Kirkland Lake Gold Reports Additional Results from Its 2015 Regional Exploration Program East of the SMC
TORONTO, ONTARIO--(Marketwired - Jan 19, 2016) - Kirkland Lake Gold Inc., ("KL Gold" or the "Company")(KGI.TO) an operating and exploration gold company, provides additional results from its regional exploration program on its wholly owned property in Kirkland Lake, Ontario. The Company commenced a targeting program to test for mineralization on the north side of the Amalgamated Break and the possible easterly extension of the South Mine Complex ("SMC") across a previously untested trend of approximately 1,500 metres in strike length.
Highlights (Phase 1a): | ||||
AB-15-92 | 29.5 grams per tonne ("g/t") over 0.3 metres; | Intersected visible gold and tellurides at the -5,850 foot elevation, approximately 730 metres east of the New South Zone (the southeastern portion of the SMC). | ||
AB-15-106 | 28.1 g/t over 0.6 metres; 0.82 opt over 2.0 feet | Intersected visible gold at the -6,060 foot elevation. | ||
AB-15-129 | 10.6 g/t over 0.7 metres; 0.31 opt over 2.4 feet | Intersected visible gold at the -5,945 foot elevation. | ||
Mr. George Ogilvie, Chief Executive Officer of the Company, commented, "We are pleased to see these latest holes in this 2015 program continuing to return promising results, with mineralization encountered in each hole. While still early days, these results are very encouraging and as such, we have increased our budget for this target in 2016 upwards to $7.5 million. We strongly believe that investing in our organic growth opportunities now will allow us to realize our medium to longer-term growth prospects.
"As part of the Phase 2 program in 2016, we will look to target the Main Break at depth and conduct infill drilling by wedging off the initial holes. We will provide an update from the two remaining holes currently in progress and as we receive results from Phase 2."
Phase 1a Drilling Program
These additional results are part of a nine (9) hole, approximately 15,000 metre (50,000 foot) drill program designed to follow up on the initial four holes commenced in the summer of 2015 (see News Release dated November 3, 2015). Two of these holes, commenced in 2015, and are still in progress.
Drill holes AB-15-91, AB-15-92 and AB-15-106 (previously reported in the Company's News Release dated November 3, 2015) have now been completed along with two additional drill holes, AB-15-129 and AB-15-131B. All five drill holes were successful in intersecting mineralization within the target area and all but one drill hole intersected visible gold and/or tellurides.
In addition to the previously reported results, drill hole AB-15-91 intersected a weakly altered zone with irregular quartz stringers and visible gold and returned 5.5 g/t (0.16 opt) over a core length of 3.0 metres (9.9 feet) at a down hole depth of 1,996 metres (6,548 feet). Drill hole AB-15-92 intersected quartz veining with visible gold and tellurides and returned 29.5 g/t (0.86 opt) over a core length of 0.3 metres (1.0 feet) at a down hole depth of 1,830 metres (6,003 feet). This intersection is the most easterly gold and telluride bearing intersection to date within the deep mineralized horizon that has been defined by this drill program and now has a strike length of approximately 500 metres (1,620 feet). This intersection is also approximately 730 metres (2,400 feet) east of the SMC as defined by underground drilling, although any relationship to the SMC mineralization is unknown at this time. Drill hole AB-15-106 intersected mineralized quartz veining and returned 28.1 g/t (0.82 opt) over a core length of 0.6 metres (2.0 feet) at a down hole depth of 1,859 metres (6,099 feet). Drill hole AB-15-106 also intersected quartz veining with visible gold and returned 17.8 g/t (0.52 opt) over a core length of 0.4 metres (1.2 feet) at a down hole depth of 1,912 metres (6,274 feet). Drill hole AB-15-129 intersected quartz veining with visible gold and tellurides and returned 10.6 g/t (0.31 opt) over a core length of 0.7 metres (2.4 feet) at a down hole depth of 1,873 metres (6,146 feet). Drill hole AB-15-131B intersected strongly altered mineralized quartz veining and returned 7.9 g/t (0.23 opt) over a core length of 0.5 metres (1.5 feet) at a down hole depth of 1,850 metres (6,071 feet). At the time of this release, not all assay values for drill holes AB-15-129 and AB-15-131B have been returned.
