Corporate Presentation – September 2014

PLANNING FOR
DISCOVERY
130,000 ACREAS IN THE HEART OF
BRITISH COLUMBIA’S
GOLDEN TRIANGLE
PRELIMINARY 3D TARGET AND LITHOSTRUCTURAL MODEL COMPLETED
NEW HIGH QUALITY LARGE SCALE
COPPER-GOLD PORPHYRY AND HIGH
GRADE GOLD EPITHERMAL
TARGETS
A
GOLDEN
OPPORTUNITY
J. Rogers August 2014
Legal Statement
The data contained herein is provided for information purposes only. Certain information has been compiled from sources believed to be
reliable. No information in this presentation is to be construed as an offer to buy or sell securities.
Some statements contained in this presentation are forward-looking and, therefore, involve uncertainties or risks that could cause actual results
to differ materially. Such forward-looking statements include among other things, comments regarding mining and milling operations, mineral
resource statements and exploration program performance. They may also include statements with respect to Eskay Mining's mineral
discoveries, plans, outlook and business strategy. The words "may", "would", "could", "should", "will", "likely", "expect," "anticipate," "intend",
"estimate", "plan", "forecast", "project" and "believe" or other similar words and phrases are intended to identify forward-looking information.
Factors that could cause actual results to differ materially include, but are not limited to, metal price volatility, economic and political events
affecting metal supply and demand, fluctuations in mineralization grade, geological, technical, mining or processing problems, exploration
programs and future results of exploration programs, future profitability and production, the ability to raise sufficient capital to fund exploration,
litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational
difficulties or inability to obtain permits encountered in connection with exploration activities; and labour relations matters.
This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully
and readers should not place undue reliance on such forward-looking information. The Company disclaims any intention or obligation to update
or revise forward-looking information, whether as a result of new information, future events or otherwise. The reader agrees to hold the
Company and its subsidiaries, and their respective officers, employees and agents harmless against any claims for damages or cost or any
loss of any kind arising out of the access to or use of this presentation or any information contained in or obtained through this presentation.
Cautionary Note to United States Investors Concerning Estimates of Measured, Indicated and Inferred Resources: These tables use
the terms "Measured", "Indicated" and "Inferred" Resources. United States investors are advised that while such terms are recognized and
required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred Mineral
Resources" have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that
all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral
Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or
any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also
cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.
James Rogers, P.Geo. is a qualified person as defined by NI43-101 and has reviewed the contents of this presentation.
Eskay Snapshot
Eskay Mining Corp. (ESK.V) is a pure exploration play that controls some 130,000 acres
surrounding Barrick Gold Corporation's prolific Eskay Creek Mine in British Columbia, Canada.
Annual production for this mine was 320,784 ounces of gold along with 15.5 million ounces of
silver.
Over the last several years, Eskay’s large land position in the aptly named Golden Triangle has
incurred “first pass” geological work focused on finding another shallow, VMS, Eskay Creek Mine
deposit. The recent discovery of the large world class copper-gold porphyry Deep Kerr deposit of
Seabridge Gold beside our eastern border and the over eight million ounce high grade epithermal
gold deposit of Pretium Resources further to the east, combined with the previous geological work
on the ESK ground have been used to create a 3D geological model and outline high percentage
targets. Multiple new phorphyry and epithermal targets with high grade metals inclusive of gold,
silver, copper, zinc, nickel, cobalt and PGM’s have been discovered. This model is being utilized to
attract a major joint venture partner to build on our geological ideas.
Eskay has retained the services of James Rogers, who was the chief geologist at the previous
Eskay Creek mine for almost ten years. He is responsible for defining the geological exploration
plans going forward.
The geophysical specialist consulting to Eskay is Tom Weis, formerly the chief geophysicist with
Newmont mining. Tom designed the deep geophysical project which Eskay undertook in 2011 at
the project.
Eskay is also assisted by P&E Mining Consultants of Brampton, Ontario who have extensive
consulting experience within the mining industry.
