Discover Drill Hole At The Hotspot Property

VANCOUVER - Golden Sky Minerals Corp. reported results from the inaugural 2020 reverse circulation (RC) drill program at its 100%-owned Hotspot property in the Yukon Territory. Six reverse circulation (RC) holes totaling 568.45m were drilled at the Sure Bet zone. All six holes returned significant near-surface gold (Au) bearing intervals. This first pass, shallow-hole drill campaign tested only a 200-meter strike length of the Sure Bet zone which is a 1.7-kilometer-long mineralized structure. An extensive follow-up diamond drill program has been recommended to test the zone at depth and along strike. The Hotspot property is a 46.4 km2 land package that contains numerous high priority drill targets that will be evaluated in 2021.

The Hotspot property is located on the Yukon side of the Yukon-Alaska border, in the North Ladue placer district which has produced >20,000 oz of placer gold. The property is situated along the Big Creek fault, a regional-scale fault system that hosts numerous porphyry and orogenic gold deposits within the Yukon-Tanana Terrane. The closest major prospect to Hotspot is the Taurus copper (Cu) – molybdenum (Mo) – gold (Au) porphyry deposit, located 25 km to the northwest (in Alaska), which has an inferred resource of 68.3 million tonnes grading 0.275% Cu, 0.032% Mo, and 0.166 g/t Au.

Gold mineralization at Hotspot is hosted by a Tertiary-aged (Eocene, 48-58 Ma) rhyolite pyroclastic tuff. Gold is associated with limonite and pyrite and bears a pathfinder signature indicative of a low-sulphidation epithermal system (silver, antimony, mercury, and arsenic). Rhyolite-hosted low-sulphidation epithermal systems include deposits with significant tonnage.

The drill program followed up on a brief 2020 Phase 1 program which included the collection of 135 soil samples and 22 rock samples. Also, an additional 38 additional quartz claims were staked, bringing the property’s total to 222 claims (4,640 ha). The results of this program indicate the presence of another mineralized zone 1 km to the west, displaying a similar pathfinder signature to the Sure Bet zone (refer to linked map).

In addition to this newly discovered zone, the vast majority of the Sure Bet zone has yet to be drill-tested. Gold-in-soil values up to 0.55 g/t Au are present 1.2 km north of the drilled area. A ground magnetic survey shows a magnetic high feature in this area of the zone, to the northwest of the linear magnetic low (interpreted to be a structural feature) which extends through the drilled area. Future drill programs will be directed at fully testing this area, as well as the rest of the Sure Bet zone.

The Sure Bet zone remains open to the north. Further soil sampling, prospecting, and geophysical surveying will be necessary to explore the extent of mineralization.

John Newell, President and CEO, said, “This is a grassroots discovery in an unexplored part of the Yukon. To say the results from this inaugural drill program are exciting is an understatement. We may have a deposit type not yet seen in the Yukon on our hands. Although it is early days to be comparing Hotspot to known deposits, the similarities of Hotspot’s geology, geochemistry, and gold grades to deposits in Nevada are striking. The results of the RC drill program make it clear that more information is needed. Discussions are already in the works for bringing a diamond drill to the property for the 2021 season to thoroughly test the Sure Bet zone and gain more insight to the structural and alteration settings associated with this mineralized system.”