Shares Outstanding: 45,013,100
VANCOUVER, Sept. 29, 2011 /CNW/ - Kootenay Gold Inc. (TSXV: KTN) is pleased to announce the Company has contracted U.S. based companies
Hatch Engineering out of Scottsdale, Arizona and Sanguaro Geosciences
Inc., as well as Canadian based G&T Metallurgical Services Ltd and
independent Consulting Engineer Patricia Aguayo Hurtado to conduct
preliminary environmental baseline, scoping studies and metallurgical
work with respect to the Company's plans to proceed with a
pre-feasibility study and mine modeling analysis on the Company's
Promontorio Silver Project in Sonora, Mexico.
States Company CEO James McDonald, "An extensive drilling and analysis
program is underway to quantify and confirm the scope and size of our
silver deposit. Based on the continued success of our current 25,000
meter drill program, combined with results from our previous phases of
drilling, we are sufficiently encouraged with results to begin taking
the requisite steps to pursue our ultimate goal, which is to advance
the Promontorio Silver Project to commercial production".
Among the contracts secured, the Company has engaged Hatch Engineering
out of Scottsdale Arizona to conduct initial hydrologic studies to
design a program to characterize the ground water resources on the
project and develop a conceptual hydrogeologic model. This information
will then form the basis for additional studies going forward in the
longer term for prefeasability level evaluation of mine water supply,
including potential dewatering flow rates needed for potential open pit
and underground mining and mine water supplies.
Saguaro Geosciences Inc. has been engaged to design a detailed
geotechnical logging program that goes beyond the basic specific
gravity and RQD data currently being recorded. The geotechnical program
will collect all the necessary data appropriate to future geotechnical
analysis for open pit and underground mining.
G&T Metallurgical Services Ltd. out of Kamloops B.C. has been contracted
to conduct additional metallurgical work on Promontorio mineralization.
Work will include grind calibrations, bond ball tests, and rougher,
cleaner and locked cycle tests. Additionally acid base accounting of
mineralized and wall rock will be conducted and a gold deportment study will be done to determine if the significant
gold content of the deposit, which is not yet factored into any of the
Company's resource calculations, can be extracted economically.
Independent Consulting Engineer Patricia Aguayo Hurtado has been
contracted to conduct an environmental baseline study.
Further developments with respect to the Company's environmental
baseline, scoping studies and metallurgical work will be announced in a
The foregoing geological disclosure has also been reviewed by 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.
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.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or the accuracy of this release.
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. 2011 number 17
SOURCE Kootenay Gold Inc.
For further information:
James McDonald, CEO and President at 403-238-6986
Ken Berry, Chairman at 604-601-5652; 1-888-601-5650
or visit: www.kootenaygold.ca