Eskay management owns approximately ten per cent of the issues shares of the company
and is totally aligned with shareholders to create shareholder value.
People: Directors and Officers
Hugh M. (Mac) Balkam, President/CEO, Director - Mr. Balkam served 13 years with the RCMP, many of those involved
in the investigation of stock market related fraud. In 1981, he become a financial consultant with a major brokerage firm, where he
managed investments for retail clients. Since 2004, Mr. Balkam has been involved in raising venture capital and consulting for junior
mining companies. In that capacity, he served as a consultant for the Company, assisting in it's past capital raising and market
awareness programs. Mr. Balkam holds a BA from the University of Toronto.
Carmelo Marrelli, Chief Financial Officer - Mr. Marrelli serves as the Corporation’s Chief Financial Officer. Mr. Marrelli
holds a Bachelor of Commerce degree from the University of Toronto and is qualified as a Chartered Accountant and as a Certified
General Accountant in Canada. In addition to acting as the Corporation’s Chief Financial Officer, Mr. Marrelli has been a principal of
Marrelli Support Services Inc., a firm providing administration services to Canadian public companies, since February, 2009 and, prior
to February, 2009, a partner with Marrelli & Drake Corporate Services (formerly Duguay & Ringler Corporate Services) (a firm providing
administration services to Canadian public companies). Mr. Marrelli also serves as the Chief Financial Officer of several publicly-listed
junior mining companies and as a director of Odyssey Resources Limited (TSX-V: ODX).
Robert Myhill, Director, Audit Committee Head & Compensation Committee - Mr. Myhill is the Chief
Executive Officer and Chairman of ThinDesk Inc., an IT Managed Services company. He is a director of six privately held companies
operating in transportation and venture capital in B.C., Alberta and Ontario. From 1991 until 2006, Mr. Myhill was the President of
Canadian Investors Corporation, an investment company focused on financing corporate re-organizations. Mr. Myhill actively
participated in directorship and management of the investee companies. From 1985 to 1991, he invested in and raised capital for small
companies in Ontario. From 1976 to 1984, Mr. Myhill was President of national companies within Southam Inc. Group and Jim Pattison
Industries. He earned an HBA and MBA from the Ivey School of Business Administration at the University of Western Ontario and
qualified as a Chartered Accountant with Price Waterhouse.
J. Gordon McMehen, Director, Compensation Committee Head & Audit Committee - In 2000, Mr.
McMehen co-founded Conundrum Capital Corporation, a private equity real estate fund management firm which today has several
sectoral real estate funds under its administration. Mr. McMehen now serves as Chairman of Conundrum Capital Corporation. From
1998 to 2000, Mr. McMehen served as Executive Vice-President, Chief Operating Officer and director of Central Park Lodges Ltd.,
helping to manage one of North America’s pre-eminent providers of seniors housing, long-term care and ancillary health care services.
At the law firm of Gardiner Roberts, Mr. McMehen practiced corporate and commercial law from 1978 to 1998, specializing in mergers
and acquisitions, corporate structure and finance. He acted as Managing Partner of the firm from 1994 to 1998. Mr. McMehen
completed his undergraduate studies at the University of Toronto in 1972 and obtained an LL.B from the University of Ottawa in 1976.
He was called to the Ontario Bar in 1978, and is a member of the Law Society of Upper Canada.
People: Technical Advisory Team
P&E Mining Consultants Inc. is an established geological and mine engineering consulting firm specializing in the
areas of NI 43-101 geological reports, resource estimate technical reports, preliminary economic analysis and pre-feasibility
studies. In addition, the are affiliated with major Toronto based consulting firms for the purposes of joint-venturing with them in
completion of definitive feasibility studies. Their experience covers diamonds, GMS and iron for both open pit and underground
deposits. Software packages utilized include Gemcom, Surpac, MineSight, Whittle, AutoCad, Photoshop, Corel Draw,
Illustrator, Excel and Word.
