Kootenay Silver (TSX-V: KTN) is pleased to announce JV operator Aztec Minerals Corp. (TSX-V: AZT) has reported the final gold and multi-element results for the Cervantes Project 2021-2022 Reverse Circulation Phase 2 drill program in Sonora, Mexico. The program involved 26 RC drill holes with a combined total of 5,249 meters that tested four targets (California, California North, Jasper, and Purisima East).

The Cervantes project is a 65/35 joint venture with Kootenay holding a 35% participating interest.

Highlights from final drill results

• Results for Hole CAL22-018—a deep probe to test the large IP chargeability anomaly of the California zone, reached a total depth of 264.48 meters before caving.
  • It penetrated the near surface oxide gold-copper mineralization and transitioned into a higher sulfide-silica alteration zone with significantly higher molybdenum and copper values.
  • Visible, estimated pyrite contents increased from ~ 1% to ~3-5% avg
  • Copper increased from a 51 ppm avg to 578 ppm avg
  • This zone high in pyrite is consistent with pyrite shells associated with copper porphyry mineralization.
• The multi-element ICP results show good relationships between Au, Cu, Bi, Ag and As, with prospective grades and widths of Cu and Ag supporting a potential porphyry deposit at depth.
• Continued intercepts of anomalous gold mineralization in the California zone
• Multi-Element ICP results received for Cervantes drill holes

Results form the California target continue to return anomalous gold mineralization.

View drill section here: California Drill Section CAL22-018

Reported lengths are apparent widths, not true widths, and the observed gold mineralization appears to be widely distributed in disseminations, fractures and veinlets within quartz-feldspar porphyry, feldspar porphyry stocks, quartzites and related hydrothermal breccias.

Click to view: California Longitudinal Section and California 2022 Drill Plan Map

Holes CAL22-018, 019, 020, and 021 intersected anomalous gold mineralization, extending the known mineralized zone at depth, and to the north, east and south of the California zone. The now completed RC Phase 2 drilling program covers an area measuring approximately 900 meters long by 250 to 500 meters wide, with demonstrated, continuous anomalous mineralization up to 265 meters depth vertically. The porphyry gold-copper mineralization is open in all directions.

Table 1. Select Multi-Element Results of Cervantes Phase 2 Drill Program

The Aztec-Kootenay JV has now completed its Phase 2 RC program of 26 holes, totaling 5,249 meters at the Cervantes Property. Drilling commenced in December 2021. The primary objectives of the 2021 – 2022 phase 2 exploration program was to better define the open pit, heap leach gold potential of the porphyry oxide cap at California, evaluate the potential for deeper copper-gold porphyry sulfide mineralization underlying the oxide cap, test for north and west extensions of the California mineralization at California North and Jasper, and assess the breccia potential of Purisima East.

Drill samples cuttings are collected every 5 feet (1.52m) from all drill holes. The samples are analyzed by Bureau Veritas for gold with a 30-gram sample size using the method FA430 followed by MA300. Over limits, when present, are analyzed by AR404 or FA550. All holes contain certified blanks, standards, and duplicates as part of the quality control program. The QA/QC review for all drilling has been completed with excellent results showing good data integrity. The samples are shipped to and received by Bureau Veritas Minerals laboratory for the gold and multielement geochemical analysis and additional gold results will be received and reported in the next several weeks.  Final multielement ICP results are expected to follow the release of the preliminary gold assays and are expected to be received during the second quarter 2022.

Aztec has recently completed drill hole collar surveying, field work for Drone Photogrammetry survey created a detailed ortho-topographic base map, and Terraspec readings on the RC drill chips. Aztec is now carrying out channel sampling and geologic mapping of the new drill roads at California, California Norte and Jasper, relogged the 2017-2018 core, expand surface sampling and mapping on the property in general to continue the 2021 phase 1 surface program, and generate Leapfrog modeling of the geology, geochemistry and geophysics.

Qualified Persons

The Kootenay 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 of 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 junior 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 its priority silver projects located in prolific mining districts in Sonora, State and Chihuahua, State, Mexico, respectively.