Kirkland Lake Gold Ltd.: Exhibit 99.1 - Filed by newsfilecorp.com
KIRKLAND LAKE GOLD REPORTS WIDE,
HIGH-VALUE GOLD INTERCEPTS AT SWAN ZONE UP TO 200 METRES FROM CURRENT MINERAL
RESERVES
Infill drilling at Swan Zone (Swan)
continues to return intercepts with extremely high grades, substantial widths and visible gold
➢
Key intercepts:
289 g/t Au over 7.45 m (ETW 6.0 m);
155 g/t Au over 11.9 m (ETW 9.9 m);
423 g/t Au over 3.55 m (ETW 3.2 m);
215 g/t Au over 7.2 m (ETW 5.9m); and
353 g/t Au over 4.0 m (ETW 3.4 m)
High-grade, visible-gold bearing Swan
mineralization intersected 200 m downplunge of current Mineral
Reserves
➢
Key intercept:
83.1 g/t Au over 8.6 m (ETW 6.8 m)
Significant growth in Swan Mineral Reserves
expected in Fostervilles December 31, 2018 Mineral Reserve and Mineral Resource estimates.
Abbreviations include: g/t Au: grams
per tonne gold; m: metres; ETW: estimated true widths
Toronto, Ontario September 19, 2018 - Kirkland Lake Gold
Ltd. (Kirkland Lake Goldor the Company) (TSX:KL) (NYSE:KL)
(ASX:KLA) today announced new high-grade results from the ongoing underground
drilling programs at the Fosterville Mine in Victoria, Australia. Underground
drilling continues to target down-plunge extensions of Swan Mineral Reserves
with results providing confirmation of the geological model and continuity of
high-grade, visible-gold bearing mineralization on the Swan structure.
Results from 19 new drill holes, totaling 6,482 m, outside of
the December 31, 2017 Measured and Indicated Mineral Resources in the Swan Zone
continue to return intervals of exceptionally high grades with visible gold. The
drilling demonstrates that high-grade, visible-gold bearing quartz veins extend
at least 200 m down-plunge from current Mineral Reserves.
Tony Makuch, President and CEO of Kirkland Lake Gold,
commented: We are quickly establishing Fosterville as a new, world-class gold
camp, with the new drill results at Swan being the latest indication that there
is much more to be found in terms of Mineral Reserves and Mineral Resources.
Todays intercepts confirm earlier drill results that demonstrated strong
continuity of high-grade, visible-gold bearing Swan mineralization over 100 m
down plunge from existing Mineral Reserves. They also include the intersection
of high-grade Swan mineralization an additional 100 m down plunge, creating a
potential 200 m envelope of exceptionally high-grade mineralization over
substantial widths, with visible gold, which will drive future Mineral Reserve
growth. With the new results, we are increasingly confident that our upcoming
December 31, 2018 Mineral Reserve and Mineral Resource estimates will include a
considerable increase in Mineral Reserves in the Swan Zone and a higher overall
average grade and increased Mineral Reserve base for the Fosterville Mine as a
whole.
In addition, there are many more targets to be explored at
Fosterville, in the Lower Phoenix Gold System, as well as at Harrier South,
Robbins Hill and through our regional Large Ore Deposit Exploration or LODE
program. At Lower Phoenix South, we are following up on drilling earlier this
year that intersected mineralization 750 m down plunge of the current Swan
Mineral Resources. Work is also continuing to assess the new mineralized
structure, called Cygnet, which runs parallel to Swan, and was first announced
in July. We will also soon commence deep drilling from a new exploration drift
at Harrier South, where we have seen a trend towards increasing grades with
visible gold in quartz-carbonate veins at depth, comparable to the well
documented progression to higher grades at Lower Phoenix. At Robbins Hill, we
reported the intersection of visible-gold bearing quartz veins earlier in the
year and have two surface drills working to further extend this
highly-prospective mineralization, while a variety of exploration techniques are
being used to explore multiple other targets in the surrounding area.
1
Swan Mineralized Zone Drilling Program
Results from the ongoing underground resource drilling program
at the Swan Zone continue to demonstrate high-grade continuity down plunge from
current Mineral Reserves.
