Toronto, October 19, 2017 – Eskay Mining Corp. (“Eskay” or the “Company”) (TSX-V:ESK) is
pleased to announce the completion of a 9,336 m, 12 hole diamond drill program on its SIB property.
SSR Mining Inc. (formerly Silver Standard Resources Inc.) (NASDAQ: SSRM) (TSX: SSRM) (“SSR
Mining”) has the option to earn a 51% undivided interest in the property by spending an aggregate of
$11.7 million in exploration expenditures over three years with an option to earn a further 9% undivided
interest by either delivering a preliminary economic assessment or completing an aggregate of 23,000
meters of diamond drilling (See April 26th, 2017 news release). The 2017 drill campaign was completed
by SSR Mining to satisfy its commitment to spend $3.7 million over the first year of the option. The
property under option to SSR Mining represents approximately 9% of the Company’s land package in
the Golden Triangle in British Columbia.
The drill program was designed to test for precious metals enriched massive sulphide mineralization and
prospective lithologies beneath the Coulter Creek Thrust Fault (CCTF), immediately south-southwest
along strike from Barrick Gold Corporation’s (“Barrick”) past-producing Eskay Creek mine. The CCTF
is a north-south trending, east dipping structure that separates Eskay rhyolite and interbedded
sedimentary rocks of the Salmon River Formation to the east, from Bowser Lake Group sedimentary
rocks to the west (figs. 1-3). Ten drill holes targeted CCTF footwall rocks, while two holes targeted a
potential northern extension of known mineralization in the CCTF hanging wall (LULU Zone). Holes
testing the CCTF footwall were drilled on 100-250 m centers over a strike length of approximately 1 km
on a north-south trend. Hanging wall holes were drilled off a single pad approximately 150 m to the
northeast of the LULU Zone. Bore-Hole-Transient-Electro-Magnetic (BHTEM), IP, magnetic and
optical televiewer surveys were performed upon the completion of drill holes.
All of the 2017 diamond drill holes targeting the CCTF footwall intersected Salmon River Formation
stratigraphy that bears strong lithologic similarities to those found on the Eskay Creek mine property,
down-section from Bowser Lake Group sedimentary rocks. Chlorite-sericite alteration consistent with
volcanogenic massive sulphide (VMS) footwall alteration was also present in every hole drilled, and
local sulphide-bearing veining was intersected in a number of holes (see Table 1 for highlights of the
drilling). The assays to date, although low grade, do show mineralizing systems are present (see Table
2). Once the remaining 50% of the assays are received and the geophysical data is analyzed, targeting
for next year’s drill program will be completed. Final results are expected midway through the fourth
quarter of 2017. Preliminary BHTEM interpretation has outlined a number of weak off-hole conductors,
all located to the west of the drill holes by 25-100 metres. These are likely hosted by prospective
rhyolitic or basaltic rocks of the Salmon River Formation. Details of each plate model are provided in
Table 1, and the BHTEM anomalies are illustrated in Figure 4.
The lithologic and stratigraphic data obtained during the 2017 drill program has greatly improved our
understanding of the footwall geology of the CCTF, and has helped to better constrain both the surface
location and sub-surface orientation of the fault. Lithological associations in the footwall, most notably
mafic pillows and interbedded spherulitic mudstone, overlying intensely silicified rhyolite, bear a strong
resemblance to rocks which host the nearby Eskay Creek deposit. These rock types are interpreted to
extend well beyond the limits of the area tested in the 2017 program, and in particular to the south and
west, and present promising and surprisingly shallow future exploration drill targets.
http://eskaymining.com/wp-content/uploads/2017/11/Eskay-logo-web.jpg00baxterhttp://eskaymining.com/wp-content/uploads/2017/11/Eskay-logo-web.jpgbaxter2017-10-19 15:14:092017-10-24 10:33:53Completion of 2017 SIB Property drill program