Sitka Announces Final Drill Results and Summarizes 2020 Exploration Program at Its Rc GOLD Project, Yukon
NEWS RELEASE
December 16, 2020
NR 20-32
www.sitkagoldcorp.com
SITKA ANNOUNCES FINAL DRILL RESULTS AND SUMMARIZES 2020 EXPLORATION
PROGRAM AT ITS RC GOLD PROJECT, YUKON
VANCOUVER, CANADA – December 16, 2020: Sitka Gold Corp. (“Sitka” or the “Company”)
(CSE:SIG) (FSE:1RF) is pleased to announce it has now received all the assay results from drilling,
trenching and soil sampling at its district scale, contiguous 376 sq uare kilometre RC Gold Project in
Yukon ( “RC Gold” or the “Project”). A total of six diamond drill holes totalling approximately 1500
metres w ere completed on the Pro ject this year testing high priority targets over a pproximately 10
kilometres (Figure 1). 497 soil samples , 20 rock samples, 140 metres of trenching and a 42 square
kilometre LiDAR airborne survey were also completed on the Project.
Highlights from diamond drilling include*:
DDRCCC-20-001:
o 18.0 metres of .90 g/t gold from 3.0 to 21.0 metres
o 13.6 metres of 1.63 g/t gold from 72.1 to 85.7 metres and
o 18.0 metres of 1.34 g/t gold from 69.0 to 87.0 metres and
DDRCCC-20-002:
o 231.0 metres of 0.61 g/t gold from 65.0 to 296.0 metres and
o 100.8 metres of 0.82 g/t gold from 156.4 to 257.2 metres and
o 2.0 metres of 16.10 g/t gold from 294.0 to 296.0 metres
DDRCCC20-003:
o 38.0 metres of 0.67 g/t gold from 27.0 metres to 65.0 metres and
o 57.5 metres of 0.50 g/t gold from 243.0 metres to 300.5 metres including
o 11.6 metres of 1.20 g/t gold from 251.0 metres to 262.6 metres and
o 0.9 metres of 9.57 g/t gold from 251.0 metres to 251.9 metres
DDRCCC20-004:
o 139.1 metres of 0.61 g/t gold from 131.9 metres to 271.0 metres in including:
o 59.0 metres of 0.88 g/t gold from 212.0 to 271.0 metres and
o 37.0 metres of 1.05 g/t gold from 234.0 to 271.0 metres and
o 6.6 metres of 1.27 g/t gold from 131.9 to 138.5 metres
DDRCRC20-006:
o 1.2 metres of 2.47 g/t gold and 23.2 g/t silver from 142.1 metres to 143.3 metres
*See Table 1.
“The Company’s first drill program at RC Gold was a huge success and resulted in the disc overy of a
large, robust intrusion related gold system ”, stated Cor Coe, CEO and Director of Sitka. “These
exceptional drill results, including 100.8 metres of 0.82 g/t gold , that also ended in 16.1 g/t gold
over 2.0 metres , demonstrates the enormous potential present at the Saddle -Eiger Zones and
confirms that the area hosts significant gold mineralization , open both laterally and at depth , within a
broad gold-in-soil anomaly that is over 2 kilometres in length (see news release dated November 23,
2020). The intercepts and grades we are discovering in this area are quite compelling w hen you
consider Victoria Gold’s producing Eagle Gold mine, located just 40km east of our claim block, has a
resource grade of 0.63 g/t gold . We believe the results from these inaugural drill holes at the Saddle -
Eiger Zones reflect t he grades and scale necessary for hosting an economic gold deposit. Trenching
and drilling conducted on other areas of the district scale property also returned inaugural gold results
with drillhole DDRCRC20-006 returning 2.47 g/t gold and 23.2 g/t silver over 1.2 metres at the Big
Creek Zone and trench BR20-01 returning 7.0 metres of 0.65 g/t Au in a large >100ppb gold -in-soil
anomaly at Barney Ridge (Figure 1). We are looking forward to a much more aggressive drill program
in 2021 to follow up on the impor tant gold discovery identified at the Saddle-Eiger Zones, as well as
continuing exploration efforts at other target areas within the district scale property, including following
up on the trenching results at Barney Ridge and the drill results at the Big Creek Zone.”
