Mr. James McDonald reports

KOOTENAY REPORTS WIDE HIGH-GRADE INTERCEPT WITH AGGRESSIVE 400 METER STEP OUT.

Kootenay Silver Inc. has provided the latest results from drilling at the Columba silver project, Chihuahua state, Mexico. The current batch represents continued exploration along the D-Vein and includes the longest zone of consistent silver mineralization yet found on the Columba project (132 metres down hole). Drilling continues as the company seeks to define the limits of this well mineralized structure.

• Hole CDH-24-164:
  • 98.7 metres down-hole length averaging 211 grams per tonne silver, 0.1 per cent lead and 0.4 per cent zinc down hole includes:
    • 350 g/t silver, 0.2 per cent lead and 0.5 per cent zinc over 38 metres;
    • 531 g/t silver, 0.1 per cent lead an 0.2 per cent zinc over 11 metres.
• Aggressive 400-metre stepout of CDH 24-153 reporting a core length of 40.5 metres of 183 g/t silver including 11 metres of 481 g/t silver along the 1,600-metre elevation line. See news release dated May 21, 2024.
• True widths for the new interval are difficult to estimate as the zones encountered in hole 164 mark a change to a more disseminated style hosted in a dark rhyolite.
• It is not yet clear if the interval is parallel to the steep dipping D-vein structure, is a zone of thickening around it or some other shallowly dipping feature. If it is parallel then the true width is about 50 per cent of drilled width. It variably contains microfractures, hydrothermal breccias, quartz-barite veinlets with patches of galena and sphalerite and disseminated hematite. It is occurring near the projected intersection of D- and B-vein trends.

Reporting 11 more holes that were designed as large stepouts to find the unknown edge of the wide high-grade silver intercepts. Key takeaways:

• Drilling confirms the vertical zonation pattern of increasing grades to depth with best grades below 1,750 metres above sea level.
• D-vein strike length now extended to 1,080 metres between holes.
• CDH 24-164 represents an aggressive 400 metre stepout from CDH 24-153.
• Known length increases from 450 metres at the commencement of 2024 drilling to 1,080 metres currently.
• Drill holes CDH-24-164 and CDH-24-163 extend known mineralization and support vertical zonation patterns observed along the trend with significant grade increase reported in CDH 24-164.
  • Hole CDH-24-163 intercepted a well-developed vein with stockwork over 17.5 metres (12.67 estimated true width).
  • Hole CDH-24-164 intercepted a similar zone on. The same section as CDH 24-163 at greater depth where thicknesses and grades are noticeably higher.
• All holes hit the D-vein structure except CDH-24-155 which drilled a different target and CDH-24-158 which encountered drilling problems and was unavoidably abandoned before reaching target depth.
• New potential high-grade stockwork in footwall of D-vein:
  • CDH-24-161 with 1,595 gpt silver over 0.4 metre (etw 0.33 metres) within 337 gpt silver over 2.5 metres (2.07 metres etw).
• Broad intervals of medium grade in stockwork zones:
  • CDH-24-156 with 11.57 metres (etw 5.6 m) of 127 gpt silver includes 0.82 metres (tw 0.39 m) of 419 gpt silver;
  • CDH-24-160 with 11 metres (etw 6.74 m) of 78 gpt silver;
  • CDH-24-161 with 9.2 metres (etw 7.6 m) of 81 gpt silver.
• Widely spaced exploration holes of 100 to 200 metres confirming vein continuity along strike and down dip.
• Excellent down-dip continuity demonstrated by new sections containing holes CDH-24-161 and 162, holes CDH-24-156 and 157 and holes CDH-24-163 and 164).
• D-vein remains open along strike to the southeast and down dip.

