Klondike Gold's Montana Creek Placer Property Exceeds Expectations in First Season Yields $542,282 in Royalty Payments
Klondike Gold (OTCQB:KDKGF) reported an additional $42,282 production royalty from the Montana Creek placer property, bringing 2025 total production royalty receipts to $542,282. Under the lease with Armstrong Mining, a 10% production royalty applies until a $9.5M purchase price is paid; $8.9M remains payable to complete the option by March 2031.
Armstrong Mining began production ahead of schedule, upgraded camp and processing equipment, completed 140 short-hole sonic drill holes across ~1.5 sq km, installed a light-airstrip, and stockpiled material to accelerate 2026 restart. All required permitting and remediation procedures were maintained.
Klondike Gold (OTCQB:KDKGF) ha riportato un'ulteriore royalty di produzione di $42,282 dalla proprietà placer Montana Creek, portando a $542,282 le entrate totali di royalty di produzione per il 2025. Secondo il contratto di locazione con Armstrong Mining, si applica una royalty di produzione del 10% fino a quando non sarà pagato un prezzo d'acquisto di $9,5M; $8,9M rimangono da pagare per completare l'opzione entro marzo 2031.
Armstrong Mining ha iniziato la produzione in anticipo rispetto al programma, aggiornato il campo base e l'equipaggiamento di processamento, completato 140 fori sonici corti su circa 1,5 km², installato una pista leggera di atterraggio e accumulato materiale per accelerare la riapertura nel 2026. Sono stati mantenuti tutti i permessi richiesti e le procedure di bonifica.
Klondike Gold (OTCQB:KDKGF) informó de una regalía de producción adicional de $42,282 procedente de la propiedad de grava Montana Creek, llevando las receitas totales de regalías de producción de 2025 a $542,282. Bajo el contrato de arrendamiento con Armstrong Mining, se aplica una regalía de producción del 10% hasta que se pague un precio de compra de $9,5M; quedan $8,9M por pagar para completar la opción antes de marzo de 2031.
Armstrong Mining inició la producción antes de lo previsto, actualizó el campamento y el equipo de procesamiento, completó 140 hoyos cortos sónicos a lo largo de ~1,5 km², instaló una pista de aterrizaje ligera y acopió material para acelerar el reinicio en 2026. Se mantuvieron todos los permisos requeridos y los procedimientos de remediación.
Klondike Gold (OTCQB:KDKGF)는 Montana Creek 매덕 채석지에서 추가로 $42,282의 생산 로열티를 보고하여 2025년 총 생산 로열티 수령을 $542,282로 증가시켰습니다. Armstrong Mining과의 임대 계약에 따라 10%의 생산 로열티가 적용되며, $9.5M의 매입가가 지급될 때까지; $8.9M은 2031년 3월까지 옵션을 완료하기 위해 남아 있습니다.
Armstrong Mining은 일정에 앞서 생산을 시작하고, 기지와 가공 설비를 업그레이드했으며, ~1.5 제곱킬로미터에 걸쳐 140개의 짧은 음향 굴착 구멍을 완료하고, 가벼운 이착륙장을 설치하고 2026년 재개를 가속하기 위해 자재를 비축했습니다. 필요한 모든 허가 및 정화 절차가 유지되었습니다.
Klondike Gold (OTCQB:KDKGF) a annoncé une redevance de production supplémentaire de $42,282 provenant de la propriété de gravier Montana Creek, portant les recettes totales de redevance de production 2025 à $542,282. En vertu du bail avec Armstrong Mining, une redevance de production de 10 % s'applique jusqu'au paiement d'un prix d'achat de $9,5M; $8,9M restent à payer pour compléter l'option d'ici mars 2031.
Armstrong Mining a commencé la production plus tôt que prévu, mis à niveau le camp et l'équipement de traitement, réalisé 140 forages sismiques courts sur environ 1,5 km², installé une piste d'atterrissage légère et accumulé du matériel pour accélérer la remise en service en 2026. Tous les permis requis et les procédures de remise en état ont été maintenus.
Klondike Gold (OTCQB:KDKGF) meldete eine zusätzliche Produktionsroyalität von $42,282 aus der Montana Creek Placer-Immobilie, was die Gesamterlöse aus Produktionsroyalitäten 2025 auf $542,282 erhöht. Unter dem Leasingvertrag mit Armstrong Mining gilt eine Produktionsroyalität von 10 %, bis ein Kaufpreis von $9,5M bezahlt ist; $8,9M bleiben bis zum Abschluss der Option bis März 2031 zu zahlen.
Armstrong Mining begann früher als geplant mit der Produktion, rüstete das Lager- und Aufbereitungsequipment auf, setzte 140 kurze sonische Bohrungen über ca. 1,5 km² ab, installierte eine leichte Start- bzw. Landebahn und stapelte Material, um den Neustart im Jahr 2026 zu beschleunigen. Alle erforderlichen Genehmigungen und Sanierungsverfahren wurden beibehalten.
Klondike Gold (OTCQB:KDKGF) أبلغت عن علاوة إنتاج إضافية قدرها $42,282 من ملكية Montana Creek للترسبات، مما رفع إجمالي عوائد عوائد الإنتاج لعام 2025 إلى $542,282. بموجب عقد الإيجار مع Armstrong Mining، تنطبق عائد إنتاج بنسبة 10% حتى يتم دفع سعر شراء قدره $9.5M؛ $8.9M يبقى مستحقاً لإكمال الخيار بحلول مارس 2031.
