By Charles Pitts
YUKON, CANADA – Sitka Gold Corp. (TSXV: SIG) has announced a significant technical milestone at its Blackjack project, part of the district-scale RC Gold Project in the Yukon. The company reported assays from the deepest hole drilled on the property to date, DDRCCC-26-121, which reached a total depth of 1,093 meters. The results confirm that high-grade mineralization extends roughly 370 meters below the current pit-constrained resource limits, fundamentally altering the project’s development roadmap toward a potential open-pit-to-underground transition.
The headline intercept from DDRCCC-26-121 included 71.3 meters grading 2.15 g/t gold, within a broader mineralized envelope of 273.8 meters at 1.10 g/t gold starting from 642 meters downhole. This discovery reinforces the “Reduced Intrusion-Related Gold System” (RIRGS) model that has seen significant success across the Tintina Gold Province, home to major deposits like Victoria Gold’s Eagle and Kinross’s Fort Knox.
Expanding the Vertical Profile of Blackjack
The 2026 drill program, currently slated for approximately 60,000 meters, represents a doubling of the historical drilling conducted at RC Gold. Hole 121 was specifically designed to test the down-dip continuity of the high-grade “Blackjack Mineralized Corridor,” a north-south trending structural zone that focuses mineralization within the intrusive complex.
The fact that Sitka encountered 2.15 g/t gold nearly 400 meters below the base of the current resource pit suggests that the high-grade core of the system is not only continuous but potentially broadening at depth. This is a critical data point for investors monitoring mining news and identifying mining stocks to watch 2026.
Table 1: Key Drill Intercepts from Hole DDRCCC-26-121
| Hole ID | From (m) | To (m) | Interval (m) | Gold (g/t Au) | Significance |
|---|---|---|---|---|---|
| DDRCCC-26-121 | 642.0 | 915.8 | 273.8 | 1.10 | Broad mineralized zone |
| including | 697.0 | 791.0 | 94.0 | 1.79 | High-grade core |
| including | 756.0 | 827.3 | 71.3 | 2.15 | Sub-interval 370m below pit |
| including | 756.0 | 775.3 | 19.3 | 5.04 | Ultra-high grade shoot |
The Clear Creek Intrusive Complex: A District-Scale Play
The Blackjack deposit is just one component of the Clear Creek Intrusive Complex, an 8 x 15 km cluster of Cretaceous felsic intrusions. Sitka’s consolidation of this land package: which now includes the Rhosgobel, Eiger, Pukelman, and Bear Paw targets: positions the company to define a multi-deposit gold camp.
Geologically, the mineralization is hosted within megacrystic quartz monzonite and surrounding hornfelsed metasediments. The system is characterized by sheeted quartz-vein arrays and brittle-fault-controlled high-grade shoots. The recent results from Hole 121 validate the theory that these intrusive cupolas host mineralization that remains open in all directions.
High-grade quartz veining within the intrusive host rock is a signature of the RIRGS model used at Blackjack.
Economic Implications for 2026
With a current total resource across Blackjack, Rhosgobel, and Eiger of 3.83 million ounces of gold (inferred), Sitka was already operating at a scale that attracted major interest. However, the shift in focus toward the depth potential of Blackjack introduces the possibility of a “bulk underground” mining scenario.
In the current gold price forecast 2026 environment, where stagflation and central bank demand are driving prices higher, the economics of underground bulk mining for grades exceeding 2.0 g/t Au become increasingly attractive.
“Hole 121 is a game-changer for the project’s valuation,” noted a mining analyst familiar with Yukon projects. “Expanding the resource 370 meters vertically below the pit doesn’t just add ounces; it changes the conceptual mine plan. You go from a simple open pit to a Tier-1 scale asset that could support a multi-decade life-of-mine.”
Operational Momentum: The 60,000m Program
Sitka currently has four diamond drill rigs active on-site. The 2026 program is approximately 20% complete, with assays for numerous other holes still pending. The primary focus remains:
- In-fill drilling at Blackjack to convert inferred resources to indicated categories.
- Deep exploration to follow up on the success of Hole 121.
- Step-out drilling at Rhosgobel and Pukelman to expand the district-wide footprint.
The discovery of high-grade continuity at depth opens the door for underground mining methods alongside traditional open-pit operations.
Market Snapshot: Precious Metals and Exploration
The broader mining sector continues to see a trend of M&A catalysts where majors are acquiring high-quality exploration assets in stable jurisdictions like the Yukon. Sitka’s success at Blackjack places it squarely in the crosshairs of mid-tier and major producers looking to replenish reserves.
| Metric | Current Status (May 2026) |
|---|---|
| Total Global Inferred Resource | 3.83 Moz Au |
| Blackjack Indicated Resource | 1.29 Moz Au @ 1.01 g/t |
| Drill Rigs on Site | 4 |
| 2026 Drill Target | 60,000 meters |
| Primary Deposit Type | Reduced Intrusion-Related Gold (RIRGS) |
Strategic Outlook
The results from hole DDRCCC-26-121 are a strong signal that Sitka Gold has only scratched the surface of the Clear Creek Intrusive Complex. For operators and investors, the key risks remain the logistical challenges of northern exploration and the permitting timeline for a potential transition to underground mining. However, with metallurgical recoveries reported at up to 94% and wide intercepts of >1.0 g/t Au starting from surface, the project de-risking process is well underway.
Infrastructure at RC Gold is bolstered by road accessibility, a key advantage for large-scale mining in the Yukon.
