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Jun 30, 2015
KOOTENAY ADDS TO GENERATIVE PORTFOLIO UNDER GRUBSTAKE AGREEMENTS
Kootenay Silver Inc. (TSX VENTURE: KTN.V) ("Kootenay" or the "Company") is pleased to announce that it has exercised its option to acquire 100% interest in four mineral properties which were acquired under a Grub Stake Option Agreement. The properties are known as the Silver Fox and Spikes Vacation, which are located in South Eastern, British Columbia and Walter the Water Buffalo and Two Times Fred, located in the Nechako Region of British Columbia. The company has the right to terminate the property agreements at any time.
The Company exercised its option under a Grub Stake Option Agreement with the Kennedy Group to acquire a 100% interest in Silver Fox, Spikes Vacation and Walter the Water Buffalo. Pursuant to the terms of the Grub Stake Option Agreement, the Company must issue for each of the three properties a total of 100,000 common shares over three years with 25,000 issuable for each on receipt of TSX Venture Exchange ("TSXV") approval. The Kennedy Group retains an underlying 2% net smelter royalty, which can be purchased by the Company in all or in part for $500,000 per each one-half percent (0.5%).
Pursuant to a Grub Stake Option Agreement with Critchlow Contracting Ltd. ("Critchlow"), the Company exercised its option under the area of exclusivity granted to Critchlow within the Grub Stake Option Agreement to acquire a 100% interest in Two Times Fred property. Under the terms of Grub Stake Option Agreement, the Company must issue an aggregate total of 130,000 common shares over five years with 15,000 issuable on receipt of TSXV approval and make staged cash payments totaling an aggregate $80,000 over four years, with $5,000 having been paid on election. Additionally, the Kennedy Group will receive an aggregate total of 100,000 common shares over three years with 25,000 issuable on receipt of TSXV approval.
ABOUT KOOTENAY
Kootenay Silver Inc. is an exploration company actively engaged in the discovery and development of mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. The Company's top priority is the advancement of precious metals projects contained within its Promontorio Mineral Belt in Sonora, Mexico that includes, its new La Negra high-grade silver discovery and its Promontorio Silver Resource. Kootenay's core objective is to develop near term discoveries and long-term sustainable growth. Its management and technical team are proven professionals with extensive international experience in all aspects of mineral exploration, operations and venture capital markets. Multiple, ongoing J/V partnerships in Mexico and Canada maximize potential for additional, new discoveries while maintaining minimal share dilution.
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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
or visit: www.kootenaysilver.com
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