Klondike Silver Closes First Tranche Private Placement
September 11, 2015 - VANCOUVER, Canada – Further to the news release dated September 3, 2015, Klondike Silver Corp. (the “Company”) (TSX.V: KS) is pleased to announce that it has completed the first tranche of a non-brokered private placement raising gross proceeds of $360,750 by the issuance of 14,430,000 units at a price of $0.025 per unit. Each unit will consist of one common share and one non-transferable share purchase warrant, with each warrant exercisable for a period of four years from the closing at a price of $0.07 per share.
The Company paid a finder’s fee of 8% cash on a portion of the gross proceeds. All securities issued pursuant to the private placement are subject to a four month hold period as required under applicable securities laws.
The private placement proceeds were dedicated to funding ongoing engineering work performed by Golder Associates Ltd. at the Company’s Sandon Mill site, located in the Kootenays, BC, for general working capital and for paying debt.
The Company’s priority project is the Slocan Silver Camp, located at Sandon in the West Kootenay Region of Southern British Columbia. The main focus of the project is the Main Lode structure which is approximately eight kilometers in length. The Main Lode has hosted the majority of the most productive mines in the Slocan Silver Camp. Although there have been many producing mines along the Main Lode structure there are numerous areas along the structure that are under explored. The Company’s view is that there is potential to find additional mineralization in these under explored areas of the Main Lode.
Our current focus is to continue working with the engineering company Golder Associates Ltd. and the Ministry of Energy and Mines to remain compliant so we may continue to explore the Main Lode and many of the other targets that we are eager to test.
For additional information please visit the company website www.klondikesilver.com.
CONTACT INFORMATION
Corporate Inquiries:
Dale Dobson: (604) 682.2928 Email: [email protected]
On Behalf of the Board of Directors
Klondike Silver Corp.
"Thomas Kennedy"
Thomas Kennedy
CEO, President and Director
“Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
Suite 804 – 750 West Pender Street T: 604.682.2928 Vancouver, B.C., V6C 2T7 Canada F: 604.685.6905 www.KlondikeSilver.com TSXV: KS / FSE: K1SN Cautionary note:
This report contains forward looking statements. Resource estimates, unless specifically noted, are considered speculative. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. The production rate and mine-life projections have been made without support of a feasibility study, there is no certainty the proposed operations will be economically viable. By their nature, forward looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.