Gold and silver producer Klondex Mines Ltd (TSE:KDX, NYSE:KLDX) said on Friday its completed 2016 surface exploration drill program at its Fire Creek mine in northern Nevada yielded up to 5.2 metres of 14.6 g/t gold.
The company also said that the Fire Creek district could be much larger than what is currently known.
The following drill results are not included within the mineral reserve and mineral resource estimates released on Sept. 14.
Fire Creek mine surface drilling highlights
Eighteen surface holes totalling 28,721 feet (8,754.2 m) were drilled during the reporting period. These exploration holes primarily targeted mineralization extensions in the West, North and East zones.
Holes FCC-0064, FCC-0065 and FCC-0068 are follow-up holes to FCC-0020 which targeted a 6,500-foot (1,981.2 m) north-south-striking geophysical anomaly located about 4,000 feet (1,219.2 m) west of the current mine workings.
Drill results from these holes suggest the potential for four parallel structures in this zone. This drilling has extended the mineralization approximately 600 feet (182.9 m) along strike, 250 feet (76.2 m) vertically, is within 400 feet (121.9 m) of the surface and is open in all directions.
Hole FCC-0067 targeted and successfully confirmed a previously untested geophysical anomaly approximately 5,500 feet (1,676.4 m) to the west of the current mine workings, suggesting the Fire Creek district could be much larger than what is currently known.
Holes FCC-0050, FCC-0060 and FCC-0061 were drilled to infill between two previously drilled holes testing the East zone structure, a north-south-striking, approximately 19,000-foot (5,791.2 m) geophysical anomaly. Assay results support a 1,200-foot (365.8 m) north-south strike and 450-foot (137.2 m) vertical extension of mineralization within this structure and is open in all directions. The East zone structure is located approximately 2,000 feet (609.6 m) east of the current mine workings.
The North expansion drilling continues to offset and extend known mineralization beyond the current Fire Creek underground footprint. Holes FCC-0056 and FCC-0057 have collectively extended at least one of the underground veins approximately 1,500 feet (457.2 m) to the north, which is open to the north and vertically.
“The 2016 surface drill program at Fire Creek ended successfully with follow-up drilling in the West, East, and North zones,” said Brian Morris, vice-president, exploration.
“These drill results continue to extend mineralization along strike and vertically and demonstrate the potential to contain high-grade mineralization, similar to what is currently being mined. Geophysics are proving to be an effective exploration tool in the Fire Creek district. We have numerous similar untested geophysical signatures in the district suggesting the potential for substantial resource expansion in the near future.”
Klondex shares were up 0.4% at C$7.53 in Toronto and up 0.7% at $5.75 in New York on Friday.
Story by ProactiveInvestors