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Kootenay Zinc Completes Initial Review of Ground MAG and Gravity Data at Sully Project

Kootenay Zinc Corp. (the "Company") (CSE:ZNK)(CSE:ZNK.CN)(OTCQB:KTNNF)(FRANKFURT:KYH) is pleased to announce that its Sully project team has recently completed an initial review of ground MAG and gravity data recently acquired on the project. Interpretation of these data suggests that the E1 target is more complexly folded and faulted than previous thought. New modeling will guide layout of holes for the next stage of drilling.

Initial Ground MAG Survey Results

The ground MAG results show an intriguing anomaly coincident with the west portion of the E1 gravity target where drilling was recently completed. This relatively short but significant MAG anomaly is located along the western flank of the southern portion of the E1 gravity anomaly. This may indicate that there is a magnetic component to the gravity masses. "Why and how these significant MAG and gravity anomalies relate to each other is still under review, but these are exciting results. Use of both gravity and magnetic geophysical methods will be important for effective targeting at Sully," stated Brian Jones, P. Geo., Excel Geophysics.

New Gravity Data and Interpretation

Thirty-one new gravity stations were recently added over the E1 anomaly and initial interpretation of the E1 target using the updated dataset indicates the mass clearly displays an easterly segment around mid-strike length, highlighting a degree of complexity not previously recognized. This segment is 100 metres north of the drill hole SY17-11 and is not surprising considering the structural deformation observed in the drill core and indicates the E1 gravity anomaly actually is a response above a structurally dismembered mass. Detailed modeling of the new MAG and gravity data is in progress and will provide needed guidance for layout of the next drill holes.

Next Steps for Drill Targeting

Timing of the next drilling phase at Sully is dependent on spring breakup conditions which are currently poorer than observed in previous decades. Accumulations of snow this winter and variable temperatures have created extraordinarily wet ground conditions. The project team is currently planning to mobilize a drill to the site in late April 2017 when conditions are expected to be better and will provide updates on targets and plans for a drilling campaign closer to that date.

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