P&E Mining Consultants’ staff and associates have experience in geological interpretation, 3D geologic modeling, technical
report writing, resource and reserve estimates, property evaluations, mine design, production scheduling, operating and capital
cost estimates and metallurgical engineering.
P&E Mining consultants inc. operates under certificates of Authorization:
•Association of Professional Geoscientists Ontario
•Professional Engineers Ontario
•Association of Professional Engineers and Geoscientists Saskatchewan
•Professional Engineers and Geoscientists Newfoundland and Labrador
James A. Rogers, P. Geo - Mr. Rogers is a registered Professional Geoscientist (Ontario & BC) with over 30 years of
experience in the Canadian mining industry. Until recently, Mr. Rogers was a Director, President and CEO of Mega Precious
Metals Inc. and prior to that, he was the Regional Exploration Manager for Goldcorp Inc. located in Ontario's Red Lake Gold
Camp. Mr. Rogers was awarded the CIM Professional Proficiency medal in 1988 when he was Chief Mine Geologist at
Dickenson Mine, predecessor to the current Red Lake Gold Mines. The first exploration drill holes into what ultimately became
Goldcorp's High Grade Gold Zone were drilled on Mr. Rogers' watch. From 1994 to 2003, Jim was Chief Geologist at the
Eskay Creek Mine where he was part of the team that received the E.A. Schultz Award for Mine Development.
Thomas V. Weis, Exploration Geophysicist – Mr. Weis is the president of the consulting firm, Thomas V Weis
and Associates Inc. with over 30 years’ experience in the minerals and engineering industries worldwide. The last 7 years Mr.
Weis has been working in the consulting business. Prior to that he was Chief Geophysicist for Newmont Exploration Ltd.,
worldwide; Chief Geophysicist for Normand Mining Ltd. worldwide based in Australia; Manager of geophysical operations for
Newmont as well as a series of other jobs including Senior exploration geophysicist for Newmont, Normandy and Exxon
Minerals worldwide. Mr. Weis also worked as a visiting scientist for the Kansas Geological survey. He has experience in all
aspects of airborne, ground and borehole geophysics including reflection and refraction seismic surveying. His specialties are
in potential fields, IP/resistivity, EM and radiometric techniques
Share Information
Symbol: ESK - TSX Venture Exchange
Recent Price:
$0.115
52 Week High:
$0.125
52 Week Low:
$0.030
Shares outstanding:
95,423,555
*Options Outstanding
9,050,000
Shares Fully Diluted:
104,473,555
*at average exercise prices of $0.15 per share
Share Holders, %
5
3.5
10
Institutional
Dir. & Officers
71.5
Public
SAS
Vision and Direction Statements (We Believe)
• “Elephant Deposit Potential”
Not just an Area Play
“High Value Targets in Politically stable Canada”
•
•
•
•
We Believe that this is a Huge, Long Lived, Epithermal, Porphyry System
Litho-structural patterns, stratigraphic repetition, steep rift related metal tapping structures and metal
rich leakage into the younger surface rocks all suggest the high probability for underlying rich deposits!
We Belief that the Seabridge Gold (SEA) Kerr and Pretivm (PVG), Brucejack, VOK deposits will
continue to grow in size and economics.
We Believe that the southern (Corey) portion of our property represents the western half of this system
and that there is very high, “brownfield type”, probability for focused exploration to duplicate the results
of our neighbors!
• Market Cap – Exponential Upside!
•
•
•
Eskay Mining, current market cap: 105m shares x $0.11 = $11 million
Pretivm current market cap: 117m shares x $8.08
= $945 million
Seabridge current market cap: 49m shares x $12.69 = $622 million
(2.2B)
• Timing is Now
•
•
•
•
•
Our Neighbors to the east are demonstrating the economics of their deposits and are in the process of
permitting and financing new mines. This will bring more investor interest and understanding of the
area potential as well as advance infrastructure that will help to lower exploration and mining costs.
The First Nations in the area understand mining and are favorable to safe and environmentally
responsible development, business and employment partnerships.