Sitka’s first ever drill campaign at RC Gold tested four targets over a distance of approximately 10
kilometres within a massive 376 square kilometre land package that had never been drilled bef ore or
where previous drilling had been unsuccessful in reaching target depth (see Figure 1). The campaign
was successful in intersecting significant gold min eralization within an intrusion related gold syste m
environment in all four drill holes completed within the Saddle -Eiger Zone area and returned
significant gold mineralization in drilling at the Big Creek Zone 6 kilometres away.
Figure 1: RC Gold Project 2020 Work Locations
The first four drill holes (DDRCCC-20-001 to DDRCCC-20-004) at the Saddle -Eiger Zones were
strategically positioned to test the large, overlying >100ppb to >500 ppb gold -in-soil geochemical
anomaly that stretches over an approximate 2 kilometre x 500 metre area (Figure 2). DDRCCC-20-
001 and 20-002 were located approximately 1240 metres and 1830 metres respectively to the west of
DDRCCC-20-004 along the trend of this large gold anomaly. All four diamond drill holes collared over
this 2 kilometre distance r eturned exceptionally long intersections of up to 100.8 metres of 0.82 g/t
gold, as well as high grade intervals of up to 16.1 g/t gold over 2.0 metres (see Table 1 below) and
straddle a lateral width of 300 metres of persistent gol d values as demonstrated in holes DDRC2020-
003 AND 004. The results from these four drill holes demonstrate the potential size and robust nature
of this mineralized gold zone and solidify Sitka’s belief that the RC Gold Project is an incredibly fertile
land package capable of hos ting several intrusion related gold deposits along with high -grade vein
and breccia hosted gold. Sitka is planning a much l arger diamond drill program to follow up on these
results in the 2021 field season.
a
Figure 2: 2020 Drillhole Plan Map at the Saddle-Eiger Zones
The Company identified the Saddle-Eiger Zone s, which contains a large >500 ppb gold -in-soil
anomaly, as a priority drill target area at the RC Gold Project and submitted eleven rock grab and chip
surface samples for rush analysis while drilling was underway. The samples returned values ranging
from 1.56 g/t gold to 27.8 g/t gold (see news release dated September 8, 2020) and identified a strong
correlation between high grade gold and bismuth.
DDRCCC-20-001 (results previously announced - see news release November 23, 2020) was drilled
to test mineralization reported in historical trenches, and a gold -in-soil anomaly at the Saddle zone.
The hole encountered a thick package of hornfelsed metasediments and a qu artz monzonite intrusion
interpreted by Company geologists to be a sill. Significant quartz -sulphide sheeted veins were
recorded within the metasediment package in the hanging wall of the intrusive sill, and in the intrusive
sill itself.
DDRCCC-20-002 (results previously announced - see news release November 23, 2020) was drilled
625 meters west of hole 20-001 and collared on the margin of the Saddle intrusive stock. The drillhole
intersected quartz m onzonite, belonging to the Saddle Stock Unit, for nearl y the entire length of the
hole except for a short section of metasediments near the bottom. Mineralization consisted of sheeted
quartz-sulphide veins, and notably an interval of pegmatite and massive arsenopyrite veins at the
bottom of the hole which returned 16.1 g/t Au over 2.0 meters between 294.0 and 296.0 meters depth.
High-grade gold values throughout the drill holes were found to coincide with higher bismuth values.
DDRCCC-20-003 (results previously announced - see news release dated October 15, 2020) was
collared on the margin of the Eiger stock and drilled to the northwest to intersect at depth numerous
quartz-sulphide veins sampled at surface which returned values up to 27.8 g/ t Au from select grab
samples obtained at the beginning of the drill program (see news release dated September 8, 2020).
