Mr. Peter Tallman reports
KLONDIKE GOLD CONFIRMS 1 KM CONTINUITY, THREE MINERALIZED SUB-ZONES AT LONE STAR TARGET, YUKON
Klondike Gold Corp. has released drill assay results from 22 new holes at the Lone Star target located 20 kilometres from Dawson, Yukon, within the company's 553-square-kilometre property spanning the entirety of the Klondike alluvial gold placer district.
Klondike Gold's chief executive officer, Peter Tallman, stated: "These latest results identifying continuity to gold mineralization associated with major faulting in the Klondike district are extremely encouraging.The Lone Star drill program confirms our belief that the Bonanza fault, and several other similarly important parallel structures which transect the Klondike district, have considerable exploration potential.The exploration team has done a great job completing this important drilling program and documenting the details necessary to extend our evolving model of mineralization.We are already looking forward to an exciting and substantial 2018 exploration program."
Results reported here are from systematic 50-metre-spaced holes along 1,000 metres of the Lone Star target between 11600E and 12600E where potential for bulk-tonnage gold mineralization (wide widths, lower grades, at surface) was identified by drilling beginning late in 2016.
Summary
Gold mineralization at the Lone Star target is newly recognized to be hosted in three closely spaced parallel subzones (named Alpha, Beta, Gamma), each 10 to 40 metres wide, collectively occurring over a total horizontal width of 130 metres.Gold outcrops at surface for each subzone and extends in drill core to 100-metre vertical depth. All subzones remain open to depth. Alpha subzone gold mineralization has been intersected for a total length of 950 metres so far from east (LS17-139 on 11600E) to west (LS17-124 on 12550E).Best intercepts include 2.4 grams per tonne over 40.9 metres and 2.1 g/t over 41.1 m in LS17-81 and negative 58 respectively.Beta subzone gold mineralization has been intersected for a total length of 775 metres so far from east (LS17-122 on 11825E) to west (LS17-104 on 12600E).Best intercepts include 1.6 g/t Au over 30.7 m and 0.6 g/t over 37.5 m in LS17-91 and negative 113 respectively.Gamma subzone gold mineralization has been intersected by four holes only for a total length of 200 metres so far from east (LS17-93 on 12375E) to west (LS17-110 on 12575E).Best intercepts include 0.3 g/t Au over 51.7 metres and 0.6 g/t over 16.3 metres in LS17-110 and negative 94 respectively.Previously reported reconnaissance drilling has reported gold to the east at Pioneer (LS17-95 on 12800E) and at O'Neil (LS17-98 on 11200E) for a total strike length of mineralization along the Bonanza fault of 1,600 metres.
This news release relates to results of systematic 50-metre-spaced drilling at the Lone Star target.Additional results from drilling along strike in the O'Neil and Pioneer areas are being compiled and interpreted, as are drill results from the Nugget and Eldorado trends, as are prospecting results from various locales.These will be forthcoming as soon as possible.
Company is fully financed for an expanded exploration program in 2018.
The 2017 season's three-fold objective was: to infill to provide sufficient density of drilling (at 50-metre spacing) to correlate mineralization between sections; to extend the mineralization to the east and west toward the mineralized zones at the O'Neil and Pioneer areas; and then to do reconnaissance stepouts beyond the O'Neil and Pioneer areas.
Previously, the company has announced drill intersections of gold mineralization at the Lone Star target of 1,600 metres in strike length (see news release from Sept. 18, 2017) including from large stepouts to the east in the O'Neil area (LS17-98 on L11200E) and to the west in the Pioneer area (LS17-95 on L12800E).
The Lone Star target currently encompasses three areas: Lone Star in the centre, O'Neil to the west and Pioneer to the east, across a total length so far of approximately four kilometres of drill testing in proximity to the Bonanza fault.This news release describes assay results from 50-metre-spaced drilling across a length of approximately 1,000 metres at the Lone Star target area.(Drilling at the O'Neil and Pioneer targets, considered to be regional extensions of the Lone Star target mineralization, will be discussed in a follow-up news release.)
Drilling at the Lone Star target has revealed three parallel gold mineralized subzones, termed Alpha, Beta and Gamma, located above (in the hangingwall) and adjacent to the Bonanza fault.
These subzones are spaced about 50 metres apart across a 130-metre lateral width (including the intervening unmineralized material).Individually each of the three subzones is from 10 metres up to 40 metres in width as defined by gold assays in drill core.All mineralization is interpreted to strike north-northwest and dip 50 degrees to the north-northeast.Drill core intersections are interpreted to be approximately true width but more detailed work, including interpretation of drill sections, is continuing to verify this in all cases.
