TORONTO, Dec. 10, 2020 (GLOBE NEWSWIRE) — Kirkland Lake Gold Ltd. (“Kirkland Lake Gold” or the “Firm”) (TSX:KL) (NYSE:KL) (ASX:KLA) in the present day introduced the Firm’s full-year steerage for 2021¹, together with manufacturing of 1,300,000 – 1,400,000 ounces, pushed by sturdy development at Detour Lake Mine, with all-in sustaining prices (“AISC”) per ounce bought² on monitor to stay unchanged from 2020 ranges. Steerage for 2021 contains elevated capital spending largely in assist of future manufacturing development at Detour Lake, and a higher dedication to exploration to comply with up on current drilling success in any respect three of the Firm’s cornerstone belongings. All greenback quantities are expressed in U.S. {dollars} until in any other case famous.

The Firm additionally introduced in the present day three-year manufacturing steerage which demonstrates the sustainability of stable working efficiency and contains development to 1,405,000 – 1,545,000 ounces in 2023. Throughout this era, the Firm will proceed to work in the direction of reaching plenty of vital, and doubtlessly transformational, milestones. Amongst these milestones is finishing the present $50 million greenback drilling program at Detour Lake and releasing a brand new mine plan in 2022. Drilling thus far at Detour Lake gives rising proof that the Primary, West and North pit areas contain one massive, steady deposit that may assist the transition to a “tremendous pit” idea and may result in considerably greater ranges of manufacturing. At Macassa, the #4 shaft mission is continuous and stays on monitor for completion in late 2022, when manufacturing is anticipated to extend to 400,000 ounces at improved unit prices in 2023. In Australia, the Firm is planning its largest exploration program at Fosterville since buying the mine in 2016, together with $85 – $95 million of drilling and improvement. The first goal of this system is to determine extra high-grades zones to offer future high-grade manufacturing. The 2021 exploration plan will largely comply with up on current drill outcomes that included the intersection of quartz with seen gold, present in massive concentrations and at distinctive grades within the Swan Zone, in a number of different areas.

Highlights of 2021 steerage embody:

• Manufacturing of 1,300,000 – 1,400,000 ounces (2020 steerage: 1,350,000 – 1,400,000 ounces together with 29,391 ounces from Holt Complicated)³  
• Working money prices per ounce bought² of $450 – $475 (2020 steerage: $410 – $430)
• AISC per ounce bought² of $790 – $810 (2020 steerage: $790 – $810)
• Sustaining capital expenditures² of $280 – $310 million (2020 steerage: $390 – $400 million)
• Progress capital expenditures² of $250 – $275 million (2020 steerage: $95 – $105 million)
• Exploration expenditures⁴ of $170 – $190 million (2020 steerage: $130 – $150 million).

(1)  Steerage numbers and statements offered on this press launch are thought-about forward-looking statements and characterize administration’s greatest estimates and expectations of future outcomes as at December 10, 2020.
(2)  See the “Non-IFRS Measures” part beginning on web page 34 of the Firm’s MD&A for the three and 9 months ended September 30, 2020 filed on the Firm’s profile on SEDAR at www.sedar.com. 
(3)  2021 steerage doesn’t embody manufacturing, prices or expenditures from the Holt Complicated in Northern Ontario or from the Firm’s belongings within the Northern Territory, that are at the moment on care and upkeep.
(4)  Consists of each expensed and capitalized exploration expenditures.

Tony Makuch, President and Chief Govt Officer, commented: “Our marketing strategy for 2021 positions Kirkland Lake Gold for an additional 12 months of sturdy working and monetary outcomes and continued industry-leading monetary power. The plan additionally contains greater ranges of funding, reflecting the numerous development potential and exploration upside in any respect three of our cornerstone belongings, in addition to the cost of over $200 million in dividends to shareholders. Now we have made vital progress returning capital to shareholders in 2020, and plan to proceed this development within the coming 12 months concurrently we construct our money place.

“ our cornerstone belongings, Detour Lake is ready to considerably develop in 2021, with manufacturing for the 12 months focused at 680,000 – 720,000 ounces at AISC per ounce higher than $900 per ounce. We regard the 2021 manufacturing degree as a benchmark to be sustained and in the end elevated going ahead. Underneath present assumptions, together with receiving required permits and approvals, we anticipate manufacturing to develop to roughly 800,000 ounces in 2025 inside the present mine plan. Having stated that, we plan to current a brand new mine plan in 2022, following completion of the present drilling program, which we imagine might remodel and considerably enhance the longer-term outlook for Detour Lake, with the institution of a “tremendous pit” idea primarily based on the potential existence of a a lot bigger, steady deposit across the current pit areas and Mineral Reserves.

