KLONDEX MINES LTD. T.KDX

Metals & Mining Industrial Metals & Minerals

"Klondex Mines Ltd is a gold and silver producer engaged in exploration, development, and production of its properties. The company has interests in three mineral properties: the Fire Creek Mine, and the Midas Mine and ore milling facility, both of which are located in the state of Nevada, USA, and the True North Gold Mine (formerly the Rice Lake Mine) and mill in Manitoba, Canada. The revenue of the company is generated from the sale of gold and silver."

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KLONDEX MINES LTD. > Big Savings in Budget Items

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Comment by JintsuGehanon Feb 01, 2018 8:16pm

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Post# 27485360

RE:Big Savings in Budget Items

Let me re-phrase by taking midpoint of each range:

CAPEX savings based on midpoint: $ 15.15 M

G&A savings based on midpoint: $ 1 M

Hollister Ramp-up savings: $ 10.5 M

Only gain is under Exploration based on midpoint: + $ 3 M

Therefore, NET Estimated Savings of all spend categories = $ 23,650,000 USD for 2018

JIN

JintsuGehan wrote: CAPEX 2017: $ 63 M - $ 71 M
CAPEX 2018: $ 48.2 M - $ 55.5 M

G&A 2017: $ 20 M - $ 22 M
G&A 2018: $ 18 M - $ 19 M

EXPLORATION 2017: $ 7 M - $ 9 M
EXPLORATION 2018: $ 10 M - 12 M (gain here but that is OK because see below:

HOLLISTER 2017 RAMP-UP: $ 10 M - $ 11 M
HOLLISTER 2018 RAMP-UP: Not an expense

Company is saving I would say conservatively $ 20 M USD to $ 23 M USD to achieve up to 202,000 oz at high point at same AISC, but with a higher spot price of gold.

2017 is a write off as mentioned; 2018 looks far brighter.

JIN