The North Donnelly showing is located within the GJ/Kinaskan copper-gold porphyry project in northwest BC on the southern end of the Klastline Plateau in the Stikine River region. It is approximately 200 kilometres north of Stewart and 75 kilometres south of Dease Lake.

North Donnelly was discovered in by Canadian Gold Hunter Corp. during its 2006 exploration program. It is underlain by a large IP anomaly that is about 1100 metres by 500 metres in area. The underlying geology of the area is Upper Triassic, Stuhini Group basic volcanics, volcaniclastics, and sedimentary rocks and Lower Jurassic, Hazelton Group andesitic to felsic volcanics and volcaniclastics. Early Jurassic quartz diorite to monzonite stocks, dykes and sills occur throughout the property.

Exploration by the company on its GJ/Kinaskan property has been ongoing for several years. The reader is referred to the GJ (104G 034) and Goat (104G 086) prospects for further details of the area geology and property history.

In 2007 inferred resource estimates were made with a copper cut-off of 0.20 per cent of 13.75 million tonnes grading 0.294 per cent copper, 0.462 gram per tonne gold, and 1.9 grams per tonne silver.

March of 2008 Canadian Gold Hunter Corp announced results from their 2007 drill program. The highlights from the North Donnelly zone included 0.327 per cent copper, 0.558 gram per tonne gold, and 3.0 grams per tonne silver in 12.19 metres from drill hole CGH-07-189.

Work History

In 2007, Canadian Gold Hunter (CGH) focused its exploration work on in-fill drilling of the Donnelly and North Donnelly Zones. In the Donnelly Zone, a total of 4319 metres in 21 holes is reported. An inferred resource estimate of 13.75 million tonnes grading 0.294 per cent copper, 0.462 gram per tonne gold, and 1.9 grams per tonne silver using a copper cut-off of 0.20 per cent was reported for the North Donnelly zone (Mehner, D.T., Giroux, G.H., Peatfield, G.R. (2007-04-30): Technical Report on the GJ Copper-Gold Porphyry Project).

In 2008, Canadian Gold Hunter press release announced a NI 43-101 compliant measured and indicated resource for the Donnelly and North Donnelly of the GJ property. This resource estimate is based on assay results from 169 diamond drill holes over a strike length of 1.6 kilometres. The resource, at cut-off of 0.20 per cent copper, is 153.3 million tonnes grading 0.321 per cent per cent copper and 0.369 grams per tonne gold containing 1.09 billion pounds of copper and 1.82 million ounces of gold. There is an additional inferred resource, at a cut-off of 0.20 per cent copper, of 23 million tonnes grading 0.26 per cent copper and 0.31 gram per tonne gold containing 132 million pounds of copper and 0.23 million ounce of gold (New Release, Oct 7, 2008).

In August of 2010, Teck Resources entered into an Option Agreement with NGEx (formerly Canadian Gold Hunter; CGH), whereby Teck is granted options to earn up to a 75 per cent interest in the 100 per cent NGEx-owned GJ copper-gold property.

Work by Teck in 2010 was focused on further geological mapping concentrated around the Donnelly Zone. In addition historical drill holes were re-logged. Geophysical surveys (ground magnetics and IP) and SWIR spectral studies also formed a large proportion of the work performed during 2010.

In 2011, the Teck operated program consisted of ground magnetics and an induced polarization (I.P.) survey, soil and rock sampling and 4,300 metres of drilling. The geophysics component of the 2011 field season comprised 76.6-line kilometre of I.P. surveys on nine lines, in addition to 50 kilometre of ground magnetic survey. A total of 10 diamond drill holes were drilled, taking note of lithology, mineralization and hydrothermal alteration. 1185 soil samples were also collected. A 2011 drillhole in the North Donnelly area did not produce any significant intervals.

In 2014, Teck completed a minor amount of geological work including the collection of samples for geometallurgical studies.

All 80 of the GJ property claims, held by Teck and its joint venture partner NGEx, were transferred to Skeena Resources Limited on November 03, 2015.

Most of the Skeena exploration efforts across the combined Spectrum-GJ property have been in the Spectrum Claims Block as result of the company’s acquisition of the GJ claims block occurring late November 2015. Despite this, prospecting, rock and soil sampling programs were carried out in addition to the drilling program in 2016 when bringing the total number of holes drilled into the deposit to 178 for a total of 49,240.37 metres (historical drilling plus the Company’s drilling).

In 2016, a combined measured plus indicated resource for the Main (MINFILE 104G 086) and North Donnelly zones was reported at 133.670 million tonnes grading 0.32 per cent copper and 0.36 gram per tonne gold with an inferred resource of 53.690 million tonnes grading 0.26 per cent copper and 0.33 gram per tonne gold using a 0.20 per cent copper cut-off (Giroux, G.H., Peatfield, G.R., Cathro, M.S. (2016-02-24): Technical Report on the Donnelly-GJ Deposit Area, GJ Property).

In 2017, Skeena Resources Limited filed a mineral resource update and a preliminary economic assessment for the project. Resources estimates for the GJ Donnelly deposit at 0.15 gram per tonne copper gold equivalent cut-off are as follows. In the Indicated resource category there are 215.2 million tonnes grading 0.31 gram per tonne gold, 1.9 grams per tonne silver and 0.26 per cent copper; and in the inferred category there are 28.3 million tonnes grading 0.31 gram per tonne gold, 1.8 grams per tonne silver and 0.14 per cent copper (Skeena Resources Ltd, Press Release April 20, 2017).

See Donnelly (104G 086) and GJ (104G 034) for details of pre 2007 work history.