�News Release - Wednesday, May 16, 2007
Skeena Proposes Flow-Through Financing
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Skeena Resources Limited (TSX Venture Exchange: SKE) proposes to raise
up to $250,000 through the issuance of flow-through Units. Each unit
will be sold at a price of $0.45 per share and will consist of one
flow-through share and one half of a non flow-through share purchase
warrant. Each full warrant will be exercisable into one common share
of the Company at an exercise price of $0.75 for a period of one year.

This non-brokered financing is subject to regulatory approval and
finders' fees may be paid to accredited agents on that portion of the
funds raised by third parties. The shares issued under this financing
will be subject to a hold period of four months plus one day from the
date of closing of the offering.

The proceeds from this financing will be used to advance the Company's
100% owned, 5,000 hectare Blackhorn Property located in the eastern
margin of the Pacific Ranges of the Coast Mountains of west-central BC,
40 km. south-southwest of the settlement of Tatla Lake. The claims
cover a number of high-grade, gold-bearing, quartz-carbonate veins and
base metal showings (copper and nickel sulphides) in a complex setting
of imbricate thrust sheets of Mesozoic volcanics and sediments and Late
Cretaceous to Early Tertiary intrusives. The most significant of the
showings are hosted within a band of schistose rocks along the 4.5 km
long Blackhorn Trend.

This unit hosts the Blackhorn Vein which is reported to average a cut
value of 34.7 g/t Au (plus high concentrations of silver, lead, zinc
and copper) over an average width of 0.43 m for a length of 51.7 m in
an underground drift. At the Homestake Mine, at the south end of the
Blackhorn Trend, reports from the late 1930's noted a narrow quartz
vein which assayed up to 1.47 oz/ton Au. This structure also hosts the
Hunting Lodge, Galena and Milk Can Showings further to the north, and
the HW zone, a poorly exposed quartz stockwork occurrence from which a
series of historical grab samples yielded an average of 21 g/t Au with
minor silver and copper values. In another area 2.5 km farther east,
the Champagne and Lori Showings consist of numerous, un-sourced,
well-mineralized boulders of sulphide-bearing, quartz-carbonate veins
assaying from 1 to 89 g/t Au in an area of poor bedrock exposure (BC
Government assessment files and Minister of Mines reports).
Additionally, a number of regional stream sediment geochemical
anomalies, up to 407 ppb Au, warrant further investigation. A field
program will commence in late June.

The qualified person responsible for review of the technical aspects of
this news release is J. R. Allan, P.Geol., president and CEO of the
Company.

ON BEHALF OF THE BOARD OF DIRECTORS OF
SKEENA RESOURCES LIMITED

"Rupert Allan"

J. R. Allan, P.Geol., President

Cautionary Statement on Forward-Looking Information.
The statements made in this News Release may contain certain
forward-looking statements. Actual events or results may differ from
the Company's expectations. Certain risk factors may also affect the
actual results achieved by the Company. The TSX Venture Exchange has
not reviewed and does not accept responsibility for the adequacy or
accuracy of this news release.

For Further Information Contact:
Rupert Allan or Tony Perri -- Investor Relations, Manager
Suite 611, 675 W. Hastings St.
Vancouver, B.C., Canada V6B 1N2
Tel: (604) 684-8725
Fax: (604) 669-2543
Email: tperri@skeenaresources.com

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Copyright (c) 2007 SKEENA RESOURCES LTD. (SKE) All rights reserved.
For more information visit our website at
http://www.skeenaresources.com/ or send mailto:info@skeenaresources.com
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