Kootenay Hits 706 gpt Silver Equivalent Over 16 Meters (370 Ag and 7.79 % Pb-Zn) as Promontorio Drilling Continues to Encounter High Grade Intercepts of Silver in Top Priority Southwest and Northeast Zones
17 Jan, 2012, 17:31 GMT
VANCOUVER, British Columbia, January 17, 2012 /PRNewswire/ --
Shares Outstanding: 45,415,100
Kootenay Gold Inc. (TSX VENTURE: KTN.V) is pleased to announce assay results from an additional 20 drill holes from its 25,000 meter, ongoing, multi-phase, step out drill and resource definition program on its Promontorio Silver Project in Sonora, Mexico.
The Company reports the multi-rig diamond drilling program continues to yield exceptional results extending from the Pit Discovery Zone across the central 1km mineralized corridor.
The strike continuity of silver mineralization in the Southwest Zone connecting to the NI 43-101 Pit Resource has now been extended from 140 meters to 300 meters. In the Northeast Zone, which sits 700 meters outside of the current NI 43-101 Pit Resource, mineralization along strike is now 210 meters.
To view map of drill hole locations please visit:
http://www.kootenaygold.ca/i/projects/Promontorio/drillingupdate
States Kootenay CEO James McDonald "We continue to consistently hit multiple intercepts of high-grade silver mineralization confirming and extending continuity of the Pit Resource and Southwest Zone. In the Northeast Zone we also continue to hit multiple high-grade silver zones as demonstrated by the 706 gpt Silver Equivalent in hole 88. These are exciting developments for the future prospects of Promontorio as we move toward an updated NI 43-101 resource estimate."
Highlights from the Northeast (NE) Zone include:
DH 88
16 meters of 706 gpt Ag Equivalent (370 Ag and 7.79 % Pb-Zn)
On section up dip of DH 87 and down dip of DH 95 about 25 meters.
DH 87
22 meters of 104 gpt Ag Equivalent (55 Ag 1.14% Pb-Zn) including 5 meters of 208 gpt Ag Equivalent (97 Ag and 2.59% Pb-Zn) with three other composited intervals including 32 meters of 70 gpt Ag Equivalent (30 Ag and 0.93% Pb-Zn) including 3 meters of 175 gpt Ag Equivalent (73 Ag and 2.38% Pb-Zn) and 3 meters of 205 Ag Equivalent (98 Ag and 2.49% Pb-Zn)
DH 94
15 meters of 74 gpt Ag Equivalent (59 Ag and 0.34% Pb-Zn) including 6 meters of 110 gpt Ag (86 Ag and 0.56% Pb-Zn)
On section with DH 69 and 70
DH 95
13 meters of 117 gpt Ag Equivalent (97 Ag and 0.47%Pb-Zn) including 4 meters of 139 gpt Ag Equivalent (104 Ag and 0.81% Pb-Zn) and
31 meters of 102 Ag Equivalent (54 Ag and 1.13 % Pb-Zn) including 11 meters of 155 gpt Ag Equivalent (74 Ag and 1.9% Pb-Zn and 2 meters of 291 Ag Equivalent (217 Ag and 1.73% Pb-Zn)
DH 96
41 meters of 111 gpt Ag Equivalent (86 Ag and 0.58 % Pb-Zn) including 7 meters of 259 gpt Ag Equivalent (181 Ag and 1.81% Pb-Zn) and a second interval of 20 meters of 59 gpt Ag Equivalent (31 Ag and 0.67% Pb-Zn)
On section with KP 40, DH 99 and PC 27
DH 104
11 meters of 221 gpt Ag Equivalent (129 Ag and 2.13% Pb-Zn)
On section down dip of DH 90 and 98
Highlights from the Southwest Zone include:
DH 82
109 meters of 115 gpt Ag Equivalent (40 gpt Ag and 1.75% Pb-Zn) including 15 meters of 189 Ag Equivalent (66 gpt Ag and 2.89 % Pb-Zn) and 22 meters of 186 Ag Equivalent (65 Ag gpt and 2.84% Pb-Zn)
On section down dip of DH 82
DH 81
35 meters of 120 gpt Ag Equivalent (49 gpt Ag and 1.66% Pb-Zn) including 6 metes of 259 Ag Equivalent (101 Ag and 3.69% Pb-Zn) with in 16 meters of 189 Ag Equivalent (78 Ag and 2.595 Pb+Zn) and a second interval of 134 gpt Ag Equivalent (51 Ag and 1.92% Pb-Zn) over 33 meters including 6 meters of 261 Ag Equivalent (94 Ag and 3.89% Pb-zn) and 7 meters of 183 gpt Ag Equivalent ( 73 Ag and 2.56% Pb-Zn)
DH 84
75 meters of 122 gpt Ag Equivalent (48 gpt Ag and 1.71% Pb-Zn) including 16 meters of 189 Ag Equivalent (80 Ag and 2.53% Pb-Zn) and 20 meters of 190 gpt Ag Equivalent (72 Ag and 2.74% Pb-Zn)
On section down dip of DH 83
DH 83
32 meters of 75 gpt Ag Equivalent (30 Ag and 1.05% Pb-Zn) including 15 meters of 97 gpt Ag Equivalent (38 Ag and 1.39% Pb-Zn)
DH 91
86 meters of 57 gpt Ag Equivalent (23 Ag and 0.81% Pb-Zn) including 9 meters of 162 gpt Ag Equivalent (67 Ag and 2.19% Pb-Zn)
Down dip on section of DH 101 and 102
Highlights for the Pit NE Zone
DH 97
104 meters of 107 gpt Ag Equivalent (47 Ag and 1.39% Pb-Zn including 20 meters of 168 gpt Ag Equivalent (72 Ag and 2.24% Pb-Zn) and
47 meters 93 gpt Ag Equivalent (42 Ag and 1.18 % Pb-Zn) including 7 meters of 242 gpt (97 Ag and 3.38% Pb-Zn) and 11 meters of 160 gpt Ag Equivalent (81 Ag and 1.83 % Pb-Zn)
Infill between previously released DH 76 and 77
DH 89 was drilled sub parallel to the hang wall of the Pit Resource encountering anomalous results. DH 103 was abandoned. DH 101 and 102 in the Southwest Zone up dip of DH 91 appear to be above or at the top edge of the zone. DH 90 and 98 returned no significant results and appear to be above the mineralization hit on section in DH 104 further down dip.
