Skeena Intersects 7.01 g/t AuEq over 20.00 metres in 21C Zone Infill Drilling at Eskay Creek
Skeena Intersects 7.01 g/t AuEq over 20.00 metres
in 21C Zone Infill Drilling at Eskay Creek
Vancouver, BC ( October 14, 2020) Skeena Resources Limited (TSX: SKE, OTCQX: SKREF)
(“Skeena” or the “Company”) is pleased to report additional drilling results from the
Phase 1 combined definition and exploration drilling campaign at the Eskay Creek Project (“Eskay
Creek” or the “Project") located in the Golden Triangle of British Columbia . Six helicopter-supported
drill rigs are now active on the 2020 Phase 2 program with an additional five rigs to be added in the
coming weeks. The Phase 2 infill program is focused on Pre-Feasibility Study (“PFS”) resource
category conversions for the open-pit constrained resources. Reference images are presented at the
end of this release as well as on the Company’s website.
Eskay Creek Drilling Highlights:
Water Tower Zone
• 4.58 g/t Au and 29 g/t Ag (4.96 g/t AuEq) over 27.60 m (SK-20-295)
o Including: 8.01 g/t Au and 36 g/t Ag (8.49 g/t AuEq) over 14.40 m
21C Zone
• 6.89 g/t Au and 10 g/t Ag (7.01 g/t AuEq) over 20.00 m (SK-20-281)
• 6.38 g/t Au and 7 g/t Ag (6.47 g/t AuEq) over 19.00 m (SK-20-282)
• 17.61 g/t Au and 11 g/t Ag (17.76 g/t AuEq) over 5.87 m (SK-20-283)
• 1.93 g/t Au and 39 g/t Ag (2.46 g/t AuEq) over 52.50 m (SK-20-299)
• 1.86 g/t Au and 12 g/t Ag (2.02 g/t AuEq) over 52.09 m (SK-20-300)
• 8.03 g/t Au and 168 g/t Ag (10.27 g/t AuEq) over 10.50 m (SK-20-330)
Gold Equivalent (AuEq) calculated via the formula: Au (g/t) + [Ag (g/t) / 75]. True widths range from 70-100% of reported core lengths. 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 recoverie s have not been applied to the AuEq calculation and are disclosed at 100%.
Samples below detection limit were nulled to a value of zero. WTZ – Water Tower Zone, DEEPS – Eskay Deeps.
Walter Coles Jr., President & CEO commented, “These are solid results. The infill drilling continues to
prove that Eskay is a deposit with excellent continuity and predictability. The addition of five more drill
rigs in the coming weeks should allow us to maintain our aggressive schedule to complete the Phase
2 infill program before year end, as well as test certain high priority exploration targets.”
Water Tower Zone Continues to Expand
Exploration drilling in the Water Tower Zone (WTZ) continues to demonstrate the potential for resource
expansion as illustrated by recently completed 2020 drill hole SK -20-295 which intersected 8.01 g/t
Au and 36 g/t Ag (8.49 g/t AuEq ) over 14.40 m hosted within a larger mineralized envelope grading
4.58 g/t Au and 29 g/t Ag (4.96 g/t AuEq) over 27.60 m . This new intersection represents a 25 m up-
dip extension from historical underground drill hole 5925 which intersected grades averaging 4.16 g/t
AuEq over 7.25 m and 2.81 g/t AuEq over 8.78 m (see section 10940N below).
NR: 20-28 | October 14, 2020
21C Zone Infill Drilling Intersects Expected Grades and Thicknesses
The completed 21C Phase 1 infill drilling program has confirmed the estimated Inferred resource which
had been supported solely by historic (pre -Skeena) drilling campaigns. Historical underground drill
hole 6462, which intersected 2.96 g/t AuEq over 17.82 m correlates with the flanking 2020 infill drill
holes SK-20-280, SK-20-283 and SK -20-284 which intersected 2.69 g/t Au and 10 g/t Ag (2.82 g/t
AuEq) over 14.00 m, 1.98 g/t Au, 16 g/t Ag (2.19 g/t AuEq) over 15.75 m and 2.71 g/t Au and 5 g/t Ag
(2.78 g/t AuEq) over 19.50 m respectively. Drill hole SK -20-282 intersected better than expected
grades averaging 6.38 g/t Au and 7 g/t Ag (6.47 g/t AuEq) over 19.00 m (see section 10570N below).
