Skeena Discovers High Grade Mineralization in Former Eskay Creek Waste Facility Including 6.89 g/t AuEq over 22.80 metres
Skeena Discovers High Grade Mineralization in Former Eskay Creek
Waste Facility Including 6.89 g/t AuEq over 22.80 metres
Vancouver, BC ( May 25, 2021) Skeena Resources Limited (TSX: SKE, OTCQX: SKREF)
(“Skeena” or the “Company”) is pleased to report drilling results from the 2021 permitted Albino Waste
Facility (“AWF” or “Albino”) investigation at the Eskay Creek Project (“Eskay Creek” or the “Project”)
located in the Golden Triangle of British Columbia . This initial examination, totaling 190 m , was
completed utilizing an air rotary drill rig from the ice surface of the AWF in March 2021 . Analytical
results from the first four of eight drill holes are presented in this release. The remaining holes will be
released once analyses are available. Reference images are presented at the end of this release as
well as on the Company’s website.
Eskay Creek AWF 2021 Highlights:
• 4.17 g/t Au, 160 g/t Ag (6.31 g/t AuEq) over 16.01 m (SK-21-841)
• 4.18 g/t Au, 190 g/t Ag (6.72 g/t AuEq) over 12.16 m (SK-21-842)
• 4.16 g/t Au, 204 g/t Ag (6.89 g/t AuEq) over 22.80 m (SK-21-843)
• 3.13 g/t Au, 127 g/t Ag (4.82 g/t AuEq) over 19.76 m (SK-21-844)
Gold Equivalent (AuEq) calculated via the formula: Au (g/t) + [Ag (g/t) / 75]. True widths equate to 100% of reported sample lengths. Grade -
capping of individual assays has not been applied to the Au and Ag assays informing the length -weighted AuEq composites. Metallurgical
processing recoveries have not been applied to the AuEq calculation and are taken at 100%. Samples below detection limit were nulled to a
value of zero.
Historical Waste Facility Demonstrates Significant Grade and Potential
Situated west of the Eskay Creek mine site, the Albino Waste Facility was utilized by former operators
as a subaqueous repository for mine waste management and included both mine waste rock as well
as mill tailings.
During historical operations, the u nderground mine development was largely tunneled in the often-
mineralized footwall Rhyolite sequences below the mined Contact Mudstone. Although these rocks
possessed variable Au-Ag grades, former operators considered the Rhyolite-hosted mineralization
uneconomic due to the high cutoff grades required at the time. Hence, this development rock was
transferred to the AWF for subaqueous deposition.
Via the initial drill-based investigation in Q1 2021 , the Company has now empirically demonstrated
that significant Au-Ag mineralization was in fact deposited at Albino. The area of the AWF measures
128,900 m2, of which the Company has only tested a small portion measuring 5,200 m2. As such, only
4% of the entire AW F has been investigated to date. This first phase of drilling was performed on
staggered 50 m centers from the frozen ice surface. Although more drill holes were planned, ice
conditions deteriorated, and the program was terminated early for safety reasons.
Analytical results for the first four drill holes indicate excellent downhole as well as hole to hole Au-Ag
grade continuity. Of particular note are the relatively low concentrations of mercury which only range
NR: 21-23 | May 25, 2021
from 11 to 99 ppm. Arsenic and antimony concentrations are variable but fall within expected values
and are detailed in Table 1.
Next Steps – 2021 Program Extension
The Company is currently planning an extension to this drilling program which will be completed in the
second half of 2021 based on the positive results from the preliminary investigation.
About Skeena
Skeena Resources Limited is a Canadian mining exploration company focused on revitalizing the past-
producing Eskay Creek gold -silver mine located in Tahltan Territory in the Golden Triangle of
northwest British Columbia, Canada. The Company released a robust Preliminary Economic
Assessment in late 2019 and is currently focused on infill and exploration drilling to advance Eskay
Creek to full Feasibility by Q1 2022. Additionally, Skeena continues exploration programs at the past-
producing Snip gold mine.
On behalf of the Board of Directors of Skeena Resources Limited,
Walter Coles Jr.
President & CEO
Contact Information
Investor Inquiries: [email protected]
Office Phone: +1 604 684 8725
Company Website: www.skeenaresources.com
Qualified Persons
Exploration activities at the Eskay Creek Project are administered on site by the Company’s
Exploration Managers, Raegan Markel, P.Geo. and John Tyler. In accordance with National
Instrument 43-101 Standards of Disclosure for Mineral Projects, Paul Geddes, P.Geo. Vice President
Exploration and Resource Development, is the Qualified Person for the Company and has prepared,
validated and approved the technical and scientific content of this news release. The Company strictly
adheres to CIM Best Practices Gui delines in conducting, documenting, and reporting the exploration
activities on its projects.
