Eskay Announces Completion of 2017 Sib Property Drill Program and Preliminary Results and Interpretations
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NEWS RELEASE
FOR IMMEDIATE RELEASE: OCTOBER 19, 2017
ESKAY ANNOUNCES COMPLETION OF 2017 SIB PROPERTY DRILL PROGRAM AND
PRELIMINARY RESULTS AND INTERPRETATIONS
Toronto, October 19, 2017 – Eskay Mining Corp. (“Eskay” or the “Company”) (TSX -V:ESK) is
pleased to announce the completion of a 9,336 m, 12 hole diamond drill program on its SIB property.
SSR Mining Inc. (formerly Silver Standard Resources Inc.) (NASDAQ: SSRM) (TSX: SSRM) (“SSR
Mining”) has the option to earn a 51% undivided interest in the property by spending an aggregate of
$11.7 million in exploration expenditures over three years with an option to earn a further 9% undivided
interest by either delivering a preliminary economic assessment or completing an aggregate of 23,000
meters of diamond drilling (See April 26th, 2017 news release). The 2017 drill campaign was completed
by SSR Mining to satisfy its commitment to spend $3.7 million over the first year of the option. The
property under option to SSR Mining represents appro ximately 9% of the Company’s land package in
the Golden Triangle in British Columbia.
The drill program was designed to test for precious metals enriched massive sulphide mineralization and
prospective lithologies beneath the Coulter Creek Thrust F ault (CCTF) , immediately south -southwest
along strike from Barrick Gold Corporation’s (“Barrick”) past-producing Eskay Creek mine. The CCTF
is a north -south trending, east dipping structure that separate s Eskay rhyolite and interbedded
sedimentary rocks of the Salmon River Formation to the east, from Bowser Lake Group sediment ary
rocks to the west (figs. 1-3). Ten drill holes targeted CCTF footwall rocks, while two holes targeted a
potential northern ext ension of known mineralization in the CCTF hanging wall (LULU Zone). Holes
testing the CCTF footwall were drilled on 100-250 m centers over a strike length of approximately 1 km
on a north -south trend. Hanging wall holes were drilled off a single pad approximately 150 m to the
northeast of the LULU Zone. Bore -Hole-Transient-Electro-Magnetic (BHTEM) , IP, magnetic and
optical televiewer surveys were performed upon the completion of drill holes.
All of the 2017 diamond drill holes targeting the CCTF footwall intersected Salmon River Formation
stratigraphy that bears strong lithologic similarities to those found on the Eskay Creek mine property,
down-section from Bowser Lake Group sedimentary rocks. Chlorite-sericite alteration consistent with
volcanogenic massive sulphide (VMS) footwall alteration was also present in every hole drilled , and
local sulphide-bearing veining was intersected in a number of holes (see Table 1 for highlights of the
drilling). The assays to date, although low grade, do show min eralizing systems are present (see Table
2). Once the remaining 50% of the assays are received and the geophysical data is analyzed, targeting
for next year’s drill program will be completed . Final results are expected midway through the fourth
quarter of 2017. Preliminary BHTEM interpretation has outlined a number of weak off-hole conductors,
all located to the west of the drill holes by 25 -100 metres. These are likely hosted by prospective
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rhyolitic or basaltic rocks of the Salmon River Formation. Deta ils of each plate model are provided in
Table 1, and the BHTEM anomalies are illustrated in Figure 4.
The lithologic and stratigraphic data obtained during the 2017 drill program has greatly improved our
understanding of the footwall geology of the CCTF, and has helped to better constrain both the surface
location and sub-surface orientation of the fault. Lithological associations in the footwall, most notably
mafic pillows and interbedded spherulitic mudstone, overlying intensely silicified rhyolite, be ar a strong
resemblance to rocks which host the nearby Eskay Creek deposit. These rock types are interpreted to
extend well beyond the limits of the area tested in the 2017 program, and in particular to the south and
west, and present promising and surprisingly shallow future exploration drill targets.
Table 1: Drill Highlights and BHTEM Anomalies
Hole Mineralization Highlights Borehole EM Anomalies
EK17-144 672.49-674 m: quartz-carbonate veins with
sericite altered envelopes; returned 2.25 g/t Au
over 1.51 m. 685 – 688m: Intermittent pyrite
veinlets, clots and disseminations; assayed 0.42
g/t Au.
Single plate (Dip Dir: 262, dip 66), 320 m
down hole, off-hole 50 m to the SW.
EK17-149 386.88 - 410.08 m: Interval containing
numerous polymetallic sulfide (pyrite,
pyrrhotite, sphalerite, galena, +/- chalcopyrite
and arsenopyrite) veins, up to 10 cm thick,
accompanied by abundant stringers and
disseminations of red to brown sphalerite in
rhyolitic groundmass. Best results include 6 m
of 2.7 g/t Ag, 192 ppm As, 279 ppm Pb, 4.4
ppm Sb and 1655 ppm Zn (including 1 m of
11.6 g/t Ag, 667 ppm As, 1110 ppm Pb, 7.42
ppm Sb and 4440 ppm Zn).
Single plate (Dip Dir: 337, dip 65), 305 m
down hole, off-hole 90 m to the WSW.
EK17-142 891.3-894.3 m: Quartz veins with fine medium
to fine grained pyrite; assayed 0.47 g/t Au
Single plate (Dip Dir: 293, dip 83), 420 m
down hole, off-hole 100 m to the SW.
EK17-145 622.00-623.00 m: Interval of massive sulphide
vein breccia returned 1.0 g/t silver, 1980 ppm
As, 3.58 ppm Hg and 241 ppm Sb. Remainder
of assays pending.
