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Klondike Gold Announces Agreement to acquire remaining 50% interest in the Indian River Property

04.09.2014  |  FSCwire
Vancouver, British Columbia (FSCwire) - Klondike Gold Corp. (TSX.V:KG) (“Klondike Gold” or the “Company”) announces that it has entered into an agreement with the shareholders of 46799 Yukon Inc., a private company, to acquire all of the outstanding shares of 46799 Yukon Inc. in consideration for the issuance of 6,435,000 common shares of the Company at a deemed price of $0.20 per share. 46799 Yukon Inc. is the holder of the other 50% interest in the joint venture on the Company's Indian River Property located in the Yukon Territory. The shareholders of 46799 Yukon Inc., have provided funding of $1,287,000 to advance this property to date and are vending in their interests for their out of pocket costs. Upon completion of the acquisition, the Company will hold an undivided 100% interest in the property subject to an existing third party 5% royalty on production of gold or other minerals.

The acquisition is subject to the approval of the TSX Venture Exchange.


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 gold properties, and also holds a large portfolio of gold and base metal projects in southeastern British Columbia.


On behalf of Klondike Gold Corp.

“Peter Tallman”
President and CEO



(604) 559-4440
E-mail: info@klondikegoldcorp.com


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

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the acquisition of the shares of 46799 Yukon Inc. and the combination of the companies. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future, and include statements regarding: (a) the acquisition of the remaining of the issued and outstanding shares of 46799 by Klondike Gold, and (b) the receipt of approval from the TSX Venture Exchange for the acquisition of the shares of 46799. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including: (1) TSX Venture Exchange approval is not obtained for the acquisition of the shares or the closing of the transaction, (2) the inherent uncertainties and speculative nature associated with the exploration for gold mineralization, including the actual results of current exploration activities, changes in project parameters as plans continue to be refined, failure of equipment or processes to operate as anticipated, accidents or other risks of the mining industry, (3) a decrease in the demand for and/or a decrease in the price for gold, (4) any number of events or causes which may delay or cease exploration and development of the Company’s property interests, such as environmental liabilities, weather, mechanical failures, safety concerns and labour problems, (5) the risk that the Company does not execute its business plan, (6) inability to retain key employees, (7) inability to finance operations and growth, (8) an extended downturn in general economic conditions in North America and internationally, (9) an increase in the number of competitors with larger resources, and (10) other factors beyond the Company’s control. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management’s current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. These forward-looking statements are made as of the date of this news release and the Company assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements. Additional information about these and other assumptions, risks and uncertainties are set out in the “Risks and Uncertainties” section in the Company’s MD&A filed with Canadian security regulators at www.sedar.com.

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Klondike Gold Corp.
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