Shares Outstanding: 44,373,100
VANCOUVER, Feb. 6, 2012 /CNW/ - Kootenay Gold Inc. (TSX VENTURE: KTN.V) is pleased to announce name change to Kootenay Silver Inc. as Company reports 25,000 meter in-fill drill and resource definition program nears completion on Promontorio Silver Project in Sonora, Mexico.
States Kootenay CEO James McDonald "The name change to Kootenay Silver better reflects our core focus on developing our flagship Promontorio Silver project. It also coincides with all the high-grade results we have achieved from drilling on Promontorio over the past year. Within this 1st quarter we will have completed over 35,000 meters of drilling since our initial resource calculation. We look forward to incorporating these numerous high-grade results into an updated NI 43-101 resource calculation at the conclusion of the current program."
Previous Announced High-Grade Results From Drilling on Promontorio
|Drill Hole Intervals Above 450 g/t (15oz) Silver eq|
|Drill Hole|| Interval
| Not Yet
|Selected Drill Hole Intervals Over 90 M|
|Drill Hole|| Interval
| Not Yet
|*Assuming 100% Metallurgical Recovery|
|*Prices used in Silver Equivalent (AgEq) Calculations: Ag dollars/oz; Zn dollars/lb Pb dollars/lb|
Drilling has encountered consistent, widespread silver mineralization and multiple high-grade silver intercepts in the Pit Resource, the Southwest Extension Zone, and Northeast Zone, which sits 700 meters outside of the current 43-101 Pit Resource. (To view map and drill results visit: http://www.kootenaygold.ca/s/DrillResults.asp)
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.
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 disclosed on the Kootenay Gold Inc. website.
The foregoing geological disclosure has also 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.
SUBJECT TO REGULATORY APPROVAL
The Company has made application to the TSX V to change its name from Kootenay Gold Inc. to Kootenay Silver Inc. Management feels the name change is necessary to better reflect the core focus of the Company, which is to develop a substantial silver resource on its flagship Promontorio Silver Project in Sonora, Mexico. The proposed name change is subject to the acceptance of the TSXV and the registrar of companies and is therefore by no way confirmed until the Company received approval from the regulatory authorities.
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.
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