John Newell, President and CEO of Golden Sky Minerals Corp., said, “Golden Sky Minerals and the geological team are excited to compile the recently acquired data from Squid East and begin fieldwork as soon as possible. We plan to confirm and expand the known showings, but also areas of exploration that previous exploration may have overlooked. To add to this, the Squid East property is adjacent to our recent bonanza-grade discovery on the property. Hotspot (42.4 g/t Au over 1.05 m, within 102 meters of 0.85 g/t Au in hole HS-21-02) . We plan to use what we learned at Hotspot and apply some of the same techniques to Squid East.”
Golden Sky Minerals’ Hotspot property is located 18 kilometers southwest of the Squid East option, along the Yukon-Alaska border (Figure 2). The properties are located in the North Ladue placer district which has produced over 20,000 ounces of placer gold. The North Ladue area is approximately 50 km south of the prolific Sixtymile placer district which has produced over 230,000 ounces of placer gold historically.
Squid East Property Highlights
- The Squid property is located in the Tintina gold province, an area that underwent significant magmatism during the Cretaceous period (Figure 1). This period of magmatism is associated with both Cu-Au-Mo porphyry systems and intrusion-related gold systems such as the Casino Cu-Mo-Au-Ag porphyry deposit (2.4 Bt grading 0.14% Cu and 0 .19 g/t Au) and the neighboring deposit The Tanacross Project, which contains the Taurus Cu-Mo-Au-Ag porphyry deposit in Alaska (75.2 Mt grading 0.275% Cu and 0.166 g/t Au).
- The property is located at the intersection of northwest and northeast trending fault systems that developed in conjunction with the more regional Tintina and Denali fault systems. Magmatic activity is often concentrated around these secondary structures, which commonly act as conduits for mineralized fluids.
- In 2013, airborne magnetic geophysical surveys were carried out by Metals Creek Resources, which highlighted several magnetic anomalies in the southwest area of the property (Figure 3). These magnetic anomalies are surrounded by moderate “low” magnetic signatures, interpreted as areas of magnetic destruction due to localized metasomatism. Geochemical soil sampling revealed that these features are associated with high values of Cu, Au, Ag, Mo, zinc (Zn), mercury (Hg), arsenic (As), barium (Ba) and antimony (Sb) . Anomalous zones with elevated concentrations of molybdenum, copper, gold and zinc could delineate potential porphyry targets (Figure 3).
- Soil sampling in 2012 delineated the Exploits Zone (~600 mx 200 m) with gold in soil values ranging from 15.6 ppb to 1086.5 ppb gold (Figure 4). Trenching in 2013 exposed bleached sericite schist, locally altered to hematite and fuchsite that returned 1.96 g/t Au and 160.6 g/t Ag over 22 meters. A 4-hole, 428-m diamond drill program defined a shallow-dipping mineralized zone, with the best interval grading 1.55 g/t Au and 114.1 g/t Ag over 21.0 meters (see press releases from MEK press of August 6, 2013 and October 8, 2013). 2013)(Figure 5).
- Additional drilling was completed by Trifecta Gold in 2017, totaling 546.5 meters in five holes. This drilling returned high grades of gold and silver at a maximum of 2.1 g/t Au and 325 g/t Ag over 1.19 metres. (See Trifecta Gold press release dated November 13, 2017). Although Trifecta’s drill program did not replicate the Metals Creek intersection, the mineralized horizons were intersected where expected, and the target remains open down dip and along strike in both directions.
Figure 1 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/dc6b56a8-c295-445b-994f-46784f853f30
Figure 2 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/87a81e07-3c97-467d-8085-a94015ecfbfa
Figure 3 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/033e1063-0696-40fa-b2d9-4d827a61c58b
Figure 4 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/b8c3ee16-afe2-45eb-8bda-5b139e204b6f
Figure 5 is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/fadbcd1b-1ace-400b-b4b9-b223d75c99da
Gold Sky Minerals will be deemed to have exercised the option on:
issuing an aggregate of 1,200,000 Shares to Metals Creek as follows:
- 150,000 shares upon receipt of approval from the TSX Venture Exchange (the “Exchange”) for the proposed transaction.
- 150,000 Shares no later than the 31 st from December 2022;
- 200,000 Shares no later than the 31 st from December 2023;
- 300,000 Shares no later than 31 st from December 2024; and
- 400,000 Shares no later than the 31 st of December 2025.
