Eskay Mining Confirms New Precious Metal Rich VMS Discoveries at its Consolidated Eskay Project, Golden Triangle, BC
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NEWS RELEASE
FOR IMMEDIATE RELEASE: November 2, 2023
Eskay Mining Confirms New Precious Metal Rich VMS Discoveries at its
Consolidated Eskay Project, Golden Triangle, BC
- Drill intercepts of 6.28 gpt AuEq over 15.00m, 2.96 gpt AuEq over 22.52m, 2.00 gpt AuEq over
61.23m and 1.39 gpt AuEq over 45.67m encountered at Cumberland
- Rock chip samples of 37.23, 23.34, 20.34 and 20.23 gpt AuEq from Scarlet Knob
Toronto, November 2, 2023, 2023 – Eskay Mining Corp. (“Eskay” or the “Company”) (TSX-V:ESK)
(OTCQX: ESKYF) (Frankfurt:KN7)(WKN:A0YDPM) is pleased to announce it has received very
encouraging assay results from its 2023 diamond drill and exploration campaign at its 100% controlled
Consolidated Eskay Gold Project in the Golden Triangle of British Columbia. Precious metal-rich
volcanogenic massive sulfide (“VMS”) deposits are the focus of Eskay’s exploration.
Cumberland VMS Discovery
Nine short diamond core holes were completed at the Cumberland Showing in 2023 (Figure 2), several of
which encountered very promising precious and base metal-rich stockwork and massive mineralization.
Notable results include:
- 3.02 gpt Au, 68.66 gpt Ag, 0.24% Cu, 0.73% Pb and 4.86% Zn (6.28 gpt AuEq) over 15.00m
including 8.48 gpt Au, 103.27 gpt Ag, 0.23% Cu, 1.08% Pb and 4.16% Zn (12.02 gpt AuEq) over
3.41m in hole CBL23-28.
- 1.21 gpt Au, 29.22 gpt Ag, 0.12% Cu, 0.32% Pb and 2.94% Zn (2.96 gpt AuEq) over 22.52m
including 3.45 gpt Au, 108.21 gpt Ag, 0.65% Cu, 0.54% Pb and 19.40% Zn (13.24 gpt AuEq) over
1.75m in hole CBL23-29.
- 0.68 gpt Au, 15.72 gpt Ag, 0.07% Cu, 0.27% Pb and 0.90% Zn (1.39 gpt AuEq) over 45.67m in
hole CBL23-30.
- 0.95 gpt Au, 29.04 gpt Ag, 0.07% Cu, 0.29% Pb and 1.31% Zn (2.00 gpt AuEq) over 61.23m
including 1.57 gpt Au, 58.80 gpt Ag, 0.16% Cu, 0.60% Pb and 3.13% Zn (3.91 gpt AuEq) over
20.08m in hole CBL23-31.
Cumberland lies approximately 6km due south of the TV deposit and is similarly situated along the east
side of the Eskay anticline. Eskay’s geologic team thinks this discovery opens up considerable exploration
potential in areas between Cumberland and the TV-Jeff VMS complex (Figures 3 and 4). It is notable that
mineralization at Cumberland displays very high base metals, an indicator of high formational fluid
temperatures, a potential sign that this area lies in proximity to a major feeder vent or vents.
Based upon data from this limited first phase drill program, the Cumberland VMS deposit is interpreted to
be tabular with a N-S orientation and a near vertical dip, perhaps slightly overturned. It remains open
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along strike and at depth. A review of historic soil data (Figures 3 and 4) from areas up to 1.5 km south of
Cumberland indicates a broad area of strongly anomalous geochemistry, especially elevated silver
values, confirming a likely extension of mineralization in this direction. Eskay’s geologic team observed
significant outcropping sulfide mineralization while conducting traverses in this region south of
Cumberland.
While prospecting late in the season, a notable area of outcropping sulfide mineralization was observed
approximately 2.5 km to the northeast of Cumberland and is potentially part of the same VMS system.
This area has been named Mahogany Ridge. Historic rock chip sample data from the broader
Cumberland trend includes samples grading 25.0, and 27.9 gpt Au.
Given the strong drill and rock chip sample results from the Cumberland-Mahogany Ridge area,
Eskay Mining views this discovery as a high priority exploration target. Compelling evidence is
emerging that the corridor starting at TV-Jeff in the north through Mahogany Ridge and
Cumberland and continuing a further 1.5km south of Cumberland is highly prospective for further
precious metal-rich VMS discoveries. Eskay Mining thinks this corridor requires urgent follow up
work including drilling in 2024.