Three plates 1: (Dip Dir: 313, dip 65), 285 m
down hole, off-hole 105 m to the WNW. 2:
(Dip Dir: 308, dip 81), 365 m down hole, off-
hole 45 m to the NW. 3: (Dip Dir: 313, dip 65),
414 m down hole, off hole 22 m to the NW.
EK17-147 327.00 - 328.49 m: Semi-massive molybdenite
in tuffaceous matrix, and along cleavage planes.
337.63-341.01 m: interval of arsenopyrite rich
fault gouge, with sparsely distributed coarse-
grained red sphalerite within fault-bounding
quartz veins. Assays pending.
Single plate (Dip Dir: 273, dip 71), 363 m
down hole, off-hole 50 m to the S.
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EK17-146 Assays Pending No surveying completed
EK17-148 Assays Pending Single plate (Dip Dir: 300, dip 61), 161 m
down hole, off-hole 50 m to the WSW.
EK17-150 Assays Pending Single plate (Dip Dir: 283, dip 65), 305 m
down hole, off-hole 105 m to the NNW.
EK17-151 Assays Pending Single plate (Dip Dir: 330, dip 65), 340 m
down hole, off-hole 40 m to the SSW.
EK17-152 Assays Pending No anomalies identified.
EK17-141 Assays received; No Significant Results Single plate (Dip Dir: 115, dip 65), 370 m
down hole, off-hole 50 m to the NW.
EK17-143 Assays received; No Significant Results No anomalies identified.
Table 2: 2017 SIB drilling program with preliminary assay results
Hole UTM E UTM N Azimuth Dip Total Length (m)
From (m) To (m) Au (ppm) Ag (ppm) Zn (ppm)
EK17-141 407428 6273244 117 -50 905.9
No Significant Results
EK17-142 407373 6273544 117 -45 939.3
891.3 894.3 0.47 0.5 n/a
EK17-143 407449 6273876 110 -50 924.3
No Significant Results
EK17-144 407605 6274305 107 -55 996.3
672.49 674 2.25 0.5 n/a
685 688 0.42 0.6 n/a
EK17-145 407449 6273876 127 -60 1077.3
Assays Pending
EK17-146 407799 6273463 290 -50 330
Assays Pending
EK17-147 407799 6273463 300 -58 399
Assays Pending
EK17-148 407489 6273973 100 -60 913.91
Assays Pending
EK17-149 407427 6273711 107 -55 567.3
390.38 395.38 n/a 2.7 1655
Incl. 394.38 395.38 n/a 11.1 4440
EK17-150 407563 6274156 100 -80 757
Assays Pending
EK17-151 407420 6274024 110 -70 948.3
Assays Pending
EK17-152 407563 6274156 100 -55 573.3
Assays Pending
Current work is focused on finalizing geological interpretations, integrating the geochemical and
geophysical data with the geology, and incorporating structural information from the optical televiewer
downhole survey with the other data. The ultimate goal is to generate a 3D geological model of the drill
area, and beyond, for continued targeting. Geochemical samples have been submit ted to ALS Canada
Ltd. (Minerals) (“ALS”), which is independent from the Company, with sample preparation carried out
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at the ALS facility in Terrace, BC, and assays at the North Vancouver laboratory . Results for the
remainder of the program are expected midway through the fourth quarter, 2017.
Charles J. Greig, P. Geo., a member of the Company’s Advisory Team, is a Qualified Person under the
definition of National Instrument 43 -101. Mr. Greig has reviewed and approved the technical
information in this press release.
For further information regar ding the SIB property, see the C ompany’s Press R eleases of October 17,
2016, August 8, 2016, May 9, 2016 and January 23, 2013.
About Eskay Mining Corp:
Eskay Mining Corp (TSX-V:ESK) is a TSX Venture Exchange listed company, headquartered in Toronto,
Ontario. Eskay is an exploration company focused on the exploration and development of precious and
base metals in British Columbia in a highly prolific, pol y metallic area known as the Eskay Rift Belt
located in the “Golden Triangle”, 70km northwest of Stewart, BC. The Company currently holds
mineral tenures in this area comprised of 177 claims (130,000 acres).
All material information on the Company may be found on its website at www.eskaymining.com and on
SEDAR at www.sedar.com.
For further information, please contact:
Mac Balkam T: 416 907 4020
President & Chief Executive Officer E: [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the TSX Venture Ex change) accepts responsibility for the adequacy or
accuracy of this release.
Forward-Looking Statements: This Press Release contains forward -looking statements that involve risks and
uncertainties, which may cause actual results to differ materially from the statements made. When used in this
document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”,
“expect” and similar expressions are intended to identify forward-looking statements. Such statements reflect our
current views with respect to future events and are subject to risks and uncertainties. Many factors could cause
our actual results to differ materially from the statements made, including those factors discussed in filings made
by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties,
such as actual results of current exploration programs, the general risks associated with the mining industry, the
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price of gold and other metals, currency and interest rate fluctuations, increased competition and general
economic and market factors, occur or should assu mptions underlying the forward looking statements prove
incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or
expected. We do not intend and do not assume any obligation to update these forward -looking statements, except
as required by law. Shareholders are cautioned not to put undue reliance on such forward-looking statements.
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Figure 1: Overview map of 2017 drill program, showing geology and revised CCTF interpretation
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Figure 2: Vertical cross-section of holes EK17-150 and EK17-152, striking 117 degrees
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Figure 3: Vertical cross-section of holes EK17-151 and EK17-148, striking 117 degrees