Table of the full results follows:
*AgEq
From To Interval (Ag,Pb,Zn) Ag Pb Zn Pb+Zn
Hole ID Target (m) (m) (m) (g/t) (g/t) (%) (%) (%)
Pit SW
DH-081-11 Extension 283.00 318.00 35 120 49 0.86 0.80 1.66
Pit SW
including Extension 297.00 303.00 6 259 101 1.83 1.86 3.69
Pit SW
including Extension 287.00 303.00 16 189 78 1.41 1.18 2.59
Pit SW
DH-081-11 Extension 324.00 352.00 28 97 40 0.67 0.66 1.33
Pit SW
including Extension 330.00 334.00 4 160 71 1.05 1.01 2.06
Pit SW
DH-081-11 Extension 359.00 392.00 33 134 51 0.93 0.99 1.92
Pit SW
including Extension 369.00 375.00 6 261 94 1.78 2.11 3.89
Pit SW
including Extension 385.00 392.00 7 183 73 1.23 1.32 2.56
Pit SW
DH-082-11 Extension 318.00 427.00 109 115 40 0.67 1.08 1.75
Pit SW
including Extension 320.00 354.00 34 148 54 0.88 1.34 2.22
Pit SW
including Extension 327.00 342.00 15 189 66 1.08 1.81 2.89
Pit SW
including Extension 342.00 343.00 1 136 73 0.70 0.76 1.46
Pit SW
including Extension 395.00 398.00 3 491 193 3.49 3.44 6.93
Pit SW
including Extension 394.00 416.00 22 186 65 1.13 1.71 2.84
Pit SW
DH-082-11 Extension 439.00 440.00 1 644 312 5.50 2.12 7.62
Pit SW
DH-083-11 Extension 275.00 307.00 32 75 30 0.49 0.56 1.05
Pit SW
including Extension 286.00 301.00 15 97 38 0.66 0.73 1.39
Pit SW
DH-083-11 Extension 316.00 341.00 25 72 30 0.47 0.51 0.98
Pit SW
DH-083-11 Extension 370.00 392.00 22 54 23 0.34 0.38 0.72
Pit SW
DH-084-11 Extension 297.00 307.00 10 36 14 0.20 0.31 0.51
Pit SW
DH-084-11 Extension 318.00 393.00 75 122 48 0.87 0.84 1.71
Pit SW
including Extension 327.00 343.00 16 189 80 1.40 1.12 2.53
Pit SW
including Extension 349.00 369.00 20 190 72 1.37 1.38 2.74
DH-087-11 NE Zone 128.00 150.00 22 104 55 0.56 0.58 1.14
including NE Zone 145.00 150.00 5 208 97 1.14 1.45 2.59
DH-087-11 NE Zone 171.00 195.00 24 59 47 0.11 0.18 0.29
DH-087-11 NE Zone 279.00 311.00 32 70 30 0.46 0.46 0.93
including NE Zone 286.00 289.00 3 175 73 1.26 1.12 2.38
including NE Zone 301.00 304.00 3 205 98 1.43 1.06 2.49
DH-088-11 NE Zone 85.00 101.00 16 706 370 4.24 3.55 7.79
DH-088-11 NE Zone 112.00 126.00 14 40 32 0.08 0.11 0.19
DH-088-11 NE Zone 179.00 189.00 10 67 41 0.13 0.48 0.61
DH-088-11 NE Zone 204.00 213.00 9 74 45 0.31 0.38 0.69
DH-088-11 NE Zone 246.00 255.00 9 73 24 0.64 0.48 1.12
DH-089-11 N of Pit 439.00 442.00 3 67 18 0.55 0.57 1.12
DH-089-11 N of Pit 454.00 473.00 19 25 8 0.16 0.24 0.40
DH-089-11 N of Pit 490.00 498.00 8 42 20 0.22 0.29 0.51
DH-090-11 NE Zone 190.00 192.00 2 41 34 0.09 0.07 0.16
Pit SW
DH-091-11 Extension 254.00 258.00 4 77 32 0.39 0.67 1.06
Pit SW
DH-091-11 Extension 292.00 378.00 86 57 23 0.41 0.41 0.81
Pit SW
including Extension 294.00 303.00 9 162 67 1.14 1.05 2.19
DH-094-11 NE Zone 100.00 115.00 15 74 59 0.17 0.18 0.34
including NE Zone 100.00 106.00 6 110 86 0.29 0.27 0.56
DH-094-11 NE Zone 156.00 174.00 18 30 22 0.06 0.12 0.18
including NE Zone 158.00 164.00 6 54 41 0.08 0.22 0.30
DH-094-11 NE Zone 183.00 214.00 31 48 20 0.24 0.43 0.67
DH-094-11 NE Zone 243.00 252.00 9 62 22 0.42 0.50 0.92
