Vancouver, British Columbia, Canada, June 14, 2016, Klondike Gold Corp. (TSX.V:KG; FRA: LBDP) (“Klondike Gold” or the “Company”) updates progress of ongoing drilling and reports new prospecting results at the Lone Star property near Dawson City, Yukon Territory. In addition, the Company has acquired 235 new quartz claims by staking the Washington Creek property in the eastern portion of the Klondike region.
The Company began a drill program in mid-May with plans to test at-surface gold-bearing quartz vein outcrops hosted by different host rocks in a diversity of structural settings. To date a total of 21 diamond drill holes and 6 rotary air blast (“RAB”) drill holes have been completed, averaging about one drill hole per day. The target areas tested so far include 284, Nugget, and Violet Ridge by diamond drilling (see News Release May 18, 2016) and Gay Gulch and Christy with RAB drilling. For a map of the drill target locations (CLICK HERE). Systematic geotechnical and geological logging plus sampling of drill holes continues. Analytical results are projected to be received beginning by mid-July.
Prospecting Results: Violet Ridge
Gold-bearing quartz veins in outcrop at Violet Ridge now have a mapped strike length of 2,200 meters at surface, up from 600 meters strike length reported previously (see News Release May 18, 2016). A total of 12 rock grab samples were collected from two ‘lost’ areas of circa 1900 prospect pits and trenches relocated using 1949-era airphotos. Four samples from trench/pit workings assayed 0.8 to 4.2 g/t Au all with anomalous silver up to 96 g/t Ag; eight samples collected 200 meters away from trenches assayed 0.2 to 9.2 g/t Au all with anomalous silver up to 97 g/t Ag. (Prospecting samples are selective in nature; systematic test results may vary significantly.) The quartz veining is along strike from other outcropping quartz veins (reported May 18th) identified in other c.1900 workings along the ridge. Taken in total, the Violet Ridge quartz veining has a mapped strike length of 2,200 meters at surface and remains open. The veining is directly associated with a magnetic low (interpreted) fault.
Klondike Gold has acquired the “Washington Creek” property totalling 235 quartz claims (47.5 square kilometers) by staking. The “Washington Creek” property is located adjacent to the Company’s Gold Run property and covers an interpreted sub-regional fault; part of a system of previously unrecognized faults relating to the introduction of orogenic gold-bearing mineralization cutting the Klondike region.
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. See previous news releases for prospecting grab sample assay procedures and protocols.
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 Yukon gold projects, accessible by government maintained roads located on the outskirts of Dawson City, YT, covering 308 square kilometers of hard rock and 20 square kilometers of placer claims including “McKinnon Creek” featured on the Discovery Channel show “Gold Rush”.
On behalf of Klondike Gold Corp.
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“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.”