3D Geological, Targeting Model is complete and will be used to demonstrate areas of high mineral
potential and Lay Out Discovery Programs.
Eskay Mining is actively seeking and engaging potential Sr. Partners and Investors.
The Quality of ESK assets will be appreciated and understood soon!
LOCATED IN
BRITISH COLUMBIA’S
GOLDEN TRIANGLE
Geology Location Map
*“One of the richest mineral belts in
the world”
*Lawrence Roulston
HISTORICAL HIGH GRADE
GOLD-SILVER RICH VMS
(ESKAY CREEK MINE)
NEW AND GROWING
SYSTEM SCALE
HIGH GRADE EPITHERMAL
GOLD DISCOVERIES
(PVG-TSX, BRUCEJACK, VALLEY OF
THE KINGS)
AND
LARGE PORPHYRY STYLE
GOLD-COPPER
DISCOVERIES
(SEA-TSX, KSM, DEEP KERR)
A
GOLDEN
OPPORTUNITY
*Resource Opportunities, Volume 15, #10 August 2012-1
Vancouver
Property: 130,000 acres
Eskay Creek
Road
Eskay Creek Mine
Planned SEA
Access Road
through ESK
Property
Ironcap
Mitchell
Red Lightning Sulphurets
- GFJ
Kerr
C-10
Eskay Mining Corp 100% 100%
Eskay Mining Corp 80% SAS JV 20%
Snowfields
Eskay Creek Mine Barrick Gold
Brucejack
Pretivm Resources
Valley of the Kings
Seabridge Gold
Big Red
Pretium
Road
Teuton Resources
Teuton – American Creek JV
Green Swan
Brigade Resources
Other
Resource / Deposit / Alteration
Neighboring Giant World Class Gold and Copper-Gold Deposits
Eskay Creek Mine
Eskay Creek Mine
Eskay
Mining
ESK
Seabridge
ESK
Ironcap
Mitchell
Snowfields
Planned SEA
Access Road
through ESK
Property
Sulphurets
Pretium
Brucejack
Red LightningGFJ
Kerr
C-10
Valley of the Kings
Big Red
Pretium Road
Neighboring Giant World Class Gold and Copper-Gold Deposits
Property Geology
THE ESKAY CREEK MINE
PRODUCED :
Eskay Creek Mine
>3m ounces of gold (48.4g/t) and
>160m ounces of silver (2221g/t)
SEABRIDGE GOLD (SEA)
DEEP KERR PROJECT CURRENTLY
HAS INFERRED RESOURCES* OF:
5.9 M ounces Gold and 6.1 Billion lbs of Copper
(515 million tonnes averaging 0.53% copper, 0.36
g/T gold)
Ironcap
ESK
PRETIVM RESOURCES (PVG)
BRUCEJACK VOK PROJECT
CURRENTLY HAS MEASURED AND
INDICATED RESOURCES** OF:
Mitchell
Sulphurets
ESK
SEA
8.7 M ounces of Gold
(15.3 m tonnes at 17.6 grams of gold per tonne);
and
4.9 M ounces of Gold in the Inferred Resources
(5.9 million tonnes at 25.6 grams of gold per
tonne)
NEW INFRASTRUCTURE
INCLUDING ROADS, POWER LINES , ETC…
*Seabridge Gold Ltd. Mineral Reserves and Resources (March 2014)
**Pretium Resources Inc. Brucejack Project Reserves and Resources
Summary (December 2013)
Snowfields
PVG
SPEARHEAD
Red Lightning –
C-10
Kerr
GFJ
TM
Big Red
Brucejack
Valley of the Kings
Eskay Mining – The Right Rocks in the Right Place!
