Kootenay Strengthens Board of Directors with Former Placer Dome Executive



    HERMOSILLO, Mexico, June 25 /CNW/ -Kootenay Gold Inc. ("Kootenay") (TSX
Venture: KTN) is pleased to announce Brian Groves has joined the board of
directors. Brian has worked in the mining and exploration industries for more
than 29 years. A graduate of The University of Sydney, Australia, Brian began
his career in exploration as a geophysicist in Australia. He has been involved
with junior, mid-tier and major companies such as AMAX Minerals, Noranda and
Placer Dome where he served for 12 years rising to the position of Manager of
Corporate Development, Canada. Currently, Brian serves as CEO of Skygold
Ventures (TSX Venture: SKV) where he guides development of a multi-million
ounce gold resource.
    Brian Groves commented, "Having just completed a visit to Kootenay's
Promontorio Silver/Gold Project, I am pleased with the results of the
systematic exploration completed to date and based on these results, the
potential to develop a large silver/gold ore body in Mexico. The trenching,
mapping and modeling now underway will provide excellent targets for the next
round of drilling at Promontorio. I feel confident my network of contacts,
combined with my technical and corporate development experience will
complement the Kootenay team."
    Brian Groves brings an impressive range of knowledge and experience to
the board of directors", said Jim McDonald, CEO of Kootenay. "His integrity
and commitment to excellence are attributes we welcome as we advance
Promontorio."
    Kootenay has also issued an aggregate total of 1,065,000 incentive stock
options exercisable for a period of five years at a price of $.65 per share to
directors, officers, consultants and employees of the company.

    About Kootenay

    Kootenay is an emerging exploration Company actively developing mineral
projects in British Columbia, Canada and the Sierra Madre Region of Mexico.
The Company's top priority remains the ongoing development of its 100% owned
Promontorio Silver project, which encompasses the former producing Promontorio
Silver Mine in Northwest Mexico.

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

    Cautionary Note: 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.





For further information:

For further information: James McDonald, CEO at (403) 238-6986; Ken
Berry, President at (604) 601-5652; www.kootenaygold.ca


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