496.7 g/t (14.5 oz/ton) Gold over 1.8 meters (6 feet) Extends Continuity of Main Zone A-Vein at Klondex Mines' Fire Creek Nevada Gold Project
- Klondex Also Reinitiates Underground In-Fill Drilling Program -
ELKO, Nev. & VANCOUVER, BC--(BUSINESS WIRE)-- Klondex Mines Ltd. (TSX: KDX and OTCQX: KLNDF) today reported an interval of 496.7 grams/tonne gold (14.5 oz/ton) over 1.82 meters (6 feet) at its Fire Creek gold project in Lander County, Nevada. Samples collected included the 1.82 meters (6 foot) vein and 1.5 meters (5 feet) of wall rock on either side. Grade boundaries are sharp and assays drop to <3 g/t in the peripheral samples. True width in the 5370-ACC crosscut is estimated to be 1.7 meters (5.5 feet) (Figure 1).
The banded vein structure that was encountered is identical to the A-vein structure identified in the 5400-ACC crosscut to the south. Sampling has been completed over the east portion of the crosscut and results are insignificant suggesting the B-vein is cut off by a bounding northwest oriented fault or mineralization pinches to the north before it intersects the 5370-ACC crosscut. A ground fall at the east end of 5370-ACC is likely related to this fault.
Paul Huet, CEO of Klondex commented, "The rib samples are encouraging as they further extend the apparent continuity of the A-vein at a width that is two times the width we encountered to the south while maintaining grades of 2 ounces per ton and higher. We plan continued sampling on the 5370-ACC crosscut once we have addressed ground conditions caused by the Northwesterly trending fault. We also recently restarted our underground in-fill drilling program to expand our data production from this important area."
Sample results cited in this news release were obtained from crosscut drifting by SMD, an independent contractor working under the direction of Klondex staff. Assays were determined by Pinnacle Analytical Laboratories, Lovelock, Nevada and Inspectorate America Corporation, Sparks, Nevada, both independent analytical laboratories.
The content of this press release has been reviewed by Steven L. McMillin, CPG-11031 (American Inst. of Prof. Geol.), Project Manager and Chief Geologist for Klondex Mines Ltd., as a non-independent Qualified Person.
About Klondex Mines Ltd. (www.klondexmines.com)
Klondex Mines is focused on the exploration and development of its Fire Creek gold deposit in North Central Nevada. Fire Creek is a compelling gold mining prospect located in a region of prolific gold production that is near power, transportation, mining infrastructure and several milling facilities. As of December 26, 2012 Klondex had 64.4 million shares issued and outstanding, and 86.2 million shares on a fully-diluted basis.
This news release contains forward-looking statements, including about current expectations on the timing of project development and related permitting. These forward-looking statements entail various risks and uncertainties, are based on current expectations, are subject to a number of uncertainties and risks, and actual results may differ materially from those contained in such statements. These uncertainties and risks include, but are not limited to, the strength of the global economy; the price of gold; operational, funding and liquidity risks; the degree to which mineral resource estimates are reflective of actual mineral resources; the degree to which factors which would make a mineral deposit commercially viable are present; the risks and hazards associated with underground operations. Risks and uncertainties about the Company's business are more fully discussed in the Company's disclosure materials filed with the securities regulatory authorities in Canada and available at www.sedar.com. Readers are urged to read these materials. Klondex assumes no obligation to update any forward-looking statement or to update the reasons why actual results could differ from such statements unless required by law.
On Behalf of Klondex Mines Ltd.
President & CEO
Investor & Media:
David Collins, Toni Trigiani
Catalyst Global LLC
KEYWORDS: United States North America Canada Nevada
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