Strong Operations At Klondex Mines

 

VANCOUVER, BC - Klondex Mines Ltd. reported first quarter operational results for fiscal year 2015 at its Midas and Fire Creek projects. Klondex tons mined and milled increased 147% and 165%, respectively, over Q12014. Total gold equivalent ounces (GEOs) recovered and sold increased 103% and 639%, respectively, over Q12014.
Paul Andre Huet, Klondex President and CEO commented, "Our team achieved great results in the first quarter of 2015, setting ourselves up for another strong year of production. During the quarter we recovered 32,542 GEOs, and we are on track to realize our 2015 target of 120,000-125,000 GEOs. I'm proud of our team and their results, most of all, their safety. They continue to deliver strong results through safe mining, minimizing dilution, and testing multiple mining methods."
He continued, "The quarter was highlighted by our strong operations, in addition to the release of initial mineral reserves and mine plans for both Fire Creek and Midas properties. These plans demonstrate Fire Creek and Midas as robust operations with flexibility to metal prices. Follow-up drill programs are underway at both properties with the goal to build five year mine plans at our projects."
Klondex remains on track to recover between 120,000-125,000 GEOs in 2015, comprised of approximately 102,000 gold ounces and 1.2 million silver ounces. Klondex is targeting production costs per GEO of $688-750 (US$550- $600) and all-in sustaining costs per GEO of $1,000-1,063 (US$800 - $850).
Klondex owns and operates the Fire Creek Project and Midas Mine and Mill in the mining-friendly jurisdiction of north central Nevada. The 1200 tons per day capacity milling facility is processing mineralized materials from both Midas and Fire Creek. Midas is fully-permitted and has been in operations since 1998. Fire Creek is located ~100 miles south of Midas and is operating an ongoing bulk sampling program that began in 2013.