Golden Sky Minerals Corp. Mobilizes to Hotspot for Its Inaugural Diamond Drill Program at the Hotspot Property, Yukon

Figure 1

Drill results from Golden Sky’s maiden reverse-circulation drill program at the Sure Bet Zone

Figure 2

The Hotspot property has been significantly expanded by staking during the 2021 exploration season

Figure 3

The Hotspot property is located within one of the most prolific districts for major gold discoveries

Figure 4

Soil geochemistry overlying a ground magnetic survey

VANCOUVER, British Columbia, Aug. 17, 2021 (GLOBE NEWSWIRE) — Golden Sky Minerals Corp. (AUEN.V) (the “Company” or “Golden Sky”) is pleased to announce that it has mobilized to its 100% owned Hotspot property (“Property”) for its inaugural ~1500m diamond drill program that will commence in mid-August 2021. Diamond drilling will further test the Sure Bet Zone, which is defined by a ~600m x 400m gold-in-soil anomaly with soil samples that range from 50 ppb Au to 4110 ppb (4.11 g/t) Au. The Sure Bet Zone outlines a significant geochemical anomaly that is at the beginning of a 1.6km gold-in-soil trend that extends to the northeast and remains open.

Mr. John Newell, President & CEO of Golden Sky Minerals stated: “We are extremely pleased that drilling has commenced at our newly discovered Surebet Zone on the company’s Hotspot property. This year’s drilling is our first since Golden Sky drilled a 100-gram-metre hole last year, with all six holes returning gold values. The property has significant untapped potential with multiple strong drill targets. The Hotspot property sits along the Tintina Gold belt, a world-class geologic setting where many world-class deposits have been discovered.”

In 2020, Golden Sky made an original gold discovery at the Sure Bet Zone with its maiden 568.45m reverse-circulation (RC) drill program. All holes encountered precious metal mineralization, with HSRC-20-2 assaying 1.34 g/t Au over 71.6m including 7.72 g/t Au over 6.09m from surface (see Figure 1). These were shallow holes that were limited to ~100m drill depth, one of Golden Sky’s priorities with the 2021 diamond drill program is to test the Sure Bet Zone to ~400m drill depth.

In addition, Golden Sky has significantly expanded the size of the Hotspot property by staking additional lode claims based on in-house geological interpretation and regional geochemical stream samples published by the Yukon Geological Survey in 2016. This will represent a significant increase to the size of the Property from 4640 hectares to ~7364 hectares (see Figure 2). With similar prospective geology expected to exist on these newly acquired claims, Golden Sky believes there is excellent potential for discovering similar gold mineralized systems.

Figure 1 accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/e535b9cc-94af-441b-aba4-6fb6127ce4c3

Figure 2 accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/a5875447-07e2-4e92-94df-a3f00cff637f

The Hotspot Property

Location

The Hotspot property is located on the Yukon side of the Yukon-Alaska border, in the North Ladue placer district which has produced >20,000 oz of placer gold. The property is situated along the Big Creek fault, a regional-scale fault system that hosts numerous porphyry and orogenic gold deposits within the Yukon-Tanana Terrane (see Figure 3). The closest major prospect to Hotspot is Kenorland Minerals Tanacross Project, which encompasses the Taurus copper (Cu) – molybdenum (Mo) – gold (Au) porphyry deposit, located 25 km to the northwest (in Alaska). The Taurus Deposit has an inferred resource of 68.3 million tonnes grading 0.275% Cu, 0.032% Mo, and 0.166 g/t Au.

Figure 3 accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/15ca1f26-84dd-48a8-8b52-4e22f03d41d6

Mineralization

Gold mineralization at Hotspot is hosted by a Tertiary-aged (Eocene, 48-58 Ma) rhyolite pyroclastic tuff. Gold is associated with limonite and pyrite and bears a pathfinder signature (silver, antimony, mercury, and arsenic) indicative of a low sulphidation epithermal system (see Figure 4). Rhyolite-hosted low sulphidation epithermal systems include deposits with significant tonnage such as the Round Mountain deposit (>20M oz gold) and the Sleeper deposit (4.7M oz gold), both in Nevada, USA. In addition to the geological and geochemical settings, the grade and style of gold mineralization show similarities to these deposits.

Figure 4 accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/bea4ce45-113b-461a-a8e6-f1260da079b9

About Golden Sky Minerals Corp.

Golden Sky Minerals Corp. is a well-funded junior grassroots explorer engaged in the acquisition, assessment, exploration and development of mineral properties through systematic exploration, located in tier-one mining districts. Golden Sky’s main focus is developing its portfolio of projects to resource stage.

The drill-ready projects include Hotspot, Bullseye, and Luckystrike, all in Yukon, Canada. In addition, the recent purchases of the Rayfield Copper-Gold Project in southern British Columbia, and the staking of the Eagle Mountain Gold Project in the Cassiar Gold District in northern British Columbia, adds to the company’s substantial early-stage Canadian project pipeline.

The company was incorporated in 2018 and is headquartered in Vancouver, British Columbia, Canada.

More information can be found at the Company’s website at www.goldenskyminerals.com.

ON BEHALF OF THE BOARD

John Newell, President and Chief Executive Officer

For new information from the Company’s programs, please visit Golden Sky’s website at www.GoldenSkyMinerals.com or contact John Newell by telephone (604) 568-8807 or by email at info@goldenskyminerals.com or john.newell@goldenskyminerals.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Statements contained in this news release that are not historical facts are “forward-looking information” or “forward-looking statements” (collectively, “Forward-Looking Information”) within the meaning of applicable Canadian securities legislation. In certain cases, Forward-Looking Information can be identified by the use of words and phrases such as “anticipates”, “expects”, “understanding”, “has agreed to” or variations of such words and phrases or statements that certain actions, events or results “would”, “occur” or “be achieved”. Although Golden Sky has attempted to identify important factors and risks that could affect Golden Sky and may cause actual actions, events or results to differ materially from those described in Forward-Looking Information, there may be other factors and risks that cause actions, events or results not to be as anticipated, estimated or intended, including, without limitation: inherent risks involved in the exploration and development of mineral properties; the uncertainties involved in interpreting drill results and other exploration data; the potential for delays in exploration or development activities; the geology, grade and continuity of mineral deposits; the possibility that future exploration, development or mining results will not be consistent with Golden Sky’s expectations; accidents, equipment breakdowns, title and permitting matters; labour disputes or other unanticipated difficulties with or interruptions in operations; fluctuating metal prices; unanticipated costs and expenses; uncertainties relating to the availability and costs of financing needed in the future, including to fund any exploration programs on its projects; that Golden Sky may not be able to confirm historical exploration results and other risks set forth in Golden Sky’s public filings at www.sedar.com. In making the forward-looking statements in this news release, Golden Sky has applied several material assumptions, including the assumption that general business and economic conditions will not change in a materially adverse manner. There can be no assurance that Forward-Looking Information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on Forward-Looking Information. Except as required by law, Golden Sky does not assume any obligation to release publicly any revisions to Forward-Looking Information contained in this news release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.