface and between 150 and 250C. They are often associated with silicic to intermediate
volcanic rocks and hot spring deposits, and share similar ages as their host rocks. Host rocks
include andesite, rhyodacite and locally rhyolite. IS and HS epithermal deposits are both
characterized by wallrock replacement, breccias, sulfide disseminations and siliceous vein
filling. Quartz may also have a crustiform texture. Typical alteration assemblages include
advanced argillic, alunite and kaolinite with pyrophyllite deeper in the system. These may be
accompanied by sericite, adularia and chlorite. Gangue minerals include vuggy quartz and silica
as well as barite. Carbonate and selenides are usually absent and manganese minerals are rare in
HS types. However, manganese minerals are more abundant in IS deposits and selenide minerals
may be present locally. Barite is often present in association with gold. Ore mineralogy include
native gold, electrum, gold and silver telluride minerals, bornite, enargite, tennantite, covelite,
chalcopyrite, sphalerite and galena, and epithermal deposits normally show vertical zoning.
Zoning in IS deposits are often characterized by antimony, bismuth and gold anomalies with
some silver values. The boiling zone is marked by high-grade silver and the lower parts of these
systems are richer in lead and zinc. There is typically more copper in these systems than zinc
and lead. This contrasts with HS deposits, which generally are base-metal poor (Guilbert, et al,
1986; Camprub, et al, 2006; Taylor, 2007; Sillitoe, 2008).
At El Quevar, mineralization is related to the formation of El Quevar Volcanic Complex
(CVQ). Silver and base metal mineralization is found in brecciated structural zones, spatially
related to dacitic flows and domes. Within the Project area, exploration models are based on
mapping, drilling and geophysical data collected within the Yaxtch and Copn structural trends
in Quevar Sur. The resource for the Project is within the Yaxtch structural trend.
Mineralization at El Quevar has been deposited in association with vuggy silica in individual
zones averaging 1 to 15cm wide but may reach 1m wide in some areas. Mineralized breccia
occurs as both fault breccia (FBV) and hydrothermal Breccia (BXH) and as open space filling,
disseminations and massive zones and includes the following mineral species:
Sulfosalts: Enargite, tethraedrite, tennantite, bismutite and pyrargirite;
Sulfide minerals: Pyrite, galena and sphalerite;
Sulfate minerals: Plumbojarosite; and
Native silver (Silex Argentina S.A., 2008b).
The Yaxtch structural trend is a structural corridor 750m long and 40 to 150m wide,
characterized by strong to moderate silica and quartz-alunite alteration and bounded by two
faults. At surface, the mineralization branches into three separate structures. The strike is
variable between 090 in the eastern area to 300 in the western area. The structure dips from 70
to 65N at surface and flattens to 45 to 55N at depth (Silex Argentina S.A., 2008b).
Evidence from kinematic indicators suggest that the Yaxtch structural trend could be offset on
both the east and west by 035 faults identified during trench mapping and geophysical surveys.
Apex Silver Mines Corporation III

In addition, argillic alteration mapped at surface in these areas point to potential drilling targets
that could extend the Yaxtch structural trend (Silex Argentina S.A., 2008b).
Exploration
Prior to Apex Silver, five companies engaged in limited exploration at El Quevar between 1970
and 1999. Exploration was conducted at the Project between 1970 and 1995 by Fabricaciones
Militares, BHP-Utah Minerals International and Industrias Peoles, S.A.B. de C.V. Additional
exploration prior to 1995 included excavation of several small pits at Yaxtch and Mani. It is not
known which company or parties completed this work. In 1997 Minera Hochschild, completed a
six hole, reverse circulation (RC) and diamond drilling program in the Mani structural trend
and in 1999, Mansfield Minerals, Inc. collected samples from surface (Silex Argentina S.A.,
2008a).
Apex Silver acquired exploration rights to El Quevar in October 2004. Between October 2004
and August 2006, Apex Silver mapped in the Quevar Sur area at 1:5,000 and 1:10,000 scales. At
this time, various outcrops were sampled. Apex Silver began drilling at the Project in June of
2006 and between 2006 and 2008 has completed 15,506.3m of diamond drilling in 81 drillholes.
In addition a ground based geophysical program was completed between December 2007 and
February 2008 by Quantec Geoscience Argentina S.A. and in late 2007, 24 samples from six
drillholes in the Yaxtch structural zone were submitted to Brockway and Franquesa Consultores
(BFC) for petrographic and reflected light microscopy work. As a follow up to the
petrographic work, 14 of the 24 samples had electron microprobe work to confirmation mineral
species (Silex Argentina S.A., 2006; 2007; 2008a; 2008b).
Resource Estimation and Resource Statement
SRK conducted a resource estimation for the Yaxtch deposit at El Quevar using the data
provided by Apex Silver. Forty-five core holes were drilled in the resource area. The
mineralized breccia trends 090 to 120 and dips 50 to the north. Silver exhibits a zonation
within the breccia with higher grades at the margins and a sharp contact with the host rock.
Within the mineralized breccias, the central core tends to have low silver values. SRK
constructed a grade shell at 10g/t silver to constrain the resource estimation. Assays were
composited into 2m intervals from the top of the hole with a break at the grade shell boundaries.
Silver grades were estimated with ordinary kriging using only composites within the grade shell.
To further define waste blocks within the grade shell, indicator kriging with a 25g/t silver
discriminator was conducted. Blocks with an indicator value less than 0.5 were considered waste
and not included in the resource statement.
The resources for the Yaxtch deposit as of December 31, 2008 are shown in Table 1.

Apex Silver Mines Corporation IV

Table 1: Resource Statement, Yaxtch Deposit, as of December 31, 2008
Source Class Cut-off kt Ag g/t Ag koz
Oxide
Indicated 85 304 168 1,644
Inferred 85 94 259 784
Mixed
Indicated 120 156 237 1,192
Inferred 120 5 322 50
Sulfide
Indicated 120 939 197 5,954
Inferred 120 7 202 46
Total
Indicated 1,399 195 8,790
Inferred 106 258 881

Conclusions and Recommendations
Conclusions
Apex has undertaken exploration at El Quevar using a systematic approach and according to
industry best practices. Several target areas have been identified based on the presence of
outcropping mineralized breccia. Typically, target exploration was initiated with mapping and
sampling, followed by trenching and sampling to define drill targets. All drilling is HQ and NQ
sized core. Apex Silver has established procedures to ensure that data is collected in a
systematic manner, and have ensured that appropriate QA/QC protocols have been implemented.
Samples have been analyzed by Alex Stewart in Mendoza and ALS Chemex in Mendoza and La
Serena, Chile. Both of these laboratories are local facilities of international laboratories. Apex
Silver is using appropriate sample preparation and analytic procedures for this type of
mineralization and has a proper laboratory QA/QC program in place.
The Quevar project covers an area of about 20km x 30km with excellent exploration potential.
Apex Silver has been conducting exploration for the past four years in a systematic and thorough
manner and identified several targets in Quevar Sur on which they have conducted drilling. The
exploration practices adopted by Apex Silver meet or exceed industry best practices.
Recommendations
Apex Silver has been conducting exploration at Quevar over the last four years in a systematic
manner. The Yaxtch trend has received the most drilling to date and a resource has been
estimated for that area. It appears that the western extension has been offset by faulting and the
eastern extension has not yet been limited by drilling. In addition, several other targets have
been defined in surface mapping and sampling programs and in a recent reinterpretation of
geophysical data.
SRK recommends that following work programs at El Quevar:
Conduct additional specific gravity tests on the half core archived at the Quevar site to
obtain more data for Yaxtch especially on material within the grade shell. This work
can be performed during the ongoing exploration program at an estimated cost of
US$5,000;
Perform check analyses at ALS Chemex on the pulps originally analyzed by Alex
Stewart prior to initiation of the QA/QC program. These samples should also include
blank and standard reference samples. It is also recommended that pulps originally
Apex Silver Mines Corporation V

analyzed at ALS Chemex should be checked at Alex Stewart. Approximately 10% of the
pulps should have check analyses performed, or about 200 samples. It is estimated that
the cost would be approximately US$10,000;
Continue exploration at Quevar, specifically to;
o Explore the west and east extensions of Yaxtch,
o Test geophysical targets generated from the new interpretation in 2008, and
o Define further drill targets through continued surface mapping and sampling.
It is recommended that the drilling program start with approximately 1,500m of drilling at
Yaxtch followed by an evaluation of the results and a follow up program. The cost of this
program is US$600,000.

Apex Silver Mines Corporation 1-1

1 Introduction (Item 4)
Apex Silver Mines Corporation (Apex Silver or the Company), a subsidiary of Apex Silver
Mines Limited, has engaged SRK Consulting (US), Inc. (SRK) to prepare a Technical Report
for the El Quevar Project (El Quevar or the Project) to meet the requirements of Canadian
National Instrument 43-101 (NI 43-101). El Quevar is located approximately 300km by paved
and unpaved roads west-northwest of the city of Salta in the western part of Salta province,
Argentine Republic (Argentina). This report reflects the most recent resource based on drill
data produced between 2006 and 2008. Apex Silver has been exploring the Project since
acquiring exploration rights in 2004.
The Company was founded in 1993 as a mining, exploration and development company focusing
on traditional silver producing regions in Latin America. The main objective of Apex Silver is to
become a significant producer of silver, lead and zinc. To this end, the Company acquires
properties that have exploration and development potential and divests those properties that are
not of continuing interest.
Apex Silver, through its subsidiary Silex Argentina S.A. (Silex), acquired the first two
exploitation concession at El Quevar (Quirincolo I and Quirincolo II) in 2004 and began
exploration on these two concessions at that time. In 2006, Apex Silver formed a joint venture
(JV) agreement with Hochschild Mining PLC (Hochschild) and its subsidiary Minera
Hochschild Argentina (Minera Hochschild) expanding the Project to include five additional
exploitation concessions. Since then, nine more concessions have been added to the Project
through property purchase from Mansfield Minerals, Inc. and purchase option agreements with
Saravia Carlos Alberto and Salta Exploraciones S.A. (SESA). Apex Silver and Hochschild
have recently formed the company Minera El Quevar, S.A. (Minera El Quevar) to manage the
exploitation concessions with the exception of Viejo Campo. Apex Silver is the operator and
holds 65% of Minera El Quevar. To maintain this position, Apex Silver must complete a
feasibility study by 2010 and begin production within another 2 years (2012).
Viejo Campo, while still part of El Quevar, is currently not included in the JV agreement and is
managed separately by Apex Silver. Apex Silver has recently entered into an agreement with
SESA regarding Viejo Campo and can earn a 60% interest in the property after a US$600,000
payment and a US$1,000,000 investment.
All exploration concessions will continue to be managed by Apex Silver. Property agreements
are discussed in detail in Section 2.
1.1 Terms of Reference and Purpose of the Report
This report is intended to provide Apex Silver with an independent resource review and technical
report that follows existing regulations in Canada. The report meets the requirements for NI 43-
101 and conforms to Form 43-101F1 for technical reports.
Resource and Reserve definitions are as set forth in the Appendix to Companion Policy 43-101
CP, Canadian Institute of Mining, Metallurgy and Petroleum Definitions Adopted by CIM
Council, August 20, 2000 (CIM).

1.2 Reliance on Other Experts (Item 5)
1.2.1 Sources of Information
SRKs opinion contained herein is based on information provided to SRK by Apex Silver
throughout the course of SRKs investigations. The sources of information include data and
reports supplied by Apex Silver and Silex personnel as well as documents cited in Section 19.
Much of the information is drawn from four reports:
El Quevar, Argentina-Property Description, Internal Report by Silex Argentina S.A.,
2008;
El Quevar Project, Drilling Campaign Report January-July 2008, Internal Report by Silex
Argentina S.A.;
Proyecto El Quevar, Internal Report 2006, by Silex Argentina S.A.; and
El Quevar Project, Drilling Campaign Report, February-June 2007, Internal Report, by
Silex Argentina S.A.
SRK has relied on information from Apex Silver regarding the validity of its exploration and
mining concessions and has not independently verified their validity. SRK has also relied on
Apex Silver regarding surface ownership of the exploration and mining concessions.
1.3 Qualifications of Consultants (SRK)
The SRK Group is comprised of over 850 staff, offering expertise in a wide range of resource
engineering disciplines. The SRK Groups independence is ensured by the fact that it holds no
equity in any project and that its ownership rests solely with its staff. This permits SRK to
provide its clients with conflict-free and objective recommendations on crucial judgment issues.
SRK has a demonstrated record of accomplishment in undertaking independent assessments of
Mineral Resources and Mineral Reserves, project evaluations and audits, technical reports and
independent feasibility evaluations to bankable standards on behalf of exploration and mining
companies and financial institutions worldwide. The SRK Group has also worked with a large
number of major international mining companies and their projects, providing mining industry
consultancy service inputs.
This report has been prepared based on a technical and economic review by a team of consultants
sourced principally from the SRK Groups Denver, US office. These consultants are specialists
in the fields of geology exploration, mineral resource and mineral reserve estimation and
classification, open pit and underground mining, mineral processing and mineral economics.
Neither SRK nor any of its employees and associates employed in the preparation of this report
has any beneficial interest in Apex Silver or in the assets of Apex Silver. SRK will be paid a fee
for this work in accordance with normal professional consulting practice.
The individuals who have provided input to this technical report, who are listed below, have
extensive experience in the mining industry and are members in good standing of appropriate
professional institutions. Ms. Mach is a Qualified Person for this report and is responsible for all
Sections of this report.
The key project personnel contributing to this report are listed in Table 1.3.1. The Certificate of
Author for Leah Mach is provided in Appendix A.

Table 1.3.1: Key Project Personnel
Name Title Discipline
Leah Mach Principal Resource Geologist Resources
P.J. Hollenbeck Senior Resource Geologist Resources
Dorinda Bair Senior Geologist Geology
Alva Kuestermeyer Associate Metallurgist Metallurgy and Processing

1.3.1 Site Visit
El Quevar was visited by Leah Mach, the QP for this report during the week of November 9,
2008, for four days. During this visit SRK verified drill logs and reviewed core handling,
splitting, logging practices and core facilities. Ms Mach also visited the exploration sites during
the site visit.
1.4 Units of Measure
Metric units are used throughout this report, except where otherwise stated.
1.5 Effective Date
The effective date of this Technical Report is January 31, 2009. The effective date of the
resource estimate is December 31, 2008; the data used in the resource estimation was produced
between 2004 and 2008.


2 Property Description and Location (Item 6)
2.1 Property Location
El Quevar is located in Salta Province, Argentina in the Northwest geographic region on the
Puna/Altiplano. The Project is northwest of Salta, the provincial capital, and accessed by
approximately 300km of paved and unpaved roads. El Quevar is 90km by road from San
Antonio de los Cobres and 15km east of the village of Salar de Pocitos. Salar de Pocitos is the
nearest inhabited location with a population of 150 people. Both the Project and Salar de Pocitos
are within the San Antonio de los Cobres municipality. The Project is located between
geographic coordinates 241100S, 670100S and 242825S, 664120S and at an average
elevation of 4,700m above sea level (masl). El Quevar lies entirely within La Reserva Natural
Los Andes. This reserve is multi-use and classed as Categora de Manejo de Uso Mltiple VIII,
which allows production/extraction activities including mining and exploration. The reserves
main purpose is for the preservation of vicua. Project location is shown in Figure 2-1.
2.2 Mineral Titles
Argentina is a federal republic, composed of 23 provinces and one autonomous city, the capital
Buenos Aires. Argentina has Federal, Provincial and Municipal governments with input into
mining regulation. The National Mining Code regulates mining activities in Argentina and is
administered by the Federal government. However, natural resources are owned by individual
provinces, which regulate the mining law within their boundaries. This includes granting
concessions and enforcing compliance through regular investigations by inspectors (Silex
Argentina S.A., 2008).
There are four types of properties that include three different exploration concessions and mines
or exploitation concessions.
Cateo or claim (exploration concession);
An air survey permit (exploration concession);
An underground survey (exploration concession); and
Minas or mines, which is an exploitation concession (Godoy, 2007).
All concessions are granted by the regulating province either by a judicial or administrative
decision. Exploration concessions are essentially paper locations while exploitation concessions
must be surveyed with monuments placed at the corners (Silex Argentina S.A., 2008).
In Salta province, all concessions are granted by a judge in the Mining Court. Each property is
recorded by number in the Mining Court registry, and each property has its own judicial file. In
addition, the Mining Secretariat records the property in the Registro Grfico (Land Register
Office) and adds the property to a digital map of the area. Should an exploration concession be
submitted for change to an exploitation concession, it must be surveyed prior to granting the
exploitation concession. The survey must be conducted according to specific procedures and
requirements as defined by law, and must include the participation of the mining office
authorities (Godoy, 2007; Silex Argentina S.A., 2008).
In exploration concessions, the air and underground surveys are seldom used in favor of cateos.
In all cases, exploration concessions are granted for a limited surface area and period of time.

