Sitka Files Technical Report for 1,340,000 Ounce Gold Initial Mineral Resource Estimate for its RC Gold Project, Yukon
NEWS RELEASE
March 3, 2023
NR 23-08
www.sitkagoldcorp.com
Sitka Files Technical Report for 1,340,000
Ounce Gold Initial Mineral Resource Estimate
for its RC Gold Project, Yukon
VANCOUVER,
CANADA
–
March
3,
2023:
Sitka
Gold
Corp.
(“Sitka”
or
the
“Company”)
(CSE:SIG)
(FSE:1RF)
(OTCQB:SITKF)
is
pleased
to
announce
it
has
filed
the
Technical
Report
to
support
the
1,340,000
gold
ounce
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
Compa
ny’s
RC
Gold
Project
(“RC
Gold”
or
the
“Project”).
The
road
accessible,
contiguous
376
square
kilometre
RC
Gold
Project
is
located
in
the
Yukon’s
prolific
Tombstone
Gold
Belt
(TGB)
approximately
100
kilometres
east
of
Dawson
City.
The
Technical
Report,
titled
Clear
Creek
Property,
RC
Gold
Project,
NI
43-101
Technical
Report,
Dawson
Mining
District,
Yukon
Territory
is
dated
January
19,
2023
and
was
prepared
by
Ronald
G.
Simpson,
P.Geo.,
GeoSim
Services
Inc.
The
Report
may
be
found
on
the
Company’s
website
or
under
the
Company’s
profile
on
www.sedar.com.
“
Filing
of
this
Technical
Report
marks
a
major
milestone
for
both
the
RC
Gold
Project
and
Sitka”,
stated
Cor
Coe,
P.Geo,
Director
and
CEO
of
Sitka
Gold.
“
This
1,340,000
gold
resource
at
RC
Gold
will
provide
Sitka
with
an
important
new
benchmark
for
valuation
which
we
intend
to
leverage
as
we
work
toward
growing
this
Mineral
Resource.
With
our
2023
winter
diamond
drilling
program
beginning
soon,
we
expect
to
see
meaningful
advancement
at
RC
Gold
over
the
coming
months
with
drilling
primarily
focused
on
expanding
both
the
Blackjack
and
Eiger
gold
deposits,
which
remain
open
in
all
directions
(see
Figure
1).
A
1.5
kilometre
long
mineralized
corridor
still
remains
between
these
deposits
with
the
potential
for
gold
mineralization
to
link
the
Blackjack
and
Eiger
zones
together
(see
Figures
1
and
2).
With
an
average
grade
similar
to
that
of
Victoria
Gold’s
nearby
producing
Eagle
Gold
Mine,
metallurgical
testing
that
shows
the
gold
is
amenable
to
heap
leaching,
with
recoveries
of
up
to
94%,
year-round
road
access
and
proximity
to
other
key
infrastructure
such
as
powerlines,
highway
and
Dawson
City
proper,
the
potential
for
future
mine
development
at
RC Gold is quite attractive.”
Figure 1: Blackjack and Eiger Gold Deposits
As
announced
on
January
19,
2023
the
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.
Figure 2: Blackjack, Saddle and Eiger zones at the RC Gold Project
The
Blackjack
and
Eiger
zones
are
typified
by
intrusion-hosted
mineralization
within
the
2
km
x
500
metre
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
2).
The
Blackjack
and
Eiger
deposits
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
that
included
16.0
m
grading
2.18
g/t
gold
(see
news
releases
dated
November 23, 2020 and January 20, 2022 respectively).
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,
geological
mapping,
reprocessed
Lidar
data
and
interpretation
of
an
airborne
magnetic
geophysical
survey
have
been
instrumental
in
forming
the
basis
for
targeting
high
priority
areas
within
the
RC
Gold
Project,
including
the
discovery
of
the
Backjack
and
Eiger
deposits.
This
methodology
will
continue
to
form
the
basis
for
future
exploration
work
on
the
RC
Gold
Project.
The
2023
drilling
program
will
be
focused
on
expansion
drilling
at
the
Blackjack
and
Eiger
deposits
and
will
consist
of
both
a
winter
and
summer
phase
with
up
to
10,000
metres
of
drilling
planned.
Mobilization
is
currently
underway
at
RC
Gold
and
winter
diamond
drilling
is planned to commence in the next couple of weeks.
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
default
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
the
prepared
pulps
by
an
aqua
regia
digestion
followed
by
an
inductively
coupled
plasma
mass
spectroscopy
(ICP-MS)
finish
(ALS
code:
ME-MS41).
About the RC Gold Project
The
RC
Gold
Project
(RC
Gold)
consists
of
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
Tombstone
Gold
Belt.
