Kootenay Silver Inc.

Published : October 23rd, 2013

KOOTENAY HITS 183 GPT SILVER EQV OVER 25 METERS (94 gpt Ag, 0.75 Au, 2.41% Pb+Zn) INCLUDING 305 GPT

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NEWS RELEASE
October 23, 2013
 
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KOOTENAY HITS 183 GPT SILVER EQV OVER 25 METERS (94 gpt Ag, 0.75 Au, 2.41% Pb+Zn) INCLUDING 305 GPT SILVER EQV OVER 5 METERS (162 gpt Ag, 0.83 Au, 4.83% Pb+Zn AS DRILL PROGRAM CONTINUES ON PROMONTORIO HIGH-GRADE ZONE

Kootenay Silver Inc. (TSX VENTURE: KTN.V) ("Kootenay") is pleased to announce assay results from a further 3 drill holes as part of its ongoing multi-phase drill and resource expansion program on its flagship Promontorio Silver Project in Sonora, Mexico. The current phase of drilling is focused on a series of high-grade silver intercepts recently identified within a new breccia zone of silver mineralization situated between the Pit and NE Zones. (See June 4, 2013 news release). All 3 holes intercepted significant mineralization. There are currently 7 additional holes finished that are either in the assay laboratory for processing or being prepared on site for delivery to the assay laboratory.

Drilling Highlights:

  • DH 191 Returned: 183 gpt Silver Eqv. Over 25.0 Meters
    • Including 305 gpt Silver Eqv. Over 5.0 Meters
    • Including 325 gpt Silver Eqv. Over 3.0 Meters
  • DH 190 Returned: 101 gpt Silver Eqv. Over 38.0 Meters
  • DH 192 Returned: 147 gpt Silver Eqv. Over 2.0 Meters
  • DH 192 Returned: 42 gpt Silver Eqv. Over 35.0 Meters

States Kootenay Silver President and CEO James McDonald "We are very pleased with initial results from the current program. All 3 holes drilled in the new breccia zone show high-grade mineralization is continuing from the Northeast Zone to the southwest towards the Pit Zone. The results are very positive as they are building on continuity of high-grade mineralization going into the Central Zone between the Pit and Northeast Zones. The holes sit in an area between the Northeast Zone and previous drill holes DH 183, 185, 186, 188, and underscore the potential for establishing continuity of higher grades throughout the zone and for adding substantial additional tonnage to the resource".

Hole ID

Target

From

To

Interval

*AgEq (Ag,Au,Pb,Zn)

Ag

Au

Pb

Zn

Pb+Zn

(m)

(m)

(m)

(gpt)

(gpt)

(gpt)

(%)

(%)

(%)

DH-190-13

NE Zone

218.00

236.00

18.0

59

28

0.38

0.33

0.19

0.52

DH-190-13

NE Zone

332.00

370.00

38.0

101

42

0.60

0.65

0.65

1.30

Including

NE Zone

339.00

352.00

13.0

164

68

1.05

1.01

0.95

1.96

DH-191-13

NE Zone

271.00

302.00

31.0

158

78

0.73

0.98

1.01

1.99

Including

NE Zone

277.00

302.00

25.0

183

94

0.75

1.18

1.22

2.41

Including

NE Zone

290.00

295.00

5.0

305

162

0.83

2.54

2.30

4.84

Including

NE Zone

299.00

302.00

3.0

325

163

1.30

1.95

2.64

4.59

DH-191-13

NE Zone

372.00

396.00

24.0

92

33

0.72

0.48

0.53

1.01

Including

NE Zone

372.00

375.00

3.0

266

80

2.49

1.24

1.37

2.61

DH-192-13

NE Zone

259.00

261.00

2.0

147

40

1.40

0.43

1.20

1.63

DH-192-13

NE Zone

273.00

308.00

35.0

42

16

0.34

0.25

0.15

0.41

*Assuming 100% Metallurgical Recovery
*Prices used in Silver Equivalent (AgEq) Calculations:
Ag dollars/oz.: $31.00
Au dollars/oz.: $1650.00
Pb dollars/lb.: $0.97
Zn dollars/lb.: $0.89

 

To view map of drill results visit: http://www.kootenaysilver.com/i/projects/Promontorio/NE_Zone_Plan.pdf

All holes are reported as drill lengths. Because of the meandering nature of mineralization within breccia's and surrounding stockworks determining dimensions of mineralization is only possible after numerous holes define the boundaries of mineralized bodies.