These concessions are divided into surface units of 500ha and each concession can have a
maximum of 20 units or 10,000ha. A 500ha exploration concession can be held for 150 days and
for every additional unit of 500ha the time increases by 50 days. The maximum is a 1,100 day
term for a 10,000ha concession. During this time, total hectares must be reduced incrementally
at 300 days and 700 days after the exploration concession is granted unless the concessionaire
declares the property to be a mine and applies for an exploitation concession (Godoy, 2007; Silex
Only 20 exploration concessions or 200,000ha can be held by a single legal entity or individual
per province. Exploration concessions have a one-time canon payment, which is variable from
year to year and fixed for a given year by the National Ministry of Economy. Landowners
within the concession must be notified and cannot oppose the concession but can request a bond
from the concessionaire. Exploration activities cannot be conducted near crops and gardens,
buildings and facilities and requires acceptance by the property owner. An exploration plan must
be filed and followed for the associated concession, and failure to do so may result in termination
of the concession. Prior to any activities, an environmental report must be filed with, and
approved by, the provincial mining authority. Additional environmental reports are required on
a bi-annual basis while the exploration concession is valid. On expiration of the exploration
concession, all data and documentation from the activities must be filed with the provincial
mining authority. In addition to this, exploration cannot be conducted near cemeteries,
infrastructure including roads, pipelines and railroads, public water or any public facilities
(Godoy, 2007; Silex Argentina S.A., 2008).
Exploitation concessions are granted if any mineral discovery is made either by the
concessionaire or third parties within the area and term of the concession. Exploitation
concessions have payments that are fixed annually by the National Ministry of Economy. There
are no fixed time limits associated with exploitation concessions but duration can be affected by
the following three conditions:
Timely payment of annual fees;
An appropriate and reasonable capital investment; and
Continuous workflow.
El Quevar falls within the jurisdiction of the Salta Province. The Project includes 10 exploitation
concessions totaling 14,622.32ha and six exploration concessions totaling 50,365.28ha. A total
canon payment US$37,750 was assessed for the exploitation concessions in 2008, and all annual
payment canons for the exploitation concessions are current. All exploration and exploitation
concessions are listed in Table 2.2.1 and shown in Figure 2-2. SRK did not review the validity
of the claims.


Table 2.2.1: Exploration and Exploitation Concessions at El Quevar
Expedient
No. Property
No. of
Hectares
Type of
Concession Owner
Presentation
Date
Date Granted
by The Mining
Court of Salta
Concessions
(days)
Expiration
Date
Annual
Payment
Canon Status
18036 Quirincolo I 3,500.00 Exploitation Silex 22-Dec-04 03-Jun-05 - - 8,750 Paid and in good standing
18037 Quirincolo II 3,500.00 Exploitation Silex 22-Dec-05 03-Jun-05 - - 8,750 Paid and in good standing
3902 Castor 203.58 Exploitation
SESA 50%/Minera
Hochschild 50% 21-Aug-61 19-Dec-05 - - 1,000
Paid and in good standing
17114 El Quevar II 329.08 Exploitation SESA 01-Sep-04 Title - - 1,000 Paid and in good standing
1578 Vince 44.72 Exploitation Minera Hochschild 22-May-89 07-Aug-96 - - 125 Paid and in good standing
1542 Armonia 17.90 Exploitation Minera Hochschild 08-Feb-86 26-Jul-04 - - 50 Paid and in good standing
12222 Quespejahuar 18.00 Exploitation Minera Hochschild 01-Feb-85 02-Feb-04 - - 75 Paid and in good standing
18332 Toro I 436.60 Application for Exploitation Minera Hochschild 13-Feb-06 In Progress - - 1,250 No canon payment until 2
semester of 2009
18359 Nevado I 2,161.39 Application for Exploitation Saravia Carlos Alberto 27-Mar-06 19-Oct-06 - - 5,500 No canon payment until 2
semester of 2009
18745 Quevar I 7,975.45 Exploration Silex 25-Apr-07 07-Mar-08 850 07-Aug-10 - Paid and in good standing
18784 Quevar III 9,991.26 Exploration Silex 16-May-07 12-Mar-08 1100 20-Apr-11 - Paid and in good standing
18786 Quevar IV 9,968.46 Exploration Silex 16-May-07 12-Mar-08 1100 30-Apr-11 - Paid and in good standing
18785 Quevar V 6,500.30 Exploration Silex 16-May-07 12-May-08 750 03-Jul-10 - Paid and in good standing
19136 Quevar VI 6,987.05 Exploration Silex 28-Feb-08 05-Dec-08 800 20-Mar-11 - Paid and in good standing
19195 Quevar VII 8,942.76 Exploration Silex 29-Apr-08 In Progress - - - Paid and in good standing
18079 Viejo Campo 4,411.05 Application for Exploitation SESA
In Progress - - 11,250
No canon payment until 1
semester of 2011
Subtotal El Quevar (ha) 64,987.60 Subtotal Annual Canon 37,750
*Source: Silex Argentina S.A. 2009


2.3 Location of Mineralization
Apex Silver controls a large concession area in a highly prospective part of Salta province.
Mineralization has been identified on most of its concessions, and exploration by other
companies is ongoing on adjacent properties. El Quevar covers 64,987.60ha of exploration and
exploitation concessions with many promising areas of mineralization. Of these, there are three
focused areas of exploration (Figure 2-3):
Quevar Sur;
Quevar Norte; and
Viejo Campo.
Quevar Sur is the area of most intense exploration and contains the Quevar resource. The
mineralization associated with the resource is located at the center of the concession block and
this resource lies entirely within the Armonia exploitation concession number 1542 on land
controlled by Apex through a JV agreement with Hochschild. This agreement is discussed in
Section 2.4. The resource is located in the Yaxtch structural trend, which extends onto adjacent
concessions controlled by the JV or under purchase agreement with the JV or Apex Silver and
other companies. All exploration concessions are 100% owned and controlled by Apex Silver
through its subsidiary Silex. Two exploitation concessions are 100% owned by Apex through
Silex, with the remaining eight exploitation concessions part of JV agreements and royalties as
discussed in Section 2.4. Mineralized zones at El Quevar are listed in Table 2.3.1.
Table 2.3.1: Exploration Projects with Mineralized Zones
Quevar Sur Quevar Norte Viejo Campo
Yaxtch structural trend (Resource area) North Breccia Main structure
Yaxtch Northeast Tetera Breccia QZ Veins
Yaxtch East Black structure Breccias
Mani structural trend Oriental Breccia Brecciated Veins
Copn structural trend Ailapuna Breccia
Argentina Breccia

2.4 Royalties, Agreements and Encumbrances
Surface rights are owned and administered by Salta province, and as a result there are no
required agreements for access and in this area there is no existing infrastructure limiting
exploration activities. Apex Silver, through its subsidiary Silex, acquired the first two
exploitation concession at El Quevar (Quirincolo I and Quirincolo II) in 2004 and began
exploration on these two concessions at that time. In 2006, Apex Silver formed a JV agreement
with Hochschild and its subsidiary Minera Hochschild expanding the Project to include five
additional exploitation concessions. Since then, nine more concessions have been added to the
Project through property purchase from Mansfield, and purchase option agreements with Saravia
Carlos SESA.
As part of the JV agreement Apex Silver holds a 65% interest and manages El Quevar. To
maintain this position, Apex Silver must expend US$1 million by May 22, 2009, complete a
feasibility study by 2010 and begin production within an additional 2 years (2012). Apex Silver
has fulfilled the expenditure of US$1,000,000 as part of this agreement.

Apex Silver and Hochschild have recently formed the company Minera El Quevar to manage the
exploitation concessions with the exception of Viejo Campo. Minera El Quevar is 65% held by
Apex Silver and 35% held by Hochschild. Viejo Campo and the exploration concession will
continue to be managed by Apex Silver.
Viejo Campo, while still part of El Quevar, is currently not included in the JV agreement with
Hochschild. This concession is under an agreement between SESA and is managed separately
by Apex Silver. Under the terms of the agreement, Apex Silver can earn a 60% interest in the
property after a US$600,000 payment and a US$1,000,000 investment. After the initial payment
and investment, Apex Silver can do one of the following:
Elect to form a JV with Apex Silver as the Operator of Viejo Campo holding a 60%
interest and SESA holding the remaining 40% interest; or
Elect to acquire an additional 20% interest in Viejo Campo for a total of an 80% interest
by initiating a feasibility study at Viejo Campo within three years from the exercise of the
call option.
Should Apex Silver choose to form a JV with SESA, Apex Silver must make a one-time cash
payment of US$250,000 within 30 days of this decision to the SESA. In addition, with the
formation of any JV, SESA has 90 days to agree to enter into the JV or to convert its 40%
interest into either:
3% NSR (the First NSR) on precious metal from Viejo Campo; or,
1% NSR (the Second NSR) on the remaining metals from Viejo Campo.
Should SESA elect to exchange its 40% interest for the NSR's discussed above, Apex Silver
have the right to purchase 50% of the First NSR for US$2,000,000 and 50% of the Second NSR
for US$1,000,000 within the first 3 years of commercial production.
To maintain these call options for the foreseen term of three years after the beginning of the
production, Apex Silver must make an annual payment of US$100,000 to SESA. This will be
allocated to the final price of the call option if Apex Silver exercises it within three years.
Table 2.4.1 shows the details of the purchase option and JV agreements.


Table 2.4.1: Details of the Purchase Option and JV Agreements
Expedient
No. Property Owner Type of Contract
Effective
Date
Duration of
Contract
Payments
Due Date NST
Investment
Expiration
Date
Advances Report
Due Date Amount US$ Expiration Date Amount US$
Expiration
Date Date
3902 Castor
Sesa
Exploration 16-Mar-06 5 years On the Effective Date 25,000 16-Mar-06 1% 6 months 16-Sep-06
17114 El Quevar II Contract 16-Mar-06 16-Mar-11 6 months after the ED 25,000 16-Sep-06 12 months 16-Mar-07
(w/a Purchase 12 months after the ED 50,000 16-Mar-07 18 months 16-Sep-07
option right) 24 months after the ED 100,000 16-Mar-08 24 months 16-Mar-08
36 months after the ED 200,000 16-Mar-09 30 months 16-Sep-08
48 months after the ED 500,000 16-Mar-10 36 months 16-Mar-09
60 months after the ED 1,100,000 16-Mar-11 42 months 16-Sep-09
48 months 16-Mar-10
54 months 16-Sep-10
Total 2,000,000 60 months 16-Mar-11
3902
Castor
MH Argentina
S.A.
JV
22-May-06

1st Exploration
Year
250,000
22-May-07 6 months 22-Nov-06
1578 Vince
22-May-06
2nd Exploration
Year
250,000
22-May-08 12 months 22-May-07
1542 Armonia
22-May-06

3rd Exploration
Year
500,000
22-May-09 18 months 22-Nov-07
12222 Quespejahuar 24 months 22-May-08
18332 Toro I 30 months 22-Nov-08
Total 1,000,000 36 months 22-May-09
18359 Nevado I
Saravia Carlos
Alberto
Exploration 22-Jun-07 5 years On the Effective Date 30,000 22-Jun-07
Contract 22-Jun-12 6 months after the ED 30,000 22-Dec-07
(w/a Purchase 12 months after the ED 80,000 22-Jun-08
option right) 24 months after the ED 100,000 22-Jun-09
36 months after the ED 200,000 22-Jun-10
Total 1,490,000
*Source: Silex Argentina S.A. 2009


Should El Quevar go into production a 3% NSR royalty will be paid to Salta province, a 1%
NSR royalty will be paid to SESA for any production from the Quevar II concession and 50% of
the Castor concession under purchase option with SESA. The Viejo Campo NSR is discussed
above. Should there be any production from Nevado I, a 1% NSR royalty will also be paid to
Saravia Carlos Alberto.
Within the concession block are 22 perlite quarries. Ownership of these quarries is listed in
Section 13. Access across land controlled by Apex is granted by the province and can only be
contested if access impinges on exploration or mining activities. Currently there are no
agreements or objections to activities being conducted either by the perlite quarry operators or
Apex Silver in the concession area concerning surface access.
2.5 Environmental Liabilities and Permitting
There are no environmental liabilities associated with the Project. El Quevar lies entirely within
La Reserva Natural Los Andes a multi-use area classed as Categora de Manejo de Uso Mltiple
VIII, which allows production/extraction activities including mining and exploration. The
reserves main purpose is for the preservation of vicua. As a requirement of exploration
activities on province land, the concessionaire must complete an Environmental Information
Report (EIR) for the concession prior to any activities and must submit a new report every two
years. There are three levels of permitting:
Prospecting requiring an EIR Stage 1;
Drilling and Exploration requiring an EIR Stage 2; and
Production requiring an EIR Final Stage.
At this time, all 17 concessions are permitted for exploration. SRK has not reviewed the
exploration permits.
SRK J ob No.: 182801
File Name: Figure 2-1.doc Date: 01/30/09 Approved: LM
Figure: 2-1

El Quevar,
Salta Province, Argentina

Source: Silex Argentina, S.A., 2008
El Quevar Project
Location Map

SRK Job No.: 182801
File Name: Figure 2-2.docx Date: 2/2/2009 Approved: DKB
Figure: 2-2

El Quevar,

Source: Silex Argentina, S.A.,
2008; Modified by SRK, 2009
Exploration and Exploitation
Concessions of
El Quevar Project
SRK Job No.: 182801
File Name: Figure 2-3.docx Date: 2/2/2009 Approved: DKB
Figure: 2-3

El Quevar,

Source: Silex Argentina, S.A.,
2008; Modified by SRK, 2009
Three Areas of
Exploration Focus at
El Quevar Project

3 Accessibility, Climate, Local Resources,
Infrastructure and Physiography (Item 7)
3.1 Topography, Elevation and Vegetation
El Quevar is located in an east-west oriented valley immediately west of Nevado de Pastos
Grandes, a 6,130m peak, and east of the salt flat, Salar de Pocitos. Relief within the concession
block ranges from low in the resource area to moderate and high near Viejo Campo on the flanks
of Nevado de Pastos Grande. Elevations range from 4,300m to 5,200m in the mineralized zones.
The Project camp facilities are located 10km west of the resource area where the valley opens
onto a large alluvial fan. Elevation at the camp is 3,700m.
The Project is within the Domino Andino-Patagnico (Andean-Patagonian Domain) bio-
geographical province of Argentina. In Argentina, this province parallels and includes the Andes
Mountains from north to south and extends from the mountains across Chile to the Atlantic
Ocean at approximately 45S latitude. The Andean-Patagonian Domain is dominated by mineral
soils consistent with arid, low-moisture environments showing no diagnostic horizon
development. Classified as aridisols and entisols, these soils support limited vegetation
characteristic of steppe climates adapted to harsh conditions and include grasses and low
growing woody plants. In the driest, rocky areas vegetation disappear completely (Vector
3.2 Climate and Length of Operating Season
The climate is characteristic of high mountain environments. The weather is extremely dry and
ranges from polar conditions on the higher mountain peaks to arid steppe environments at the
valley floors. Most precipitation falls between November and March as heavy rains, hail and
snow. Total precipitation is variable and can range from 50mm in dry years to 200mm during
wetter years. Temperatures during the winter months vary from 10C day during the day to -
25C at night. During the summer months, temperatures in the daytime can reach 25C falling to
-5 C night at night. The operating season is year round at the Project (Vector Argentina S.A.,
2008).
3.3 Physiography
El Quevar lies in the physiographic region of the Puna Block and extension of the Bolivian
Altiplano which is marked by high plateaus and broad valleys flanked by even higher mountains.
The median elevation of the Puna in this area is 3,800m. There is 2,470m of vertical relief from
the Salar de Positos to the peak of Nevado de Pastos (Vector Argentina S.A., 2008).
3.4 Access to Property
The Project is accessed from Salta by following National Road 51 (NR51) to the turn off to
Provincial Road 27 (PR27) for approximately 226km (Figure 2-1). From Salta to San Antonio
de los Cobres NR51 is 166km of paved road and beyond San Antonio de los Cobres to
Provincial Road 27 (PR27), NR51 is a well-maintained gravel road. At the intersection
between NR51 and PR27, El Quevar is accessed by traveling south for approximately 30km and
then east on the access road for 15km.

