Kootenay samples 32 g/t Au, 6,049 g/t Ag at Nechako

2014-04-03 09:08 ET - News Release

Mr. James McDonald reports

KOOTENAY ANNOUNCES GENERATIVE PROGRAM IN NECHAKO PLATEAU RESULTS IN THE DISCOVERY OF TWO PRECIOUS METALS MINERAL SYSTEMS

Kootenay Silver Inc.'s exploration activities conducted in the Nechako Plateau in British Columbia over the past two work seasons have resulted in the discovery of two new precious metal mineral systems called the Fox and Two Times Fred.

Highlight of the new finds:

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• Strongly anomalous gold (Au) and silver (Ag) values in surface grab samples to 32 grams per tonne (g/t) Au and 6,049 g/t Ag;
• Numerous anomalous mineral occurrences over one square kilometre;
• Best mineralization underlain by three-kilometre-long magnetic anomaly;
• Alteration and mineralization indicate potential for disseminated and high-grade-type discovery.

Two Times Fred property:

Silver and gold mineralization is strongest where hosted within centimetre- to millimetre-scale open-space quartz veins as stockworks, and breccia fills in felsic volcanic rocks and subvolcanic feldspar porphyry. Vein orientations strike northeast and northwest, and vein dips are commonly near vertical.

The outcrop of strongest mineralization seen to date trends approximately 330 degrees and dips near vertically. This zone consists of anastomosing veins of amethystine open-space quartz with pyrite, galena and pyrargyrite (?) infilling strongly fractured to crackle-brecciated rock. It is exposed over a width of 10 metres and length of 30 metres.

Eleven grab samples were taken from this outcrop. The silver and gold assays are as follows, with highs to 6,049 parts per million (ppm) Ag and 32,634 ppb Au, and include:

Anomalous to multigram gold values obtained from the upper levels of a hot spring system indicate good potential for higher grades at depth. Locating fault structures, which may have acted as fluid conduits, and further defining paleo-surfaces that would allow for large tonnage, are top priorities for the property. The mineralized veins found to date are localized around a conspicuous magnetic high feature, which may represent a feeder system at depth.

Work conducted by Kootenay has included rock sampling, bio-geochemistry, geological mapping, processing and interpretation of government magnetic and EM surveys, and ground geophysical surveys (magnetic and VLF-EM), as well as permitting for trenching and drilling. Future work plans include expansion of ground-based geophysics followed by trenching, and systematic sampling and mapping of the vein systems preclusive to diamond drilling.

Quality assurance/quality control

All samples reported are grab rock samples unless otherwise indicated. Further quality assurance and control procedures, and details on assay procedures and laboratories used are disclosed on the Kootenay Silver website.

The foregoing geological disclosure has been reviewed and verified by Kootenay's chief executive officer, James McDonald, PGeo (a qualified person for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects). Mr. McDonald is a director of Kootenay.