The intersections in the drilling programs described herein are between 400 metres (1,300 feet) and 520 metres (1,700 feet) south of the Main Break and do not appear to be related.
The following figures may be viewed at the Company's website at www.klgold.com.
Figure 1 - long section looking north, showing the location of the regional drilling program relative to the SMC and the historical mines: http://media3.marketwire.com/docs/1039916Image1.jpg
Figure 2 - Cross section looking east, showing the results of the regional drilling completed to date: http://media3.marketwire.com/docs/1039916Image2.jpg
Figure 3 - detailed plan view showing the results of the regional drilling completed to date: http://media3.marketwire.com/docs/1039916Image3.jpg
The following table summarizes the latest surface drilling results and previously released results in metric values:
REGIONAL SURFACE DRILL PROGRAM - Metric Table | ||||||||||||
DRILL | DIP | AZIMUTH | FROM | TO | CORE | ASSAY | ||||||
AB-15-12*1 | -80 | 324 | 96.3 | 97.2 | 0.9 | 5.8 | ||||||
And | -79 | 344 | 1,761.0 | 1,761.3 | 0.3 | 4.1 | ||||||
And | 1,770.1 | 1,770.4 | 0.3 | 11.7, VG, TELL | ||||||||
And | 1,891.9 | 1,897.8 | 5.9 | 1.4 | ||||||||
And | -79 | 349 | 1,952.2 | 1,956.7 | 4.4 | 2.1, VG | ||||||
And | -79 | 354 | 2,010.2 | 2,010.8 | 0.6 | 6.9, VG | ||||||
AB-15-23*1 | -79 | 330 | 542.4 | 543.0 | 0.6 | 24.3 | ||||||
And | 1,100.1 | 1,100.8 | 0.7 | 3,241.4, VG | ||||||||
Including | 1,100.1 | 1,100.4 | 0.3 | 1,413.9, VG | ||||||||
Including | 1,100.4 | 1,100.8 | 0.4 | 4,646.7, VG | ||||||||
And | 1,390.7 | 1,391.7 | 1.0 | 7.5 | ||||||||
And | 1,835.5 | 1,835.8 | 0.3 | 11.7, VG, TELL | ||||||||
AB-15-33*1 | -76 | 322 | 205.7 | 206.7 | 1.0 | 6.2 | ||||||
And | 745.9 | 746.4 | 0.5 | 7.9 | ||||||||
And | 809.6 | 810.2 | 0.6 | 8.2 | ||||||||
AB-15-53*1 | -77 | 334 | 1,560.5 | 1,561.0 | 0.5 | 12.3 | ||||||
AB-15-66*1 | - | - | - | NSV | ||||||||
AB-15-76*1 | - | - | - | NSV | ||||||||
AB-15-91*2 | -78 | 332 | 791.6 | 792.0 | 0.4 | 5.1 | ||||||
And | -77 | 339 | 1,764.4 | 1,765.2 | 0.98 | 646.3, VG TELL | ||||||
Including | 1,764.4 | 1,764.7 | 0.3 | 1,783.2, VG, TELL | ||||||||
And | 1,769.0 | 1,769.3 | 0.3 | 89.5, VG, TELL | ||||||||
And | 1,772.0 | 1,772.4 | 0.4 | 7.5, VG | ||||||||
And | -77 | 341 | 1,994.5 | 1,997.5 | 3.0 | 5.5, VG | ||||||
AB-15-92*2 | -80 | 325 | 1,819.9 | 1,820.4 | 0.5 | 23.3 | ||||||
And | 1,829.6 | 1,829.9 | 0.3 | 29.5, VG, TELL | ||||||||
AB-15-106 | -77 | 325 | 570.6 | 574.1 | 3.5 | 2.4 | ||||||
And | 717.0 | 717.9 | 0.9 | 4.5 | ||||||||
And | 1,834.0 | 1,836.4 | 2.4 | 2.1, VG | ||||||||
And | 1,858.7 | 1,859.3 | 0.6 | 28.1 | ||||||||
Including | 1,859.0 | 1,859.3 | 0.3 | 48.3 | ||||||||
Including | 1,862.3 | 1,862.9 | 0.6 | 9.6 | ||||||||
And | 1,912.3 | 1,912.7 | 0.4 | 17.8, VG | ||||||||
AB-15-129*2 | -80 | 325 | 1,872.9 | 1,873.6 | 0.7 | 10.6, VG, TELL | ||||||
AB-15-131B*2 | -80 | 327 | 1,850.1 | 1,850.6 | 0.5 | 7.9 | ||||||
*1 Previously released hole. |
*2Assay values were incomplete at time of previous release. |
** True widths are unknown at this time. |
*** Assays presented are uncut as not enough information is available to determine a cutting factor. |
VG = Visible Gold; Tell = Tellurides. |