3.5 Surface Rights
Surface rights at El Quevar are controlled and administered by Salta Province. There are no
required agreements for access and no existing infrastructure limiting exploration activities.
3.6 Local Resources and Infrastructure
Salar de Pocitos, a village of 80 people, is approximately 18km west of El Quevar and the
nearest permanent habitation to the Project area. San Antonio de los Cobres supports a
population of approximately 4,200 people and is located 100km from the Project. Salar de
Pocitos has a first aid facility and San Antonio de los Cobres has a hospital with a Level II rating.
Salta, located just under 300km to the east, is a large city with approximately 465,000 people.
Salta has a major airport and provides the primary support for the Project (Vector Argentina
S.A., 2008a).
The area is a remote, rural setting with the chief economy related to animal husbandry and
exploration and mining support. The local population follows a traditional subsistence lifestyle
of growing limited crops, raising camelids, sheep and cattle and producing woolen articles for
sale (Vector Argentina S.A., 2008a).
3.6.1 Access Road and Transportation
El Quevar is connected to Salta by approximately 300km of well-maintained gravel and paved
roads. A railway connecting Salta, Argentina and Antofagasta, Chile is within 5km of the
Project area. This railway is currently undergoing maintenance and restoration. It is a
government owned railway and the government estimates that service along the line will be
restored in 1 to 2 years (Vector Argentina S.A., 2008a).
3.6.2 Power Supply
There is currently no external electric power to El Quevar. The camp is powered by two
275kVA diesel, Caterpillar generators. A 354kVA, high-tension power line passes
approximately 30km north of El Quevar resource area and within 10km of the concession block.
This power line runs between Argentina and Chile, approximately 409km. and is owned by
Termo Andes (Silex Argentina, S.A., 2008a; Mercado, 2009).
In addition, a high-pressure gas pipeline has been constructed by Salta Province to support
mining operations on the Puna. This pipeline is located 5km from the resource area and passes
through the concession block controlled by Apex. This pipeline is 185km long and extends from
Burras River, through San Antonio de los Cobres and ending in Salar de Pocitos Station. This is
a six inch line with a capacity of 210,000m
3
/day (Silex Argentina, S.A., 2008a; Mercardo, 2009).
3.6.3 Water Supply
Water for camp use is pumped from a well located at the camp. This well is approximately
100m deep. The maximum capacity of this well is 29m
3
/day (Vector Argentina S.A., 2008a).
Water for future mining activities would be supplied from additional wells.
3.6.4 Camp Site
Apex Silvers camp is located approximately 10km west of the resource area on a large alluvial
fan at 3,700m elevation. This camp is modular and can house 96 people. The four main
buildings include a full kitchen and dining area, offices, supervisors and workers rooms. In

addition, there is a covered core shed, two generator sheds and a small shed over the well
(Vector Argentina S.A., 2008a). \
Should the project become an operating mine, it would be necessary to construct a man camp for
the majority of the mine workers because of the distance from population centers.
3.6.5 Waste Disposal Area
Wastewater from the camp is passed through a system that includes aerobic digestion,
sedimentation and chlorination. After this process, the liquids are sent to an infiltration well for
introduction into the ground. Remaining solids will be stored in sealed containers and
transported to Salar de Pocitos for final disposal (Vector Argentina S.A., 2008a).
Currently, domestic waste is disposed of at Salar de Pocitos and industrial waste is temporarily
stored on site. Future plans include construction of a landfill with an impermeable membrane for
solid, non-industrial disposal and a transfer station for temporary storage for hazardous wastes.
These two areas will be constructed close to the present camp on property controlled by Silex.
Routine maintenance of vehicles is currently conducted in Salta (Vector Argentina S.A., 2008a).
The mining and exploration concessions contain sufficient area for process facilities, tailings and
waste rock disposal should the project become an operating mine.
3.6.6 Manpower
Laborers for exploration are available from the local communities of Salar de Pocitos, San
Antonio de los Cobres and Salta. Geologists are available throughout Argentina. There is a
history of mining in the region and skilled miners are available should the Project become an
operating mine.


4 History (Item 8)
El Quevar is located in an important mining region of Argentina. Between 1930 and 1950, there
was small-scale mining of lead and silver from limited workings but no recorded production.
Limited mining was from the Yaxtch area at the Quespe Jaguar Mine. Most of the mining
activity was at Mani.
An exploitation permit was granted for Castor 3902 in 1961. This exploitation concession has
been split in half and SESA controls one-half while Hochschild controls the other.
The first organized exploration was completed in the 1970s when Fabricaciones Militares
drilled three or four drillholes on the property. The exact number of drillholes is unknown and
no data remains. However, the drillholes were thought to be drilled in Quevar Norte. Later that
same decade, BHP-Utah Minerals International (BHP), a subsidiary of BHP Billiton, drilled
three holes; one in the Mani structural trend and two in the breccia between Mani and Copn
structural trends. There is no data available for this exploration program.
Additional exploration prior to 1995 included excavation of several small pits at Yaxtch and
Mani. It is not known which company or parties completed this work.
During the 1990s, the exploration division of Industrias Peoles, S.A.B. de C.V. (Peoles)
explored the Quevar Sur of the Project area. This was a limited program collecting surface
samples only and no mapping was completed. Analytical results for the sample and exact
sample locations are not available to Apex Silver.
In 1985, 1986 and 1989, Quespejahuar No. 12222, Armonia No. 1542 and Vince No. 1578
respectively were converted to exploitation permits. These are currently held by Minera
Hochschild and explored by Apex Silver as part of the JV agreement.
Minera Hochschild completed a six hole, reverse circulation (RC) and diamond drilling
program in the Mani and west structural trend in 1997. In addition to this work, Minera
Hochschild took surface samples and constructed eight trenches across the Mani structural trend.
Apex Silver has access to this data.
In 1999, Mansfield collected samples from surface and a number of small exploration pits in the
Yaxtch structural trend at Quevar Sur. This data has been provided to Apex Silver.
Quirincolo I 18036 and El Quevar II were converted to exploitation permits in 2004. Quirincolo
I is controlled by Silex while El Quevar II is held by SESA. These are currently explored under
the agreements discussed in Section 2.
Apex Silver started exploration at El Quevar through its subsidiary Silex in 2004. Since then,
four exploration programs have been completed which include 3,000 surface samples and
15,506.3m of core drilling in 81 drillholes.
Quirincolo II 18037 was converted to an exploitation permit in 2005. This exploitation permit is
held by Silex,
4.1 Ownership
Minerals and surface rights belong to the Salta Province, Argentina, and through canon payments
and royalty agreements with the province, companies explore and extract minerals. Past

exploration activities and mining activities have included the following individuals and
companies through agreement with Salta Province:
1930-1950: Artisanal miners extracted silver and lead ore from Mani and Yaxtch
structural trends;
1970s: Fabricaciones Milatares explored Quevar Norte and later that decade, BHP
explored Quevar Sur including the Mani and Copn structural trends;
1990s: Peoles explored Quevar Sur;
1997: Hochschild explored the Mani structural trend; and
1999: Mansfield conducted surface exploration work in the Yaxtch structural trend at
Quevar Sur.
4.2 Past Exploration and Development
The Project has been periodically explored since 1930. Some limited small-scale production
occurred between 1930 and 1950 in the Mani and Yaxtch structural trends. Exploration has
included surface sampling, trenching, pitting and approximately seven drillholes prior to 1980.
There is no data available for this exploration work. Exploration work was focused in small
areas in El Quevar Sur and El Quevar Norte where silicified silver-bearing quartz veins outcrop.
More recent exploration has included detailed surface mapping, and 15,506.3m of core drilling in
81 drillholes.
4.3 Historic Mineral Resource and Reserve Estimates
There are no historic resource and reserve estimates for El Quevar.
4.4 Historic Production
There is no recorded historic production for El Quevar. Previous production from small
workings at the Project have been limited to artisanal-style mining, focused at Yaxtch at the
Quespe Jaguar Mine, and in the Mani structural trend. Most production is thought to have been
in the Mani area. Mining was focused on the extraction of silver and base metals.


5 Geologic Setting (Item 9)
5.1 Regional Geology
El Quevar is located in the eastern Puna Block, which is the southern extension of the Bolivian
Altiplano physiographic province. The regional geology is dominated by the Tertiary age El
Quevar Volcanic Complex (CVQ), which hosts the Project mineralization. This volcanic
complex covers approximately 1,150km
2
and is thought to have formed in a rift basin that
developed between the Cretaceous and Paleocene (Petrinovic, 1999; Silex Argentina, S.A.,
2008b).
The CVQ formed between the Tertiary and Quarternary periods in a series of volcanic eruptions,
culminating in caldera collapse with subsequent doming and formation of a stratovolcano. Most
of the volcanic complex formed between 19.0 and 0.5Ma in five main pulses dated at 19 to
17Ma, 13 to 12Ma, 10Ma, 7 to 6Ma and 1 to 0.5Ma. Lithology includes extensive pyroclastic
flows near the extrusive center including ignimbrite sheets of lithic and crystal-lithic tuffs.
Above this are rhyolite flows equivalent to the Quirn rhyolite indicating that for a period
subsequent pulses were increasingly silicic. This was followed by an intermediate volcanic
event that included andesitic flows and resurgent domes of dacitic composition. Doming is
associated with multiple intrusions of different phases and mineralizing events. The CVQ is
spatially related to the 305 trending Calama-Olacapato-Toro regional lineament. A smaller,
secondary set of regional lineaments, bearing 025, are interpreted as older and related to folding
in the Paleozoic basement rocks (Petrinovic, 1999; Silex Argentina, S.A., 2008a; Silex
Argentina, S.A., 2008b).
The CVQ is underlain by Ordovician age, greenschist facies metapelites and, in some places, by
Miocene to Pliocene age, red sandstone that is correlative to the Pastos Grandes Group. Late
Pleistocene glaciation and fluvial processes have eroded the complex, creating erosional
windows and depositing extensive alluvial fans. Erosional windows in the project area have
exposed intrusive domes, structural controls and areas of extensive hydrothermal alteration.
These erosional windows correspond to Quevar Sur (the resource area), Quevar Norte and Viejo
Campo in the Project Area (Silex Argentina, S.A., 2008a; Silex Argentina, S.A., 2008b).
Regional geology is shown in Figure 5-1.
5.2 Local Geology
El Quevar lies within the Calama-Olacapato-Toro regional lineament. Local geology at El
Quevar is dominated by Tertiary volcanic flows and intrusive rocks overlain in places by
Pleistocene moraine and Quaternary rockslide, alluvium and colluviums deposits. There has
been no radiometric age dating of rocks within the project area, but dates for the CVQ vary
between 192Ma to 0.5 Ma. The volcanic sequence begins with volcanic glass and perlites,
overlain by dacitic domes, fault related breccia zones including El Quevar Breccia, lithic tuffs
and finally capped by dacitic flows. The lithologic sequence from oldest to youngest is listed
below:
Perlites and volcanic glass (PE);
Dacitic domes (DD);
El Quevar Breccia (BXQ);

Lithic tuffs (TDL);
Dacitic flows (LD); and
Quaternary (QC)-(QA)-(QM).
Perlite occurs at the base of the exposed volcanic sequence and is massive, green colored and
shows no alteration. Porphyritic dacitic domes composed of plagioclase feldspar, quartz and
biotite have the greatest exposure in the project area. In places, porphyritic dacite hosts the
mineralization. This relationship has been identified at surface. El Quevar Breccia (BXQ) is
primarily a monomictic breccia of dacitic composition and confined to fault zones between
dacitic domes. This breccia is matrix supported with sub-rounded to angular clasts ranging from
0.5 to 30cm in size. El Quevar Breccia is the primary host rock for mineralization. Both the
porphyritic dacite and El Quevar Breccia show hydrothermal alteration. These rocks and the
breccia zones are overlain by lithic tuffs that are primarily monomictic, matrix supported tuff
with, sub-rounded to angular clasts, 4 to 70cm in size. Lithic tuffs show weak argillic and
propyllitic alteration in some places. Capping the sequence is a series of dacitic flows that show
porphyritic and flow banding textures. These rocks are composed of plagioclase, quartz and
biotite. Feldspars in the dacitic flows are up to 5cm in size. The dacitic flows show no
hydrothermal alteration. Quaternary cover consists of alluvium, colluvium and morainal
deposits found along creeks and hillsides. According to drilling information, moraine deposits
are locally up to 40m deep (Silex Argentina S.A., 2008b). Local geology is shown in Figure 5-2.
5.2.1 Alteration
Hydrothermal alteration found throughout CVQ is associated with structural controls. These
controls are identified structural trends and related breccia zones. This hydrothermal alteration is
identified as silicic, advanced argillic, argillic and propylitic. El Quevar Sur and Norte are the
most explored areas of the Project and are used as models for exploration elsewhere in the
Project area. In Quevar Sur and Norte, the most abundant and easily identifiable alteration is
argillic composed of kaolinite, illite and smectite. Argillic alteration, silicification and vuggy
quartz are often associated with significant Ag and Pb/Zn content. The next most abundant
alteration is advanced argillic composed of kaolinite, alunite and dickite. Alunite occurs as both
crystalline and porcelaneous material. Silicification with vuggy quartz and both types of alunite
is restricted to the mineralized structures. Propyllitic alteration consisting mainly of chlorite and
pyrite is also found distal to the mineralization. At El Quevar Sur propylitic alteration is only
observed in the deeper drillholes (Silex Argentina S.A., 2008b).
Within the structural trends and associated breccias, the hydrothermal alteration displays lateral
zoning. The zoning pattern is identified by pervasive silicification at the center extending
outward into advanced argillic and argillic alteration. The advanced argillic to argillic transition
is as follows:
Quartz-alunite
Quartz-kaolinite; and
Chlorite-smecitite.
Higher-grade areas are associated with hydrothermal breccia zones showing strong and pervasive
silicification and vuggy silica. The vuggy silica is interpreted to be the result of acid leaching
and preceded the deposition of galena and sphalerite. These silica zones may be up to 10m thick.

Table 5.2.1.1 summarizes a simplified paragenetic sequence for the hydrothermal phases and
Table 5.2.1.2 places the hydrothermal phases in the context of the geological evolution of the
Project area (Silex Argentina S.A., 2008b).
Table 5.2.1.1: Simplified Paragenetic Sequence for the Hydrothermal Phases
Hydrothermal Phases* Alteration Intensity
Fresh Fresh rock n/a
PHASE I Clay, fine pyrite S STRONG
PHASE II + III Gray and white silica, intense pyrite M MEDIUM
PHASE IV + V
Acid leaching followed by Ag-sulfosalts +/- Barite +/-
Alunite +/- Clay +/- Galena +/- Sphalerite W WEAK
*Simplified, refer to table 5.2.1.2.

Table 5.2.1.2: Hydrothermal Phases Related to Geological Evolution of the Project Area
Time Sequence Geologic Event/Hydrothermal Phase
1 Dacite dome intrusion / extrusion
2 Fault induced brecciation of Dacite
3 Hydrothermal Brecciation
4 PHASE I Pervasive alteration clay + pyrite
5 PHASE II Gray + white silica alteration and infill, FBV*
6 PHASE III Pyrite alteration and infill, FBV
7 PHASE IV Acid leaching, leading to secondary porosity generation, FBV
8 PHASE Va Barite +/- alunite +/- clay infill, FBV
8 PHASE Vb Ag-sulfosalts +/- galena +/- sphalerite
9 Uplift and erosion of Quevar complex
10 Extrusion of Dacitic flows
*FBV= Fault Breccia Vein

5.2.2 Structure
The two main structural trends identified at El Quevar Sur and Norte have an azimuth of 090 to
095 and 035. Alteration and mineralization identified in the Project area occurs along the 090
to 095 striking structural trend. Domes have been emplaced where these structures and at the
035 striking structures intersect.
Recent trench mapping at El Quevar Sur has identified a dextral, normal fault striking 280 and
dipping 70NW, which is interpreted as related to the Yaxtch structural zone. The second
structure shows normal, sinistral movement and strikes 010, dipping 75SE. This crosscuts and
offsets the 280 structure. These intersections and offsets are of exploration interest, and are
being used as a guide for other targets at El Quevar (Silex Argentina S.A., 2008b).
Apex Silver is also drilling and has intercepts in the Mani and Copan structural trends. These
intercepts are not included in the current resource estimate.
5.3 Project Geology
Within the Project area, exploration models are based on mapping, drilling and geophysical data
collected within the Yaxtch and Copn structural trends in Quevar Sur. The resource for the
Project is within the Yaxtch structural trend.

At Quevar Sur, mineralization is confined to the structural trends and related breccias zones
including Yaxtch, Copn, Mani and Argentina. The Argentina zone can reach 10m in width in
places. Exploration has not identified a correlation between lithology and mineralization, but the
primary host rocks in Project area are porphyritic dacitic domes. Within the structural trends,
individual mineralized zones average 1 to 15cm but can reach 1m in width. These zones can
aggregate mineralized intervals up to 25m in width. The mineralization is deposited in
association with vuggy silica zones that can reach 10m in width. Mineralized breccia occurs as
both fault breccia (FBV), which is matrix supported with angular clasts and fine silica matrix and
as hydrothermal breccia (BXH) also a matrix supported breccia with angular to subangular
clasts. Hydrothermal breccia commonly contains oxides and boxworks and is found in many
areas of the Project. Andrea Breccia is an example of hydrothermal breccia. Mineralization at
El Quevar includes:
Sulfosalts: Enargite, tethraedrite, tennantite, bismutite and pyrargirite;
Sulfide minerals: Pyrite, galena and sphalerite;
Native silver.
These minerals occur as open space filling, disseminations and in massive zones (Silex
Argentina S.A., 2008b).
The Yaxtch structural trend is a structural corridor 750m long and 40 to 150m wide,
characterized by strong to moderate silica and quartz-alunite alteration. The Yaxtch
mineralized zone is bounded by a hangingwall and a footwall fault. At surface, the
mineralization branches into three separate structures. The strike is variable between 090 in the
eastern area to 300 in the western area. The structure dips from 70 to 65N at surface and
flattens to 45 to 55N at depth (Silex Argentina S.A., 2008b). Figure 5-3 shows a representative
cross section through the Yaxtch structural trend.
Yaxtch is strongly silicified. Vuggy silica is found both at surface and at depth. Near surface,
the vugs are partially filled with alunite and minor barite. At depth, the vugs are filled with
barite, white and pink alunite, sulfides and silver sulfosalts. Massive sulfide minerals are also
found in places at depth (Silex Argentina S.A., 2008b).
Apex has interpreted the central part of the Yaxtch zone as a horst block that has been rotated
up to the north where most of the drilling has been focused. Apex has observed a transition to a
more gold-rich regime at shallower depths in this area, and based on zoning in epithermal
systems is of the opinion that part of the mineralization has been eroded. Drilling and structural
mapping in trenches have identified 035 striking faults at the east and west ends of the main
zone and local geological and geophysical features including argillic alteration mapped at surface
strongly suggest that the zone continues both east and west and has been down dropped relative
to the central part of Yaxtch. This also suggests that the upper parts of the mineralized zone
may be preserved in these down-dropped extensions, providing for the possibility of more silver
mineralization in these areas. These areas are the principle targets of the current drilling
program, which is due to begin in February 2009. (Alvarez, et al., 2009; Silex Argentina S.A.,
2008b).
File Name: Figure 5-1.doc Date: 2/19/2009 Approved: DKB
Figure: 5-1

