VANCOUVER, British Columbia,
June 5, 2014 /PRNewswire/ --
Shares Outstanding: 62,863,850
Kootenay Silver Inc. (TSX VENTURE: KTN.V) ("Kootenay") is
pleased to announce further results from six trenches from its
strategic hand trenching and chip sampling program on its La Negra,
diatreme Breccia prospect, located approx. 7 kilometers north of
its flagship Promontorio Silver Resource in Sonora, Mexico.
A total of 50 samples were taken in 3 meter intervals for 150
meters of trenches across the 6 trenches ranging from 21 to 30
meters in length. All trenches returned silver mineralization
throughout their length. Results further augment previous assays
from the program, indicating robust and consistent grades of
widespread silver mineralization being present within the entire
100 by 400 meter core of the La Negra Diatreme Breccia.
States Kootenay President and CEO James McDonald "We are very
pleased with results from our current sampling program on La Negra.
Assays continue to show a remarkable consistency of silver
mineralization across the entire exposed area of the Breccia.
Moreover, petrographic work has led to the recognition that the
silver mineralization is hosted in a silver chlorargyrite, a
mineral that is amenable to low-cost heap leach mining, as well as
a host mineral to other noted discoveries in Mexico. Although we are still at an early
stage of exploration, with many uncertainties ahead, La Negra's
geological characteristics, combined with results to date, present
a very exciting scenario as we prepare for our upcoming drill
program."
Highlights from Hand Trenching and Chip Sampling
Program:
98.9 gpt Ag over 21 meters in Trench 1
59.1 gpt Ag over 21 meters in Trench 5
42.1 gpt Ag over 27 meters in Trench 2
39.2 gpt Ag over 30 meters in Trench 3
33.5 gpt Ag over 30 meters in Trench 6
16.1 gpt Ag over 21 meters in Trench 4
The hand trenching and chip sampling program was designed to
gain a better understanding of the grade potential and continuity
of silver mineralization within the breccia in preparation for a
proposed upcoming drilling program. Current results further support
and augment previous assays from sampling conducted along the
entire length of breccia(See news release May 28, 2014). They each support earlier
results that returned anomalous silver across the total area of the
exposed breccia. Included were 19 chip samples taken from 2 by 2
meter panels returning an average of 107 gpt Ag within a larger
sample set of 50 samples (19 chips in 2 by 2 meter panels plus 31
grab samples) that averaged 77 gpt silver (See news release
May 6, 2014).
In conjunction with the sampling program, the breccia was mapped
over an area approximately 100 to 200 by 500 meters and revealed
extensive bedrock exposure in an area measuring 100 by 400 meters
where the trench sampling was conducted. The breccia is believed to
be a diatreme pipe that forms a prominent hill with approximately
120 to 130 meters of relief. Airborne geophysics was effective in
mapping the southern contact of the breccia and indicates the
breccia could be twice the aerial extent of the visible bedrock
exposure.
Upcoming drilling dates on La Negra will be reported in a future
news release.
To View Full Results of Sampling Program Visit: La Negra
Sampling Program
Current NI 43-101 Compliant Silver Resource
The current mineral estimate on Promontorio effective date
March 31, 2013 (See May 14, 2013 news release) contains a combined
Measured and Indicated silver resource of 92,428,000 silver
equivalent ounces (39.9M oz's Ag, 508K oz's Au, 394.8M lb's Pb,
462.2M lb's Zn). In addition to the measured and indicated silver
resources, there are an additional 26,814,000 silver equivalent
ounces in the Inferred category (12.8M oz's Ag, 147 oz's Au,
99.5M lb's Pb, 109.1M lb's Zn). Measured and Indicated resources
are contained in open pit resources of 44,504,000 tonnes
grading an average of 64.32 gpt silver equivalent (27.77 gpt Ag,
0.35 gpt Au and 0.87% Pb+Zn) and resources outside of the open pit
of 215,000 tonnes grading an average of 56.96 gpt silver equivalent
(22.89 gpt Ag, 0.28 gpt Au and 0.95% Pb+Zn). Inferred resources are
within open pit resources of 14,564,000 tonnes grading an average
of 51.95 gpt silver equivalent (24.95 gpt Ag, 0.28 gpt Au and 0.59%
Pb+Zn) and resources outside of the open pit of 1,265,000 tonnes
grading an average of 61.17 gpt silver equivalent (26.57 gpt Ag,
0.37 gpt Au and 0.74% Pb+Zn).
The current NI 43-101 Resource Estimation conducted on
Promontorio by SRK Consulting Inc. (U.S.) of Lakewood, Colorado (See May 14, 2013 news release), included gold assay
results in the updated resource estimation. As a result of the
addition of gold, the mineral resource is now contained in a single
larger optimized Whittle Pit, as opposed to two individual smaller
pits as reported in the August 21,
2012 resource estimate. The decision to include gold in the
resource estimation follows extensive metallurgical testing and
technical analysis conducted by ALS Minerals of Kamloops, British Columbia that confirmed up
to 94.5% recovery of gold from pyrite concentrates from the
Promontorio resource can be achieved using a post pressure
oxidation treatment process.
QA/QC
Samples were assayed using a high-grade multi-acid digestion ICP
analysis conducted by ALS Chemex of North
Vancouver, B.C., Canada and
prepped in ALS Chemex's Lab in Hermissilo, Sonora, Mexico. Further Quality Assurance and
Control procedures and details on assays procedures and
laboratories used are disclosed on the Kootenay Silver Inc.
website.
The foregoing geological disclosure has 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.
ABOUT KOOTENAY
Kootenay Silver Inc. is actively developing mineral projects in
the Sierra Madre Region of Mexico
and in British Columbia, Canada.
Its flagship property is the former producing Promontorio Silver
mine in Sonora State, Mexico.
Kootenay's objective is to develop near term discoveries and
long-term sustainable growth. Its 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 current program sampled along the entire length of breccia
at intervals of roughly 25 to 100 meter spacings. Advantage was
made of bedrock exposure to aid in the hand trenching and provide
for contiguous sample intervals. A total of six hand trenches were
completed, varying in length from 21 meters to 30 meters in length,
with chip samples taken in contiguous three meter lengths. A total
of 150 chip samples were taken.
The breccia was mapped over an area of approximately 100 to 200
by 500 meters with extensive bedrock exposure over 100 by 400
meters in the target area. It forms a prominent hill with
approximately 120 to 130 meters of relief. Airborne geophysics was
effective in mapping the southern contact of the breccia and
indicates the breccia could be twice the aerial extent of the
visible bedrock exposure.
Neither 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.
Forward-Looking
Statements: The information in this
news release has been prepared as at June 4,
2014. 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.
For further information:
James McDonald, CEO and
President at +1-403-238-6986
Ken Berry, Chairman at
+1-604-601-5652; +1-888-601-5650
or visit:http://www.kootenaysilver.com
(KTN.)