Klondike Gold Corp (CVE:KG) (OTCMKTS:KDKGF) reported encouraging drill assays from the Lone Star zone at its giant Klondike district property in Yukon, which extends the known area of mineralization there.
Also in today's statement, the firm said Jasvir Kaloti had been appointed as its chief financial officer to replace Jessica Van Den Akker.
The results come from 36 holes, which were sunk in an area 300 meters (m) wide by 700 m (along strike) east of the known Lone Star mineralized zone.
Highlights included mineralization from surface grading 0.60 grams per ton (g/t) gold over 83 m in one hole, which included an intercept of 1.91 g/t of the yellow metal over 16.5 m.
Another hole hit near-surface mineralization grading 0.69 g/t of gold over 31.40 m, including 1.09 g/t of the precious metal over 17.80 m.
"Mineralization in drill holes reported here extends the known envelope of Lone Star Zone mineralization along the Bonanza Fault for up to 400 meters to the east and provides information for drill targeting further potential expansion in 2020," said Klondike in a statement.
"The program was successful in intersecting broad zones of gold mineralization containing local intervals of high-grade gold.
"The company's latest interpretation, however, suggests the main ‘Lone Star' mineralized horizon has been fault offset slightly south and was untested in 2019 and remains a high priority target for 2020 drilling," the resource group added.
Remaining 2019 drill results from various ancillary targets are pending, the firm added.
The firm also tested one area of channel sampling at the Lone Star Zone last year after seven samples were collected in 2018 from a sub-cropping quartz vein discovery within the Bonanza Fault containing visible gold.
That discovery was 850 m east of the eastern end of the Lone Star Zone, and a trenching program last year exposed the quartz vein discovery along a strike of 24 m.
All channel samples taken last year contained gold. The highest composite assay result was 28.2 g/t gold over 4 m, said Klondike.
The Klondike district project is a huge 586 sq km property accessible by scheduled airline and government-maintained roads located on the outskirts of Dawson City, Yukon.
Shares in Toronto nudged up 1.8% to C$0.28.
Contact the author at firstname.lastname@example.org