Klondex Receives Nevada State Approval for Fire Creek High-Grade Gold Underground Program
Klondex Mines Ltd. (TSX: KDX) announced today that it has been approved
for a Water Pollution Control Permit for its high-grade Fire Creek gold
deposit in North Central Nevada. The permit, which authorizes the
construction and operation of 'approved mining facilities in Lander
County,? will be issued by the Nevada Division of Environmental
Protection (NDEP) with an effective date of March 1, 2011.
Blane Wilson, President and COO of Klondex, commented, 'This is an
exciting and enormous milestone in the history of Klondex, as the NDEP
permit enables us to commence our underground operations next month. The
receipt of the permit would not have been possible without the
tremendous efforts of our Nevada staff and our permitting and
engineering consultants, Enviroscientists and Knight Piesold, as well as
the ongoing cooperation of the NDEP team.
'With the permit confirmed, we are full speed ahead in mobilizing our
mining contractor and Nevada team to commence our underground program,
which centers around an over 4,000 foot decline to reach the Main Zone
ore body. We look forward to reporting on progress of the decline in the
coming weeks.?
As of December 31, 2010 Klondex Mines had 36,544,089 shares issued and
outstanding, 41,319,089 shares on a fully diluted basis, and
approximately CDN $8 million in cash.
About Klondex Mines (www.klondexmines.com):
Klondex Mines Ltd. is focused on the exploration and development of its
100% owned high-grade Fire Creek gold deposit in North Central Nevada.
Fire Creek is a compelling, low-Capex mining prospect that is well
located near power, transportation, mining infrastructure and several
milling facilities. Klondex plans to initiate an underground exploration
and bulk sampling program in Q1 2011, with initial bulk sampling
production targeted by year-end 2011. Klondex has identified the
following NI 43-101 compliant resource at Fire Creek:
| Fire Creek NI 43-101 Compliant Mineral Resource as of March 30, 2009* | |||||||
| Classification | Metric Tonnes | Grams Gold Equivalent Per Metric Tonne | Total Ounces Gold Equivalent | ||||
| Indicated | 5,043,033 | 10.11 | 1,639,822 | ||||
| Inferred | 1,833,423 | 8.63 | 508,799 | ||||
| |||||||
ON BEHALF OF KLONDEX MINES LTD. | |||||
William J. Solloway | Blane Wilson | ||||
Chairman and CEO | President and COO | ||||
Investors:
Klondex Mines Ltd.
Bryson Goodwin,
604-341-1531
brysongoodwin@shaw.ca
or
Jaffoni
& Collins
David Collins, 212-835-8500
KDX@jcir.com