“Manufacturing at Macassa is anticipated to ramp up over the following three years, reaching 400,000 ounces in 2023 following completion of the #4 Shaft. Manufacturing in 2021 is focused at 220,000 – 255,000 ounces at AISC per ounce bought averaging beneath $750. With completion of the #4 Shaft on monitor for late 2022 and manufacturing commencing from close to floor zones utilizing a floor ramp, we anticipate manufacturing rising to 295,000 – 325,000 ounces in 2022 earlier than rising to 400,000 – 425,000 ounces in 2023.

“Manufacturing at Fosterville in 2021 will probably be lowered from the degrees achieved in 2019 and 2020. Now we have a big orebody at Fosterville, however the high-grade elements of the prevailing Mineral Reserve contain a brief manufacturing life. When you think about that we’ve got recognized plenty of massive mineralized programs, all together with intersections containing quartz with seen gold, we stay optimistic that extra high-grade zones could be recognized. Our problem is to keep up a sustainable and financial operation whereas we proceed to drill to determine the following high-grade space for future mining. The results of our work is a manufacturing profile that features 400,000 – 425,000 ounces in 2021, transferring to a variety of 325,000 – 400,000 ounces in 2022 and 2023. Long term, we are going to work to maintain operations at that degree of manufacturing for plenty of years, topic to continued drilling success. Our price range for exploration at Fosterville in 2021 is $85 – $95 million, by far our largest dedication since we acquired the mine in November 2016.”

Three-year manufacturing steerage

• Consolidated: Manufacturing focused at 1,300,000 – 1,400,000 ounces in 2021, 1,300,000 – 1,445,000 ounces in 2022 and 1,405,000 – 1,545,000 ounces in 2023.
• Detour Lake: Manufacturing focused at 680,000 – 720,000 ounces in 2021, 2022 and 2023.
• Macassa: Manufacturing to whole 220,000 – 255,000 ounces in 2021, 295,000 – 325,000 ounces in 2022 and 400,000 – 425,000 ounces in 2023
• Fosterville: Manufacturing focused at 400,000 – 425,000 ounces in 2021 and 325,000 – 400,000 ounces in each 2022 and 2023.

Distribution of manufacturing in 2021

Manufacturing in 2021 is anticipated to be weighted to the second half of the 12 months largely reflecting mine sequencing, with decrease grades anticipated in any respect three cornerstone belongings early within the 12 months, notably within the first quarter. For the primary half of 2021, manufacturing is focused at 600,000 – 650,000 ounces, which is anticipated to extend to 700,000 – 750,000 ounces through the remaining six months of the 12 months. Based mostly on the weighting of manufacturing, in addition to the timing for sustaining capital expenditures, AISC per ounce bought are anticipated to common over $900 within the first six months of the 12 months, bettering to roughly $700 through the second half of 2021.

2021 Steerage¹

(1) The Firm’s 2021 steerage assumes a median gold value of $1,800 per ounce in addition to a US$ to C$ trade charge of 1.31 and a US$ to A$ trade charge of 1.39. Assumptions used for the needs of steerage could show to be incorrect and precise outcomes could differ from these anticipated.
(2) See “Non-IFRS Measures” set out beginning on web page 34 of the MD&A for the three and 9 months ended September 30, 2020 for additional particulars. Essentially the most comparable IFRS Measure for working money prices, working money prices per ounce bought and AISC per ounce bought is manufacturing prices, as offered within the Consolidated Statements of Operations and Complete Revenue, and whole additions and development in progress for sustaining and development capital.
(3) Capital expenditures exclude capitalized depreciation.
(4) Exploration expenditures embody capital expenditures associated to infill drilling for Mineral Useful resource conversion, capital expenditures for extension drilling outdoors of current Mineral Assets and expensed exploration. Additionally contains capital expenditures for the event of exploration drifts.
(5) Consists of normal and administrative prices and severance funds. Excludes share-based cost expense.