El Quevar,

Source: Silex Argentina,S.A.,
2009 Modified by SRK, 2009
Regional Geology Map
31 Eolian Sand Dune Deposits
30 Colluvium Deposits
29 Lacustrian Deposits
28 New Alluvium Deposits
27 Detrital Flows
26 Alluvial Fans
25 Salars
24 Cerro Blanco Pyroclastic Flows
23b Peinnado Basalt
23a Cerro Condor Andesite
22c Porphyritic Dacitic Domes
22b Basalt
22a Stratovolcano related Porphyritic Andesite
21 Dacite and Andesite Flows and Domes
20 Laguna Amarga Ignimbrite Flows and Dacitic
Domes
19 Stratovolcano Andesits Flows and Breccias
18 Rosada Ignimbrite Flow
17 Los Colorados Ignimbrite Flow
16 Volcanic Complex Andesite and Dacite Flows
15 Sues Formation

La Hoyada Volcanic Complex
14a Andesite and Dacite Volcanic Breccia
14b Andesite and Dacite Volcanic Breccia and Flows
14c Domes and Intrusives
14d Dacitic Ignimbrite Flows

14 Tebenquincho Formation
13 Agua Dulce Andesite and Dacite Bodies
12 Vizcachera Formation-Upper Member
11 Vizcachera Formation-Lower Member
10 Geste Formation
9 Pantanoso Formation
8 Patquia de la Cuesta Formation
7 Las Yeguas Formation
6 Basic-Ultrabasic Tramontana Complex Gabbro and Gabbro-
Basalt
5 Falda Cienaga Formation
4 Sedimentary-Volcanic Cortaderas Chicas Complex
3 Las Planchadas Formation
2 Fambalasto Formation
1 Antofalla Metamorphic Group
Explanation
Concession Block Boundary
Figure: 5-2

El Quevar Project,
Argentina

Source: Silex Argentian, S.A., 2008
Local Geology of the
El Quevar Project
YAXTCHE
MANI
COPAN
ARGENTINA
Figure: 5-3

El Quevar,

Source: Apex, 2008
Representative Section
through the Yaxtch
Structural Trend

6 Deposit Type (Item 10)
El Quevar is interpreted as an intermediate sulfidation (IS) epithermal deposit with some high
sulfidation (HS) characteristics. El Quevar is associated with caldera collapse, stratovolcano
formation and development of dacitic domes. These types of deposits form under acidic,
oxidizing conditions within 1km of the surface and between temperatures of 150 and 250C.
They are often associated with silicic to intermediate volcanic rocks and hot spring deposits, and
share similar ages as their host rocks. Host rocks include andesite, rhyodacite and locally
rhyolite. IS and HS epithermal deposits are both characterized by wallrock replacement,
breccias, sulfide disseminations and siliceous vein filling. Quartz may also have a crustiform
texture. Typical alteration assemblages include advanced argillic, alunite and kaolinite with
pyrophyllite deeper in the system. These may be accompanied by sericite, adularia and chlorite.
Gangue minerals include vuggy quartz and silica as well as barite. Carbonate and selenides are
usually absent and manganese minerals are rare in HS types. However, manganese minerals are
more abundant in IS deposits and selenide minerals may be present locally. Barite is often
present in association with gold. Ore mineralogy includes native gold, electrum, gold and silver
telluride minerals, bornite, enargite, tennantite, covelite, chalcopyrite, sphalerite and galena, and
epithermal deposits normally show vertical zoning. Zoning in IS deposits are often characterized
by antimony, bismuth and gold anomalies with some silver values. The boiling zone is marked
by high-grade silver and the lower parts of these systems are richer in lead and zinc. There is
typically more copper in these systems than zinc and lead. This contrasts with HS deposits,
which generally are base-metal poor (Guilbert, et al, 1986; Camprub, et al, 2006; Charchafli,
2007; Taylor, 2007; Sillitoe, 2008).
El Quevar lies within the extension of the Bolivian metallogenic province that extends from
Bolivia north into Peru and south into northern Argentina and Chile. El Quevar is specifically
located in the Altiplano and Cordillera Occidental Polymetallic Belt, which is the western most
region of this metallogenic province. This belt includes many types of epithermal deposits
including IS and HS epithermal deposits. El Quevar is more characteristic of IS type epithermal
deposits and is similar to San Antonio de Lipez, Mulatos Todos Los Santos and San Cristobal in
Bolivia (Arce, 2008). Other large IS deposits found worldwide include the Fresnillo deposit in
Zacatecas State, Mxico. Fresnillo is a silver producer and has been in production since Colonial
times (Camprub, et al, 2006). Apex Silver is currently using Bolivian-type IS and to a lesser
extent HS epithermal deposits as a model for exploration in this region.


7 Mineralization (Item 11)
Within the Project area, exploration models are based on mapping, drilling and geophysics data
collected within the Yaxtch and Copn structural trends in Quevar Sur. The resource for the
Project is within the Yaxtch structural trend (Silex Argentina S.A., 2008b).
7.1 Mineralized Zones
At Quevar Sur, mineralization is confined to the structural trends and associated breccia zones
including Yaxtch, Copn, Mani and Argentina. Within the structural trends, mineralization is
associated with vuggy silica in zones averaging 1 to 15cm wide but may reach 1m in width in
some areas. Mineralized breccia occurs as both fault breccia (FBV), which is matrix supported
having angular clasts with a fine silica matrix and as hydrothermal Breccia (BXH) also a matrix
supported breccia with angular to subangular clasts. Hydrothermal breccia commonly contains
oxide minerals and boxwork textures and are also associated with faulting (Silex Argentina S.A.,
2008b).
Mineralized zones are associated with the following three hydrothermal alteration zones:
Silicification;
Advanced argillic; and
Argillic.
Argillic and advanced argillic are transitional and show the following three assemblages:
Quartz-alunite
Quartz-kaolinite; and
Chlorite-smecitite.
The higher-grade areas of mineralization are associated with hydrothermal breccias showing
strong and pervasive silicification with vuggy silica (Silex Argentina S.A., 2008b).
7.2 Surrounding Rock Types
The lithologic sequence from oldest to youngest at El Quevar is
Perlites and volcanic glass (PE);
Dacitic domes (DD);
El Quevar Breccia (BXQ);
Lithic tuffs (TDL);
Dacitic flows (LD); and
Quaternary (QC)-(QA)-(QM).
Exploration has not identified a correlation between lithology and mineralization, but the
primary host rock in Project area are porphyritic, dacitic domes composed of plagioclase,
feldspar, quartz and biotite. Dacitic domes have the greatest areal extent in the Project area. El
Quevar Breccia (BXQ) is primarily a monomictic breccia of dacitic composition. This breccia is
matrix supported with sub-rounded to angular clasts ranging from 0.5 to 30cm in size.

Mineralization is found in the El Quevar Breccia found within and extending between the dacitic
domes. Both the porphyritic dacite and El Quevar Breccia show extensive hydrothermal
alteration (Silex Argentina S.A., 2008b).
7.3 Relevant Geological Controls
Alteration and mineralization identified in the Project area are controlled by a 090 to 095
structural trend. Domes have been emplaced at the intersection of the structures oriented 090 to
095 and 035. Structures that may offset the mineralization are normal, sinistral faults that
strikes 010, dipping 75SE and occurs at each end of the Yaxtch zone. The intersections of the
090 to 095 and 035 trending structures and possible offsets relating to the 010 fault are of
exploration interest, and are being used as a guide in other areas of El Quevar (Silex Argentina
S.A., 2008b). It appears that mineralization at Yaxtch has been terminated by these faults and
Apex Silver reports that it has identified the probable continuation of mineralization to the west
and east.
7.4 Type, Character and Distribution of Mineralization
Mineralization occurs as open space filling, disseminations and in massive zones. Ore
mineralization includes:
Sulfosalts: enargite, tethraedrite, tennantite, bismuthinite and pyrargirite;
Sulfide minerals: pyrite, galena and sphalerite;
Native silver.
Mineralization is found in strongly silicified, advanced argillic and agillic alteration zones.
Vuggy silica associated with silicification alteration is found both at surface and at depth within
the El Quevar Breccia. Near surface, the vugs are partially filled with alunite and minor barite.
At depth, the vugs are filled with barite, white and pink alunite, sulfides and silver sulfosalts.
Massive sulfide minerals are also found in places at depth (Silex Argentina S.A., 2008b).
In Yaxtch structural trend the mineralized zone is 750m long and 40 to 150m wide. It is
characterized by strong to moderate silica alteration and quartz-alunite bounded by two faults;
one in the hangingwall and one in the footwall of the mineralized zone. At surface, the
mineralization branches into three separate structures. The strike is variable between 090 at the
eastern end to 300 in the western end. The structure dips from 70 to 65N at surface and flattens
to 45 to 55N at depth (Silex Argentina S.A., 2008b).
Silver mineralization tends to be concentrated at the upper and lower contacts zones of the
breccia with the host rock and may locally occur in a central zone as well. Copper
mineralization is located in the central core of the breccias and has better grades higher in the
system. Lead mineralization tends to track silver mineralization, while zinc mineralization is
exterior to the silver mineralization. Higher gold grades tend to be located below elevations of
4,700m


8 Exploration (Item 12)
Exploration was conducted at the Project between 1970 and 1980 by Fabricaciones Militares,
BHP-Utah Minerals International and Peoles. The first organized exploration was completed in
the 1970s when Fabricaciones Militares drilled three or four drillholes in Quevar Norte. Later
that same decade, BHP drilled three holes in breccia found along the Mani structural trend in
Quevar Sur. BHPs exploration model was thought to be a porphyry copper system. During the
1990s, the exploration division of Peoles explored Quevar Sur. This was a limited program
collecting surface samples only and no mapping was completed. These exploration projects
predated requirements for reporting data to the Salta Province and Apex Silver has been unable
to obtain any data on these exploration programs.
Minera Hochschild completed a six hole, RC and diamond drilling program in the Mani
structural trend in 1997. In addition to this work, Minera Hochschild took surface samples and
constructed eight trenches across the Mani structural trend. Apex Silver has this data.
In 1999, Mansfield collected samples from surface and a number of small exploration pits in the
Yaxtch structural trend and Quevar Sur. This data has been provided to Apex Silver.
Apex Silver acquired exploration rights to El Quevar in October 2004. Between October 2004
and August 2006, Apex Silver mapped in the Quevar Sur area at 1:5,000 and 1:10,000 scales. At
this time, various outcrops were sampled. Outcrop sampling included channel, panel and select
chip samples. This information was used to design a diamond drilling program. This 17-hole
core drilling program was completed between June and August of 2006 and totaled 2,373.8m.
The drilling company used for this drilling phase was Major Perforaciones S.A., a subsidiary of
Major Drilling based in Mendoza, Argentina. These holes were drilled in Quevar Sur targeting
the Mani, Copn and Yaxtch structural trends (Silex Argentina S.A., 2006).
Between March and June 2007, Apex Silver drilled 19 additional core holes totaling 2,481.75m
using Bolland Minera S.A. based in Buenos Aires, Argentina as the drilling contractor.
Seventeen of these holes were drilled in Quevar Sur and two were exploration holes in Quevar
Norte. Those drilled at Quevar Sur include nine drilled in the Yaxtch structural trend to infill
and test the extension of the mineralized zone, seven holes were drilled in the Mani structural
trend and one was drilled exclusively for exploration. The two holes drilled in Quevar Norte
were exploration holes drilled approximately 3km northeast of the Yaxtch structural trend. In
addition to drilling, 16 trenches totaling 3,300m were excavated and sampled. Of these four
trenches were constructed in Quevar Norte and twelve in Quevar Sur (Silex Argentina S.A.,
2007).
A ground based geophysical program was completed between December 2007 and February
2008, using an IP/Resistivity with 3-D Pole/Dipole survey over El Quevar Sur. This work was
contracted to Quantec Geoscience Argentina S.A. based in Mendoza, Argentina. Line separation
was at 200 and 400m with markers at 50m intervals along lines. The instruments used were an
Iris Elrec-6 receiver and an Iris VIP 3000 transmitter. The offset dipole array provides
information to approximately 600m depth at the center of the survey. The purpose of this survey
was to identify sulfide mineralization that may be associated with the high sulfidation epithermal
system and it was expected that these areas would have high chargeability and wide conductive
zones (Quantec Geoscience Argentina, S.A., 2008).

In late 2007, Apex Silver submitted 24 samples from six drillholes in the Yaxtch structural zone
to Brockway and Franquesa Consultores (BFC), based in Santiago, Chile, for petrographic and
reflected light microscopy work. In January of 2008, BFC provided a report identifying the host
rocks as lithic tuff, volcanic breccia and altered volcanic breccia. Minerals identified in reflected
light included pyrite, sphalerite, enargite, tennantite-tetrahedrite, covellite, pryargyrite,
chalcopyrite, galena, native silver and argentite. Argentojarosite and plumbojarosite were
identified using an electron microprobe. As a follow up to this work, 14 of the 24 samples had
additional electron microprobe work for confirmation purposes. The results of the additional
analysis were reported by BFC in June of 2008 (Brockway, 2008; Brockway, 2008a).
A third drilling program was completed between January and June 2008. This program included
43 diamond drillholes totaling 10,650.75m. The two drilling companies used for this program
were Patagonia Drill, a subsidiary of Boart Longyear, based in Mendoza, Argentina and the
Argentine division of Falcon Drilling Ltd., based in Salta. Falcon Drilling Ltd. is a Canadian
company. The third drilling program focused on definition drilling and infill drilling at Yaxtch
and exploration around the Copn structural trend. Apex Silver completed and sampled 21
additional trenches in this area and remapped much of Quevar Sur and Norte.
8.1 Interpretation
None of the exploration data prior to 1997 is available for review and exploration methods used
by Fabricaciones Militares, BHP and Peoles are unknown. Apex Silver has access to the more
recent data from its JV partner Minera Hochschild and from Mansfield. Apex Silver has used
this data and through additional exploration has generated multiple targets and focused infill and
definition drilling on its resource area at Yaxtch. Drilling and sampling procedures used by
Apex Silver are discussed in the following sections. SRK considers the exploration methods
used by Apex Silver to be appropriate for this type of deposit. The work carried out by Apex
Silver has been conducted according to industry best practices.


9 Drilling (Item 13)
9.1 Type and Extent of Drilling
Apex Silver has completed 15,506.3m of diamond drilling in 81 drillholes between 2006 and
2008. Two holes were drilled at Quevar Norte and the remainder were drilled at Quevar Sur.
The total area drilled is approximately 4.8km x 2.3km, with the majority of holes drilled at Yaxtch
over an 850m strike length. The drillholes are oriented perpendicular to the mineralized
structures.
Drilling was conducted by four separate drilling companies and completed during three drilling
programs. All core drilled was HQ size (6.35cm). It was necessary to reduce to NQ (4.76cm) in
only one drillhole (QVD63) due to bad ground. Table 9.1.1 summarizes the drilling by program
and drilling contractor and Figure 9-1 shows drillhole locations.
Table 9.1.1: El Quevar Drilling by Program and Contractor
Program Contractor Meters No. of Holes
2006 Major Perforaciones S.A. 2,373.80 19
2007 Bolland Minera S.A. 2,481.75 19
2008 Patagonia Drill/Boart Longyear 8,415.75 35
2008 Falcon Drilling Ltd. 2,235.00 8
Total 15,506.3 81

Drilling activities are monitored by two operations chiefs, one per shift, who divide their time
between drilling and camp responsibilities. Drill sites are located using a handheld Global
Positioning System receiver (GPS) by a Silex technician. A bulldozer is used to prepare the
site and the site is then verified by a geologist who marks the hole orientation on the ground with
either paint or three wooden stakes. A collar stake is set out with the hole number, planned
drilling depth, azimuth and inclination for the drillers. Once the drill rig is on site and ready to
drill, the azimuth and inclination of the set-up is checked by a geologist. Azimuth must be
within 2 and inclination within 1 of the planned drillhole.
Contractors tricone through the overburden to solid rock and casing is set in the upper part of the
hole prior to coring. Drilling is performed in two, 12 hour shifts and core is picked up twice
daily during shift change. A shift report on drilling activities is provided at that time by the
drilling contractor. During drilling, active drills are visited two to three times per day by a
geologist or the operations chief. Water for drilling is controlled by Silex who employs a
dedicated helper for this purpose. Water trucks for drilling are provided by the drilling
contractor. It is the drilling contractors responsibility to keep the drill site clean. All drilling
fluids are collected in a sump and clear water is allowed to drain off. In addition, sheets of PVC
material are placed under drilling equipment in case of spills.
After completion of a drillhole, the drilling contractor performs a downhole survey. During the
2008 drilling program, Falcon Drilling Ltd., provided a Sperry Sun and Patagonia Drill provided
a Reflex Photobor. Downhole surveys are made at 25m intervals and are checked by an
operations chief. When the downhole survey is completed, the drilling contractor places
polyvinyl chloride (PVC) pipe in the hole and cements the drillhole collar. The drillhole is
then marked with drillhole number, total depth, azimuth and inclination. After the drill is moved

off the drill site, the operations chief verifies that the site has been left in acceptable condition
and takes the collar coordinates with a GPS.
9.2 Logging
Core is placed in wooden boxes holding 3m of core at the drill and moved to the core shed by an
operations chief or a technician, twice daily. The core is either in the custody of the drilling
contractor or Silex at all times. In the core shed, a technician cleans the core with water and a
brush and marks the box at meter intervals and verifies depths. The technician also marks the
start and end of the interval and writes the drillhole number on the top and side of the core box.
Next the technician measures and records geotechnical information including recovery, rock
quality designation (RQD) >10cm and both mechanical and physical fracture frequency. Core
recovery is 90% or better.
Geologists describe the core on paper logs, and then enter the data into a computer. The paper
log has sections for comments and a graphic log with a separate area for drawing fractures.
Mineralization, alteration and alteration intensity are also recorded on the log sheet and there is
an area for sample interval, sample number and analytical results. The geologist marks the core
for any additional observations including passive infrared mineral analyzer (PIMA)
measurements. The geologist then selects sample intervals and samples for density
measurements. Once this is completed, the core is photographed and split for analysis. Sample
length within the mineralized zone is a nominal 1m, but may vary due to changes in lithology.
The entire mineralized zone is sampled and 2 to 3m on either side of the zone.
Drill core is stored onsite in a locked facility and each hole is color coded for ease of
identification. A paper file is maintained for each stored drillhole with a checklist for each item
that must be completed for every hole and included in the file. This includes a hole summary,
geological log, geotechnical log, analytical results, drill reports, certificate from the surveyor,
photographs, downhole survey information and density measurements.
9.3 Results
At the time, all drill programs had been completed and SRK did not observe active drilling.
SRK found the completed drill pads to be clean and marked as described. The core logging and
storage facilities at El Quevar are clean and well organized enabling Apex Silver to easily locate
reference core and supporting data. SRK is of the opinion that Apex Silver is using industry best
practice for its drilling and core logging procedures.

