Kirkland Lake Gold Inc.

Kirkland Lake Gold Inc.

July 07, 2009 02:00 ET

Kirkland Lake Gold Inc.: Obstruction in Main Pastefill Borehole Impacts Gold Production

KIRKLAND LAKE, ONTARIO--(Marketwire - July 7, 2009) - Kirkland Lake Gold Inc. (the "Company") (TSX:KGI)(AIM:KGI) reports that an unexpected obstruction blocked the pastefill borehole above Level 34 of its Kirkland Lake Mine on June 23, 2009. While efforts were made immediately to clear the obstruction, these efforts have so far been unsuccessful.

As efforts to clear the blockage continue, the Company has accelerated the drilling of back-up pastefill boreholes planned for later this year. Until the blockage is cleared or until another hole can be brought online, certain mining areas requiring pastefill will be idled. This impacted production for one week of June and will continue in July and possibly August and September. Mining crews affected have already been reassigned to exploration, capital, or stope development activities.

An update on this matter will be provided on July 20, 2009 to coincide with the release of the Company's annual results.

"Unfortunately, this plug occurred before a scheduled back-up hole was to be drilled. The re-assignment of stoping crews to expedite development projects is critical to expanding our medium and long term exploration and production efforts," said Harry Dobson, Chairman. "The Company is comfortable with its cash position and financial outlook."

About the Company

The Company purchased the Macassa Mine and the 1,500 ton per day mill along with four former producing gold properties - Kirkland Lake, Teck-Hughes, Lake Shore and Wright Hargreaves - in December 2001. These properties, which have historically produced some 22 million ounces of gold, extend over seven kilometres between the Macassa Mine on the west and Wright Hargreaves on the east and, for the first time, are being developed and explored under one owner. This camp is located in the Abitibi Southern Greenstone Belt of Kirkland Lake, Ontario, Canada.

The results of the Company's underground diamond drilling program have been reviewed, verified (including sampling, analytical and test data) and compiled by the Company's geological staff (which includes a 'qualified person', Stewart Carmichael P.Geo., the Company's Chief Exploration Geologist, for the purpose of National Instrument 43-101, Standards of Disclosure for Mineral Projects, of the Canadian Securities Administrators). Mr. Carmichael also supervised the preparation of the information that forms the basis of the technical disclosure in this release.

The Company has implemented a quality assurance and control (QA/QC) program to ensure sampling and analysis of all exploration work is conducted in accordance with the best possible practices. The drill core is sawn in half with one half of the core samples shipped to the Swastika Laboratories in Swastika, Ontario, Polymet Resources Inc. in Cobalt, Ontario. The other half of the core is retained for future assay verification. Other QA/QC includes the insertion of blanks, and the regular re-assaying of pulps and rejects at alternate certified labs. Gold analysis is conducted by fire assay using atomic absorption or gravimetric finish. The laboratory re-assays at least 10% of all samples and additional checks may be run on anomalous values.

The Company's Macassa Mine Property is the subject of reserve reports prepared by Glenn R. Clark, P.Eng. entitled:

- Review of Resources and Reserves of the New South Mine Complex, Macassa Mine, Kirkland Lake, Ontario dated August 25, 2007.

- Review of Resources and Reserves of Macassa Mine, Kirkland Lake, Ontario dated July 15, 2008.

Both of these technical reports have been filed on SEDAR (

Cautionary Note Regarding Forward Looking Statements

This Press Release may contain statements which constitute 'forward-looking, including statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors, or its officers with respect to the future business activities and operating performance of the Company. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, or its management, are intended to identify such forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future business activities or performance and involve risks and uncertainties, and that the Company's future business activities may differ materially from those in the forward-looking statements as a result of various factors. Such risks, uncertainties and factors are described in the periodic filings with the Canadian securities regulatory authorities, including the Company's Annual Information Form and quarterly and annual Management's Discussion & Analysis, which may be viewed on SEDAR at Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update these forward-looking statements.

Neither the Toronto Stock Exchange nor the AIM Market of the London Stock Exchange has reviewed and neither accepts responsibility for the adequacy or accuracy of this news release.

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