High-Grade, Visible-Gold Bearing Intercepts Include:
289 g/t Au over 7.45 m (ETW 6.0 m), including 2,857 g/t
Au over 0.75m (ETW 0.6 m) in hole UDH2551;
155 g/t Au over 11.9 m (ETW 9.9 m), including 1,566 g/t
Au over 1.1m (ETW 0.9 m) in UDH2584A;
423 g/t Au over 3.55 m (ETW 3.2 m), including 760 g/t Au
over 1.95m (ETW 1.8 m) in UDH2555;
215 g/t Au over 7.2 m (ETW 5.9 m), including 846 g/t Au
over 1.55m (ETW 1.3 m) in UDH2590; and
353 g/t Au over 4.0 m (ETW 3.4 m), including 3,740 g/t Au
over 0.35m (ETW 0.3 m) in UDH2552.
All drill results are presented in Table1and
all drill collars are listed in Table 2.
Since the July 31, 2018 Kirkland Lake Gold News Release,
underground diamond drilling in the Swan Zone has continued to return
encouraging results down-plunge from current Mineral Reserves (Figure 1).
Reported drill results are from 19 holes (6,482 m), of which 12 contain
visible-gold mineralization with nine intervals of greater than 100 gram-metres
and five intervals of greater than 1,000 gram-metres (i.e. gold grade x
estimated true width) (Figure 2). All reported drill results are outside the
December 31, 2017 Measured and Indicated Mineral Resources and highlight the
continued significant Mineral Reserve growth potential of Swan.
Continued infill drilling into the December 31, 2017 Inferred
Swan Mineral Resource has confirmed the strong continuity of high-grade,
visible-gold bearing mineralization to a distance of up to 100 m down-plunge of
Mineral Reserves. Two 1,000 gram-metre intercepts, 155 g/t Au over 11.9 m (ETW
9.9 m) from UDH2584A and 289 g/t Au over 7.45 m (ETW 6.0 m) from UDH2551, are
located 100 m and 80 m down plunge from Mineral Reserves, respectively.
Previously drilling identified high-grade (>30 gram-metres),
visible-gold bearing mineralization down plunge to 6230mN in hole UDE158
(November 7, 2017 Kirkland Lake Gold News Release). The intercept from UDH2494
of 83.1 g/t Au over 8.6 m (ETW 6.8 m), released today, demonstrates that
exceptionally high-grade, visible-gold bearing mineralization (>100
gram-metres) extends at least 200 m down-plunge of Mineral Reserves to the
6175mN northing and remains open for further extension.
Swan Footwall Splay
Infill drilling and ongoing interpretation of Swan has
identified a mineralized footwall splay fault, named the Swan Footwall Splay
(Figure 3). The fault emanates from and branches off the Swan Fault at
approximately 6400mN and 4000mRL. The interpreted synthetic fault dips
marginally steeper than the Swan structure at approximately 50° and has been
defined down to the 3825mRL at a maximum separation distance of 20 m from the
Swan Fault. Gold grades are highest on this structure immediately footwall to
the Swan Fault.
Key Gold Intercepts:
24.0 g/t Au(1)over 2.6 m (ETW 2.2 m) in hole
UDH2555; and
8.1 g/t Au over 3.5 m (ETW 3.1 m) in hole UDH2552
(1) Visible gold drill intercept
Over the remainder of 2018, infill drilling from the Phoenix
4190 m drill platform will continue to target the December 31, 2017 Inferred
Swan Mineral Resource down plunge of Mineral Reserves. It is anticipated that
drill results will be returned from intercepts spaced at a nominal 25m x 25m
separation to an approximate depth of 3900mRL and northing 6200mN on the Swan
structure. This drill coverage is expected to be sufficient to support
conversion to an Indicated Mineral Resource category and enable a Mineral
Reserve evaluation to be completed in time for inclusion in the December 31,
2018 Mineral Reserve and Mineral Resource estimates.
2
Qualified Persons
Troy Fuller, MAIG, Geology Manager, Fosterville Gold Mine, is a
"qualified person" as such term is defined in National Instrument 43-101 and has
reviewed and approved the technical information and data included in this News
Release.
Drilling and Underground Sampling Assay QAQC
Kirkland Lake Gold has in place quality-control systems to
ensure best practice in drilling, sampling and analysis of drill core. All
diamond drill hole collars (Table 2) are accurately surveyed using a Leica TS16
Total Station instrument and down-hole deviations are measured by electronic
multi-shot cameras.
Sampling consisted of diamond drill core that was either full
core or half core sampled. Half core samples were cut longitudinally in half
with a diamond saw; one-half of the drill core was sent to an independent
laboratory for analysis and the other drill core half retained for reference.Sample pulps are returned from the assay laboratory for reference and future
geological or metallurgical studies. Drill core sample intervals vary between
0.3 and 1.2m in length and were determined from logging of sulfide and visible
gold to geological boundaries.
