From the "Gold Stock Centre"https://stockhouse.ca/featuredsector/index.asp?page=detail§orname=Gold&ticker=V.KG
Go where the silver and gold mines are!
"I have been guided in my work by a very simple philosophy to the effect that the best place to look for ore is in the districts that had given mineral action."
That is how the late Thayer Lindsley,an American who created enormous wealth by building an international mining empire, once elegantly explained the key to his success through the depression and early post-World War II years of the 20th century.The name of one of his core companies, "Falconbridge," remains well-known in world mining as a monument to Lindsley.
Richard Hughes, President of Klondike Gold Corporation, (listed TSX-V:KG)learned that lesson as a young man and has been applying it successfully through his long career over more than 30 years in the Canadian mining industry. In a business where it is rare for someone to find and develop one gold mine, Richard Hughes' name is associated with the discovery of four gold deposits which became producing mines. His biggest success so far - one of the three mines in Canada's Hemlo gold camp.
Even the "Klondike Gold" name of the company he leads reflects his intense focus on long known mining areas. The "Klondike" became famous in song and story when over a century ago thousands of treasure seekers rushed into Canada’s far north to pan for the gold of "Bonanza," "Eldorado" and other creeks and rivers.
Indeed, the Company's main assets are in three famous and highly-productive mining areas in western Canada. There is the gold of the Klondike in Canada's Yukon Territory bordering on Alaska. In southeastern British Columbia, the Company is in two major mining areas: the silver of the Slocan district and the Kimberly area of the famous Sullivan lead-zinc-silver mine.
Over the past 15 years Klondike Gold Corp. has patiently acquired at minimum costs extensive interests in these three mining areas. Hughes and his compact management team of mining industry veterans have been applying modern advanced exploration technologies to evaluate and advance their mineral potential.
One result of their efforts is that Klondike Gold has gold and silver projects in advanced stages working towards possible early development into production. All are located in long-established mining areas with all facilities and trained manpower. Here is a brief summary of their current status.
In the Slocan silver district, one of the ten former silver producers in Klondike's portfolio already holds a government permit to mine. This mine is ready to be brought into production this year. Klondike Gold also owns a plant to process ore from Slocan area mines. Currently this mill has a capacity of 100 tons per day. During testing three years ago, it was shown that it could recover a favorable 92% of the silver contained in the ore of the Slocan. An added advantage, it has been estimated that with only a $200,000 of investment daily processing capacity could be doubled to 200 tons.
Records show that the ten former silver producers held by Klondike produced a total of 24.4 million ounces of the precious metal from deposits found because they came to surface. The Klondike Gold team believes there is considerably more silver to be found in the Slocan district by using advanced geophysical and geochemical techniques to probe nature's secrets beneath the overburden.
Gold in the Yukon.
The gold rush of 1898 has so far resulted in a reported production of 12 million ounces of gold, at today's gold prices worth about $4.5 billion. All this gold has come from placer deposits. More recently Klondike Gold has been acquiring silver projects in the Yukon.
The primary source from which gold was carried into today's creeks, rivers and valleys of the Klondike eluded gold seekers. Richard Hughes and his team set out a dozen years ago to successfully find what geologists believe is this primary source of gold within the most famous areas of Eldorado and Bonanza Creeks.
After spending $5 million on bringing together its extensive holdings and on exploration, Klondike Gold identified three mineralized shear zones as the likely primary source of most of the district's placer gold. A partner has been brought into the project and is currently spending $2,225,000 to aggressively follow-up on Klondike's work with trenching, drilling and sampling in a processing mill. This partner can earn a 75% interest in this gold project by bringing a mine into production.
Klondike Gold has other mining projects which are in the exploration stage. These include a search for large base metal deposits in the Kimberly area of British Columbia, the location of the world-famous Sullivan mine which over 80 years provided some $21 billion worth of lead-zinc-silver for world industry. And there are gold targets in this Sullivan mine district and in the famous Val d'Or area in Quebec.
Richard Hughes is certain this is the time for the precious metal twins. Higher prices have pulled silver and gold out of a lengthy depressed period. This is the time to drive ahead with aggressive efforts to bring mines into production by building on the results of the exploration work of the past.
Klondike Gold's website has more detailed information on its silver and gold projects. Go to: www.klondikegoldcorp.com
Website: https://www.klondikegoldcorp.com