Stikine Gold Corporation
TSX VENTURE : SKY

Stikine Gold Corporation

August 05, 2005 13:21 ET

Stikine Gold Corporation: Sullivan Deeps Project Review

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 5, 2005) - Stikine Gold Corporation ("Stikine" or the "Company") (TSX VENTURE:SKY) announces that a review and interpretation of Sullivan Deeps geology has been completed by Mr. Paul Ransom, P.Geo., a recognized expert in Sullivan mine geology.

Mr. Ransom concludes that the central part of the Sullivan Deeps target has not been tested by drilling completed to date and that the strata and sulphides intersected in SD1 and SD2 correlate with the east edge and barren sulphide sheet to the east of the Sullivan Mine, respectively. This interpretation suggests that the centre of a new system may exist primarily north and west of the holes drilled by Stikine to date and remains consistent with downhole geophysical information collected from both SD1 in late 2004 and from DDH6465 in 1996. That work demonstrates a large-scale conductor that remains 'open' to the north.

Based on Mr. Ransom's interpretation of the geology and geophysics a new target area is located approximately 1,000 m (3,280 feet) north of the SD1 site. Based on the elevation of the site and projection of the Sullivan horizon, an estimated depth to target for a proposed SD3 drill hole is 2,500m (8,200 feet).

The Company is currently reviewing its financing options including joint venture proposals for the project.

STIKINE GOLD CORPORATION

Scott E. Broughton, P.Eng. - President and CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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