Sky GOLD Corp. Acquires Three Nickel-Copper-Cobalt-Platinum Group Element Properties IN the Shebandowan Greenstone Belt, Northwestern Ontario
1240-789 W Pender St., Vancouver, BC, V6C 1H2 +1-604-683-3995 [email protected]
SKY GOLD CORP. ACQUIRES THREE NICKEL-COPPER-COBALT-PLATINUM
GROUP ELEMENT PROPERTIES IN THE SHEBANDOWAN GREENSTONE BELT,
NORTHWESTERN ONTARIO
February 7, 2023, Vancouver, BC, Canada – SKY GOLD CORP. (“Sky” or the “Company”)
(SKYG-TSX:V) (US:SRKZF) announces the acquisition of 3 nickel -copper-cobalt-platinum group
element properties, situated in the Shebandowan Greenstone Belt, in northwestern Ontario. The properties are
located proximal and in a similar geologic setting as to that of the past-producing Shebandowan Ni-Cu-Co-
PGE deposit, mined by Inco Ltd., during the period of 1970 to 1998.
The properties are located between 80 to 125 kilometres west of the City of Thunder Bay and are accessed by
the Trans Canada Highway (Highway 17) and a network of all -weather roads. Such transportation
infrastructure provides good access to conduct mineral exploration programs on all 3 properties, year-round.
SHEBANDOWAN NI-CU-CO-PGE DEPOSIT
The Shebandowan Ni -Cu-Co-PGE mine of Archean-age comprises a world -class example of a premier
magmatic nickel sulphide deposit, with mined reserves of 8.6 MT at a grade of 2.0% Ni, 1.0% Cu and
2.68 g/t Pt and Pd (cobalt grades unknown). The model for mineralization at the Shebandowan deposit
invokes:
• Greenstone belt deposition in a rifted setting - deep sub-vertical penetrative faults tapping the mantle,
should be present in the exploration area
• Vertical ultramafic intrusions or sill complexes host Ni sulphide ore as conduits, proximal to the deep
faults
• Strong alteration of the ultramafic intrusions (serpentinization)
• Late mafic dykes within the ultramafic environment indicate extended magmatic activity within the
conduits
• Strong magnetic expression and conductivity of the Ni sulphide orebodies due to serpentinization
(magnetite) of host ultramafic rocks and presence of pentlandite, pyrrhotite and chalcopyrite as Ni
sulphide minerals, respectively.
Past exploration efforts in looking for Shebandowan deposit look-alikes, have focussed on the chemistry of
ultramafic rocks as the key to new discoveries, whereas the geologic setting in which the ultramafic rocks
are emplaced, is likely more important for exploration and discovery success.
SKY GOLD NI-CU-CO-PGE PROPERTIES
The 3 properties acquired by Sky Gold comprise the Sungold property (1,360 hectares), the Greenwater Lake
property (720 hectares) and the Kekekuab Lake property (260 hectares).The following summarizes the
highlights or key exploration opportunity, on each respective property.
1240-789 W Pender St., Vancouver, BC, V6C 1H2 +1-604-683-3995 [email protected]
Sungold:
The Sungold property exhibits striking similarities with the geologic setting of the past producing
Shebandowan mine. At Sungold, an extensive mafic to ultramafic sill complex, forms the base of the
greenstone belt, proximal to the crustal-scale Knife Lake Fault. Additionally, the ultramafic rocks comprising
the sill complex are strongly serpentinized, characterized by the presence of magnetite and talc. These altered
ultramafic bodies, are reflected by the presence of linear magnetic highs, similar to what is seen at
Shebandowan. Additionally, the chemistry of the ultramafic rocks is identical to that of the host rocks at the
Shebandowan mine, in terms of MgO content (komatiites).
Most importantly, the a ltered, linear belts of ultramafic rocks comprising the sill complex are locally
coincident with numerous discrete strong conductors, that have not been tested by diamond drilling.
Preliminary modelling of such conductors (defined by a historic airborne VT EM survey in 2005) has been
completed, yielding several high-quality targets for diamond drilling.
Greenwater Lake:
The Greenwater Lake property, situated approximately 10 km WSW of the Shebandowan mine, is largely
underlain by ultramafic rocks. Data compi lation indicates that there has been no historic drilling completed
on the property. Regional glacial till sampling completed by the Ontario Geological Survey (Bajc, 2000)
delineated a prominent cluster of Ni, Cu, Co, Cr, Pt and Pd in-till anomalies, situated east of Greenwater Lake.
