Business
Klondike Silver Acquires Options to Six Mexican Mineral Concessions
Klondike Silver Acquires Options to Six Mexican Mineral Concessions
About this update from Klondike Silver Corp.
[{"type":"text","content":"Klondike Silver Acquires Options to Six Mexican Mineral Concessions\n\n\n\nKlondike Silver Acquires Options to Six Mexican Mineral Concessions \n\nVancouver, British Columbia CANADA, March 31, 2008 /FSC/ - Klondike Silver Corp. (KS - TSX Venture, KLSVF - OTCBB_Pink_Sheets), (\"Klondike\") is pleased to announce the completion of six option agreements with Kootenay Gold Inc. (\"Kootenay\") (TSXV: KTN) on six of Kootenay's 100% owned mineral concessions in the Sierra Madre Region of Northwest Mexico. Kootenay acquired the six properties through mineral concession staking and a payment of 150,000 shares as a finder's fee. \n\nUnder the terms of each option agreement, Klondike can earn a 50% undivided interest in the mineral concession by incurring or funding a minimum of US$1,000,000 in exploration expenditures in stages over three years and issuing 500,000 shares to Kootenay in stages over two years. In order for Klondike to earn an undivided interest in all six mineral concessions, Klondike must incur or fund minimum exploration expenditures totaling in the aggregate $6,000,000 (US$1,000,000 on each mineral concession) and issue to Kootenay an aggregate of 3,000,000 shares (500,000 shares per mineral concession). The options are subject to Klondike obtaining regulatory approval. \n\nThe six concessions selected by Klondike include two epithermal precious metal settings (Suzanne and Ofelia), three porphyry settings (Los Alamos, Cerro Colorado and Espiritu) and one skarn (Los Chinos). All the prospects have received little or no modern exploration and evidence of old exploration is noted on four of these, by small adits and pits; none have evidence of past drilling. From north to south, these concessions include: \n\n1. Ofelia Epithermal Gold/Silver Prospect \n\nThe Ofelia concession is located some 40-50 km northeast of the village of Huasaba some 250 km east of the city of Hermosillo. Its most eastern part is transected by the main paved Sierra Madre highway. The property is comprised of two concessions totaling about 9,667 hectares. \n\nThe area is underlain by northerly trending, steeply dipping rhyolite, dacites and andesites locally with intense argillic alteration. In the area east of the highway, within a massive to flow banded rhyolite, grabs from veins and stockworks (10 to 200 cm width) of quartz, gave values of gold to ...