{kanada_flagge}Sitka Gold Corp. (CSE:SIG: FRA:1RF; OTCQB:SITKF) is capitalizing on the logistical location advantage of its Blackjack/Eiger project in the Yukon, with plans to drill another 10,000 meters this season. This makes the project one of the few in the Yukon that is not subject to the usual seasonality between summer activity and winter break. The company had already drilled 6,500 meters last year. A total of 11,000 meters and 34 holes have been sufficient to date to allow a Maiden resource of 1.34 million ounces of gold at the project. Sitka had just announced the resource earlier this year.
{kanada_flagge}Sitka Gold Corp. (CSE:SIG: FRA:1RF; OTCQB:SITKF) is capitalizing on the logistical location advantage of its Blackjack/Eiger project in the Yukon, with plans to drill another 10,000 meters this season. This makes the project one of the few in the Yukon that is not subject to the usual seasonality between summer activity and winter break. The company had already drilled 6,500 meters last year. A total of 11,000 meters and 34 holes have been sufficient to date to allow a Maiden resource of 1.34 million ounces of gold at the project. Sitka had just announced the resource earlier this year.
Cor Coe, Director and CEO of Sitka, commented, “We are very pleased to have secured the services of Kluane Drilling Ltd. for our 2023 drill programs. Kluane is a well-established drilling contractor based in Whitehorse with a proven track record of successful and cost-effective diamond drilling programs in all terrain and weather conditions in both summer and winter in the Yukon. We look forward to working with Kluane as we plan to commence our winter drilling program at RC Gold.”
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The 2023 winter and summer diamond drilling programs at RC Gold will build on the successful results achieved in 2022. The initial mineral resource estimate includes the Blackjack deposit (900,000 ounces of gold grading 0.83 g/t gold) and the Eiger deposit (440,000 ounces of gold grading 0.50 g/t gold), both of which are open in all directions. The Blackjack and Eiger deposits are located approximately 2 kilometers apart along a mineralized corridor where minimal drilling has shown that gold mineralization continues in the Saddle Zone, which is located midway between these newly discovered deposits (see Figure 1).
Drilling this year will focus on expanding the resources of the Blackjack and Eiger deposits, with drilling designed to extend the known mineralization of these deposits laterally and at depth. Drilling is also planned along the mineralized corridor between these deposits in and around the Saddle zone, which is relatively untested but which geologists believe holds the potential for additional resources.
Figure 1: Blackjack and Eiger deposits.
CONCLUSION: Considering that 11,000 meters of drilling was sufficient for the initial resource estimate of 1.34 million ounces of gold at Blackjack/Eiger, there is a real chance that the 10,000 meters of drilling now planned can significantly expand and, if successful, possibly even double that resource estimate. Since the previous season, geologists have developed a much better geological picture of the gold deposits on the project. Therefore, it is likely that the new drilling will be even more targeted, which could increase its efficiency. As a reminder, in the higher-grade Blackjack zone, 20 drill holes have been sufficient to define 900,000 ounces. Blackjack to the west and Eiger to the east are about 2 km apart. The thesis Sitka plans to test with the upcoming drilling is: Is the entire corridor between the two discoveries mineralized? At the latest, if Sitka can convince investors that the Blackjack, Saddle (in the middle) and Eiger deposits will merge into one project, its days as a micro-cap are likely numbered. Currently, Sitka is trading at just CAD 20 million in market value. We also look forward to news from Sitka’s Carlin-style Alpha Gold discovery in Nevada. Samples should be back from the lab soon.
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Pursuant to §34b WpHG and §48f Abs. 5 BörseG (Austria) we would like to point out that GOLDINVEST Consulting GmbH and/or partners, principals or employees of GOLDINVEST Consulting GmbH hold shares of Sitka Gold and therefore a conflict of interest exists. GOLDINVEST Consulting GmbH also reserves the right to buy or sell shares of the company at any time which could affect the share price. Furthermore, GOLDINVEST Consulting GmbH is remunerated by Sitka Gold for reporting on the company. This is another clear conflict of interest.
