Skeena Intersects 19.73 g/t AuEq over 17.00 m in HW Zone at Eskay Creek
Skeena Intersects 19.73 g/t AuEq over 17.00 m in HW Zone at Eskay Creek
Vancouver, BC (November 21, 2019) Skeena Resources Limited (TSX.V: SKE, OTCQX: SKREF)
(“Skeena” or the “Company”) is pleased to announce additional gold-silver drill results from the
ongoing Phase I surface drilling program at the Eskay Creek Project (“Eskay Creek”) located in the
Golden Triangle of British Columbia. Three surface drill rig s are being used for t he 2019 Phase I
program in the 21A, 21 E and HW Zones to infill and upgrade areas of Inferred resources to the
Indicated classification. Drill hole results reported in this release are from the 21A, 21E and HW Zones
and the new Lower Mudstone horizon. Reference images are presented at the end of this release as
well as on the Company’s website.
Phase I Eskay Creek Drilling Highlights
• 9.14 g/t Au, 348 g/t Ag (13.78 g/t AuEq) over 9.80 metres (SK-19-070)
o Including: 21.40 g/t Au, 706 g/t Ag (30.81 g/t AuEq) over 0.50 metres
• 6.12 g/t Au, 72 g/t Ag (7.08 g/t AuEq) over 15.81 metres (SK-19-099)
o Including: 36.90 g/t Au, 34 g/t Ag (37.35 g/t AuEq) over 1.50 metres
• 9.91 g/t Au, 737 g/t Ag (19.73 g/t AuEq) over 17.00 metres (SK-19-139)
o Including: 171.50 g/t Au, 12,320 g/t Ag (335.77 g/t AuEq) over 0.83 metres
Gold Equivalent ( AuEq) calculated via the formula: Au (g/t) + [Ag ( g/t) / 7 5]. Reported core lengths represent 80 -100% of true widths and are
supported by well-defined mineralization geometries derived from historical drilling. Grade capping of individual assays has not been applied to the
Au and Ag assays informing the length weighted AuEq composites. Processing recoveries have not been applied to the AuEq calculation and are
disclosed at 100%. Samples below detection limit were nulled to a value of zero.
Initial HW Zone Drilling Intersects Broad High-Grade Mineralization
The first Phase I drill hole into the Hanging Wall (HW) Zone (SK-19-139), intersected a wider than
predicted interval grading 9.91 g/t Au, 737 g/t Ag (19.73 g/t AuEq) over 17 m that has expanded the
originally projected inferred mineralization. This also included a subinterval containing abundant visible
gold and electrum grading 171.50 g/t Au, 12,320 g/t Ag (335.77 g/t AuEq) over 0.83 m. The HW Zone
occurs approximately 20 m stratigraphically above the Contact Mudstone which was host to the 21B
Zone deposits at Eskay Creek. Precious metal m ineralization in this near surface HW Z one is
uncommon at Eskay Creek, which is usually characterized by elevated base metals (Cu-Pb-Zn). The
HW Zone is believed to represent a reactivated synvolcanic fault which crosscuts the andesitic cap
rocks of the Eskay stratigraphy (refer to attached stratigraphic section).
Lower Mudstone Horizon Continues to Develop
Continued d rill testing of the Lower Mudstone unit has again intersected additional mineralization
below the 21A Zone. Drill hole SK-19-068 intersected a wide interval of Lower M udstone with
mineralization averaging 7.52 g/t Au, 11 g/t Ag (7.66 g/t AuEq) over 3.70 m including 17.05 g/t Au,
18 g/t Ag (17.29 g/t AuEq) over 1.00 m. This interval occurs approximately 30 m north of previously
NR: 19-19
November 21, 2019
reported drill hole SK-19-063, which averaged 312.81 g/t Au, 95 g/t Ag (314.07 g/t AuEq) over 2.21 m
including an individual sample with considerable visible gold grading 1,380 g/t Au, 322 g/t Ag (1,384.29
g/t AuEq) over 0.50 m.
A portion of the 21A Zone infill drill holes have been extended below the resources to test the
exploration potential of this secondary and less explored mineralized mudstone horizon. Th e Lower
Mudstone is situated approximately 100 m stratigraphically below the more familiar Contact Mudstone,
host to the previously developed Eskay Creek deposits (see attached sections).
