Kootenay Silver Provides Update on La Mina Project, Mexico

Kootenay Silver Provides Update on La Mina

Project, Mexico

VANCOUVER

,

Sept. 13, 2018

/CNW/ -

Kootenay Silver Inc. (TSXV: KTN) (the "Company" or

"Kootenay")

is pleased to announce Capstone Mining Corp. (TSX: CS) ("Capstone Mining") has

informed the Company that an exploration program is underway on the La Mina Project (the

"Property"), located 180 kilometers southeast of the city of

Hermosillo

in Sonora State, Mexico.

Detailed geological mapping, rock chip and stream sediment sampling is underway in order to define

potential drill targets on the Property. The Company is looking forward to Capstone advancing the

project towards drill stage. Kootenay will report on results after programs are complete and

Capstone reports them to the Company.

As announced on

June 28

th

, 2018 (see

KTN NR 18-14

), Kootenay entered in to an option agreement

(the "Agreement") with Capstone Mining, whereby Capstone Mining can earn an initial 60% ("Initial

Earn In") interest in

La Mina

by making staged cash payments totalling

US$600,000

and incurring

exploration expenditures totalling

US$4 million

over 4 years. Following the Initial Earn In, Capstone

may earn up to a 100% interest in

La Mina

in stages by completing certain milestones including

preparation of a preliminary economic assessment, a pre-feasibility study and paying an additional

aggregate total of

US$8.4 million

to Kootenay in stages at each of the various milestones.

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.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

The information in this news release has been prepared as at

September 17, 2018

. 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.

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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 13-SEP-18