Gold Corp.
Subject: KG News Release, September 20, 2012
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News Release
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News Release September 20, 2012
FOR IMMEDIATE RELEASE: September 20, 2012
TSX.V: KG
Klondike Gold Samples 47.4 g/t Gold and 894 g/t Silver along the Violet Vein Trend
Vancouver, BC; KLONDIKE GOLD CORP. (TSX-V: KG) is pleased to announce encouraging
results for the Violet Vein trend, 310 Zone, and recently discovered Boy Zone soil
anomaly ( see Figure 1 below). These results in conjunction with Boulder Lode open
cut results will direct 2013 exploration and drilling.
2012 Exploration Highlights
* Violet grab samples of 41.25 g/t Au with 524 g/t Ag and 47.4 g/t Au with 894 g/t
Ag (fire assay)
* Violet Vein trend advancement towards and beyond the 310 zone, 4 km to the northwest
* New 'Boy Zone' 400 x 900 meter open-ended soil anomaly
Figure 1: Lone Star Property
Klondike Gold's 2012 Violet exploration program focused on prospecting, rock sampling,
and soil sample lines to better define the mineralisation of the Violet trend associated
with the historic Violet Mine. Two selected grab samples from the Violet ore pile
ran 41.25 g/t Au with 524 g/t Ag and 47.4 g/t Au with 894 g/t Ag (30 gram fire assay)
giving evidence of higher grade material in agreement with historical reported samples
of up to 131.6 g/t Au in surface sampling (Source: Yukon MINFILE 115O 073) and also
suggesting a strong nugget effect. These results are significant as infrequent work
from 1980 to 2008 did not produce high grade results to drive further exploration
although the possibility of a four plus kilometer extent of the Violet vein system
was recognized in the direction of the 310 Zone to the northwest. Remapping of the
1990 trench 90TRV01 showed that mineralisation is hosted in quartz veins and the
immediately peripheral altered orthogneiss wall rock and that not all veins are
equally mineralised. The highest sample in the trench was in a quartz vein directly
on strike with the Violet mine which ran 6.23 g/t Au over 70 cm. The thickness of
the quartz vein in the trench intersection cannot be extrapolated to represent the
vein as a whole as all veins in the trench showed significant pinch and swell or
"blow" characteristics. Historical unmarked pits were discovered and sampled while
following the surface expression of the Violet veins as far as 1.1 kilometers to
the northwest. Surface rock sample results are pending.
Soil sampling of the Violet shows a gold anomaly (20 to 100 ppb Au) in the two northwestern
most lines that trend with the 310 zone 2.1 kilometers to the northwest. The 310
zone shows significant past results by previous operator Klondike Star from intersecting
trenches 05TR13 and 05TR14 with an average grade of 1.7 g/t Au over 18 meters including
4.1 g/t Au over 6 meters along the trend of the vein, which is between one and two
meters true width at this location (NI 43-101 Technical Report filed with SEDAR
December 16, 2011). Rock sampling to prospect along the 310 zone to Violet trend
was conducted in early September. This investigation showed historical unmarked
pits from the early 1900s as far south as the northwest Violet soil sample lines
in the area of the soil anomaly. The pits provided access to bedrock samples along
this mineralised trend, assay results are pending. The rock samples show quartz
veining and stockworking with common pyrite and limonite with local galena, chalcopyrite,
and barite. The staking of additional claims was conducted in August to protect
the Violet to 310 zone trend. Violets to 310 zone trend results are displayed in
Figure 2 below.
Figure 2: Violet Trend Map
The newly discovered Boy Zone at the headwaters of Little Blanche creek was soil
sampled by contractor Ground Truth Exploration Inc. Boy Zone results show a strong
north-south trending anomaly with a width of approximately 400 meters and a length
of 900 meters
(Figure 3) which is open to extension at either end. The anomaly shows an average
26.2 ppb Au over 108 samples with a spot high of 153.2 ppb Au, while all 524 samples
in the dataset averaged 9.2 ppb Au. Initial site investigation shows lithological
control on the gold occurrence and mineralised quartz veining in the area of the
anomaly. Rock samples from limited outcrop, sub crop, and abundant float have been
collected with results pending. Fine visible gold was observed from panned crushed
quartz in the stream bed down slope of the anomaly and there are significant placer
gold occurrences with active placer mining on Little Blanche creek. The Boy Zone
warrants trenching at the north end of the soil anomaly on an easily accessible
ridge crest and is a high priority target for RC exploration drilling.
