148 Sq. Km of Additional Eskay Camp Discovery Potential
In addition to its flagship Nickel Mountain Project, Garibaldi has 100% ownership of two additional promising land packages in the Eskay Camp - the 100 sq. km Palm Springs Property, parts of which are contiguous to Nickel Mountain, and the 48 sq. km King Project several kilometers northeast of the Snip mine.
Palm Springs Property
Much of Palm Springs features receding glaciers, exposing previously hidden favorable volcano-sedimentary stratigraphy similar to that of Eskay Creek. Historic surface sampling by Noranda over limited parts of Palm Springs returned high-grade gold and copper values and revealed unique Eskay Creek-type pathfinder minerals in trenches.
Since first acquiring Palm Springs in 2016, Garibaldi has fulfilled all of the option terms and now owns 100% of the property. The optionor has retained a net smelter return royalty (NSR) of 2% which may be reduced to 1% by Garibaldi at any time for a cash payment of $1,000,000.
Garibaldi’s work at Palm Springs has focused mostly on the Casper showing, approximately 12 km north of the E&L deposit near the new AltaGas road, where the target – currently being advanced - is high-grade gold.
Nearly 20 sq. km of the Palm Springs package (“Eskay North”) is contiguous to the past producing Eskay Creek mine, one of the world’s richest ore discoveries.
The expansion of Garibaldi’s presence in the Eskay Camp in 2016 started with the King Property which was nearly tripled in size to 4,772 hectares and divided into two adjoining packages, King North (1,720 hectares) and King South (3,052 hectares), with King South just several kilometers northeast of the past producing Snip mine. Both parts of the King are immediately adjacent to what is now Crystal Lake Mining’s Newmont Lake Project where a grassroots drilling discovery at Burgundy Ridge was recently announced from work completed last fall.
At Snip, Skeena Resources has carried out successful drilling in an attempt to define new resources outside of the historical mined areas. Seabridge Gold is also expanding road access into the area.
Geological studies completed by the British Columbia Geological Survey in 2011 concluded that the under-explored rock units extending north from the Iskut River encompassing the King Project are the same as those hosting the Snip, Eskay Creek and KSM deposits.
Recent extensions of the Iskut River access road, the completion of a bridge to the north side of the river, and the AltaGas Forrest Kerr and McLymont power stations have significantly reduced the cost of exploration at King.
King North, featuring at least three mineralized zones, is more advanced than King South and includes some drilling around the time of the Eskay Creek discovery. As disclosed by Garibaldi April 12, 2016, limited trenching and sampling carried out by the company over an area identified in the 1980’s at King North supports historical results. A high-grade interval in one North zone trench averaged 295 g/t Ag with 19.4% combined lead-zinc over 6 meters across the strike of the mineralized zone.
The South zone at King North is also prospective for high-grade silver-lead-zinc mineralization while the Central zone has returned high-grade gold values from historical surface sampling at the Chubby Creek prospect.