Eskay Mining Corp Provides Update of Its 2020 Exploration Program

TORONTO, ON / ACCESSWIRE / July 14, 2020 / Eskay Mining Corp. ("Eskay" or the "Company") (TSXV:ESK)(OTCQB:ESKYF)(Frankfurt:KN7) (WKN: A0YDPM) is pleased to announce its 2020 exploration program is advancing on schedule at its approximately 526 square kilometer property in the heart of British Columbia's Golden Triangle (Figure 1). Importantly, recent review of historic diamond drill core from holes drilled at numerous prospects within Eskay's land tenure indicates that these systems all display a volcanogenic massive sulphide ("VMS") affinity. VMS deposits are sulphide rich acculations that formed around black smokers associated with submarine hot springs. Such deposits usually occur in clusters on the sea floor thus resulting in mineral districts once uplifted onto continents. This new revelation implies that the partially explored systems on Eskay Mining's property potentially collectively comprise a greater Eskay Creek VMS district.

Highlights from the 2020 Exploration Program:

• Recent review of historic diamond drill core from holes drilled at numerous prospects within Eskay's land tenure indicates that these systems all display a volcanogenic massive sulphide ("VMS") affinity.
  • Cumberland Prospect: Precious and base metal bearing core from this prospect displays textural and mineralogical characteristics typical of footwall feeder style VMS mineralization. Interestingly, the host rock to this mineralization appears to be rhyolite, quite possibly the same rhyolite that comprises the footwall of the Eskay Creek deposit located approximately 20 km to the north. Given there has been no prior recognition of this important unit in this area, this is a potentially important discovery and means that the Cumberland VMS system likely formed during the same time period and at the same stratigraphic position as Eskay Creek. In terms of exploration potential, Eskay Mining thinks there is now good potential to find more VMS mineralization in the vicinity of Cumberland.
  • Like core from Cumberland, precious and base metal bearing core from the Red Lightning Prospect appears to be footwall feeder style VMS mineralization hosted by rhyolite. Given Red Lightning is approximately 7 km southeast of Cumberland, this opens up further possibility that significant extensions of the Eskay Creek VMS camp are present in this region, nearly 25 km south of the Eskay Creek deposit.
  • Precious metal rich core from the C10 Prospect situated between Red Lightening and Cumberland appears to contain abundant sulphate minerals including anhydrite and possibly barite in addition to sulphide minerals. This mineralogy suggests a possible "white smoker" origin. White smokers, like black smokers, form from sea floor hot springs, but result in accumlations of sulphate minerals rather than sulfides.
  • Core from both the TV and Jeff Prospects displays accumulations of precious and base metal bearing sulphides hosted in mudstone that is interbedded with basalt flows. This mudstone may be the same as that which hosts mineralization at the Eskay Creek deposit approximately 13 km to the north. If so, this is the southern most documented occurrence of Eskay Creek mudstone in the region. Interestingly, none of the holes at TV and Jeff encounter footwall rhyolite, the unit immediately beneath high grade mineralization at Eskay Creek, suggesting deeper drilling is warranted in this area.
  • Core from the SIB and Lulu Prospects, situated approximately 7 km south southwest of the Eskay Creek deposit, appears to be precious and base metal bearing footwall feeder style VMS mineralization hosted by rhyolite. This implies that exploration for mudstone hosted Eskay Creek style VMS mineralization is warranted in this area. Although mudstone is recognized nearby, this unit has not been adequately tested by historic drilling.

• Eskay Mining is conducting several geophysical surveys over the next few weeks to better evaluate the geological propects discussed above with a particular focus on generating priority drill targets for diamond drill testing later this season (please refer to the Company's news release dated June 22, 2020 for more details). The Company's airborne Skytem electromagnetic survey should be complete within a few days and its ground based induced polarization and magnetotelluric surveys have recently commenced. All geophysical programs are scheduled to be completed by early August. As data is processed and interpreted, it will be presented to the market along with proposed drill targets.

"Many of Eskay Mining's prospects have not been explored for many years, and information on them is scant," commented Dr. Quinton Hennigh, technical advisor to Eskay Mining. "Our team's recent review of historic diamond drill core indicates these prospects are all VMS systems comprising the greater Eskay Creek VMS district. Given that all of these prospects display precious metal enrichment, we are very excited by our new interpretation. We are eager to see our geophysical programs completed and commence a review of data. By mid August, we hope to commence drilling our highest priority targets."

Dr. Quinton Hennigh, P. Geo., the Company's technical adviser, and a qualified person as defined by National Instrument 43-101, has reviewed and approved the technical contents of this news release.

About Eskay Mining Corp:

Eskay Mining Corp (TSX-V:ESK) is a TSX Venture Exchange listed company, headquartered in Toronto, Ontario. Eskay is an exploration company focused on the exploration and development of precious and base metals along the Eskay rift in a highly prolific region of northwest British Columbia known as the "Golden Triangle," approximately 70km northwest of Stewart, BC. The Company currently holds mineral tenures in this area comprised of 177 claims (130,000 acres).

All material information on the Company may be found on its website at www.eskaymining.com and on SEDAR at www.sedar.com.

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Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements: This Press Release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions are intended to identify forward-looking statements. Such statements reflect our current views with respect to future events and are subject to risks and uncertainties. Many factors could cause our actual results to differ materially from the statements made, including those factors discussed in filings made by us with the Canadian securities regulatory authorities. Should one or more of these risks and uncertainties, such as actual results of current exploration programs, the general risks associated with the mining industry, the price of gold and other metals, currency and interest rate fluctuations, increased competition and general economic and market factors, occur or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, or expected. We do not intend and do not assume any obligation to update these forward-looking statements, except as required by law. Shareholders are cautioned not to put undue reliance on such forward-looking statements.

Figure 1: Map showing Eskay Mining's tenure and prospects with nearby deposits and discoveries.

SOURCE: Eskay Mining Corp.