Figure 3: Boy Soil Anomaly
The 2012 summer exploration season was successful in advancing confidence in gold
mineralisation of the Lone Star property to a level where solid drill targets are
ready for the 2013 season.
President and CEO Erich Rauguth commented on recent result at the Lone Star: "What
is important to understand is that across the 135 square kilometer area of the Lone
Star Property there is genuine potential. There is already in excess of ten million
ounces of placer gold production from the Klondike goldfields, much of it derived
from the Lone Star property's hard rock sources."
Drill targets at Lone Star include:
* Violet Mine area with recent select grab samples of up to 47.4 g/t Au and 894
g/t Ag
* 310 Zone
* 310 Zone to Violet soil anomaly in the area of Nugget gulch
* Boulder Lode down dip extension (Press Release: September 5, 2012, Klondike Gold
Advances Lone Star Property)
* Boulder Lode Structural contour high grade areas (Press Release: September 5,
2012, Klondike Gold Advances Lone Star Property)
* Nugget Zone and extension in the direction of the Buckland mineralised veins (Press
Release: September 5, 2012, Klondike Gold Advances Lone Star Property)
* The new Boy Zone Soil anomaly
T. Liverton, PhD., C. Geol, F.G.S. is the qualified person (QP) for the purposes
of this News Release.
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About Klondike Gold Corp.
Klondike Gold Corp. is a Canadian exploration company with offices in Vancouver,
British Columbia and Dawson City, Yukon. The Company is focused on the development
of its Yukon and British Columbia gold properties. In addition the Company holds
a large portfolio of base metal projects in southeastern British Columbia.
CONTACT INFORMATION
Inquiries: Robert A. Young 604-685-2222 (Ext 398)
Email: info@klondikegoldcorp.com
or
Erich Rauguth, President & CEO 604-685-2222
www.klondikegoldcorp.com [http://r20.rs6.net/tn.jsp?e=001G9iiCX25EOJ4hLAJkCsmk54hSDgfunH1h36_nGtY_4_Q_wjB1T-NWq3rokjKN
--->Gx1r9o7bETEDRFf5zVOOFGVuvj8NB2hdTqjzkcoLGIohs1JkYEPr5xXuQ==]
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Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this press release. Statements in this press release,
other than purely historical information, including statements relating to the Company's
future plans and objectives or expected results, may include forward-looking statements.
Forward-looking statements are based on numerous assumptions and are subject to
all of the risks and uncertainties inherent in resource exploration and development.
As a result, actual results may vary materially from those described in the forward-looking
statements.
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--->font-family:Times New Roman,Times,serif;font-size:12pt;text-align: left;" bgcolor="#808080" rowspan="1" colspan="1" al
--->ign="left">News Release September 20, 2012<br /></td></tr><tr><td style="color:#214352;font-family:Arial,Helvetica,san
--->s-serif;font-size:10pt;text-align: left;" rowspan="1" colspan="1" align="left">
<div style="text-align: center;" align="center"><br /><table><tr><td rowspan="1" colspan="1">
<p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span>FOR IMMEDIATE RELEASE: Se
--->ptember 20, 2012 </span></p>
</td><td rowspan="1" colspan="1">
<p style="margin-top: 0px; margin-bottom: 0px;"><span>TSX.V: KG</span></p>
</td></tr></table><p style="margin-top: 0px; margin-bottom: 0px;"><strong> </strong></p><p style="margin-top: 0px
--->; margin-bottom: 0px; text-align: left;" align="left"><strong>Klondike Gold Samples 47.4 g/t Gold and 894 g/t Silver a
--->long the Violet Vein Trend</strong></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left">
---><span> </span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span>Vancouver,
---> BC; KLONDIKE GOLD CORP. </span><span>(TSX-V: KG) is pleased to announce encouraging results for the Violet Vein trend
--->, 310 Zone, and recently discovered Boy Zone soil anomaly ( see Figure 1 below). These results in conjunction with Bou
--->lder Lode open cut results will direct 2013 exploration and drilling. </span></p><p style="margin-top: 0px; marg
--->in-bottom: 0px; text-align: left;" align="left"><span> </span></p><p style="margin-top: 0px; margin-bottom: 0px;