File Name: Figure 9-1.doc Date: 1/23/2009 Approved: DKB
Figure: 9-1

El Quevar,
Source: Data from Silex
Argentina, S.A., 2008. Modified
by SRK Consulting, 2009

Drillhole Location Map

10 Sampling Method and Approach (Item 14)
10.1 Sample Methods
Sample intervals are marked on the core by a geologist. Sample intervals are a nominal 1m
length in the mineralized zone, but may be longer or shorter at changes in lithology. Outside the
mineralized zone, samples are 2m in length. In general, only the mineralized zone and a few
meters above and below are sampled. If necessary, the geologist may also draw a cut line
longitudinally on the core to guide the sample technician in splitting the core. The beginning and
end of each sample interval is marked on the core box. Drill core is split using a core saw in
competent zones and a trowel in broken zones. Each sample is placed in a plastic bag with two
labels, one inside with the sample and one placed on the outside of the bag. The bag is then
folded over and stapled. Sample numbers are randomly generated and recorded on color-coded
sheets for later correlation.
10.2 Factors Impacting Accuracy of Results
El Quevar mineralization is a competent breccia with areas of open space. Mineralization occurs
as open space filling, disseminations and zones of massive sulfide minerals. More rarely, native
silver has been observed in core and identified during ore microscopy studies. Because of void
space and the possibility of localized concentrations of mineralization as well as rare nugget
silver, it is important that Apex Silver provide a large, representative sample for analysis. It is
SRKs opinion that Apex Silver is taking appropriate measures to ensure that sampling is
unbiased.
QA/QC discussed in Section 12 did not detect any deficiencies in analytical results. SRK is of
the opinion that Apex Silver is collecting adequate sample to compensate for mineral distribution
and size of sulfide minerals and the rare occurrence of native silver.
10.3 Sample Quality and Parameters
Drill core recoveries are reported at 90% or better. The majority of samples in the mineralized
zone are 1.0m. Outside the mineralized zone samples are 2.0m in length. The maximum sample
interval is 4.0m and the minimum interval was 0.3m. Samples intervals were determined with
consideration to lithologic controls. Internal waste was sampled and samples were taken several
meters on either side of the mineralized zone in wallrock. Should the wallrock sample have
elevated analytical results, Apex Silver takes additional samples into the wallrock. It is SRKs
opinion that the sampling method and sample length are appropriate for the deposit.
10.4 Relevant Samples
A summary of relevant samples for the drilling outside the Yaxtch zone is presented in Table
10.4.1. A resource estimation has been conducted for Yaxtch and is presented in Section 15.


Table 10.4.1: Summary of Relevant Samples, Excluding Yaxtch*
DHID Area From To Interval Angle Ag (g/t)
QVD-02 Mani East <30g/t -55.0
QVD-32 Yaxtch 21.6 27.5 5.9 -55.0 62
QVD-15 Andrea <30g/t -58.0
QVD-16 Andrea 180.0 180.0 1.0 -53.0 171
QVD-14 Copan <30g/t -59.0
QVD-51 Copan 104.0 113.0 9.0 -58.0 236
QVD-55 Copan 29.0 32.0 3.0 -45.0 213
QVD-56 Copan 117.0 236.0 9.0 -54.0 75
QVD-57 Copan 158.0 163.0 5.0 -55.0 83
QVD-59 Copan 189.0 190.0 1.0 -60.0 43
QVD-63 Copan 220.0 227.0 7.0 -69.0 91
QVD-01 Mani <30g/t -50.0
QVD-08A Mani 45.0 49.0 4.0 -68.0 131
QVD-09 Mani <30g/t -55.0
QVD-10 Mani <30g/t -50.0
QVD-11 Mani 15.0 24.0 9.0 -50.0 111
QVD-12 Mani 36.0 39.0 3.0 -60.0 37
QVD-13 Mani 12.0 20.0 8.0 -63.0 76
QVD-17 Mani 21.0 26.0 5.0 -58.0 35
QVD-26A Mani 48.0 56.0 8.0 -85.0 90
QVD-27 Mani <30g/t -55.0
QVD-28 Mani <30g/t -88.0
QVD-29 Mani <30g/t -60.0
QVD-31 Mani <30g/t -65.0
QVD-33 Mani 52.0 54.0 2.0 -90.0 45
QVD-34 Quevar Norte 47.0 48.0 1.0 -69.0 42
QVD-35 Quevar Norte <30g/t -60.0
QVD-05 Yaxtch Ne 71.0 77.0 6.0 -55.0 57
QVD-25 Yaxtch NE <30g/t -47.0
* Intervals are near true width because holes were drilled near perpendicular to mineralization.


11 Sample Preparation, Analyses and Security
(Item 15)
El Quevar samples have been prepared and analyzed at two laboratories, Alex Stewart (QVD-01
through QVD-42) and ALS Chemex (QVD-43 through QVD-78). ALS Chemex has a prep lab
in Mendoza, Argentina and samples are sent to La Serena, Chile for analysis.
11.1 Sample Preparation and Assaying Methods Alex Stewart
Samples were shipped to the Alex Stewart laboratory in Mendoza, Argentina by Silex, where
they were prepped and analyzed. The sample preparation procedure (P-5) consists of the
following steps:
Receiving and checking sample identification numbers against submittal form;
Weighing;
Primary and secondary crushing to 80% passing 10 mesh;
Splitting in a riffle splitter to 800g +100g;
Grinding to 85% passing 200 mesh; and
200g sample is placed in a sample envelope.
The samples were analyzed for 39 elements by ICP (ICP-MA-390) with four acid digestion of a
0.2g sample. The lower and upper detection limits for silver in this package are 5 and 2,000ppm,
respectively. All samples were analyzed for silver and gold by fire assay of a 50g sample with
gravimetric finish for silver (AG4A-50) and Atomic Absorption (AA) finish for gold (Au4-
50). The lower detection limit is 2ppm for silver and 0.01ppm for gold.
11.2 Sample Preparation and Assaying Methods ALS Chemex
Samples were shipped to the ALS Chemex laboratory in Mendoza, Argentina by Silex, where the
samples were prepped. The pulps were returned to the Silex office in Mendoza where new
sample identification numbers were assigned to the samples and QA/QC samples were inserted.
The sample prep procedures (Prep-31) consist of the following:
Receiving and checking sample identification numbers against the submittal form;
Weighing;
Crushing to 70% passing 10 mesh;
Splitting to 250g;
Pulverizing to 85% passing 200 mesh; and
Placing sample in sample envelope.
Samples are analyzed for 33 elements by ICP (ME-ICP61) using four acid digestion, with lower
and upper detection limits for silver of 0.5 and 100ppm, respectively. The silver overlimits were
analyzed by fire assay with AA finish (Ag-AA62) with lower and upper detection limits of 1 and
1,500ppm, respectively, and those resultant overlimits were analyzed by fire assay with
gravimetric finish (AG-GRA22) with lower and upper detection limits of 5 and 10,000ppm,
respectively. Gold is analyzed by fire assay with AA finish (Au-AA24) with lower and upper

detection limits of 0.005ppm and 10ppm, respectively; gold overlimits are analyzed by fire assay
with gravimetric finish (Au-GRA22), with lower and upper detection limits of 0.05 and
1,000ppm respectively. Overlimits of lead, zinc, and copper are analyzed by AA with a multi
acid digestion.
11.3 Testing Laboratories Certification
ALS Chemex in La Serena has the following certifications:
ISO 9001:2000 number 8989 issued July 2005; and
Instituto Nacional de Normalizacion Chile ISO 17025.Of2005 issued November 2003
effective to November 2009.
Alex Stewart in Mendoza has ISO 9001:2000 certification but does not have laboratory
certification.
Alex Stewart and ALS Chemex are international companies with local facilities in many
countries. The laboratories and provide services to many mining and exploration companies
worldwide.
11.4 Quality Controls and Quality Assurance
Apex Silver commenced its QA/QC program with drillhole QVD-043, at the time that it started
sending samples to ALS Chemex. There is no QA/QC data for the earlier samples sent to Alex
Stewart other than the internal laboratory QA/QC program.
Apex Silver has an extensive and thorough Quality Assurance/Quality Control (QA/QC)
program that includes two types of blanks, three types of duplicates, six precious metal standard
reference samples (standards) and four base metal standards. For surface sample submissions
including channel, panel and select outcrop samples, Apex Silver inserts a standard, coarse blank
and pulp blank at a frequency of one per 50 samples or approximately 2%. For drilling
programs, Apex Silver inserts the following QA/QC samples into the sample stream:
Standard-one per 20 samples (5%);
Coarse Duplicate-one per 20 samples (5%);
Pulp Duplicate- one per 20 samples (5%);
Core Duplicate- one per 50 samples (2%); and
Pulp Blank and Coarse Blank-one per 20 samples (5%).
The coarse blank and precious metal standards are site specific. The coarse blank was collected
from a fresh dacite flow, younger than the rocks in the mineralized zone and located
approximately 3.5km southeast of the camp. The precious metal standards were generated from
material collected at the site and prepared by Alex Stewart. Apex Silver purchased a fine blank
from ASA. Base metal standards are certified reference material purchased from Geostats Pty
Ltd., (Geostats) in Australia. Table 11.4.1 lists the standards, expected analytical result and
source of standard material.


Table 11.4.1: Standards Used in the El Quevar QA/QC Program
Standard Au ppm Ag ppm Pb % Zn % Source
STD-1 0.34 18 ASA
STD-2 1.47 53.91 ASA
STD-3 4.22 129 ASA
STD-4 1.16 34 ASA
STD-5 4.33 103 ASA
STD-6 10.36 491 ASA
GBM396-10 *0.24 11.6 0.102 10.601 Geostats
GBM398-1 *0.173 5.1 26.741 20.376 Geostats
GBM900-3 *1.3 7.4 0.087 0.072 Geostats
GBM996-3 *0.1 44.2 0.289 32.333 Geostats

The QA/QC samples are inserted into the sample stream in two steps. At the El Quevar camp,
coarse blanks and core duplicates are inserted into the sample shipment. The samples are taken
to Salta by Apex Silver, and then shipped to either ALS Chemex (ALS) or ASA, both located
in Mendoza for sample preparation. Each lab prepares the sample for analysis, after which all
sample materials are returned to Silexs Mendoza office. Silex stores the reject materials,
renumbers the samples, inserts the remaining QA/QC samples and submits the pulps for analysis
to the respective labs. Pulps prepared by ALS are returned to ALS for analysis and likewise
pulps prepared by ASA are returned to ASA for analysis. The QA/QC samples submitted into
the sample stream at this time include standards, pulp duplicates and pulp (fine) blanks.
11.4.1 Blanks
Blank samples help to identify contamination during the sample preparation and analytical
process. About 5% of the samples submitted to the lab are coarse blanks and about 5% are fine
blanks.
SRK has examined the results of the analyses of the coarse blanks and finds that 299 analyses
were conducted with no failures as defined as 5 times the lower detection limit. Only three
analyses had results greater than detection limit and those were 0.8ppm Ag or less. There were
220 fine blank samples and no failures were identified. Thirty samples were greater than
detection limit and all were less than 2.5ppm, which is five times the lower detection limit.
The results from the blank sample analysis indicate that there has been no contamination during
the sample preparation stage.
11.4.2 Duplicates
Duplicate samples are used to monitor sample batches for potential sample mix-ups and to
monitor the data variability as a function of laboratory error and sample homogeneity. Apex
silver used core duplicates, coarse duplicates and pulp duplicates in its QA/QC program. Each is
discussed separately in the sections below; Figure 11-1 presents the results in graphical format.
Core Duplicates
The second half of a drill core sample is assayed to determine the reproducibility of assays for
different halves of the core to detect any sampling bias, as well as to assess the natural grade
variability of the deposit. The halved core remaining after the original split was cut lengthwise
again to produce a quarter core sample. The quarter core does not represent a true duplicate, as

the duplicate sample size is one-half the original sample size. Apex Silver submits core samples
at a rate of 1 in 50 samples. Table 11.4.2.1 presents a summary of the core duplicates and the
results are shown in Table 11.4.2.2.
Table 11.4.2.1: Summary of Quarter Core Duplicates
Criteria Number Original > Dup Original < Dup Original = Dup
All Samples 108
23 23 62
21% 21% 57%
>5 times LDL 32
15 16 1
47% 50% 3%

Table 11.4.2.2: Percentage of Quarter Core Duplicate Assays*
Number Falling within Percent Difference
Criteria Number 5% 10% 20% 25% 50% >= 50%
All Samples 108
71 73 85 88 98 10
66% 68% 79% 81% 91% 9%
>5 times LDL 32
9 11 18 20 29 3
28% 34% 56% 63% 91% 9%
*reporting within specific percentage differences

The results show that of the samples more than five limes the lower detection limit (>2.5g/t Ag),
56% were within 20% of the original assay and that the original assay was greater than or equal
to the duplicate 50% of the time which indicates that there is no bias in the cutting of the core.
The graph of the core duplicates (Figure 11-1) shows that there are two samples where the
original assay was significantly greater than the duplicate. The high values in these two samples
indicates that there may have been some coarse silver present in the core that produced the
variation between the duplicates.
Coarse Duplicates
A sample preparation (coarse) duplicate sample was taken after the crushing stage to test the
adequacy of the crushing size. Apex Silver requested that coarse duplicates be made at a
frequency of 1 in 20 samples. A summary of the coarse duplicates is presented in Table 11.4.2.3
and the results are shown in Table 11.4.2.4.
Table 11.4.2.3: Summary of Coarse Duplicates
All Samples 205
39 31 135
19% 15% 66%
>5 times LDL 54
29 21 4
54% 39% 7%


Table 11.4.2.4: Percentage Coarse Duplicate Assays *
Criteria Number 5% 10% 20% 25% 50% >= 50%
All Samples 205
164 178 189 193 195 10
80% 87% 92% 94% 95% 5%
>5 times LDL 54
31 43 51 53 53 1
57% 80% 94% 98% 98% 2%

The results show that the original assay was greater than or equal to the duplicate 61% of the
time. Although the original sample was greater than the duplicate more than half the time, the
results show that the difference between the assays was quite small with 80% being within 10%
of the original and 94% being within 20% of the original. Figure 11-1 also shows that the
variation between the samples is quite small.
Pulp Duplicates
Pulp duplicates were made after the pulverization stage to test the accuracy of the laboratory.
Apex Silver requests that pulp duplicates be made at a frequency of 1 in 20 samples. Table
11.4.2.5 presents a summary of the pulp duplicates and Table 11.4.2.6 presents the percentage of
the duplicates reporting within specific percentage ranges.
Table 11.4.2.5: Summary of Pulp Duplicates
All Samples 229
43 44 142
19% 19% 62%
>5 times LDL 58
30 26 2
52% 45% 3%

Table 11.4.2.6: Percentage Pulp Duplicate Assays*
Criteria Number 5% 10% 20% 25% 50% >= 50%
All Samples 229
186 198 211 212 218 11
81% 86% 92% 93% 95% 5%
>5 times LDL 58
45 54 58 58 58 0
78% 93% 100% 100% 100% 0%

About half of the original assays (55%) were greater than the duplicates, but the precision is
quite good with 93% within 10% of the original and 100% within 20% of the original.
11.4.3 Standard Samples
Apex Silver requested that Alex Stewart prepare and certify six standard samples from Quevar
material to test the silver assays and purchased standard samples from Geostats Pty primarily to
test the base metal assays. Table 11.4.3.1 presents the results of the analysis of the standard
samples and Figures 11-2 and 11-3 illustrate the results in graphical format. A failure is defined
as outside two standard deviations of the mean.

