Seabridge Gold Drilling Successfully Expands Iron Cap Deposit at KSM
Press Release
October 30, 2018
Hole IC-18-75 returns 583 meters of 0.59 gpt gold and 0.41% copper
Iron Cap’s enhanced size and higher grade likely to change KSM mine plan
Toronto, Canada…The first two holes completed in this summer’s drilling on the Iron Cap deposit at Seabridge Gold’s 100%-owned KSM project in north western British Columbia, Canada have intersected some exceptional widths of gold and copper mineralization with grades exceeding the KSM resource average (see map and cross-sections). Results from another 12 holes are expected in the next several weeks.
This year’s principal exploration objectives were to test the down plunge projection of the high-grade core zone of the Iron Cap Deposit to the west of the current resource and evaluate the relative positioning between Iron Cap and the currently planned alignment of the Mitchell-Treaty Tunnel (MTT). Due to its proximity to the MTT and its higher grade, Iron Cap could potentially improve KSM’s economics by mining it before the Kerr deposit. The 2018 program successfully tested the down plunge projection of the Iron Cap core zone, assessed the distribution of post-mineral intrusions on the south end of the Iron Cap deposit and obtained data for the re-alignment of the proposed MTT to avoid conflicts with mining operations.
Seabridge Chairman and CEO Rudi Fronk commented: “Site conditions were challenging for this program, but we have still been able to realise the progress we anticipated. Our expectation is to extend and improve our resource model for Iron Cap, which is on course to becoming one of the best deposits in the KSM complex. A new resource estimate should be completed in the first quarter of the new year.”
Results from two holes on the Iron Cap target are:
The drill holes reported above were designed to test down plunge and across the Iron Cap deposit. Intervals reported are approximately normal to the strike of the mineralized zone, however hole orientations vary as collar locations are restricted due to topography. Additional drilling is required to confirm this thickness, which is anticipated as development progresses.
Hole IC-18-74 was collared northwest of the existing resource to test the plunge projection of the resource toward the MTT. The Sulphurets Thrust Fault (STF) was intersected at 768 meters for a distance of 61.6 meters. Below the STF was an intensely sheared interval of intrusive rocks that continued to 855 meters. Drilling through this 89 meters of sheared, broken gouge zone presented numerous technical problem and after several days the hole was abandoned in favor of a wedged deviation hole IC-18-74B.
Diamond drill hole IC-18-74B was collared northwest of the existing resource to test the plunge projection of the deposit 300 meters east of the proposed intersection of the MTT. In this hole the STF was encountered at 768 meters and continued for about 80 meters in thickness. This abnormally thick intersection of the STF is thought to be caused by a strike change on the fault toward the north. Below the thrust fault, the hole encountered variably mineralized mixed intrusive rock and thermally metamorphosed sedimentary or hornfelsed rocks, indicative of the margin of the Iron Cap zone. From 815 to 1525 meters, the hole passed through the down dip projection of the Iron Cap zone, which returned mineralization similar to results obtained in 2017.
Drill hole IC-18-75 was collared in the central part the resource and drilled steeply into the plunge projection of Iron Cap. The STF was intersected between 835 and 856 meters, and below it a zone of mixed, altered sedimentary and brecciated rocks was found characteristic of the margins of the Iron Cap zone. At 920 meters the hole passed out of the mixed marginal rocks into the main Iron Cap zone with results as predicted.
Mineral reserves and resources at KSM are as follows (see the Company’s website at http://www.seabridgegold.net/resources.php for more details):
ON BEHALF OF THE BOARD
“Rudi Fronk”
Chairman and CEO
Rudi P. Fronk, Chairman and CEO
Tel: (416) 367-9292 · Fax: (416) 367-2711
Email: info@seabridgegold.net
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