“Cumberland is shaping up to be a very compelling and unique target”, commented John DeDecker,
Eskay's VP of Exploration. "Intense polymetallic sulfide mineralization ranges from stockwork-style, to
massive seafloor-hosted mineralization. The seafloor-hosted mineralization is associated with barite
breccia, and is capped by a non-mineralized and highly magnetic pillow basalt. Drilling and field
investigations have defined the orientation of the mineralized seafloor horizon, and have shown that Ag
anomalies in historic soil samples, and a pronounced magnetic anomaly evident in the 2021 EM survey
lie along the trend of mineralization extending at least 300 m south of Cumberland. Our team looks
forward to investigating this area further in 2024. The confirmation of another mineralized seafloor horizon
at Scarlet Knob, and extensive disseminated Au mineralization at Tarn Lake opens these areas up to
targeted exploration in 2024."
Summary of significant results from nine core holes completed at the Cumberland Showing in 2023:
Hole From (m) To (m) Length (m) Au (gpt) Ag (gpt) Cu (%) Pb (%) Zn (%) Au Eq (gpt)
CBL23-26 NSV
CBL23-27 1.26 8.15 6.89 0.58 16.93 - - - 0.79
22.57 25.76 3.19 0.33 12.50 - 0.25 0.34 0.70
30.50 35.39 4.89 0.43 11.80 - 0.10 0.61 0.85
71.83 92.65 20.82 0.28 1.11 0.06 0.08 2.00 1.16
includes 73.63 76.71 3.08 0.17 6.62 0.08 0.04 2.80 1.44
includes 84.90 85.90 1.00 1.78 23.00 0.35 0.25 11.85 7.13
103.98 121.03 17.05 0.34 10.12 - - - 0.47
CBL23-28 1.29 16.29 15.00 3.02 68.66 0.24 0.73 4.86 6.28
includes 5.68 16.29 10.61 4.11 92.84 0.30 0.92 6.33 8.39
includes 9.86 13.27 3.41 8.48 103.27 0.23 1.08 4.16 12.02
CBL23-29 1.69 24.21 22.52 1.21 29.22 0.12 0.32 2.94 2.96
includes 1.69 4.79 3.10 2.90 14.18 0.06 0.29 0.49 3.44
and 14.94 24.21 9.27 1.70 53.89 0.23 0.51 0.62 3.07
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includes 22.46 24.21 1.75 3.45 108.21 0.65 0.54 19.40 13.24
CBL23-30 0.89 46.56 45.67 0.68 15.72 0.07 0.27 0.90 1.39
includes 0.89 2.79 1.90 2.72 5.03 0.02 1.46 0.19 3.37
and 17.12 46.56 29.44 0.84 21.40 0.11 0.38 1.56 1.97
CBL23-31 1.22 62.45 61.23 0.95 29.04 0.07 0.29 1.31 2.00
includes 1.22 2.22 1.00 9.84 6.78 0.02 0.15 0.06 10.02
and 30.20 50.28 20.08 1.57 58.80 0.16 0.60 3.13 3.91
includes 30.20 35.20 5.00 1.36 57.82 0.48 0.43 8.75 6.18
and 36.20 38.25 2.05 4.64 155.07 0.07 1.16 1.34 7.57
85.00 95.00 10.00 0.48 13.07 - 0.08 0.17 0.74
CBL23-32 NSV
CBL23-33 NSV
CBL23-34 114.28 117.28 3.00 0.20 7.42 - 0.09 1.38 0.85
127.61 136.65 9.04 0.14 3.42 - 0.02 1.01 0.58
NSV = No Significant Values; AuEq values have been calculated using a Ag-to-Au ratio of 80:1, Cu-to-Au ratio of 8,100:1, Pb-to-Au ratio of
29,800:1 and Zn-to-Au ratio of 26,050:1 for this news release.
Scarlet Knob-Bruce Glacier Discovery
Near the end of the exploration season at a time of maximum snowmelt, Eskay Mining’s exploration team
found outcrops of metal-rich VMS mineralization immediately adjacent to the eastern margin of Bruce
Glacier. This area is called Scarlet Knob and is located in the northeastern part of the Consolidated Eskay
Gold Project approximately 7km southeast of the Eskay Creek mine. Four rock chip samples collected
from a 100 m long, 5 m wide sulfide replacement body (Figures 6 and 7) returned very strong precious
and base metal values as presented below:
Sample Au (gpt) Ag (gpt) Cu (%) Pb (%) Zn (%) Au Eq (gpt)
1001A 11.71 199.03 0.33 7.77 8.16 20.34
1001B 22.26 461.97 0.22 14.57 10.50 37.23
1001C 10.04 169.50 0.16 12.00 10.02 20.23
1001D 14.80 160.82 0.16 9.53 8.18 23.34
Although this outcropping sulfide body is small, it appears to occur at or near the paleo-sea floor interface,
a stratigraphic position conducive for hosting a deposit like that at the nearby Eskay Creek mine. Given
the very strong precious metal values from these samples, Eskay mining’s geologic team takes a strong
view that this occurrence suggests a bigger system may be present in this area.
