November 02, 2007 12:07 ET

Franc-Or Announces Drilling Campaign at Mario, Peru Property

MONTREAL, CANADA--(Marketwire - Nov. 2, 2007) - Franc-Or Resources Corporation (TSX:FOR) is pleased to announce a 3,500 meter diamond drilling campaign at the Company's 100% owned Mario Property located in central Peru. Initial plans are to drill 18 holes to test new targets for massive sulfide vein and manto-type carbonate replacement mineralization, as well as possible intusive/breccia-hosted precious metal vein and disseminated mineralization. This phase of drilling is currently scheduled to commence on November 18, 2007.

In addition, the Company is pleased to announce the completion of the second tranche of a non-brokered private placement financing of $130,000 comprising the sale of 650,000 Units, sold at $0.20 per Unit. Cash finder's fees totaling $9,600 were paid in conjunction with this financing. Combined with the first tranche proceeds of $1,025,000 sold under the same terms disclosed in a Press Release of October 15, 2007, this second portion of the financing will bring the total proceeds to $1,155,000.

Proceeds of the financing will be used primarily to fund the upcoming exploration activities at the Mario Zn-Pb-Ag-Au property, where the currently planned 3,500 meter diamond drilling program is designed to test several recently discovered targets. The company is also planning to conduct selective trenching over certain targets.

As described in an August 30, 2007 Press Release, recent geologic mapping has revealed a pattern of northeast-striking veins that straddle multiple dacitic domes and diatremic breccias that form the Cerro Punapuna and Cerro Carhuante volcano-plutonic complexes. Movement along the northeast-trending structures apparently created a right-lateral dilational jog that created open spaces for intrusions of dacite and subsequent veins and mantos of massive sulfide mineralization to be emplaced.

In particular, the current program is designed to test:

- pull-apart zones in veins in the West Vein Area;

- horsetail veins and dolomitized breccias in the East Vein Area;

- a silicified sulfidic flow dome in the Domo Norte part of the Cerro Carhuante Complex;

- silicified portions of gold/silver-bearing diatremic breccia in the central part of the Cerro Punapuna Complex; and

- untested prominent IP and Resistivity anomalies in Pucara limestone along the southern flanks of the Cerro Punapuna Complex adjacent to the area where several stages of drilling had previously been conducted.

Franc-Or management is very positive about the potential exhibited by the multiple targets that are to be tested within a mineralized surface area on the Mario property that is now known to exceed six square kilometers.

Robert J. Casaceli is the Qualified Person responsible for all technical data reported in this news release.


No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding future plans and objectives of Franc-Or, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Franc-Or's expectations are the risks detailed herein and from time to time in the filings made by Franc-Or with securities regulators.

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