Skeena Resources Announces Pricing of Upsized C$40.0 Million Common Share Public Offering

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VANCOUVER, British Columbia, Nov. 11, 2020 (GLOBE NEWSWIRE) -- Skeena Resources Limited (TSX: SKE, OTCQX: SKREF) (“Skeena” or the “Company”) is pleased to announce that further to its previously announced overnight marketed public offering (the “Offering”) of common shares of the Company (the “Common Shares”), it has entered into an underwriting agreement with a syndicate of underwriters co-led by Raymond James Ltd. and Canaccord Genuity Corp., and including Clarus Securities Inc., Sprott Capital Partners and RBC Capital Markets (collectively the “Underwriters”) to sell 17,021,277 Common Shares at a price of $2.35 per share (the “Offering Price”) for upsized gross proceeds of C$40.0 million. The Company has granted to the Underwriters an option to purchase additional Common Shares on the same terms as the Offering for up to 15% of the Common Shares sold in the Offering to cover over-allotments (the “Over-Allotment Option), exercisable within 30 days of the date of closing of the Offering. If the Over-Allotment Option is exercised in full, the total gross proceeds to the Company will be C$46.0 million.

The Common Shares will be offered pursuant to a final prospectus supplement dated November 11, 2020 to the Company’s short form base shelf prospectus dated November 4, 2020. The Common Shares will be offered in each of the provinces of Canada, except Québec. The Common Shares will also be sold to U.S. buyers on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended, and other jurisdictions outside of Canada provided that no prospectus filing or comparable obligation arises.

The Offering is expected to close on or about November 17, 2020 and is subject to Skeena receiving all necessary regulatory approvals, including the approval of the Toronto Stock Exchange.

Barrick Gold Inc., which currently holds approximately 12.4% of the issued and outstanding Common Shares, has the right to maintain its pro-rata ownership interest in the Company via participation in future Skeena financings.

The net proceeds of the Offering will be used by the Company to fund ‎exploration and development activities at the Eskay Creek Project and Snip Gold Project, and for general ‎administrative and corporate purposes.