November 14, 2013
NV and VANCOUVER, BC - (Marketwired - Nov 14, 2013) - as a result of a
review by the British Columbia Securities Commission, Klondex Mines Ltd.
(TSX: KDX) (OTCQX: KLNDF) (“Klondex” or the “Company”) is issuing the
following news release to clarify its disclosure.
All non-compliant technical disclosure has been removed from the
Company’s website in respect of the Company’s Fire Creek project in
Nevada (the “Fire Creek Project”) in accordance with National Instrument
43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”).
Specifically, the Company has removed from its website disclosure in
respect of a non-current mineral resource estimate for the Fire Creek
Project, which estimate had an effective date of May 21, 2011 and was
supported by a technical report dated August 29, 2011 (the “2011
Technical Report”). Further to the Company’s news releases dated
September 16, 2013 and October 31, 2013, investors are reminded that the
current mineral resource estimate for the Fire Creek Project is
disclosed in the technical report titled “Technical Report (Amended):
Fire Creek Exploration Project, Lander County, Nevada” dated November
14, 2013 (with an effective date of August 31, 2013), as amended,
prepared by Mark Odell, P.E., Principal Engineer, Practical Mining LLC,
Karl Swanson, Independent Mining & Geological Consultant, SME,
MAusIMM, and Michele White, Geologic Consultant, CPG #11252 AIPG, All
One River GIS (the “2013 Technical Report”). The 2013 Technical Report
supersedes the 2011 Technical Report in its entirety and the 2011
Technical Report should no longer be relied upon by investors. The 2013
Technical Report is available for review under the Company’s profile on
SEDAR at www.sedar.com.
In addition, the Company hereby retracts all statements in its September
16, 2013 news release and in its corporate presentation on the Fire
Creek Project regarding “verified continuity” of mineralization at the
Fire Creek Project. The majority of the mineral resources disclosed in
the 2013 Technical Report comprise indicated and inferred mineral
resources, which are estimates based on reasonably assumed, but not
verified, geological and grade continuity.
The Company has also removed from its website the corporate presentation
on the Fire Creek Project and is in the process of modifying and
updating the presentation to comply with the requirements of NI 43-101,
including the requirements to (i) disclose each category of mineral
resources on the Fire Creek Project separately; (ii) disclose the
effective date of each mineral resource estimate, the key assumptions,
parameters and methods used to estimate the mineral resources and any
known risks that could materially affect the potential development of
such mineral resources; and (iii) disclose the relationship to the
Company of the qualified person who prepared or supervised the technical
information contained in the corporate presentation and on the
About Klondex Mines Ltd. (www.klondexmines.com)
Klondex Mines is focused on the exploration and development of its Fire
Creek gold deposit in North-Central Nevada. Fire Creek is a compelling
gold project located in a mining-friendly jurisdiction, near major
producers, power, transportation, mining infrastructure and its milling
facilities. At November 14, 2013, and assuming the conversion of
outstanding special warrants to shares, Klondex has 79.2mm shares issued
and outstanding and 103.1mm shares, fully diluted.
President & CEO
Klondex Mines Ltd.
Manager, Investor Relations
Klondex Mines Ltd.
Catalyst Global LLC
This news release contains certain information that may constitute
forward-looking information under applicable Canadian securities
legislation. This forward-looking information entails various risks and
uncertainties are based on current expectations, and actual results may
differ materially from those contained in such information. These risks
and uncertainties include, but are not limited to the risks and hazards
associated with environmental compliance and permitting for its
underground operations, 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. 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.
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