Klondike Gold has reported that construction work is being carried out at the Indian River project. The company signed a joint venture (JV) agreement with 46799 Yukon in order to explore and expand this mining project.
The placer gold property is located in the Indian River Valley, which is the largest producer of gold in Yukon in recent years and can be accessed by road from Dawson City.
Under the terms of the JV agreement, Klondike will give a wide exploration database to the property and 46799 Yukon will offer the preliminary capital and equipment to the JV. After these contributions, each partner will possess a 50% participating interest in the current operations and the JV. An operating firm has been specifically established for the mine operation, which will be supervised by a skilled placer-mining team. The company is setting up an initial construction camp, whereas preparation is ongoing for the permanent camp site.
Drill program has been commenced for grade-control and mine planning purposes, with the help of a track-mounted auger drill rig. Two Caterpillar D9N bulldozers are currently present at the property and will begin to prepare on-site and overburden stripping, while other exploring and processing equipment is moved to the property.
Sterile gravel layers and stripped overburden gravels will be utilized to enhance the internal road system and for constructing an airfield; thus project infrastructure is improved without any further construction and operating cost.
The company will store the mined pay gravels at a modular-design processing unit that includes an EL-Jay MRS200 metal recovery system, which utilizes a 6 m long double-deck vibratory screen. Secondary processing will be conducted by a Rotary Screw Gold Machine 200 Fine Gold Recovery unit, which acts as an intermittent recovery unit.
A front-end loader will feed the processing facility through a portable conveyor or feeder linked to a hopper. The facility may initially process 1,500 m3 in a day and likely to be raised to 3,000 m3 in the second half of the next year’s mining season.