Un-mined gold zone found at Snip

Skeena Resources Ltd. Jan. 8 reported additional high-grade gold results from underground drilling at its Snip project in northwestern British Columbia.

The historic underground mine at Snip, which Barrick Gold Corp. operated from 1991 to 1999, produced 1.1 million ounces of gold from 1.25 million metric tons of ore averaging 27.5 grams per metric ton gold.

Skeena optioned this project from Barrick in 2016 and completed roughly 7,180 meters of surface drilling that year. With this program, Skeena exceeded the C$2 million requirement to gain full ownership of the high-grade gold property. Upon this ownership, restrictions on entering the mine or drilling within 25 meters of historic mine workings was lifted, allowing Skeena to drill from underground.

The 2017 underground drill program, which wrapped up in December, included 8,650 meters of drilling in 62 holes.

The latest results from this program include drilling at Twin Zone, which supplied the bulk of the gold produced during Barrick-era mining at Snip.

Highlights from the 2017 drilling at Twin Zone include: 2 meters of 50.21 g/t gold in hole UG17-040; 2.9 meters of 12.84 g/t gold in UG17-030; and 2.4 meters of 20.17 g/t gold and 1.55 meters of 14.4 g/t gold in UG17-039.

Hole UG17-030 cut 7.2 meters of 21.77 g/t gold in a newly discovered area of mineralization between the Twin Zone and 150 Vein that warrants follow-up.

Skeena also reported results from drilling at 412 Zone, which appears to be a series of parallel, high-grade shears in an un-mined area below the Twin Zone and 150 Veins.

Highlights from drilling at 412 Zone include: 1.9 meters of 22.01 g/t gold and 3 meters of 7.99 g/t gold in UG17-018; and 0.5 meter of 132 g/t gold in UG17-020.

Skeena is encouraged that the underground drilling is encountering grades and widths consistent with historical results at Snip.

“The most recent drill assays from the 412 Zone are particularly exciting as this area was never mined and we’ve been able to expand the mineralized zone,” said Skeena CEO Walter Coles Jr. “Once all results from the 2017 underground drill program have been received we will announce detailed plans for further underground drilling and surface drilling in 2018.”

Assays are pending for 34 holes drilled during the 2017 underground program at Snip.

–SHANE LASLEY