The following table summarizes the latest surface drilling results and previously released results in imperial values:
REGIONAL SURFACE DRILL PROGRAM - Imperial Table | ||||||||||||
DRILL | DIP | AZIMUTH | FROM | TO | CORE | ASSAY | ||||||
AB-15-12*1 | -80 | 324 | 316.0 | 319.0 | 3.0 | 0.17 | ||||||
And | -79 | 344 | 5,777.7 | 5,778.7 | 1.0 | 0.12 | ||||||
And | 5,807.4 | 5,808.4 | 1.0 | 0.34, VG, TELL | ||||||||
And | 6,207.0 | 6,226.3 | 19.3 | 0.04 | ||||||||
And | -79 | 349 | 6,405.0 | 6,419.5 | 14.5 | 0.06, VG | ||||||
And | -79 | 354 | 6,595.2 | 6,597.2 | 2.0 | 0.20, VG | ||||||
AB-15-23*1 | -79 | 330 | 1,779.5 | 1,781.5 | 2.0 | 0.71 | ||||||
And | 3,609.3 | 3,611.6 | 2.3 | 94.54, VG | ||||||||
Including | 3,609.3 | 3,610.3 | 1.0 | 41.24, VG | ||||||||
Including | 3,610.3 | 3,611.6 | 1.3 | 135.53, VG | ||||||||
And | 4,562.8 | 4,565.8 | 3.0 | 0.22 | ||||||||
And | 6,022.0 | 6,023.0 | 1.0 | 0.34, VG, TELL | ||||||||
AB-15-33*1 | -79 | 322 | 675.0 | 678.0 | 3.0 | 0.18 | ||||||
And | -76 | 324 | 2,447.3 | 2,448.8 | 1.5 | 0.23 | ||||||
And | 2,656.2 | 2,658.0 | 1.8 | 0.24 | ||||||||
AB-15-53*1 | -77 | 334 | 5,119.6 | 5,121.3 | 1.7 | 0.36 | ||||||
AB-15-66*1 | - | - | - | NSV | ||||||||
AB-15-76*1 | - | - | - | NSV | ||||||||
AB-15-91*2 | -78 | 332 | 2,597.0 | 2,598.4 | 1.4 | 0.15 | ||||||
And | -77 | 339 | 5,788.6 | 5,791.4 | 2.8 | 18.85, VG, TELL | ||||||
Including | 5,788.6 | 5,789.6 | 1.0 | 52.01, VG, TELL | ||||||||
And | 5,803.8 | 5,804.8 | 1.0 | 2.61, VG, TELL | ||||||||
And | 5,813.6 | 5,814.8 | 1.2 | 0.22, VG | ||||||||
And | -77 | 341 | 6,543.5 | 6,553.4 | 9.9 | 0.16, VG | ||||||
AB-15-92*2 | -80 | 325 | 5,970.7 | 5,972.3 | 1.6 | 0.68 | ||||||
And | 6,002.7 | 6,003.7 | 1.0 | 0.86, VG, TELL | ||||||||
AB-15-106*2 | -77 | 325 | 1,872.2 | 1,883.5 | 11.3 | 0.07 | ||||||
And | -75 | 323 | 2,352.3 | 2,355.3 | 3.0 | 0.13 | ||||||
And | 6,017.0 | 6,025.0 | 8.0 | 0.06, VG | ||||||||
And | 6,098.0 | 6,100.0 | 2.0 | 0.82 | ||||||||
Including | 6,099.0 | 6,100.0 | 1.0 | 1.41 | ||||||||
Including | 6,110.0 | 6,112.0 | 2.0 | 0.28 | ||||||||
And | 6,274.0 | 6,275.2 | 1.2 | 0.52, VG | ||||||||
AB-15-129*2 | -80 | 325 | 6,144.7 | 6,147.2 | 2.4 | 0.31, VG, TELL | ||||||
AB-15-131B*2 | -80 | 327 | 6,070.0 | 6,071.5 | 1.5 | 0.23 | ||||||
*1 Previously released hole. |
*2Assay values were incomplete at time of previous release. |
** True widths are unknown at this time. |
*** Assays presented are uncut as not enough information is available to determine a cutting factor. |
VG = Visible Gold; Tell = Tellurides. |
Qualified Person
The results of the Company's underground diamond drilling program have been reviewed, verified (including sampling, analytical and test data) and compiled by the Company's geological staff under the supervision of Mr. Stewart Carmichael, P.Geo., Manager of Exploration. Mr. Carmichael is the 'qualified person' for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects, of the Canadian Securities Administrators, and has reviewed and approved this news release. As the Manager of Exploration, Mr. Carmichael is not considered independent.