“Most metal deposits are derived from hydrothermal systems. That is, superheated water,
circulating kilometers deep in the crust, gathers metal atoms and then deposits them in
particular zones, creating concentrations of metals. Typically, such a system would remain
active for hundreds of thousands of years to as much as perhaps a couple of million years. For
reasons not yet well understood, the hydrothermal processes in the Golden Triangle were active
for much longer, in some areas for perhaps 10 million years. Few areas on the planet have seen
such long-lived geological conditions.” *Lawrence Roulston, Resource Opportunities, Volume 15, #10 August 2012-1
Age
(Ma)
170
180
Eskay Mining – Comparative Geochronology
Jurassic
Eskay Creek
Anyox
Historical
Exploration
Focus
Mt. Milligan
190
Katie
Kerr, Sulphurets, Mitchell
Premier-Silbak, Snip
Exploration
Opportunity
200
210
220
Red Mountain
Mt. Polley, Copper Mtn., Iron Mask
Red Chris, Afton/Ajax
Triassic
Granduc
Legend
VMS Deposit
Alkaline Cu-Au
Porphyry
Transitional Alkaline
Porphyry-related
Eskay Mining
Volcano-sedimentary
sequence
Pretium / Brucejack
Valley of the Kings
mineralization
Focusing the Search (Corey property west of SEA)
Spearhead
(behind ridge)
Red Lightning
HSOV
Seabridge and
Pretium directly to
east
Big
Mt. Madge
Red
C10
South Unuk area
High Grade Gold, Copper, Silver Reconnaissance samples appear to
be the top of, or leakage from undiscovered deposits on ESK ground
Multiple deep seated NNW to NNE (structures & faults) appear to be
feeder structures, the movement along which has been the mechanism
producing an ENE trending dilatant corridor
Observations from the multiple showings on the Eskay ground
describe steeply dipping high grade epithermal veins potentially
feeding epithermal and porphyry deposits
Big Red
New Discovery
Focusing the Search (Corey property west of SEA)
Mineral Potential Targeting Results
Mitchell
ESK
Ironcap
Snowfields
ESK
Sulphurets
HSOV
Smitty
SPEARHEAD
SEA
Kerr
Tet
Red Lightning
C-10
Brucejack
Valley of the
Kings
GFJ
TM
Result using ~30 geochemical,
geological, structural, geophysical
criteria. Cut-off applied to
emphasize high potential cells.
High potential regions indicated by
blue cells.
Black points represent Minfile
porphyry/epithermal/ polymetallic
vein deposits and occurrences
Black lines indicate drilling
PVG
High Grade Surface Samples Highlights
Big Red
TM Area
-173g/t Au , 204g/t Ag and 1.95% Cu
GFJ Area
-112g/tAu, 175g/t Ag and 2.48% Cu
C-10 Area
- 20.3g/t Au, 3.8g/t Ag and <1% Cu
Spearhead -4.1g/t Au,
Red Lightning -6.9g/t Au, 3.2g/t Ag and 0.50% Cu
Big Red
-4.1g/t Au, 0.4g/t Ag and 0.05% Cu
Smitty
-271g/t Ag, 8.01%Zn and 0.95% Cu
Tet
-1.0g/t Au, 37,366g/t Ag and 6.3% Cu
Focusing the Search (Corey property west of SEA)
Tilted View Mineral potential
targeting result for entire
Eskay-Corey, zoomed into
Corey property. High
potential regions indicated
by brown cells.
Magenta points represent Minfile
porphyry/epithermal/ polymetallic
vein deposits and occurrences
Focusing the Search (Corey property west of SEA)
Large Scale Magnetic Distruction
Evidence of Large Porphyry /
Epithermal Alteration
ESK
Mitchell
Ironcap
Snowfields
ESK
SEA
Sulphurets
PVG
SPEARHEAD
Kerr
C-10
Brucejack
TM
NRCan magnetic data, 200 m
gridding, residual total field;
Black points represent Minfile
porphyry/epithermal/
polymetallic vein deposits and
occurrences
Valley of the Kings
Big Red
Focusing the Search (Corey property west of SEA)
Single IP Line Completed in 2011 Shows Deep Discover Potential
C-10
UNTESTED TARGETS
Drill holes are shown in
Magenta, *Note that drilling is
shallow and doesn’t reach the
Target Horizon
Mineral potential targeting
Result for Corey property,
transparency applied. Tilted
perspective looking NW.
