Azincourt Energy Receives Results from 2023 Drill Program at the East Preston Uranium Project, Athabasca Basin, Saskatchewan
Suite 1610 –777Dunsmuir Street, Vancouver, BC, Canada, V7Y1K4
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August 17th, 2023
News Release
Azincourt Energy Receives Results from 2023 Drill Program at the East Preston
Uranium Project, Athabasca Basin, Saskatchewan
Vancouver, BC - Skyharbour Resources Ltd.’s (TSX-V:SYH) (OTCQX:SYHBF)
(Frankfurt:SC1P) (the “Company”) partner company Azincourt Energy (“Azincourt ”) is pleased to
announce that the sample analysis have been received from the 2023 exploration program at the
East Preston uranium project (the “Project”) in the Athabasca Basin, Saskatchewan, Canada.
Azincourt is the operator and majority interest holder in the Project with Skyharbour holding a minority
interest.
Project Location – Western Athabasca Basin, Saskatchewan, Canada:
https://www.skyharbourltd.com/_resources/maps/Sky_EastPreston_20211209.jpg
Drilling for the 2023 program a t the East Preston Project consisted of a total of 3,066 metres
completed in 13 drill holes. Drilling was focused on the G, K, H, and Q zones with a drilling update
reported in a news release dated March 28th, 2023.
Winter 2023 Diamond Drilling Program Highlights:
A total of 687 samples were collected throughout the program and sent to the Geoanalytical
Laboratory at the Saskatchewan Research Council in Saskatoon, Saskatchewan for analysis. There
was a delay with the analytical results and after a review of the initial data received from the lab,
there were significant quality control issues noted within the results. As part of the quality control
process, standards with a known concentration of uranium are inserted in the sample batches. These
samples are analyzed to confirm that the results for that batch of samples are within an acceptable
range based on the results of the standards. The issues noticed manifested as anomalous results
occurring in the samples analyzed immediately following several of the standards. As a result, these
samples were reanalyzed. Once the issue was identified, confirmed, and resolved, Azincourt
requested that all samples of the affected batches be run through the process to ensure a complete
consistent data set.
Analysis of the resul ts shows uranium enrichment within the previously identified clay alteration
zones along the K, and H- target zones. Uranium enrichment is identified as uranium (U) values and
a uranium/thorium ratio (U/Th) above what would normally be expected in the give n rock type or
area.
Drilling on the northeast trending G-Zone identified extensive hydrothermal alteration and evidence
of east-west cross-cutting structures along the southern portion of the zone. The primary rock types
in the alteration zone are granodiorite and diorite gneiss with average expected values of 2-3 ppm U
and U/Th ratios of 0.25 -0.3. Elevated radioactivity was intersected in holes EP0045 and EP0047,
and EP0047 returned elevated U and U/Th values. While this is a good sign, the alteration zone does
not display the upgraded clay alteration halo seen at Zones K and H.
Illite and kaolinite are both indicators of hydrothermal alteration typically found within alteration halos
of unconformity uranium deposits. Dravite is a boron-rich clay which is typically found within a larger
clay package in close proximity to uranium mineralization in the system. Both illite and dravite have
been identified as being significant vectors for the recent Patterson Lake North discovery by F3
Uranium approximately 60 km to the northwest of the East Preston project.
2023 Target Areas and Drill Hole Locations at the East Preston Uranium Project:
https://skyharbourltd.com/_resources/images/2023-Target-areas-and-Drill-Hole-Locations.png
On the north end of the K -Zone, drilling intersected extensive structure and hydrothermal clay
alteration within the structural zone. Samples of clay alteration were analyzed by Short Wavelength
Infrared Reflectance (SWIR, sometimes referred to as “PIMA”) to confirm the clay species. All three
holes contained illite and kaolinite clay species, with hole EP0049 also having dravite identified within
the structural zone. Hole EP0049 also returned elevated Thorium.
The H-Zone covers a change in orientation of the structural and conductive trend from north -south
to southwest trending. Drilling intersected an intense graphitic fault zone with hydrothermal
alteration. The illite clay alteration halo identified in the K-Zone extends south into the H-Zone as far
south as EP0053. Hole EP0053 intersected elevated radioactivity and both kaolinite and dravite are
also present within the illite alteration package. Dravite was also identified in hole EP0052. Rocks in
this zone are expected to return values of 0.5-1.5 ppm U and U/Th ratios of 0.25-0.5. Holes EP0052
and EP0056 returned the best analytical results of the program with U/Th ratios of 1.0 and 1.8
respectively, and uranium in the 5-6 ppm range.
