Skyharbour’s Partner Company Azincourt Energy Provides Update on 2021 Winter Drill Program at The East Preston Uranium Project
Suite 1610 –777Dunsmuir Street, Vancouver, BC, Canada, V7Y1K4
www.skyharbourltd.com
TSX-V Trading Symbol: SYH
Email: [email protected]
Telephone: (604) 687-3376
Facsimile: (604) 687-3119
February 10th, 2021
News Release
Skyharbour’s Partner Company Azincourt Energy Provides Update on 2021 Winter Drill
Program at The East Preston Uranium Project
Vancouver, BC - Skyharbour Resources Ltd. (TSX-V: SYH) (OTCQB: SYHBF) (Frankfurt:
SC1P) (the “Company”) partner company Azincourt Energy Corp. (“Azincourt”) is pleased to provide
an update on preparations for the 2021 winter exploration program at the East Preston uranium
project, located in the western Athabasca Basin, Saskatchewan, Canada.
Project Location – Western Athabasca Basin, Saskatchewan, Canada:
https://skyharbourltd.com/_resources/maps/SYH-Patterson-Lake.pdf
Road preparation and placement of bridges to allow access to the primary drill sites at the Company’s
East Preston property is underway. The 2021 exploration program is anticipated to cost
approximately $1M to 1.4M and consist of a 10 - 12 hole, 2000-to-2500 meter diamond drill program.
Drilling is anticipated to commence the third week of February.
Based on the compilation of r esults from the 2019 and 2020 drill programs , 2018 through 2020
ground-based EM and gravity surveys, and property wide VTEM and magnetic surveys , the
conductive corridor from the A-Zone through to the G-Zone (Figures 1 and 2) has been identified as
the focus for the 2021 drilling program.
The 2020 HLEM survey completed in December indicates multiple prospective conductors and
structural complexity along the eastern edge of this corridor. Drilling in the A zone suggests this
structural corridor hosts significant graphitic packages within strongly sheared and faulted host
lithologies, indicating an environment conducive to fluid movement and uranium deposition. Drilling
will start in the AB-Zone and continue southwest along the G-Zone.
TerraLogic Exploration and Bryson Drilling have been contracted to execute the drill program, which
is being conducted under the guidance and supervision of Azincourt’s Exploration Manager, Trevor
Perkins, P.Geo, and Jarrod Brown, M.Sc., P.Geo, Chief Geologist and Project Manager with
TerraLogic Exploration.
“There is no shortage of drill ready targets on the East Preston Project. It will be exciting to continue
to drill these targets and focus in on the most responsive areas within the identified structural
corridors,” said Exploration Manager, Trevor Perkins.
Target corridors at East Preston Uranium Project, Western Athabasca Basin Saskatchewan:
https://skyharbourltd.com/_resources/maps/nr-20210118-figure1.png
“We are pleased to continue our exploration drilling at East Preston,” said Alex Klenman, President
and CEO of Azincourt. “There have only been a dozen holes drilled so far , it’s still early on in the
exploration drill phase. The project contains dozens of high quality, priority targets, and we believe
the data generated so far suggests each round of drilling we conduct is getting us closer to discovery.
We are on the right path, at a lar ge enough, suitably located land package, situated among large
cap uranium companies. There are no doubts that East Preston presents a compelling exploration
proposition,” continued Mr. Klenman.
2021 Drill Target areas at the East Preston Uranium Project:
https://www.skyharbourltd.com/_resources/maps/nr-20210209-figure1.png
About East Preston:
Skyharbour and Dixie Gold Inc. (“Dixie Gold”) entered into an Option Agreement (the “Agreement”)
with Azincourt whereby Azincourt has an earn-in option to acquire a 70% working interest in a portion
of the Preston Uranium Project known as the East Preston Property. Under the Agreement, Azincourt
has issued common shares and will contribute cash and exploration expenditure consideration
totaling up to CAD $3,500,000 in exchange for up to 70% of the applicable property area over three
years. Of the $3,500,000 in project consideration, $1,000,000 will be in cash payments to Skyharbour
and Dixie Gold, as well as $2,500,000 in exploration expenditures over the thr ee-year period.
Skyharbour and Dixie Gold agreed to extend the deadline for the remaining obligations owing to
complete the acquisition of a 70% interest in the Project, which include incurring a small portion of
the exploration expenditures remaining on t he Project and completion of a final cash payment of
CAD $400,000 (see News Release dated April 16, 2020). The deadline for these obligations has
been extended through until March 31 st, 2021 and in consideration for the extension, Azincourt
issued common shares to Skyharbour and Dixie Gold.
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 conductors; 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 Nat ional Instrument 43 -101 and reviewed and approved by
Richard Kusmirski, P.Geo., M.Sc., Skyharbour’s Head Technical Advisor and a Director, as well as
a Qualified Person.
About Skyharbour Resources Ltd.:
Skyharbour holds an extensive portfolio of uranium and thorium exploration projects in Canada's
Athabasca Basin and is well positioned to benefit from improving uranium market fundamentals with
six drill-ready projects. 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.
Skyharbour has option agreements with Orano Canada Inc. and Azincourt Energy whereby Orano
and Azincourt can earn in up to 70% of the Preston and East Preston Projects, respectively, through
a combined $9,800,000 in total exploration expenditures, as well as $1,700,000 in total c ash
payments and Azincourt shares. Preston and Preston East are large, geologically prospective
properties proximal to Fission Uranium's Triple R deposit as well as NexGen Energy's Arrow deposit.
The Company owns a 100% interest in the South Falcon Uranium Project on the eastern perimeter
of the Basin which contains a NI 43 -101 inferred resource totaling 7.0 million pounds of U3O8 at
0.03% and 5.3 million pounds of ThO 2 at 0.023%. Skyharbour has signed a Definitive Agreement
with Australian company Pitchb lende Energy, which is being acquired by ASX -listed Valor
Resources, on the North Falcon Uranium Project whereby Pitchblende can earn-in 80% of the project
through $3,500,000 in total exploration expenditures, $475,000 in total cash payments over three
years and an initial share issuance.
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:
http://skyharbourltd.com/_resources/maps/SYH-Athabasca-Map.pdf
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:
Spencer Coulter
Corporate Development and Communications
Skyharbour Resources Ltd.
Telephone: 604-687-3376
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: [email protected]
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RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
This release includes certain statements that may be deemed to be "forward -looking statements". All
statements in this release, other than statements of historical facts, that address events or developments that
management of the Company expects, are forwa rd-looking statements. Although management believes the
expectations expressed in such forward -looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance, and actual results or developments may differ materially
from those in the forward-looking statements. The Company undertakes no obligation to update these forward-
looking statements if management's beliefs, estimates or opinions, or other factors, should change. Factors
that could cause actual results to differ materially from those in forward -looking statements, include market
prices, exploration and development successes, continued availability of capital and financing, and general
economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for
further information.