The hole encountered intrusive rocks of the Eiger stock mineralized with sheeted quartz -sulphide
veins for its entire length. Mineraliz ation consisted of quartz veins containing pyrite, arsenopyrite and
bismuthinite, and massive arsenopyrite veins. Visible gold with bismuthinite was also observed in
DDRCCC-20-003 during logging and was confirmed by assay results. The correlation of gold a nd
bismuth in intrusion related gold systems is a characteristic feature of deeply formed intrusion -
proximal gold deposits and is present at the nearby Eagle Gold mine and at the Fort Knox gold mine
where it indicates the presence of fine grained (on the o rder of 100 microns) free gold (Baker et al.,
2005). Sheeted quartz veins mineralized with variable amounts of arsenopyrite, pyrite, chalcopyrite
and bismuthinite were encountered throughout the entire length of drillhole DDRCCC -20-003 below
the surface projection where the reported samples were taken.
DDRCCC-20-004 (results previously announced - see news release dated October 15, 2020) was
collared approximately 100 meters north of DDRCCC-20-003 and drilled to the south. The hole was
planned to test bel ow mineralization reported from historical trenches and to test the margin of the
intrusive stock and the adjoining hornfelsed metasedimentary unit. The hole encountered mineralized
sheeted veins throughout its entire length, and a notable increase in gra de was observed in the
hornfelsed metasediment unit adjacent to the Eiger stock.
DDRCCC-20-005 was drilled at an azimuth of 360 degrees and a dip of -45 degrees for a total depth
of 173 metres to test a separate target at the FAR Grid Zone located approximately 6 kms southeast
of DDRCCC-20-004 (see Figure 1). This was the first drill hole to test a broad gold geochemical
anomaly outlined from previous exploration work conducted over the area. The hole encountered
hornfelsed metasedimentary units throughout its entire length mineralized with a sporadic low density
distribution of sheeted-style quartz veins associated with anomalous gold values.
DDRCCC-20-006 was drilled at an azimuth of 35 degrees and a dip of -45 degrees for a total depth of
221 metres to test another target at the Big Creek Zone located approximately 2 kilometres southeast
of DDRCCC-20-004 (see Figure 1). This was the first drill hole to test a broad gold geochemical
anomaly outlined from previous exploration work conducted over the area. The hole was collared and
remained in intrusive diorite of the Big Creek Stock for its entire length. Numerous zones consisting
of sheeted-style quartz veins returned anomalous gold values, and a significant quartz -arsenopyrite-
tourmaline vein was intersected between 142.1 metres and 143.3 metres returning 2.47 g/t gold and
23.2 g/t silver over 1.2 metres.
Table 1: RC Gold Project Drill Results
Hole ID From (m) To (m) Interval* (m) Gold (g/t)
DDRCCC20-001 3.0 87.8 84.8 0.52
including 72.1 85.7 13.6 1.63
including 69.0 87.0 18.0 1.34
and 3.0 21.0 18.0 0.90
DDRCCC20-002 9.0 296.0 287.0 0.52
including 65.0 296.0 231.0 0.61
Including 156.4 257.1 100.8 0.82
and 294.0 296.0 2.0 16.10
DDRCCC20-003 3.0 307.4 304.4 0.36
Including 27.0 65.0 38.0 0.67
Including 243.0 300.5 57.5 0.50
Including 251.0 262.6 11.6 1.20
Including 251.0 251.9 0.9 9.57
DDRCCC20-004 2.1 281.0 278.8 0.4
Including 187.0 271.0 84.0 0.72
Including 131.9 271.0 139.1 0.61
Including 212.0 271.0 59.0 0.87
Including 234.0 271.0 37.0 1.05
Including 131.9 138.5 6.6 1.27
DDRCRC20-005 No significant results
DDRCRC20-006 142.1 143.3 1.2 2.47
*Intervals are drilled core length, as insufficient drilling has been undertaken to determine true widths at this time.
Cross-sections of these drillholes will be made available on the Company’s website
(www.sitkagoldcorp.com).
As part of the 2020 exploration program at the RC Project, a total of 140 m etres of trenching was
complete in two trenches over a high definition gold -in-soil anomaly at Barney Ridge (Figure 1 ).
Results included 7.0 metres at 0.65 g/t Au . This sampling represents trenching conducted
perpendicular to the general mineralized sheeted vein structures in the area which are hosted in a
hornfelsed metasedimentary unit. This is a new zone that has not had any previous trenching and is a
drill target for further exploration in 2021.
