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.