Welcome!

News Feed Item

Klondex Provides Operational Update

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 02/28/14 -- Klondex Mines Ltd. (TSX: KDX)(OTCQX: KLNDF) today provides an operational update for its Fire Creek gold project and the Midas gold and silver mine and mill, in Northern Nevada.

Paul Huet, Klondex President and CEO stated, "It's with a great amount of pleasure that we provide Klondex's first operational update since the acquisition of the Midas mine and mill. We assumed ownership of Midas on February 11th of this year and immediately started drilling and blasting the underground stopes. Our initial blast rounds exposed high-grade gold and silver veins in an area along strike from the existing workings on the 905 vein. I believe the success of the operations team hitting the ground running, is a direct result of the leadership team having previous experiences at Midas."

Midas Mine and Mill

Transitioning the mine and milling facilities from Newmont to Klondex is complete, including the hiring and orientation of 110 Midas employees, and operations are well-underway.

The first underground excavations at Midas were taken in the 7-4640 South area of the mine (Figure 1). After the second blast round, the vein widened and the grade increased. The average grade in this area is 20.6 g/t (0.6) opt Au and 1975.0 (57.60 opt) Ag over an average vein width of 4.8 ft; assays range from 96.0 g/t (2.8 opt) Au and 10,800 g/t (315.0 opt) Ag to 3.1 g/t (0.1 opt) Au and 536.1 g/t (18.9 opt) Ag. See Table 1 below for more details. Since encountering the high grade zone, the drift has been extended 91 ft along strike of the vein. This drift will serve for a primary drilling and mucking horizon for future long hole stoping.

The mill began operating on February 19, 2014 and is currently running at a rate of 600 tpd. It is currently being fed by a blend of the Midas and Fire Creek mineralized materials. The first dore pour is expected to be March 4th, 2014 with an initial shipment to Johnson Matthey on March 6th. Klondex is currently evaluating opportunities to provide third party toll milling services.

Taurus Drilling, experts in narrow vein long hole mining have been contracted for drilling and blasting at Midas. Sandvik has been awarded the contract for mobile maintenance at both Fire Creek and Midas. Sandvik are experts in this field and have a proven track record at Midas as well having worked there for over four years, from 2002 through 2006.

Fire Creek

Bulk sampling at Fire Creek is fully-commissioned and benching the Vonnie and Joyce veins is well underway. Shipments of mineralized material from Fire Creek commenced on February 11, 2014, to the Midas mill, approximately 100 miles north at a haulage cost of $32/t.

The technical information contained in this press release has been reviewed and approved by Mark Odell of Practical Mining LLC, an Independent Qualified Person (Nevada PE 13708 and SME 2402150) for the purposes of National Instrument 43-101.

Assays were performed at Newmont's Twin Creeks' operation.

About Klondex Mines Ltd. (www.klondexmines.com)

Klondex Mines is focused on the exploration, development and production of its high quality gold and silver projects. The company is operating an ongoing bulk sampling program at its Fire Creek gold project located in north central Nevada. Fire Creek is in a mining-friendly jurisdiction, with onsite power and mining infrastructure, and near major producers. Midas, Klondex's newly acquired operating mine and milling facility are located 112 miles north of Fire Creek.

Cautionary Note Regarding Technical Information and Forward-looking Information

A production decision at the Midas mine was made by prior owners of the mine, prior to the completion of the acquisition of Midas by Klondex. To the knowledge of Klondex, this production decision was not based on a feasibility study of mineral reserves demonstrating economic and technical viability prepared in accordance with National Instrument 43-101. Readers are cautioned that there is increased uncertainty and higher risk of economic and technical failure associated with such production decisions.

This news release contains certain information that may constitute forward-looking information under applicable Canadian securities legislation, including but not limited to information about current expectations on the timing and success of exploration and metallurgical sampling activities, the timing and success of mining operations, the Company's intention and ability to monetize mineralized material, the successful execution of the bulk sampling program at the Fire Creek Project, project development and related permitting. This forward-looking information entails various risks and uncertainties that are based on current expectations, and actual results may differ materially from those contained in such information. These uncertainties and risks include, but are not limited to, the strength of the global economy; the price of gold; operational, funding and liquidity risks; the degree to which mineral resource estimates are reflective of actual mineral resources; the degree to which factors which would make a mineral deposit commercially viable are present; the risks and hazards associated with underground operations; and the ability of Klondex to fund its substantial capital requirements and operations. Risks and uncertainties about the Company's business are more fully discussed in the Company's disclosure materials filed with the securities regulatory authorities in Canada and available at www.sedar.com. Readers are urged to read these materials. Klondex assumes no obligation to update any forward-looking information or to update the reasons why actual results could differ from such information unless required by law.