Table 11.4.3.1: Results of Standard Sample Analysis

Expected Value Ag Observed % of Failures
Standard Number Mean Std Dev Mean Std Dev Expected Mis-labels >22 Std Dev
STD-1 33 18.0 4.9 16.5 2.3 92% 0 0
STD-2 16 53.9 8.1 50.3 2.0 93% 0 0
STD-3 27 129.5 11.5 128.1 2.9 99% 0 0
STD-4 33 34.4 7.0 31.7 2.4 92% 0 0
STD-5 27 102.7 11.4 101.5 3.7 99% 0 0
STD-6 29 491.4 86.3 495.1 33.0 101% 0 1
GBM396-10 13 11.6 0.7 12.0 0.6 104% 0 0
GBM398-1 17 5.1 0.8 4.9 0.7 97% 0 0
GBM900-3 17 7.4 1.0 7.7 0.6 103% 0 0
GBM996-3 15 44.2 4.0 42.0 2.7 95% 0 1
Total 227 0 2

The results indicate that the laboratory has produced reliable results with the results within 7% of
the expected value for all samples.
11.5 Sample Security
Drill core and samples are kept in a locked facility at the El Quevar campsite. Prior to the
establishment of the camp, the samples were stored in a secure location at the companys facility
in Salar de Pocitos. Samples are shipped to Silex headquarters in Salta by company personnel
and then are shipped to the laboratory in Mendoza by a commercial carrier. Once the samples
were received by Alex Stewart, Silex had no further contact with the samples. As mentioned in
previous sections, Silex personnel received the prepared pulps from ALS Chemex to insert
QA/QC samples before shipment to the analytical laboratory in La Serena. Only the sample
identification numbers were changed, and the sample envelopes were not opened.
Silex personnel were responsible for logging, sampling, splitting, and shipping core to the
laboratory facilities, as is standard practice in exploration. No officer, director, or employee of
the company was involved in sample preparation once samples were received by the laboratory.
11.6 Interpretation
The sample preparation and analytic procedures used by Apex Silver are appropriate for the
metals that are tested and meet industry standards.
The QA/QC program meets or exceeds industry standards for blanks, standard and duplicate
samples. Analysis of the blanks, standard samples and duplicate samples indicate that ALS
Chemex is performing at an acceptable level. The blanks show that there is no contamination
during the sample preparation stage. The duplicate samples show increasing precision from core
duplicates to coarse duplicates to pulp duplicates, which is the expected outcome. The standard
sample analysis indicates that the lab has good precision in its analysis.
SRK recommends that Apex Silver also submit about 5% of its samples to a second laboratory as
a cross check on the primary lab.

The QA/QC program was not started until the 2008 drilling campaign during which ALS
Chemex was the primary lab. SRK suggests that Apex Silver submit pulps originally assayed by
Alex Stewart during the earlier campaigns to ALS Chemex for cross checks

SRK Job No.: 182801
File Name: Figure 11-1.docx Date: 01/30/09 Approved: LM
Figure: 11-1

0
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CoreDuplicates
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PulpDuplicates
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DuplicateAg g/t
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El Quevar,

Duplicate QA/QC Samples
SRK Job No.: 182801
Figure: 11-2

8
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A
g
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SampleSequence
GBM9963
Ag
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+2SD
2SD
El Quevar,

Standard Samples GBM
File Name: Figure 11-3.docx Date: 01/30//09 Approved: LM
Figure: 11-3

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El Quevar,

Standard Samples STD 1-6

12 Data Verification (Item 16)
12.1 Quality Control Measures and Procedures
Apex Silver has instituted several measures to ensure that the data produced by its exploration
programs meets industry standards. A field handbook has been developed that discusses rock
types, alteration, mineralization, procedures for drilling and mapping, and laboratory QA/QC
protocols to standardize all procedures in the field.
The assay data is received from the laboratory as electronic files and as hard copies of the assay
certificates. The electronic data is transferred directly to Microsoft Excel workbooks with six
separate sheets for collar coordinates, assays, downhole surveys, lithologic, alteration, and
oxidation information. The laboratory certificates are received as hard copies and are maintained
in the Silex office in Salta.
Silex personnel also visit the assay laboratories on a routine basis for inspection of preparation
and analytic procedures.
12.2 SRK Verification
SRK conducted a site visit to the property and the Silex office at which time the following
verification checks were conducted:
Visits to each of the exploration targets with examination of trenches, outcrops, and drill
pads;
Examination of drill core and logging and sampling procedures;
Comparison of lithologic logs to database;
Comparison of assay certificates to 10% of the database, with no errors detected;
Review of cross-sections and geologic model; and
Review and analysis of laboratory QA/QC procedures and results.
SRK did not identify any errors in the database and found the drilling and logging procedures to
meet industry standards.
12.3 Limitations
SRK did not independently collect and analyze samples from the Quevar property.


13 Adjacent Properties (Item 17)
Silex has provided the following information on adjacent properties. El Quevar is located within
an active exploration area. The Project lies within the La Reserva Natural Los Andes and the
municipality of San Antonio De Los Cobres. Adjacent properties include exploration permits
and exploitation concessions held by various mining companies and individuals. None of these
concessions have published resources and the mineralization at the Project does not extend onto
adjacent properties. To the north, the Project shares boundaries with SESA, Argentina
Diamonds, Ltd. and ADY Resources. On the east the concession boundaries are shares with
Desarrollo de Proyectos Mineros S.A., Arieu Sergio Roberto, Carlos Saravia and Arieu Pedro
Eugenio. BHP Billiton Exploration, Inc. SUC Argentina holds concessions adjacent to the south
and west of the Project. Also on the south is an adjacent concession held by La Milagros S.R.L.
and on the west a concession held by FMC Minera del Altiplano a subsidiary of FMC
Corporation.
In addition to this, there are 20 perlite quarries located within the El Quevar Project concession
block. This includes provisionary as well as active quarries. Companies and individuals holding
concessions for perlite quarries within the El Quevar concession block include the following:
Dalborgo Sergio Antonio (one quarry);
Casamiro Cresencio (one quarry);
Cruz Hipolito Gumercindo (one provisional quarry);
Fernandez Tomas Alberto (one provisional quarry);
Jose German Verimonte (two quarries);
Juan Morales Onix (one quarry);
Margehtti Ricardo Javier (three quarries);
Mariana Perlita Salta S.R.L. (one quarry);
Minaclar SCA (two quarries);
Patrico Martinez (one quarry);
Perfiltra S.A. (four quarries);
Roberto Lopez (one provisional quarry); and
Sola Juan Esteban (one quarry).
Access across land controlled by Apex is granted by the province and can only be contested if
access impinges on exploration or mining activities. Currently there are no agreements or
objections to activities being conducted either by the perlite quarry operators or Apex Silver in
the concession area concerning surface access.


14 Mineral Processing and Metallurgical Testing
(Item 18)
14.1 Metallurgical Testing
In 2008, Apex Silver commissioned Dawson Metallurgical Laboratories, Inc. of Salt Lake City,
Utah to complete test work on six sample composites from the El Quevar project. The
metallurgical program was designed to investigate the following:
Whole ore cyanidation;
Selective silver flotation followed by bulk sulfide pyrite flotation of the silver flotation
tailings;
Sequential sulfide silver-lead, zinc and pyrite flotation on a high-grade sulfide sample;
Cyanidation of the pyrite flotation tailings; and
Combined flotation and tailings cyanidation.
14.1.1 Procedures
Forty-five individual samples from drillholes were composited into six composites for the
metallurgical test program. The composites were designated as:
Oxide low grade;
Mixed medium grade;
Mixed high grade;
Sulfide low grade;
Sulfide medium grade; and
Sulfide high grade.
The composites were crushed through a 10 Tyler mesh and split into 1 kg charges. One charge
from each composite was then split into four 250g samples with two of the splits pulverized and
submitted for head analysis. Table 14.1.1.1 shows the results from the head analysis.
Table 14.1.1.1: Composite Head Analysis
%
Sample Ag-ppm Au-ppm Pb Pb
ns
Zn Zn
ns
Fe Bi As Sb Cu S (tot) S (sulf) S (=)
Oxide Low 58 <0.17 0.41 0.02 0.023 0.0019 3.25 0.008 0.17 0.061 0.013 3.64 0.751 2.89
Mixed Medium 251 <0.17 0.15 0.00 0.004 0.0019 2.18 0.082 0.08 0.095 0.048 4.37 0.761 3.61
Mixed High 2,020 0.27 1.02 0.12 0.022 0.002 4.16 0.086 0.37 0.302 0.016 3.24 1.04 2.20
Sulfide Low 72 <0.17 0.11 0.00 0.022 0.0018 4.83 0.022 0.04 0.042 0.07 7.50 0.376 7.12
Sulfide Medium 193 0.17 0.28 0.03 0.097 0.002 4.06 0.043 0.05 0.8 0.136 6.28 0.498 5.78
Sulfide High 832 0.58 1.60 0.18 1.70 0.0283 12.50 0.184 0.21 0.396 0.822 17.20 0.6 16.60

The whole ore leach tests were conducted at a pH of ~11 for 95h and 50% solids at a cyanide
concentration of 5/L and P
80
grinds of 69 to 78 microns.

Selective sulfide flotation was conducted using hydrated lime and sodium metabisulfite in the
primary followed by conditioning with Cytec 3418A and 3477 at a target grind of P
80
74
microns. A bulk flotation of the silver tailings was performed on the silver flotation tailings for
recovery of the pyrite by the addition of copper sulfate and potassium amyl xanthate.
Cyanidation tests of the flotation tailings were conducted for 72h using a 5g/L cyanide
concentration at pH11 and 50% solids.
14.1.2 Results
Whole Ore Leaching
Silver recovery from the whole ore leaching tests indicated recoveries between 57% and 83%
with the higher recoveries being obtained on composites with lower sulfur values. The cyanide
consumption rate was reasonable, varying between 1.4 to 3.4kg/t, except for the high-grade
sulfide sample at 10.4kg/t. In general, the leach kinetics indicate a 48h leach time as shown in
Figure 14-1. Table 14.1.2.1 summarizes the test results from the whole ore leaching.
Table 14.1.2.1: Test Results from Whole Ore Leaching
Assay (g/t-Ag) Ag Extracted
Test No. Composite Grind* P
80
- Assay Head Calc. Head Leach Residue g/t % NaCN Consumption (kg/t)
1 Oxide - Low-grade 71 58 62 26 36 58 1.4
2 Mixed - Medium Grade 71 251 263 45 218 83 2.7
3 Mixed - High-grade 69 2,020 2,060 343 1,718 83.4 3.1
4 Sulfide - Low-grade 78 72 72 40 32 44.2 2.2
5 Sulfide - Medium Grade 75 193 196 85 112 56.9 3.4
6 Sulfide - High-grade 72 832 884 335 552 62.4 10.4
* P
80
of leach residue.

Sulfide Flotation
The results from selective silver flotation tests indicate a wide range of recoveries, ranging from
36% to 96%, with the higher recoveries observed in the sulfide composites. Table 14.1.2.2
summarizes the test results from selective silver flotation.
Table 14.1.2.2: Test Results from Selective Silver Flotation
% Recovered by Flotation* Back-Calc Head
Test No. Grind P
80
- Composite Ag S= Ag-ppm wt%-S=
7 63 Low-grade Oxide 36.2 1.9 65 2.81
8 68 Mixed Medium Grade 74.5 21.5 314 3.48
9 68 Mixed High-grade 78.1 <1.0 1,785 2.3
10 80 Sulfide Low-grade 79.1 74.2 80 6.58
11 76 Sulfide Medium Grade 88.1 63.7 189 6.15
12 73 Sulfide High-grade 95.7 88.4 839 16.56
* Ag + pyrite ro's for all comps except sulfide high-grade which included Zn ro also.

The silver and bulk flotation tests showed good metal recoveries for silver, copper, lead and zinc
recoveries into the pyrite concentrate for the sulfide composites as shown in Table 14.1.2.3.

Table 14.1.2.3: Test Results from Silver and Bulk Sulfide Flotation
Recovered into Product (%)
Test No. Grind P
80
- Composite Product Wgt Ag Pb Cu Zn Fe As Sb Bi
7 63
Low-grade Oxide Ag Ro Con 1.62 32.9 2.2 19.6 3.3 3.3 1.6 2.4 13.5
Pyrite Ro Con 2.25 3.3 2.8 4.8 3 3.5 2.6 2.1 2.3
Flotation Tails 96.12 63.8 95 75.6 93.6 93.2 95.8 95.5 84.2
8 68
Mixed Medium Grade Ag Ro Con 2.08 50.3 2.9 69 26.2 23.8 6.1 13.5 34.8
Pyrite Ro Con 2.54 24.1 22 4.3 18.2 9.2 13.3 8 3.3
Flotation Tails 95.38 25.5 75.2 26.7 55.6 67 80.6 78.6 61.9
9 68
Mixed High-grade Ag Ro Con 1.75 77.2 2.4 21.7 20.2 4.5 1.9 5.9 8.5
Pyrite Ro Con 1.99 0.9 0.5 21.4 1.3 5.4 0.9 1.4 5.6
Flotation Tails 96.25 21.9 97.1 56.9 78.5 90.1 97.2 92.7 85.9
10 80
Sulfide Low-grade Ag Ro Con 2.19 16.4 6.2 16.4 13.1 10.4 12.7 13.2 10.8
Pyrite Ro Con 14.26 62.7 26 63.8 70.4 77.4 74 57.4 62.3
Flotation Tails 83.55 20.9 67.9 19.8 16.6 12.3 13.3 29.5 26.9
11 76
Sulfide Medium Grade Ag Ro Con 2.69 26.9 22 23 24.4 16.1 17.3 21.4 17.2
Pyrite Ro Con 11.01 61.2 41.7 67.9 71.5 70.4 54.2 54.5 66.5
Flotation Tails 86.31 11.9 36.4 9 4.1 13.5 28.5 24.1 16.3
12 73
Sulfide High-grade Ag Ro + Scav Con 3.47 36.4 43.2 27.9 26 2.7 16 28 20.2
ZnSO
4
/MBS Zn Ro Con 21.6 51 44.4 64.9 70.5 59.7 68.8 58.5 54.1
depressant Pyrite Ro Con 12.16 8.3 5.3 4.3 2 32 10.2 5 13
Flotation Tails 62.77 4.3 7 2.8 1.5 5.6 5 8.6 12.7
13 73
Sulfide High-grade Ag Ro + Scav Con 3.24 51.7 52.2 45.1 13.2 1.0 24.2 41.5 34.6
ZnSO
4
/NaCN Zn Ro Con 6.98 31.7 39.6 47.2 82.7 4.6 41 44 45.6
depressant Zn Ro Tails 89.78 16.5 8.2 7.7 4 94.4 34.8 14.5 19.8
* Selective Ag/Pb Followed by Zn Flotation Conducted on Sulfide High-grade Composite.

Flotation Tailings Cyanidation
Cyanidation test results of the flotation tailings indicate a wide range of silver recovery, between
43% and 85%, with the higher recoveries observed in the sulfide composites. Table 14.1.2.4
summarizes the test results from the flotation tailings cyanidation.
Table 14.1.2.4: Test Results from Flotation Tailings Cyanidation
Assay (g/t-Ag) Ag Extracted from Tails
Test No. Composite Grind
(2)
P80- Assay Head Calc Head Leach Residue g/t % Ag Extr. Overall NaCN Consump (kg/t)
14 Oxide - Low-grade 71 43 42 24 18 42.6 27.2 1.4
15 Mixed - Medium Grade 71 84 82 33 49 59.7 15.2 1.6
16 Mixed - High-grade 69 406 383 181 203 53 11.6 1.5
17 Sulfide - Low-grade 78 20 14 6 8 56.5 11.8 1.3
18 Sulfide - Medium Grade 75 26 24 7 17 70.3 8.4 1.4
19 Sulfide - High-grade 72 58 54 8 46 85.2 3.7 2.7
(1)
72h, 5g/L NaCN, 50% Solids.
(2)
P80 of whole ore leach residue.

The leach kinetics for the flotation tailings cyanidation show a 48h leach time (see Figure 14-2).

Combination of Flotation and Tailings Cyanidation
A combination of test results using flotation and tailings cyanidation indicates silver recoveries
between 63% and 99% as summarized in Table 14.1.2.5.
Table 14.1.2.5: Combined Silver Recovery from Flotation and Tailings Cyanidation
Ag Recovered, % from Ore Head Assay**
Composite Flotation Flot Tails Leach Total* oz/t-Ag wt% - S=
Low-grade Oxide 36.2 27.2 63.4 65 2.81
Mixed Medium Grade 74.5 15.2 89.7 314 3.48
Mixed High-grade 78.1 11.6 89.7 1,785 2.3
Sulfide Low-grade 79.1 11.8 90.9 80 6.58
Sulfide Medium Grade 88.1 8.4 96.5 189 6.15
Sulfide High-grade 95.7 3.7 99.4 839 16.56
* Flotation + Flotation Tails Leach.
** Head assay back-calculated from flotation tests.

Summary of Test Results
The results from the various test procedures indicate that viable silver recoveries was obtained on
the six El Quevar sample composites as summarized in Table 14.1.2.6.
Table 14.1.2.6: Summary of Test Results on El Quevar Sample Composites
Ag Recovered, % from Ore Head Assay**
Composite Flotation Flot Tails Leach Total* Whole Ore Leach oz/t-Ag S=, wt%
Low-grade Oxide 36.2 27.2 63.4 58 65 2.81
Mixed Medium Grade 74.5 15.2 89.7 83 314 3.48
Mixed High-grade 78.1 11.6 89.7 83.4 1,785 2.3
Sulfide Low-grade 79.1 11.8 90.9 44.2 80 6.58
Sulfide Medium Grade 88.1 8.4 96.5 56.9 189 6.15
Sulfide High-grade 95.7 3.7 99.4 62.4 839 16.56
* Flotation + Flotation Tails Leach.
** Head assay back-calculated from flotation tests.

