VANCOUVER, Feb. 2, 2017 /CNW/ - Kootenay Silver Inc.
(TSXV: KTN) (the "Company" or "Kootenay") is pleased to
announce results from the seven remaining drill holes of its 3000
meter, phase I exploration drill program on mineralized targets
proximal to its La Cigarra silver deposit in Chihuahua State,
Mexico. The holes tested a
700-meter strike length of the La
Soledad structure, which extends southward along strike from
the La Cigarra silver deposit for a distance of approximately 2
kilometers. All seven holes intercepted significant widths of
veining and varying grades of silver mineralization confirming the
presence of a large mineralized structure. Click to view: La
Soledad Drill Plan.
James McDonald, President and CEO
stated "We are very encouraged with the consistency of results from
our initial drilling on the Soledad structure and its potential to
yield future discoveries along its 2 kilometer strike length. These
results, combined with the success of the previous 11 holes of the
phase I drill program that identified an entirely new silver
discovery within a 400 meter strike length on the nearby RAM
structure, reinforces our belief that La Cigarra and its
surrounding mineralized structures offer significant development
potential to add to our future silver resources."
The 18 hole drill program totaling 3000 meters is the first
stage of a multi-phase program evaluating several high priority
targets identified proximal to the La Cigarra silver deposit with
the potential to add near surface silver resources to the La
Cigarra project. The first 11 holes of the Program completed
by the Company resulted in a new silver discovery within a
400-meter long strike length on the RAM structure, (see Kootenay
news release dated November 23,
2016).
A summary of the drilling within La Soledad Zone is
provided in the table below:
Hole
ID
|
From
(meters)
|
To
(meters)
|
Interval
(meters)
|
Silver
(gpt)
|
Gold
(gpt)
|
Pb+Zn
(%)
|
Cu
(%)
|
CC-16-12
|
34.00
|
66.00
|
32.00
|
13.18
|
0.025
|
0.61
|
0.23
|
Including
|
54.50
|
57.00
|
2.50
|
21.00
|
0.049
|
0.565
|
1.04
|
and
|
156.63
|
166.00
|
9.37
|
23.90
|
0.024
|
0.02
|
0.01
|
Including
|
156.63
|
160.50
|
3.87
|
33.00
|
0.026
|
0.03
|
0.022
|
CC-16-13
|
199.00
|
200.00
|
1.00
|
54.00
|
0.372
|
0.1
|
0.041
|
CC-16-14
|
105.20
|
127.10
|
21.90
|
10.29
|
0.065
|
1.229
|
0.031
|
Including
|
116.40
|
124.60
|
8.20
|
15.33
|
0.142
|
1.35
|
0.05
|
CC-16-15
|
158.00
|
162.00
|
4.00
|
36.00
|
0.037
|
0.037
|
0.008
|
and
|
199.25
|
200.90
|
1.65
|
17.00
|
0.038
|
0.441
|
0.019
|
CC-16-16
|
120.70
|
121.60
|
0.90
|
3.00
|
0.032
|
0.583
|
0.486
|
and
|
165.50
|
167.00
|
1.50
|
45.00
|
0.041
|
0.004
|
0.006
|
CC-16-17
|
15.00
|
35.00
|
20.00
|
4.53
|
0.014
|
0.234
|
0.035
|
and
|
73.50
|
76.50
|
3.00
|
10.50
|
0.081
|
0.397
|
0.01
|
CC-16-18
|
40.00
|
52.00
|
12.00
|
16.00
|
Pending
|
0.368
|
0.009
|
Including
|
51.40
|
52.00
|
0.60
|
26.00
|
Pending
|
0.688
|
0.012
|
Follow up drilling on both the 3.8 kilometer RAM and 2.0
kilometer Soledad structures remain a priority for the Company, as
does the drilling of known underlying high-grade mineral extensions
on the La Cigarra silver deposit.
At the present time, Kootenay's technical team is nearing the
completion of a comprehensive exploration program that includes
detailed mapping, sampling and re-logging of previous drill core
related to the La Cigarra silver deposit. This work is being
conducted in order to gain a better understanding of what controls
the high silver grade within the La Cigarra deposit. In addition,
the work will assist the Company in the design of a future drill
program focused on the expansion of the silver resource, which is
anticipated to begin within the first quarter of 2017.
Kootenay is also planning on conducting
further metallurgical testing to assess the use of the
SILVOX leach process as a viable low-cost option for development
of oxide and sulfide resources of its La Cigarra silver
deposit. For details of the Company's preliminary metallurgical
results using the SILVOX proprietary leaching process (see Kootenay
news release dated January 22,
2017).
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 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.
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.
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 kilometers 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 kilometers 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 kilometers 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
February 1, 2017. 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.