QA/QC Controls
The Company has implemented a quality assurance and control (QA/QC) program to ensure sampling and analysis of all exploration work is conducted in accordance with the best possible practices. The drill core is sawn in half with one half of the core samples shipped to Swastika Laboratories in Swastika, Ontario. The other half of the core is retained for future assay verification. Other QA/QC includes the insertion of blanks, and the regular re-assaying of pulps and rejects at alternate certified labs. Gold analysis is conducted by fire assay using atomic absorption or gravimetric finish. The laboratory re-assays at least 10% of all samples and additional checks may be run on anomalous values.
Readers are cautioned that the potential quantity and grade set out above is conceptual in nature and that there has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource. As well, the very high grade assay results are not necessarily representative of the mineralization hosted in the system.
About the Company
Kirkland Lake Gold Inc. is a gold producer with assets in Kirkland Lake, Northeastern Ontario. Current gold production is in excess of 150,000 ounces per year and is expected to grow to over 180,000 ounces per year in the next three years as exploration and development work continue. The exploration program is aimed at maintaining a property wide reserve and resource base sufficient to sustain a mine life of more than ten years, with the current mine life estimated at between ten to fourteen years of production in a high grade gold camp.
The Company is committed to building a sustainable mining company that is recognized as a safe and responsible gold producer. Kirkland Lake Gold plans to evolve into an intermediate gold mining company centered in the historically robust Kirkland Lake gold camp, while evaluating opportunities for growth in other safe mining jurisdictions.
The Toronto Stock Exchange has neither reviewed nor accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note Regarding Forward Looking Statements
This Press Release contains statements which constitute "forward-looking statements" within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of the Company with respect to the future business activities and operating performance of the Company. The words "may", "would", "could", "should", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, are intended to identify such forward-looking statements. Investors are cautioned that forward-looking statements are based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made such as, without limitation, opinion, assumptions and estimates of management regarding the Company's business, including but not limited to; the 2016 exploration budget for the regional drilling program and the results and timing thereof, and the potential expansion or extension of the SMC. Such opinions, assumptions and estimates, are inherently subject to a variety of risks and uncertainties and other known and unknown factors that could cause actual events or results to differ materially from those projected in the forward-looking
statements. These factors include the Company's expectations in connection with the projects and exploration programs being met, the impact of general business and economic conditions, global liquidity and credit availability on the timing of cash flows and the values of assets and liabilities based on projected future conditions, fluctuating gold prices, currency exchange rates (such as the Canadian dollar versus the United States Dollar), possible variations in ore grade or recovery rates, changes in accounting policies, changes in the Company's corporate mineral reserves and resources, changes in project parameters as plans continue to be refined, changes in project development, construction, production and commissioning time frames, the possibility of project cost overruns or unanticipated costs and expenses, higher prices for fuel, power, labour and other consumables contributing to higher costs and general risks of the mining industry, failure of plant, equipment or processes to operate as anticipated, unexpected changes in mine life, seasonality and unanticipated weather changes, costs and timing of the development of new deposits, success of exploration activities, permitting time lines, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims, and limitations on insurance, as well as those risk factors discussed or referred to in the Company's annual Management's Discussion and Analysis and Annual Information Form for the year ended April 30, 2015, and the Company's Management's Discussion and Analysis for the interim period ended October 31, 2015, filed with the securities regulatory authorities in certain provinces of Canada and available at www.sedar.com.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update these forward-looking statements except as otherwise required by applicable law.
