Thursday, October 16, 2008

Skyline Gold Announces Receipt of Assignment by Barrick Gold of Snip/Bronson Creek Airstrip Licence of Occupation

Also: Bronson Slope Project Update

RICHMOND, BRITISH COLUMBIA, Oct 16, 2008 (MARKET WIRE via COMTEX) -- Skyline Gold Corp. ("Skyline") (CA:SK) , a company engaged in the exploration and development of its Bronson Slope mining development property in north western British Columbia's 'Golden Triangle', is pleased to announce that Barrick Gold Corp. has assigned to Skyline, and Skyline has accepted with appreciation, Barrick Gold's licence of occupation from the Province of British Columbia for the Snip / Bronson Creek airstrip.

Included in the licence of occupation, which is renewable for successive 10 year terms, is approximately 39 hectares of land approximately 900 metres from the outcrop of the Bronson Slope deposit. The 6,000 foot airstrip, which is capable of serving C-130 Hercules cargo aircraft, provides Skyline with direct air access from Vancouver to its Bronson Slope development property until an access road is permitted and constructed.

Skyline submitted a Special Use Permit ("SUP") application for the access road to the B.C. Ministry of Forest and Range (MOFR) on May 12, 2008. The SUP access road will require construction of a 28 km. road extension from AltaGas's Forrest Kerr access road which itself extends from the Eskay Creek Mine's access road.

The airstrip's location relative to the Bronson Slope deposit can be viewed online at the following link:

Skyline Gold would also like to provide the following update on its Bronson Slope project:

- Preliminary Economic Assessment ("PEA"): Work on the PEA, underway at Leighton Asia which is a division of The Leighton Group of Australia, continues to advance and is now approximately 75% complete. The PEA is tracking for completion by November 30, 2008.

- Environmental Assessment Certificate application: Skyline has submitted its Bronson Slope Project Description to the BC Environmental Assessment Office and the federal Canadian Environmental Assessment Agency. As the Bronson Slope project was extensively advanced in the Environmental Assessment ("EA") and Mine Act approval process in the mid 1990s, including the completion of a Mine Approval Certificate Application Report, Skyline is working with governmental permitting authorities with a view to identifying potential efficiencies in the EA and Mine Act application process to avoid duplication of work and speed the Bronson Slope permitting process.

- First Nations and community consultation: Skyline has scheduled meetings in October with the Tahltan and Iskut First Nations Chiefs and Tahltan Central Council. Skyline will work closely with the Tahltan First Nation and Iskut First Nation and communities near the Bronson Slope project to develop strong and productive relations during the consultation process and during the development, operation and reclamation phases of the Bronson Slope project.

- SUP Application: Skyline continues its discussion with the MOFR regarding Skyline's submitted application for an SUP to construct an access road from the extant Forrest Kerr access road. Skyline has also scheduled a meeting with AltaGas representatives to investigate a mutual Road Use Agreement between the companies.

- Magnetite and Pre-Concentration Studies: Skyline has received draft copies of the subject reports from BC Mining Research and is currently reviewing the reports. Skyline's goal is to re-assay drill cores samples for iron magnetite to quantify the magnetite component in the National Instrument (N.I.) 43-101 compliant Bronson Slope resource in 2009.

- Electrical Power: Skyline is delighted that the BC government's September 26, 2008 announcement that it is resuming advancement of the Northern Transmission Line project to extend the BC transmission grid from Terrace B.C. to the Bob Quinn Lake junction of the Eskay Creek access road and Highway 37. Skyline also continues studies underway at Sigma Engineering of Vancouver to advance Skyline's self-generation hydro electric licence applications for the generation of hydro electrical power for the Bronson Slope project. Skyline has also been approached by an industry group from Alaska seeking to interconnect surplus hydro power from the Alaskan panhandle to British Columbia customers.

Skyline's President, David Jensen, P.Eng. comments "We are focusing on advancing the Bronson Slope project through the PEA process, with a view to initiating the Feasibility Study early in 2009, permitting of the project, and consultation with First Nations and other local communities.

The Bronson Slope deposit has a mid-point of its outcrop lying some 400 m. above and 750 m. laterally from the proposed mill location. We are encouraged by the potential to use the favourable orientation and outcropping of the Bronson Slope deposit to develop a mining operation with both a very low operating cost and low capital cost design utilizing a conveyor-based mining operation powered by electricity. The ability to contain operating cost components through access to low cost grid power or locally generated hydro power and eliminating the requirement for a fleet of diesel haul trucks is one of the keys to positioning Skyline to become a low cost producer. The rapid development of the Bronson Slope deposit as a low cost project will allow Skyline to capitalize on what we feel will be an especially strong gold market in the years ahead."

Cliff Grandison, Skyline's CEO comments "Development of the Bronson Slope deposit is a key to the company's future and we look forward to significant progress in building our relations with the First Nations, in permitting the project, and the engineering and design necessary to complete a feasibility study next year."
The N.I. 43-101 compliant resource for Bronson Slope contains an estimated 2.6 million oz. of gold in a 225 million tonne Measured and Indicated resource grading an average of .36 g/t gold, 2.22 g/t silver, 0.13% copper, and .0077% molybdenum utilizing a $9.00/tonne cut-off grade using long term prices of $650/oz. gold, $2.00 /lb. copper, $10 /lb. silver, and $12 /lb. molybdenum (Burgoyne & Giroux, April 30, 2008).

David Jensen, P.Eng., President

Cautionary Statement

Statements in this release may be viewed as forward-looking statements. Such statements involve risks and uncertainties that could cause actual results to differ materially from those projected. There are no assurances the Company can fulfil such forward-statements and the Company undertakes no obligation to update statements. Such forward looking statements are only predictions; actual events or results may differ materially as a result of risks facing the Company, some of which are beyond the Company's control.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Skyline Gold Corporation
David Jensen, P.Eng.
(604) 270-3878
(604) 270-3858 (FAX)

SOURCE: Skyline Gold Corporation

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1 comment:

Free Music said...

This is going to be big