Current NI 43-101 Compliant Silver Resource

The current mineral estimate on Promontorio effective date March 31, 2013 (See May 14, 2013 news release) contains a combined Measured and Indicated silver resource of 92,428,000 silver equivalent ounces (39.9M oz's Ag, 508K oz's Au, 394.8M lb's Pb, 462.2M lb's Zn). In addition to the measured and indicated silver resources, there are an additional 26,814,000 silver equivalent ounces in the Inferred category (12.8M oz's Ag, 147 oz's Au, 99.5M lb's Pb, 109.1M lb's Zn). Measured and Indicated resources are contained in open pit resources of 44,504,000 tonnes grading an average of 64.32 gpt silver equivalent (27.77 gpt Ag, 0.35 gpt Au and 0.87% Pb+Zn) and resources outside of the open pit of 215,000 tonnes grading an average of 56.96 gpt silver equivalent (22.89 gpt Ag, 0.28 gpt Au and 0.95% Pb+Zn). Inferred resources are within open pit resources of 14,564,000 tonnes grading an average of 51.95 gpt silver equivalent (24.95 gpt Ag, 0.28 gpt Au and 0.59% Pb+Zn) and resources outside of the open pit of 1,265,000 tonnes grading an average of 61.17 gpt silver equivalent (26.57 gpt Ag, 0.37 gpt Au and 0.74% Pb+Zn). 

The current NI 43-101 Resource Estimation conducted on Promontorio by SRK Consulting Inc. (U.S.) of Lakewood, Colorado (See May 14, 2013 news release), included gold assay results in the updated resource estimation. As a result of the addition of gold, the mineral resource is now contained in a single larger optimized Whittle Pit, as opposed to two individual smaller pits as reported in the August 21, 2012 resource estimate.  The decision to include gold in the resource estimation follows extensive metallurgical testing and technical analysis conducted by ALS Minerals of Kamloops, British Columbia that confirmed up to 94.5% recovery of gold from pyrite concentrates from the Promontorio resource can be achieved using a post pressure oxidation treatment process. 

QA/QC

All drill holes reported were drilled using HQ sized Diamond drill core and drilled by B.D Drilling Mexico, S.A. de C.V of Guadalajara, Mexico.  Further Quality Assurance and Control procedures and details on assays procedures and laboratories used are disclosed on the Kootenay Silver Inc. website.

The foregoing geological disclosure has been reviewed and verified by Kootenay's CEO, James McDonald, P.Geo (a qualified person for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects). Mr. McDonald is a director of Kootenay.

ABOUT KOOTENAY

Kootenay Silver Inc. is actively developing mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. Its flagship property is the former producing Promontorio Silver mine in Sonora State, Mexico. Kootenay's objective is to develop near term discoveries and long-term sustainable growth. Its 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.

-30-

For additional information, please contact:

James McDonald, CEO and President at 403-238-6986

Ken Berry, Chairman at 604-601-5652; 1-888-601-5650

or visit: www.kootenaysilver.com

 

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements: The information in this news release has been prepared as at October 22, 2013. Certain statements in this news release, referred to herein as "forward-looking statements", constitute "forward-looking statements" under the provisions of Canadian provincial securities laws. These statements can be identified by the use of words such as "expected", "may", "will" or similar terms.

Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by Kootenay as of the date of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Many factors, known and unknown, could cause actual results to be materially different from those expressed or implied by such forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as otherwise required by law, Kootenay expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in Kootenay's expectations or any change in events, conditions or circumstances on which any such statement is based.

Cautionary Note to US Investors: This news release may contain information about adjacent properties on which we have no right to explore or mine. We advise U.S. investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

This press release uses the terms "Measured", "Indicated", and "Inferred" resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of a Mineral Resource is economically or legally mineable

2013 number 18

 

 

 
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Kootenay Silver Inc.

EXPLORATION STAGE
CODE : KTN.V
ISIN : CA5005831097
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Kootenay Silver is a gold and silver development stage company based in Canada.

Kootenay Silver holds various exploration projects in Canada and in Mexico.

Its main exploration properties are CONNOR CREEK, ROSETTA STONE, JUMPING JOSEPHINE, SILVER FOX CANADA and BC PROPERTIES in Canada and ESPIRITU, SANTA LUCIA NORTE, PROMONTORIO and SONORA PROPERTIES in Mexico.

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AU$ 0.10-2.00%Trend Power :
Uranium Res.(Ur)URRE
Commences Lithium Exploration Drilling at the Columbus Basin Project
US$ 6.80-2.86%Trend Power :
Platinum Group Metals(Au-Cu-Gems)PTM.TO
Platinum Group Metals Ltd. Operational and Strategic Process ...
CA$ 1.74-5.43%Trend Power :
Devon Energy(Ngas-Oil)DVN
Announces $340 Million of Non-Core Asset Sales
US$ 21.95+2.14%Trend Power :
Precision Drilling(Oil)PD-UN.TO
Announces 2017Second Quarter Financial Results
CA$ 8.66-0.35%Trend Power :
Terramin(Ag-Au-Cu)TZN.AX
2nd Quarter Report
AU$ 0.04-17.78%Trend Power :