It
is
the
largest
consolidated
land
package
strategically
positioned
mid-way
between
Victoria
Gold's
Eagle
Gold
Mine
-
Yukon’s
newest
gold
mine
which
reached
commercial
production
in
the
summer
of
2020
-
and
Sabre
Gold
Mine’s
Brewery
Creek
Gold
Mine.
The
RC
Gold
Project
land
package
comprises
five
underlying
properties,
namely,
the
RC,
Bee
Bop,
Mahtin,
Clear
Creek,
and
Barney Ridge properties*.
Several
high
priority
intrusion
related
gold
targets
exist
at
RC
Gold
with
nine
outcropped
intrusions
identified
to
date
over
the
376
sq
km
property,
however
Sitka’s
main
focus
at
the
RC
Gold
Project
has
been
on
the
underlying
Clear
Creek
Property
where
a
large
500
metre
by
2000
metre
intrusion
related
gold
system
covering
the
area
over
the
Blackjack,
Saddle
and
Eiger
zones
was
identified.
To
date
the
Company
has
drilled
38
diamond
drill
holes
into
this
system
for
a
total
of
approximately
13,000
metres.
This
drilling
culminated
in
the
discovery
of
the
Blackjack
and
Eiger
deposits
with
an
initial
inferred
mineral
resource
estimate of 1,340,000 gold ounces
(1)
.
The
Company
has
the
right
to
acquire
a
100%
interest
in
the
Clear
Creek
Property
which
hosts
the
Blackjack
and
Eiger
deposits
by
paying
$230,000
($75,000
paid
to
date),
issuing
600,000
shares
(150,000
shares
issued
to
date)
and
completing
$1,250,000
in
exploration
over
5
years
(~$6,500,000
exploration
expenditures
have
been
incurred
to
date).
An
additional
$200,000
cash
is
payable
and
1,000,000
shares
issuable
upon
Sitka
publicly
disclosing
an
Inferred
Mineral
Resource
or
greater
category
of
750,000
ounces
of
gold
or
greater
(as
such
term
is
defined
in
National
Instrument
43-101
-
Standards
of
Disclosure
for
Mineral
Projects
(“NI
43-101”).
This
cash
payment
of
$200,000
has
been
made
and
1,000,000
shares
have
been
issued
pursuant
to
the
public
announcement
of
an
initial
inferred
mineral
resource
of
1,340,000
gold
ounces
(see
news
release
dated
January
19,
2023).
The
property
is
subject
to
a
2%
NSR,
one-half
of
which
can
be
purchased
for
$1,500,000
at
any
time
prior
to
commencement
of
commercial
production
(see
news
release
dated July 6, 2020).
Sitka
Gold
inherited
a
wealth
of
historical
and
current
data
from
these
properties
from
work
spanning
the
last
40
years.
Recent
exploration
work
and
the
compilation
of
historical
data
have
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 Florin Resources’ Florin Gold property at its northern boundary.
(1) Simpson, R. January 19, 2023.
Clear Creek Property,
RC Gold Project, NI 43-101 Technical Report, Dawson
Mining District, Yukon Territory.
*For
more
detailed
information
on
the
underlying
properties
please
visit
our
website
at
www.sitkagoldcorp.com
.
Deposit Model
Exploration
on
the
Property
has
mainly
focused
on
identifying
an
intrusion-related
gold
system
(“IRGS”).
The
property
is
part
of
the
Tombstone
Gold
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
Proven
and
Probable
Reserves
of
230
million
tonnes
at
0.3
g/t
Au
(2.471
million
ounces;
Sims
2018)
(1)
;
Eagle
Gold
Mine
with
current
Proven
and
Probable
Reserves
of
155
million
tonnes
at
a
diluted
grade
of
0.65
g/t
Au
at
the
Eagle
and
Olive
deposits
(3.261
million
ounces;
Goodwin
et
al.
2019)
(2)
;
the
Brewery
Creek
deposit
with
current
Indicated
Mineral
Resource
of
22.2
million
tonnes
at
a
gold
grade
of
1.11
g/t
(0.789
million
ounces;
Hulse
et
al.
2020)
(3)
;
the
Florin
Gold
deposit,
located
adjacent
to
Sitka’s
RC
Gold
project,
with
a
current
Inferred
Mineral
Resource
of
170.99
million
tonnes
grading
0.45
g/t
(2.47
million
ounces;
Simpson
2021)
(4)
and
the
AurMac
Project
with
an
Inferred
Mineral
Resource
of
207.0
million
tonnes
grading
0.60
gram
per tonne gold (3.99 million ounces; Jutras 2022)
(5)
.