Evaluation of 2021 Steerage

• Consolidated gold manufacturing in 2021 is focused at 1,300,000 – 1,400,000 ounces, which compares to present full-year 2020 manufacturing steerage of 1,350,000 – 1,400,000 ounces. Manufacturing steerage in 2020 contains 29,391 ounces of manufacturing at Holt Complicated, the place operations had been suspended efficient April 2, 2020. Manufacturing in 2021 will probably be led by Detour Lake, which is focusing on 680,000 – 720,000 ounces in comparison with present steerage of 520,000 – 540,000 ounces for 11 months in 2020. Along with the impression of a full 12 months of operations at Detour Lake in 2021, the rise in manufacturing within the coming 12 months is anticipated to be pushed by the next common grade and elevated mill throughput. Manufacturing can also be anticipated to extend at Macassa in 2021, with steerage for the 12 months of 220,000 – 255,000 ounces. Manufacturing at Fosterville is focused to say no because the mine transitions to a lower-grade profile, with the impression of decreased grades to be solely partially offset by greater tonnes processed. Manufacturing at Fosterville in 2021 is focused at 400,000 – 425,000 ounces.
• Working money prices per ounce bought are anticipated to common $450 – $475, which compares to present full-year 2020 steerage of $410 – $430. The rise from full-year 2020 steerage primarily displays the impression of upper tonnes mined and decrease grades at Fosterville, which is anticipated to greater than offset improved working money prices per ounce bought at each Detour Lake and Macassa.
• AISC per ounce bought are focused to common $790 – $810, unchanged from full-year 2020 steerage. AISC per ounce bought at Detour Lake and Macassa are focused to enhance in 2021 to higher than $900 and $750, respectively, whereas AISC per ounce bought at Fosterville are anticipated to extend reflecting a decrease common grade and better sustaining capital expenditures.
• Working money prices for 2021 are estimated at $600 – $630 million, which compares to the present steerage for full-year 2020 of $560 – $580 million, with the rise primarily associated to a full 12 months of outcomes for Detour Lake versus 11 months in 2020.    
• Royalty prices in 2021 are estimated at $82 – $88 million, just like re-issued full-year 2020 steerage.
• Sustaining capital expenditures in 2021 are focused at $280 – $310 million in comparison with steerage for full-year 2020 of $390 – $400 million. The discount in 2021 from 2020 is especially associated to decrease deferred stripping prices at Detour Lake being included in sustaining capital expenditures, with nearly all of deferred stripping prices in 2021 included in development capital expenditures. Larger sustaining capital expenditures at Fosterville in 2021, largely reflecting elevated cellular gear procurement, are anticipated to be largely offset by decrease sustaining capital expenditures at Macassa.
• Progress capital expenditures are estimated at $250 – $275 million in 2021 in comparison with present steerage for 2020 of $95 – $105 million, with the rise largely reflecting greater development capital expenditures at Detour Lake. Of deliberate development capital expenditures in 2021, Detour Lake accounts for $160 – $170 million, with roughly $90 million regarding deferred stripping and the rest to plenty of development capital initiatives, together with investments in mill enhancements, elevated tailings capability, completion of an assay lab (development commenced in 2020) and different enhancements to web site infrastructure. Deferred stripping prices at Detour Lake in 2021 primarily relate to a big stripping marketing campaign as a part of Section 4, which is able to assist manufacturing in future years. Progress capital expenditures at Macassa are focused at $85 – $95 million, with the #4 Shaft mission anticipated to account for $55 – $60 million and the rest largely associated to completion of a air flow improve mission, mill enhancements and elevated improvement to assist future mine manufacturing. Progress capital expenditures at Fosterville in 2021 are focused at $5 – $10 million reflecting the completion of plenty of key initiatives throughout 2020.
• Exploration expenditures in 2021 are estimated at $170 – $190 million. Of whole exploration expenditures, roughly $85 – $95 million are focused for Fosterville, the place drilling will proceed to deal with figuring out new high-grade zones at key targets, together with Decrease Phoenix, Cygnet, Robbin’s Hill and Harrier, in addition to drilling to interchange Mineral Reserves. Exploration expenditures in Canada are additionally anticipated to whole $85 – $95 million, with expenditures of $45 – $50 million at Macassa and $40 – $45 million at Detour Lake.
• Company G&A expense in 2021 is estimated at $50 – $55 million, unchanged from re-issued 2020 steerage.

Certified Individuals

The technical contents associated to Kirkland Lake Gold Ltd. mines and properties, have been reviewed and authorized by Natasha Vaz, P.Eng., Senior Vice President, Technical Companies and Innovation and Eric Kallio, P.Geo, Senior Vice President, Exploration. Ms. Vaz and Mr. Kallio are “certified individuals” as outlined in Nationwide Instrument 43-101 and have reviewed and authorized disclosure of the scientific technical info and knowledge on this press launch. For an outline of the important thing assumptions, parameters and strategies used to estimate mineral reserves and sources at Kirkland Lake Gold’s materials properties, in addition to knowledge verification procedures and a normal dialogue of the extent to which the estimates of scientific and technical info could also be affected by any recognized environmental, allowing, authorized title, taxation, sociopolitical, advertising and marketing or different related components, please see the technical studies for the corporate’s materials properties as filed by Kirkland Lake Gold on SEDAR at www.sedar.com

About Kirkland Lake Gold Ltd.