Early in the drill season, four core holes were drilled in an area approximately 200 m south of this high-
grade discovery. These holes were drilled based upon a conceptual view formed by Eskay Mining’s
geologic team that the paleo-seafloor position, possibly mineralized, should be hiding under Bruce
Glacier. All four of these drill holes indeed pierced the contact between volcanic rocks and sea floor
mudstone, and two of these holes encountered highly elevated precious and base metal values as seen
in the table below:
Hole From (m) To (m) Length (m) Au (gpt) Ag (gpt) Cu (%) Pb (%) Zn (%) Au Eq (gpt)
SKN23-01 172.92 174.10 1.18 0.24 46.90 - 1.93 1.19 1.93
255.32 257.51 2.19 0.40 49.66 - 0.45 0.47 1.35
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SKN23-02 188.81 191.43 2.62 0.52 33.75 - 0.62 1.63 1.78
SKN23-03 NSV
SKN23-04 NSV
Although these intercepts are not long, the strong precious and base metal contents encountered in these
holes are considered the sort of values that might occur proximal to a much stronger VMS system.
Combined with the latter surface discovery of high-grade precious and base metal mineralization
discussed above, this lends further strong evidence for a larger VMS system in this area. Eskay Mining’s
geologic team takes the view that more exploration including core drilling is warranted at Scarlet Knob in
2024.
Tarn Lake
Four diamond drill holes were completed at Tarn Lake during the 2023 drill campaign (Figure 5) to follow
up on encouraging drill results from this area in 2022. While all four holes encountered short to moderate
length intervals of mineralization, two holes, TN23-14 and TN23-16 encountered short high-grade
intervals, 4.84 gpt Au and 8.14 gpt Ag (4.94 gpt AuEq) over 2.00m in TN23-14 and 7.83 gpt Au and 6.96
gpt Ag (7.92 gpt AuEq) over 2.45m in TN23-16. These can be seen in the table below:
Hole From (m) To (m) Length (m) Au (gpt) Ag (gpt) Cu (%) Pb (%) Zn (%) Au Eq (gpt)
TN23-13 34.00 37.69 3.69 0.48 2.69 - - - 0.51
43.50 48.50 5.00 0.37 4.44 - - - 0.43
TN23-14 66.39 67.80 1.41 3.33 0.84 - - - 3.34
78.40 84.40 6.00 2.07 4.82 - - - 2.13
includes 80.40 82.40 2.00 4.84 8.14 - - - 4.94
114.81 117.90 3.09 0.59 4.70 - - - 0.65
TN23-15 51.00 54.02 3.02 0.43 3.08 - - - 0.47
63.15 65.28 2.13 0.83 1.95 - - - 0.85
136.80 153.70 16.90 0.31 6.40 - - - 0.39
175.90 187.50 11.60 0.82 5.88 - - - 0.89
208.30 215.82 7.52 0.75 8.00 - - - 0.85
244.93 250.30 5.37 0.46 2.04 - - - 0.49
TN23-16 130.44 132.89 2.45 7.83 6.96 - - - 7.92
includes 130.44 131.39 0.95 12.40 10.00 - - - 12.53
Given the most promising results from Tarn Lake to date come from feeder zone type mineralization
perhaps occurring deep in a VMS system, Eskay Mining’s geologic team is considering where the upper
part of this system, including the favorable paleo-sea floor position, might lie. Rock chip sampling
conducted in 2023 shows that disseminated Au mineralization extends approximately 100 m to the west
of and over 200 m to the north of the drill holes at Tarn Lake (Figure 6). More field work and follow up
drilling will be needed to ascertain if the better part of this system is present in the Tarn Lake area.
Other Targets
Targeting at Hexagon-Mercury (Figure 1), situated on the western flank of the Eskay Anticline
approximately 9 km south of Eskay Creek mine, was driven by geophysical anomalies interpreted by Riaz
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Mirza of Simcoe Geoscience. One of two drill holes completed at the target yielded an intercept of over
100 m of appreciable stockwork sulfide mineralization hosted by volcanic rock thought to be part of the
lower Hazelton Group. While no appreciable precious metals were encountered, moderately elevated
pathfinder elements are present. Further work is needed in this location to refine future targets.
Two holes tested the Maroon Cliffs target (Figure 1) situated in the far northeast corner of the
Consolidated Eskay Gold Project. Similar to Hexagon-Mercury, targeting at Maroon Cliffs was driven by
geophysics. Neither hole encountered appreciable precious metal mineralization, and only weak
pathfinder geochemistry. The magnetic expression that defined this target is believed to be driven by a
package of conglomerate rock with magnetite-bearing clasts observed in core.
One hole was completed at Storie Creek, a target situated just 3.5 km SSE of the Eskay Creek mine.
