Skyharbour Partner Company Confirms Priority Targets For Upcoming Drill Program at East Preston Uranium Project
Suite 1610 –777 Dunsmuir Street, Vancouver, BC, Canada, V7Y1K4
www.skyharbourltd.com
TSX-V Trading Symbol: SYH
Email: [email protected]
Telephone: (604) 687-3800
Facsimile: (604) 687-3119
December 4th, 2019
News Release
Skyharbour Partner Company Confirms Priority Targets For Upcoming Drill Program at East
Preston Uranium Project
Vancouver, BC - Skyharbour Resources Ltd. (TSX-V:SYH) (OTCQB:SYHBF) (Frankfurt:SC1P)
(the “Com pany”) is pleased to announce that its partner company Azincourt Energy Corp.
(“Azincourt”) has provided an update on plans for the 2020 winter diamond drilling program at the
25,000+ hectare East Preston Uranium Project, located 50km southeast of Patterso n Lake, in the
Western Athabasca Basin, northern Saskatchewan, Canada.
Preston Uranium Project Map:
http://skyharbourltd.com/_resources/maps/SYH-Patterson-Lake.pdf
Drill target prioritization has now been completed, based on the compilation of results from the 2019
winter drill program, the 2018 and 2019 ground -based EM and gravity surveys, and property -wide
helicopter-borne Versatile Time-Domain Electromagnetic (VTEM™ Max) and magnetic surveys.
The upcoming approximately $1.2M drill program will focus on prospective targets in the Five Island
Lakes area with 2000 -2500m (up to 15 holes) of diamond drilling at 8 -to-10 pad locations. The
majority of proposed holes wi ll test multiple subparallel EM conductors (A -zone and B -zone
conductor corridors), in an area of marked structural disruption. Portions of the A -zone were drilled
during the 2019 winter campaign verifying that the conductor hosts significant graphite in s trongly
deformed (sheared) host rocks that offer both fluid pathways and a reducing host rock conducive to
uranium deposition.
Initial drilling is also proposed for the Swoosh zone, a 7+ km long east-west structural lineament with
strongly anomalous, spatially consistent geochemical anomalies (lake sediments, radon, soil) and
coincident magnetic and gravity geophysical anomalies. Two holes are proposed for this area near
the upstream terminus of the geochemical anomalies. This zone is located along strik e -
approximately 5km southwest of the A-zone.
Azincourt’s President and CEO, Alex Klenman stated: “East Preston is a large and highly prospective
uranium exploration project with a comprehensive inventory of compelling drill targets, and we’re
eager to begin testing the target zones .” “Earlier this year a number of factors prevented us from
drilling as much as we had planned. The timing of funding, a late start, and the early onset of warmer
weather cut short our efforts. However, this upcoming campaign has the benefit of not only adequate
funding already in place, but also, we’re significantly ahead of the permitting and preparation process
than we were last time. We will test a number of priority targets this time, so we’re excited to get
going,” continued Mr. Klenman.
2020 Drill Targets – East Preston Uranium Project
http://skyharbourltd.com/_resources/maps/2020-Drill-Targets-East-Preston-Uranium-Project.pdf
Project Location – Western Athabasca Basin, Saskatchewan, Canada
http://skyharbourltd.com/_resources/maps/Project-Location-Western-Athabasca-Basin-
Saskatchewan-Canada.pdf
Option Agreement:
Skyharbour and Clean Commodities 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 Clean Commodities, as well as $2,500,000 in exploration expenditures over the three -year
period.
About East Preston:
Extensive regional exploration work at East Preston was completed in 2013 -14, including airborne
electromagnetic (VTEM), magnetic and radiometric surveys. 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 o utcrop, soil, biogeochemical and
radon anomalies, which are key pathfinder elements for unconformity uranium deposit discovery.
Azincourt completed a winter geophysical exploration program in January -February 2018 that
generated a significant amount of ne w drill targets within the previously untested corridors while
refining additional targets near previous drilling along the Swoosh corridor. Ground -truthing work
confirmed the airborne conductive trends and more accurately located the conductor axes for future
drill testing. The gravity survey identified areas along the conductors with a gravity low signature,
which is often associated with alteration, fault/structural disruption and potentially, uranium
mineralization. The combination/stacking of positive features has assisted in prioritizing targets.
The Main Grid shows 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 grea t 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 and approved by
Richard Kusmirski, P.Geo., M.Sc., Skyharbour's Head Technical Advisor and 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 with drill results returning up to 6.0% U 3O8 over 5.9 metres
including 20.8% U 3O8 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 exploration
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 U 3O8 at 0.03% and 5.3 million pounds of ThO 2 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
President and CEO
For further information contact myself or:
Simon Dyakowski
Corporate Development
Skyharbour Resources Ltd.
Telephone: 604-687-3800
Toll Free: 800-567-8181
Facsimile: 604-687-3119
Email: [email protected]
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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
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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
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further information.