Skeena Resources Ltd. Oct. 14 announced the completion of a 26,000-meter initial phase of drilling at Eskay Creek and the start of phase-two, a 45,000-meter drill campaign that will have up to 11 drill rigs readying surface mineable resources at the iconic Northern British Columbia gold-silver mine property for a prefeasibility study slated for completion next year.

In addition to the two phases of resource upgrade and expansion drilling, Skeena is in the midst of a 17,000-meter exploration program at Eskay Creek.

"The addition of five more drill rigs in the coming weeks should allow us to maintain our aggressive schedule to complete the phase-2 infill program before year end, as well as test certain high priority exploration targets," said Skeena Resources President and CEO Walter Coles Jr.

According to the most recent calculation, completed early last year, Eskay Creek hosts 12.71 million metric tons of surface mineable indicated resource averaging 4.5 g/t (1.82 million oz) gold and 117 g/t (47.79 million oz) silver; plus 13.57 metric tons of surface mineable inferred resource averaging 2.2 g/t (984,000 oz) gold and 42 g/t (18.46 million oz) silver.

The phase-one program included infill drilling to upgrade inferred resources to the higher confidence measured and indicated categories, as well as test expansion zones in proximity to the proposed open-pit.

The latest round of assays includes results from infill drilling at 21C, a deeper zone that is slated to be mined later in a mine plan outlined in a 2019 preliminary economic assessment for Eskay Creek.

Skeena says the phase-one infill drilling at 21C confirms the estimated inferred resource for the zone, which was calculated solely on drilling completed before Skeena's involvement in the property.

Highlights from Skeena's drilling in 21C include:

• 14 meters averaging 2.69 g/t gold and 10 g/t silver in hole SK-20-280.

• 20 meters averaging 6.89 g/t gold and 10 g/t silver in hole SK-20-281.

• 19 meters averaging 6.38 g/t gold and seven g/t silver in SK-20-282.

• 15.75 meters averaging 1.98 g/t gold and 16 g/t silver in SK-20-283.

• 19.5 meters averaging 2.71 g/t gold and five g/t silver in SK-20-284.

• 10.5 meters averaging 8.03 g/t gold and 168 g/t silver in SK-20-330.

The gold and silver grades in holes 280, 282, and 283 correlates well with the 17.82 meters of 2.96 g/t of gold-equivalent intersected in a historical underground hole they flanked.

"The infill drilling continues to prove that Eskay is a deposit with excellent continuity and predictability," said Coles.

The latest batch of assays also include results from an exploration hole drilled at Water Tower Zone, which lies below the open-pit mine outlined in the 2019 PEA.

Hole SK-20-295 cut 27.6 meters averaging 4.58 g/t gold and 29 g/t silver at Water Tower Zone, including 14.4 meters averaging 8.01 g/t gold and 36 g/t silver.

This new intersection represents a 25-meter up-dip extension from a historical underground drill hole that cut 7.25 meters averaging 4.16 g/t gold-equivalent. Skeena says Water Tower Zone continues to demonstrate the potential to be a resource expansion target at Eskay Creek.

Skeena Resources Ltd.

Earlier this month, Skeena closed a deal to acquire full ownership of Eskay Creek from Barrick Gold Corp. As a result, Skeena can now drill within a 25-meter buffer surrounding underground workings from Barrick's pervious mining at Eskay Creek, an area that was previously restricted.

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