VANCOUVER, BRITISH COLUMBIA–(EMWNews – July 21, 2008) – Oro Silver Resources Ltd. (“Oro Silver”) (TSX VENTURE:OSR) announce that it has executed the formal agreement with Silvrex Ltd. (“Silvrex”) whereby Silvrex can acquire a 60% interest in the Mihuatlan property from Oro Silver by spending US$3.0 million on exploration at the property and issuing one million ordinary shares of Silvrex to Oro Silver over a three year period.

A National Instrument 43-101 report, entitled “Technical Report for the Mihuatlan Property, Mexico State, Mexico”, is available on Oro Silver’s website at www.orosilver.com. This report presents the technical work completed to date and the recommended exploration program to test the defined targets.

A historic resource of approximately 10 million ounces of silver (1 million tonnes at 300 g/t silver and 1 g/t gold) was reported at Mihuatlan by the Mexican government (Consejo de Recursos Minerales, Mexico) in the 1980’s based on the completion of 70 core holes. Significant drill intercepts include 4.4 metres of 670 g/t silver and 1 g/t gold, and 9.6 metres of 147 g/t silver (downhole length). Oro Silver views the historic resource as an indication of the occurrence of mineralized rocks only, as the resource is not compliant with National Instrument 43-101 guidelines.

“This transaction is an example of Oro Silver’s aggressive growth strategy to quickly advance its assets. This agreement with Silvrex also demonstrates our intent to associate ourselves with other quality explorers that can provide capital to advance our properties and deliver results for our shareholders,” stated Mr. Herve Thiboutot, Chief Executive Officer & Vice-President Exploration of Oro Silver.

Oro Silver has ownership in over 46 concessions in Mexico, mostly located in the states of Zacatecas, Mexico, and Sinaloa; some of these concessions are available for option.

Oro Silver exploration programs are supervised by Mr. Herve Thiboutot, P. Eng., Chief Executive Officer and Vice-President of Exploration. Mr. Thiboutot is a qualified person as defined by National Instrument 43-101, and has reviewed the content of this press release.

About Silvrex

Silvrex is an unlisted UK-based exploration company that is building a portfolio of silver/gold assets with near-term production potential in Mexico, Europe and Africa.

About Oro Silver

Oro Silver is a silver exploration company pursuing early and advanced stage silver-based opportunities primarily in the western hemisphere. The company is focused on (i) developing resources and optimizing milling processes at its Vetagrande and El Compas Mines in Zacatecas, Mexico, and (ii) completing additional strategic acquisitions. Oro Silver’s strategy is to become a mid-tier silver producer through an aggressive acquisition and development plan focused on advanced-stage projects with known silver resources that exhibit potential for expansion.

ON BEHALF OF THE BOARD OF DIRECTORS,

Herve Thiboutot, Chief Executive Officer

Some statements in this release may contain forward-looking information. These statements include, but are not limited to, statements with respect to future exploration, resource estimation, development and production activities and future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the time and success of future exploration, development and production activities and the timing and amount of expenditures.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.