Vancouver, British Columbia, September 24, 2015, Klondike Gold Corp. (“Klondike Gold” or the “Company”) (TSX.V:KG) is pleased to announce completion of diamond drilling on the Lone Star property and update exploration progress on the Company’s other properties located near Dawson, Yukon Territory. Klondike Gold owns a 100% interest in 1,406 quartz claims and 14 crown grants covering 250 square kilometers underlying the western half of the Klondike placer goldfields.
Lone Star Property Diamond Drilling
The 2015 diamond drill program was completed to test various areas of quartz veining containing visible gold within the Lone Star property. The drill program announced August 18, 2015 was expanded from a proposed 1,000 meter, 12-hole program to a total of 1,374 meters drilled in 19 holes. Drilling tested zones at Nugget, Gay Gulch, and Buckland in a 2 km by 1 km area within the Lone Star property, each with outcrop or sub-crop quartz veining containing visible gold but with a diversity of geophysical expression, structural setting, and host lithology. Assay results from the drilling are pending.
Visible gold was identified in fifteen of the nineteen drill holes and in all targeted zones. Visible gold occurs within a series of quartz veins occurring in defined quartz vein arrays extending over multi-meter widths at the Nugget Zone, at Gay Gulch, and in several holes in the Buckland target area. These quartz vein arrays are following magnetic ‘breaks’ or inferred faults in all cases.
Peter Tallman, President and CEO of Klondike Gold states “The drill program tested a new geological model for Klondike mineralization which has yielded excellent visual results. Now we have to wait for assays.”
An initial total of 600 drill core samples, plus blanks and standards, have been submitted to Bureau Veritas Laboratories for metallic screen fire assay as a first tranche. Assays are pending. A second submission of additional drill core samples is expected shortly.
A cumulative total of 1,233 line kilometers of high-resolution ground magnetics surveying and 161 square kilometers of orthophoto surveying has been completed on the Company’s Lone Star, Dominion, Sulphur Creek, and Gold Run properties during 2015. A total of 652 prospecting rock grab samples have been collected and submitted for assay. Based on results so far, drill targets for 2016 testing have been identified on Lone Star property including a newly discovered quartz vein array containing visible gold located along a prominent magnetic ‘break’ which returned values of up to 24.1 g/t gold in prospecting grab samples. Other 2016 drill targets include those outlined at the Dominion property (see news release July 16, 2015) and at the Gold Run property.
The technical and scientific information contained within this news release has been reviewed and approved by Peter Tallman, P.Geo, President of Klondike Gold Corp., and Qualified Person as defined by National Instrument 43-101 policy.
ABOUT KLONDIKE GOLD CORP.
Klondike Gold Corp. is a Canadian exploration company with offices in Vancouver, British Columbia, and Dawson City, Yukon Territory. The company is focused on exploration and development of its road accessible Yukon gold projects located outside Dawson, YT in the historic Klondike region covering 25,000 hectares of hard rock and 2,000 hectares of placer claims including “McKinnon Creek” leased to Todd Hoffman/Jerusalem Mining LLC and featured on the Discovery Channel show “Gold Rush”.
On behalf of Klondike Gold Corp.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Disclaimer for Forward-Looking Information
“This press release contains “forward-looking information” and “forward-looking statements” within the meaning of applicable securities laws. This information and statements address future activities, events, plans, developments and projections. All statements, other than statements of historical fact, constitute forward-looking statements or forward looking information. Such forward-looking information and statements are frequently identified by words such as “may,” “will,” “should,” “anticipate,” “plan,” “expect,” “believe,” “estimate,” “intend” and similar terminology, and reflect assumptions, estimates, opinions and analysis made by management of Klondike in light of its experience, current conditions, expectations of future developments and other factors which it believes to be reasonable and relevant. Forward-looking information and statements involve known and unknown risks and uncertainties that may cause Klondike’s actual results, performance and achievements to differ materially from those expressed or implied by the forward-looking information and statements and accordingly, undue reliance should not be placed thereon. Risks and uncertainties that may cause actual results to vary include but are not limited to the availability of financing; fluctuations in commodity prices; changes to and compliance with applicable laws and regulations, including environmental laws and obtaining requisite permits; political, economic and other risks; as well as other risks and uncertainties which are more fully described in our annual and quarterly Management’s Discussion and Analysis and in other filings made by us with Canadian securities regulatory authorities and available at www.sedar.com. Klondike disclaims any obligation to update or revise any forward-looking information or statements except as may be required.”