Drilling
Success Continues at Promontorio as Kootenay Hits 205 meters of 117 gpt Silver
Equivalent in Step-Out Drilling in Southwest Zone that includes 169 gpt Silver
Equivalent over 50 meters.
Kootenay Gold Inc. (TSX VENTURE:
KTN.V) is pleased to announce assay results from the first seven holes of its
ongoing 25,000 meter multi-phase drilling program on its Promontorio Silver
project in Sonora, Mexico.
Results include three holes (DH 54 to 56) of in-fill drilling of the Pit
Resource and four holes (DH 58 to 61) into the Southwest Zone outside of the
Pit Resource designed to confirm continuity between the two mineralized areas.
Results from the first seven holes demonstrate widely disseminated Zones of
silver mineralization extend beyond current resource boundaries and
continuation of higher grades within the Pit Resource.
States Kootenay President and CEO James McDonald "We are very
pleased with results from the first seven holes of our 25,000 meter drill
program. Not only is diamond drilling continuing to hit higher grades of silver
at depth where previous drilling bottomed out in silver mineralization within
the Pit resource itself, equally important to our resource expansion program,
we are seeing continuity of silver mineralization developing in the Southwest
Zone from step-out drilling that returned impressive intervals and grades of
widespread silver mineralization extending to depth".
Highlights
from the seven holes include:
DH 54
- 80 gpt
Silver Equivalent over 103 meters including 105 gpt Silver Equivalent over
68 meters.
- DH 54
tested 120 meters down dip of DH 53 (146 gpt Silver Equivalent over 234
meters announced May 31, 2011).
DH 56
- 116 gpt
Silver Equivalent over 251 meters including 186 gpt Silver Equivalent over
66 meters.
- DH 56
is on section with DH 55 and 57 and is in-fill drilling of the Pit
Resource and an approximate 25 meter step out to the Northeast of DH 53
and 54.
DH 61
- 96 gpt
Silver Equivalent over 182 meters including 290 gpt Silver Equivalent over
24 meters.
- DH 61
drilled outside of the Pit Resource shows mineralization continuing about
50 meters into the Southwest Zone.
- DH 58,
59 and 60 are on section with DH 61.
DH 60
- 71 gpt
Silver Equivalent over 107 meters including 237 gpt Silver Equivalent over
12 meters.
- 85 gpt
Silver Equivalent over 58 meters with 129 gpt Silver Equivalent over 23
meters in a second deeper interval.
DH 58
- 117 gpt
Silver Equivalent over 205 meters including 169 gpt Silver Equivalent over
50 meters and 152 gpt Silver Equivalent over 48 meters.
*See initial 25,000 meter drill highlights below - Visit www.kootenaygold.ca for complete Drill Results and Map
Outlined
in the following table are the full results:
Hole ID
|
Target
|
From
(m)
|
To
(m)
|
Interval
(m)
|
Ag
(gpt)
|
Pb
(%)
|
Zn
(%)
|
Pb+Zn
(%)
|
DH-054-11
|
Pit In-fill/SW Extension
|
269.00
|
280.00
|
11
|
17
|
0.38
|
0.35
|
0.73
|
DH-054-11
|
Pit In-fill/SW Extension
|
334.00
|
437.00
|
103
|
26
|
0.39
|
0.88
|
1.28
|
including
|
Pit In-fill/SW Extension
|
351.00
|
419.00
|
68
|
32
|
0.49
|
1.21
|
1.71
|
DH-054-11
|
Pit In-fill/SW Extension
|
535.00
|
537.00
|
2
|
41
|
0.93
|
0.01
|
0.95
|
DH-054-11
|
Pit In-fill/SW Extension
|
615.00
|
621.00
|
6
|
29
|
0.00
|
0.01
|
0.01
|
|
|
|
|
|
|
|
|
|
DH-055-11
|
Pit In-fill
|
92.00
|
94.00
|
2
|
149
|
2.51
|
4.06
|
6.57
|
DH-055-11
|
Pit In-fill
|
143.00
|
189.00
|
46
|
36
|
0.57
|
0.67
|
1.24
|
including
|
Pit In-fill
|
173.00
|
185.00
|
12
|
58
|
0.83
|
1.14
|
1.97
|
DH-055-11
|
Pit In-fill
|
282.00
|
288.00
|
6
|
86
|
1.29
|
0.99
|
2.28
|
DH-055-11
|
Pit In-fill
|
314.00
|
320.00
|
6
|
43
|
0.38
|
0.46
|
0.84
|
|
|
|
|
|
|
|
|
|
DH-056-11
|
Pit In-fill
|
73.00
|
93.00
|
20
|
52
|
0.00
|
0.01
|
0.01
|
DH-056-11
|
Pit In-fill
|
156.00
|
407.00
|
251
|
47
|
0.78
|
0.82
|
1.60
|
including
|
Pit In-fill
|
259.00
|
325.00
|
66
|
77
|
1.29
|
1.24
|
2.54
|
|
|
|
|
|
|
|
|
|
DH-058-11
|
Pit SW Extension
|
132.00
|
337.00
|
205
|
49
|
0.76
|
0.83
|
1.59
|
including
|
Pit SW Extension
|
156.00
|
204.00
|
48
|
62
|
0.91
|
1.20
|
2.11
|
including
|
Pit SW Extension
|
230.00
|
280.00
|
50
|
74
|
1.15
|
1.06
|
2.21
|
DH-058-11
|
Pit SW Extension
|
347.00
|
352.00
|
5
|
50
|
1.03
|
0.93
|
1.96
|
DH-058-11
|
Pit SW Extension
|
364.00
|
371.00
|
7
|
43
|
0.80
|
0.82
|
1.61
|
|
|
|
|
|
|
|
|
|
DH-059-11
|
Pit SW Extension
|
114.00
|
174.00
|
60
|
21
|
0.21
|
0.24
|
0.45
|
