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Kootenay Silver reports continued exploration success at Copalito Silver-Gold Project, Mexico

Kootenay Silver Inc. (CNW Group/Kootenay Silver Inc.)

News provided by

Kootenay Silver Inc.

Sep 20, 2018, 08:00 ET

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Sample Results in Southern Area of the Property Include 1.0 Meter of 1,155 gpt Silver and 1.96 Meters of 2.36 gpt Gold

VANCOUVER, Sept. 20, 2018 /CNW/ - Kootenay Silver Inc.  (TSXV: KTN) (the "Company" or "Kootenay") is pleased to announce that additional encouraging assay results have been received from surface sampling program conducted on the outcropping veins within the recently optioned Copalito Silver-Gold Project ("Copalito Project" or "Property") located in the State of Sinaloa, Mexico.

Sampling of the La Chiva, Agua and the 5 Senores veins, located in the southern portion of the Property returned consistent anomalous silver and gold values, which continue to demonstrate the potential of the Copalito Project. These veins are part of the main principal vein system currently identified within the Property, (click here to view map) and are situated south of the Coribiza and El Pillar veins. (See Company's news release announcing initial sampling results dated July 19, 2018).

Kootenay President and CEO James McDonald states, "In this classic low sulfidation vein system it is very encouraging to see chip results returning 1,700 gpt, 1,030 gpt, 1,155 gpt silver with gold up to 1.2 gpt. These grades indicate potential for discovery of truly high-grade ore shoots. It is also positive that sampling is returning consistently anomalous silver and gold. The next stage of work will consist of continued mapping and detailed chip and panel sampling across the veins once the rainy season ends."

Highlights of initial mapping and sampling completed by the Company on the La Chiva, Agua and the 5 Senores veins include:

  • La Chiva Vein: 25 samples (20 chip, 4 grab and one panel) returned silver grades from a trace to 1,700 gpt with gold grades from a trace to 2.36 gpt;
  • Agua Vein: 7 Chip samples returning silver grades from 65 gpt to 474 gpt with gold grades from 0.019 gpt to 0.154 gpt
  • 5 Senores Vein: 27 samples (25 chip and 2 grab) returned silver grades from 7 gpt to 3,770 gpt and gold grades from a trace to 1.82 gpt.

See table below for further details and highlights from recent sampling.

Sampling Results (La Chiva, Agua and 5 Senores Veins)