Azincourt considers the drilling results to date to be significant, as major uranium discoveries in the
Athabasca Basin such as McArthur River, Key Lake, and Millennium were primarily the result of drill
testing of strong alteration zones related to conductor features. Identifying and upgrading the strong
alteration zones is a significant step forward in identifying the key areas along the conductor trends
where more attention is required.
“The alteration we are seeing in th e K and H -Zones is very encouraging ,” said Azincourt’s VP,
Exploration, Trevor Perkins. “The associated elevated uranium present is also very promising and
shows that we are vectoring towards something in this area. The identification of dravite and illite
clays with the elevated uranium emphasizes that we are on the right track and getting close. This
target area will be a top priority moving forward and based on results we may see the north-northwest
trending structures taking on more significance for targeting on this trend and others on the property”
continued Mr. Perkins.
“We’re encouraged by the appropriate clay content in the alteration zones. If you’re hunting for a
uranium deposit, this is what you need to see,” said Azincourt’s CEO, Alex Klenman. “The elevated
uranium values from the last two drill programs, combined with the confirmed presence of relevant
clays and strong U/Th ratios, within these systems, are substantial developments in the progression
of the project and should not be underestimated. Although we’d certainly welcome encountering
significant mineralization we continue to be well within a practical discovery timeline. We are ea ger
to continue moving the project forward and will begin formulating the next phase of drilling at East
Preston. In the meantime, we’re active at the Big Hill lithium project in Newfoundland and are
awaiting results of the current work program. A follow u p program is in the planning stage and will
be announced shortly,” continued Mr. Klenman.
East Preston Targets:
The primary target area on the East Preston Project is the conductive corridors from the A -Zone
through to the G-Zone (A-G Trend) and the K -Zone through to the H and Q -Zones (K-H-Q Trend).
The selection of these trends is based on a compilation of results from the 2018 through 2020
ground-based EM and gravity surveys, property wide VTEM and magnetic surveys, and the 2019
through 2022 drill programs, the 2020 HLEM survey indicates multiple prospective conductors and
structural complexity along these corridors.
Road Access to East Preston Uranium Project:
https://skyharbourltd.com/_resources/images/Road-access-to-the-East-Preston-Uranium-
Project.png
Drilling has confirmed that identified geophysical conductors comprise structurally disrupted zones
that are host to accumulations of graphite, sul phides, and carbonates. Hydrothermal alteration,
anomalous radioactivity, and elevated uranium have been demonstrated to exist within these
structurally disrupted conductor zones.
Permitting and Community Engagement:
The permitting process is underway for the 2024-2026 drill programs. Azincourt Energy continues to
be engaged in regular meetings with the Clearwater River Dene Nation and other rights holders to
ensure that concerns of the local communities are addressed with regards to the East Preston
project. A more in -depth engagement process will also be commencing within the next couple of
months with the La Loche Metis Local #39. Azincourt looks forward to a continued close working
relationship with CRDN and other rights holders to ensure that any pote ntial impacts and concerns
are addressed and that the communities can benefit from activities in the area through support of
local business, employment opportunities, and sponsorship of select community programs and
initiatives. Local businesses are engage d to provide services and supplies and members of the
Clearwater River Dene Nation and surrounding communities have been directly employed on site or
to provide support and services to keep the camp and programs running.
About East Preston:
Skyharbour and Dixie Gold entered into an Option Agreement (the “Agreement”) with Azincourt
whereby Azincourt had an earn-in option to acquire a 70% working interest in a portion of the Preston
Uranium Project known as the East Preston Property. Azincourt has now earned a majority interest
in the project by completing CAD $2.5 million in staged exploration expenditures and making a total
of CAD $1 million in cash payments as well as issuing shares of Azincourt divided evenly between
Skyharbour and Dixie Gold. Skyharbour retains a minority interest in the East Preston Project.
