Kootenay Silver Commences 7,500 Meter Drill Program at LA Cigarra Silver Project, Mexico
May 15, 2017
KOOTENAY SILVER COMMENCES 7,500 METER DRILL PROGRAM AT
LA CIGARRA SILVER PROJECT, MEXICO
Kootenay Silver Inc. (TSXV: KTN) (the “Company” or “ Kootenay”) is pleased to announce that a core drill
program (the “Program”) is underway at its 100% owned La Cigarra silver project, located in the Parral Mining
District of Chihuahua State, Mexico.
The Program will total approximately 7,500 meters and will focus on the expansion of the La Cigarra NI 43-101
mineral resource by first targeting an 800 -meter region between the Las Venadas and Las Carolinas zones . This
includes the southern boundary of Las Carolinas , where previous drilling conducted by Northair Silver Corp. in
2014 encountered widespread mineralization and a series of high -grade silver intercepts. (See Northair News
Release dated Dec 15, 2014). The focal region is characterized by significant soil and rock geochemical anomalies
as well as historic mine workings that can be traced northward from Las Venadas on trend towards the southern
boundary of the La Cigarra silver deposit (Click to view: Las Venadas drilling area map).
States Kootenay President and CEO James McDonald “We are ve ry pleased to initiate our next drill and resource
expansion program at La Cigarra. We believe that results from past drilling in this priority region of the property,
combined with supporting data from recent exploration, clearly underscores La Cigarra’s immense potential for
further resource expansion in 2017 and we look forward to exploiting that opportunity.”
Drilling will operate concurrently with ongoing geological mapping and sampling programs to prioritize peripheral
target areas, for drill testing later in the year. Results from the Program will be ongoing and announced as assays
are received and interpreted by the Company.
La Cigarra NI 43-101 Resource:
Measured and Indicated mineral resources of 51,470,000 ounces of silver within 18,540,000
tonnes at an average grade of 86.3 gpt silver;
Inferred mineral resource of 11,460,000 ounces silver within 4,450,000 tonnes at an average grade
of 80 gpt silver;
Higher than average grade zones outcrop, which could improve the assumed project economics in
the early years;
Significant by-products include 41,000 ounces of gold in the measured and indicated categories as
well as appreciable lead and zinc values, as provided in mineral resource estimate tables noted
below.
A summary of the mineral resource estimate contained in the resource shell is listed below, as calculated by
GeoVector Management Inc., Effective Date January 14, 2015 and filed on SEDAR, at a 35 gpt silver cut-off
grade and metallurgical recoveries of 84% silver:
Resource
Category*
Tonnes In-Situ Grade Contained Metal
Ag (gpt) Au (gpt) Pb (%) Zn (%) Ag (oz) Au (oz) Pb (lbs) Zn (lbs)
Measured 3,620,000 88.9 0.074 0.14 0.19 10,340,000 9,000 10,920,000 15,510,000
Indicated 14,930,000 85.7 0.068 0.13 0.18 41,130,000 33,000 42,950,000 59,260,000
Meas + Ind 18,540,000 86.3 0.069 0.13 0.18 51,470,000 41,000 53,870,000 74,770,000
Resource
Category*
Tonnes In-Situ Grade Contained Metal
Ag (gpt) Au (gpt) Pb (%) Zn (%) Ag (oz) Au (oz) Pb (lbs) Zn (lbs)
Inferred 4,450,000 80.0 0.058 0.13 0.16 11,460,000 8,000 12,680,000 15,610,000
Note:* Mineral resources are reported in relation to a conceptual pit shell at a 35 gpt silver cut-off grade and a $22/oz silver price. Mineral resources
that are not mineral reserves do not have demonstrated economic viability. All figures are rounded to reflect the relative ac curacy of the estimate
and numbers may not add up due to rounding.
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 del ivered 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. All drilling will be with HQ core and has been contracted to BD Drilling from Guadalajara,
Mexico.
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.
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
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.
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
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:
The information in this news release has been prepared as at May12, 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 signific ant 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 suc h 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 an y updates or
revisions to any such stat ements 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 fi led with the SEC.
U.S. investors are cautioned that mineral deposits on adjacent properties are not i ndicative 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 fro m 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 ca utioned 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.
2017 number 12