Kirkland Lake Gold Ltd. is a rising gold producer working in Canada and Australia that’s on monitor to supply 1,350,000 – 1,400,000 ounces of gold in 2020. The manufacturing profile of the Firm is anchored by three high-quality operations, together with the Macassa Mine and Detour Lake Mine, each positioned in Northern Ontario, and the Fosterville Mine positioned within the state of Victoria, Australia. Kirkland Lake Gold’s stable base of high quality belongings is complemented by district scale exploration potential, supported by a robust monetary place with in depth administration experience.

For additional info on Kirkland Lake Gold and to obtain information releases by e mail, go to the web site at www.kl.gold.

Non-IFRS Measures

The Firm has included sure non-IFRS measures on this doc, as mentioned beneath. The Firm believes that these measures, along with typical measures ready in accordance with IFRS, present buyers an improved means to guage the underlying efficiency of the Firm. The non-IFRS measures are supposed to offer extra info and shouldn’t be thought-about in isolation or as an alternative choice to measures of efficiency ready in accordance with IFRS. These measures should not have any standardized which means prescribed below IFRS, and due to this fact might not be akin to different issuers. Please check with web page 34 of the Firm’s Administration Dialogue and Evaluation for the three and 9 months ended September 30, 2020 for the newest non-IFRS reconciliations.

