November 15, 2010

Shares Outstanding: 37,276,600

KOOTENAY AND NORTHERN VERTEX ENTER INTO OPTION AGREEMENT ON
COPLEY GOLD PROPERTY IN NECHAKO PLATEAU AREA OF BRITISH COLUMBIA

Vancouver, B.C. - Kootenay Gold Inc. (TSX.V:KTN) ("Kootenay") and Northern Vertex
Capital Inc. (TSX.V:NEE) (“Northern Vertex”) have entered into a letter agreement whereby
Northern Vertex has the right to earn a undivided 60% interest in the Copley Gold Property located
in the Nechako Plateau of Central British Columbia in exchange for issuing an aggregate total of
800,000 common shares of Northern Vertex to Kootenay; and financing $2.2 million of exploration
expenditures on the property within a four-year period. All terms of this letter agreement are subject
to approval by the TSX Venture Exchange.

Terms of agreement

To fulfill the terms of the letter agreement, Northern Vertex must spend an aggregate total of $2.2
million on exploration over four years and issue up to 800,000 shares with 200,000 shares due on
regulatory approval of the letter agreement and 200,000 common shares of Northern Vertex on or
before the first year anniversary and each of the second and third anniversaries thereafter, of the
execution date. Subsequent to exercise of the earn-in, Northern Vertex and Kootenay will form a
60/40 joint venture. Financing of further work on the Copley Gold property will be on a
proportional basis under the direction of a management committee with voting rights proportional
to ownership percentage. Either party may be diluted on the basis of a standard formula if they do
not contribute to the planned programs. If either party is diluted below 10 per cent, their interest
will convert to a 1.5-per-cent NSR (net smelter return) royalty. Mr. Kenneth Berry is a director and
officer of both Northern Vertex and Kootenay.

A 43-101 Technical Report will be filed on SEDAR shortly.

Kootenay has also issued an aggregate total of 290,000 incentive stock options exercisable
for a period of five years at a price of $.77 per share to consultants of the company.
The foregoing geological disclosure has been reviewed and verified by Robert Thompson, Phd,
P.Eng (a qualified person for the purpose of National Instrument 43-101, standards of disclosure for
mineral projects).

ABOUT KOOTENAY

Kootenay is actively developing mineral projects in the Sierra Madre Region of Mexico and in
British Columbia, Canada. The Company flagship property is the former producing Promontorio
Silver Mine in Sonora State, Mexico.

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For additional information, please contact:
James McDonald, CEO and President at 403-238-6986
Ken Berry, Chairman at 604-601-5652; 1-888-601-5650
www.kootenaygold.ca