11:55 AM EDT, 08/15/2017 (MT Newswires) -- Kootenay Silver Inc. (KTN.V) has discovered a new mineralized silver zone within the Las Venadas target area of its La Cigarra silver project in Chihuahua State, Mexico. The strength and intensity of brecciation, veining and alteration is much stronger than anything observed within the La Cigarra resource itself.

Kootenay President and CEO James McDonald states, "The discovery of a mineralized zone of this magnitude and strength of veining in the world-class Parral mining district is a highly significant development for the company. The large-scale nature and intensity of the mineralized zone offers exceptional future growth potential and is characteristic of other major silver deposits in the district such as the San Francisco Del Oro and Santa Barbara mines located closely to the immediate south."

The zone is anomalous throughout. Individual samples grade as high as 799 gpt silver over 1.1 meters and 692 gpt silver over 1 meter in two different zones indicating excellent grade potential. The best weighted average intervals are: Hole CC-17-26: 91.32 gpt silver over 29.5 meters, including 123.24 gpt silver over 19.25 meters, with 435.36 gpt silver over 2.5 meters, and113.78 gpt silver over 10.75 meters.

Drilling will now shift to testing the new zone at a shallower depth from the collar at CC-17-26 to help determine the trend of the zone. It will then move to the La Borracha and Navidad areas and then continue on the new discovery once compilation and interpretation is complete. There are two rigs available on site with one operating so both areas can be drilled at the same time.

Further results from the 7,500-meter drilling on the La Cigarra will be announced as soon as assays received from the program are compiled and interpreted by the Company.

Kootenay Silver's shares were last up 8.7% at $0.25 apiece.

Price: 0.25, Change: +0.02, Percent Change: +8.7