--->text-align: left;" align="left"><span>2012 Exploration Highlights</span></p><ul style="text-align: left;" align="left"
--->><li><span>Violet grab samples of 41.25 g/t Au with 524 g/t Ag and 47.4 g/t Au with 894 g/t Ag (fire assay) </span></l
--->i><li><span>Violet Vein trend advancement towards and beyond the 310 zone, 4 km to the northwest</span></li><li><span>
--->New 'Boy Zone' 400 x 900 meter open-ended soil anomaly</span></li></ul><p style="margin-top: 0px; margin-bottom: 0px;
--->text-align: left; font-size: 9pt;" align="left"><em>Figure 1: Lone Star Property</em></p><p style="margin-top: 0px; ma
--->rgin-bottom: 0px; text-align: left;" align="left"><img vspace="5" border="0" name="ACCOUNT.IMAGE.53" hspace="5" width=
--->"402" alt="Lonestar Property-Zones-LowRes.jpg" src="http://ih.constantcontact.com/fs087/1109893357555/img/53.jpg"> &nb
--->sp;<span> </span></img></p><p style="margin-top: 0px; margin-bottom: 0px;"> <span> </span></p><p style
--->="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span>Klondike Gold's 2012 Violet exploration p
--->rogram focused on prospecting, rock sampling, and soil sample lines to better define the mineralisation of the Violet
--->trend associated with the historic Violet Mine. Two selected grab samples from the Violet ore pile ran 41.25 g/t Au wi
--->th 524 g/t Ag and 47.4 g/t Au with 894 g/t Ag (30 gram fire assay) giving evidence of higher grade material in agreeme
--->nt with historical reported samples of up to 131.6 g/t Au in surface sampling (Source: Yukon <span>MINFILE </span>115O
---> 073) and also suggesting a strong nugget effect. These results are significant as infrequent work from 1980 to 2008 d
--->id not produce high grade results to drive further exploration although the possibility of a four plus kilometer exten
--->t of the Violet vein system was recognized in the direction of the 310 Zone to the northwest. Remapping of the 1990 tr
--->ench 90TRV01 showed that mineralisation is hosted in quartz veins and the immediately peripheral altered orthogneiss w
--->all rock and that not all veins are equally mineralised. The highest sample in the trench was in a quartz vein directl
--->y on strike with the Violet mine which ran 6.23 g/t Au over 70 cm. The thickness of the quartz vein in the trench inte
--->rsection cannot be extrapolated to represent the vein as a whole as all veins in the trench showed significant pinch a
--->nd swell or "blow" characteristics. Historical unmarked pits were discovered and sampled while following the surface e
--->xpression of the Violet veins as far as 1.1 kilometers to the northwest. Surface rock sample results are pending. &nbs
--->p; </span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span> </
--->span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span>Soil sampling of the Vio
--->let shows a gold anomaly (20 to 100 ppb Au) in the two northwestern most lines that trend with the 310 zone 2.1 kilome
--->ters to the northwest. The 310 zone shows significant past results by previous operator Klondike Star from intersectin
--->g trenches 05TR13 and 05TR14 with an average grade of 1.7 g/t Au over 18 meters including 4.1 g/t Au over 6 meters alo
--->ng the trend of the vein, which is between one and two meters true width at this location</span><span> (NI 43-101 Tech
--->nical Report filed with SEDAR December 16, 2011).</span><span> Rock sampling to prospect along the 310 zone to Violet
--->trend was conducted in early September. This investigation showed historical unmarked pits from the early 1900s as far
---> south as the northwest Violet soil sample lines in the area of the soil anomaly. The pits provided access to bedrock
--->samples along this mineralised trend, assay results are pending. The rock samples show quartz veining and stockworking
---> with common pyrite and limonite with local galena, chalcopyrite, and barite. The staking of additional claims was con
--->ducted in August to protect the Violet to 310 zone trend. Violets to 310 zone trend results are displayed in Figure 2
--->below.</span></p><p style="margin-top: 0px; margin-bottom: 0px;"> </p> <p style="margin-top: 0px; margin-bot
--->tom: 0px; text-align: left; font-size: 9pt;" align="left"><em>Figure 2: Violet Trend Map </em></p><p style
--->="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><img vspace="5" border="0" name="ACCOUNT.IMAGE.
