Skyharbour Discovers New High Grade Uranium Mineralization at Maverick Zone including 5.39% U3O8 over 1.0 metre within 2.07% U3O8 over 3.5 metres; Summer 2018 Drill Program Upcoming
Suite 1610 – 777 Dunsmuir Street, Vancouver, BC, Canada, V7Y 1K4
www.skyharbourltd.com
TSX-V Trading Symbol: SYH
Email: [email protected]
Telephone: (604) 687-3376
Facsimile: (604) 687-3119
June14th, 2018
NEWS RELEASE
Skyharbour Discovers New High Grade Uranium Mineralization at Maverick Zone
including 5.39% U3O8 over 1.0 metre within 2.07% U3O8 over 3.5 metres;
Summer 2018 Drill Program Upcoming
Vancouver, BC - Skyharbour Resources Ltd. (TSX-V: SYH)(OTCQB:
SYHBF)(Frankfurt:SC1P) (the “ Company”) is pleased to announce the results from its 2018
winter/spring 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. Drillhole ML18-08
intersected high grade uranium mineralization within the Main Maverick Zone consisting of 5.39%
U3O8 over 1.0 metre within an interval containing 2.07% U3O8 over 3.5 metres. This mineralization
occurs at the unconformity from 265.8 to 269.3 metres downhole. Also of note is hole ML 18-09
which intersected uranium mineralization at the unconformity in the Maverick East Z one, a new
high grade lens discovered by Skyharbour last year . This hole returned a grade equivalent of
3.07% U3O8 over 1.8 metres from an interval containing a grade equivalent of 1.01% U3O8 over
6.3 metres.
Moore Uranium Project Claims Map:
http://skyharbourltd.com/_resources/maps/MooreLakeRegionalTenure.jpg
Highlights:
Hole ML 18-08 drilled on the Main Maverick Zone returned an unconformity-hosted
intercept of 2.07% U3O8 over 3.5 metres from 265.8 to 269.3 metres downhole, including
5.39% U3O8 over 1.0 metre.
Hole ML18-09 drilled at the Maverick East Zone returned a grade equivalent of 1.01%
U3O8 over 6.3 metres from 275.4 to 281.7 metres downhole at the unconformity, including
an interval of 3.07% U3O8 over 1.8 metres.
Three of the four holes drilled at the Maverick corridor in this program returned high grade
uranium mineralization and successfully expanded the known high grade zones.
Only 2 kilometres of the total 4 kilometre long Maverick corridor have been systematically
drill tested leaving robust discovery potential along strike as well as at depth in the
underlying basement rocks which have seen limited drill testing historically.
Regional diamond drill hole ML18-03 tested the Venice target 8 km northeast of the Main
Maverick Zone, and intersected uranium mineralization in graphitic pelites that occur just
below the unconformity in the basement rock at 279 metres downhole.
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Given the success of the 2018 winter/spring drilling program at Moore, planning
is currently underway for a minimum 3,000 metre summer diamond drilling program to
commence in August; additional news and details are forthcoming.
Jordan Trimble, President and CEO of Skyharbour Resources, states: “The recently completed
winter/spring drill program at the Moore Project has expanded the known high grade zones at the
Maverick corridor by intersecting relatively shallow uranium mineralization at the unconformity.
Furthermore, new regional discoveries were made at the Venice target. We will be commencing
a summer drill program to follow up on these results and test more extensively new targets in the
underlying basement rock at the Maverick corridor. The known high grade, unconformity-hosted
uranium mineralization at the Maverick corridor was deposited there through feeder zones in the
basement rock, the discovery of which will be a top priority in this upcoming program given other
recent basement hosted discoveries including NexGen’s Arrow Deposit, Fission’s Triple R
Deposit and Denison’s Gryphon Deposit. Skyharbour is well positioned with strong discovery
potential and ample upcoming news flow to benefit from an impending uranium market recovery.
In the last few months we have witnessed increasing uranium prices and improving sentiment
amid recent news including additional supply cuts announced from Kazakhstan, accelerating
Japanese nuclear reactor restarts, and a new uranium fund based in London buying over eight
million pounds of uranium from KazAtomProm.”
Winter 2018 Drill Program Summary and Upcoming Summer 2018 Drill Program Plans:
The recently completed winter/spring diamond drilling program totaled 3,399 metres in 9 holes
which were drilled to a depth of between 330 and 525 metres. Five of the nine holes were drilled
on regional grids testing geophysical targets and as a follow up to previous drilling , while the
remaining four holes were drilled on the high grade Maverick structural corridor.
