Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Kootenay intercepts 214.2 g/t silver over 47 metres at Promontorio

Kootenay Gold (CVE:KTN) Monday announced assay results from its ongoing 25,000 metre, multi-phase drilling program at its Promontorio Silver project in Sonora, Mexico, extending mineralization outside of the current pit.

Among the notable highlights from the program, at DH70, Kootenay intercepted 214.2 grams per tonne (g/t) silver equivalent (84.47% silver, 3.04% lead and zinc) over 47 metres and 54 metres of 197 g/t silver equivalent (91.98% silver, 2.47% lead and zinc) in the northeast zone, 700 metres outside the current NI 43-101 compliant resource.

The company said that high grade intervals from the above hole included 492 g/t silver equivalent (202.7 g/t silver, 6.8% lead and zinc) over 16 metres and 480.6 g/t silver equivalent (179.4 g/t silver, 7.0% lead and zinc) over 11 metres.

Kootenay's president and CEO, James McDonald, said: "Step out drilling returned multiple intercepts of high-grade silver mineralization in the Northeast Zone, which sits 700 metres outside of and on strike to the company's established 43-101 pit resource.

"Equally critical to the current resource expansion program, hole DH 68 drilled in the Southwest expansion zone of the pit resource, returned widespread zones of medium to high-grade silver, showing excellent continuity of silver mineralization with the Pit Resource on strike and to depth, extending more than 50 metres outside the pit resource."

The current 25,000 metre in-fill drilling and resource definition program represents the single largest and most expansive drilling campaign conducted by Kootenay on the Promontorio Silver project to date.

At DH 68 in the southwest zone, two composited intervals within 225 metres of mineralization were intercepted. Highlights included 149 metres of 145.7 g/t silver equivalent (59.93 g/t silver, 2.0% lead and zinc) and 50 metres of 111 g/t silver equivalent (44.39 g/t silver, 1.55% lead and zinc).

Also in the southwest zone, the company encountered six different mineralized composites within 225 meters of mineralization. Highlights from the hole included encounters of 108.1 g/t silver equivalent (50 g/t silver, 1.35% lead and zinc) over 19 metres and 64.87 g/t silver equivalent (27.5 g/t silver, 0.87% lead and zinc) over 20 metres, as well as  56.2 g/t silver equivalent (22.46 g/t silver, 0.79% lead and zinc) over 45 metres.

Kootenay said three diamond drill rigs are currently operating on Promontorio, with two stepping out in a systematic manner outside of the pit resource to the southwest and northeast.

The third rig is working on stepping out from PC 28 in the northeast zone, which measures 300 metres in strike length.

Upcoming drilling will continue to concentrate on step out and in-fill drilling, off-setting the numerous medium to high grade silver intercepts concentrated along a 1.0 kilometer long mineralized corridor that includes the pit resource, the pit NE zone, northeast zone and southwest zone.

Shares were up 2.8% at $1.10 in early afternoon trading.