Zone

Sample

Type

Width

Gold

gpt

Silver

gpt

Lead

ppm

Zinc 

ppm

La Chiva

Chip

1.0

0.052

11

470

1030

La Chiva

Chip

1.0

0.016

5

180

140

La Chiva

Chip

0.5

0.109

26

930

2010

La Chiva

Chip

0.5

0.054

62

3670

1780

La Chiva

Chip

0.5

0.134

60

620

2610

La Chiva

Chip

1.0

0.233

104

1350

6750

La Chiva

Chip

1.5

traces

14

250

180

La Chiva

Grab

N/A

0.280

111

15450

1850

La Chiva

Chip

1.5

0.496

32

8530

3980

La Chiva

Chip

1.6

0.123

68

1350

6370

La Chiva

Chip

0.5

0.176

13

1230

2420

La Chiva

Chip

1.9

2.360

50

5000

7190

La Chiva

Grab

N/A

0.207

12

240

1130

La Chiva

Grab

N/A

0.007

trace

190

360

La Chiva

Panel

3X3 metres

0.716

12

1190

3400

La Chiva

Chip

1.5

0.453

122

3420

12700

La Chiva

Chip

1.5

0.144

9

890

2830

La Chiva

Chip

1.0

0.130

179

2070

2940

La Chiva

Chip

1.5

0.032

57

1220

7000

La Chiva

Chip

1.5

0.109

1,700

2620

710

La Chiva

Chip

1.3

0.494

49

3230

7710

La Chiva

Chip

1.1

0.073

45

980

2000

La Chiva

Chip

1.0

0.405

1,030

770

1020

La Chiva

Chip

1.5

0.011

375

420

1090

La Chiva

Grab

N/A

0.041

91

570

470

Agua

Chip

2.0

0.019

474

2610

8680

Agua

Chip

2.0

0.056

90

1450

4660

Agua

Chip

2.0

0.048

163

410

300

Agua

Chip

1.1

0.154

309

1100

1770

Agua

Chip

1.0

0.080

204

620

1160

Agua

Chip

1.0

0.048

207

1500

590

Agua

Chip

1.0

0.101

65

1660

1310

5 Senores

Chip

0.7

0.018

82

550

1240

5 Senores

Chip

1.0

0.064

29

1840

2910

5 Senores

Chip

1.0

1.230

1,155

9620

16850

5 Senores

Chip

1.0

0.032

14

1270

3230

5 Senores

Chip

1.0

1.820

396

7050

11750

5 Senores

Chip

1.9

0.040

301

380

580

5 Senores

Chip

1.5

0.055

194

80

130

5 Senores

Chip

1.5

0.017

165

60

100

5 Senores

Chip

0.5

0.039

90

150

130

5 Senores

Chip

2.0

0.240

143

2160

6670

5 Senores

Chip

1.2

0.131

39

150

360

5 Senores

Chip

1.4

0.018

113

130

140

5 Senores

Chip

2.0

0.149

83

560

1530

5 Senores

Chip

2.0

0.391

89

950

1680

5 Senores

Chip

1.5

0.054

31

340

140

5 Senores

Chip

1.5

0.006

21

160

140

5 Senores

Chip

2.0

0.123

83

200

110

5 Senores

Chip

2.0

0.114

87

170

150

5 Senores

Chip

2.5

0.138

16

470

830

5 Senores

Chip

2.0

0.042

67

220

100

5 Senores

Chip

2.0

0.045

174

890

450

5 Senores

Chip

2.5

0.015

109

340

400

5 Senores

Panel

1.5

trace

7

120

140

5 Senores

Chip

1.6

0.044

68

130

60

5 Senores

Grab

N/A

0.006

21

30

50

5 Senores

Chip

1.0

0.007

46

130

40

5 Senores

Grab

N/A

0.046

3,770

1460

210

About Copalito Silver-Gold Project

The Copalito Project is a classic low sulphidation epithermal vein system which has numerous small old workings and no evidence or reports of historic exploration drilling. The Property consists of seven concessions totaling approximately 3,700 hectares and is located 35 kilometres east of McEwen Mining's "El Gallo Mine" complex in Sinaloa State, along the western fringes of the Sierra Madre Occidental in northwestern Mexico. The Copalito Project has good access, topography and infrastructure. Kootenay's wholly owned Mexican subsidiary can acquire a 100% ownership in the concessions by making staged payments over a 4-year period totaling an aggregate of US$985,000.

Sampling and QA/QC

Surface samples reported herein are a combination of grab, chip and panel chip. All technical information for the Copalito 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. Samples are then labeled placed in plastic bags, sealed and with interval, location and sample numbers recorded. Samples are delivered by the Company via courier to ALS Minerals ("ALS") in Hermosillo. 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, blanks and duplicates 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 scientific and 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 and approved 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. Supported by one of the largest portfolios of silver assets in Mexico, Kootenay continues to provide its shareholders with significant leverage to silver prices. The Company remains focused on the expansion of its current silver resources, new discoveries and the near-term economic development of two of its priority silver dprojects located in prolific mining districts in Sonora, State and Chihuahua, State, Mexico, respectively.

On Behalf of the Board of Directors of

KOOTENAY SILVER INC.

"James McDonald"

President & CEO

Neither the 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.

CAUTIONARY NOTES:

The sampling results disclosed in this news release are not necessarily indicative and drilling is required to confirm a mineral deposit.

The information in this news release has been prepared as at September 19, 2018. This news release contains "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively, "forward-looking statements"). All statements, other than statements of historical fact, that address activities, events or developments that Kootenay Silver Inc. ("Kootenay" or the "Company") believes, expects or anticipates will or may occur in the future including, without limitation, the anticipated exploration program results from exploration activities, the discovery and delineation of mineral deposits and sampling results from the Copalito Project and other properties, the anticipated content, commencement, and cost of exploration programs in respect of the Company's projects and mineral properties, the anticipated business plans and timing of future activities of the Company, future capital expenditures (including the amount and nature thereof), business strategies and measures to implement strategies, competitive strengths, goals, expansion and growth of the business and operations, plans and references to the future success of the Company, and such other matters, are forward‐looking statements.  These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to Kootenay and often use words such as "expects", "plans", "anticipates", "estimates", "believes", "intends", "potential", "may" or variations thereof or the negative of any of these terms.

Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements and, even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, Kootenay. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the ability of the Company to obtain sufficient financing to fund its business activities and plans, operating and technical difficulties in connection with mineral exploration and development and mine development activities for Company's projects generally, actual results of exploration activities (including the estimation or realization of mineral reserves and mineral resources), the timing and amount of estimated future production, costs of production, capital expenditures, the costs and timing of the development of new deposits, the availability of a sufficient supply of water and other materials, requirements for additional capital, future prices of gold and silver, changes in general economic conditions, changes in the financial markets and in the demand and market price for commodities, possible variations in ore grade or recovery rates, possible failures of plants, equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, delays in obtaining governmental and regulatory approvals (including of the TSX Venture Exchange), permits or financing or in the completion of development or construction activities, changes in laws, regulations and policies affecting mining operations, hedging practices, currency fluctuations, title disputes or claims limitations on insurance coverage and the timing and possible outcome of pending litigation, environmental issues and liabilities, risks related to joint venture operations, and risks related to the integration of acquisitions, as well as those factors discussed under "Risk Factors" in the Company's most recent annual management's discussion and analysis and other filings of the Company with the Canadian Securities Administrators, copies of which can be found under the Company's profile on the SEDAR website at www.sedar.com.

Any forward-looking statement speaks only as of the date on which it was made, and except as may be required by applicable securities laws, Kootenay disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Kootenay believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to their inherent uncertainty.  There can be no assurance that forward-looking statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.

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.

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

Related Links

www.kootenaysilver.com/

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Organization Profile

Kootenay Silver Inc.

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