Samples containing visible-gold or considered likely to contain
visible-gold were separated from sulfide gold samples and dispatched
independently for assaying. At the laboratory visible-gold jobs were processed
through a single pulverizer and material barren of gold (quartz wash) was
crushed before and after each sample to minimize the potential for gold to
contaminate successive samples.
Assay results are based on 25-gram charge fire assays. Mean
grades are calculated using a variable lower grade cut-off (generally 2 g/t Au)
and maximum 2m internal dilution. No upper gold grade cut is applied to the
data. However, during future Mineral Resource studies the requirement for assay
top cutting will be assessed.
All samples were assayed at On Site Laboratories, an
independent laboratory in Bendigo, Victoria. The facility is registered ISO
9001:2008 (CERT-C33510).
About Kirkland Lake Gold Ltd.
Kirkland Lake Gold Ltd. is a mid-tier gold producer with 2018
production targeted at over 635,000 ounces of gold from mines in Canada and
Australia. The production profile of the Company is anchored by two high-grade,
low-cost operations, including the Macassa Mine located in Northeastern Ontario
and the Fosterville Mine located in the state of Victoria, Australia. Kirkland
Lake Gold's solid base of quality assets is complemented by district scale
exploration potential, supported by a strong financial position with extensive
management and operational expertise. For further information on Kirkland Lake
Gold, and to receive news releases by email, visit the Companys website
www.klgold.com.
Cautionary Note Regarding Forward-Looking
Information
This News Release includes certain "forward-looking
statements". All statements other than statements of historical fact included in
this release are forward-looking statements that involve various risks and
uncertainties. These forward-looking statements include, but are not limited to,
statements with respect to planned exploration programs, costs and expenditures,
changes in Mineral Resource estimates, potential growth in Mineral Resources,
conversion of Mineral Resources to proven and probable Mineral Reserves, and
other information that is based on forecasts of future operational or financial
results, estimates of amounts not yet determinable and assumptions of
management. These forward-looking statements include, but are not limited to,
statements with respect to future exploration potential, project economics,
timing and scope of future exploration, anticipated costs and expenditures,
changes in mineral resources and conversion of mineral resources to proven and
probable reserves, and other information that is based on forecasts of future
operational or financial results, estimates of amounts not yet determinable and
assumptions of management.
Any statements that express or involve discussions with respect
to predictions, expectations, beliefs, plans, projections, objectives,
assumptions or future events or performance (often, but not always, using words
or phrases such as "expects" or "does not expect", "is expected", "anticipates"
or "does not anticipate", "plans", "estimates" or "intends", or stating that certain actions,
events or results "may", "could", "would", "might" or "will" be taken, occur or
be achieved) are not statements of historical fact and may be "forward-looking
statements." Forward-looking statements are subject to a variety of risks and
uncertainties that could cause actual events or results to differ from those
reflected in the forward-looking statements. Exploration results that include
geophysics, sampling, and drill results on wide spacings may not be indicative
of the occurrence of a mineral deposit. Such results do not provide assurance
that further work will establish sufficient grade, continuity, metallurgical
characteristics and economic potential to be classed as a category of mineral
resource. A mineral resource that is classified as "inferred" or "indicated" has
a great amount of uncertainty as to its existence and economic and legal
feasibility. It cannot be assumed that any or part of an "indicated mineral
resource" or "inferred mineral resource" will ever be upgraded to a higher
category of resource. Investors are cautioned not to assume that all or any part
of mineral deposits in these categories will ever be converted into proven and
probable reserves.
3
There can be no assurance that forward-looking statements will
prove to be accurate and actual results and future events could differ
materially from those anticipated in such statements. Important factors that
could cause actual results to differ materially from the Companys expectations
include, among others, risks related to international operations, risks related
to obtaining the permits required to carry out planned exploration or
development work, the actual results of current exploration activities,
conclusions of economic evaluations and changes in project parameters as plans
continue to be refined as well as future prices of gold, as well as those
factors discussed in the section entitled "Risk Factors" in the Companys Annual
Information Form, financial statements and related MD&A for the periods
ended December 31, 2017 and June 30, 2018 and other disclosures of "Risk
Factors" by the Company and its predecessors, which are filed with the
securities regulatory authorities in certain provinces in Canada and available
on SEDAR. Although the Company has attempted to identify key factors that could
cause actual results to differ materially, there may be other factors that cause
unanticipated and unintended results. There can be no assurance that such
statements will prove to be accurate as actual results and future events could
differ materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking statements.