Golden Sky will pay a total of $100,000 to Metals Creek as follows.
- $10,000 upon receipt of Exchange approval for the proposed transaction.
- $15,000 no later than December 31, 2022;
- $20,000 no later than December 31, 2023;
- $20,000 by the 31st st from December 2024; and
- $35,000 by the 31st st from December 2025
Golden Sky having spent a minimum of $850,000 in exploration expenditures on the property as follows:
- $50,000 by the 31st st from December 2022;
- another $100,000 by the 31st st from December 2023;
- another $200,000 by the 31st st from December 2024; and
- another $500,000 by the 31st st of December 2025.
Once Golden Sky is 100% acquired meeting all of the above payments and expenses, Metals Creek will retain a 2.0% net smelter return (NSR) royalty on all future mineral production. Golden Sky Minerals Corp. will have the right to purchase 50% of MEK’s NSR for $1,000,000.
Alexander (Sandy) Stares, President and CEO of Metals Creek said, “We are pleased to find an option partner such as Golden Sky which is active in the Yukon, for an option agreement on the Squid East property. This agreement allows Squid’s East project to receive the exploration it deserves while Metals Creek remains committed and focused on the Dona Lake gold project in northwestern Ontario and the Ogden project in Timmins. »
The foregoing proposal may be subject to the approval of the Exchange, in this regard the parties will provide such assistance and cooperation as reasonably necessary.
About Golden Sky Minerals Corp.
Golden Sky Minerals Corp. is a well-funded junior exploration company engaged in the acquisition, evaluation, exploration and development of mineral properties located in highly prospective areas and mining-friendly districts. Golden Sky’s mandate is to develop its portfolio of projects to the mineral resource stage through systematic exploration.
Drill-ready projects include Hotspot, Bullseye and Luckystrike, all in Yukon, Canada. In addition, recent purchases of the Rayfield Copper-Gold Project in southern British Columbia and the staking of the Eagle Mountain Gold Project in the Cassiar Gold District in northern British Columbia add to the significant portfolio of Canadian projects at an early stage of the company.
The company was incorporated in 2018 and is headquartered in Vancouver, British Columbia, Canada.
More information can be found on the company’s website at www.goldenskyminerals.com
BEHALF THE PLANK
John Newell, President and CEO
Carl Schulze, P. Geo., Consulting Geologist with Aurora Geosciences Ltd, is a Qualified Person as defined by National Instrument 43-101 for Golden Sky Exploration Projects in the Yukon and has reviewed and approved the technical information contained herein. in this press release.
For new information on the Company’s programs, please visit Golden Sky’s website at www.GoldenSkyMinerals.com or contact John Newell by phone (604) 568-8807 or by email at [email protected] or [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Statements contained in this press release that are not historical facts are “forward-looking information” or “forward-looking statements” (collectively, “forward-looking information”) within the meaning of applicable Canadian securities laws. In some instances, forward-looking information can be identified by the use of words and phrases such as “anticipates”, “expects”, “includes”, “agreed” or variations of such words and phrases or statements that certain actions, events or results “would occur”, “occur”, or “would be achieved”. Although Golden Sky has attempted to identify important factors and risks that could affect Golden Sky and could cause actual actions, events or results to differ materially from those described in the forward-looking information, there may be other factors and risks that cause actions, events or results not to be as anticipated, estimated or intended, including, without limitation: risks inherent in the exploration and development of mineral properties; uncertainties related to the interpretation of drill results and other exploration data; the possibility of delays in exploration or development activities; the geology, grade and continuity of mineral deposits; the possibility that future exploration, development or mining results will not meet Golden Sky’s expectations; accidents, equipment failures, title and license issues; labor disputes or other unforeseen difficulties or interruptions to operations; fluctuating metal prices; unforeseen costs and expenses; uncertainties relating to the availability and costs of financing required in the future, including to finance potential exploration programs on its projects; that Golden Sky may not be able to confirm historical exploration results and other risks set forth in Golden Sky’s public filings at www.sedar.com. In making the forward-looking statements in this press release, Golden Sky has applied several important assumptions, including the assumption that general business and economic conditions will not change materially adversely. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Except as required by law, Golden Sky undertakes no obligation to publicly release any revisions to the forward-looking information contained in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of unforeseen events. .