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Skyharbour Resources (TSX-V: SYH) CEO Jordan Trimble on Upcoming Significant Winter Drill Programs Totaling 5,000 Meters & the Kickoff of Conference Season
Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the President and CEO of Skyharbour Resources (TSX-V: SYH)(OTC: SYHBF), Mr. Jordan Trimble. Jordan, how are you? I understand you're snowed in, or most of the city is anyway.
Jordan Trimble: Yeah, yeah. I'm doing well. Even though it's the middle of January, it's highly unusual getting this kind of weather. It's been frigid cold, and we've had a whole bunch of snow the last few days. But no, I'm here in the office. We're getting ready for the upcoming conferences and start of the new year.
Gerardo Del Real: I'd love to talk about the conferences and how people can connect with you. But before that, you had some news today that I want to go over.
You announced your 2,500-meter winter diamond drilling program, of course, at the high-grade, the flagship, the Moore Uranium Project. I know that we've been swinging for home runs the past couple of drill programs. Is that the approach to this go round as well?
Jordan Trimble: Yeah, you could put it that way. I think one of the most important things that we should highlight here – and we talked a little bit about this late in the year last year – is we are drilling, looking for basement-hosted targets. We are looking for that larger, higher grade deposit, the source rock mineralization for the high grade that we have at the sandstone and at the unconformity.
We've only really tested it with a few holes in the last couple of programs. It's a new geological setting that hasn't seen a lot of historical exploration. Most of the previous drilling, in the few holes that we have drilled in the previous drill programs testing these basement-hosted targets, were somewhat exploratory in nature.
That being said, as we've talked about in previous interviews, we've been hitting, we've been hitting high-grade mineralization. The fact that, within the first several holes we're intersecting multi-percent over widths of 2%, 3%, that is highly, highly encouraging and worth noting. It's not easy finding, honing in on these high-grade deposits. And the fact that we are finding high-grade mineralization that early on, I think, is a testament to the targeting and the vectoring of these zones to our geological team. But I think most importantly, it bodes well for this upcoming drill program. As we talked about, again a few months back, we carried out additional geophysics, drone geophysics, that again shown us and refined additional targets, new and existing targets that we've improved in the basement rocks.
As the news release points out, the main, the highest priority drill target that we'll be testing, which is at the East Maverick Zone, we're going right back into where we intersected 2.5% over 2.3 meters in one of the last holes in the last drill program. We were unable to go back and follow up on that drill hole, but that's a notable result.
We think we've nicked the top or the edge of something much larger. We can see that with the geophysics, with cross-cutting structures and features. We think there's more to be found there down plunge, which is where the first few holes are going to be targeted. So that's a primary and high priority drill target that we'll be going after.
As you can see in the news release, we have additional targets along strike to the northeast at our Goose and Viper zones, which are about 500 meters and 1.5 kilometers, respectively, away from the Maverick and East Maverick zones.
Gerardo Del Real: The program, Jordan, as I understand it, is fully funded of course and should consist of, what, seven to nine diamond drill holes?
Jordan Trimble: Yeah. So seven to nine diamond drill holes. As you point out, 2,500 meters. It's relatively inexpensive to drill there, especially in the winter. Your drill costs come down. It's easier to get around on the project. I like to think that our discovery costs are coming down. Our return on drilling, as I like to say, improves. And just talked about the three main target areas that will be drill testing and in particular with a focus on the basement rocks on this main Maverick corridor.
But another thing to point out is that, this Maverick corridor, we know there's high-grade mineralization, previous drill holes that have intersected over 20% U3O8. It's still wide open along strike. There has only been about 2 kilometers of the total 4 kilometers that's been systematically drill tested, but also it's pretty wide open in the basement rocks as well. We've just now recently started drilling into these basement rocks, looking for the feeder zones.
Gerardo Del Real: You're entering a pretty important time for the company, Jordan, because you also have partner-funded programs at both Preston and the East Preston Project. Can we speak to that a bit?
Jordan Trimble: Yeah. So in addition to our upcoming drill program, which we'll commence shortly, we have partner-funded programs that'll be starting up. It will start with Azincourt. They announced last week a 2,500-meter drill program that they're mobilizing for that'll commence shortly at our East Preston Project. And this is a very important program both for them and us. This is really the first real kick at the can with significant meterage in a drill program at East Preston since they acquired the option for the project back in 2017.
Just to remind your listeners, that's part of the earn-in option that requires them to spend $2.5 million in exploration over a 3-year period. This program, they have a budget of $1.2 million, so should complete the remaining part of that earn-in. Then there's some cash payments as well. In particular, we will be getting a $200,000 cash payment over the next several months as a part of that 70% earn-in on the project for them to complete the earn-in.
But most importantly, having them go and fund the exploration, the drilling, and this upcoming 2,500-meter drill program, testing the best targets that they've delineated and that they've refined over the last several years. So we'll have news flow on the East Preston Project as well as at our Preston Project.
We had news out prior to the new year, Orano planning a large deal physical and field program that'll commence here shortly, and that will lead into a drill program later this year.
So all in all, you have about 5,000 meters of planned drilling to commence shortly, multiple programs that'll be underway come February, March. So lots of news flow, and the bulk of that is being funded by partner companies.
Gerardo Del Real: Jordan, how can people get ahold of you during conference season, which of course we have several upcoming conferences that I know Skyharbour will be presenting at. You're speaking this year, is that correct?
Jordan Trimble: I am, yeah. So I'm presenting at the upcoming Vancouver Resource Investment Conference, which is this upcoming Sunday and Monday. We have a booth there, booth 404, so feel free to swing by. My talk and presentation I'm giving is on the Sunday at 2:10 PM in the afternoon in workshop three, so feel free to come by.
Then we'll also have a presence at a few other conferences coming up, including PDAC. I'm giving a presentation there as well at the uranium talks in the afternoon, I believe, on Monday afternoon. So lots of conferences coming up. Timing is, I think, great with all the upcoming catalysts and news flow that we have over the next several months here.
Gerardo Del Real: Afternoon presentations are ideal as you know, because hopefully you're not competing with the bar, Jordan.
Jordan Trimble: Exactly. Yeah.
Gerardo Del Real: Well listen, I look forward to chatting. Lots of news flow over the coming weeks and months. Thank you so much for your time today. I appreciate it.
Jordan Trimble: Thanks a lot, Gerardo.