Sitka Announces 1,340,000 Ounce Initial Gold Mineral Resource Estimate for the RC Gold Project, Yukon
NEWS RELEASE
January 19, 2023
NR 23-03
www.sitkagoldcorp.com
Sitka Announces 1,340,000 Ounce Initial Gold Mineral
Resource Estimate for the RC Gold Project, Yukon
VANCOUVER, CANADA – January 19, 2023: Sitka Gold Corp. (“Sitka” or the
“Company”) (CSE:SIG) (FSE:1RF) (OTCQB:SITKF) is pleased to announce an Initial
Mineral Resource Estimate (“MRE”) in accordance with the Canadian Institute of Mining,
Metallurgy and Petroleum (“CIM”) Definition Standards incorporated by reference in National
Instrument 43-101 (“NI 43-101”) for the Blackjack and Eiger gold deposits located on the
Company’s road accessible, contiguous 376 square kilometre RC Gold Project (“RC Gold” or
the “Project”) located in the Yukon’s prolific Tombstone Gold Belt (TGB). The MRE was
prepared on behalf of the company by GeoSim Services Inc. and is based on drilling
conducted between 2020 and 2022.
Press Release Highlights
● The Initial Mineral Resource Estimate comprises a total Inferred Mineral Resource of
1,340,000 ounces of gold beginning at surface.
● The Blackjack zone discovered in late 2021 contains a higher grade resource of
900,000 ounces of gold at a grade of 0.83 g/t gold at a cut-off grade of 0.25 g/t gold.
● The Blackjack and Eiger gold deposits are open in all directions and the resource does
not include other areas including the Saddle zone where drilling has confirmed the
presence of additional gold mineralization.
● Located in Yukon’s Tombstone Gold Belt, a rapidly expanding mining district.
● Initial metallurgical testing indicates that the gold is not refractory and has high gold
recoveries of up to 94% with minimal NaCN consumption (see News Release dated
July 13, 2022).
This pit constrained Mineral Resource is classified as inferred and contained in two near/on-
surface zones: The Blackjack and Eiger deposits. The Mineral Resource estimate is presented
in the following table at a base case cut-off grade of 0.25 g/t Au:
Table 1: RC Gold Inferred Mineral Resource Estimate
Notes
1. Mineral resource estimate prepared by Ronald G. Simpson of GeoSim Services Inc. with an effective date of January 19,
2023. Mineral Resources are classified using the 2014 CIM Definition Standards.
2. The cut-off grade of 0.25 g/t Au is believed to provide a reasonable margin over operating and sustaining costs for open-pit
mining and processing
3. Mineral resources are constrained by an optimized pit shell using the following assumptions: US$1800/oz Au price; a 45°
pit slope; assumed metallurgical recovery of 85%; mining costs of US$2.00 per tonne; processing costs of US$8.00 per
tonne; G&A of US$1.50/t.
4. Mineral resources are not mineral reserves and do not have demonstrated economic viability.
5. Totals may not sum due to rounding.
The resource estimate is based on analytical data from 34 drill holes representing 11,630m of
drilling. A National Instrument 43-101 Technical Report describing the details of the mineral
resource estimate is in preparation and will be filed on SEDAR within 45 days of this news
release.
“The production of an initial resource of over 1.3 million ounces of gold with only 34 diamond
drill holes marks a major milestone for our flagship project in the Yukon,” stated Cor Coe,
Director and CEO of Sitka. “Beginning in 2020 with the initial four diamond drill holes that Sitka
drilled in the Blackjack-Saddle-Eiger corridor, our team knew we had discovered an area with
high potential to produce a discovery of an intrusion related gold deposit. To advance the
project in such a short time and produce an initial resource estimate for the Blackjack and
Eiger zones is a testament to this potential and the abilities of Sitka’s technical and operational
teams. With both the Blackjack and Eiger deposits open in all directions, this initial Mineral
Resource provides a solid foundation from which we can build upon to add additional
resources and unlock further value from our RC Gold Project. The Company is currently
planning a two part, winter and summer diamond drilling program totalling 10,000 metres at
RC Gold for 2023, focused primarily in the Blackjack, Saddle and Eiger zone areas.”