Quality Assurance – Quality Control
Once received from the drill and processed, all drill core samples are sawn in half, labelled and
bagged. The remaining drill core is subsequently securely stored on site. Numbered security tags are
applied to lab shipments for chain of custody requirements. The Company inserts quality control (QC)
samples at regular intervals in the sample stream, including blanks and referenc e materials with all
sample shipments to monitor laboratory performance. The QAQC program was designed and
approved by Lynda Bloom, P.Geo. of Analytical Solutions Ltd., and is overseen by the Company’s
Qualified Person, Paul Geddes, P.Geo, Vice President Exploration and Resource Development.
Drill core samples are submitted to ALS Geochemistry’s analytical facility in North Vancouver, British
Columbia for preparation and analysis. The ALS facility is accredited to the ISO/IEC 17025 standard
for gold assays and all analytical methods include quality control materials at set frequencies with
established data acceptance criteria. The entire sample is crushed and 1 kg is pulverized. Analysis for
gold is by 50 g fire assay fusion with atomic absorption (AAS) finish with a lower limit of 0.01 ppm and
upper limit of 100 ppm. Samples with gold assays greater than 100 ppm are re-analyzed using a 50 g
fire assay fusion with gravimetric finish. Analysis for silver is by 50 g fire assay fusion with gravimetric
finish with a lower limit of 5ppm and upper limit of 10,000 ppm. Samples with silver assays greater
than 10,000 ppm are re -analyzed using a gravimetric silver concentrate method. A selected number
of samples are also analyzed using a 48 multi -element geochemical package by a 4 -acid digestion,
followed by Inductively Coupled Plasma Atomic Emission Spectroscopy (ICP -AES) and Inductively
Coupled Plasma Mass Spectroscopy (ICP-MS) and also for mercury using an aqua regia digest with
Inductively Coupled Plasma Atomic Emis sion Spectroscopy (ICP -AES) finish. Samples with sulfur
reporting greater than 10% from the multi -element analysis are re -analyzed for total sulfur by Leco
furnace and infrared spectroscopy.
Cautionary note regarding forward-looking statements
Certain statements made and information contained herein may constitute “forward looking information” and “forward looking
statements” within the meaning of applicable Canadian and United States securities legislation. These statements and information are
based on facts currently available to the Company and there is no assurance that actual results will meet management’s expectations.
Forward-looking statements and information may be identified by such terms as “anticipates”, “believes”, “targets”, “estimates”, “plans”,
“expects”, “may”, “will”, “could” or “would”. Forward-looking statements and information contained herein are based on certain factors
and assumptions regarding, among other things, the estimation of mineral resources and reserves, the reali zation of resource and
reserve estimates, metal prices, taxation, the estimation, timing and amount of future exploration and development, capital and operating
costs, the availability of financing, the receipt of regulatory approvals, environmental risks, title disputes and other matters. While the
Company considers its assumptions to be reasonable as of the date hereof, forward -looking statements and information are not
guarantees of future performance and readers should not place undue importance on such statements as actual events and results may
differ materially from those described herein. The Company does not undertake to update any forward-looking statements or information
except as may be required by applicable securities laws.
Neither the Toronto Stock Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the
adequacy or accuracy of this release.