The 21C Zone, which lies deeper and is mined later in the current PEA open-pit mine plan, is hosted
in the stratigraphic footwall rhyolite and has a slightly lower Au -Ag grade than the mineralization
historically mined in the Contact Mudstones; however, wh ile this type of mineralization was not
historically important, it now has potentially significant contributions to the economics of the mine plan.
Update on Site Activities
The Company has now completed the Phase 1 drilling program and the remaining results will be
reported once available. With the successful outcome of renegotiations, Skeena now owns 100% of
Eskay Creek (see new release dated October 5, 2020). The Company is now focused on the Phase
2 drilling program of resource category conversion, and the campaign can now penetrate the 25 m
development buffer surrounding all historic mine workings that were previously restricted.
About Skeena
Skeena Resources Limited is a junior mining company focused on developing the past -producing
Eskay Creek gold-silver mine located in Tahltan Territ ory 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 at Eskay Creek to advance the project to
Prefeasibility. Skeena is also exploring the past-producing Snip gold mine.
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 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 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 gravimet ric 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 to tal 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 informat ion are
based on facts currently available to the Company and there is no assurance that actual results will meet management’s expect ations.
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 2020 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) Zone
SK-20-275 ASSAYS PENDING 21C
SK-20-276 ABANDONED 21C
SK-20-277 ASSAYS PENDING 21C
SK-20-278 ABANDONED 21C
SK-20-279 ASSAYS PENDING 21C
SK-20-280 150.25 156.00 5.75 2.76 12 2.92 21C
SK-20-280 175.00 189.00 14.00 2.69 10 2.82 21C
INCLUDING 176.00 177.00 1.00 10.15 30 10.55 21C
SK-20-281 148.00 168.00 20.00 6.89 10 7.01 21C
INCLUDING 156.90 158.00 1.10 20.20 5 20.27 21C
AND 158.00 158.70 0.70 32.80 9 32.92 21C
AND 158.70 159.65 0.95 44.80 8 44.91 21C
AND 159.65 160.45 0.80 18.25 7 18.34 21C
SK-20-282 164.00 183.00 19.00 6.38 7 6.47 21C
INCLUDING 171.00 171.75 0.75 11.90 0 11.90 21C
AND 171.75 172.63 0.88 10.55 15 10.75 21C
AND 172.63 174.00 1.37 20.20 <5 20.20 21C
AND 174.00 175.30 1.30 15.95 11 16.10 21C
AND 180.00 180.52 0.52 18.00 7 18.09 21C
AND 180.52 181.70 1.18 16.00 <5 16.00 21C
SK-20-283 146.50 152.37 5.87 17.61 11 17.76 21C
INCLUDING 146.50 148.00 1.50 21.90 10 22.03 21C
AND 149.50 151.00 1.50 24.50 18 24.74 21C
AND 151.00 152.37 1.37 15.15 <5 15.15 21C
SK-20-283 156.50 172.25 15.75 1.98 16 2.19 21C
