Vancouver-based junior explorer Kootenay Silver (CVE:KTN) is firmly pinning its hopes on the Promontorio silver project in Mexico.
flagship property is the former-producing Promontorio silver mine in
Sonora State, Mexico. The company is also actively developing other
mineral projects in Mexico and British Columbia, Canada.
But the company's focus on Promontorio was a driver in the recent change of its name from Kootenay Gold.
Speaking to Proactive Investors, Kootenay Silver’s
chairman, Ken Berry, said: "Our focus is on the Promontorio property
and building that silver resource. We feel that we're at a real stage in
development where that resource is a significant asset.
"Our core asset has grown to such a stature it warranted a name change."
itself hosts an NI 43-101-compliant resource containing 8.9 million
indicated ounces of silver plus 1.17 million ounces of inferred silver,
99.3 million indicated pounds of lead plus 13.4 million inferred pounds
of lead, and 110.8 million indicated pounds of zinc plus 14.3
million inferred pounds of zinc.
indicated resources are contained within 5.22 million tonnes of 52.7
grams per tonne (gpt) silver, 0.86% lead and 0.96% zinc, and the
inferred resources are contained within 0.65 million tonnes grading 55.7
gpt silver, 0.94% lead and 1.0% zinc.
Since the 2010 resource
estimate, Berry said that Kootenay has drilled 31,000 metres and has
another 4,000 metres left to drill before publishing an updated estimate
within the next few months.
Indeed, a steady stream of positive news has been flowing from Promontorio.
to date have uncovered consistent, widespread silver mineralization
with several high-grade silver intercepts throughout the Pit Resource,
the Southwest Extension Zone, and the Northeast Zone, which sits about
700 metres outside of the current 43-101 Pit Resource.
results from the latest program, which is the single largest and most
expansive drill program conducted by Kootenay on the property to date,
include hole KP-09-07, which intersected 6.7 metres grading 1,008.0 gpt
Hole KP-25-08 hit 7.85 metres of 773.6 gpt
silver equivalent, while DH-110-11 intersected 7.0 metres grading 678.6
gpt silver equivalent, including 4.5 metres at 1,145.5 gpt silver
The company has also reported wide interval results,
including hole DH-052-11, which hit 146.0 gpt silver equivalent over
234.0 metres, including 236.3 gpt silver equivalent over 70.0 metres.
encouraging results suggest the possible existence of a large porphyry
system similar to major producing deposits within the region, the
Of its numerous joint venture programs, Berry
highlighted three drill programs that he reckons will provide
shareholders with potential discoveries.
Berry said that joint
venture partner Pinecrest Resources (CVE:PCR) will likely be drilling
the Epiritu polymetallic vein/breccia project in Sonora, Mexico, and
Copper Creek Gold (CVE:CPV) is drilling the Santa Lucia project, part of
the Sierra Madre Occidental gold-silver belt.
Kootenay is also awaiting results from the Copley property in the Nechako Plateau of north central B.C.
said that Kootenay was "well-funded" for the current drilling program
and for the NI 43-101 resource update, recently receiving funds from an
accelerated warrant exercise program that was "well-received".
ahead, as the global macroeconomic climate improves, Berry believes
that companies with an advanced and growing resource - such as Kootenay Silver - will be the focus of the capital markets in the coming years.