Kootenay Silver Inc. (TSXV: KTN) (the “Company” or “Kootenay”) is pleased to announce that further to its press release dated November 15, 2017, it has closed the initial tranche of its non-brokered private placement (the “Private Placement”) and has issued an aggregate of 19,549,480 units (each a “Unit”) at a purchase price of $0.20 per Unit for gross proceeds to the Company of $3,909,896. Each Unit consists of one common share (“Common Share”) and one-half of a transferable common share purchase warrant (each whole warrant a “Warrant”). Each Warrant entitles the holder to acquire one Common Share at an exercise price of $0.30 per share until December 13, 2020. Cash finder’s fees to arm’s length parties totaling $154,600 have been paid on this portion of the Private Placement.
The final tranche of the Private Placement to raise a further $109,000 by the issuance of an additional 545,000 Units is expected to close shortly, for aggregate total gross proceeds to Kootenay under the Private Placement of $4,018,896. The Company will announce the closing of the final tranche upon completion.
The net proceeds of the Private Placement will be used to fund the exploration and development of the Company’s La Cigarra project in Chihuahua State, Mexico, possible new acquisitions and for general working capital purposes.