SK-20-284 148.80 152.00 3.20 18.10 22 18.39 21C
INCLUDING 150.29 151.00 0.71 15.75 31 16.16 21C
AND 151.00 152.00 1.00 44.90 22 45.19 21C
SK-20-284 167.00 186.50 19.50 2.71 5 2.78 21C
INCLUDING 171.50 173.00 1.50 12.05 <5 12.05 21C
SK-20-287 ABANDONED 21C
SK-20-293 268.00 269.50 1.50 1.03 5 1.10 WTZ
SK-20-293 275.50 287.00 11.50 1.10 5 1.16 WTZ
SK-20-293 290.00 296.64 6.64 2.77 11 2.91 WTZ
SK-20-293 300.50 301.50 1.00 0.90 9 1.02 WTZ
SK-20-293 307.50 313.50 6.00 0.96 15 1.16 WTZ
SK-20-293 409.93 411.00 1.07 1.00 5 1.07 WTZ
SK-20-293 431.00 432.00 1.00 0.59 8 0.70 WTZ
SK-20-293 463.00 466.00 3.00 1.22 8 1.32 DEEPS
SK-20-293 516.46 520.50 4.04 1.15 5 1.22 DEEPS
SK-20-293 618.00 619.00 1.00 1.08 7 1.17 DEEPS
SK-20-294 NSA WTZ
SK-20-295 197.00 198.00 1.00 0.34 97 1.63 WTZ
SK-20-295 259.90 287.50 27.60 4.58 29 4.96 WTZ
INCLUDING 260.40 274.80 14.40 8.01 36 8.49 WTZ
INCLUDING 260.40 262.00 1.60 53.50 27 53.86 WTZ
AND 272.20 273.30 1.10 8.75 178 11.12 WTZ
SK-20-299 148.17 152.00 3.83 2.97 324 7.28 21C
INCLUDING 148.17 149.00 0.83 5.97 534 13.09 21C
AND 149.00 150.00 1.00 3.61 538 10.78 21C
SK-20-299 164.50 217.00 52.50 1.93 39 2.46 21C
INCLUDING 168.85 170.35 1.50 1.58 1020 15.18 21C
AND 189.00 190.50 1.50 10.05 <5 10.05 21C
HOLE-ID FROM (m) TO (m) CORE LENGTH (m) Au (g/t) Ag (g/t) AuEq (g/t) Zone
SK-20-300 149.17 153.09 3.92 2.05 140 3.92 21C
SK-20-300 163.70 215.79 52.09 1.86 12 2.02 21C
INCLUDING 165.69 166.82 1.13 24.00 32 24.43 21C
SK-20-300 220.50 222.66 2.16 2.44 5 2.51 21C
SK-20-301 ABANDONED 21C
SK-20-302 147.09 151.93 4.84 3.00 95 4.27 21C
SK-20-302 172.35 221.51 49.16 1.67 24 1.99 21C
SK-20-303 ASSAYS PENDING 21C
SK-20-304 ASSAYS PENDING 21C
SK-20-305 ASSAYS PENDING 21C
SK-20-306 ASSAYS PENDING 21C
SK-20-308 ASSAYS PENDING 21C
SK-20-309 ASSAYS PENDING 21C
SK-20-310 ASSAYS PENDING 21C
SK-20-311 ASSAYS PENDING 21C
SK-20-312 ASSAYS PENDING 21C
SK-20-313 187.45 201.70 14.25 2.13 9 2.24 21C
SK-20-314 142.56 149.40 6.84 2.15 376 7.16 21C
INCLUDING 145.40 146.54 1.14 3.56 1125 18.56 21C
SK-20-315 139.00 150.15 11.15 2.13 32 2.56 21C
SK-20-315 188.75 195.00 6.25 2.49 5 2.56 21C
SK-20-316 138.55 149.59 11.04 0.75 58 1.53 21C
SK-20-316 170.69 200.00 29.31 1.87 12 2.03 21C
INCLUDING 124.54 125.50 0.96 9.74 439 15.59 21C
SK-20-317 137.38 152.00 14.62 1.14 36 1.62 21C
SK-20-317 194.00 206.00 12.00 2.58 26 2.92 21C
SK-20-318 ASSAYS PENDING 21C
SK-20-319 ASSAYS PENDING 21C
SK-20-320 165.30 180.44 15.14 1.10 27 1.47 21C
SK-20-320 191.88 193.00 1.12 1.76 32 2.19 21C
SK-20-320 197.00 213.00 16.00 1.58 6 1.67 21C
SK-20-323 145.41 150.26 4.85 0.99 56 1.73 21C
SK-20-324 88.94 91.50 2.56 3.27 6 3.35 21C
SK-20-324 103.50 107.50 4.00 1.62 8 1.72 21C
SK-20-324 113.50 122.50 9.00 5.67 15 5.87 21C
INCLUDING 119.50 121.00 1.50 16.80 27 17.16 21C
SK-20-324 193.00 204.50 11.50 1.56 9 1.69 21C