Chargeability isosurfaces are
Red shown in red at a cut-off of 24.
Lightning Drillholes are shown in
magenta. High chargeability
zones have not been tested
GFJ
extensively.
TM
Schematic Cross Section Looking North Across ESK, KSM and BJ
ESK Corey
Postulated
fluid flow
ESK Corey
?
sss
?
?
•Litho-structural patterns,
stratigraphic repetition, steep rift
related metal tapping structures and
metal rich leakage into the younger
surface rocks all suggest the high
probability for underlying rich
deposits on the ESK ground!
?
SEAKSM
PVG-BJ
Highly Mineralized and Altered, “The Top of Something Big”
Summary and Conclusions
•Large prospective property (130,000 acres)
•Located in Politically stable Canada, the Heart of British Columbia's
Golden Triangle
•Multiple gold and silver showings (+Cu, Pb, Zn)
•Surrounds the world-class Eskay Creek gold-silver VMS Mine deposit
and is beside Seabridge’s (SEA-TSX) KSM gold-copper and Pretium’s
(PVG-TSX) Brucejack and Snowfield gold Projects
•Adjacent to new infrastructure and mines being developed
•The Jack formation that hosts the Pretium (Valley of the Kings)
deposit is prevalent and has never been tested on the Eskay ground
•The 2011 deep geophysical survey outlines numerous untested
anomalies that fit with the belief that there will be future discoveries on
the Eskay ground.
•Litho-structural patterns, stratigraphic repetition, steep rift related
metal tapping structures and metal leakage all suggest the potential
for more Kerr and Jack style deposits on ESKAY MINING’s Ground
Eskay Mining – Planning For Discovery
Investment Rational “We Believe”
• “Elephant Deposit Potential”
Not just an Area Play
“High Value Targets in Politically stable Canada”
•
•
•
•
We Believe that this is a Huge, Long Lived, Epithermal, Porphyry System
Litho-structural patterns, stratigraphic repetition, steep rift related metal tapping structures and metal
rich leakage into the younger surface rocks all suggest the high probability for underlying rich deposits!
We Belief that the Seabridge Gold (SEA) Kerr and Pretivm (PVG), Brucejack, VOK deposits will
continue to grow in size and economics.
We Believe that the southern (Corey) portion of our property represents the western half of this system
and that there is very high, “brownfield type”, probability for focused exploration to duplicate the results
of our neighbors!
• Market Cap – Exponential Upside!
•
•
•
Eskay Mining, current market cap: 105m shares x $0.11 = $11 million
Pretivm current market cap: 117m shares x $8.08
= $945 million
Seabridge current market cap: 49m shares x $12.69 = $622 million
(2.2B)
• Timing is Now
•
•
•
•
•
Our Neighbors to the east are demonstrating the economics of their deposits and are in the process of
permitting and financing new mines. This will bring more investor interest and understanding of the
area potential as well as advance infrastructure that will help to lower exploration and mining costs.
The First Nations in the area understand mining and are favorable to safe and environmentally
responsible development, business and employment partnerships.
3D Geological, Targeting Model is complete and will be used to demonstrate areas of high mineral
potential and Lay Out Discovery Programs.
Eskay Mining is actively seeking and engaging potential Sr. Partners and Investors.
The Quality of ESK assets will be appreciated and understood soon!
