Golden Sky Minerals Corp. has announced that it has entered into an agreement to acquire strategically located mineral claims within its Rayfield-Gjoll Project in south-central British Columbia, including mineral claims covering the historic Vidette Gold Mine and the Elm mineral occurrence in the Criss Creek area.

The acquisition further consolidates Golden Sky’s land position within the Rayfield-Gjoll Project and strengthens the Company’s ability to undertake district-scale exploration across an area with a history of both high-grade gold mineralization and copper-gold porphyry exploration.

Acquisition Highlights

• Acquisition of strategically located mineral claim blocks within the Rayfield-Gjoll Project;
• Claims include ground covering the historic Vidette Gold Mine (Figure 1), a past-producing high-grade gold operation;
• Acquisition also includes the Elm mineral occurrence near Criss Creek (Figure 2), providing additional exploration targets within the broader project area;
• Further consolidates Golden Sky’s strategic land position and reduces gaps between existing claim blocks;
• Provides Golden Sky with increased control over prospective ground surrounding historically identified mineral occurrences;
• Supports the Company’s strategy of applying modern geochemical, geophysical and geological exploration techniques to historically underexplored areas of southern British Columbia.

The Vidette Gold Mine

The historic Vidette Gold Mine is located at the north end of Vidette Lake in the Deadman River Valley, approximately 50 kilometres north of Savona, British Columbia, with road access from the Trans-Canada Highway.

The Vidette area is underlain by Upper Triassic Nicola Group volcanic rocks intruded by granodiorite, with localized contact-related skarn alteration. At the mine, gold mineralization occurs within several north-northwest-striking quartz-calcite veins containing pyrite, chalcopyrite and lesser tellurides, with gold occurring as native gold and in association with tellurides and sulphides. The veins are commonly hosted by strongly carbonate- and pyrite-altered wall rocks.

Five vein systems were developed at the mine, with the Tenford vein reportedly traced for approximately 275 metres, including approximately 150 metres of historical ore development. More recent sampling in 2008 returned 12.3 grams per tonne (g/t) and 25.5 g/t gold from the Tenford vein.

Between 1933 and 1940, the Vidette Mine reportedly processed approximately 48,980 tonnes of ore, recovering approximately 929 kilograms (32,769 troy oz) of gold, 1,449 kilograms (51,112) of silver and 43,825 kilograms (96,617.5 lbs) of copper. Historical results are not necessarily indicative of mineralization on the Company’s current property and have not been independently verified by Golden Sky.

Golden Sky Minerals previously identified the strategic importance of the Vidette area during its consolidation of the Rayfield property. In 2022, Golden Sky expanded its Rayfield land package through the optioning of approximately 8,100 hectares of the Vidette-Mowich Property, specifically highlighting the opportunity to systematically explore the ground surrounding the past-producing Vidette Gold Mine.

Golden Sky believes that the historic Vidette workings and surrounding mineralized structures provide an important geological reference point for evaluating the broader gold and copper-gold potential of the Vidette area.

Elm Mineral Occurrence

The Elm occurrence is located approximately 12.5 kilometres northeast of the Deadman River along Criss Creek and is hosted by Upper Triassic Nicola Group volcanic rocks and Jurassic Ashcroft Formation sediments intruded by a small diorite plug. Three mineralized zones, the Gold-Silver, Molybdenum and Quartz zones, are associated with the intrusion and a northwest-trending structural corridor. The Gold-Silver Zone is hosted within a 35- to 100-metre-wide listwanite unit along a faulted contact, with quartz-carbonate veins and shears containing pyrite, sphalerite, galena, chalcopyrite and tetrahedrite. Historical sampling returned higher-grade values including 7.5 g/t Au and 824.2 g/t Ag with 2.37% Zn and 2.13% Cu. Underground and surface workings date back to the early 1900s.

Strategic Land Consolidation

The newly acquired claims are strategically located within the broader Rayfield-Gjoll Project and complement Golden Sky’s existing mineral tenure in the area. The Company believes that consolidating historically fragmented mineral claims is important to allow systematic exploration of geological trends that may extend beyond individual historical occurrences.

The Rayfield area has demonstrated evidence of both copper-gold porphyry-style mineralization (Gnome Target) and structurally controlled gold mineralization (Vidette Mine). Previous work by Golden Sky at the Gnome Target identified an extensive copper-in-soil anomaly, quartz veining, phyllic-propylitic alteration and copper mineralization associated with intrusive rocks. Historical exploration has also identified chargeability anomalies that correlate with areas of copper mineralization.

The addition of the Vidette and Elm claim blocks provides Golden Sky with additional ground from which to evaluate the relationship between these historical mineral occurrences and the broader geological architecture of the Rayfield-Gjoll Project.

Transaction Terms

Pursuant to the agreement, Golden Sky will acquire a 100% interest in nine mineral claims from Steven Scott, comprising a total of 385.28 hectares.

As consideration for the acquisition, Golden Sky will issue 300,000 common shares of the Company to the vendor, subject to the approval of the TSX Venture Exchange (the “TSX.V”) and applicable securities laws.

The acquired claims will be subject to a 2% net smelter return royalty (“NSR”), of which 1% may be purchased by the Company for C$1.0 million and the remaining 1% for C$2.0 million.

The securities issued pursuant to the acquisition will be subject to applicable statutory and/or contractual resale restrictions.

Completion of the transaction remains subject to customary closing conditions, including receipt of all required regulatory and TSX approvals.

John Newell, President and CEO of Golden Sky Minerals, comments: “Acquiring the Vidette and Elm claims is an important step in strengthening and consolidating our Rayfield-Gjoll Project. The historic Vidette Gold Mine confirms the presence of high-grade gold mineralization within the broader property, while the Gnome copper in soil anomaly extends to the boundary of the newly acquired ground. Bringing these strategically located claims under one ownership allows us to evaluate these mineralized systems as part of a much larger geological picture. We believe the combination of historic gold production, multiple mineral occurrences and compelling copper gold porphyry targets significantly expand the exploration potential of Rayfield-Gjoll.”

Figure 1: Map showing the spatial relationship between the historic Vidette Gold Mine and the Gnome target. The Gnome target is defined by a Cu-in-soil anomaly that extends to the boundary of the newly acquired claim block, suggesting the mineralized trend may continue onto the newly acquired ground.

To view an enhanced version of this graphic, please visit:

Figure 2: Map showing the location of the Elm occurrence over regional geology, highlighting its position along a prominent northwest-trending fault and associated structural corridor.