VANCOUVER, Feb. 5, 2014 - Kootenay Silver Inc. (TSX VENTURE: KTN.V) ("Kootenay") is pleased to report it has completed mapping, core logging and compilation of results from its recently completed 5,500 meter phase of the 2013 drill and resource expansion program on its flagship Promontorio Silver Project in Sonora, Mexico. The current analysis of drill results marks the conclusion of the 2013 drill season.

Multiple High-Grade Intercepts Support Expansion of System's Central Corridor and NE Zone
The 2013 multi-phase, drill and resource expansion program successfully established mineralization along, throughout and to at least 400 meters of the recently identified Central Breccia Zone situated between the Pit and Northeast Zones. Results indicate excellent potential exists for the establishment of continuity of mineralization between the two zones.

Numerous holes drilled within both the Central Breccia and Northeast Zones demonstrated high grades of mineralization and indicate potential to add significant tonnage to the established mineral resource.

Mineralization in the Central Breccia and Northeast Zones area appears to be stratabound within Maar type diatreme facies as opposed to the vent diatreme facies of the Pit Zone. Potential exists to host a significant tonnage of higher grades within the Central Breccia and Northeast Zone area as higher-grade intercepts are scattered along its length. Management believes the potential for discovery of a high-grade core within this region of the property is good. The next phase of drilling at Promontorio will focus on testing this thesis.

The following table has select highlights of high-grade drill results along this Central Breccia and Northeast Zone trend. They have all been previously announced and readers are encouraged to see previous news releases for full details. This table is intended to show the potential for developing high-grade tonnages within the trend and is not an indication of the average tenor of grade within it, which is much lower. Grades in silver equivalent ("AgEq") will change as ratios of silver, gold, lead and zinc prices change.

Highlight table of high-grade drill intercepts previously reported

States Kootenay Silver President and CEO James McDonald "We are very pleased with the analysis of our 2013 drill campaign and remain highly focused and confident as we approach the next phase of development on Promontorio. Supported by consistent results and numerous high-grade assays, the Central Breccia and Northeast Zones of Promontorio's diatreme hosted system will continue to remain a top priority. Concurrently, satellite mineralized systems to the north and northwest of the Promontorio diatreme resource continue to advance. Three major trends have emerged, including the Nopalera-Metallic Pesada, Tordillo and La Negra, where the size of alteration and tenure of surface sampling indicates excellent potential for multiple new discoveries of gold and silver. These three key zones, in conjunction with the Promontorio diatreme, form the basis of what is a large mineralized belt trending northwest".

Proposed Program to include 3-D IP, 3-D Geophysical, and 8,000 Meters of Drilling
The program testing for significant tonnages of high-grade mineralization will be aided using 3 D interpretation of mineralized breccia and stockwork domains. The first step will involve the interpretation of the 3-D IP geophysics together with the drill results and geologic interpretation to determine if 3-D IP can discretely map the high grade areas to aid in drilling.

It is anticipated that a minimum of 5,000 meters is required to test for extensions and continuity to the high-grade intercepts. Additionally targets to the south and east of the Northeast Zone remain undrilled and require approximately 3,000 additional meters to test.

The Pit Zone has been closed off to the east and remains open down plunge to the northwest while the Northeast Zone is open to the east and down plunge. The intervening area of the Central Breccia Zone contains mineralization along its length and requires additional drilling to determine grade and continuity.

Once the preliminary geophysical work integrating the geologic model and domains is complete a final budget and drill program will be set.

Current NI 43-101 Compliant Silver Resource
The current mineral estimate on Promontorio effective date March 31, 2013 (See May 14, 2013 news release) contains a combined Measured and Indicated silver resource of 92,428,000 silver equivalent ounces (39.9M oz's Ag, 508K oz's Au, 394.8M lb's Pb, 462.2M lb's Zn). In addition to the measured and indicated silver resources, there are an additional 26,814,000 silver equivalent ounces in the Inferred category (12.8M oz's Ag, 147 oz's Au, 99.5M lb's Pb, 109.1M lb's Zn). Measured and Indicated resources include open pit resources of 44,504,000 tonnes grading an average of 64.32 gpt silver equivalent (27.77 gpt Ag, 0.35 gpt Au and 0.87% Pb+Zn) and measured and indicated resources outside of the open pit of 215,000 tonnes grading an average of 56.96 gpt silver equivalent (22.89 gpt Ag, 0.28 gpt Au and 0.95% Pb+Zn). Inferred resources include open pit resources of 14,564,000 tonnes grading an average of 51.95 gpt silver equivalent (24.95 gpt Ag, 0.28 gpt Au and 0.59% Pb+Zn) and inferred resources outside of the open pit of 1,265,000 tonnes grading an average of 61.17 gpt silver equivalent (26.57 gpt Ag, 0.37 gpt Au and 0.74% Pb+Zn).

The current NI 43-101 Resource Estimation conducted on Promontorio by SRK Consulting Inc. (U.S.) of Lakewood, Colorado (See May 14, 2013 news release), included gold assay results in the updated resource estimation. As a result of the addition of gold, the mineral resource is now contained in a single larger optimized Whittle Pit, as opposed to two individual smaller pits as reported in the August 21, 2012 resource estimate. The decision to include gold in the resource estimation follows extensive metallurgical testing and technical analysis conducted by ALS Minerals of Kamloops, British Columbia that confirmed up to 94.5% recovery of gold from pyrite concentrates from the Promontorio resource can be achieved using a post pressure oxidation treatment process.

QA/QC
All drill holes reported were drilled using HQ sized diamond drill core and drilled by B.D Drilling Mexico, S.A. de C.V of Guadalajara, Mexico. All drill intercepts are hole lengths. Further Quality Assurance and Control procedures and details on assays procedures and laboratories used are disclosed on the Kootenay Silver Inc. website.

The foregoing geological disclosure has been reviewed and verified by Kootenay's CEO, James McDonald, P.Geo (a qualified person for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects). Mr. McDonald is a director of Kootenay.

ABOUT KOOTENAY
Kootenay Silver Inc. is actively developing mineral projects in the Sierra Madre Region of Mexico and in British Columbia, Canada. Its flagship property is the former producing Promontorio Silver mine in Sonora State, Mexico. Kootenay's 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.

Kootenay Silver Inc. Suite 1820 - 1055 W. Hastings St. Vancouver, British Columbia Canada V6E 2E9 604-601-5650 1-888-601-5650 FAX: 604-683-2249 investor@kootenaysilver.com