Mr. Mike England reports

SKY GOLD'S GEOCHEMICAL SAMPLING YIELDS SIGNIFICANT PARTICULATE GOLD GRAINS ON ITS CONSOLIDATED SHEBANDOWAN PROPERTY, NORTHWESTERN ONTARIO

Sky Gold Corp.'s basal till geochemical sampling program involving mineral concentration work has yielded significant particulate gold grains on its Consolidated Shebandowan base and precious metals project.

The property, comprising 10,487 hectares, is situated 70 kilometres (km) west of the city of Thunder Bay and six km southwest of the past-producing Shebandowan Ni-Cu-Co-Cr-PGE (nickel, copper, cobalt, chromium and platinum group element) mine, operated by Inco Ltd. during the period of 1970 to 1989. The Shebandowan mine yielded historical production of 8.6 million tonnes at a grade of 2.00 per cent nickel, 1.00 per cent copper and 2.68 grams per tonne (g/t) platinum group elements.

Gold concentration geochemical results

Fifty-two 10-kilogram samples of basal till were collected from the southwestern portion of the property in 2024. This detailed sampling comprised part of a broader, property-wide basal till sampling program completed by Sky Gold, which yielded impressive results currently slated for follow-up drilling in 2025 (see Sky Gold news release dated April 16, 2025).

The purpose of the 10-kilogram (kg) sampling was to verify and corroborate the results of a similar historic geochemical survey, completed by Mingold Resources in 1990. Mingold's work at that time outlined an area of approximately one km by one km, reportedly yielding particulate gold grains in glacial till samples.

Highlighting Sky's results is a cluster of three anomalous sample sites yielding 46, 18 and 15 gold grains, respectively. Calculated total gold for the above three sample sites are 550, 285 and 215 parts per billion (ppb) gold (Au). Notably, the three sample sites are closely related to an unnamed east-northeast-trending fault near the contact with intermediate volcanic rocks and granodioritic intrusive tocks, a classic favourable setting for orogenic gold deposits to occur.

A second cluster occurs to the south of the first and is intimately associated with the crustal-scale Tinto fault. Three sampling sites yielded a total of 27, 17 and 16 particulate gold grains with corresponding total gold values of 1,872, 289 and 229 ppb gold, respectively. Two of the anomalous sites yielding particulate gold grains are also located immediately to the south of a strong conductor, yielded by the VTEM (versatile time-domain electromagnetic) airborne geophysical survey, suggesting a possible nearby bedrock source for the gold grains.

The two clusters containing particulate gold grains also coincide with strongly anomalous values in nickel, cobalt, chrome, gold, copper and zinc, all suggestive of the presence of magmatic nickel, volcanogenic massive sulphide, as well as orogenic gold deposits.

Overburden Drilling Management (ODM) in Nepean, Ont., utilizes custom gravity concentration devices to recover gold grains of all sizes. The refined concentrates that ODM produces are ideal for characterizing particulate gold grains and for subsequent geochemical analyses.

Upcoming spring exploration program

During the upcoming field season this spring, geological mapping and prospecting will be completed with a priority placed on rock sampling and mapping of the target areas containing anomalous particulate gold grains. This will be followed up by a subsequent program of trenching and diamond drilling, anticipated for late summer to early fall of 2025.

Qualified person

Sky Gold's disclosure of a technical or scientific nature in this news release has been reviewed and approved by Don Hoy, PGeo, who serves as a qualified person under the definition of National Instrument 43-101.

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