The Lower Mudstone is regionally extensive and averages 5 to 15 m in true thicknes s. It’s situated
approximately 100 metres below the Eskay Creek deposits and has been traced by historical drilling
for over 5,000 m along strike. Typical of bimodal volcanic sequences hosting Volcanic Hosted Massive
Sulphide (VHMS) deposits, the mudstone represents a period of mineralizing and sedimentation
quiescence between the underlying volcanic rocks of the Mount Dilworth Formation (~190 Ma), and
the stratigraphically you nger Eskay Creek Mine stratigraphy hosted in the Salmon River Formation
(~175 Ma). The Lower Mudstone is essentially analogous (contemporaneous) to the main Contact
Mudstone in that it occurs at a mineralized time -break between periods of volcanic activity . The
stratigraphic and mineralization cyclicity within a volcanic pile is a common feature to VHMS deposits
of which Eskay Creek is a member.
Ongoing Infill Drilling Produces Expected Results
Phase I infill drilling within the 21A and 21E Zones continues to confirm the predicted inferred
mineralization with the aim of increasing the resource confidence in these areas. Three drill holes, SK-
19-106, SK-19-107 and SK-19-108 were drilled to aggressively test for an up-dip extension to the 21E
Zone. Significant mineralization was not intersected however the holes provided important
stratigraphic and structural information.
About Skeena
Skeena Resources Limited is a junior Canadian mining exploration company focused on developing
prospective precious and base metal properties in the Golden Triangle of northwest British Columbia,
Canada. The Company’s primary activities are the exploration and development of the past-producing
Eskay Creek an d Snip mines . In addition, the Company has completed a Preliminary Economic
Assessment on the GJ copper-gold porphyry project.
On behalf of the Board of Directors of Skeena Resources Limited,
Walter Coles Jr.
President & CEO
Qualified Persons
Exploration activities at the Eskay Creek Project are administered on site by the Company’s
Exploration Managers, Colin Russell, P.Geo. and Adrian Newton, P.Geo. 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 Guidelines in conducting, documenti ng, and reporting its exploration
activities on its exploration 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 reference 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 1kg is pulverized. Analysis for
gold is by 50g 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 100ppm are re -analyzed using a 50g
fire assay fusion with gravimetric finish. Analysis for silver is by 50g fire assay fusion with gravimetric
finish with a lower limit of 5ppm and upper limit of 10,000ppm. Samples with silver assays greater than
10,000ppm are re -analyzed using a gravimetric silver concentrate method. A selected number of
