Klondex Announces the Continuation of High-Grade Mineralization at Midas
VANCOUVER, BC--(Marketwired - September 13, 2017) - Klondex Mines Ltd. (TSX: KDX) (NYSE American: KLDX) ("Klondex" or the "Company") is pleased to provide results on the Trinity zone ("Trinity") surface exploration drill program at its Midas Mine ("Midas") located in northern Nevada, USA. The following drill results are not included in Midas' current Mineral Resource estimate.
Midas Mine Surface Drilling Highlights - Trinity zone: (see TABLE 1 for complete results)
- DMC-00337: 7.83 opt AuEq over 1.5 ft, or 268.36 g/t over 0.5 m
- DMC-00350: 0.65 opt AuEq over 6.6 ft, or 22.22 g/t over 2.0 m
- Including: 3.14 opt AuEq over 1.1 ft, or 107.58 g/t over 0.3 m - DMC-00338A: 0.51 opt AuEq over 3.8 ft, or 17.39 g/t over 1.2 m
- Including: 1.12 opt AuEq over 1.5 ft, or 38.50 g/t over 0.5 m - DMC-00348: 1.04 opt AuEq over 1.5 ft, or 35.71 g/t over 0.5 m
KEY POINTS: (FIGURE 1)
Ten surface core holes totaling 10,105 ft (3,080 m) were drilled at Trinity during this phase of surface exploration. This program was designed to test the new Trinity structural corridor model and extend mineralization north towards the existing underground workings and planned development.
Most of the production in the Midas district is controlled by east-dipping structures. Historically, drilling at Trinity used the same east-dipping structural model returning inconsistent results. However, a reinterpretation suggested the mineralized structures are actually west-dipping. During this drill program, we tested the new structural model and it returned positive, consistent results supporting the continuity of high grade mineralization controlled by west-dipping structures in an east-dipping structural corridor. (FIGURE 2)
Continuous mineralization has been extended north along strike by approximately 600 ft (182.9 m) bringing the current known mineralization within 1,500 ft (457.2 m) of the existing underground workings. The updated model has proven to be robust in targeting and returning consistent, high-grade mineralized intercepts within the structural corridor.
Mr. Brian Morris, Senior Vice President, Exploration said, "The success we are having with the new structural model provides an excellent opportunity to extend the Trinity mineralization to the north and south along strike, as well as down dip. The northern extension of the Trinity corridor is open 2,200 ft (670.6 m) to the Southern Owyhee fault. Future drill plans will continue to use the new structural model to guide drilling and will focus on further extending mineralization both to the north and south within the Trinity corridor. These exploration results will extend the life of Midas."
Assays were performed by American Assay Laboratories of Sparks, Nevada, as directed under the supervision of Klondex staff. This organization is an ISO 17025 accredited independent laboratory.
A description of the data verification methods, quality assurance program and quality control measures applied can be found in the technical report titled "Preliminary Feasibility Study for the Midas Mine, Elko County, Nevada," amended on April 2, 2015 and with an effective date of August 31, 2014 which is available under the Company's issuer profile on SEDAR at www.sedar.com.
About Klondex Mines Ltd. (www.klondexmines.com)
Klondex is a well-capitalized, junior-tier gold and silver mining company focused on exploration, development, and production in a safe, environmentally responsible, and cost-effective manner. The Company has 100% interests in three producing mineral properties: the Fire Creek Mine and the Midas Mine and ore milling facility, both of which are located in the state of Nevada, USA, and the True North Gold Mine and mill in Manitoba, Canada. The Company also has 100% interests in two recently acquired projects, the Hollister mine and the Aurora mine and ore milling facility, also located in Nevada, USA.
Qualified Person
Scientific and technical information in this press release has been reviewed and approved by Brian Morris (AIPG CPG-11786), a "qualified person" within the meaning of NI 43-101.
Cautionary Note Regarding Forward-looking Information
This news release contains certain information that may constitute forward-looking information or forward-looking statements under applicable Canadian and United States securities legislation (collectively, "forward-looking information"), including but not limited to the exploration potential at Trinity and future exploration plans of Klondex. This forward-looking information entails various risks and uncertainties that are based on current expectations, and actual results may differ materially from those contained in such information. 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 mineral reserve estimates are reflective of actual mineral reserves; the degree to which factors which would make a mineral deposit commercially viable are present; the risks and hazards associated with underground operations; and the ability of Klondex to fund its substantial capital requirements and 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 United States available at www.sedar.com and www.sec.gov, respectively. Readers are urged to read these materials. Klondex assumes no obligation to update any forward-looking information or to update the reasons why actual results could differ from such information unless required by law.
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Contact
For More Information
John Seaberg
Senior Vice President, Strategic Relations
O: 775-284-5757
M: 303-668-7991
jseaberg@klondexmines.com