Value Microcaps Junior Miners

[basserdan]

KOOTENAY SILVER ENCOUNTERS MORE HIGH-GRADE SILVER IN PHASE II OF THE LA NEGRA DRILL PROGRAM

Kootenay Silver Inc. (TSX VENTURE:KTN.V; OTC:KOOYF) ("Kootenay") is pleased to announce results from the final three holes of its Phase II drill program on the La Negra Diatreme Silver discovery on its Promontorio property in Sonora, Mexico. The final three holes of the program were designed to test variously La Negra's northeastern extension, the western end, and another deep test of the diatreme breccia. High-grade intercepts were encountered in two of the three final holes expanding the extent of the mineralized breccia to the northeast and to depth. Importantly LN 40 intercepts 798 gpt Ag over 5 meters within successively wider intervals of 353 gpt Ag over 13 meters, 252 gpt Ag over 24 meters and 124 gpt over 56 meters at a vertical depth of about 300 meters from the mineralized hill top.

Details of the intercepts are in the following table: 
 Drill Hole 	From 	To 	Interval 	Silver 	Gold 	Lead 	Rock 
 (m) 	(m) 	(m) 	(gpt) 	(gpt) 	% 	Type 
 LN-39-15 	-50°/150° Az 	77 	94 	17 	169.82 	0.071 	0.24 	Breccia 
 Including 	80 	94 	14 	199.07 	0.075 	0.19 	Breccia 
 Including 	80 	91 	11 	221.09 	0.086 	0.17 	Breccia 
 Including 	80 	83 	3 	446.66 	0.065 	0.18 	Breccia 
 137m EOH 
 LN-40-15 	-60°/360° Az 	157 	227 	70 	42.06 	0.037 	0.22 	Breccia/Phyllic Andesite 
 Including 	189 	209 	20 	88.75 	0.037 	0.34 	Breccia 
 Including 	189 	192 	3 	174.66 	0.09 	1.2 	Breccia 
 254 	310 	56 	124.27 	0.175 	0.1 	Breccia 
 Including 	275 	307 	32 	198.7 	0.298 	0.03 	Breccia 
 Including 	283 	307 	24 	252.6 	0.387 	0.03 	Breccia 
 Including 	294 	307 	13 	353 	0.242 	0.02 	Breccia 
 Including 	302 	307 	5 	798.4 	0.451 	0.03 	Breccia 
 360m EOH 
 LN-41-15 	-50°/150° Az 	85 	101 	16 	12.37 	0.008 	0.33 	Breccia/Phyllic Andesite 
 Including 	85 	94 	9 	13.55 	0.009 	0.3 	Breccia/Phyllic Andesite 
 Including 	85 	87 	2 	36.5 	0.025 	0.71 	Breccia/Phyllic Andesite 
 194.2m EOH

States Kootenay President and CEO James McDonald "We are very pleased with results of the Phase II program and are excited to advance the discovery to its next stage of development. Clearly, the program has been a major step forward for the La Negra Silver discovery. The continuity of silver grades and consistency of silver mineralization to depth set the stage for the advancement of La Negra. Moreover, results reinforce La Negra's potential for a low-cost, open pittable silver resource."

Previous highlights from Phase II include:

LN 27-15
* 96 gpt Ag over 52 meters including:
* 183 gpt Ag over 25 meters
* 357 gpt Ag over 8 meters with
* 963 gpt Ag over 2 meters
* 322 gpt Ag over 5 meters

LN 28-15
* 110 gpt Ag over 84 meters including:
* 300 gpt Ag over 8 meters and
* 179 gpt Ag over 18 meters

LN 30-15
* 120 gpt Ag over 60 meters from surface including:
* 185 gpt Ag over 26 meters and
* 539 gpt Ag over 7 meters

LN 31-15
* 76 gpt Ag over 138 meters starting from surface includes three separate higher grade intervals;
* 160 gpt Ag over 12 meters
* 146 gpt Ag over 37 meters with 1 meter of 3040 gpt Ag and
* 115 gpt Ag over 23 meters

LN-32-15
* 68.39 gpt Ag over 146 meters from surface including:
* 139.60 gpt Ag over 56 meters with
* 217.32 gpt Ag over 28 meters and
* 462.11 gpt Ag over 9 meters

LN-33-15
* 63.12 gpt Ag over 138 meters from surface including:
* 152.62 gpt Ag over 27 meters with
* 453.00 gpt Ag over 5 meters