Cautionary Notice Relating to Ahead-Wanting Statements

Sure statements on this press launch represent ‘ahead wanting info’ and ‘ahead–wanting statements’, below relevant Canadian securities laws and inside the which means of the Unites States Non-public Securities Litigation Reform Act of 1995. Ahead-looking statements together with statements concerning the plans, intentions, beliefs and present expectations of the Firm with respect to the long run enterprise actions and working efficiency of the Firm, anticipated manufacturing and prices, the anticipated money place of the Firm on the finish of subsequent 12 months, the anticipated quantities of dividends to be paid subsequent 12 months, the anticipated quantity of share repurchases, if any, to be made all year long, future exploration and drilling packages, the anticipated timing of the discharge of the up to date mine plan for the Detour Lake Mine and anticipated results thereof, the anticipated timing of the completion of the #4 shaft on the Macassa Mine and anticipated results thereof and the flexibility to determine extra excessive grade zones on the Fosterville Mine. The phrases “could”, “would”, “might”, “will”, “intend”, “plan”, “anticipate”, “imagine”, “estimate”, “anticipate” and related expressions, as they relate to the Firm, are supposed to determine such forward-looking statements. Buyers are cautioned that forward-looking statements are primarily based on the opinions, assumptions and estimates of administration thought-about cheap on the date the statements are made, and are inherently topic to quite a lot of dangers and uncertainties and different recognized and unknown components that might trigger precise occasions or outcomes to vary materially from these projected within the forward-looking statements. These components embody, amongst others, the event of the Firm’s properties and the anticipated timing thereof, anticipated manufacturing from, and the additional potential of the Firm’s properties, the potential to extend the degrees of mineral sources and mineral reserves and potential conversion of mineral sources; the anticipated timing and graduation of exploration packages on varied targets inside the Firm’s land holdings and the implication of such exploration packages (together with however not restricted to any potential selections to proceed to business manufacturing), the anticipated general impression of the Firm’s COVID19 response plans, together with measures taken by the Firm to cut back the unfold of COVID19, together with however not restricted to the fast testing carried out at Detour Lake, the flexibility to decrease prices and steadily improve manufacturing, the flexibility of the Firm to efficiently obtain enterprise targets, the flexibility of the Firm to attain its longer-term outlook and the anticipated timing and outcomes thereof, the efficiency of the Firm’s fairness investments and the flexibility of the Firm to understand on its strategic objectives with respect to such investments, the consequences of sudden prices, liabilities or delays, the potential advantages and synergies and expectations of different financial, enterprise and or aggressive components, together with the flexibility of the Firm to understand on sure deliberate synergies related to the acquisition of Detour Gold Company, the Firm’s expectations in reference to the initiatives and exploration packages being met, the impression of normal enterprise and financial circumstances, world liquidity and credit score availability on the timing of money flows and the values of belongings and liabilities primarily based on projected future circumstances, fluctuating gold costs, foreign money trade charges (such because the Canadian greenback versus the US greenback), mark-to-market by-product variances, attainable variations in ore grade or restoration charges, modifications in accounting insurance policies, modifications within the Firm’s company mineral sources, modifications in mission parameters as plans proceed to be refined, modifications in mission improvement, development, manufacturing and commissioning time frames, the potential for mission price overruns or unanticipated prices and bills, greater costs for gas, energy, labour and different consumables contributing to greater prices and normal dangers of the mining {industry}, failure of plant, gear or processes to function as anticipated, sudden modifications in mine life, seasonality and unanticipated climate modifications, prices and timing of the event of recent deposits, success of exploration actions, allowing time traces, dangers associated to info expertise and cybersecurity, timing and prices related to the design, procurement and development of the Firm’s varied capital initiatives, together with however not restricted to potential future impacts and results of COVID19, together with however not restricted to potential future delays and unanticipated suspension or interruption of operations, the #4 Shaft mission on the Macassa Mine, the air flow, paste plant, transformer and water remedy facility on the Fosterville Mine, the flexibility to acquire all crucial permits related to the Detour Lake Mine, the flexibility to acquire the required permits in reference to all of its varied capital initiatives, together with however not restricted to the rehabilitation of the Macassa tailings facility and the event of a brand new tailings facility and the anticipated outcomes related therewith, the West Detour mission, processing plant growth on the Detour Lake Mine, the flexibility to acquire renewals of sure exploration licences in Australia, native and aboriginal heritage points, together with however not restricted to ongoing negotiations and consultations with the Firm’s First Nations companions, dangers regarding infrastructure, allowing and licenses, exploration and mining licences, authorities regulation of the mining {industry}, dangers regarding international operations, uncertainty within the estimation and realization of mineral sources and mineral reserves, high quality and marketability of mineral product, environmental regulation and reclamation obligations, together with however not restricted to dangers related to reclamation and closure obligations regarding the Northern Territory initiatives, dangers regarding the Northern Territory moist season, dangers regarding litigation and unanticipated prices to imagine the defence of such litigation, dangers regarding relevant tax and potential reassessments thereon, dangers regarding modifications to tax regulation and rules and the Firm’s interpretation thereof, international mining tax regimes and the potential impression of any modifications to such international tax regimes, competitors, foreign money fluctuations, authorities regulation of mining operations, environmental dangers, unanticipated reclamation bills, title disputes or claims, and limitations on insurance coverage, in addition to these danger components mentioned or referred to within the AIF of the Firm for the 12 months ended December 31, 2019 filed with the securities regulatory authorities in sure provinces of Canada and obtainable on SEDAR at www.sedar.com. Ought to a number of of those dangers or uncertainties materialize, or ought to assumptions underlying the forward-looking statements show incorrect, precise outcomes could differ materially from these described herein as supposed, deliberate, anticipated, believed, estimated or anticipated. Though the Firm has tried to determine vital dangers, uncertainties and components which might trigger precise outcomes to vary materially, there could also be others that trigger outcomes not be as anticipated, estimated or supposed. The forward-looking statements included on this launch are made as of the date of this press launch. The Firm doesn’t intend, and doesn’t assume any obligation, to replace these forward-looking statements besides as in any other case required by relevant regulation.

Mineral sources will not be mineral reserves, and should not have demonstrated financial viability, however do have cheap prospects for eventual financial extraction. Measured and indicated sources are sufficiently effectively outlined to permit geological and grade continuity to be fairly assumed and allow the appliance of technical and financial parameters in assessing the financial viability of the useful resource. Inferred sources are estimated on restricted info not adequate to confirm geological and grade continuity or to permit technical and financial parameters to be utilized. Inferred sources are too speculative geologically to have financial issues utilized to them to allow them to be categorized as mineral reserves. There isn’t any certainty that Measured or Indicated mineral sources could be upgraded to mineral reserves by continued exploration and optimistic financial evaluation.

Monetary Outlooks and Future-Oriented Monetary Info

To the extent any ahead wanting statements on this press launch represent “monetary outlooks” inside the which means of relevant Canadian securities laws, such info is being offered as sure estimated monetary metrics and the reader is cautioned that this info might not be applicable for some other function and the reader shouldn’t place undue reliance on such monetary outlooks. Monetary outlooks, as with forward-looking statements usually, are, with out limitation, primarily based on the assumptions and topic to varied dangers as set out herein. The Firm’s precise monetary place and outcomes of operations could differ materially from administration’s present expectations and, because of this, the Firm’s money place and the quantity of dividends to be paid in 2021 could differ materially from values offered on this press launch.

