VANCOUVER, BRITISH COLUMBIA, September 14 /CNW/ - Klondex Mines Ltd.
(TSX: KDX) announced that effective September 28, 2007 the expiration date
will be extended and the exercise price will be reduced for the common share
purchase warrants (the "Warrants") held by non-insiders of the Company that
were issued pursuant to a private placement of units of the Company on March
28, 2006 (the "Private Placement").
The Warrants are scheduled to expire on September 28, 2007. The
expiration date of up to 1,736,250 Warrants will be extended to the close of
business on December 8, 2007 (5:00 p.m. Toronto time). The 2,500 Warrants that
are held by an insider of the Company will not be extended.
The exercise price of up to 1,736,250 Warrants will be reduced from $3.00
CDN per common share to $2.35 CDN per common share. The exercise price of the
2,500 Warrants that are held by an insider of the Company will remain at $3.00
CDN per common share.
No Warrants have been exercised to date.
As of August 31, 2007, Klondex had 22,836,173 shares issued and
outstanding and cash of approximately $7.1 million CDN invested in Canadian
treasury notes and in guaranteed bank accounts. The Company has no exposure to
any derivatives, futures, hedges or related risks.
About Klondex Mines Ltd.:
Klondex Mines (TSX: KDX) is a gold exploration company focused on the
development and expansion of its high-grade Fire Creek deposit in Nevada.
Klondex has identified an Indicated Mineral Resource of over 1,000,000 ounces
of gold at Fire Creek and has filed for permits to begin bulk sampling of up
to 120,000 tons ore. Fire Creek is located in the Battle Mountain-Eureka Trend
in the Northern Nevada Rift, in North Central Nevada, an area of prolific gold
production. Klondex currently has two drill rigs working to expand its
resource at Fire Creek. The Company was founded over 30 years ago, and its
property portfolio contains four other gold exploration projects, all in
Nevada. For more information, please visit www.klondexmines.com.
ON BEHALF OF KLONDEX MINES LTD.
William J. Solloway
For further information:
For further information: Jaffoni & Collins Incorporated David Collins or
Steven Hecht, 212-835-8500 KDX@jcir.com