- 8.1 g Au/tonne over 7.0 meters, including 38.7 g Au/tonne over 0.9 meters
- 12.5 g Au/tonne over 2.3 meters, including 16.2 g Au/tonne over 0.5 meters
- Klondex Starts 2012 Surface Exploration, Updates Underground Decline Progress, New Technical Report Targeted for Q3 2012 -
ELKO, Nev. & VANCOUVER, British Columbia - Klondex Mines Ltd. (TSX: KDX or OTCQX: KLNDF), a Nevada gold exploration and development company, today announced the first batch of assay results from its 2012 underground in-fill drilling program at its Fire Creek project in North Central Nevada.
In-fill drilling in the south end of the Main Zone continues to demonstrate apparent continuity, including mineralization that is continuous for at least 90 meters (295 feet) along strike, which runs to the north-northwest. Recent drill results have also yielded a new, preliminary interpretation of the orientation of Main Zone mineralization. Summary results are reported in the tables below and reflected in the accompanying figures.
Klondex also announced it has started its 2012 surface drilling program. The program targets 15,000 meters (49,000 feet) of surface drilling, principally to support the underground in-fill drilling program in further defining Main Zone mineralization. Klondex confirmed plans for an updated technical report in Q3 2012 and reported progress on its underground decline and workings.
Blane Wilson, CEO of Klondex, commented, �Klondex�s Fire Creek exploration and development program is progressing well despite some earlier delays. We continue to encounter encouraging signs of Main Zone continuity through our in-fill program, as well as data that could present a more favorable view of the orientation of mineralization. We are complementing our underground effort to better define the Main Zone mineralization with our surface drilling program that started May 29th.
�To reduce exploration costs, we are using a reverse circulation (RC) rig to pre-collar 15 holes to about 600 feet. We will complete those holes using a diamond core rig. The first three of the pre-collars have been completed, and the core rig is scheduled to arrive on site the first two weeks of July. The program�s objective is to further define the bulk sample area and guide development of Main Zone mineralization.�
Updated Technical Report
As previously announced, Klondex has engaged Micon International Limited, a leading provider of mining consulting services, to assist in the preparation of a new National Instrument 43-101 technical report. This report will incorporate new drilling data from 2011 and from 2012 to date. It is targeted for completion in Q3 2012. Micon is currently reviewing the Fire Creek exploration database and will proceed with resource modeling in the coming weeks. Klondex Chief Geologist Steven L. McMillin is serving as a Qualified Person supervising the update along with Micon Senior Geologist, Thomas C. Stubens.
Underground Decline and Bulk Sampling
Mr. Wilson added, �We are also making substantial headway on our underground decline. So far in 2012 we have completed 419 meters (1,374 feet) of underground advance, including 312 meters (1022 feet) of the main decline.
Since inception, Klondex has completed a total of 909 meters (2,982 feet) of underground workings, including a main decline advance of 678 meters (2,223 feet). Klondex is now in the vicinity of its first bulk sampling location and must complete a ventilation raise required under its permits prior to starting bulk sampling production. Construction bids on the vent raise are pending and work is expected to begin by the end of July.
Underground In-Fill Drilling Program
Klondex has been actively progressing its in-fill drilling program, utilizing access provided by the underground workings. The program is testing the continuity of the resource between surface exploration holes. Klondex is targeting 19,812 meters (65,000 feet) of underground drilling in 2012. To date in 2012, it has completed 29 holes for a total of 7,024 meters (23,044 feet) from drill station #1. The holes tested the southern known extent of Main Zone mineralization.
Underground drilling completed in 2011 included 16 holes totaling 3,774 meters (12,381 feet). All 16 of these holes encountered gold mineralization greater than 3 g/t gold. Seven holes remain to be drilled in the initial 52-hole program before the drill moves to drill station #2, a newly constructed bay off of the main decline (Figure 1 � Fire Creek Plan View). Approximately 5,000 meters (16,404 feet) are expected to be drilled from this station to test a central portion of the Main Zone. Drilling will then incrementally progress north along the Main Zone.
In-Fill Drilling Results
(Table 1) shows an overview of intercepts greater than 1g/t gold for the 2012 holes for which results are available. Logging and sampling is progressing simultaneously on both newly drilled holes as well as earlier drilled holes, and assay results from these holes will be reported periodically as they become available.
(Figure 2 � Fire Creek Plan View - Close up) illustrates a close-up plan-view of all 2012 results to date, which continue to extend continuity of mineralization throughout the southern extent of the Main Zone. Mineralization is continuous for at least 90 meters (295 feet) along strike to the north-northwest. The lateral spacing between drill fans in the vicinity of mineralization is approximately 15 meters (49 feet). It is anticipated that results from drill station #2 will further extend continuity of mineralization to the north. Current results suggest a moderate westerly dip for mineralization that was previously interpreted as distinct vertical to steeply east dipping zones. This possible new mineralization orientation would suggest that there may be substantial untested regions located up-dip and down-dip of known mineralization. This new interpretation is preliminary and will be tested by the surface drill program.