Kootenay's president and chief executive officer, James McDonald, states: "It is very exciting to see consistent mineralization over 1,080 metres of strike length in the D-vein. We continue to step out to the southeast to find the terminus of the D-vein mineralization. Once we do that, we will move one drill to start stepping out from B-vein intercepts like 1,186 gpt silver over 4.6 metres (previously announced in hole CDH-20-82). The other drill meanwhile is moving along D-vein filling in 100-to-300-metre gaps and will then test below some of the deepest intercepts like 1,746 gpt silver over 9.7 metres within 540 gpt silver over 34 metres (previously released hole CDH-22-125) and 510 gpt silver over 9.67 metres within 29 metres of 208 gpt silver (previously released CDH-23-141)."

Results from holes CDH-24-154 to CDH-24-164 are tabulated herein and represent mineralized sections of D-vein as well as adjacent zones of stockwork veining in addition to parallel and cross-cutting veins. The current work at D-vein is wide spaced and has intercepted the vein over a horizontal length of 1,080 metres, to a maximum vertical depth of 1,550 metres above sea level. A single hole reported, CDH-24-158, herein became stuck in a fault zone before reaching target and was abandoned.

The continuing 2024 program comprises 5,153 metres in 17 holes and has more than doubled the known strike length of D-vein, one of several high-priority targets at Columba boasting some of the most striking results on the project to date. The current program is part of a fully financed follow-up program of 20,000 metres, aimed to delineate a maiden resource expected in late 2024.

Current batch of drill results are tabulated herein and drill highlights, maps and sections from the project are tabulated on the company's website.

The company has completed 35,487 metres of diamond drilling in 164 holes at Columba since 2019 and intercepted numerous veins with high silver grades and widths indicating excellent resource potential. Prospective veins on the project are hosted within a volcanic caldera setting, the surface extent of mapped veins measuring roughly four kilometres by three kilometres. Management believes that Columba may be a newly recognized vein district that is nearly entirely preserved from erosion.

Sampling and QA/QC (quality assurance/quality control) at Columba

All technical information for the Columba exploration program is obtained and reported under a formal quality assurance and quality control (QA/QC) program. Samples are taken from core cut in half with a diamond saw under the direction of qualified geologists and engineers. Samples are then labelled, placed in plastic bags, sealed, and with interval and sample numbers recorded. Samples are delivered by the company to ALS Minerals in Chihuahua. The company inserts blanks, standards and duplicates at regular intervals as follows. On average a blank is inserted every 100 samples beginning at the start of sampling and again when leaving the mineral zone. Standards are inserted when entering the potential mineralized zone and in the middle of them, on average one in every 25 samples is a standard. Duplicates are taken in the mineralized intervals at an average two duplicates for each hole.

The samples are dried, crushed and pulverized with the pulps being sent airfreight for analysis by ALS in Vancouver, B.C. Systematic assaying of standards, blanks and duplicates is performed for precision and accuracy. Analysis for silver, zinc, lead and copper, and related trace elements was done by ICP four-acid digestion, with gold analysis by 30-gram fire assay with an AA finish. All drilling reported is HQ or NQ sized core and was completed by Globextools, S.A. de C.V. of Hermosillo, Sonora, Mexico.

Qualified persons

The Kootenay technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 -- Standards of Disclosure for Mineral Projects and reviewed and approved on behalf of Kootenay by Dale Brittliffe, BSc, PGeol, vice-president, exploration, of Kootenay Silver, is the company's nominated qualified person pursuant to National Instrument 43-101 -- Standards for Disclosure for Mineral Projects, has reviewed the scientific and technical information disclosed in this news release. Mr. Brittliffe is not independent of Kootenay Silver.

About Kootenay Silver Inc.

Kootenay is an exploration company actively engaged in the discovery and development of mineral projects in the Sierra Madre region of Mexico. Supported by one of the largest junior portfolios of silver assets in Mexico, Kootenay continues to provide its shareholders with significant leverage to silver prices. The company remains focused on the expansion of its current silver resources, new discoveries and the near-term economic development of its priority silver projects located in prolific mining districts in Sonora state and Chihuahua state, Mexico, respectively.

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