The following is a table of Lone Star target Alpha/Beta/Gamma drill results.Note this table includes all results from 2016 and 2017 to define the complete 50-metre-spaced drilling program.Results are organized by section from west to east.The "Au (g/t)" column is the weighted average of all gold values in grams per metric tonne through the "Interval" indicated.GxW denotes "G" gold (g/t) times "W" width (m) of assay intersection.Hole IDs with an asterisk are new results not previously released.
TABLE OF LONE STAR TARGET, ALPHA/BETA/GAMMA SUBZONE DRILL RESULTSSection Hole ID From (m) To (m)Au g/t IntervalGxW Zone11600E LS17-139*3.8 19.80.6 169.1Alpha11650E LS17-107* No significant resultsAlpha LS17-100*3.58.50.854Alpha11675E LS17-10134 51.50.5 17.58.8Alpha LS17-10610 391 29 29AlphaLS17-81 5.5 46.62.1 41.1 86.3Alpha11725E LS17-102* No significant resultsAlpha LS17-105* No significant resultsAlphaLS17-8210.4 51.32.4 40.9 98.2AlphaLS16-58 6.5 43.52.4 37 88.8AlphaLS16-60No significant resultsAlpha11775E LS17-103* 14.2 17.91.63.76.1Alphaand35 37.61.52.63.8AlphaLS16-5916.5 44.21.2 27.7 33.2Alpha11800ELS16-61No significant resultsAlpha11825E LS17-104* 41.4 55.10.5 13.76.2 BetaLS17-8316.3 490.8 32.8 26.2Alpha11875ELS17-8434 44.41.2 10.4 12.5Alpha11925ELS16-62 5.5 10.51.758.5Alpha11975ELS16-69 4.9 16.90.9 12 10.8 Beta incl.4.9 13.118.28.2and88.7 98.62.59.9 24.8AlphaLS16-70 8.3 16.91.68.6 13.8 Betaand68 79.33.5 11.3 39.6 Beta incl. 74.5 79.37.94.7 37.1LS16-63 3.1 450.9 42 37.8Alpha12020ELS16-6745.8 48.8133 Betaand87.5 921.64.57.2AlphaLS16-6833 374.74 18.8 Betaand57 600.732.1 Betaand67 811.2 14 16.8 BetaLS16-6429.5 541.5 24.5 36.8AlphaLS16-6526.2 32.22.76 16.2Alpha12050ELS16-6612.8 250.5 12.26.1 Betaand81 891.68 12.8Alpha12065E LS17-10812.8 66.10.7 53.3 37.3Alpha incl. 12.8 38.40.9 25.7 23.112090ELS17-85 0 27.40.6 27.4 16.4 Beta12090ELS17-86 3.2 25.30.8 22.1 17.7 Beta12100E LS17-10921.5 28.70.97.26.5Alpha12150ELS17-87 1.5 180.7 16.5 11.6 BetaLS17-88 6.5 20.30.4 13.85.5 Beta12175ELS17-8922.6 37.61.1 15 16.5 BetaLS17-90 2.89.62.26.8 15 Betaand26.6 38.81.7 12.3 20.9 Beta LS17-115* No significant resultsAlpha12250ELS17-91 4.3 351.6 30.7 49.1 Beta12300E LS17-92*12.2 47.90.3 35.7 10.9 Beta LS17-114* 10 43.50.5 33.5 16.8Alpha12325E LS17-111* No significant resultsLS16-7459 631.546 LS17-113* 35.4 730.6 37.5 22.9 Beta LS17-120* 67.3 900.5 22.7 11.7Alpha12375E LS17-110*130.31820.3 51.7 15Gamma12400E LS17-112* No significant results Beta LS17-121* 22 610.5 39 18.3 LS17-125* 42.5 570.3 14.64Alpha12425E LS17-94*26.2 42.50.6 16.3 10Gamma12575E LS17-93*18 45.80.4 27.8 11.1Gammaand98.2119.60.2 21.44.9 BetaLS16-7138.3 510.5 12.76.4 BetaLS16-72No significant results Beta12500ELS16-73No significant resultsGamma12550E LS17-117*112.11280.5 15.98.5 Beta LS17-124* 65.2 86.51 21.3 21.3Alpha12600E LS17-122* 78.5 97.60.6 19.2 11.6 Beta
This news release relies on a plan map of the Lone Star target drilling, and individual longitudinal sections for the Lone Star Alpha, Beta and Gamma subzones.