The Blackjack and Eiger zones are typified by intrusion-hosted mineralization within the 2 km
x 500 m extensional corridor (see news release dated June 13, 2022) that provides a structural
and genetic link between the Blackjack zone and Eiger zone intrusions (see Figure 1). The
Blackjack and Eiger zones remain open in all directions and have excellent potential for
resource expansion. The Saddle zone, located midway between the Blackjack and Eiger is
characterised by metasedimentary rocks intruded by dykes and sills. This zone remains
relatively untested but contains significant mineralization with the potential to add additional
resources as demonstrated by drill hole DDRCCC20-01 which returned 0.52 g/t gold over 84.8
m from surface and DDRCCC21-19 which intersected 80.0 m grading 0.59 g/t gold from 48.0
m depth.
Figure 1: 2020 – 2022 drilling in the Blackjack, Saddle and Eiger zones
Table 2: RC Gold Drill Highlights 2020-2022
BLACKJACK ZONE
Drillhole ID Azimuth
(°)
Dip
(°)
Length (m) From (m) To (m) Interval (m)* Au (g/t) News Release
Date
DDRCCC-20-02 200 -60 296.0 9.0 296.0 287.0 0.52 Nov 23, 2020
Including 156.4 257.1 100.8 0.82
DDRCCC-21-07 208 -58 336.0 18.0 336.0 318 0.45 Aug 19, 2021
including 262.0 294.0 32.0 1.24
DDRCCC-21-021 320 -54 480.0 surface 220.0 220.0 1.17 Dec 13, 2021
Including 120.0 170.5 50.5 2.08
DDRCCC-22-022 320 -45 364.6 46.0 319.0 273.0 0.52 Apr 26, 2022
Including 253.0 315.0 62.0 1.21
DDRCCC-22-023 320 -61.5 285.0 4.2 210.0 205.8 1.01 May 17, 2022
Including 46.0 137.0 91.0 1.61
DDRCCC-22-024 277 -47 204.0 4.5 112.0 107.5 1.44 May 18, 2022
Including 16.0 82.0 66.0 2.11
DDRCCC-22-025 320 -46 389.2 19.0 368.0 349.0 0.71 June 13, 2022
Including 25.0 246.0 221.0 1.01
DDRCCC-22-026 140 -45 374.0 152.0 194.0 42.0 0.43 Sept 7, 2022
DDRCCC-22-027 320 -55 209.0 6.0 18.0 12.0 0.83
and 131.0 145.0 14.0 1.49
DDRCCC-22-028 320 -50 254.0 6.0 28.0 22.0 0.69 Sept 7, 2022
and 185.6 198.0 12.4 0.76
DDRCCC-22-029 320 -50 308.0 27.0 143.0 116.0 0.65 Sept 7, 2022
Including 124.0 143.0 19.0 1.22
DDRCCC-22-030 320 -50 398.0 1.4 148.0 146.6 0.90 Sept 7, 2022
Including 2.8 36.6 33.8 1.42
DDRCCC-22-031 320 -50 359.0 147.0 216.0 69.0 0.51 Sept 7, 2022
Including 147.0 157.0 10.0 1.18
DDRCCC-22-032 320 -54 386.0 255.0 265.0 10.0 0.42 Nov 18, 2022
and 352.0 362.4 10.4 10.4 0.47
DDRCCC-22-033 320 -50 344.0 104.6 114.7 10.1 1.56 Nov 18, 2022
and 292.0 311.0 19.0 1.03
DDRCCC-22-035 320 -50 244.0 156.0 164.4 8.4 0.95 Nov 18, 2022
DDRCCC-22-036 34.9 167.0 132.1 0.51 Nov 18, 2022
DDRCCC-22-037 125 -50 305.0 186.0 223.5 37.5 0.68 Nov 30, 2022
DDRCCC-22-038 315 -50 545.0 73.0 474.5 401.5 0.63 Nov 30,2022
Including 176.0 356.0 180.0 1.04
DDRCCC-22-039 320 -54 480.0 336.0 348.0 12.0 0.52 Jan 11, 2023
and 357.0 367.0 10.0 0.60
DDRCCC-22-040 320 -55 209.0 8.0 209.0 201.0 1.26 Jan 11, 2023
including 8.0 90.0 82.0 2.04
SADDLE ZONE
DDRCCC-20-01 180 -45 209 Surface 84.8 84.8 0.52 Nov 23, 2020
DDRCCC-21-19 180 -45 195.6 48.0 128.0 80.0 0.59 Jan 20, 2022
Including 80.0 96.0 16.0 2.18
EIGER ZONE