Info Regarding Estimates of Mineral Reserves and Measured, Indicated and Inferred Assets

This press launch has been ready in accordance with the necessities of the securities legal guidelines in impact in Canada, which differ from the necessities of United States securities legal guidelines. The phrases “mineral reserve”, “confirmed mineral reserve” and “possible mineral reserve” are Canadian mining phrases as outlined in accordance with Canadian Nationwide Instrument 43-101-Requirements of Disclosure for Mineral Tasks (“NI 43-101”) and the Canadian Institute of Mining, Metallurgy and Petroleum (the “CIM”)-CIM Definition Requirements on Mineral Assets and Mineral Reserves, adopted by the CIM Council, as amended. These definitions differ from the definitions in SEC Trade Information 7 below the US Securities Act of 1993, as amended (the “Securities Act”).

The SEC has adopted amendments to its disclosure guidelines to modernize the mineral property disclosure necessities for issuers whose securities are registered with the SEC below the Securities Change Act of 1934 (“Change Act”). These amendments turned efficient February 25, 2019 (the “SEC Modernization Guidelines”) and, following a two-year transition interval, the SEC Modernization Guidelines will exchange the historic property disclosure necessities for mining registrants that had been included in SEC Trade Information 7. Following the transition interval, as a international non-public issuer that information its annual report on Kind 40-F with the SEC pursuant to the multi-jurisdictional disclosure system, the Firm isn’t required to offer disclosure on its mineral properties below the SEC Modernization Guidelines and can proceed to offer disclosure below NI 43-101 and the CIM Definition Requirements. If the Firm ceases to be a international non-public issuer or loses its eligibility to file its annual report on Kind 40-F pursuant to the multi-jurisdictional disclosure system, then the Firm will probably be topic to the SEC Modernization Guidelines which differ from the necessities of NI 43-101 and the CIM Definition Requirements. The SEC Modernization Guidelines embody the adoption of phrases describing mineral reserves and mineral sources which might be “considerably related” to the corresponding phrases below the CIM Definition Requirements. On account of the adoption of the SEC Modernization Guidelines, the SEC now acknowledges estimates of “measured mineral sources”, “indicated mineral sources” and “inferred mineral sources”. As well as, the SEC has amended its definitions of “confirmed mineral reserves” and “possible mineral reserves” to be “considerably related” to the corresponding CIM Definitions. U.S. buyers are cautioned that whereas the above phrases are “considerably related” to CIM Definitions, there are variations within the definitions below the SEC Modernization Guidelines and the CIM Definition Requirements. Accordingly, there isn’t a assurance any mineral reserves or mineral sources that the Firm could report as “confirmed mineral reserves”, “possible mineral reserves”, “measured mineral sources”, “indicated mineral sources” and “inferred mineral sources” below NI 43-101 can be the identical had the Firm ready the reserve or useful resource estimates below the requirements adopted below the SEC Modernization Guidelines.

U.S. buyers are additionally cautioned that whereas the SEC will now acknowledge “measured mineral sources”, “indicated mineral sources” and “inferred mineral sources”, buyers shouldn’t assume that any half or all the mineralization in these classes will ever be transformed into the next class of mineral sources or into mineral reserves. Mineralization described utilizing these phrases has a higher quantity of uncertainty as to its existence and feasibility than mineralization that has been characterised as reserves. Accordingly, buyers are cautioned to not assume that any measured mineral sources, indicated mineral sources, or inferred mineral sources that the Firm studies are or will probably be economically or legally mineable. Additional, “inferred mineral sources” have a higher quantity of uncertainty as to their existence and as as to if they are often mined legally or economically. Due to this fact, U.S. buyers are additionally cautioned to not assume that each one or any a part of the “inferred mineral sources” exist. Underneath Canadian securities legal guidelines, estimates of “inferred mineral sources” could not type the premise of feasibility or pre-feasibility research, besides in uncommon instances.

FOR FURTHER INFORMATION PLEASE CONTACT

Anthony Makuch, President, Chief Govt Officer & Director
Cellphone: +1 416-840-7884
E-mail: tmakuch@kl.gold

Mark Utting, Senior Vice President, Investor Relations
Cellphone: +1 416-840-7884
E-mail: mutting@kl.gold