, includes the historic Jackson Mine discovered in 1892. Mining continued
until 1955, followed by intermittent operations until 1975.
Trenching is planned to begin in July along with testing those areas of the Jackson Basin believed to
potentially host high-grade silver zones. The main objectives of the 2008 exploration program in the
Jackson Basin Area was to determine the extent of the main vein to the east of the Jackson Mine.
The main lode exploited in the past is believed to extend as far west as the Northern Belle Crown
Grant on the northeast side of the Mt. Payne which is also on the property.
Past programs conducted east of the Jackson Mine have generated encouraging results that revealed
a thick breccia zone with massive sulphides throughout, cross-cut by quartz veins and hosted in a
limestone of the Slocan Group.
About 2.5 meters of the breccia zone is visible in outcrop. Further exploration is required to
determine its orientation and true thickness.
The Company also explored other portions of the Jackson Basin, which revealed potential for highgrade
silver zones that may be further tested in future programs.
The Company is also conducting an underground exploration program focused on the western extent
of the Main Lode hosting the Silvana Mine, the second largest past-producer in the Slocan Silver
Camp. The goal is to define resources that can be mined and processed in the Company’s fully
permitted 100-tonne-per-day flotation mill in the nearby historic town of Sandon. The cash flow
generated from test-mining and custom mining would be used to fund ongoing exploration
programs.
The Company would also like to announce it has arranged a Private Placement for up to 10,000,000
flow-through or non flow-through units priced at $0.06 per unit, for total proceeds of $600,000.
Each unit will consist of either one flow through or one non-flow through common share and one
non-flow through, non-transferable share purchase warrant entitling the holder to purchase one
additional common share for a period of two years at a price of $0.10 per share. In accordance with
Exchange policies, finders' fees may be paid on a portion of the funds raised. The private placement
is subject to regulatory approval. The proceeds of the private placement will be used for exploration
programs, property option payments and general working capital.
The Qualified Person for the purpose of National Instrument 43-101 is Freeman Smith, PGeo, who
has reviewed the technical contents of this news release.
About Klondike Silver:
Klondike Silver Corp. has assembled a quality portfolio of silver properties in historic mineral districts
in North America, and is applying advanced exploration technologies to add value to these core
assets. Klondike Silver is reviving the Gowganda and Elk Lake silver camps in Ontario, and the
world-famous Klondike district of Yukon Territory. The Company owns a 100 TPD fully operational
flotation mill in Sandon, BC, which is currently processing material from one of its Yukon properties
and local mines in the historic Slocan Silver Camp.
Klondike Silver is a member of the Hughes Exploration Group of Companies and is led by a team
with a stellar track record of discovery and development in Canada.
Contact Information:
Corporate Inquiries: Kevin Hull, (604)-685-2222
Email:
info@klondikesilver.com
Or visit Klondike Silver’s web-site:
www.klondikesilver.com
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