The best test results yielded silver recoveries of about 90% using a combination of flotation and
tailings cyanidation on all six samples, except for the low-grade oxide, which exhibited a
recovery of 63.4%.
Based on the metallurgical test results, the envisioned flow sheet for the process plant would
comprise the following unit processes:
Primary crushing;
SAG and ball mill grinding with a vibrating screen and cyclones for size classification;
Rougher and cleaner flotation with regrind for the production of a final sulfide silver
concentrate;
Thickening, filtering, and packaging for shipment of final sulfide silver concentrate;
Leaching (cyanide) of the flotation tailings;

Counter-current decantation circuit with thickeners producing a silver-bearing PLS;
Merrill-Crowe circuit for processing the PLS solution producing a dor for shipment to
off-site refinery;
Cyanide destruction circuit; and
Disposal of final plant tailings.
Due to the complexity of the deposit and the identified rock types to date, future metallurgical
test work should investigate various flow sheet designs for the process plant so that individual
processing circuit(s) can be bypassed to optimize the plant operation and metal recoveries.

File Name: Figure 14-1.doc Date: 11-02-08 Approved: ALK
Figure: 14-1

El Quevar,

Source: Dawson Metallurgical
Laboratories, Inc.
Whole Ore Cyanide Leach
5g/L NaCN, 50% Solids
Silver Extraction Rate
File Name: Figure 14-2.doc Date: 11-02-08 Approved: ALK
Figure: 14-2

El Quevar,

Source: Dawson Metallurgical
Laboratories, Inc.
Rougher Tailings Cyanide
Leach 5g/L NaCN, 50%
Solids

15 Mineral Resources and Mineral Reserve
Estimates (Item 19)
SRK has conducted a resource estimation on the Yaxtch zone of El Quevar using Mapteks
Vulcan software.
15.1 Drillhole Database
The drillhole database was compiled and maintained by Silex personnel in Argentina. The
database was given to SRK as a Microsoft Excel workbook including six worksheets, containing
collar coordinates, downhole surveys, assays, lithology, alteration, and oxidation state.
The database contains 81 core holes drilled by Silex over the entire Quevar property. Three of
these holes were drilled adjacent to holes that did not reach the required depth. Forty-five
drillholes are contained within the Yaxtch resource area (Figure 15-1).
The drill samples were analyzed at Alex Stewart Assayers and ALS Chemex. All samples were
analyzed using a multi-element ICP package that includes silver by both labs. All samples from
drillholes QVD-001 through QVD-042 were also analyzed at Alex Stewart for silver by fire
assay with gravimetric finish. Samples from QVD-043 through QVD-078 were analyzed at ALS
Chemex with only the silver overlimits analyzed by fire assay with gravimetric finish. SRK used
a priority of fire assay first, then ICP, in the resource database.
The database has been verified by SRK and is considered to be of sufficient quality for resource
estimation.
15.2 Topography
The topographic survey for Quevar Sur was done by PDOP Servicios Topogrphicos (PDOP),
based in Mendoza. The survey was conducted in May and June of 2008 and covers the
exploration targets in the Quevar Sur area. PDOP used GPS Trimble R3 and Trimble ME Base
Station for the survey. The contour interval is 2m and the data is in the Grauss-Kruger
Projection, Datum WGS-84. The topographic data was provided to SRK as point file in Excel
and as an AutoCAD drawing file.
PDOP also surveyed drillholes, trenches, and other exploration points requested by Silex at the
end of the annual field seasons.
15.3 Geology
The silver mineralization is contained within the breccia zone that trends about 290 and dips
approximately 50 to the north. The higher grade silver mineralization is concentrated along the
upper and lower margins of the breccia zone. There is a clear grade boundary between
unmineralized rock and the mineralized breccia. SRK created a grade shell by constructing
cross-sections perpendicular to the trend of the mineralization and drawing polygons around the
mineralized intercepts at a 10g/t Ag cut-off. Fifteen cross-sections were constructed about 50m
apart. The polygons were snapped to the drillholes to ensure that all relevant assays were
included within the grade shell. Figures 15-2, 15-3, 15-4 show the grade shell in plan view,
oblique view and in cross-section, respectively. Table 15.3.1 presents statistics of assay intervals
within the grade shell.

Table 15.3.1: Statistics of Raw Silver Assay Intervals within the Yaxtch Grade Shell
Statistic Value
Mean 71
Median 16
Standard Deviation 287
Minimum 0
Maximum 7,304
CV 4.0
Count 1,600

15.4 Oxidation State
The database contains information on oxidation state for each drillhole. Intervals were coded as
oxidized, mixed, or sulfide. SRK constructed triangulated surfaces with Vulcan software to code
the cells in the block model with the appropriate code.
Statistics were run for the assay data by oxidation type (Table 15.4.1) to determine the need to
model silver grades by oxidation type. The assays were also visually reviewed by drillhole to
see if there was a difference in grade at the change in oxidation state. Based on the visual
examination and the statistics, SRK decided that there is no clear differentiation in silver grades
by oxidation state and did not use oxidation type in the estimation.
Table 15.4.1: Raw Silver Assay Statistics by Oxidation Type
All samples Samples < 1,500g/t
Statistic Oxide Mixed Sulfide Mixed Sulfide
Mean 61 150 65 76 54
Median 25 26 15 24 15
Standard Deviation 148 697 230 157 136
Minimum 0 1 0 1 0
Maximum 1,445 7,304 4,470 1,020 1,372
CV 2.4 4.6 3.5 2.1 2.5
Count 140 118 1342 116 1337

15.5 Specific Gravity
Apex has performed 260 density measurements on core samples from 17 drillholes using the
water displacement methodology. The methodology is as follows:
Core samples 10cm in length were selected at a frequency of about 10 to 15m downhole;
Samples were dried and if necessary, coated with varnish to make the sample
impermeable;
The rock type and oxidation state were noted on the data sheet as well as the length of the
sample and whether it was whole or half core;
The scale was set to 0 and the core sample was weighed;
A graduated test tube was filled 1,000mL of water, and the level was noted on the data
sheet;

The sample was placed in the water and the water level was noted;
The density was calculated according to the following equation;
Weight of Rock (g)/(Volume of water (ml) Volume of sample(mL))
Twenty-one samples are within the Yaxtch mineralized envelope including sixteen breccias
samples. Within the mineralized envelope, one sample is oxide, three are mixed and the
remainder are sulfide. The locations of the density samples are shown in Figure 15.5.
SRK determined outlier values based on observation of plots of SG values for the breccia only
(Figure 15.6) and for all material by oxidation state (Figure 15-7). Table 15.5.1 presents
statistics of the SG measurements of the breccia and non-breccia material, inside and outside the
grade shell.
Table 15.5.1: Specific Gravity Statistics
Breccia Non-Breccia
Statistic All* Grade Shell* Oxide** Sulfide*** Unclassified
Mean 2.36 2.35 2.11 2.24 2.41
Median 2.36 2.33 2.11 2.23 2.44
Standard Deviation 0.14 0.14 0.10 0.13 0.18
Minimum 2.08 2.17 1.95 1.85 2.01
Maximum 2.58 2.58 2.26 2.62 2.64
CV 0.06 0.06 0.05 0.06 0.08
Count 40 15 20 165 18
* Excludes outlier value of 3.89
** Oxide excludes outlier values of 1.69, 2.52, 2.53, and 2.58
*** Sulfide excludes outlier values of 1.23 and 5.83

The majority of the samples from the brecciated material are sulfide, with only one oxide and
two mixed samples. The majority of the material inside the mineralized envelope is breccia.
SRK has assigned the following SG values to the block model based on the SG data that has
been obtained thus far:
Outside the Grade shell;
o Oxide 2.11,
o Mixed 2.16, and
o Sulfide 2.24.
Inside Grade Shell;
o Oxide 2.11,
o Mixed 2.16, and
o Sulfide 2.35.
15.6 Grade Capping
The assays within the grade shell were plotted on log normal probability plots to determine the
presence of outliers, which could materially impact grade estimation (Figure 15-8). Four silver

grades at 2,000g/t (99.8 percentile) occur as outliers to the assay values and those grades were
capped prior to compositing. Table 15.6.1 presents statistics of the capped assays.
Table 15.6.1: Statistics of Capped Silver Assay Intervals within the Yaxtch Grade Shell
Statistic Value
Mean 65
Median 16
Minimum 0
Maximum 2,000
CV 2.9
Count 1,600

15.7 Compositing
The assays were composited on 2m downhole intervals starting at the top of the drillhole, with
breaks at the grade shell boundary. Thus, the composite intervals within the grade shell are 2m
in length except where the drillhole exits the grade shell. The 2m interval was chosen to
regularize the assay intervals which are predominately 1m or 2m in length. The average length
of composites is 1.97m. Table 15.7.1 presents statistics of the composite data.
Table 15.7.1: Statistics of Silver Composite Intervals within the Yaxtch Grade Shell
Statistic Value
Mean 64
Median 19.7
Minimum 0
Maximum 1866
CV 2.4
Count 853

15.8 Variogram Analysis
SRK developed variograms for Ag using the corellogram function and the 2m composites within
the grade shell. Spherical modeling was used to fit the experimental variograms. Table 15.81
presents the fitted variogram parameters.
Table 15.8.1: Silver Variogram Parameters
Parameter Value
Nugget 0.5
Sill differential 0.499
Orientation of Ellipsoid
Bearing 020
Plunge -50
Dip 00
Range
Major 75m
Semi-major 50m
Minor 10m

15.9 Grade Estimation
A block model for the Yaxtch area was created in Vulcan with coordinates and block size as
shown in Table 15.9.1. The coordinates are in the Argentina System, Grauss-Kruger Projection,
WGS-84 Datum.
Table 15.9.1: El Quevar Block Model Limits
Direction Minimum Maximum Dimension Block Size (m)
East 3,418,400 3,419,400 1,000 10
North 7,306,200 7,307,400 1,200 10
Elevation 4,500 5,502 1,002 3

The block model contains variables for silver, oxidation state, density, percentage of the cell
within the grade shell, and class.
Silver grades were estimated within the grade shell using only composites within the grade shell
in two passes as shown in Table 15.92.
Table 15.9.2: El Quevar Grade Estimation Parameters
Parameter Pass 1 Pass 2
Search Ellipsoid
Bearing 020 020
Plunge -50 -50
Dip 00 00
Search distance
Major 75m 150m
Semi-major 75m 150m
Minor 20m 40m
Composites
Minimum 4 4
Maximum 10 10
Maximum/drillhole 3 3
Minimum Drillholes 2 2

The block grades were visually compared to the composite grades by section and by elevation. It
appeared that there had been some smearing of higher grade into areas where the composite
grades were relatively low. SRK therefore did an estimation to define waste blocks within the
grade shell with indicator kriging at 25g/t silver threshold. Composites with silver grades less
than 25g/t silver were assigned an indicator value of 0 and composites greater than 25g/t silver
were assigned a value of 1. The search parameters were the same as in Pass 2 in Table 15.8.2,
but with a minimum requirement of 1 composite and a maximum of 5 composites per block
estimation. Blocks with indicator values less than 0.50 were considered waste and not used in
the resource statement. Figures 15-9 and 15-10 present a typical cross-section and plan view of
the block model.
15.9.1 Model Validation
The block model was validated by the following procedures:
Visual inspection of block and composite grades by section and elevation;

Comparison of kriged grades and composite grades in swath plots; and
Comparison of kriged grades and nearest neighbor estimates.
SRK examined block and composite silver grades by cross-sections oriented perpendicular to the
grade shell (azimuth 020) and parallel to the strike of the grade shell (azimuth 290), as well as
by elevation. The block grades compared well to the composite grades once the waste blocks
had been defined as described in the section above.
SRK generated swath plots at 75m intervals west to east and at 30m elevation ranges (Figure 15-
11). The swath plots show some smoothing as would be expected in a kriging estimation.
SRK also did a nearest neighbor estimation and compared the two estimates visually and tested
for global bias and conservation of metal by comparing statistics at a 0.0g/t silver cut-off. Table
15.9.1.1 presents the tonnage and grade of both estimations.
Table 15.9.1.1: Comparison of Kriged and Nearest Neighbor Estimations
Grades Tonnage Min Max Average
Kriged Model 14,234,725 0.97 647 54.1
Nearest Neighbor 14,222,564 0.25 1,867 52.5
Percent Difference 0.1% 2.9%
(Kriged-NN)/Kriged)

15.10 Resource Classification
Resources were classified according to CIM guidelines as indicated and inferred based on the
following criteria:
Study of variogram ranges; and
Study of geologic model and grade distribution.
Blocks that were estimated in the first pass, within 1 variogram range and with a minimum of
two drillholes, were classified as indicated. Blocks estimated in the second pass, within 2
variogram ranges, and also with a minimum of two drillholes were classified as inferred.
15.11 Cut-off Grade
The resource cut-off grades were determined for oxide and mixed/sulfide based on silver price,
metallurgical recoveries and open pit or underground mining methods. The following
parameters were used to calculate the cut-off grades:
Silver price: $12.00/oz - $0.39/g
Recovery: Oxide 65%
Mixed 90%
Sulfide 95%
Process: $20/t
Mining: Open Pit - $1.75/t
Underground - $25/t

The cut-off grade was calculated for open pit and underground separately by the following
equation:
(Process cost + Mining cost) / (Silver price / recovery)
SRK ran a pit optimization on the Yaxtch resource with the above parameters and the resulting
pit contained all the oxide material. Apex Silver plans to mine the mixed and sulfide material by
underground methods should future studies indicate that the deposit is economically viable.
Therefore the cut-off grade for the oxide resource is 85g/t silver and the cut-off grade for the
mixed/sulfide resource is 120g/t silver.
15.12 Resource Statement
The resources for the Yaxtch deposit at El Quevar are contained in Table 15.12.1
Table 15.12.1: Resource Statement, Yaxtch Deposit, as of December 31, 2008
Source Class Cut-off kt Ag g/t Ag koz
Oxide
Indicated 85 304 168 1,644
Inferred 85 94 259 784
Mixed
Indicated 120 156 237 1,192
Inferred 120 5 322 50
Sulfide
Indicated 120 939 197 5,954
Inferred 120 7 202 46
Total
Indicated 1,399 195 8,790
Inferred 106 258 881

15.13 Mineral Resource Sensitivity
Tables 15.13.1 and 15.13.2 contain tonnage and grade of the Yaxtch Indicated and Inferred
resources, respectively, at various silver cutoffs. The grade tonnage curves are shown in Figure
15.12.
Table 15.13.1: Tonnage and Grade of Indicated Resource by Cut-off
Cut-off (Ag g/t) Ag g/t kt
25 98 5,075
50 123 3,611
75 152 2,439
100 181 1,687
125 208 1,216
150 237 865
175 269 611
200 301 438
225 327 338
250 351 267


Table 15.13.2: Tonnage and Grade of Inferred Resource by Cut-off
Cut-off (Ag g/t) Ag g/t kt
25 143 232
50 198 154
75 244 115
100 271 99
125 292 87
150 299 83
175 311 76
200 334 65
225 340 61
250 353 54

File Name: Figure 15-1.docx Date: 11-02-08 Approved: LEM
Figure: 15-1

El Quevar,

Yaxtch Drillhole
Location Map
Figure: 15-2

El Quevar,

Grade Shell
Plan View
Figure: 15-3

El Quevar,

Grade Shell
Oblique View, Looking West
Figure: 15-4

El Quevar,

Grade shell Cross-section
Looking West
SRK Job No.: 182801
Figure: 15-5

El Quevar,

Location Map
Specific Gravity samples
Figure: 15-6

El Quevar,

Specific Gravity Plot for
Breccia Samples
1.5
2
2.5
3
3.5
4
4.5
1 11 21 31 41
S
p
e
c
i
f
i
c
G
r
a
v
i
t
y
SampleNumber
SG Breccia
InsideYaxtcheMineralizedEnvelope
OutsideYaxtcheMineralizedEnvelope
Figure: 15-7

El Quevar,

Specific Gravity
By Oxidation State
Figure: 15-8

El Quevar,

Probability Plot of
Silver Assays
Figure: 15-9

El Quevar,

Block Model Cross-section,
Looking West
Figure: 15-10

El Quevar,

Block Model Elevation 4795
Figure: 15-11

El Quevar,

Swath Plots
Block Model vs. Composites
50
100
150
200
250
300
1 2 3 4 5 6 7 8 9
A
g
g
/
t
75MBlock WesttoEast
SwathPlotWesttoEast
Ag_comp
Ag_block
20
40
60
80
100
120
4540 4570 4600 4630 4660 4690 4720 4750 4780 4810 4840
A
g
g
/
t
Elevation
SwathPlotbyElevation
Ag_Comp
ag_block
Figure: 15-12

El Quevar,

Grade Tonnage Curve
Indicated and Inferred
Resources
0
50
100
150
200
250
300
350
400
1,000
2,000
3,000
4,000
5,000
6,000
0 50 100 150 200 250 300
A
g
g
/
t
K
t
CutoffGrade g/t
GradeTonnageCurve Indicated
Kt
Ag
0
50
100
150
200
250
300
350
400
50
100
150
200
250
0 50 100 150 200 250 300
A
g
g
/
t
K
t
CutoffGrade g/t
GradeTonnageCurve Inferred
Kt
Ag

