New High-Grade Silver Discovery in Mexico Puts Kootenay CEO Back in Mining Spotlight

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For the investing public, the mining space is notoriously challenging, and often very high-risk. After all, it usually takes companies years of exploration and many millions of dollars invested before a usable quantity of valuable minerals is ever discovered. But for those select few investors that are able to seek out the companies that hit it big, the payoffs can be staggering.

Enter Canadian and Mexican based Kootenay Silver, Inc. (KTN:CA) and its President and CEO James McDonald. In a series of recent breaking developments, Kootenay announced drill assays from a multi-phase drilling program on its La Negra prospect in Sonora, Mexico has revealed a new high-grade silver discovery, that once developed, is believed to have potential to become one of the richest pure silver plays seen in Mexico in the past decade. In fact, a recent analyst report has already pegged the total potential resource at over 65 million ounces of silver.

Equally intriguing, the high-grade silver discovery at La Negra extends from surface to depth, making its vast silver resources potentially amenable to lucrative, low-cost, open-pit mining. Finding an entirely new, high-grade silver discovery with the scope and potential that La Negra offers is a rare development in today’s mining industry, and is clearly a milestone achievement for Kootenay Silver Inc. Yet, while Kootenay’s achievements can be attributed to many factors, perhaps chief among them is the leadership and focus of company president and CEO James McDonald, P.Geo. His record developing new discoveries in Mexico and abroad speaks for itself.

Among his credits, McDonald is a former founder of National Gold and its rich Mulatos deposit in Sonora, Mexico that under his guidance, went on to merge to form Alamos Gold (AGI:CA) . McDonald served as a former technical advisor and board member of Alamos, and played a key role in its transition from the early stage of exploration to full commercial gold production.

Today, Alamos’s Mulatos deposit is one of the lowest cost producing gold mines in the world, boasting over 140,000 ounces of annual gold production. For those opportunistic investors that got in at the early stage of Alamos, some tidy profits were realized, with ongoing news from Mulatos sending its stock soaring from single digits in 2003 to a high of $22.00 US in 2012.

McDonald is now applying that same expertise and know-how that has proven to be a winning formula in the past, to develop Kootenay’s new high-grade La Negra silver discovery in Mexico. From every perspective, results to date on La Negra have been nothing short of impressive.

Kootenay’s Systematic Approach has led to the Rapid Advancement of La Negra

The play first started when Kootenay conducted a strategic ground exploration program on La Negra that successfully traced high-grade silver mineralization over a massive 100 to 200 by 500 meter area on surface. Based on the results, McDonald, along with his VP of Exploration Dr. Tom Richards, already knew, if the high-grade silver mineralization identified on surface was found to extend to depth, a serious new precious metal find could be looming.

A much anticipated, phase I drilling program was then initiated the project, which was followed by assay results that sent shockwaves across the industry, when drilling returned a multiple series of spectacular, high-grade silver intercepts, and extensive intervals of widespread silver mineralization extending from surface to depth, leading to the new high-grade silver discovery.

Since that time, the La Negra silver play has continued to heat up, largely supported by results from a recent phase II drilling program that has further confirmed the grades and consistency of the silver to depth, underscoring the discovery’s immense future resource potential.

Very Soon We Will Find Out The True Scope and Magnitude of the New Discovery

These are undoubtedly exciting times for Kootenay Silver and La Negra. The Company’s mandate from its inception has been to pursue exploration targets that indicate a high potential to develop into large-scale discoveries that will lead to long-term sustainable growth. Led by McDonald and team, Kootenay management is convinced they are on the cusp of meeting that challenge with La Negra.

There is no question La Negra is at a key stage in its development. A soon to be announced, upcoming phase III exploration and drill program is expected to result in the initiation of an independent resource calculation that will ultimately determine the true size and economic impact of the contained silver resource. As the strategic program proceeds on La Negra, one thing that is for certain, Kootenay should remain a leading candidate, and a company to keep a very close eye on in the coming weeks and months for those seeking early stage, high-growth investment opportunities in the mining sector.

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