samples are also analyzed using a 48 multi -elemental 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 Emission 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 informat ion 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 realization 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 oth er 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 TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for
the adequacy or accuracy of this release.
Table 1: Eskay Creek Project Phase I 21A Zone length weighted drill hole gold and silver
composites:
HOLE-ID FROM (M) TO (M) CORE LENGTH (M) AU (G/T) AG (G/T) AUEQ (G/T) AREA
SK-19-062 24.00 50.00 26.00 0.98 84 2.09 21E
INCLUDING 45.92 46.42 0.50 4.65 2,240 34.52 21E
AND 46.42 47.50 1.08 2.67 549 9.99 21E
SK-19-068 12.50 14.00 1.50 0.73 62 1.56 21A
SK-19-068 102.00 105.70 3.70 7.52 11 7.66 LMS
INCLUDING 104.00 105.00 1.00 17.05 18 17.29 LMS
SK-19-069 12.41 13.12 0.71 1.61 21 1.89 21A
SK-19-069 106.22 111.23 5.01 2.45 15 2.65 LMS
SK-19-070 8.20 18.00 9.80 9.14 348 13.78 21E
INCLUDING 8.20 9.00 0.80 20.00 1,945 45.93 21E
AND 10.66 11.50 0.84 10.60 25 10.93 21E
AND 11.50 12.40 0.90 11.80 22 12.09 21E
AND 12.40 13.10 0.70 1.97 714 11.49 21E
AND 13.10 13.90 0.80 8.11 248 11.42 21E
AND 13.90 14.55 0.65 12.50 25 12.83 21E
AND 16.00 16.50 0.50 21.40 706 30.81 21E
AND 16.50 17.34 0.84 8.48 422 14.11 21E
SK-19-070 28.08 66.50 38.42 1.30 23 1.61 21E
SK-19-071 9.47 16.00 6.53 9.58 569 17.18 21E
INCLUDING 9.47 10.00 0.53 52.00 67 52.89 21E
AND 10.00 11.00 1.00 2.91 2,120 31.18 21E
AND 11.00 11.80 0.80 4.08 484 10.53 21E
AND 11.80 12.40 0.60 14.30 38 14.81 21E
AND 12.40 13.00 0.60 8.01 15 8.21 21E
AND 13.00 13.60 0.60 9.68 23 9.99 21E
AND 13.60 14.55 0.95 7.31 647 15.94 21E
AND 14.55 16.00 1.45 1.87 355 6.60 21E
SK-19-071 25.11 47.00 21.89 1.91 63 2.74 21E
SK-19-072 8.30 15.17 6.87 8.78 101 10.12 21E
INCLUDING 8.30 9.50 1.20 14.00 28 14.37 21E
AND 12.30 13.00 0.70 22.40 21 22.68 21E
SK-19-072 25.80 42.40 16.60 1.99 34 2.45 21E
SK-19-073 28.73 58.00 29.27 0.98 23 1.29 21E
SK-19-074 16.10 17.00 0.90 1.02 5 1.09 21E
SK-19-074 17.50 18.00 0.50 1.47 <5 1.47 21E
SK-19-074 26.03 41.05 15.02 1.28 50 1.95 21E
SK-19-075 27.85 52.80 24.95 2.10 38 2.61 21E
SK-19-076 20.72 39.78 19.06 0.82 57 1.58 21E
SK-19-077 12.00 16.42 4.42 5.52 52 6.22 21E
INCLUDING 14.60 15.27 0.67 15.55 121 17.16 21E
AND 15.27 15.80 0.53 12.10 33 12.54 21E
SK-19-078 29.38 41.00 11.62 3.55 46 4.16 21E
INCLUDING 32.20 32.70 0.50 10.55 30 10.95 21E
AND 32.70 33.40 0.70 8.17 23 8.48 21E
SK-19-079 24.31 52.00 27.69 1.46 41 2.01 21E
SK-19-080 10.00 41.50 31.50 0.93 35 1.39 21A
SK-19-081 3.00 65.00 62.00 1.70 40 2.24 21A
INCLUDING 21.33 22.00 0.67 35.30 1,625 56.97 21A
SK-19-082 6.00 41.00 35.00 1.30 11 1.44 21A
SK-19-083 29.00 51.00 22.00 1.01 11 1.16 21A
SK-19-084 22.00 55.50 33.50 1.51 22 1.80 21E
HOLE-ID FROM (M) TO (M) CORE LENGTH (M) AU (G/T) AG (G/T) AUEQ (G/T) AREA
SK-19-085 ABANDONED 21E
SK-19-085A 21.30 44.40 23.10 2.18 42 2.75 21E
SK-19-086 6.00 7.40 1.40 0.93 30 1.33 21A
SK-19-086 38.95 40.34 1.39 1.04 <5 1.04 21A
SK-19-087 NSA 21A
SK-19-088 28.50 30.00 1.50 0.75 113 2.26 21A
SK-19-089 14.00 15.09 1.09 1.09 <5 1.09 21A
