VANCOUVER, March 2, 2017 /CNW/ - Kootenay Silver Inc.
(TSXV: KTN) (the "Company" or "Kootenay") is pleased to
announce plans are underway to proceed with the 2017 exploration
program being conducted and operated by Pan American Silver Corp on
its La Negra silver discovery in Sonora,
Mexico. The program is part of an option agreement between
Kootenay and Pan American that provides Kootenay with a series of
work and cash commitments and a carried to production interest on
La Negra.
The 2017 program will focus on defining the potential size of
the La Negra magmatic hydrothermal silver-lead breccia. The current
program budget is US$2.0 million and
will entail approximately 6500 meters of diamond drilling, geologic
mapping and reconnaissance work to define additional prospective
targets proximal to La Negra within the Promontorio project.
Drilling is scheduled to start late in the second quarter.
States Kootenay President and CEO James McDonald "We are very pleased to
launch with the 2017 drill and exploration program on the La Negra
silver discovery. We look forward to this next phase of work in
particular to the drill results from the La Negra breccia that in
2016 returned multiple intercepts of high-grade silver
mineralization within a 600-meter strike length of the breccia,
remaining open at depth."
Further details will be reported by Kootenay once Pan American
confirm the upcoming exploration and drill program has been
finalized and a drilling contractor has been engaged.
There are currently 4 additional holes to report from the 2016
Phase I program with Pan American Silver that will be reported once
assay results are received and compiled by the Company.
Results from Phase I Exploration and Drilling Program on La
Negra:
Pan American began managing the exploration program in
April 2016 and commenced re-logging
drill core, geological mapping and re-interpretation, and completed
62 km of magnetic ground surveys. Pan American initiated a 3,500 m
drilling program in July 2016 with
the objective of infilling the La Negra drill coverage to 50-meter
center's and testing the along-strike and down dip extents as well
as following up on geophysical and geological anomalies elsewhere
within the exploration concessions.
Based on Pan American's work Kootenay reported that a series of
deeper infill drill holes from the first 11 holes of the current
program confirmed high-grade results from previous drilling (See
Kootenay News release October 25,
2016) Based on the initial success of the Phase I program,
in October 2016 Pan American extended
the drill program by an additional 3,300 meters.
Results from the most recent 13 holes of the Phase I drill
program on La Negra support previous results and look to have
defined the strike extent of mineralization with the breccia,
remaining open at depth.
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.
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 projects located in
prolific mining districts in Sonora, State and Chihuahua, State,
Mexico, respectively.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS:
The information in this news release has been prepared as at
March 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.