(1) Sims J. Fort Knox Mine Fairbanks North Star Borough, Alaska, USA National Instrument 43-101 Technical
Report. June 11, 2018.
https://s2.q4cdn.com/496390694/files/doc_downloads/2018/Fort-Knox-June-2018-Technical-Report.pdf
(2) Goodwin R, Gray P, Jutras M, Tang S, Wilbur S. Technical Report for the Eagle Gold Mine, Yukon Territory,
Canada. JDS Energy & Mining Inc. December 6, 2019.
https://vitgoldcorp.com/site/assets/files/6480/jds-vit-eagle-gold-ni-43-101-fs-report-20191206.pdf
(3) Hulse D, Emanuel C, Cook C. NI43-101 Technical Report on Mineral Resources. Gustavson Associates. May
31, 2020.
https://www.goldenpredator.com/_resources/Brewery-Creek_NI-43-101-05OCT2020-File.pdf
(4) Simpson R. Florin Gold Project NI43-101 Technical Report. Geosim Services Inc. April 21, 2021.
https://sedar.com/GetFile.do?lang=EN&docClass=24&issuerNo=00005795&issuerType=03&projectNo=03236138&docI
d=4984158
(5
)
Banyan Gold News Release Dated May 17, 2022
(Technical Report to be filed within 45 days of news release)
https://www.banyangold.com/news-releases/2022/banyan-announces-4-million-ounce-gold-mineral-resource-estimate-f
or-the-aurmac-property-yukon-canada/
About Sitka Gold Corp.
Sitka
Gold
Corp.
is
a
well-funded
mineral
exploration
company
headquartered
in
Canada.
The
Company
is
managed
by
a
team
of
experienced
industry
professionals
and
is
focused
on
exploring
for
economically
viable
mineral
deposits
with
its
primary
emphasis
on
gold,
silver
and
copper
mineral
properties
of
merit.
Sitka
currently
has
an
option
to
acquire
a
100%
interest
in
the
RC,
Barney
Ridge,
Clear
Creek
and
OGI
properties
in
the
Yukon
and
the
Burro
Creek
Gold
property
in
Arizona.
Sitka
owns
a
100%
interest
in
its
Alpha
Gold
property
in
Nevada,
its
Mahtin
Gold
property
in
the
Yukon and its Coppermine River project in Nunavut.
Sitka
has
received
all
assay
results
from
its
2022
diamond
drill
program
at
its
RC
Gold
Project
in
the
Yukon
and
announced
a
43-101
compliant
Initial
Mineral
Resource
Estimate
of
1,340,000
ounces
of
gold
(1)
beginning
at
surface
and
grading
0.68
g/t
(see
news
release
dated
January
19,
2023).
A
resource
expansion
diamond
drilling
program
is scheduled to commence this month (March, 2023).
Results
from
2022
drilling
at
the
Company’s
Alpha
Gold
Property
in
Nevada
where
a
new
Carlin-type
gold
system
was
recently
discovered
have
all
been
received.
The
Company
is
focused
on
vectoring
towards
the
high-grade
core
of
this
newly
discovered
system,
which
is
located
in
the
Cortez
Trend
just
40
km
southeast
of
the
Cortez
Mine
Complex
of
Barrick/Newmont,
and
plans
for
a
2023
drilling
program
at
Alpha
are
currently underway.
(1) Simpson, R. January 19, 2023.
Clear Creek
Property, RC Gold Project, NI 43-101 Technical Report, Dawson
Mining District, Yukon Territory.
Upcoming Events
Sitka Gold will be attending and/or presenting at the following events:
●
PDAC, Toronto: March 5 - 8, 2023
○
Investor’s Exchange Booth #2346
○
Core Shack Booth #3110A
●
Swiss Mining Institute Conference, Zurich
: March 21
- 22, 2023
●
Dawson Gold Show, Dawson City, Yukon: May 19 - 20, 2023
●
TakeStock Calgary Capital Event
, Calgary, AB: July
5, 2023
●
YMA Property Tours, Dawson City, Yukon: July 16-22, 2023
●
Precious Metals Summit, Beaver Creek, Colorado:
September
12 - 15, 2023
All events are subject to change.
The
Initial
Mineral
Resource
Estimate
for
the
Clear
Creek
Property,
RC
Gold
Project,
was
prepared
by
Ronald
G.
Simpson,
P.Geo.,
GeoSim
Services
Inc.,
an
independent
Qualified
Person
in
accordance
with
the
requirements
of
NI
43-101,
who
has
reviewed
and
approved
the contents of this release.
The
scientific
and
technical
content
of
this
news
release
has
been
reviewed
and
approved
by
Cor
Coe,
P.Geo.,
Director
and
CEO
of
the
Company,
and
a
Qualified
Person (QP) as defined by National Instrument 43-101.
ON BEHALF OF THE BOARD OF DIRECTORS OF
SITKA GOLD CORP.
“Donald Penner”
President and Director
For more information contact:
Donald Penner
President & Director
778-212-1950
or
Cor Coe
CEO & Director