Alpha subzone from 11600E to 12550E
Alpha lies in the immediate hangingwall above the Bonanza fault.At approximately 50-metre drilled spacing, Alpha subzone gold mineralization has been intersected over 950-metre length to 100-metre vertical depth, and remains open in all directions.Hole LS17-139 is the easternmost hole assigned to Alpha, located on 11600E, which intersected 0.6 g/t Au over 16 metres; hole LS17-124 is the westernmost hole, located on 12550E which intersected one g/t Au over 21.3 metres.
Beta subzone from 11825E to 12600E
Beta lies between 25 and 50 metres north in the immediate hangingwall above Alpha, and 30 metres to 60 metres above the Bonanza Fault.At approximately 50-metre drilled spacing, Beta subzone gold mineralization has been intersected over 775-metre length, to 100-metre vertical depth, and remains open in all directions.Hole LS17-122 is the easternmost hole assigned to Beta, located on 12600E, which intersected 0.6 g/t Au over 19.2 metres; hole LS17-104 is the westernmost hole, located on 11825E which intersected 0.5 g/t Au over 13.7 metres.
Gamma subzone from 12375E to 12575E
Gamma lies between 30 and 50 metres north in the immediate hangingwall above Beta, and 130 metres above the Bonanza fault.At approximately 50-metre drilled spacing, Gamma subzone gold mineralization has been intersected over 110-metre length, to 100-metre vertical depth, and remains open in all directions.Hole LS17-93 is the easternmost hole assigned to Gamma, located on 12575E, which intersected 0.4 g/t Au over 27.8 metres; hole LS17-110 is the westernmost hole, located on 12375E which intersected 0.3 g/t Au over 51.7 metres.
The Lone Star target is easily and directly accessible from Dawson and the company's Yukon field office by a 20-kilometre government maintained, partially paved, mining resource road.The Lone Star target lies on the ridgeline above Bonanza Creek, three kilometres upstream from the August, 1896, discovery site of alluvial gold by George Carmack, Kate Carmack, Skookum Jim and Tagish (Dawson) Charlie that began the Klondike gold rush.
Drill core and assay protocols 2017
All drill holes are photographed wet.Magnetic susceptibility, foliation and rock-quality determination measurements are systematically collected.All cross-cutting (potentially mineralized) quartz veins and adjoining alteration envelopes are individually photographed.Core logging records lithology, structure and alteration.Visible gold is identified, measured, photographed and then excluded from the assay sample for that interval.Assay samples from drill core are cut using a diamond saw.Half the core sample interval is bagged, tagged and sealed; the other half is returned to the core box with a corresponding tag and retained for reference.Sample bags are aggregated into rice bags, sealed and submitted by Klondike Gold personnel to Bureau Veritas Mineral Laboratories (formerly Acme Labs) preparation facility in Whitehorse, Yukon, with chemical analysis of sample pulps completed in Vancouver, B.C.Bureau Veritas Labs is an accredited-ISO 9001:2008 full-service commercial laboratory.
At BV Labs each rock sample is crushed to 80 per cent passing two millimetre size.A 500-gram subsample is pulverized to greater than 85 per cent passingnegative 75-microns size (Code PRP70-500). The 500 g subsample is then sieved to 106 microns (140 mesh) for "metallic screen" assaying. The plus-140 mesh fraction is then weighed and assayed for gold by fire assay fusion with a gravimetric finish (Code FS631). A 30 g subsample of the minus-140 mesh fraction is assayed for gold by fire assay fusion with an atomic absorption finish (Code FA430).All overlimit results in excess of 10 parts per million (10 g/t) for both silver and gold are reassayed using a 30 g subsample and assayed by FA with a gravimetric finish (Code FA530-Au/Ag).Total gold grade is then calculated using a weighted average of the plus and minus fraction assay results. Samples were also analyzed for multielement chemistry by ICP-MS analysis (AQ201+U code).Samples overlimit in lead are rerun by a high-detection limit ICP-ES procedure (Code MA370).Quality assurance/quality control includes the insertion and continual monitoring of Klondike Gold standards, blanks and duplicates within each batch, in addition to BV Labs QA/QC samples.A description of sample and assay procedures and protocols is also disclosed on the company's website.
The technical and scientific information contained within this news release has been reviewed and approved by Peter Tallman, PGeo, president of Klondike Gold and qualified person as defined by National Instrument 43-101 policy.
About Klondike Gold Corp.
Klondike Gold is a Canadian exploration company with offices in Vancouver, B.C., and Dawson City, Yukon. The company is focused on exploration and development of the Lone Star gold target at the confluence of Bonanza Creek and Eldorado Creek within a district-scale 527-square-kilometre property accessible by government-maintained roads located on the outskirts of Dawson City, Yukon, within the Tr'ondek Hwech'in First Nation traditional territory.
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