Eskay to Commence Exploration in Golden Triangle With Proceeds From Non-Brokered Private Placement

TORONTO, ONTARIO--(Marketwired - Aug. 8, 2016) - Eskay Mining Corp. ("Eskay" or the "Company") (TSX VENTURE:ESK) is pleased to announce that it has placed 600,000 flow-through units (the "FT Units") of the Company at a price of $0.25 per FT Unit for proceeds of $150,000.

The proceeds of the financing will be used to fund a field-driven reevaluation of Eskay's 100% owned Corey property, with a small amount of work scheduled for its adjacent 80% owned SIB Property which is held with co-venturer Kirkland Lake Gold Inc. Together, these properties constitute nearly 55,000 hectares in the heart of the Golden Triangle of northwest British Columbia. The properties border Seabridge Gold Inc.'s KSM project, with its four major Cu-Au deposits, along much of its western and northern borders, and where they are continuous along trend from Barrick's truly world-class past-producing Eskay Creek Mine. Another significant block of Eskay's holdings borders Pretivm Resources Inc.'s Brucejack property along part of its northern boundary. Eskay's properties are highlighted on claim maps which may be viewed on its website (http://www.eskaymining.com/properties.asp).

Previous exploration activities on the properties, conducted by Eskay Mining, by its predecessors, and by others, included surface grid work (e.g., geologic mapping, soil and rock geochemical sampling, and Induced Polarization (IP) surveying), airborne geophysical surveying, and diamond drilling. Much of that work, recently compiled and modeled in 3-D, was completed in the years following the late 1980's discovery of the Eskay Creek deposit, the world's richest precious metals-bearing volcanic hosted massive sulphide deposit, from which Homestake and Barrick mined approximately 3.3 million ounces Au and 180 million ounces Ag between 1994 and 2008. Understandably, the model for much of the exploration in the district, and indeed on Eskay Mining's holdings, which include the SIB Property that lies immediately south-southwest of the mine property, was that of the rich Eskay Creek deposit, which is hosted by distinctive late Early to early Middle Jurassic marine volcanic stratigraphy that was folded and faulted in middle Cretaceous time. Stratified rocks of similar age and composition, as well as depositional and structural setting, are continuous with those on Barrick's property and are present throughout the western part of Eskay Mining's holdings.