Moore Uranium Project Regional Grid Targets Map:
http://skyharbourltd.com/_resources/maps/Moore-Lake-Property-Wide.jpg
Skyharbour is planning for a minimum 3,000 metre 2018 summer diamond drilling program slated
to commence in August. The majority of this drilling will test the high grade Maverick corridor both
above the unconformity and below it in the basement rocks. Skyharbour’s technical team has
recently reinterpreted historical drill results and has identified new high-priority drill targets in the
basement rock at the Maverick corridor below the know n high grade mineralization. The
underlying basement feeder zones for the unconformity-hosted high grade uranium at the
Maverick corridor have yet to be discovered and have seen limited drill testing.
Moore Uranium Project Maverick Corridor Drilling Map:
http://skyharbourltd.com/_resources/projects/Moore-Lake-Maverick-Trend-w-geophys-
inset_20170515_v2.pdf
Drilling at the Maverick Corridor and the Venice Zone:
Four holes in this program tested the high grade Maverick Main Zone and Maverick East Zone.
The best results were from ML18-08 which tested the Maverick Main Zone and ML 18-09 which
tested the Maverick East Zone. Hole ML18-08 intersected 2.07% U3O8 over 3.5 metres at the
unconformity.
Moore Uranium Project Main and East Maverick Zones Drilling Map:
http://skyharbourltd.com/_resources/projects/Moore-Lake-Maverick-Detail_20170515.pdf
The most encouraging results from the drilling on the regional grids were obtained from ML18-03
which tested targets on the Venice grid. This hole intersected a strongly altered and structurally
disrupted basal sandstone column and basement rocks. This hole returned anomalous pathfinder
elements as well as a 0.5 metre interval containing 0. 154% U3O8 in graphitic pelites just below
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the unconformity in the basement rock . The Venice target is a high -priority regional target
going forward given this recent discovery.
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. Uranium prices are up approx. 10% in the last several months and
UxC Weekly notes that spot uranium activity has been at higher levels in terms of both number of
transactions and volume. Analysts that cover 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 sticky demand-side continues to improve . Uranium production is on the decline and
expected to be approx. 135 million lbs U3O8 in 2018 given recent closures and project deferrals
while demand continues to rise and is expected to be approx. 192 million lbs as per UxC in 2018.
The spot uranium price is just over $23 / lb U 3O8 which is well below the average 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 pressures on what is deemed a
strategic industry. The USA has to import approx. 93% of its required uranium for its nuclear
power plants and as a result the Trump Administration has recently instructed the US Department
of Energy to halt uranium sales to fund decommissioning projects and has also placed a two year
moratorium on nuclear plant closures. Outside of the USA, 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 supply cuts in
2017 and 2018 including Cameco’s suspension of operations at the world’s largest uranium mine,
McArthur River, as well as KazAtomProm’s announcement that it will cut 20% of planned
production over the next three years and produce 60.1 million lbs in 2018. More recently, the
Kazakh Energ y Minister suggested there would be another 6 % production cut over previous
expectations to 56.2 million lbs which has further sparked a rally in the uranium price. Additionally,
a new uranium holding company is emerging called “Yellow Cake” which is seeking US$150-200
million in a London-based IPO to buy 8.1 million lbs of uranium from KazAtomProm representing
a significant portion of the uranium spot market which should help take further spot supply from
circulation. There has also been rece nt talk that current producers are more likely to buy larger
quantities of material from the spot market going forward which should add upward pressure to
the uranium price.
On the demand side, there are just under 450 operating nuclear reactors and 58 new reactors
under construction globally, with construction of five new units commencing in 2018 to-date. China
continues to be at the forefront of demand growth and has the largest reactor pipeline by far,
including 38 operating reactors, 20 under construct ion, and another 184 planned or proposed,
making up approx. 38% of the global pipeline of non -operating units. Furthermore, the situation
in Japan finally seems to be improving with eight reactors at full commercial operation with several
more slated to come back online shortly , up from jus t three at this time 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 highlights
include 4.03% eU3O8 over 10 metres including 20% eU3O8over 1.4 metres , and in 2017,
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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 release 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 Adviso r and a
Director, as well as a Qualified Person.
A Mount Sopris MXC-1000 winch, MGX-II logging console and 2SMA/2GHF Triple Gamma probe
were employed to collect radiometric data for the grade calculations. The grade-equivalent values
were performed by the company using industry standard calculations applied to the raw gamma
data.
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 b enefit 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 resu lts returning
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 70% on the Preston Project through a combined
$9,800,000 in total exploration expenditures, as well as $1,700,000 in total cash payments and
4,500,000 Azincourt shares. Preston is a large, geologically prospective property proxim al 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 an 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% 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 Lake 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
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President and CEO
For further information contact myself or:
Nick Findler
Corporate Development and Communications
Skyharbour Resources Ltd.
Telephone: 604-687-3850
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: [email protected]
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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 forward -looking statements. Although management
believes the expectations expressed in such forward -looking state ments 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 devel opment successes, continued
availability of capital and financing, and general economic, market or business conditions. Please see the
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