Skyharbour Commences Minimum 3,000m Winter Diamond Drilling Program at its High Grade Moore Uranium Project, Saskatchewan
Suite 1610 –777 Dunsmuir 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 26th, 2019
News Release
Skyharbour Commences Minimum 3,000m Winter Diamond Drilling Program at its High
Grade Moore Uranium Project, Saskatchewan
Vancouver, BC - Skyharbour Resources Ltd. (TSX-V:SYH) (OTCQB:SYHBF)
(Frankfurt:SC1P) (the “Company”) is pleased to announce it has commenced its winter 2019
diamond drilling program at its flagship 35,705 hectare Moore Uranium Project, located approx.
15 kilometres east of Denison Mine's Wheeler River project and near regional infrastructure on
the southeast side of the Athabasca Basin, Saskatchewan. The Company is planning to carry out
a minimum of 3,000 metres of drilling in eight to ten diamond drill holes to follow up on the success
of the drill program s completed last year . This drill program will test both unconformity and
basement-hosted targets along the high grade Maverick structural corridor, as well as essentially
untested prospective conductive corridors identified by Skyharbour’s technical team. Of particular
interest are potential underlying basement feeder zones to the unconformity -hosted high grade
uranium present along the Maverick corridor. These targets have seen limited historical drill
testing.
Moore Uranium Project Claims Map:
http://skyharbourltd.com/_resources/maps/MooreLakeRegionalTenure.jpg
Jordan Trimble, President and CEO of Skyharbour Resources, states: “We are excited to get the
next phase of drilling started at our flagship Moore uranium project which will serve as an
important near term catalyst for the company. The high grade uranium mineralization discovered
during the two drill programs completed last year illustrates the strong discovery potential at the
project. We will be drill testing the Maverick corridor with a focus on basement-hosted targets as
well as testing other shallow, regional exploration targets that offer the potential to generate
additional discoveries . To complement this drill program , and add additional news flow and
discovery potential, Skyharbour’s partner Orano Canada Inc. is currently carrying out 3,600
metres of drilling at the Preston Project while the Company’s other partner Azincourt Energy is
planning to commence a drill program shortly at the East Preston Project.”
Winter 2019 Dill Program at the Moore Uranium Project:
Given the success of Skyharbour’s drilling at the Moore Project in 2018, the Company has now
commenced a minimum 3,000 metre winter diamond drilling program. Drill targets will include
unconformity and basement mineralization on the Maverick structural corridor as well as
unconformity-style mineralization on the Otter G rid target. The Company plans to test the
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Maverick West Target Area as well as basement-hosted targets at the Maverick Zone.
Only 2 km of the total 4 km long Maverick structural corridor have been systematically drill tested
leaving robust discovery potential along strike , as well as at depth in t he underlying basement
rocks which have seen limited drill testing to date.
Moore Uranium Project Maverick Corridor:
http://skyharbourltd.com/_resources/maps/Moore-Lake-Maverick-Corridor-Map-v1.jpg
The regional drill targets that will be tested are along the Otter Grid which is located in the west-
central portion of the property. On the Otter Grid, a several km long EM conductor and resistivity
low have been tested by only two historic drill holes, one of which intersected anomalous uranium
and pathfinder elements in the sandstone and was lost in a major structural zone before reaching
the optimum target depth.
Moore Uranium Project Regional Drill Targets Map:
http://skyharbourltd.com/_resources/maps/Moore-Lake-Property-Wide.jpg
Fall 2018 Dill Program Results at Moore Uranium Project:
Skyharbour previously reported results from its 3,800 metre, eight hole, summer/fall 2018 drilling
program at its Moore Uranium Project (see December 18th, 2018 news release). Drillhole ML18-
14 intersected high grade uranium mineralization within the Main Maverick Zone consisting of
3.11% U3O8 over 1.8 metres within an intercept containing 0.56% U 3O8 over 15.2 metres. This
represents one of the broadest zones of uranium mineralization intersected on the property to
date and occurs from 264.5 metres to 279.7 metres downhole, and largely within the underlying
basement rocks. Of particular note is that t he uranium mineralization continues well into the
basement rock illustrating the strong discovery potential below the unconformity.
Moore Uranium Project Main and East Maverick Zones Drilling Map:
http://skyharbourltd.com/_resources/projects/Moore-Lake-Maverick-Detail_20170515.pdf
Hole ML18-15 was also drilled at the western end of the Maverick Zone and returned 1.33% U3O8
over 7.8 metres from 264.3 metres to 272.1 metres downhole including 2.91% U 3O8 over 1.5
metres. This 7.8 metre intercept from hole ML18 -15 also contained 0.44% Co and 1.62% Ni.