Prior to drilling, Eskay Mining’s geologic team formed the view that favorable Hazelton Group host rocks
dip westward under the drill site thus making an intriguing blind target. Drilling determined that an east
dipping reverse fault underlies Storie Creek. Therefore, any prospective Hazelton Group rocks will only lie
to the east of Storie Creek. Consideration is being given to what further exploration might be done in the
area.
Drill hole data from 2023 program:
Hole ID Easting
(m)
Northing
(m)
Elevation
(m) Azimuth Dip Total Depth
(m)
CBL23-26 408644 6261448 367 65 45 210
CBL23-27 408679 6261475 375 40 65 258
CBL23-28 408679 6261475 375 330 80 78
CBL23-29 408679 6261475 375 354 70 81
CBL23-30 408679 6261475 375 10 70 62
CBL23-31 408679 6261475 375 25 65 122
CBL23-32 408679 6261475 375 85 65 95
CBL23-33 408679 6261475 375 30 50 16.5
CBL23-34 408644 6261448 367 45 45 142
TV23-124 409628 6265299 963 283 55 299
TN23-13 415192 6273601 1461 270 44 141.2
TN23-14 415198 6273503 1465 305 55 190.4
TN23-15 415001 6273619 1518 100 50 463.2
TN23-16 415001 6273619 1518 100 75 284
SKN23-01 416097 6273570 1465 270 45 339
SKN23-02 416097 6273570 1465 295 45 289
SKN23-03 416097 6273570 1465 255 45 296
SKN23-04 416097 6273570 1465 275 65 307
MC23-02 421550 6280156 917 180 45 248
MC23-01 423441 6279855 917 180 45 260
HM23-02 408901 6270942 541 245 45 255
HM23-01 408473 6272255 831 245 45 276
SC23-01 411834 6273639 399 130 50 810
SC23-02 413145 6275147 559 130 50 151
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QA/QC, Methodology Statement:
Halved HQ drill core samples are submitted to ALS Geochemistry in Terrace, British Columbia for
preparation and analysis. ALS is accredited to the ISO/IEC 17025 standard for gold assays. All analytical
methods include quality control standards inserted at set frequencies. The entire sample interval is
crushed and homogenized, 250 g of the homogenized sample is pulped. All samples were analyzed for
gold, silver, mercury, and a suite of 48 major and trace elements. Analysis for gold is by fire assay fusion
followed by Inductively Coupled Plasma Atomic Emission Spectroscopy (ICP-AES) on 30 g of pulp.
Analysis for silver is by fire assay and gravimetric analysis on 30 g of pulp. Mercury is analyzed using the
trace Hg Inductively Coupled Plasma Mass Spectroscopy (ICP-MS) method. All other major and trace
elements are analyzed by four-acid digestion followed by ICP-MS.
The assay results for rock chip samples reported for Scarlet Knob were obtained from Skeena Resources
field assay laboratory. The entire sample is crushed and homogenized, and 100g of the homogenized
sample is pulped. All samples were analyzed for gold, silver, arsenic, copper, lead, and zinc. Duplicates
of these samples were sent to ALS Geochemistry in Terrace, British Columbia for certified analyses.
Certified assay results for the Scarlet Knob rock chip samples are pending.
Historical rock chip and soil sample data is sourced from Assessment Reports AR17205 and AR22231.
Eskay Mining is unable to fully verify this data, and it should be treated as such by the reader.
Mineralization at the TV and Jeff deposits displays similar characteristics and mineralogy to the Eskay
Creek deposit and therefore for Au eq, and Au:Ag, a ratio of 78:1 is used and Au eq and Ag eq values are
deemed to be reasonable based on assumed gold recovery (84.2%) and silver recovery (87.3%) as
reported in the Eskay Creek Project NI 43-101 Technical Report and Prefeasibility Study, British
Columbia, Canada, Effective Date: 22 July, 2021, Prepared for: Skeena Resources Ltd., Prepared by:
Absence Engineering Canada Inc.
True widths of reported intercepts are not fully understood at this time. More drilling is required to
ascertain true widths at these newly identified mineralized areas.
Dr. Quinton Hennigh, P. Geo., a Director of the Company and its technical adviser, a qualified person as
defined by National Instrument 43-101, has reviewed and approved the technical contents of this news
release.
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 along the Eskay rift in a highly prolific region of northwest British Columbia known as the
“Golden Triangle,” 70km northwest of Stewart, BC. The Company currently holds mineral tenures in this
area comprised of 177 claims (52,600 hectares).
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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 Exchange) 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 price of gold and other metals,
currency and interest rate fluctuations, increased competition and general economic and market factors,
occur or should assumptions 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. Plan view of Eskay Mining’s land holdings at Consolidate Eskay Gold Project.)