Kootenay Silver Announces Further Upsized $5.4 Million Marketed Private Placement of Units

KOOTENAY SILVER ANNOUNCES FURTHER

UPSIZED $5.4 MILLION MARKETED PRIVATE

PLACEMENT OF UNITS

/NOT FOR DISTRIBUTION TO

UNITED STATES

NEWSWIRE SERVICES OR FOR

DISSEMINATION IN

THE UNITED STATES

./

VANCOUVER, BC

,

Feb. 14, 2022

/CNW/ - Kootenay Silver Inc. ("

Kootenay

" or the "

Company

")

(TSXV: KTN) announces that, due to strong investor demand, it has agreed with Research Capital

Corporation, as sole agent and sole bookrunner (the "

Agent

"), to further increase the size of the

previously announced best efforts private placement offering of units of the Company (the "

Units

") at

a price of

$0.16

per Unit (the "

Offering Price

") for gross proceeds of up to

$5,434,782.72

(the

"

Offering

").

Each Unit will be comprised of one common share of the Company (a "

Common Share

") and one

Common Share purchase warrant (a "

Warrant

"). Each Warrant shall be exercisable to acquire one

Common Share (a "

Warrant Share

") at an exercise price of

$0.22

per Warrant Share for a period

of 36 months from the closing of the Offering.

All other terms remain as described on the Company's new release dated

February 9, 2022

. The

Company intends to use the net proceeds from the Offering for working capital requirements and

other general corporate purposes.

The Agent will have an option (the "

Agent's Option

") to offer for sale up to an additional 15% of the

number of Units sold in the Offering at the Offering Price, which Agent's Option is exercisable, in

whole or in part, at any time up to 48 hours prior to the closing of the Offering.

The securities described herein have not been, and will not be, registered under the United States

Securities Act of 1933, as amended (the "

U.S. Securities Act

"), or any state securities laws, and

accordingly, may not be offered or sold within

the United States

except in compliance with the

registration requirements of the U.S. Securities Act and applicable state securities requirements or

pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a

solicitation to buy any securities in any jurisdiction.

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

. 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 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

February 13, 2022

. 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 includes Mineral Reserves and Mineral

Resources classification terms that comply with reporting standards in

Canada

and the Mineral

Reserves and the Mineral Resources estimates are made in accordance with National Instrument

43-101 – Standards of Disclosure for Mineral Projects ("NI 43-101"). NI 43-101 is a rule developed

by the Canadian Securities Administrators that establishes standards for all public disclosure an

issuer makes of scientific and technical information concerning mineral projects. These standards

differ significantly from the requirements adopted by the U.S. Securities and Exchange Commission

(the "SEC"). The SEC sets rules that are applicable to domestic

United States

reporting companies.

Consequently, Mineral Reserves and Mineral Resources information included in this news release is

not comparable to similar information that would generally be disclosed by domestic U.S. reporting

companies subject to the reporting and disclosure requirements of the SEC. Accordingly, information

concerning mineral deposits set forth herein may not be comparable with information made public by

companies that report in accordance with U.S. standards.

SOURCE

Kootenay Silver Inc.

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For further information:

For additional 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:

www.kootenaysilver.com

CO: Kootenay Silver Inc.

CNW 16:05e 14-FEB-22