Three prospective conductive, low magnetic signature corridors have been discovered on the
property. The three distinct corridors have a total strike length of over 25 km, each with multiple EM
conductor trends identified. Ground prospecting and sampling work completed to date has identified
outcrop, soil, biogeochemical and radon anomalies, which are key pathfinder elements for
unconformity uranium deposit discovery.
The East Preston Project has multiple long linear conductors with flexural changes in orientation and
offset breaks in the vicinity of interpreted fault lineaments – classic targets for basement -hosted
unconformity uranium deposits. These are not just simple basement condu ctors; they are clearly
upgraded/enhanced prospectivity targets because of the structural complexity. The targets are
basement-hosted unconformity related uranium deposits similar to NexGen’s Arrow deposit and
Cameco’s Eagle Point mine. East Preston is near the southern edge of the western Athabasca Basin,
where targets are in a near surface environment without Athabasca sandstone cover; therefore, they
are relatively shallow targets but can have great depth extent when discovered. The project ground
is located along a parallel conductive trend between the PLS-Arrow trend and Cameco’s Centennial
deposit (Virgin River-Dufferin Lake trend).
Qualified Person:
The technical information in this news release has been prepared in accordance with the Canadian
regulatory requirements set out in National Instrument 43 -101 and reviewed by C. Trevor Perkins,
P.Geo., Vice President, Exploration of Azincourt Energy, and a Qualified Person as defined by
National Instrument 43-101.
About Skyharbour Resources Ltd.:
Skyharbour holds an extensive portfolio of uranium exploration projects in Canada's Athabasca
Basin and is well positioned to benefit from improving uranium market fundamentals with twenty-four
projects, ten of which are drill-ready, covering over 518,000 hectares (over 1.2 million acres) of land.
Skyharbour has acquired from Denison Mines, a large strategic shareholder of the Company, a 100%
interest in the Moore Uranium Project which is located 15 kilometres east of Denison's Wheeler River
project and 39 kilometres south of Cameco's McArthur River uranium mine. Moore is an advanced-
stage uranium exploration property with high-grade uranium mineralization at the Maverick Zone that
returned drill results of up to 6.0% U3O8 over 5.9 metres including 20.8% U3O8 over 1.5 metres at a
vertical depth of 265 metres. Adjacent to the Moore Uranium Project is Skyharbour’s recently
optioned Russell Lake Uranium Project from Rio Tinto, which hosts historical high -grade uranium
drill intercepts over a large property area with robust exploration upside potential. The Company is
actively advancing these projects through exploration and drill programs.
Skyharbour has joint-ventures with industry-leader Orano Canada Inc. and Azincourt Energy at the
Preston and East Preston Pr ojects, respectively, whereby Orano and Azincourt earned majority
interests in the projects through exploration expenditures, cash payments and share issuances.
Skyharbour also has several active earn-in option partners including: ASX-listed Valor Resources at
the Hook Lake Uranium Project; CSE-listed Basin Uranium Corp. at the Mann Lake Uranium Project;
CSE-listed Medaro Mining Corp. at the Yurchison Project; Yellow Rocks Energy, a private Australian
entity, at the Wallee and Usam Island projects; North Sh ore Energy Metals at the South Falcon
Project; and TSX-V listed Tisdale Clean Energy at the South Falcon East Project which is host to the
Fraser Lakes Zone B Uranium and Thorium Deposit.
Collectively, Skyharbour has now signed earn-in option agreements with partners that total to over
$37 million in partner-funded exploration expenditures, over $28 million worth of shares being issued
and over $19 million in cash payments coming into Skyharbour, assuming that these partner
companies complete their entire earn-ins at the respective projects.
Skyharbour's goal is to maximize shareholder value through new mineral discoveries, committed
long-term partnerships, and the advancement of exploration projects in geopolitically favourable
jurisdictions.
Skyharbour’s Uranium Project Map in the Athabasca Basin:
https://skyharbourltd.com/_resources/maps/SKY_SaskProject_Locator_V2A_20230727.jpg
To find out more about Skyharbour Resources Ltd. (TSX -V: SYH) visit the Company’s website
at www.skyharbourltd.com.
SKYHARBOUR RESOURCES LTD.
“Jordan Trimble”
Jordan Trimble
President and CEO
For further information contact myself or:
Nicholas Coltura
Corporate Development and Communications
Skyharbour Resources Ltd.
Telephone: 604-558-5847
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: [email protected]
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