بدأت Armstrong Mining الإنتاج قبل الجدول الزمني، وقامت بترقية المخيم ومعدات المعالجة، وأنجزت 140 بئراً صوتية قصيرة عبر ~1.5 كم²، وتم تركيب مدرج خفيف للإقلاع والهبوط، وتكديس مادة لتسريع إعادة التشغيل في 2026. وتم الحفاظ على جميع التصاريح والإجراءات المطلوبة للتطهير.
- $542,282 total production royalty receipts in 2025
- $8.9M remaining purchase price toward a $9.5M option
- Production began ahead of schedule in 2025
- 140 short-hole sonic drill holes over ~1.5 sq km
- Installed upgraded camp, new processing equipment, and light airstrip
- Majority of purchase price unpaid: $8.9M remaining to March 2031, creating timing and realization risk
VANCOUVER, BC / ACCESS Newswire / November 13, 2025 / Klondike Gold Corp. (TSXV:KG)(FRA:LBDP)(OTCQB:KDKGF) ("Klondike Gold" or the "Company") is pleased to provide a summary of significant work progress and to report receipt of an additional
Peter Tallman, President and CEO of Klondike Gold Corp comments "The Montana Creek placer deposit was an idle, under-appreciated asset that is now returning dilution-free funding for Klondike Gold. We are pleased with Armstrong Mining's professional and competent management of the operation, which has exceeded our expectations from the start, and now is positioned to contribute increasing royalty revenues beyond our original projections for the next several years."
The Company's Montana Creek Placer Property agreement grants Armstrong Mining a 6-year lease with option to purchase
Armstrong Mining's 2025 Season Highlights
Began production and gold recovery ahead of schedule and exceeded projected returns
Early season successful mobilization of all heavy equipment
Installed a new camp and upgraded existing camp infrastructure
Installed and calibrated new processing equipment (wash plant and gold cleaning machine), with second larger capacity plant scheduled before start of next season for increased capacity
Stripped and stockpiled material will facilitate a rapid start to 2026 season production
Installed a light aircraft emergency airstrip
Completed 140 short-hole sonic drilling exploration program covering ~1.5 sq kms to further delineate and expand previously documented White Channel Gravel 'pay streaks'
Maintained and filed all required permitting and remediation procedures
Peter Tallman, President and CEO of Klondike further states "I congratulate the Armstrong Mining team for their professional effort that exceeded our productivity and financial objectives for 2025. Their crew completed significant mobilization early, reorganized the mine site plan to increase environmental remediation, including improvement of 5km of access roads, completed a significant sonic drilling exploration program, and then exceeded our aggressive economic target for 2025 by delivering
Background
The Montana Creek Placer Property was staked in 2005 by Klondike Gold and is comprised of 239 placer claims covering 13.4 square kilometers located near Dawson City, Yukon within the area of quartz bedrock claims comprising the Company's "Klondike District Property". Between 2005 and 2014 Klondike Gold completed 550 auger drill holes to delineate White Channel Gravel gold 'pay streaks' covering approximately
ABOUT KLONDIKE GOLD CORP.
Klondike Gold is a Vancouver based gold exploration company advancing its
ON BEHALF OF KLONDIKE GOLD CORP.
"Peter Tallman"
Peter Tallman,
President and CEO
FOR FURTHER INFORMATION:
Telephone: (604) 609-6138
E-mail: info@klondikegoldcorp.com
Website: www.klondikegoldcorp.com
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.
Certain statements contained in this news release constitute "forward-looking statements". When used in this document, the words "anticipated", "expect", "estimated", "forecast", "planned", and similar expressions are intended to identify forward-looking statements or information. These statements are based on current expectations of management, however, they are subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from the forward-looking statements in this news release. Readers are cautioned not to place undue reliance on these statements. Klondike Gold does not undertake any obligation to revise or update any forward-looking statements as a result of new information, future events or otherwise after the date hereof, except as required by securities laws.
Forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things, market volatility; the state of the financial markets for the Company's securities; fluctuations in commodity prices and changes in the Company's business plans. In making the forward looking statements in this news release, the Company has applied several material assumptions that the Company believes are reasonable, including without limitation, that the Company will continue with its stated business objectives and its ability to raise additional capital to proceed. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. 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 and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws. The Company seeks safe harbor.
For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedarplus.ca.
[1]The Mineral Resource Estimate for the Klondike District Property was prepared by Marc Jutras, P.Eng., M.A.Sc., Principal, Ginto Consulting Inc., an independent Qualified Person in accordance with the requirements of NI 43-101. The technical report supporting the Mineral Resource Estimate entitled "NI 43-101 Technical Report on the Klondike District Gold Project, Yukon Territory, Canada" has been filed on SEDAR at www.sedarplus.ca effective November 10, 2022. Refer to news release of December 16, 2022.
SOURCE: Klondike Gold Corp.
View the original press release on ACCESS Newswire
FAQ
How much royalty did Klondike Gold (KDKGF) receive from Montana Creek in 2025?
What is the remaining amount owed under the Montana Creek purchase option for KDKGF and the deadline?
Did Armstrong Mining begin production on schedule at Montana Creek for KDKGF in 2025?
What operational work did Armstrong Mining complete at Montana Creek in 2025?
How will 2025 work at Montana Creek affect KDKGF's 2026 season?
