Skyline Gold Corporation
TSX VENTURE : SK

Skyline Gold Corporation

February 20, 2008 09:30 ET

Skyline Completes Metallurgical Study on Bronson High Wall Gold Zone

RICHMOND, BRITISH COLUMBIA--(Marketwire - Feb. 20, 2008) - Skyline Gold Corporation ("Skyline") (TSX VENTURE:SK) engaged in the business of exploring for precious and base metals from its properties in northwestern British Columbia's 'Golden Triangle' announces that a metallurgical study prepared for Skyline on gold recovery from samples taken from the High Wall Gold Zone on its 100% owned Bronson Slope gold-copper-silver-molybdenum deposit produced positive results and will improve the economics of the deposit.

Two composite samples representing different grades of gold mineralization found in the High Wall containing 0.368 g/t gold and 0.68 g/t gold were subjected to three tests; Pre-concentration, Gravity Recoverable Gold and Flotation tests. The pre-concentration test for sample C1 resulted in an 88% recovery of gold with a rejection of 51% of rock as floats and sample C2 recovered 80% of gold with a 35% rejection of the rock as floats. These results are positive and a successful application of pre-concentration could have a significant impact on the project economics through savings in material handling, processing cost and waste management. Further studies are planned.

Gravity Recoverable gold tests determined that a large part of the High Wall Gold Zone occurs as free gold. Of the gold in samples C1 and C2, 17.7% and 18.4% respectively, was recovered by gravity separation.

The third set of tests showed that gold from the High Wall Gold Zone is readily recoverable by flotation and the inclusion of gravity gold recovery with gold produced from flotation tests increased total recovery. Sample C1 yielded a gold recovery of 84.8% and sample C2 yielded a gold recovery of 83.3%. While these results were produced from composite samples from the High Wall Gold Zone, further studies on the main zone will be required to determine the general application.

The Preliminary Economic Assessment ("PEA") which is currently underway will focus on conventional processing and concentration but the data from these tests will be incorporated in the PEA where appropriate.

Pre-concentration offers significant benefits which could include increased plant capacity, reduction in tailings disposal and reduced operating cost. The application of pre-concentration to this type of low grade copper-gold porphyry deposit represents potentially one of the most significant advances since the advent of large-scale open pit techniques. Skyline will begin pre-concentration tests on the main zone mineralization with new samples as they become available this year.

ON BEHALF OF THE BOARD OF DIRECTORS

SKYLINE GOLD CORPORATION

Cliff Grandison, Chairman and Chief Executive Officer

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.

Contact Information

  • Skyline Gold Corporation
    Jeff Smulders
    President & CFO
    (604) 270-3878
    (604) 270-3858 (FAX)
    Website: www.skylinegold.com