Klondex Mines Ltd. (TSX: KDX) announced today that the U.S. Bureau of Land Management (BLM) has issued a Notice to Proceed for the Company′s Fire Creek high-grade gold property in North Central Nevada. The BLM notice allows Klondex to commence surface preparation work required for Fire Creek′s planned underground development. 'Ground disturbing activity? has been authorized in three locations, areas where the portal, ponds, pad and surface structures are to be constructed. Klondex expects the surface contractor to commence work early in October.
Klondex President and COO, Blane Wilson commented, 'The BLM notice brings us an important step closer to initiating our underground development program at Fire Creek. We are now able to start the surface work required prior to commencement of our underground portal. This is a pivotal stage in our continuing transformation from a surface exploration company to an underground development company.?
Klondex Mines Ltd. is focused on the exploration and development of its 100% owned high-grade Fire Creek gold deposit in North Central Nevada. Fire Creek is a compelling, low-Capex mining prospect that is well located near power, transportation, mining infrastructure and several milling facilities. Klondex has identified the following NI 43-101 compliant resource at Fire Creek:
Fire Creek ? Indicated and Inferred Resource*
As of March 30, 2009
Grams Gold
Equivalent
Total Ounces
Classification
Metric Tonnes
Per Metric Tonne
Gold Equivalent
Indicated
5,043,033
10.11
1,639,822
Inferred
1,833,423
8.63
508,799
*The resource is approx. 98.3% gold and 1.7% silver and reflects a cutoff grade
of 5 grams per tonne and 60 units of silver equivalent to one unit of gold.
ON BEHALF OF KLONDEX MINES LTD.
'William J. Solloway? Chairman and CEO
'Blane Wilson? President and COO
Investors: Klondex Mines Ltd. Bryson Goodwin, 604-341-1531 brysongoodwin@shaw.ca or Jaffoni & Collins David Collins, 212-835-8500 KDX@jcir.com
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