Appendix
Historical Assay Highlights
Assay highlights for Prospecting samples taken on ESK ground to
the west of SEA and PVG during the 2004 through 2006 Programs
Area
Cu%
Pb%
Zn%
Ag g/t
Au g/t
TM
0.20
0.48
0.05
204.0
173.60
TM
1.95
0.01
0.02
143.0
39.65
GFJ
1.14
0.02
0.10
22.7
112.00
GFJ
2.48
0.07
0.04
175.0
94.50
*Red Lightning
0.50
0.02
0.17
3.2
6.90
Spearhead
0.01
0.02
0.06
0.0
4.10
Big Red
0.05
0.01
0.09
0.0
3.20
Big Red
0.02
0.01
0.07
0.1
2.30
C10
0.16
0.01
0.13
3.8
20.30
Tet Showing
6.30
-
0.37
37,366
1.02
Smitty
0.905
-
8.01
271.0
-
*Minimal shallow drilling done previously
Historical Assay Highlights
Area
Cu%
Pb%
Zn%
Ag g/t
Au g/t
TM
1.59
0.1
0.04
110.0
36.80
Spearhead
0.01
0.01
0.06
0.0
2.50
Spearhead
0.01
0.02
0.11
0.0
3.20
*Red Lightning
0.50
0.02
0.17
3.2
6.90
*Red Lightning
0.43
0.02
0.12
0.0
5.10
JoJo
1.59
0.01
0.03
15.8
0.51
Big Red
0.05
0.01
0.09
0.4
4.10
Corey/Other
3.81
0.28
0.04
145.0
51.2
Corey/Other
0.06
0.05
0.08
14.2
19.50
Corey/Other
1.32
0.02
0.10
0.4
10.30
GFJ
3.24
0.02
0.11
13.1
78.90
GFJ
0.42
0.03
0.12
10.9
52.80
Battlement
0.25
0.16
0.04
109.5
0.03
*Minimal shallow drilling done previously
Historical Assay Highlights continued…
Area
Cu%
Pb%
Zn%
Ag g/t
Au g/t
Smitty
0.377
-
9.38
267.0
-
Smitty
0.791
-
9.46
141.0
-
Smitty
0.713
0.15
7.18
132.0
-
Smitty
0.617
0.14
4.32
159.0
-
Smitty
0.683
0.17
8.71
356.0
-
Smitty
1.10
0.28
13.75
188.0
-
South Unik
>1.0
0.002
0.003
>100.0
10.64
South Unik
>1.0
0.008
0.003
>100.0
-
South Unik
>1.0
0.002
0.02
>100.0
26.96
Eva Creek
0.06
-
0.003
24.7
41.97
*C10
0.03
0.04
0.07
2.3
17.20
*C10
>1.0
0.005
-
>100
4.82
*C10
>1.0
-
0.45
>100
3.55
*C10
>1.0
-
0.34
>100
2.42
*Minimal shallow drilling done previously
Brief Eskay History
1900: Unuk River Mining & Dredging Company drives adits at Cumberland claim.
1932: Eskay Creek property first prospected by Tom Mackay.
1980: Du Pont of Canada and E&B Explorations conduct regional heavy mineral
stream sediment surveys in Mt. Madge, Sulphurets Ck. and Unuk R. areas.
1986 - 1990: Kenrich Mining & Ambergate Explorations acquire most of Corey
claims and perform basic assessment work. Companies merge in 1994.
1988: Murray Pezim agrees to finance drilling at Eskay Creek.
1989: Calpine Resources drills 27.2 g/t Au and 30.2 g/t Ag over 208 m in DDH
109 at Eskay Creek
1989-1991: Extensive drilling at Lulu zone amid frenzy of Eskay Creek discovery.
1991: Placer Dome performs mapping, soil sampling and geophysics on C-10.
1993-1996: Continued exploration by Kenrich. Drilling at TV and Sheila Ck.
showings.
1994: Eskay Creek mine commences production.
Brief Eskay History
2001/2002: Heritage Explorations commences work with compilation, validation,
interpretation, modeling and targeting followed by mapping, drilling (SIB) and stream
sediment sampling. Highlights: 24 m @ 10.8 g/t Au, 766.15 g/t Ag at Lulu & several
stream geochemistry anomalies are identified including the Hexagon Zone
2003: Re-interpretation of geology, SIB modeling followed by prospecting, sampling,
mapping and drilling at SIB & Hexagon zone. Large alteration zone identified at
Hexagon and 2 m @ 8.09 g/t Au drilled at Southern Hexagon Zone.
