Klondike Silver Intends to Revive the Slocan High-Grade Silver Camp
Vancouver, BC / TheNewswire / September 7, 2016 - Klondike Silver Corp. (the "Company") (TSX.V: KS) is pleased to provide a summary of its land package and exploration plans. The Klondike Silver land package covers approximately 110 square kilometers of the Slocan Silver Camp. Based on the B.C. MINFILE mineral database, sixty eight (68) of the one hundred and seventy three (173) past producing mines in the Slocan Silver Camp are located in the Klondike Silver land package.
Over 69 million troy ounces (oz) of Silver has been produced to present from the Slocan Silver Camp with 40.4 million oz of that production coming from the Klondike Silver land package. In addition over 579 million pounds (lbs) of Lead and 569 million lbs of Zinc have been produced from the Slocan Silver Camp to present, including over 349,000,000 lbs of Lead and over 159,000,000 lbs of Zinc production coming from the Klondike Silver land package.
Area Geology - A series of silver-rich veins in Slocan Group metasediments. The "Main Lode" is the largest and most prolific vein system (9 km long) in the Slocan Silver Camp.
Highlights:
-One of the few remaining under-explored mining camps in Canada.
-The Klondike Silver land package includes over half of the "Main Lode" structure and of that, 1.5 km is virtually unexplored.
-Klondike Silver is the 100% owner of the only 100 tonne per day mill in the area with a licenced tailings pond facility. The mill is just 140 km north of the Trail B.C. smelter.
-Claims are in good standing with the Province of British Columbia until 2023.
To ensure that Klondike Silver's opportunity for success is maximized, key focus areas will be pursued on a concurrent basis. Klondike Silver will continue to ensure compliance with all Provincial and Federal regulatory requirements (eg. permitting, safety standards, environmental, water stewardship etc.)
Exploration
On July 4, 2016 a NI 43-101 Technical Report (dated June 28, 2016) was filed on the Canadian Securities Administrators' SEDAR website. The Technical Report entitled "The Slocan Silver Camp, Sandon, British Columbia", was prepared for Klondike Silver Corp. by Trygve Hoy, Ph.D; P.Eng., an independent "qualified person". In his report Dr. Hoy recommends that underground exploration should initially focus on the projected eastern extension of the Main Lode in the Ruth-Hope mine area, and surface exploration on evaluating some of the higher grade past producers in the camp that Klondike Silver now owns.
Recommendations include:
Phase 1: Silvana Mine underground exploration
1. 4625 E Lateral, Hope Mine: rationale - projected extensions of the Main lode between 4625 Level and the 4410 E Level have not been tested; several pre-1993 underground drill holes, by a previous mine owner Treminco Resources Ltd., intersected vein mineralization in this region, but no resource nor reserve estimates were outlined. Work required includes rehabbing approximately 175 meters of the 4000 Level to provide access, drifting east on the 4625 Level approximately 100 meters, extending power from surface to the work area on the 4625 Level, and underground drilling.
Phase 1: Surface exploration
Surface exploration in the camp should be directed towards better evaluating known surface vein occurrences as well as several of the historical mines that have had little exploration since closure. Recommendations include:
1. Cody Creek area: Several past producing mines occur in the Cody Creek drainage immediately east of the Main Lodes of the Slocan camp. Work should focus on the west side of the creek, where access was difficult during the latest phase of exploration in 2010. This work should include geological mapping, a ground geophysical survey (VLF-EM), construction of an access road or trail to the Jazmine showing, and trenching.
2. Payne mine area: Re-evaluation of the soil geochemical program including trenching of spot anomalies rather than contoured soil anomalies.
3. Rambler mine area: compilation of all historical data, geological mapping and sampling of this past producing high-grade vein.
4. Sampling the Main Lode mine dumps (Ruth, Hope, Silversmith, Slocan King, Richmond-Eureka): Historically, zinc-rich mine material was sometimes considered uneconomic to process due to the metal's price and was diverted to mine dumps. This material was usually never historically recorded. This material may be a source of mill feed when the Company has complied with Ministry of Mines requirement. It is recommended that a systematic sampling of the dumps be undertaken to determine if indeed there is sufficient zinc-rich material that can be economically processed at the Sandon mill.
Dr. Trygve Hoy has consented to the use of the above extracts from the Technical Report entitled "The Slocan Silver Camp, Sandon, British Columbia".
About Klondike Silver
Mr. Richard Hughes, Chairman of Klondike Silver's Technical Advisory Board identified and initiated the purchase and staking of mineral claims in the Slocan Silver Camp commencing in approximately the year 2000. The Camp was fragmented among many owners throughout its history. Klondike Silver's land package has grown in size to over 100 square km, to become the largest land package in the area. Klondike Silver has created the first real opportunity to invest and properly explore a sizeable portion of one of the most historic mining camps in British Columbia.
The scientific and technical disclosure in this news release has been reviewed and approved by David Makepeace, P.Eng., Senior Geologist for Micon International Limited, who is an independent consultant to the Company and qualified person as defined in NI 43-101.
For additional information please visit the company website www.klondikesilver.com.
CONTACT INFORMATION
Corporate Inquiries:
Dale Dobson: (604) 682-2928
Email: dale.dobson@klondikesilver.com
On Behalf of the Board of Directors
"Thomas Kennedy"
Thomas Kennedy
CEO, President and Director
This news release may contain certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under the control of Klondike Silver Corp. which may cause actual results, performance or achievements of Klondike Silver Corp. to be materially different from the results, performance or expectation implied by these forward looking statements. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors.
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.
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