Notably, highly anomalous levels of Ni, Co and Cr obtained from this survey occur on the Greenwater Lake
property, providing immediate targets for follow-up work. The till anomalies are also closely associated with
a prominent fault, that cuts the ultramafic rocks. Detailed geochemical sampling is clearly warranted to
enhance this target area.
A drill hole situated immediately east of the Greenwater Lake property, undertaken by North American
Palladium in 2004, returned very compelling results. Hole SP04-001 returned 0.56 g/t platinum + palladium,
as well as 0.30% nickel over 11.8 metres, within what is reported as strongly altered peridotite. No additional
drilling was ever completed to follow-up on this drill result.
Kekekuab Lake:
The Kekekuab Lake property is situated approximately 5 km due south of the Shebandowan mine site. As is
the case with the Greenwater Lake property, minimal historic drilling has been undertaken at Kekekuab lake.
Additionally, mafic and ultramafic rocks are prominent on available geology maps.
1240-789 W Pender St., Vancouver, BC, V6C 1H2 +1-604-683-3995 [email protected]
Fig 1. Map of the Sungold, Kekekuab and Greenwater properties
MOVING FORWARD ON THE PROPERTIES
Compilation of the historic and Government data will continue in the near term on all properties, in efforts to
consolidate and identify prospective targets.
Additionally, the process of engagement with the indigenous communities of Lac La Croix, Lac Des Milles
Lacs, the Metis Nation of Ontario and Fort William First Nation in collaboration with the Ontario Ministry of
Northern Development and Mines, will commence as soon as practical, in preliminary efforts to secure
exploration permits.
Qualified person
Sky Gold Corp.’s disclosure of a technical or scientific nature in this news release has been reviewed and
approved by Don Hoy, P.Geo., who serves as a qualified person under the definition of National Instrument
43-101.
1240-789 W Pender St., Vancouver, BC, V6C 1H2 +1-604-683-3995 [email protected]
Terms
To acquire a 100% interest in the properties listed the Company will issue 1.5 million shares, pay $20,000 and
grant a 2.5% NSR to the vendors of which 1.5% can be purchased back anytime by the Company at its
discretion for two million dollars. In the event that, subsequent to the Closing, SKYG deter mines in its
reasonable discretion that an ore body of more than 5 million tonnes is situated in or on the Property, and that
such ore body is commercially viable in accordance with industry standards, then the consideration payable
by SKYG shall be adjusted upwards, such that SKYG shall issue an additional 1,000,000 common shares in
its capital to the Vendors provided that SKYG has not sold or otherwise relinquished the Property.
This transaction is subject to TSX Venture approval. A finder’s fee will be payable.
FINANCING
Sky further announces it has arranged a non-brokered private placement of up to 10 million units ("Units") at
a price of $0.0 8 per Unit for aggregate gross proceeds of $ 800,000.00 (the "Offering"). Each Unit will be
comprised of one common share ("Share") and one transferable Share purchase warrant of the Company
("Warrant"). Each whole Warrant will entitle the Subscriber to purchase one Warrant Share for a 24 -month
period after the Closing Date at an exercise price of $0.1 2 per share. Proceeds raised from the Offering will
be used towards exploration activities on the Company’s portfolio of mining projects as well as general and
administrative purposes. Finder’s fees will be paid pursuant to this financing.
The financing is subject to TSX Venture approval.
ON BEHALF OF THE BOARD
“Mike England”
Mike England, CEO, PRESIDENT & DIRECTOR
FOR FURTHER INFORMATION PLEASE
CONTACT: Telephone: 1-604-683-3995
Toll Free: 1-888-945-4770
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the matters
described herein. Forward-looking statements consist of statements that are not purely historical, including any statements regarding
beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause
actual results, performance, or developments to differ materially from those contained in the statements, including with respect to the
completion of the Consolidation or the identification or acquisition of additional mineral assets . No assurance can be given that any
of the events anticipated by the forward -looking statements will occur or, if they do occur, what benefits the Company will obtain
from them. These forward -looking statements reflect management's current views and are based on certain expectations, estimates
1240-789 W Pender St., Vancouver, BC, V6C 1H2 +1-604-683-3995 [email protected]
and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ
materially from those expressed or implied by the forward-looking statements, including factors beyond the Company's control. These
forward-looking statements are made as of the date of this news release.