Table 1: 7S4640 Heading, GP Vein


                                        ------------------------------------
                                                        Gold
----------------------------------------------------------------------------
               vein   vein mining mining     vein     vein   mining   mining
length,      width, width, width, width, channel, channel, channel, channel,
feet          meter   feet  meter   feet      g/t    auopt      g/t    auopt
----------------------------------------------------------------------------
414-423        0.34    1.1   1.86    6.1     21.4     0.76      4.1     0.14
423-427        0.88    2.9   2.47    8.1     22.6     0.80      9.4     0.33
427-446        1.95    6.4   2.26    7.4     33.6     1.19     29.1     1.03
446-456        1.16    3.8   2.74    9.0      4.8     0.17      3.1     0.11
456-463        1.55    5.1   2.13      7     21.2     0.75     15.9     0.56

            ------------------------------------
                           Silver
------------------------------------------------
                 vein     vein   mining   mining
length,      channel, channel, channel, channel,
feet              g/t    agopt      g/t    agopt
------------------------------------------------
414-423        4176.0    147.3    776.8     27.4
423-427        4079.5    143.9   1501.1     52.9
427-446        3837.8    135.4   3319.5    117.1
446-456         831.4     29.3    536.1     18.9
456-463        1852.6     65.3   1384.5     48.8

Notes:


1.  Mining width assays are a weighted average of the vein and surrounding
    rock exposed across the full width of the drift.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
There will be new vendors providing applications, middleware, and connected devices to support the thriving IoT ecosystem. This essentially means that electronic device manufacturers will also be in the software business. Many will be new to building embedded software or robust software. This creates an increased importance on software quality, particularly within the Industrial Internet of Things where business-critical applications are becoming dependent on products controlled by software. Qua...
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2016 Silicon Valley. The 19th Cloud Expo and 6th @ThingsExpo will take place on November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Interne...
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
Most organizations prioritize data security only after their data has already been compromised. Proactive prevention is important, but how can you accomplish that on a small budget? Learn how the cloud, combined with a defense and in-depth approach, creates efficiencies by transferring and assigning risk. Security requires a multi-defense approach, and an in-house team may only be able to cherry pick from the essential components. In his session at 19th Cloud Expo, Vlad Friedman, CEO/Founder o...
"We host and fully manage cloud data services, whether we store, the data, move the data, or run analytics on the data," stated Kamal Shannak, Senior Development Manager, Cloud Data Services, IBM, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
As organizations shift towards IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. Commvault can ensure protection, access and E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his general session at 18th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Part...
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
With over 720 million Internet users and 40–50% CAGR, the Chinese Cloud Computing market has been booming. When talking about cloud computing, what are the Chinese users of cloud thinking about? What is the most powerful force that can push them to make the buying decision? How to tap into them? In his session at 18th Cloud Expo, Yu Hao, CEO and co-founder of SpeedyCloud, answered these questions and discussed the results of SpeedyCloud’s survey.
With the proliferation of both SQL and NoSQL databases, organizations can now target specific fit-for-purpose database tools for their different application needs regarding scalability, ease of use, ACID support, etc. Platform as a Service offerings make this even easier now, enabling developers to roll out their own database infrastructure in minutes with minimal management overhead. However, this same amount of flexibility also comes with the challenges of picking the right tool, on the right ...
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform. In his session at @ThingsExpo, Craig Sproule, CEO of Metavine, demonstrated how to move beyond today's coding paradigm and shared the must-have mindsets for removing complexity from the develo...
SYS-CON Events announced today that MangoApps will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. MangoApps provides modern company intranets and team collaboration software, allowing workers to stay connected and productive from anywhere in the world and from any device.
“We're a global managed hosting provider. Our core customer set is a U.S.-based customer that is looking to go global,” explained Adam Rogers, Managing Director at ANEXIA, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
DevOps at Cloud Expo – being held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's largest enterprises – and delivering real results. Am...
Basho Technologies has announced the latest release of Basho Riak TS, version 1.3. Riak TS is an enterprise-grade NoSQL database optimized for Internet of Things (IoT). The open source version enables developers to download the software for free and use it in production as well as make contributions to the code and develop applications around Riak TS. Enhancements to Riak TS make it quick, easy and cost-effective to spin up an instance to test new ideas and build IoT applications. In addition to...
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...