Friday, February 5, 2021

Eskay Agrees to Acquire 19.5% of Garibaldi Resources Corp from The Sprott Foundation[TSXV:ESK][TSXV:GGI]

Eskay Agrees $ESK to Acquire 19.5% of Garibaldi Resources Corp $GGI from The Sprott Foundation

1) Eric Sprott purchases Eskay Mining via share swap with Garibaldi Resources.
My take: Eric wants a piece of Eskay Mining.

2) $ESK pays $10.8m for 23.7m shares of GGI for $2.56 units + 1 warrant $2.82.
My take: Minimal dilution for ESK, overall a great deal.

3) Eric Sprott buys 4.221m common shares and 4.221m wrrants = 8.442m total share ownership or 4.3% ownership of ESK

4) Eskay Mining now owns 19.5% of Garibaldi Resources setting up to become an even larger owner in the Golden Triangle
My take: This is a strategic position to put Eskay in an even more commanding land ownership in the Golden Triangle.

5) This is the next financing is practically closed now; a potential $11.8m will fill the coffers with success this upcoming season. ($2.82 * 4.211)

6) Eric Sprott now owns more or less no position in GGI and would theoretically be able to purchase more, if he wishes.

Thursday, February 4, 2021

Eskay Mining - Blue Blue Skies [TSXV:ESK][OTC:ESKYF]

Eskay Mining put out the following news release on February 2nd, 2021 and I have compressed it to highlight certain portions of it. Full release can be viewed at

Eskay Mining pleased to announce that it has received all assays from 20 drill holes completed during its maiden diamond drill program at two precious metal-rich volcanogenic massive sulphide (“VMS”) deposits, Jeff and TV, on joint venture ground held with Kirkland Lake Gold Ltd. (80% Eskay/20% Kirkland Lake Gold). Assays include 35.5 m grading 9.50 gpt Au and 70.0 gpt Ag including 9.25 m grading 32.17 gpt Au and 93.2 gpt Ag in hole J20-33 at Jeff.