SK-19-090 29.00 30.00 1.00 0.67 9 0.79 21A
SK-19-091 ASSAYS PENDING
SK-19-092 5.00 5.59 0.59 2.22 13 2.39 21A
SK-19-092 23.00 43.50 20.50 0.86 18 1.10 21A
SK-19-093 1.15 36.50 35.35 1.30 19 1.55 21A
SK-19-094 ASSAYS PENDING
SK-19-095 ASSAYS PENDING
SK-19-096 ASSAYS PENDING
SK-19-097 ASSAYS PENDING
SK-19-098 11.90 20.50 8.60 1.50 44 2.09 21A
SK-19-099 17.69 33.50 15.81 6.12 72 7.08 21A
INCLUDING 25.00 25.50 0.50 10.60 143 12.51 21A
AND 25.50 26.00 0.50 19.35 105 20.75 21A
AND 26.00 27.50 1.50 36.90 34 37.35 21A
SK-19-100 ASSAYS PENDING
SK-19-101 22.16 22.70 0.54 1.28 <5 1.28 21A
SK-19-102 36.33 46.33 10.00 1.23 207 3.99 21E
INCLUDING 41.00 41.66 0.66 2.28 1,045 16.21 21E
AND 41.66 42.50 0.84 2.00 1,410 20.80 21E
SK-19-103 38.00 55.00 17.00 0.92 127 2.62 21E
INCLUDING 51.00 51.50 0.50 2.72 2,640 37.92 21E
SK-19-104 39.75 48.00 8.25 0.99 20 1.26 21E
SK-19-105 32.30 39.60 7.30 1.09 29 1.47 21E
SK-19-106 NSA 21E
SK-19-107 NSA 21E
SK-19-108 NSA 21E
SK-19-109 27.00 57.50 30.50 1.50 23 1.81 21E
SK-19-110 ASSAYS PENDING
SK-19-111 24.45 72.10 47.65 1.42 26 1.77 21E
SK-19-112 24.02 59.00 34.98 1.86 21 2.14 21E
SK-19-113 ASSAYS PENDING
SK-19-114 ASSAYS PENDING
SK-19-115 18.54 22.75 4.21 0.84 160 2.98 21E
SK-19-116 14.00 19.00 5.00 2.36 11 2.51 21E
SK-19-117 18.57 22.59 4.02 1.47 18 1.71 21E
SK-19-118 ASSAYS PENDING
SK-19-119 ASSAYS PENDING
SK-19-120 13.00 18.10 5.10 1.05 15 1.26 21E
SK-19-121 18.00 19.00 1.00 0.41 53 1.12 21E
SK-19-121 35.18 36.00 0.82 5.71 184 8.16 21E
SK-19-122 23.08 57.00 33.92 1.38 82 2.47 21E
INCLUDING 23.08 24.00 0.92 10.05 1,060 24.18 21E
AND 24.00 25.00 1.00 6.56 848 17.87 21E
SK-19-123 16.95 37.00 20.05 2.08 91 3.30 21E
SK-19-124 18.90 21.20 2.30 1.78 196 4.39 21E
SK-19-125 29.00 34.00 5.00 1.04 19 1.29 21E
SK-19-126 19.40 20.40 1.00 1.18 7 1.27 21E
SK-19-126 31.30 33.15 1.85 1.07 14 1.26 21E
HOLE-ID FROM (M) TO (M) CORE LENGTH (M) AU (G/T) AG (G/T) AUEQ (G/T) AREA
SK-19-127 ASSAYS PENDING
SK-19-128 ASSAYS PENDING
SK-19-129 25.00 26.50 1.50 0.73 6 0.81 21E
SK-19-130 ASSAYS PENDING
SK-19-131 NSA 21E
SK-19-132 ASSAYS PENDING
SK-19-133 ASSAYS PENDING
SK-19-134 ASSAYS PENDING
SK-19-135 ASSAYS PENDING
SK-19-136 ASSAYS PENDING
SK-19-137 ASSAYS PENDING
SK-19-138 ASSAYS PENDING
SK-19-139 2.10 3.45 1.35 5.36 479 11.74 HW
SK-19-139 15.00 32.00 17.00 9.91 737 19.73 HW
INCLUDING 27.92 28.75 0.83 171.50 12,320 335.77 HW
Gold Equivalent (AuEq) calculated via the formula: Au ( g/t) + [Ag ( g/t) / 7 5]. Reported core lengths represent 80 -100% of true widths and are
supported by well -defined mineralization geometries derived from historical drilling. Length weighted AuEq composites were constrained by
geological considerations. Grade capping of individual assays has not been applied to the Au and Ag assays informing the length weighted AuEq
composites. Processing recoveries have not been applied to the AuEq calculation and are disclosed at 100%. Samples below detection limit were
nulled to a value of zero. LMS – Lower Mudstone. NSA – No Significant Assays.