DDRCCC-20-03 341 -45 307.4 3.0 307.4 304.4 0.36 Oct 15, 2020
including 243.0 300.5 57.5 0.50
DDRCCC-20-04 189 -45 281 2.1 281.0 278.8 0.40 Oct 15, 2020
Including 132.0 271.0 139.0 0.61
DDRCCC-21-09 342 -45 430.0 76.0 430.0 354 0.41 Aug 19, 2021
Including 76.0 148.0 72.0 0.72
DDRCCC-21-10 344 -45 458.0 39.0 441.5 402.5 0.40 Sept 22, 2021
Including 136.5 174.3 37.8 1.03
DDRCCC-21-11 308 -46 224.0 124.0 147.0 23.0 0.50 Sept 22, 2021
DDRCCC-21-12 340 -45 419.0 25.0 50.0 25.0 0.67 Sept 22, 2021
And 166.0 173.0 7.0 1.20
DDRCCC-21-13 340 -50 476.0 113.0 326.0 213.0 0.45 Oct 21, 2021
Including 267.0 326.0 59.0 0.62
DDRCCC-21-14 340 -50 490.3 265.0 477.0 212.0 0.41 Oct 21, 2021
Including 273.0 355.0 82.0 0.61
DDRCCC-21-16 340 -45 435.0 39.0 51.0 12.0 1.18 Jan 20, 2022
and 136.0 161.0 25.0 0.56
*Intervals are drilled core length, as insufficient drilling has been completed at this time to determine true widths
Drilling at the RC Gold project has been planned to provide Sitka geologists with a solid
database of drilling data to understand controls on mineralization observed in both intrusive
and metasedimentary host rocks while also providing the necessary spatial density to
generate the initial resource estimate. Assay results from drilling along with structural
information obtained from oriented drilling, data from detailed core logging, reprocessed Lidar
data and interpretation of an airborne magnetic geophysical survey will form the basis for
planning of the 2023 resource expansion drilling program.
Quality assurance/quality control
On receipt from the drill site, the HQ-sized drill core was systematically logged for geological
attributes, photographed and sampled at Sitka’s 2022 field camp. Sample lengths as small as
0.3 m were used to isolate features of interest, otherwise a defaul t 2 m downhole sample
length was used. Core was cut in half lengthwise along a predetermined line, with one-half
(same half, consistently) collected for analysis and one-half stored as a record. Standard
reference materials, blanks and duplicate samples were inserted by Sitka personnel at regular
intervals into the sample stream. Bagged samples were placed in secure bins to ensure
integrity during transport. They were delivered by Sitka personnel or a contract expeditor to
ALS Laboratories' preparatory facility in Whitehorse, Yukon, with analyses completed in North
Vancouver.
● ALS is accredited to ISO 17025:2005 UKAS ref. 4028 for its laboratory analysis.
Samples were crushed by ALS to over 70 per cent passing below two millimetres and
split using a riffle splitter. One-thousand-gram splits were pulverized to over 85 per
cent passing below 75 microns. Gold determinations are by fire assay with an
inductively coupled plasma mass spectroscopy (ICP-MS) finish on 50 g subsamples
of the prepared pulp (ALS code: Au-ICP-22). Any sample returning over 10 g/t Au was
re-analyzed by fire assay with a gravimetric finish on a 50 g subsample (ALS code: Au-
GRA21). In addition, a 51-element analysis was performed on a 0.5 g subsample of