SK-20-325 149.00 153.27 4.27 2.74 95 4.00 21C
SK-20-326 89.50 98.50 9.00 2.93 10 3.06 21C
SK-20-326 120.31 136.00 15.69 1.16 9 1.28 21C
SK-20-327 91.62 108.00 16.38 2.01 7 2.10 21C
SK-20-327 116.50 128.86 12.36 1.44 8 1.55 21C
SK-20-327 141.44 149.50 8.06 0.63 42 1.19 21C
SK-20-328 ABANDONED 21C
SK-20-329 88.57 90.00 1.43 1.73 23 2.04 21C
SK-20-329 94.60 99.44 4.84 4.72 8 4.83 21C
SK-20-329 104.61 118.00 13.39 2.39 8 2.50 21C
SK-20-329 124.00 128.50 4.50 1.30 9 1.42 21C
SK-20-329 146.42 157.50 11.08 1.31 38 1.82 21C
SK-20-329 206.50 214.00 7.50 4.78 5 4.85 21C
INCLUDING 209.50 210.50 1.00 12.20 8 12.31 21C
SK-20-330 98.58 109.00 10.42 1.49 8 1.59 21C
SK-20-330 141.00 152.30 11.30 5.34 66 6.22 21C
INCLUDING 142.25 143.00 0.75 7.83 410 13.30 21C
AND 143.00 143.75 0.75 55.30 320 59.57 21C
HOLE-ID FROM (m) TO (m) CORE LENGTH (m) Au (g/t) Ag (g/t) AuEq (g/t) Zone
SK-20-330 198.50 209.00 10.50 8.03 168 10.27 21C
INCLUDING 200.00 201.50 1.50 31.10 845 42.37 21C
AND 204.50 206.00 1.50 9.45 148 11.42 21C
Gold Equivalent (AuEq) calculated via the formula: Au (g/t) + [Ag (g/t) / 75]. True widths range from 70-100% of reported core lengths.
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. WTZ – Water Tower Zone,
DEEPS – Eskay Deeps.
Table 2: Mine Grid Drill Hole Locations and Orientations:
HOLE-ID EASTING (m) NORTHING (m) ELEVATION (m) LENGTH (m) AZIMUTH (°) DIP (°)
SK-20-276 9,809.0 10,565.0 960.3 62.0 92.8 -69.8
SK-20-278 9,809.0 10,566.0 958.9 26.0 112.1 -71.0
SK-20-280 9,809.0 10,566.0 958.8 200.0 87.0 -78.0
SK-20-281 9,809.0 10,566.0 958.6 170.0 89.0 -85.0
SK-20-282 9,809.0 10,566.0 958.3 195.0 89.3 -74.1
SK-20-283 9,787.0 10,602.0 942.1 190.0 106.8 -62.0
SK-20-284 9,787.0 10,602.0 943.6 195.0 107.1 -66.3
SK-20-293 9,701.0 10,997.0 835.1 669.0 92.4 -61.5
SK-20-294 9,620.0 10,901.0 847.8 283.0 92.5 -44.7
SK-20-295 9,620.0 10,901.0 848.0 305.0 80.3 -45.3
SK-20-299 9,699.0 10,422.0 962.2 225.0 103.0 -63.0
SK-20-300 9,699.0 10,422.0 961.8 232.0 103.0 -59.1
SK-20-301 9,699.0 10,422.0 962.0 46.0 96.0 -66.0
SK-20-302 9,699.0 10,422.0 961.2 226.0 96.2 -69.0
SK-20-313 9,687.0 10,377.0 966.5 225.0 91.8 -74.1
SK-20-314 9,687.0 10,377.0 966.8 154.0 91.7 -79.0
SK-20-315 9,687.0 10,377.0 966.2 218.0 103.2 -72.9
SK-20-316 9,687.0 10,377.0 966.2 224.3 105.3 -66.0
SK-20-317 9,687.0 10,377.0 968.4 212.0 115.9 -65.8
SK-20-320 9,687.0 10,377.0 966.4 220.0 97.2 -63.1
SK-20-323 9,713.0 10,627.0 920.4 162.0 104.2 -62.4
SK-20-324 9,713.0 10,627.0 918.1 206.0 134.4 -64.8
SK-20-325 9,712.0 10,627.0 920.1 161.0 140.0 -62.0
SK-20-326 9,713.0 10,627.0 919.1 164.0 133.8 -70.0
SK-20-327 9,713.0 10,627.0 917.9 165.0 127.8 -74.0
SK-20-328 9,713.0 10,627.0 920.0 23.0 111.1 -71.9
SK-20-329 9,712.0 10,627.0 918.0 214.0 128.1 -81.9
SK-20-330 9,713.0 10,627.0 921.2 219.0 147.3 -79.1