Klondike Gold Corp. Advances Consolidation of Yukon Mining Interests
KLONDIKE GOLD CORP.(TSX-V:KG) (the 'Company?) is pleased
to announce that it has received conditional approval from the TSX
Venture Exchange ?for its takeover bid for the shares of Klondike Star
Mineral Corporation ('KSMC?) and that the management and Board of
Directors of Klondike Star Mineral Corporation recently signed a letter
of support for the Takeover Bid. The Company previously announced the
proposed offer to exchange one share of Klondike Gold Corp. for four
shares of Klondike Star Mineral Corporation in its news release dated
March 1, 2012.
A successful takeover of KSMC will increase the land position held by
the Company from 700 quartz claims covering 130 square km, to
approximately 1100 claims covering 200 square km, (100% owned) which
represents more than 70% of the Bonanza Eldorado Catchment area credited
with providing over 50% of the historic gold production in the Klondike.
Eldorado creek alone is reported to have produced over 2 million ounces
of gold over as little as 8 km of placer workings while Upper Bonanza
reported over 1 million ounces over 5 km of placer workings. Both of
these creeks lie immediately adjacent to the company′s flagship Lone
Star property.
The Company′s takeover bid is contingent on the tendering of a
sufficient number of KSMC shares to bring the company′s shareholdings in
KSMC to a minimum of 66.6%; the satisfying of the exchange′s filing
requirements; and the completion of the Company′s due diligence process.
As announced in a February 8, 2012 news release, the Company has engaged
the IR services of the Raya Group Inc. of Vancouver. This engagement is
on a consulting basis for a term of one year at an anticipated cost for
the next 12 months of $ 60,000 plus 50,000 incentive stock options. The
Raya Group is headed by Robert A. Young who has over 20 years experience
in working with the investment community.
About Klondike Gold Corp.
Klondike Gold Corp. is a Canadian exploration company with offices in
Vancouver, British Columbia and Dawson City, Yukon. The Company is
focused on the development of its Yukon and British Columbia gold
properties. In addition the Company holds a large portfolio of base
metal projects in Southeastern British Columbia.
Neither the TSX Venture Exchange nor its Regulation Service Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this press
release.Statements in this press release, other than purely
historical information, including statements relating to the Company′s
future plans and objectives or expected results, may include
forward-looking statements.Forward-looking statements are based
on numerous assumptions and are subject to all of the risks and
uncertainties inherent in resource exploration and development.As
a result, actual results may vary materially from those described in the
forward-looking statements.
Inquiries
Klondike Gold Corp.
Robert A. Young,
604-685-2222 (Ext 398)
info@klondikegoldcorp.com
or
Erich
Rauguth, President & CEO, 604-685-2222