« Previous | Next » | All Messages |  KDSM Message Board Home | recommend post |  Ignore Poster

Klondike Star Intersects 1.54 g/t Gold Over 15.2m at the Pioneer Zone

A five hole percussion drilling program totaling 455.7m/1495 feet was conducted in August and September 2007 at the Pioneer zone, which lies about 500m/1640 feet southeast of the Lone Star zone and is thought to be an extension of that mineralized zone. This is the first drilling by Klondike Star that has targeted the Pioneer zone, site of the former Pioneer workings. The zone has previously been explored by shafts and an adit driven circa 1911, by trenching, bulk sampling and sparse drilling by previous operators. Mineralization has been identified within a northerly trending area roughly 600m by 200m (2000 feet by 650 feet), however this area is open in all directions. The intersection of the Pioneer trend and the northwesterly Lone Star trend is thought to be a particularly favourable target, as seen in holes 4 & 5 in the table below.

Flinn said, "The 2007 drilling results are significant as four substantial target zones have now been proven up -- Lone Star, Nugget, Buckland, and now Pioneer -- demonstrating significant gold mineralization and resource potential; and a fifth zone, the JF, is drill ready for 2008. These findings add to Klondike Star's confidence in confirming large, medium-grade, bulk-tonnage ore bodies for development."

The Pioneer zone is geologically similar to the Lone Star zone, but is cut by a northerly trending late stage quartz-feldspar porphyry dyke. Determining the distribution of gold and geological controls on mineralization are challenging in this area due to complex geology and poor outcrop exposure. An IP geophysical survey was conducted here in 2006, and the 2007 drill program partially followed up on anomalies generated by this work.

Holes were drilled in a 550m/1800 feet wide northerly fence along the zone near the center of its trend. The two northernmost holes, 4 & 5 tested a subtle chargeability anomaly target identified by the geophysical contractor, within a corridor along the trend of the Lone Star zone. This area is now considered to be a high priority target, as both holes intersected highly anomalous gold values over their entire widths, with narrower intervals of higher grade. Highlights of the drilling in this area include 0.32 g/t gold over 76.2m/250 feet, including 1.54 g/t over 15.24m/50 feet (with a maximum value of 7.4 g/t over 1.5m/5 feet) in hole 07PZ-5. Of note, the last interval in this hole returned 1.48 g/t gold over 1.52m/5 feet, indicating high untested potential at depth.

The highest potential IP chargeability anomalies in the Pioneer - Lone Star East area have not been drilled yet, however, progress has been made in developing access trails into these areas. The collapsed portal to the 1911 Pioneer adit has been excavated to solid rock, and rehabilitation of this adit is being considered. The mine workings were driven to explore a narrow quartz vein bearing visible gold which is exposed near the portal. There are no surviving records of the historical work conducted underground at the Pioneer mine, though the adit is thought to extend at least 150m/500 feet into the hillside.

Lone Star Zone

A detailed, systematic program of geological mapping at the Lone Star zone, along with relogging of drill core has resulted in a greatly improved geological map and set of cross-sections. This geological work has identified subtle marker horizons which allow the modeling and reinterpretation of complex geological structures in the area, which has resulted in the identification of several new very high potential drill targets within the existing resource area.

A series of short drill holes along the newly identified southeasterly edge of the deposit is the highest priority. Areas where the host horizon dips steeply and extends beyond the depth of current drilling have also been identified, providing an excellent target for deep drilling. The deepest holes in the Lone Star zone extend to about 175m/574 feet depth, and the favorable strata are projected to a depth of about 300 m/1000 feet where they are thought to intersect a major thrust fault. This thrust fault may be significant in the localization of gold mineralization. The Lone Star zone is also open along trend in both directions, with the southeasterly trend towards the Pioneer zone the highest priority. The plan for 2008 is to assess the area between the Pioneer and Lone Star zones by further drilling in 2008 building on the substantial progress in geological modeling at Lone Star enabling efficient drilling to increase known resources.

ASSAY TABLE            Total      From       To      Interval      GOLD
HOLE No.        DIP   DEPTH (m)    (m)       (m)      (m) *     grams/tonne
---------------------------------------------------------------------------
                    PIONEER ZONE - Percussion Drill Holes
---------------------------------------------------------------------------
07PZ-1          -90      97.5     4.57      12.19      7.62        0.18
07PZ-2          -90     106.7     4.57      24.38     19.81        0.36
    including                    12.19      13.72      1.53        2.13
07PZ-3          -90      79.3        -          -         -         nsv
07PZ-4          -90      91.4     3.05      91.44     88.39        0.11
    including                    51.82      53.34      1.52        1.03
07PZ-5          -90      80.8     4.57      80.77     76.20        0.32
    including                    19.81      35.05     15.24        1.54
    including                    24.38      25.91      1.53        7.40
    including                    76.20      77.72      1.52        2.21

nsv = no significant values    * = core length, true width to be determined

Percussion drill cuttings are collected by the geological staff at the drill, and divided by riffle splitter at the core shack. A representative split is bagged, sealed and shipped via surface freight to the Whitehorse preparatory facility of Eco Tech Analytical Laboratories Ltd. of Kamloops, B.C., an ISO 9001 accredited facility, where the cuttings are dried and crushed. Sample splits are sent to the Kamloops laboratory where they are analyzed for gold by metallic sieve fire assay. The majority of each cuttings sample is stored at the core shack on site for future examination. A sample of each interval of cuttings is logged by the geological staff.

About the Lone Star Project

Lone Star is an advanced exploration stage project that is being studied for mine development. Of all its projects, Klondike Star is currently focusing exploration efforts at the majority-owned Lone Star Project. It is comprised of 1,056 mineral claims and crown grants involving an area of 152 square kilometres (or 58.7 square miles) including the Lone Star Zone, the Nugget Zone, the Buckland Zone, the JF zone, the Pioneer Zone and the 27-Pup-Dysle-Veronika Zone. These zones extend over large areas with excellent opportunity for the existence of multiple mineralized zones, along both strike and dip. They belong to a class of structures which have potential for large, medium-grade, bulk-tonnage ore bodies.

The statements in the press release that relate to the company's expectations with regard to the future impact on the company's results from new products or actions in development are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. The statements in this document may also contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Since this information may contain statements that involve risk and uncertainties and are subject to change at any time, the company's actual results may differ materially from expected results.