Cautionary Note to U.S. Investors - Mineral Reserve and
Resource Estimates
All resource and reserve estimates included in this news
release or documents referenced in this news release have been prepared in
accordance with Canadian National Instrument 43-101 - Standards of Disclosure
for Mineral Projects ("NI 43-101") and the Canadian Institute of Mining,
Metallurgy and Petroleum (the "CIM") - CIM Definition Standards on Mineral
Resources and Mineral Reserves, adopted by the CIM Council, as amended (the "CIM
Standards"). NI 43-101 is a rule developed by the Canadian Securities
Administrators, which established standards for all public disclosure an issuer
makes of scientific and technical information concerning mineral projects. The
terms "mineral reserve", "proven mineral reserve" and "probable mineral reserve"
are Canadian mining terms as defined in accordance with NI 43-101 and the CIM
Standards. These definitions differ materially from the definitions in SEC
Industry Guide 7 ("SEC Industry Guide 7") under the United States Securities Act
of 1933, as amended, and the Exchange Act.
In addition, the terms "mineral resource", "measured mineral
resource", "indicated mineral resource" and "inferred mineral resource" are
defined in and required to be disclosed by NI 43-101 and the CIM Standards;
however, these terms are not defined terms under SEC Industry Guide 7 and are
normally not permitted to be used in reports and registration statements filed
with the U.S. Securities and Exchange Commission (the "SEC"). Investors are
cautioned not to assume that all or any part of mineral deposits in these
categories will ever be converted into reserves. "Inferred mineral resources"
have a great amount of uncertainty as to their existence, and great uncertainty
as to their economic and legal feasibility. It cannot be assumed that all or any
part of an inferred mineral resource will ever be upgraded to a higher category.
Under Canadian rules, estimates of inferred mineral resources may not form the
basis of feasibility or pre-feasibility studies, except in very limited
circumstances. Investors are cautioned not to assume that all or any part of a
mineral resource exists, will ever be converted into a mineral reserve or is or
will ever be economically or legally mineable or recovered.
4
FOR FURTHER INFORMATION PLEASE CONTACT
Anthony Makuch, President, Chief Executive Officer &
Director
Phone: +1 416-840-7884
E-mail: tmakuch@klgold.com
Mark Utting, Vice-President, Investor Relations
Phone: +1
416-840-7884
E-mail: mutting@klgold.com
Table 1:
Drill Assay Intercepts for the Swan and Swan
Footwall Splay Diamond Drilling, Lower Phoenix Mineralized System,
Fosterville Gold Mine
(The results are outside of Indicated
Mineral Resources appearing in the December 31, 2017 Technical Report on the
Mineral Resources and Mineral Reserves of The Fosterville Gold Mine, dated April
2, 2018, and available on sedar.com)
Hole ID
From
(m)
To
(m)
Downhole
Interval
(m)
Estimated
True
Width (m)
Gold
Grade
(g/t Au)
Geological
Structure/
Zone
Swan Mineralization
UDH2156(1)
282.6
291.0
8.4
7.1
86.9
Swan
Including(1)
283.9
284.25
0.35
0.3
1,474
Swan
and(1)
289.35
289.85
0.5
0.4
279
Swan
UDH2484
368.45
369.55
1.1
1.0
2.5
Swan
UDH2488
375.8
376.8
1.0
0.9
2.1
Swan
UDH2493(1)
387.6
389.5
1.9
1.5
40.4
