KTN.V · 2020-06-17 12:00:00

Kootenay Reports Assay Results From First 100 Meters Drilled at Copalito Silver-Gold Project Highlights Include a Cumulative 8 Meters of 248 gpt Silver and 0.562 gpt Gold within 106 gpt Silver over 22 Meters

Drill Results

Kootenay Reports Assay Results From First

100 Meters Drilled at Copalito Silver-Gold

Project

Highlights Include a Cumulative 8 Meters of 248 gpt Silver and 0.562 gpt Gold

within 106 gpt

Silver over 22 Meters

VANCOUVER, BC

June 17, 2020

Kootenay Silver Inc.

(TSXV: KTN)

(the "Company" or

"Kootenay")

is pleased to announce assay results from the first core hole completed at its Copalito

silver-gold project (the "Property") located in Sinaloa State,

Mexico

. The results were derived from

the initial 105.2 meters of the 3,000-meter drill campaign currently underway.

The first hole tested the eastern edge of the 5 Senores Vein located in the southern portion of the

Property, where drilling returned a cumulative

8 meters grading 248 gpt silver and 0.562 gpt

gold

. These assay results correlate very well with previously reported chip sampling taken at

surface, which returned 282 gpt silver and 1.4 gpt gold over 10.2 meters.

Highlights of Hole BDH-20-001 include

22 meters averaging 106 gpt silver including the following:

244 gpt silver

and

1.09 gpt gold

over

3.0 meters

including

286 gpt silver

over

1.0

meters

;

360 gpt silver and 0

1 gpt gold

over

1.0 meters

within

250 gpt silver

and

0.247 gpt

gold

over

5.0 meters.

Click to view the

Plan

Map

and

Cross

section

of hole BDH-20-001

James McDonald President

and CEO comments, "This is a very good start to the program

demonstrating sub surface values in line with those seen at surface. We believe this bodes

well for future drilling where veins report high silver and gold grades along several

kilometers of strike length. We are looking forward to announcing more results expected as

early as the first half of July depending on lab turn around."

Drilling continues at the Property with the next holes planned to test the 5 Senores Vein, where chip

sampling includes the following highlights:

426 gpt silver

and

2.9 gpt gold

over 3.2 meters;

401 gpt silver

and 0.239 gpt gold over 5.3 meters;

1155 gpt silver

over 1.0 meters;

396 gpt silver

and

1.8 gpt gold

over 1.0 meters;

534 gpt silver

over 1.0 meters.

Detailed Drill Results - Hole BDH-20-001

Hole ID

From

(meters)

Interval

(meters)

Silver

(gpt)

Gold

(gpt)

Silver Eq.

(gpt)

BDH-20-001

56.0

including

22.0

106

including

3.0

244

1.09

342

including

5.0

250

0.247

272

* Silver Equivalent based on 90 (silver) to 1 (gold)

Note: Estimated true widths range from 85 to 90% of drilled widths depending on dip of the vein and inclination of the hole. All silver composites rounded to the nearest whole

number.

Upcoming drilling will target the 5 Senores Vein before stepping out to test the other 5 principle veins

of the classic epithermal system. Further results will be released as assays are received and

interpreted by the Company.

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.

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 and approved on behalf of Kootenay by

James McDonald

, P.Geo,

President, CEO & Director for Kootenay, a Qualified Person.

Sampling and QA/QC

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 from core cut in half

with a diamond saw under the direction of qualified geologists and engineers. Samples are then

labeled, placed in plastic bags, sealed and with interval and sample numbers recorded. Samples are

delivered by the Company to ALS Minerals ("ALS") in

Hermosillo, Sonora

. The samples are dried,

crushed and pulverized with the pulps being sent airfreight for analysis by ALS in

North 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. All drilling reported is

HQ core and has been contracted to Globexplore Drilling from

Hermosillo, Mexico

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

Supported by one of the largest junior 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 its priority silver projects located in the states of

Sonora

Sinaloa

and

Chihuahua,

Mexico

, respectively.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

The information in this news release has been prepared as at

June 16, 2020

. 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.

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/June2020/17/c4288.html

%SEDAR: 00016508E

For further information:

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

CO: Kootenay Silver Inc.

CNW 08:30e 17-JUN-20

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