--->54" hspace="5" width="402" alt="Violet Au ppb Soils-LowRes.jpg" src="http://ih.constantcontact.com/fs087/1109893357555
--->/img/54.jpg"> </img></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"> <sp
--->an>The newly discovered Boy Zone at the headwaters of Little Blanche creek was soil sampled by contractor Ground Truth
---> Exploration Inc. Boy Zone results show a strong north-south trending anomaly with a width of approximately 400 meters
---> and a length of 900 meters </span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="
--->left"><span>(Figure 3) which is open to extension at either end. The anomaly shows an average 26.2 ppb Au over 108 sam
--->ples with a spot high of 153.2 ppb Au, while all 524 samples in the dataset averaged 9.2 ppb Au. Initial site investig
--->ation shows lithological control on the gold occurrence and mineralised quartz veining in the area of the anomaly. Roc
--->k samples from limited outcrop, sub crop, and abundant float have been collected with results pending. Fine visible go
--->ld was observed from panned crushed quartz in the stream bed down slope of the anomaly and there are significant place
--->r gold occurrences with active placer mining on Little Blanche creek. The Boy Zone warrants trenching at the north end
---> of the soil anomaly on an easily accessible ridge crest and is a high priority target for RC exploration drilling. &n
--->bsp; </span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"> <span>  
--->;</span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span> </span></p><p s
--->tyle="margin-top: 0px; margin-bottom: 0px; text-align: left; font-size: 9pt;" align="left"><em>Figure 3: Boy Soil Anom
--->aly </em></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><img vspace="5
--->" border="0" name="ACCOUNT.IMAGE.55" hspace="5" width="402" alt="Boy Soils-LowRes.jpg" src="http://ih..constantcontact
--->.com/fs087/1109893357555/img/55.jpg"> </img></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;
--->" align="left"> <span> </span></p><p style="margin-top: 0px; margin-bottom: 0px; text-align: left;" align="l
--->eft"> <span>The 2012 summer exploration season was successful in advancing confidence in gold mineralisation of t
--->he Lone Star property to a level where solid drill targets are ready for the 2013 season. </span></p><p style="m
--->argin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span> </span></p><p style="margin-top: 0px;
--->margin-bottom: 0px; text-align: left;" align="left"><span>President and CEO Erich Rauguth commented on recent result a
--->t the Lone Star: <em>"What is important to understand is that across the 135 square kilometer area of the Lone Star Pr
--->operty there is genuine potential. There is already in excess of ten million ounces of placer gold production from the
---> Klondike goldfields, much of it derived from the Lone Star property's hard rock sources."</em></span></p><p style="ma
--->rgin-top: 0px; margin-bottom: 0px; text-align: left;" align="left"><span> </span></p><p style="margin-top: 0px; m
--->argin-bottom: 0px; text-align: left;" align="left"><span>Drill targets at Lone Star include: </span></p><ul style="tex
--->t-align: left;" align="left"><li><span>Violet Mine area with recent select grab samples of up to 47.4 g/t Au and 894 g
--->/t Ag</span></li><li><span>310 Zone</span></li><li><span>310 Zone to Violet soil anomaly in the area of Nugget gulch</
--->span></li><li><span>Boulder Lode down dip extension (Press Release: September 5, 2012, Klondike Gold Advances Lone Sta
--->r Property)</span></li><li><span>Boulder Lode Structural contour high grade areas (Press Release: September 5, 2012, K
--->londike Gold Advances Lone Star Property)</span></li><li><span>Nugget Zone and extension in the direction of the Buckl
--->and mineralised veins (Press Release: September 5, 2012, <em>Klondike Gold Advances Lone Star Property</em>)</span></l
--->i><li><span>The new Boy Zone Soil anomaly</span></li></ul><p style="margin-top: 0px; margin-bottom: 0px; text-align: l
--->eft;" align="left"><span><br /> T. Liverton, PhD., C. Geol, F.G.S. is the qualified person (QP) for the purposes of th
--->is News Release.</span> </p></div>
<br /><br /><br /></td></tr></table><a name="LETTER.BLOCK25"></a><table style="margin-bottom:5px;display: table;" bord
--->er="0" width="100%" cellspacing="0" cellpadding="5" id="content_LETTER.BLOCK25"><tr><td style="background-color:#80808
--->0;color:#F0F0F0;font-family:Times New Roman,Times,serif;font-size:12pt;text-align: left;" bgcolor="#808080" rowspan="1
--->" colspan="1" align="left"><strong>About Klondike Gold Corp.</strong><br /></td></tr><tr><td style="color:#214352;font
--->-family:Arial,Helvetica,sans-serif;font-size:10pt;text-align: left;" rowspan="1" colspan="1" align="left">
<div style="text-align: center;" align="center"> <br /></div>
Klondike Gold Corp. is a Canadian exploration company with offices in Vancouver, British Columbia and Dawson City, Yuk
--->on. The Company is focused on the development of its Yukon and British Columbia gold properties. In addition the Compa
--->ny holds a large portfolio of base metal projects in southeastern British Columbia.<br /><br /><br />CONTACT INFORMATI
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