Other exploratory holes in the drill progra m testing deeper targets in the underlying basement
rocks intersected up to 80 metres of altered and structurally disrupted graphitic lithologies that
returned anomalous pathfinder results including uranium mineralization.
Uranium Market Commentary and Update:
The uranium market has recently shown notable signs of recovery with increasing uranium prices
and improving sentiment, and this recovery appears to be accelerating amid recent news and
several sector developments. Analysts that co ver the sector have stated that this could be a
sustained upswing as they are currently seeing some of the best fundamentals since pre -
Fukushima which should be supportive of higher uranium prices as a major supply-side response
is playing out while the st icky demand-side continues to improve. The spot uranium price is just
over $28.50 / lb U 3O8 which is still well below the average all-in global cost of production and
significant price appreciation is needed to justify this production as well as developing new mines
to ensure sustainable and secure supply to meet growing global demand.
In more recent news, mine closures and production curtailment continue to dominate headlines
while US lawmakers are starting to take notice of external p ressures on what is deemed a
strategic industry. Major production cuts and depleting mine reserves appear to be working their
way into the uranium market and driving prices higher. The two largest producers, Cameco and
KazAtomProm, have announced large sup ply cuts in 2017 and 2018 including Cameco’s
suspension of operations at the world’s largest uranium mine, McArthur River. Additionally,
several new uranium holding companies and funds have emerged including Yellow Cake PLC,
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Uranium Trading Corp. and Tribe ca Capital Partners to purchase physical material
effectively taking further spot supply from circulation. Lastly, Cameco announced their plans to
purchase millions of pounds of uranium directly in the spot market in 2018 and 2019 to fulfill their
contracts.
On the demand side, there are 453 operating nuclear reactors and 55 new react ors under
construction globally. China continues to be at the forefront of demand growth and has the largest
reactor pipeline including 43 operating reactors, 15 under construction and another 179 planned
or proposed, making up a significant portion of the global pipeline of non -operating units.
Furthermore, the situation in Japan finally seems to be improving with nine reactors at full
commercial operation with several more sl ated to come back online shortly, up from just three
last year. Japan has reiterated a long term nuclear commitment of 20 -22% of its power mix by
2030.
Moore Uranium Project Overview:
In June 2016, Skyharbour secured an option to acquire Denison Mine's Moore Uranium Project,
on the southeastern side of the Athabasca Basin, in northern Saskatchewan. The project consists
of 12 contiguous claims totaling 35,705 hectares located 42 kilometres northeast of the Key Lake
mill, approx. 15 kilometres east of Denison’s Wheeler River project, and 39 kilometres south of
Cameco’s McArthur River uranium mine. Unconformity style uranium minera lization was
discovered on the Moore Project at the Maverick Zone in April 2001 . Historical drill h ighlights
include 4.03% eU3O8 over 10 metres including 20% eU3O8 over 1.4 metres, and in 2017,
Skyharbour announced drill results including 6.0% U3O8 over 5.9 metres including 20.8% U3O8
over 1.5 metres at a vertical depth of 265 metres . In addition to the Maverick Zone, the project
hosts other mineralized targets with strong discovery potential which the Company plans to test
with future drill programs. The project is accessible via winter and ice roads which simplifies
logistics and lowers costs.
Moore Lake Uranium Project Geophysics Map:
http://skyharbourltd.com/_resources/maps/MooreLake-Basic-geo-revamp.jpg
Qualified Person:
The technical information in this news relea se has been prepared in accordance with the
Canadian regulatory requirements set out in National 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 five drill-ready projects. In July 2016, Skyharbour acquired an option from Denison Mines, a
large strategic shareholder of the Company, to acquire 100% of the Moore Uranium Project which
is located approx. 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 with drill results returning
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 signed option agreements with Orano Canada Inc. and Azincourt Energy
whereby Orano and Azincourt can earn in up to 70% of the Preston Project through a combined
$9,800,000 in total explorat ion expenditures, as well as $1,700,000 in total cash payments and
Azincourt shares. Preston is a large, geologically prospective property proximal to Fission
Uranium's Triple R deposit as well as NexGen Energy's Arrow deposit. The Company also owns
a 100% interest in the Falcon Point 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 ThO2 at 0.023%. The project also hosts a high-grade surface showing with up to 68%
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U3O8 in grab samples from a massive pitchblende vein, the source of which has yet to
be discovered. The Company's 100% owned Mann Lake Uranium project on the east side of the
Basin is strategically located adjacent to the Mann La ke Joint Venture operated by Cameco,
where high -grade uranium mineralization was recently discovered. 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/SYH_Landpackage_2014.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:
Nick Findler
Corporate Development and Communications
Skyharbour Resources Ltd.
Telephone: 604-639-3850
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: [email protected]
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ACCEPTS 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.