A total of 497 soil samples were also completed during the 2020 exploration season. Analytical results
of the soil samples significantly extended and infilled existing gold -in-soil anomalies at the RC Gold
Project. Rock samples also verified significant gold mineralization on surf ace, returning up to 27.8 g/t
Au from select grab samples (see news release dated September 8, 2020).
LiDAR interpretation from this season’s 42 square kilometres LiDAR survey has begun and is
anticipated to assist in future drill target selection by iden tifying areas with a potential for a high
density of structures and intersections, including over the newly discovered Saddle -Eiger Zone gold
corridor.
About the RC Gold Project
The RC Gold Project is a 376 square kilometre contiguous district scale land package located in the
newly road accessible Clear Creek, Big Creek and Sprague Creek districts in the heart of Yukon's
Tintina Gold Belt and within the Tombstone Gold Belt. It is the largest consolidated land package
strategically posi tioned mid -way between Victoria Gold's Eagle Gold Mine, Canada’s newest gold
mine which just reach commercial production earlier this summer, and Golden Predator's Brewery
Creek Gold Mine, which recently received Government and First Nation’s support for r e-starting
production. The RC Gold Project land package is comprised of five underlying mining properties,
namely; the RC, Bee Bop, Mahtin, Clear Creek and Barney Ridge Properties*.
Sitka Gold has inherited a wealth of historical and current data from these properties that span the last
40 years. Recent exploration work and the compilation of historical data has defined several
mineralized zones with both bulk tonnage, intrusion -related gold deposit targets and high -grade, vein
and breccia hosted gold targets. The RC Gold Project also has a common border with Victoria Gold’s
Clear Creek property at its western boundary and AM Gold’s Red Mountain pro perty at its northern
boundary.
*For more detailed information on the u nderlying properties please visit ou r website at
www.sitkagoldcorp.com.
Deposit Model
Exploration on the Property has predominately been focused on identifying an intrusion related gold
system (“IRGS”). The property is part of the Tombstone Gol d Belt which is the prominent host to
IRGS deposits within the Tintina Gold Province in Yukon and Alaska. Notable deposits from the belt
include: Fort Knox mine in Alaska with current reserves of 282 million tonnes at 0.37 g/t Au (3.4
million ounces, not including 7.5 million ounces of past production; Fairbanks Gold Mining Inc.); Eagle
Gold mine with 155 million tonnes at a diluted grade of 0.65 g/t Au (3.26 million ounces; Victoria Gold
Corp., 2020); the Brewery Creek epizonal deposit with 17.17 million tonnes at a gold grade of 1.45 g/t
(0.726 million ounces; Barr, 2013); and the Red Mountain gold deposit, located adjacent to Sitka’s RC
Gold project, with 127 million tonnes grading 0.48 g/t (1.95 million ounces; AM Gold Corp.; Cole,
2012)*.
*The disclosur e above is strictly for deposit model comparisons and the mineralization hosted on
these properties is not indicative of mineralization hosted on the Company’s property.
(1) O’Brien, E. and Kreft, B., (2010): 2010 Diamond Drilling Program Clear Creek Property
Analysis and QA/QC
Analytical work was carried out by Bureau Veritas Labs for diamond drill holes DDRC20-001 and 002
and all soil samples . The sample preparation took place in Whitehorse, YT and the analyses were
completed in Vancouver, BC. Each sample was assayed for Gold by 50 gram fire assay FA450 with
over-limits re-analyzed gravimetrically. Additionally, each sample was analysed by ICP ES -MS for a
suite of 36 elements.
Analytical work was carried out by ALS Global Labs for diamond dri ll holes DDRC20-003 to 006 and
all rock samples. The sample preparation took place in Whitehorse, YT and the analyses were
completed in Vancouver, BC. Each sample was assayed for Gold by 30 gram fire assay Au -AA25
with over -limits re -analyzed gravimetric ally. Additionally, each sample was analysed by ICP ME -
MS41 for a suite of 51 elements.
The Company has a rigorous Quality Assurance/Quality Control (QA/QC) program in place consistent
with NI 43-101 and industry best practices in addition to QA/QC procedures at the lab. Each batch of
20 samples contains one certified Standard Reference Materia l and one Blank of know n
unmineralized material.