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Kootenay Announces Sampling Results at La Soledad Zone, La Cigarra Project, Mexico


News provided by

Kootenay Silver Inc.

May 05, 2016, 09:00 ET

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Highlights Include 252 g/t Silver and 20% Lead

VANCOUVER, May 5, 2016 /CNW/ - Kootenay Silver Inc.  (TSXV: KTN) (the "Company" or "Kootenay") is pleased to announce positive sampling results at the La Soledad Zone ("La Soledad") on its La Cigarra silver project located in Chihuahua State, Mexico.

La Soledad, situated approximately 1,000 metres south of the main La Cigarra silver deposit (Las Carolinas Zone) and 500 metres south of the Las Venadas Zone, contains a number of mine dumps and historic mine workings that exploited a series of silver bearing quartz veins.  Rock sampling here was conducted over a 500 metre long north-south striking area.  Of the 70 rock samples taken during the recent program, one channel sample returned a high value of 252.0 g/t silver and 20% lead over 1.2 metres.  In total, 35 samples reported grades exceeding 10 g/t silver with many samples returning high values of lead (see table below for further highlights of the most significant samples).

Kootenay believes that the mineralization along the Soledad Fault Zone represents leakage through impermeable quartzite caprock, potentially overlying undiscovered silver deposits.  The Soledad Zone, lies in what is believed to be the extension of the La Cigarra hosting structure, where silver mineralization can be traced intermittently for at least 2 kilometers south of the main La Cigarra silver deposit.

The sampling and mapping program at the La Soledad Zone is part of a larger ongoing exploration program being conducted by the Company, which includes evaluating and prioritizing numerous anomalous areas for a future drill program; currently in the initial planning stages.  To view a map of the La Cigarra silver project highlighting the La Soledad Zone as well as other areas to be targeted by the proposed work program click on the following link: La Cigarra Silver In Rock Map.

Highlights of Rock Sampling Recently Completed at La Soledad Zone

Sample

East

North

Type

Width
(metres)

Ag
(g/t)

Au
(g/t)

Pb

ppm

Zn

ppm

232413

410528

2989554

Channel

1.2

252.0

0.025

20.00%

0.04%

232430

410597

2989800

Channel

1.0

113.0

0.057

0.68%

0.01%

232415

410526

2989560

Channel

1.2

106.0

0.024

8.52%

0.08%

232414

410530

2989556

Grab

N/A

87.3

0.018

4.90%

0.08%

232431

410608

2989835

Channel

1.5

65.8

0.047

1.22%

0.01%

232428

410581

2989723

Channel

1.5

55.5

0.019

0.14%

0.02%

232429

410588

2989793

Grab

N/A

44.1

0.025

0.87%

0.03%

232396

410436

2989382

Channel

1.5

41.1

0.04

0.71%

0.10%

232420

410553

2989630

Grab

N/A

37.8

0.02

7.41%

0.01%

232371

410418

2989350

Channel

1.5

30.4

0.008

0.46%

0.07%

232395

410437

2989381

Channel

0.6

29.0

0.021

0.22%

0.08%

232423

410568

2989636

Channel

1.2

28.7

0.025

0.32%

0.42%

232412

410530

2989554

Channel

1.2

28.1

0.025

2.29%

1.20%

232369

410427

2989344

Channel

1.5

27.7

0.009

0.20%

0.02%

232409

410525

2989550

Channel

1.5

27.2

0.005

1.03%

0.05%

232367

410425

2989348

Channel

1.2

26.9

0.007

0.10%

0.03%

232424

410562

2989652

Grab

N/A

22.8

0.024

0.95%

2.07%

232365

410423

2989351

Channel

1.2

22.5

0.01

0.99%

0.60%

232422

410570

2989640

Channel

1.5

21.1

0.005

0.67%

1.36%

232432

410610

2989853

Channel

0.6

21.0

0.032

0.09%

0.02%

Sampling and QA/QC
All technical information for the La Cigarra exploration program is obtained and reported under a formal quality assurance and quality control ("QA/QC") program. Samples are taken under the direction of qualified geologists and stored in sealed bags. Samples are delivered by the Company via courier to ALS Minerals ("ALS") in Chihuahua. The samples are dried, crushed and pulverized with the pulps being sent airfreight for analysis by ALS in Vancouver B.C. Systematic assaying of standards is performed for precision and accuracy. Analysis for silver, zinc, lead and copper and related trace elements was done by ICP four acid digestion, with gold analysis by 30 gram fire assay with an AA finish. 

Qualified Persons
The Kootenay technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 (Standards of Disclosure for Mineral Projects) and reviewed on behalf Kootenay by James McDonald, P.Geo, President, CEO & Director for Kootenay, a Qualified Person.

About Kootenay Silver Inc.
Kootenay Silver Inc. is an exploration company actively engaged in the discovery and development of mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. The Company's top priorities are the advancement of the La Cigarra silver project and the Promontorio Mineral Belt, in Chihuahua, Mexico and Sonora, Mexico, respectively.  The La Cigarra property is 26 kilometres from the historic mining city of Parral and boasts nearby power, good road access, gentle topography, and established infrastructure.  La Cigarra currently hosts a resource estimate of 18.54 million tonnes containing 51.47 million ounces of silver in the Measured & Indicated categories grading 86.3 g/t silver and 4.45 million tonnes containing 11.46 million ounces of silver in the Inferred category grading 80 g/t silver. The mineralized system at La Cigarra has been traced over 6.5 kilometres and is defined at surface as a silver soil anomaly and by numerous historic mine workings. The La Cigarra silver deposit is open along strike and at depth and is approximately 25 kilometres north, and along strike, of Grupo Mexico's Santa Barbara mine and Minera Frisco's San Francisco del Oro mine.  The Promontorio Mineral Belt includes the Company's La Negra high-grade silver discovery and its Promontorio Silver Resource. The Promontorio Mineral Belt is under option to Pan American Silver whereby they can earn a 75% interest in the project with US$16 million of expenditures and payments with Kootenay retaining a 25% carried to production interest (see news release February 16 and March 4, 2016).  The Promontorio Silver Resource currently hosts a resource estimate of 44.5 million tonnes containing 92 million ounces of silver equivalent in the Measured & Indicated categories grading 64.3 g/t silver equivalent and 14.6 million tonnes containing 24.3 million ounces of silver equivalent in the Inferred category grading 52 g/t silver equivalent. The Company's core objective is to create value by acquiring silver resources through discovery and acquisition and testing those resources with the ultimate goal of developing them into silver production if they are proven to be economically viable.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

The information in this news release has been prepared as at May 4, 2016. 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.

SOURCE Kootenay Silver Inc.

James McDonald, CEO and President at 403-880-6016; Ken Berry, Chairman at 604-601-5652; 1-888-601-5650 or visit: www.kootenaysilver.com

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Organization Profile

Kootenay Silver Inc.

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