Eskay Mining provides update on Big Red Au -Cu-Mo-Ag System, Southwestern Extension of the Sulphurets Camp Porphyry Au-Cu Trend
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NEWS RELEASE
FOR IMMEDIATE RELEASE: APRIL 16, 2018
Eskay Mining provides update on Big Red Au -Cu-Mo-Ag
System, Southwestern Extension of the Sulphurets Camp
Porphyry Au-Cu Trend
Toronto, April 16, 2018 – Eskay Mining Corp. (“Eskay” or the “Company”) (TSX-
V:ESK) (OTC-PK: ESKYF) (Frankfurt: KN7; WKN: A0YDPM) is pleased to announce an
update to its ongoing targeting efforts for the 2018 exploration season. Further to its March 5,
2018 news release highlighting interpretations and exploration strategies for the Red Lightning
and TV-Jeff zones (see http://eskaymining.com/index.php/category/news-releases), a review is
presented herein of another high priority prospect, the Big Red zone porphyry Au-Cu-Mo-Ag
target (Figure 1). As part of an ongoing exploration-focused review of data from the Company’s
Eskay-Sulphurets Camp properties, exploration strategies are outlined below to advance this
early- to mid-stage prospect.
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Figure 1: Eskay Mining Corp.'s property with highlighted exploration targets (red stars), and
nearby mines and exploration plays.
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Big Red Zone
While the Big Red zone has been known for some time as an exploration target, it was largely
ice- and snow-covered until recently, and its true potential as a large-scale porphyry-style target
only emerged during the present review. In the early 2010’s, retreating ice on the southeast flank
of Unuk Finger revealed a deep red gossan that extends for over 1 km north-south and across
several drainages. Prospecting in and around the gossan over the intervening years has returned
highly anomalous Cu, Au, Ag and Mo values, with 61 grab samples averaging 0.11% Cu, 0.058
g/t Au, 1.8 g/t Ag and 0.035% Mo (Figure 2). In particular, a cluster of three intensely quartz-
sericite-pyrite (QSP) altered samples collected from a gossanous knoll near the northern end of
the trend averaged 0.27% Cu, 0.090 g/t Au and 4.3 g/t Ag, with the best sample yielding 0.68%
Cu, 0.124 g/t Au and 6.2 g/t Ag.
Figure 2: Aerial image of Big Red Zone, with rock and stream sediment samples highlighting Cu
values.
Limited geological data has been collected from the Big Red zone, but work in 2016 by the
Company, along with regional mapping in the early 1990’s by the Mineral Deposit Research Unit
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at the University of British Columbia indicates that the Big Red zone occurs near the eastern
contact of the Tertiary Lee Brant pluton, which intrudes Upper Triassic to Lower Jurassic
stratified rocks (Figure 3). Previous work by the Company has also identified a smaller northerly
elongate intrusive body of unknown age in this area, as is shown in fig. 3.
Figure 3: Geology of the Big Red zone (after Lewis et al, 2003) showing Cu anomalous grab
samples.
In 2006, an airborne geophysical survey (EM and magnetics) was flown by the Company along
the trend which included Big Red, and it outlined a near-surface conductivity (EM) anomaly
within an area of low total magnetic intensity that coincides directly with the anomalous surface
samples (Figures 4, 5). This represents an excellent exploration target, with the magnetic low
possibly explained by magnetite-destructive QSP alteration associated with an underlying
porphyry system. Another expression of such a system may be the nearby northerly-trending
intrusion of uncertain age. The EM response is interpreted to be the result of a conductive,
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sulfide-mineralized vein stockwork present at surface and may be an indication that the veins and
sulphide system are continuous to depth. Surface samples collected from the Big Red zone
indicate that host rocks are largely volcanic, which likely rules out the possibility that the EM
anomaly is a result of conductive, graphitic sedimentary rocks.
Figure 4: Big Red zone with rock samples and EM (ZOff) conductivity anomalies (pink = high,
blue = Low).
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Figure 5: Big Red zone with rock samples and Total Magnetic Intensity (pink = high, blue =
low).
One feature that is particularly notable about the Big Red porphyry system is that it lies directly
along trend to the southwest from the nearby, world-class Au-Cu-Mo-Ag porphyry deposits in
the Sulphurets Camp, which are all associated with Early Jurassic intrusive rocks. Also of
interest is the fact that several grab samples from the Big Red zone yielded highly anomalous
tungsten values (five samples ranging between 1190 to 4790 ppm). While tungsten is not a
significant component of the mineralization in the other Sulphurets Camp porphyry deposits, it
does appear to be associated with Early Jurassic intrusive rocks farther to the south, near Hyder,
where the Texas Creek pluton hosts scheelite-bearing veins that are cut by younger Tertiary
intrusive rocks similar in age to the Lee Brant pluton (see
https://pubs.usgs.gov/bul/1024f/report.pdf).
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Work planned for this season at Big Red includes additional detailed geological mapping, with a
focus on delineating zones of mineralization and alteration. This should provide an improved
framework for understanding and interpreting the nature and distribution of porphyry-style
mineralization. It should also help to place the mineralization within the context of what is
clearly becoming a well-established regional southwest-northeast trend of Au-rich porphyry
centers, from Copper Belle on the northeast, south-southwesterly through Iron Cap, Mitchell-
Snowfield, Sulphurets, Kerr, and now, perhaps, to Big Red (fig. 1). In addition to geological
mapping, an IP survey over the known EM anomaly has been recommended and is being
planned to help outline zones of chargeability and to provide increased confidence in targeting
drilling.
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 regarding Eskay Mining Corp.’s prospects and showings, see the
Company’s corporate presentation titled “January 2018 Prospects Overview”.
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, poly 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 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”,
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“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 e xploration 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 t he 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.