LN-34-15
* 149.27 gpt Ag over 11 meters including:
* 205.50 gpt Ag over 7 meters

LN-38-15
* 113.15 gpt Ag over 67 meters including:
* 306.73 gpt Ag over 15 meters with
* 850.60 gpt Ag over 5 meters and
* 1772.50 gpt Ag over 2 meters

The final three drill holes mark the conclusion of the Phase II drill program on La Negra. Results from Phase II drilling show excellent continuity of silver mineralization reaffirming potential for a low cost open pit silver deposit. The depth potential is also demonstrated during the Phase II program with silver intercepts 250 to 300 meters vertically from surface, extending silver mineralization 100 to 150 meters deeper than previous drill holes expanding the size potential. This indicates added potential for an open pit scenario that could evolve into an underground operation.

A total of 16 holes for 3,040 meters of drilling were completed in the program. To view a drill plan outlining the location of the La Negra drilling visit: La Negra Drill Plan Map ( http://tinyurl.com/ny3dyhk ). To view complete results from Phase I and II drilling visit: La Negra Drilling Results ( http://tinyurl.com/m4pcdq8 ).

Upcoming Development on La Negra

Drill results from the Phase II program are being interpreted and compiled and collated in a 3D geologic model. This compilation will be used to design the next drill phase with the objective of moving the project as quickly as possible to a maiden NI 43-101 resource calculation including metallurgical work. Further details and time schedules will be announced in an upcoming future news release once the compilation is complete.

La Negra Ground Expansion Program

Kootenay reported in its April 30, 2015 news release that ground exploration has identified two high priority mineralized trends called Vania and the La Negra Silver Trend. Follow up ground work has included mapping and sampling with over 350 rock samples now taken (primarily from the Vania trend and Gringo area). Further details of results from the expanded La Negra ground exploration program are expected to be announced in the next two weeks once assays are received and evaluated.

La Negra Silver Discovery

The La Negra Breccia prospect is situated approx. 6.5kms north of Kootenay's flagship Promontorio Silver Resource in Sonora, Mexico and is contained within a 25 x 15 km mineralized corridor, the 'Promontorio Mineral Belt.' The Phase II drill program on La Negra follows a successful Phase I drill program, which returned significant and consistent intervals of high grade, widespread silver mineralization extending from surface to depth, confirming a substantial new silver discovery. Highlights included 200 meters of 156 gpt Ag bottoming in 492 gpt Ag over 17 meters above which there is 6 meters of 1337 gpt Ag, 141 gpt Ag over 50 meters, including 212 gpt Ag over 28 meters and 323 gpt Ag over 15 meters. (See news releases, 'Drill Results' October 15th, November 26th, December 3rd, 2014, March 31st and April 30th, 2015 for more details). The Phase I drill program was led by a successful trenching and surface sampling program that confirmed extensive silver mineralization over a large 100 to 200 meters by 500 meters area on surface. (See news releases from May 28th and June 5th, 2014 for more details).

To View Full Results of Sampling and drill Program Visit: http://www.kootenaysilver.com

QA/QC

Core is being detailed logged and sampled with half the core being bagged, tagged, catalogued, sealed and sent to an accredited assay lab for analysis. A quality control program including blanks, standards and replicates is being used similar to that used on the Promontorio drill program. Geotechnical data such as recovery, RQD and density are being recorded also. All drilling has been with HQ core and is being done by BD Drilling from Guadalajara, Mexico. Further Quality Assurance and Control procedures and details on assays procedures and laboratories used are disclosed on the Kootenay Silver Inc. website.

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

ABOUT KOOTENAY

Kootenay Silver Inc. is actively developing mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. Its flagship property is the former producing Promontorio Silver mine in Sonora State, Mexico. Kootenay's objective is to develop near term discoveries and long-term sustainable growth. Its management and technical team are proven professionals with extensive international experience in all aspects of mineral exploration, operations and venture capital markets. Multiple, ongoing J/V partnerships in Mexico and Canada maximize potential for additional, new discoveries while maintaining minimal share dilution.


For additional information, please contact:

James McDonald,
CEO and President at 403-238-6986

Ken Berry,
Chairman at 604-601-5652; 1-888-601-5650

or visit: http://www.kootenaysilver.com

http://www.kootenaysilver.com/s/NewsReleases.asp?ReportID=708621&_Type=News-Releases&_Title=KOOTENAY-ENCOUNTERS-MORE-HIGH-GRADE-SILVER-IN-PHASE-II-OF-THE-LA-NEGRA-DRIL...