DH-094-11 NE Zone 259.00 268.00 9 68 25 0.49 0.52 1.01
DH-095-11 NE Zone 97.00 110.00 13 117 97 0.28 0.18 0.47
including NE Zone 98.00 102.00 4 139 104 0.46 0.35 0.81
DH-095-11 NE Zone 151.00 163.00 12 30 23 0.05 0.11 0.16
DH-095-11 NE Zone 170.00 201.00 31 102 54 0.51 0.62 1.13
including NE Zone 190.00 201.00 11 155 74 0.81 1.09 1.90
DH-095-11 NE Zone 207.00 209.00 2 291 217 0.78 0.95 1.73
DH-096-11 NE Zone 132.00 173.00 41 111 86 0.31 0.27 0.58
including NE Zone 132.00 139.00 7 259 181 0.94 0.87 1.81
DH-096-11 NE Zone 181.00 201.00 20 59 31 0.27 0.40 0.67
Pit
DH-097-11 Infill 122.00 126.00 4 49 16 0.19 0.58 0.78
Pit
DH-097-11 Infill 181.00 193.00 12 48 16 0.33 0.41 0.74
Pit
DH-097-11 Infill 203.00 307.00 104 107 47 0.67 0.71 1.39
Pit
including Infill 239.00 259.00 20 168 72 0.97 1.28 2.24
Pit
DH-097-11 Infill 314.00 361.00 47 93 42 0.59 0.58 1.18
Pit
including Infill 314.00 321.00 7 242 97 1.60 1.78 3.38
Pit
including Infill 334.00 345.00 11 160 81 1.04 0.79 1.83
DH-099-11 NE Zone 184.00 185.00 1 410 260 2.14 1.32 3.46
DH-099-11 NE Zone 281.00 309.00 28 40 15 0.29 0.30 0.58
DH-099-11 NE Zone 320.00 326.00 6 69 35 0.39 0.40 0.79
Pit
DH-100-11 Infill 413.00 470.00 57 46 14 0.27 0.46 0.73
Pit SW
DH-101-11 Extension 28.00 30.00 2 25 2 0.04 0.52 0.56
Pit SW
DH-102-11 Extension 155.00 167.00 12 35 12 0.25 0.29 0.54
Pit SW
DH-102-11 Extension 332.00 333.00 1 253 218 0.61 0.20 0.81
Pit SW
DH-102-11 Extension 352.00 354.00 2 318 223 1.30 0.91 2.21
DH-104-11 NE Zone 219.00 230.00 11 221 129 1.01 1.13 2.13
*Assuming 100% Metallurgical Recovery
*Prices used in Silver Equivalent (AgEq) Calculations:
Ag dollars/oz 15
Zn dollars/lb 0.91
Pb dollars/lb 0.97
QA/QC
All holes reported here were drilled with HQ sized diamond drill core with some sections reduced down to NQ sized core. Core samples were cut using a core saw with 1 to 2 meter long sample intervals. All mineralized intercepts are drill core length drilled across a vertically inclined breccia system at angles of 45 to 70 degrees. Dimensions of the breccia system are being determined. The current resource sits approximately along 140 meters of strike by 60 meters of horizontal width in a range of 20 to 90 meters and to a 400 meter depth. Further Quality Assurance and Control procedures are disclosed on the Kootenay Gold Inc. 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 Gold is actively developing mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. The Company's flagship property is the former producing Promontorio Silver mine in Sonora State, Mexico. The Company's objective is to develop near term discoveries and long term sustainable growth. Kootenay's 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.
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.
For further information:
James McDonald, CEO and President at +1-403-238-6986
Ken Berry, Chairman at +1-604-601-5652; +1-888-601-5650
or visit: http://www.kootenaygold.ca
SOURCE Kootenay Gold Inc.