Table 1: Eskay Creek Project 2021 Albino Drilling Campaign Length-Weighted Drill Hole
Composites:
Hole-ID From (m) To (m) Sample Length (m) Au (g/t) Ag (g/t) AuEq (g/t) Hg (ppm) Sb (ppm) As (ppm)
SK-21-841 2.33 3.85 1.52 4.41 131 6.16 67 842 284
SK-21-841 3.85 7.70 3.85 3.40 153 5.44 60 3,610 304
SK-21-841 7.70 9.22 1.52 3.66 170 5.93 60 3,620 289
SK-21-841 9.22 10.74 1.52 5.38 253 8.75 60 3,970 302
SK-21-841 10.74 12.26 1.52 2.58 93 3.82 23 1,260 259
SK-21-841 12.26 13.78 1.52 6.58 321 10.86 90 5,420 383
SK-21-841 13.78 15.30 1.52 2.67 62 3.50 13 280 260
SK-21-841 15.30 16.82 1.52 4.30 98 5.61 28 468 286
SK-21-841 16.82 18.34 1.52 5.77 169 8.02 40 733 282
Composite 2.33 18.34 16.01 4.17 160 6.31 51 2,443 296
SK-21-842 4.63 6.15 1.52 3.69 166 5.90 20 507 257
SK-21-842 6.15 7.67 1.52 3.45 145 5.38 24 523 385
SK-21-842 7.67 9.19 1.52 4.38 300 8.38 44 908 423
SK-21-842 9.19 10.71 1.52 5.45 241 8.66 43 840 361
SK-21-842 10.71 12.23 1.52 4.73 225 7.73 45 835 334
SK-21-842 12.23 13.75 1.52 3.83 128 5.54 34 611 270
SK-21-842 13.75 15.27 1.52 1.30 52 1.99 11 190 97
SK-21-842 15.27 16.79 1.52 6.64 263 10.15 48 876 174
Composite 4.63 16.79 12.16 4.18 190 6.72 34 661 288
SK-21-843 3.04 6.08 3.04 2.23 104 3.62 23 524 341
SK-21-843 6.08 7.60 1.52 4.82 304 8.87 53 1,635 462
Hole-ID From (m) To (m) Sample Length (m) Au (g/t) Ag (g/t) AuEq (g/t) Hg (ppm) Sb (ppm) As (ppm)
SK-21-843 7.60 9.12 1.52 3.79 269 7.38 39 821 408
SK-21-843 9.12 10.64 1.52 11.75 403 17.12 62 4,770 470
SK-21-843 10.64 12.16 1.52 7.86 593 15.77 87 2,180 679
SK-21-843 12.16 13.68 1.52 5.31 299 9.30 59 1,430 574
SK-21-843 13.68 15.20 1.52 8.37 371 13.32 99 2,400 784
SK-21-843 15.20 16.72 1.52 4.18 159 6.30 51 1,205 325
SK-21-843 16.72 18.24 1.52 2.71 111 4.19 35 735 219
SK-21-843 18.24 19.76 1.52 2.56 97 3.85 35 654 171
SK-21-843 19.76 21.28 1.52 2.65 98 3.95 32 719 210
SK-21-843 21.28 22.80 1.52 1.03 35 1.50 15 280 155
SK-21-843 22.80 24.32 1.52 1.14 56 1.89 23 501 160
SK-21-843 24.32 25.84 1.52 1.76 64 2.61 17 639 185
Composite 3.04 25.84 22.80 4.16 204 6.89 44 1,268 366
SK-21-844 1.95 4.99 3.04 2.12 62 2.94 11 244 161
SK-21-844 4.99 6.51 1.52 2.07 76 3.08 12 309 186
SK-21-844 6.51 8.03 1.52 4.74 66 5.62 15 350 291
SK-21-844 8.03 9.55 1.52 3.39 99 4.71 17 445 398
SK-21-844 9.55 11.07 1.52 2.98 137 4.81 23 593 263
SK-21-844 11.07 12.59 1.52 4.06 186 6.54 26 735 260
SK-21-844 12.59 14.11 1.52 3.49 135 5.29 40 679 326
SK-21-844 14.11 15.63 1.52 3.27 97 4.56 31 642 476
SK-21-844 15.63 17.15 1.52 3.57 204 6.29 26 713 396
SK-21-844 17.15 18.67 1.52 3.16 224 6.15 27 760 455
SK-21-844 18.67 20.19 1.52 5.13 271 8.74 41 925 539
SK-21-844 20.19 21.71 1.52 0.55 35 1.02 7 132 69
Composite 1.95 21.71 19.76 3.13 127 4.82 22 521 306
Gold Equivalent (AuEq) calculated via the formula: Au (g/t) + [Ag (g/t) / 75]. True widths equate to 100% of reported sample lengths.
Grade-capping of individual assays has not been applied to the Au and Ag assays informing the length -weighted AuEq composites.
Metallurgical processing recoveries have not been applied to the AuEq calculation and are taken at 100%. Samples below detection
limit were nulled to a value of zero.
Table 2: Mine Grid Drill Hole Locations and Orientations:
Hole-ID Easting (m) Northing (m) Elevation (m) Length (m) Azimuth (°) Dip (°)
SK-21-841 6686.3 9475.2 1049.00 25.9 0.0 -90.0
SK-21-842 6734.2 9551.6 1049.80 19.8 0.0 -90.0
SK-21-843 6647.5 9622.3 1049.80 35.0 0.0 -90.0
SK-21-844 6645.3 9566.4 1049.78 29.3 0.0 -90.0