Vancouver, Canada-Kootenay Gold Inc. (TSX VENTURE: KTN.V) is pleased to announce assay results from the holes PC 003 & PC 004 as part of a 10,000 meter, multi-phase drilling program underway (see enclosed Map) on its Promontorio Silver Project in Sonora, Mexico.
Highlights Include:
Hole PC 003:
•Expands mineralization southward 50+ meters from 43-101 Pit Resource
•12 meters of 80.38 g/t Ag, 2.36% Pb+Zn at the top of an 82 meter intercept
•82 meter intercept of 34.45 g/t Ag and 1.1% Pb+Zn with 10.5 meters of 56.86 g/t Ag and 2.3% Pb+Zn near the bottom of the interval with the hole ending in mineralization.
•Second interval of 38.55 g/t Ag and 0.37% Pb+Zn over 16.5 meters higher in hole
Hole PC 004:
•Expands mineralization southward up to 100 meters from 43-101 Pit Resource
•Shallow intercept of 262.4 g/t Ag and 1.1 % Pb+Zn over 13.5 meters including 819 g/t Ag and 2.57% Pb+Zn over 3 meters.
•Interval is extension of High grade zone in Zone 1 of Pit Resource extending it about 40 meters to southwest increasing strike extent by 65% •Deeper intercept possible extension of Pit Resource graded 31.6 g/t Ag and 1.82% Pb+Zn over 7.5 meters within 15 meters of 25.6 g/t Ag and 1.08% Pb + Zn.
•Hole bottomed in mineralization.
States Kootenay President and CEO James McDonald," We are pleased and excited with results from holes P 003 and 004 of our Promontorio drill program. We continue to encounter widespread silver/lead/zinc mineralization that includes multiple, high-grade intercepts. As the current drill program continues, we have now established mineralization extending 50 to 100 meters outside the current 43-101 resource including the high grade in PC 004".
This 10,000-meter Drill Phase is part of a strategic program to substantially expand the known 43-101mineral resource at Promontorio. The first four holes have been drilled along a single fence across the western side of the Pit Zone. This fence of holes is testing from 200 meters outside of the resource drilling into it on its western most edge to further delineate the mineralized contacts and expand the known mineralized area to the south.AGP Mining Consultants 43-101 Highlights of Promontorio Pit Resource include (See Aug 18, 2010 Release):
•Contained Silver 8,900,000 oz Indicated and 1,170,000 oz Inferred
•Contained Lead 99,300,000 lbs. Indicated and 13,400,000 lbs. Inferred
•Contained Zinc 110,800,000 lbs. Indicated and 14,300,000 lbs. Inferred
*Metal recoveries used for the above calculations: Ag-82%; Pb- 85%; Zn-91%
The 43-101 AGP Mining Consultants Resource Calculation was based on only 27 of 54 drill holes conducted on the project to date. Several extensively mineralized holes at the time of the report were absent from the resource calculation based on the spacing of the drill holes.
Kootenay further reports the significant gold component reported to date has yet to be included in published resource calculations. Additional metallurgy testing will be conducted on these holes in the near future to determine the gold's' leachabilty and recovery and extraction methods required.
Kootenay additionally reports, a second labor shift has been added to further accelerate drilling production and development on Promontorio.
QA/QC
All holes were drilled using reverse circulation. Samples were split using riffle or rotory splitters to make representative composites. All samples are over 1.5 meter intervals. All mineralized intercepts are drill hole length drilled across a vertically inclined breccias system at 60 degree angles. Quality Assurance and Quality Control procedures are posted on the Kootenay Gold website.
The foregoing geological disclosure has also 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 is actively developing mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. The Company flagship property is the former producing Promontorio Silver Mine in Sonora State, Mexico (see enclosed Map).
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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
www.kootenaygold.ca
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.
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. 2010 number 28
You can view the Previous News Releases item: Thu Nov 18, 2010, Kootenay Acquires Drill Ready Silver/Copper Property in South Eastern, B. C. Silver Fox Property is Located Within a "Revett Type " Geological Formation Which is Host to Over 680 Million Oz Silver & 5,600 Million lbs Copper