2004/2005: Detailed time domain airborne electro-magnetics survey. Drill test
highest priority EM targets. Further mapping at Hexagon zone.
2008: Kenrich-Eskay Mining options SIB property from St. Andrew Goldfields.
Drills three holes at SIB.
2009: Company management change and name change from Kenrich to Eskay Mining
2010: Eskay Mining drills five holes on the SIB property.
2011: Eskay Mining conducts 300m + deep geophysical survey across the SIB and
Corey properties and a 3 D Model is constructed by Mira Geoscience.
Sib – Lulu Historical Results
A focus on integrated exploration has been lacking in the Eskay mining camp
except over areas within a few kilometers of the Eskay mine itself. Continuing
exploration between 2000 and 2007 resulted in the following discoveries:
1.
Extensive drilling in the 22 Zone area has yielded promising results on the Eskay property.
Barrick had planned to extend a ramp into the hanging wall of this zone to stage diamond
drilling programs.
2.
Further south on Prout Plateau, Heritage Exploration has drilled the SIB property, based on a
comprehensive synthesis of all historical data, geological mapping and stream sediment
sampling. In 2002, Heritage intersected the extension of the Lulu Zone on the SIB property.
An intersection in diamond drill Hole 2-113 encountered 11.7m of 19.5 g/t Au and
1,602.9 g/t Ag. Extensions to the zone were not found due to a large displacement, east
dipping thrust fault that passes close to the surface under the Lulu zone.
3.
Also on the SIB property, the new Hexagon zone was discovered in 2003. Work there was
prompted by following anomalies encountered in a high energy stream sediment program. As
follow up, Heritage drilled 8 holes over a strike length of nearly 4 km. The best holes
encountered “mineralization hosted in moderate to highly altered and sheared pyritic-sericite
rocks, accompanied by variable silicification.” The altered sections have estimates up to
10%-15% pyrite content. Gold values of up to 1.51 g/t and silver values of 15.18 g/t were
also encountered. The Hexagon zone is interpreted as a mineralized structure related to synvolcanic faulting bounding the prospective Eskay – Corey Belt. It is in direct line with the
bounding faults to the Eskay orebodies, but is cutting rocks deep in the footwall to the Eskayrift sequence.
Search for Eskay II
Eskay Creek-age
mineralization at
Cumberland &
Smitty zones:
1.6% Cu
15.0% Zn
6.4% Pb
49.9 g/t Au
5,980 g/t Ag
Cross section through the Eskay Creek
deposit (modified from Roth, 2002)
4.0 g/t Au, 68 g/t Ag, 0.4% Cu, 6.7% Zn
over 7.7m
NRCan magnetic data, 200 m
gridding, residual total field;
black spheres represent Minfile
porphyry/epithermal/
polymetallic vein deposits and
occurrences
NRCan magnetic data, 200 m
gridding, first vertical derivative;
black spheres represent Minfile
porphyry/
epithermal/polymetallic vein
deposits and occurrences
Airborne EM inversion model
– note Big Red correlates with
a conductor modelled on the
side of a topographic high
Mineral potential targeting
result for entire Eskay-Corey
property using ~30
geochemical, geological,
structural, geophysical criteria.
Cut-off applied to emphasize
high potential cells. Black
lines indicate drilling
Orange curve represents extent
of geochemical sampling.
Dark green – 040506 Corey 1dx (Cam Barker)
Orange – 040506 Corey 4A4B (Cam barker)
Light green – Geoinformatics compiled ARIS float
Dark brown – Geoinformatics compiled ARIS stream sed
Purple – Geoinformatics compiled soils
Red – Heritage Eskay-Corey merged stream sediment
Light blue – Barrett MDRU lithogeochemistry
For Further Information Contact:
Mac Balkam, Pres. & CEO – 416.907.4020
James Rogers, P. Geo, Consultant -807-577-9599
Thank You