Seabridge Gold announced today that core rigs are being mobilized to KSM to begin drilling two highly prospective targets: the down plunge projection of the Lower Iron Cap zone and a new target which could represent a fifth, higher grade deposit at KSM. Both targets were discovered in IC-16-62, the last hole drilled in the 2016 drill program.
The plan is to complete approximately 8,750 meters in 10 holes in an area of about 600 meters by 500 meters. (See attached cross section for projected drill hole intersections.)
The KSM project, located in north western British Columbia, Canada is owned 100% by Seabridge and hosts four large gold-copper deposits, including Iron Cap.
Hole IC-16-62 returned an interval of 555.2 meters grading 0.83 g/T gold, 0.24% copper and 4.4 g/T silver beginning at a depth of 353 meters in the Lower Iron Cap zone. Off set drilling of this target will test for continuity of this mineralization down plunge of the existing resource. The hole spacing is designed to have the potential, if successful, of adding several hundred million tonnes of mineralized material with sufficient pierce points to expand resources both to the south of hole IC-16-62 towards the existing resource and also to the north.
The second target follows up on the blind discovery made higher up IC-16-62, consisting of an incomplete interval of more than 60.7 meters of 1.20 g/T gold, 0.95% Cu and 4.1 g/T silver, beginning at a depth of 201 meters. This interval could have been considerably wider but no core was recovered from 150 to 173 meters and from 183.0 to 201.0 meters while the orientation of the drill hole was being modified using down hole navi-drilling tools. It is noteworthy that the interval between 173.0 and 183.0 meters returned 0.53 g/T gold and 0.55% copper. This target is believed to be the higher grade core zone of a porphyry copper-gold system juxtaposed against the Iron Cap deposit on a normal fault, directly below the Sulphurets Thrust Fault where KSM's other major deposits have been found. The holes targeting the plunge projection of the Lower Iron Cap zone are also expected to cross the blind discovery.
Seabridge Chairman and CEO Rudi Fronk commented: "This is the twelfth successive season we have drilled at KSM and, quite remarkably, we believe it could be one of our most productive. We have been anxiously awaiting the snowmelt so we can begin. We now expect Iron Cap will become considerably larger, much like Deep Kerr over the past three years. We are also keen to see how the new discovery proves up, given its exceptional grades and the possibility that it may extend to the north, west and east. IC-16-62 is one of the few times we have stepped out into an area without a surface expression of mineralization. This blind discovery confirms our belief that KSM still contains significant untapped discovery potential."
Exploration activities by Seabridge at the KSM Project are conducted under the supervision of William E. Threlkeld, Registered Professional Geologist, Senior Vice President of the Company and a Qualified Person as defined by National Instrument 43-101. Mr. Threlkeld has reviewed and approved this news release. An ongoing and rigorous quality control/quality assurance protocol is employed in all Seabridge drilling campaigns. This program includes blank and reference standards, and in addition all copper assays that exceed 0.25% Cu are re-analyzed using ore grade analytical techniques. Cross-check analyses are conducted at a second external laboratory on at least 10% of the drill samples. Samples are assayed at ALS Chemex Laboratory, Vancouver, B.C., using fire assay atomic adsorption methods for gold and ICP methods for other elements.