Klondex Mines Ltd. (TSX:KDX,OTCQX:KLNDF) announced results from the metallurgical sampling program: 682 tons of mineralized material at an average grade of 73.8 g/t (2.15 opt) Au was the yield during the month of May.
As quoted in the press release:
Current sampling is within a high-grade zone of the Joyce structure, and as a result, Klondex will ship the material collected in May for direct smelting rather than processing it through a conventional milling facility. The company will begin shipping to Jerritt Canyon later this year, as planned.
Klondex Mines President and CEO Paul Huet said:
This is a pivotal year for Klondex as we transition from an exploration and development company into initial production via bulk sampling. Any cash flow received from metallurgical and bulk sampling will be used for future development and core drilling as we continue to expand our understanding of the deposit. With excellent dilution management and geological controls, the grades from exploration sampling in the 5370 crosscut are exceeding our expectations.