including
|
Pit SW Extension
|
147.00
|
149.00
|
2
|
166
|
1.96
|
2.11
|
4.06
|
including
|
Pit SW Extension
|
171.00
|
174.00
|
3
|
67
|
0.71
|
0.90
|
1.61
|
DH-059-11
|
Pit SW Extension
|
214.00
|
269.00
|
55
|
13
|
0.17
|
0.15
|
0.33
|
including
|
Pit SW Extension
|
266.00
|
269.00
|
3
|
63
|
1.05
|
0.49
|
1.53
|
|
|
|
|
|
|
|
|
|
DH-060-11
|
Pit SW Extension
|
94.00
|
201.00
|
107
|
31
|
0.40
|
0.52
|
0.92
|
including
|
Pit SW Extension
|
153.00
|
165.00
|
12
|
116
|
1.15
|
1.68
|
2.83
|
DH-060-11
|
Pit SW Extension
|
245.00
|
258.00
|
13
|
116
|
2.00
|
1.91
|
3.91
|
DH-060-11
|
Pit SW Extension
|
280.00
|
338.00
|
58
|
35
|
0.58
|
0.58
|
1.16
|
including
|
Pit SW Extension
|
284.00
|
307.00
|
23
|
51
|
0.89
|
0.92
|
1.81
|
|
|
|
|
|
|
|
|
|
DH-061-11
|
Pit SW Extension
|
157.00
|
161.00
|
4
|
43
|
0.60
|
0.64
|
1.23
|
DH-061-11
|
Pit SW Extension
|
178.00
|
217.00
|
39
|
34
|
0.52
|
0.62
|
1.14
|
DH-061-11
|
Pit SW Extension
|
279.00
|
375.00
|
96
|
72
|
1.27
|
1.30
|
2.58
|
including
|
Pit SW Extension
|
318.00
|
342.00
|
24
|
114
|
2.01
|
2.09
|
4.10
|
|
|
|
|
|
|
|
|
|
|
*Prices used in
Silver Equivalent (AgEq) Calculations:
|
|
|
|
|
|
|
Ag dollars/oz
|
$15.00
|
|
|
|
|
|
|
|
|
Zn dollars/lb
|
$0.91
|
|
|
|
|
|
|
|
|
Pb dollars/lb
|
$0.97
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
At present three diamond drill rigs are
operating on Promontorio with two stepping out in a systematic manner outside
of the Pit Resource to the Southwest and Northeast. The third rig is working on
stepping out from PC 28 in the Northeast Zone which previously bottomed in 237
gpt Silver Equivalent over 51 meters. (See news release April 4, 2011). PC 28
sits 700 meters outside and on strike to the current 43-101 Pit Resource.
The Company reports 10 additional drill
holes have been completed with samples sent to the lab for assaying. Three
additional holes are currently in progress on Promontorio.
Upcoming drilling will continue to
concentrate on step out and in-fill drilling offsetting the numerous silver
intercepts concentrated along a 1.0 kilometer long mineralized corridor that
includes the Pit Resource, Pit NE Zone, Northeast Zone and Southwest Zone.
The current 25,000 meter in-fill drilling and resource definition
program represents the single largest and most expansive drilling campaigns
conducted by Kootenay on the Promontorio Silver project to date.
Updated NI 43-101 Resource Calculation to Commence at Conclusion of
Program
Kootenay reports an updated NI 43-101 resource calculation on Promontorio
is planned to commence at the conclusion of the program. In anticipation of
further advancing the development of Promontorio, the Company reports
preliminary work for baseline, further metallurgical and scoping studies will
be initiated concurrent with the drilling program.
QA/QC
All holes
reported here were drilled with HQ sized diamond drill core with some sections
reduced down to NQ sized core. Core samples were cut using a core saw with 1 to
2 meter long sample intervals. All mineralized intercepts are drill core length
drilled across a vertically inclined breccia system at angles of 45 to 70
degrees. Dimensions of the breccia system are being determined. The current
resource sits approximately along 140 meters of strike by 60 meters of
horizontal width in a range of 20 to 90 meters and to a 400 meter depth.
Further Quality Assurance and Control procedures are posted on the Kootenay
Gold Inc. website.
The foregoing geological disclosure has also been reviewed by Mr. James
McDonald, P. Geo (a qualified person for the purpose of National Instrument
43-101 Standards of Disclosure for Mineral Projects). Mr. McDonald is the
President and CEO and a director of Kootenay.
ABOUT KOOTENAY
Kootenay Gold is actively developing mineral projects in the Sierra
Madre Region of Mexico and in British Columbia, Canada. The Company's flagship
property is the former producing Promontorio Silver mine in Sonora State,
Mexico. The Company's objective is to develop near term discoveries and long
term sustainable growth. Kootenay's management and technical team are proven
professionals with extensive international experience in all aspects of mineral
exploration, operations and venture capital markets. Multiple, ongoing J/V
partnerships in Mexico and Canada maximize potential for additional, new
discoveries while maintaining minimal share dilution.