Swan
Including(1)
387.6
388.0
0.4
0.3
161
Swan
UDH2494(1)
393.4
402.0
8.6
6.8
83.1
Swan
Including(1)
398.3
400.0
1.7
1.3
366
Swan
UDH2495(1)
366.2
372.5
6.3
5.8
11.7
Swan
Including(1)
367.65
369.6
1.95
1.8
28.6
Swan
UDH2496(1)
349.8
352.0
2.2
2.0
10.5
Swan
Including(1)
349.8
350.55
0.75
0.7
27.1
Swan
UDH2542
283.4
290.1
6.7
6.0
10.0
Swan
Including
286.65
289.1
2.45
2.2
21.0
Swan
UDH2545
No Significant Intercept
Swan
UDH2551(1)
308.0
315.45
7.45
6.0
289
Swan
Including(1)
308.3
309.05
0.75
0.6
2,857
Swan
UDH2552(1)
283.9
287.9
4.0
3.4
353
Swan
Including(1)
284.4
284.75
0.35
0.3
3,740
Swan
UDH2555(1)
267.0
270.55
3.55
3.2
423
Swan
Including(1)
267.0
268.95
1.95
1.8
760
Swan
UDH2584A(1)
310.35
322.25
11.9
9.9
155
Swan
Including(1)
318.1
319.2
1.1
0.9
1,566
Swan
5
Hole ID
From
(m)
To
(m)
Downhole
Interval
(m)
Estimated
True
Width (m)
Gold
Grade
(g/t Au)
Geological
Structure/
Zone
UDH2587
285.1
290.3
5.2
4.4
20.0
Swan
Including
288.3
289.8
1.5
1.3
35.3
Swan
UDH2590(1)
292.8
300.0
7.2
5.9
215
Swan
Including(1)
296.05
297.6
1.55
1.3
846
Swan
UDH2598(1)
256.95
269.9
12.95
12.0
31.5
Swan
Including(1)
265.1
268.05
2.95
2.7
101
Swan
UDH2629
272.7
278.0
5.3
5.0
15.2
Swan
Including
273.05
274.95
1.9
1.8
26.2
Swan
UDH2632(1)
274.7
279.95
5.25
5.0
175
Swan
Including(1)
279.0
279.95
0.95
0.9
930
Swan
UDH2633
269.25
285.2
15.95
15.3
3.5
Swan
Including
283.05
283.95
0.9
0.9
13.9
Swan
Swan Footwall Splay Mineralization
UDH2496
360.7
362.0
1.3
1.2
6.0
Swan Splay
UDH2552
296.0
299.5
3.5
3.1
8.1
Swan Splay
UDH2555(1)
279.4
282
2.6
2.2
24.0
Swan Splay
UDH2584A
347.6
348.45
0.85
0.7
2.7
Swan Splay
UDH2598
275.8
278.8
3.0
2.7
4.0
Swan Splay
UDH2632
302.85
303.7
0.85
0.8
2.7
Swan Splay
UDH2633
297.95
299.95
2.0
1.9
3.1
Swan Splay
Notes:(1) - Visible gold
observed in drill intercept.
Drill intercepts containing visible gold or greater than 30
Gram-Metre (gold grade x estimated true width) are shown in bold text.
6
Table 2: Underground Diamond Drill Hole Collar
Locations, Fosterville Gold Mine
Hole ID
Northing
(m)
Easting
(m)
Elevation
(m)
Collar
Azimuth
(°)
Collar
Plunge
(°)
Depth
(m)
UDH2156
6,357.3
1,406.5
4,192.6
102.0
-43.6
302
UDH2484
6,233.7
1,339.3
4,194.5
98.9
-33.2
396.1
UDH2488
6,233.7
1,339.4
4,194.5
98.9
-38.2
390.2
UDH2493
6,233.5
1,339.4
4,194.5
100.9
-45.2
426
UDH2494
6,233.5
1,339.1
4,194.1
105.5
-48.3
410.7
UDH2495
6,233.5
1,338.9
4,194.1
90.2
-47.6
386.7
UDH2496
6,233.9
1,339.1
4,194.0
83.9
-48.5
374.6
UDH2542
6,357.2
1,406.5
4,192.9
109.3
-34.3
324
UDH2545
6,356.1
1,406.4
4,192.7
115.8
-39.9
335
UDH2551
6,356.2
1,406.4
4,192.7
115.4
-49.0
330.2
UDH2552
6,357.3
1,406.5
4,192.5
110.2
-50.8
310.5
UDH2555
6,357.6
1,406.5
4,192.8
98.1
-50.1
296.9
UDH2584A
6,365.8
1,381.9
4,192.0
116.9
-55.9
356.6
UDH2587
6,356.2
1,406.4
4,192.8
104.6
-32.2
308
UDH2590
6,355.1
1,406.3
4,192.9
106.5
-47.0
308
UDH2598
6,355.2
1,406.3
4,192.5
98.2
-56.8
293.8
UDH2629
6,366.8
1,381.6
4,191.9
79.2
-60.6
296.7
UDH2632
6,366.6
1,381.7
4,191.9
87.7
-58.8
317.5
UDH2633
6,366.1
1,381.6
4,192.0
93.0
-57.8
318.2
Notes:Collar locations are in Fosterville Mine Gridcoordinate system.
7
Figure 1. LongProjectionofFostervilleGold Mine
8
Figure 2.LongitudinalProjectionof Swan and SwanFootwallMineralization,FostervilleGold Mine
9
Figure 3. Phoenix Mineralization System Schematic Cross
Section 6250mN
10