16 Other Relevant Data and Information (Item 20)
There is no other relevant data or information for El Quevar.


17 Interpretation and Conclusions (Item 21)
The El Quevar property is a volcanic hosted silver deposit occurring within a regional fault zone.
The host rock has been brecciated and mineralized along a structure that trends about 290 and
dips about 50 to the north. The Yaxtch deposit has been drilled along a strike length of 650m
and is open to the east and west. The structure appears to have been faulted at both east and west
ends and a possible extension have been identified, but not yet drilled. Gold, copper, lead, and
zinc minerals are also present in the structure. The metals show a zonation with silver and lead
present at the margins of the breccia zone, gold in the core of the zone and zinc at the lower
elevations.
Several additional target areas have been defined at Quevar Sur, including Yaxtch, Mani,
Copan, Andrea, and Argentina. Quevar Norte and Viejo Campo also have promising exploration
targets that have not yet been drilled, with the exception of two holes in Quevar Norte.
17.1 Field Surveys
Apex has undertaken exploration at El Quevar using a systematic approach and according to
industry best practices. Several target areas have been identified based on the presence of
outcropping breccia. Typically, target exploration was initiated with mapping and sampling,
followed by trenching and sampling to define drill targets. All drilling is HQ and NQ sized core.
Apex Silver has established procedures to ensure that data is collected in a systematic manner,
and have ensured that appropriate QA/QC protocols have been implemented.
17.2 Analytical and Testing Data
Samples have been analyzed by Alex Stewart in Mendoza and ALS Chemex in Mendoza and La
Serena, Chile. Both of these laboratories are local facilities of international laboratories. Apex
Silver is using appropriate sample preparation and analytic procedures for this type of
mineralization and has a proper laboratory QA/QC program in place.
17.3 Exploration Conclusions
The Quevar project covers an area of about 20km x 30km with excellent exploration potential.
Apex Silver has been conducting exploration for the past 4 years in a systematic and thorough
manner and has identified several targets in Quevar Sur on which they have conducted drilling.
The exploration practices adopted by Apex Silver meet or exceed industry best practices.
17.4 Resource Estimation
SRK has conducted a resource estimation on the Yaxtch target using ordinary kriging within a
grade shell constructed at a 10g/t silver cutoff. Waste blocks within the grade shell were further
delimited with indicator kriging at 25g/t silver cut-off to minimize smearing of grade. Oxide,
mixed and sulfide zones were defined, and separate cutoff grades were determined for oxide as
potentially mineable by open pit and for mixed/sulfide as potentially mineable by underground
methods.
Apex Silver has conducted specific gravity measurements on core samples, but only 15 are
within the Yaxtch grade shell, and of those, only one is oxide and two are mixed. SRK has
assigned a specific gravity value to oxide and mixed blocks based on the average of all oxide and
mixed blocks, respectively and separate values to sulfide within and outside the grade shell based

on the average values inside and outside the shell. SRK recommends that additional tests be
conducted on the half core that is archived at site.


18 Recommendations (Item 22)
Apex Silver has been conducting exploration at Quevar over the last four years in a systematic
manner. The Yaxtch trend has received the most drilling to date and a resource has been
estimated for that area. It appears that the western extension has been offset by faulting and the
eastern extension has not yet been limited by drilling. In addition, several other targets have
been defined in surface mapping and sampling programs and in a recent reinterpretation of
geophysical data.
18.1 Recommended Work Programs and Costs
SRK recommends that following work programs at El Quevar:
Conduct additional specific gravity tests on the half core archived at the Quevar site to
obtain more data for Yaxtch especially on material within the grade shell. This work
can be performed during the ongoing exploration program at an estimated cost of
US$5,000;
Perform check analyses at ALS Chemex on the pulps originally analyzed by Alex
Stewart prior to initiation of the QA/QC program. These samples should also include
blank and standard reference samples. It is also recommended that pulps originally
analyzed at ALS Chemex should be checked at Alex Stewart. Approximately 10% of the
pulps should have check analyses performed, or about 200 samples. It is estimated that
the cost would be approximately US$10,000;
Continue exploration at Quevar, specifically to;
o Explore the west and east extensions of Yaxtch,
o Test geophysical targets generated from the new interpretation in 2008, and
o Define further drill targets through continued surface mapping and sampling.
It is recommended that the drilling program start with approximately 1,500m of drilling at
Yaxtch followed by an evaluation of the results and a follow up program. The cost of this
program is US$600,000


19 References (Item 23)
Alvarez, N. and Blakestad, B., 2009, Personal Communication.
Arce, O.R., 2008, Metalogenia y Yacimientos Metalferos de Bolivia, Presentated at: XXVII
Curso Latinoamericano de Metalogenia UNESCO-SEG-SGA, La Paz, Bolivia, Agosto de
2008.
Brockway, M., 2008, Petrografas and Calcografas de 24 Muestras de Sondajes de
Exploraciones El Quevar, Unpublished Report for Silex Argentina, S.A., 9p.
Brockway, M., 2008a, Electronic Microscopy Study of El Quevar Drillholes Samples,
Unpublished Report for Silex Argentina, S.A., 32p.
Cambrub, A., and Albinson, T., 2006, Depsitos eptermales en Mxico: actualizacin de su
conocimiento y reclasificacin emprica, in: Boletn de la Sociedad Geolgica Mexicana
Volumen Conmemorativo del Centenario, Revisin de Algunas Tiplogas de Depsitos
Minerales de Mxico, Tomo LVIII, Nm. 1, pp. 27-81.
Charchafli, D., Tosdal, R.M., and Mortensen, J.K., 2007, Geologic Framework of the Veladero
High-Sulfidation Epithermal Deposit Area, Cordillera Frontal, Argentina, Economic
Geology, vol. 102, pp. 171-192.
Sillitoe, R.H., 2008, Major Gold Deposits and Belts of the North and South American
Cordillera: Distribution, Tectonomagmatic Settings, and Metallogenic Considerations,
Economic Geology, v. 103, pp. 663-687.
Dawson Metallurgical Laboratories, Inc. (July 2, 2008), Report Describing Preliminary
Cyanidation and Flotation Testing of Several Composite Samples from the El Quevar
Project, prepared for Apex Silver Mines Corp.
Taylor, B.E, 2007, Epithermal Gold Deposits, Natural Resources of Canada Website, 27p.
http://gsc.nrcan.gc.ca/mindep/, accessed January, 2009.
Godoy, B., 2007, Argentina: Mining Prospecting and Exploration Legal Framework-Guidelines
for Foreign Investors, 02 January 2007, Environmental & Energy website accessed
January 8, 2009, http://www.mondaq.com/article.asp?articleid=45028.
Guilbert, J.M. and Park, C.F.Jr., 1986, The Geology of Ore Deposits, W.H. Freeman Company,
New York, New York, p532-537.
Mercardo, Norberto, 2009, Personal Communication.
PDOP Servicios Topogrphicos, 2007, Informe Tcnico de los Levantimientos Topogrficos en
las Zonas del Proyecto Quevar, Memo to Silex Argentina.
PDOP Servicios Topogrphicos, 2008, Informe Tcnico de los Levantimientos Topogrficos en
las Zonas del Proyecto Quevar, Memo to Silex Argentina.
Quantec Geoscience Argentina, S.A., 2008, Geophysicla Report on: 3D Off-Set Pole Dipole
Survey at El Quevar Project, Salta, Argentina, Unpublished Report for Silex Argentina,
S.A., 41p.
Silex Argentina S.A., 2006, Proyecto El Quevar, Unpublished Internal Report, 17p.

Silex Argentina S.A., 2007, El Quevar Project, Drilling Campaign Report, February-June 2007,
Unpublished Internal Report, 21p.
Silex Argentina S.A., 2008, System for Granting Mining Property in the Argentine Republic,
Unpublished Internal Report.
Silex Argentina S.A., 2008a, El Quevar, Argentina-Property Description, Unpublished Internal
Report.
Silex Argentina S.A., 2008b, El Quevar Project, Drilling Campaign Report January-July 2008,
Unpublished Internal Report, 35p.
Petrinovic, I.A., 1999, La Caldera de colapso del Cerr o Aquas Caliente, Salta, Argentina:
evolucin y equema structural, Acta Geologica Hispanica, v.34, no2-3, p 243-253.
Vector Argentina S.A., 2008, Informe de Impacto Ambiental Para la Etapa De Prospeccin,
Prospecto Quevar VI, Proyecto el Quevar Departamento Los Andes, Provincia de Salta,
Environmental Report prepared for Silex Argentina, S.A.
Vector Argentina S.A., 2008a, Informe de Impacto Ambiental Campamento Habitacional e
Instalaciones Auxiliares, Proyecto El Quevar Salar de Pocitos Departamento Los Andes,
Provincia de Salta, Environmental Report prepared for Silex Argentina, S.A.


20 Glossary
20.1 Mineral Resources and Reserves
20.1.1 Mineral Resources
The mineral resources and mineral reserves have been classified according to the CIM
Standards on Mineral Resources and Reserves: Definitions and Guidelines (December 2005).
Accordingly, the Resources have been classified as Measured, Indicated or Inferred, the
Reserves have been classified as Proven, and Probable based on the Measured and Indicated
Resources as defined below.
A Mineral Resource is a concentration or occurrence of natural, solid, inorganic or fossilized
organic material in or on the Earths crust in such form and quantity and of such a grade or
quality that it has reasonable prospects for economic extraction. The location, quantity, grade,
geological characteristics and continuity of a Mineral Resource are known, estimated or
interpreted from specific geological evidence and knowledge.
An Inferred Mineral Resource is that part of a Mineral Resource for which quantity and grade
or quality can be estimated on the basis of geological evidence and limited sampling and
reasonably assumed, but not verified, geological and grade continuity. The estimate is based on
limited information and sampling gathered through appropriate techniques from locations such
as outcrops, trenches, pits, workings and drillholes.
An Indicated Mineral Resource is that part of a Mineral Resource for which quantity, grade or
quality, densities, shape and physical characteristics can be estimated with a level of confidence
sufficient to allow the appropriate application of technical and economic parameters, to support
mine planning and evaluation of the economic viability of the deposit. The estimate is based on
detailed and reliable exploration and testing information gathered through appropriate techniques
from locations such as outcrops, trenches, pits, workings and drillholes that are spaced closely
enough for geological and grade continuity to be reasonably assumed.
A Measured Mineral Resource is that part of a Mineral Resource for which quantity, grade or
quality, densities, shape, physical characteristics are so well established that they can be
estimated with confidence sufficient to allow the appropriate application of technical and
economic parameters, to support production planning and evaluation of the economic viability of
the deposit. The estimate is based on detailed and reliable exploration, sampling and testing
information gathered through appropriate techniques from locations such as outcrops, trenches,
pits, workings and drillholes that are spaced closely enough to confirm both geological and grade
continuity.
20.1.2 Mineral Reserves
A Mineral Reserve is the economically mineable part of a Measured or Indicated Mineral
Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include
adequate information on mining, processing, metallurgical, economic and other relevant factors
that demonstrate, at the time of reporting, that economic extraction can be justified. A Mineral
Reserve includes diluting materials and allowances for losses that may occur when the material
is mined.

A Probable Mineral Reserve is the economically mineable part of an Indicated, and in some
circumstances a Measured Mineral Resource demonstrated by at least a Preliminary Feasibility
Study. This Study must include adequate information on mining, processing, metallurgical,
economic, and other relevant factors that demonstrate, at the time of reporting, that economic
extraction can be justified.
A Proven Mineral Reserve is the economically mineable part of a Measured Mineral Resource
demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate
information on mining, processing, metallurgical, economic, and other relevant factors that
demonstrate, at the time of reporting, that economic extraction is justified.
20.2 Glossary
Table 20.2.1: Glossary
Term Definition
Assay: The chemical analysis of mineral samples to determine the metal content.
Capital Expenditure: All other expenditures not classified as operating costs.
Composite: Combining more than one sample result to give an average result over a larger distance.
Concentrate: A metal-rich product resulting from a mineral enrichment process such as gravity concentration or
flotation, in which most of the desired mineral has been separated from the waste material in the ore.
Crushing: Initial process of reducing ore particle size to render it more amenable for further processing.
Cut-off Grade (CoG): The grade of mineralized rock, which determines as to whether or not it is economic to recover its
gold content by further concentration.
Dilution: Waste, which is unavoidably mined with ore.
Dip: Angle of inclination of a geological feature/rock from the horizontal.
Fault: The surface of a fracture along which movement has occurred.
Footwall: The underlying side of an orebody or stope.
Gangue: Non-valuable components of the ore.
Grade: The measure of concentration of gold within mineralized rock.
Hangingwall: The overlying side of an orebody or slope.
Igneous: Primary crystalline rock formed by the solidification of magma.
Kriging: An interpolation method of assigning values from samples to blocks that minimizes the estimation
error.
Lithological: Geological description pertaining to different rock types.
Milling: A general term used to describe the process in which the ore is crushed and ground and subjected to
physical or chemical treatment to extract the valuable metals to a concentrate or finished product.
Mining Assets: The Material Properties and Significant Exploration Properties.
Stratigraphy: The study of stratified rocks in terms of time and space.
Strike: Direction of line formed by the intersection of strata surfaces with the horizontal plane, always
perpendicular to the dip direction.
Sulfide: A sulfur bearing mineral.
Variogram: A statistical representation of the characteristics (usually grade).


Abbreviations
The metric system has been used throughout this report unless otherwise stated. All currency is
in U.S. dollars. Market prices are reported in US$ per troy oz of gold and silver. Tonnes are
metric of 1,000kg, or 2,204.6lbs. The following abbreviations are used in this report.
Table 20.2.2: Abbreviations
Abbreviation Unit or Term
A amp
AA atomic absorption
Ag silver
Au gold
C degrees Centigrade
cm centimeter
cm
2
square centimeter
cm
3
cubic centimeter
degree (degrees)
dia. diameter
EIR Environmental Impact Report
FA fire assay
g gram
g/L gram per liter
g/t grams per tonne
h hour
ha hectares
kg kilograms
km kilometer
km
2
square kilometer
koz thousand troy ounce
kt thousand tonnes
kV kilovolt
kVA kilovolt amperes
Ma mega years
m meter
m
2
square meter
m
3
cubic meter
masl meters above sea level
mg/L milligrams/liter
mL milliliter
mm millimeter
mm
2
square millimeter
mm
3
cubic millimeter
Mt million tonnes
NI 43-101 Canadian National Instrument 43-101
oz troy ounce
% percent
ppb parts per billion
ppm parts per million
QA/QC Quality Assurance/Quality Control
SG specific gravity
t tonne (metric ton) (2,204.6 pounds)
y year

Appendix A
Certificate of Author

Group Offices in: North American Offices:
Australia Denver 303.985.1333
North America Elko 775.753.4151
Southern Africa Reno 775.828.6800
South America Tucson 520-544-3688
United Kingdom Toronto 416.601.1445
Vancouver 604.681.4196
Yellowknife 867-699-2430
SRK Consulting (U.S.), Inc.
7175 West J efferson Avenue, Suite 3000
Lakewood, Colorado
USA 80235
e-mail: denver@srk.com
web: www.srk.com
Tel: 303.985.1333
Fax: 303.985.9947

CERTIFICATE of AUTHOR

I, Leah Mach, CPG, MSc do hereby certify that:

1. I am a Principal Resource Geologist of:

SRK Consulting (US), Inc.
7175 W. Jefferson Ave, Suite 3000
Denver, CO, USA, 80235

2. I graduated with a Master of Science degree in Geology from the University of Idaho in 1986.

3. I am a member of the American Institute of Professional Geologists.

4. I have worked as a Geologist for a total of 22 years since my graduation in minerals
exploration, mine geology, project development and resource estimation.

5. I have read the definition of qualified person set out in National Instrument 43-101 (NI
43-101) and certify that by reason of my education, affiliation with a professional
association (as defined in NI 43-101) and past relevant work experience, I fulfill the
requirements to be a qualified person for the purposes of NI 43-101.

6. I am responsible for all Sections of the technical report titled NI 43-101 Technical Report on
Resources, Apex Silver Mines Corporation, El Quevar Project, and dated February 27, 2009
(the Technical Report) relating to the Lucky Jack property. I visited El Quevar Project
property during the week of November 9, 2008 for four days.

7. I have not had prior involvement with the property that is the subject of the Technical Report.

8. I am independent of the issuer applying all of the tests in section 1.4 of National Instrument
43-101.

9. I have read National Instrument 43-101 and Form 43-101F1, and the Technical Report has
been prepared in compliance with that instrument and form.

10. I consent to the filing of the Technical Report with any stock exchange and other regulatory
authority and any publication by them for regulatory purposes, including electronic
publication in the public company files on their websites accessible by the public, of the
Technical Report.

SRK Consulting (US), Inc. Page 2 of 2

Certificate of Author.LM.doc

11. As of the date of this certificate, to the best of my knowledge, information and belief, the
Technical Report contains all scientific and technical information that is required to be
disclosed to make the Technical Report not misleading.

Dated this 27
th
Day of February, 2009.

Leah Mach, CPG, MSc CPG 10940
(Signed) (Sealed)

Apex Silver Mines Corporation, NI 43-101 Technical Report on Resources, El Quevar Project,
Argentina, January 31, 2009

Dated this 27
th
Day of February, 2009.

Leah Mach, CPG MSc CPG 10940
(Signed) (Sealed)

ElQuevar NI 3-101 Tech Report FIN SM

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