Kootenay Completes Surface Access Agreement on the Copalito Silver-Gold Project, Mexico
Kootenay Completes Surface Access
Agreement on the Copalito Silver-Gold Project,
Mexico
VANCOUVER
,
Oct. 3, 2019
/CNW/ -
Kootenay Silver Inc. (TSXV: KTN) (the "Company" or
"Kootenay")
is pleased to announce that the Company has signed a surface access agreement (the
"Agreement") with the local
Ejido
at the Copalito Project ("Copalito" or "Property") located in the
State of Sinaloa, Mexico
.
The Agreement allows Kootenay full surface access to the land that covers the gold and silver
epithermal vein system discovered by Kootenay as well as surrounding exploration potential at
Copalito. The Agreement also allows the Company to conduct exploration activities including but not
limited to mapping, sampling, geophysics, trenching and drilling.
Kootenay is currently in the process of filing necessary permit applications with the government to
conduct a maiden drill program, with the expectation of permits being issued by the end of the year.
The Company has retained the services of an environmental consultant to assist in and expediate the
process. Updates on permitting and the proposed drilling program for Copalito will be reported in
future news releases.
Copalito covers a gold and silver epithermal vein system comprised of numerous veins, with
individual veins currently traced over strike lengths of up to two (2) kilometers. Veins vary in width
from 0.5 to 15 meters at surface. Exploration efforts by the Company to date have been focused on
six (6) known principal veins discovered by Kootenay, with results previously reported over the past
year (see Company's news releases dated
July 19
and
September 20
, 2018,
January 21
and
April 10
, 2019).
Copalito Sampling Highlights
:
7.2 gpt gold and 3,770 gpt silver in grab samples from 5 Senores and Agua Veins, respectively;
8.2 gpt gold including 583 gpt silver over a 1.1-meter chip sample across the 5 Senores Vein;
401 gpt silver including 0.24 gpt gold in a chip sample across 5.3 meters on 5 Senores Vein;
532 gpt silver over 3.0 meters and 306 gpt silver over 4.9 meters chip sampled across Agua
Vein;
17.45% zinc, 9.89% lead, 76 gpt silver and 0.52 gpt gold in a grab sample taken at Pillar Vein;
and
Copper values of 5.1%, 1.6 % and 1.5% taken from the northern area of the Property along the
Cobriza Vein
Copalito Geology
Mineralization is hosted within classic low sulfidation epithermal quartz and rare calcite veins.
Multiple mineral events are evidenced by banded mineralized textures, multiple cross cutting
veins/veinlets, laminated banding of chalcedonic and crystalline quartz, sulfide replacement and
infillings of breccia matrix. Sulfide content is generally low but does range to 20% or more in hand
samples. Sulfides and their oxide equivalents include fine grained pyrite, black and yellow sphalerite,
galena, chalcopyrite and silver sulphosalts. Some zonation is becoming apparent with veins in the
northeast being higher in gold and base metals and those in the south being high in silver and low in
base metals.
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.
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 projects 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
October 2, 2019
. 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.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/October2019/03/c7959.html
%SEDAR: 00016508E
For further information:
please contact: James McDonald, CEO and President at 403-880-6016;
Ken Berry, Chairman at 604-601-5652; 1-888-601-5650 or visit: kootenaysilver.com
CO: Kootenay Silver Inc.
CNW 08:30e 03-OCT-19