Table 2: Mine grid Phase I drill hole locations and orientations:
HOLE-ID EASTING NORTHING ELEVATION LENGTH (M) AZIMUTH DIP
SK-19-062 10075.2 10352.9 980.0 50.0 101.5 -55.9
SK-19-068 9921.7 10040.9 990.6 140.1 109.2 -89.0
SK-19-069 9921.7 10040.9 990.6 150.0 137.6 -83.0
SK-19-070 10080.1 10411.7 970.9 70.0 102.0 -72.4
SK-19-071 10080.1 10411.7 970.9 65.0 80.4 -88.5
SK-19-072 10080.1 10411.7 970.9 55.0 75.2 -71.9
SK-19-073 10066.2 10418.0 967.1 61.0 54.3 -84.6
SK-19-074 10066.2 10418.0 967.1 55.0 157.3 -76.4
SK-19-075 10062.4 10428.1 961.7 61.0 61.5 -60.0
SK-19-076 10105.7 10432.3 980.3 55.0 47.0 -84.2
SK-19-077 10105.7 10432.3 980.3 35.0 271.1 -65.3
SK-19-078 10105.7 10432.3 980.3 41.0 209.9 -48.6
SK-19-079 10105.7 10432.3 980.3 52.0 172.7 -67.7
SK-19-080 9891.3 9868.1 1008.5 56.0 28.7 -89.5
SK-19-081 9891.3 9868.1 1008.5 65.0 312.8 -73.9
SK-19-082 9891.3 9868.1 1008.5 45.0 217.1 -54.8
SK-19-083 9905.7 9883.8 998.8 55.6 306.0 -53.8
SK-19-084 10070.0 10387.0 975.6 67.0 77.0 -60.2
SK-19-085 10070.0 10387.0 975.6 50.0 0.0 -90.0
SK-19-085A 10070.0 10387.0 974.8 50.0 0.0 -90.0
SK-19-086 9905.7 9883.8 998.8 60.0 270.4 -71.9
SK-19-087 9905.7 9883.8 998.8 61.0 89.8 -78.7
SK-19-088 9916.0 9905.0 986.3 45.0 241.9 -54.0
SK-19-089 9916.0 9905.0 986.3 40.0 314.8 -64.4
SK-19-090 9916.0 9905.0 986.3 45.0 288.7 -47.8
SK-19-092 9884.9 9929.4 1011.9 60.0 180.7 -72.1
SK-19-093 9884.9 9929.4 1011.9 65.0 92.6 -77.3
SK-19-098 9956.8 10115.2 980.5 42.0 167.2 -63.5
SK-19-099 9956.8 10115.2 980.5 42.0 53.9 -64.8
SK-19-101 9973.0 10139.0 972.6 42.0 130.4 -65.5
SK-19-102 10082.0 10339.0 981.0 57.0 111.8 -67.1
HOLE-ID EASTING NORTHING ELEVATION LENGTH (M) AZIMUTH DIP
SK-19-103 10082.0 10339.0 981.0 55.0 119.2 -89.4
SK-19-104 10075.0 10353.0 980.0 59.0 337.5 -89.4
SK-19-105 10075.0 10353.0 980.0 62.0 109.0 -71.7
SK-19-106 10169.0 10373.0 989.0 40.0 338.7 -60.5
SK-19-107 10169.0 10373.0 989.0 35.0 316.0 -89.1
SK-19-108 10169.0 10373.0 989.0 39.0 198.1 -50.2
SK-19-109 10070.0 10374.0 973.0 71.0 71.4 -66.2
SK-19-111 10093.2 10377.8 986.6 73.0 20.9 -68.7
SK-19-112 10093.0 10378.0 987.0 70.0 22.1 -80.6
SK-19-115 10108.5 10449.8 976.9 55.0 125.9 -78.8
SK-19-116 10108.5 10449.8 976.9 26.0 217.3 -51.7
SK-19-117 10108.5 10449.8 976.9 64.0 32.7 -80.3
SK-19-120 10112.0 10463.6 972.9 35.0 115.8 -72.3
SK-19-121 10112.0 10463.6 972.9 36.0 68.8 -50.1
SK-19-122 10112.0 10463.6 972.9 59.0 265.8 -82.8
SK-19-123 10097.0 10475.0 963.0 37.0 204.6 -69.2
SK-19-124 10097.0 10475.0 963.0 50.0 108.9 -78.3
SK-19-125 10097.0 10475.4 962.8 50.0 294.7 -74.4
SK-19-126 10092.0 10492.0 957.0 46.0 210.8 -83.5
SK-19-129 10086.0 10527.0 941.0 41.0 210.8 -76.6
SK-19-131 10086.0 10527.0 941.0 40.0 88.1 -51.2
SK-19-139 9931.0 10869.0 873.9 32.0 274.1 -50.0