Franconia Minerals Corporation
TSX VENTURE : FRA

Franconia Minerals Corporation

October 04, 2007 09:00 ET

Franconia Minerals Further Delineates Copper-Nickel-PGM Mineralization in Duluth Complex Project

NI 43-101 Resource Estimate on Spruce Road Property Nears Completion

SPOKANE, WASHINGTON--(Marketwire - Oct. 4, 2007) - Franconia Minerals Corporation (TSX VENTURE:FRA) announced today additional, positive results from its current core-drilling program at the Birch Lake copper-nickel-PGM (platinum group metals) project located in the Duluth Complex of Minnesota. Approximately 50% of the planned 18-hole, 23,000-foot program at Franconia's Birch Lake deposit has now been completed.

The test results from drill holes BL07-4, -5 and -6 and their wedged-offset drill holes have further defined the thickness and grade of copper-nickel-PGM mineralization in the northern portion and on the western flank of the deposit. (Please see the table and map below.) These holes, the latest in Franconia's ongoing infill drilling program, also demonstrate the consistent thicknesses and grades of mineralization in the deposit.



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September 2007 Drill Results, Birch Lake, Minnesota
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Down
Hole
Interval Plat- Palla-
From To (i) Copper Nickel inum dium Gold
Drill Hole (ft) (ft) (ft) (%) (%) (g/t) (g/t) (g/t)
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BL07-04 1826.3 1887.2 60.9 0.67 0.18 0.45 1.06 0.25
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incl. 1851.5 1868.3 16.8 1.00 0.26 0.66 1.72 0.47
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BL07-04W1 1822.8 1884.7 61.9 0.42 0.13 0.28 0.61 0.12
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BL07-04W2 1880.6 1943.8 63.2 0.44 0.11 0.15 0.34 0.08
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BL07-05W 2347.9 2444.3 96.4 0.61 0.15 0.18 0.36 0.10
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BL07-05W1 2338.3 2447.0 108.7 0.66 0.16 0.23 0.44 0.11
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incl. 2354.6 2373.3 18.7 0.92 0.21 0.29 0.63 0.14
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BL07-05W2 2346.6 2447.5 100.9 0.52 0.14 0.18 0.33 0.08
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BL07-05W3 2352.9 2456.9 104 0.55 0.13 0.18 0.38 0.16
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BL07-05W4 2347.0 2417.3 70.3 0.70 0.19 0.21 0.45 0.10
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BL07-6 2140.3 2213.2 72.9 0.64 0.22 0.41 1.06 0.19
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BL07-6W1 2141.2 2212.2 71 0.75 0.24 0.43 1.16 0.24
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BL07-6W2 2136.2 2158.9 22.7 0.61 0.18 0.40 0.77 0.11
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and 2169.6 2209.5 39.9 0.77 0.22 0.45 1.21 0.26
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and 2250.7 2277.0 26.3 0.55 0.09 0.19 0.44 0.12
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BL07-6W3 2138.6 2210.6 72 0.71 0.23 0.44 1.21 0.21
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(i) True thickness is approximately 90% of the down hole interval
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"The Company has recently brought in a second diamond drill rig and we expect to complete our infill drilling program at Birch Lake in the fourth quarter of this year," said Brian Gavin, President and CEO of Franconia Minerals. "We will then be ready to move both rigs to our Maturi property where we plan to execute a similar infill drill program with the same objectives."

"At the same time that we are advancing both Birch Lake and Maturi, we have been advised by Scott Wilson RPA that the NI 43-101 technical report on Spruce Road, which will add the first resource estimate for Franconia's third property in the Duluth complex, is nearly finished," he added.

Drilling results have consistently revealed mineralization that is generally similar to or higher than the average 0.59% copper, 0.19% nickel and 0.65g/t palladium, 0.32g/t platinum, and 0.14g/t gold values previously found in the Birch Lake project, which contains an inferred resource of 100.4 million tonnes. The program is aimed at converting the current inferred resource to an indicated resource and providing samples for bench-scale and pilot plant-scale metallurgical testing, planned for 2008.

An indicated mineral resource is a portion of a mineral resource for which quantity, grade, and other characteristics can be estimated with a level of confidence sufficient to support mine planning and additional economic evaluation of the project. The Birch Lake deposit is currently classified as an inferred resource, which is that part of a mineral resource for which certain characteristics can be estimated based on geological evidence and limited sampling and which can be reasonably assumed to have a consistent grade of mineralization.

Core samples were prepared at the ALS Chemex Ltd. Laboratories in Thunder Bay and then shipped to its analytical facilities in Vancouver. Samples were analyzed for gold, platinum and palladium using a standard fire assay with an ICP finish, as well as for 34 base metals and trace elements using a four-acid (near-total) digestion and a combination of ICPMS and ICPAES. ICP over-limits were reanalyzed using sodium peroxide fusion and acid dissolution followed by ICPAES.

Birch Lake and the nearby Maturi deposit are the subjects of an independent preliminary economic assessment (see Franconia news release of October 3, 2006) prepared by Scott Wilson RPA to NI 43-101 standards (available at www.SEDAR.com). The preliminary economic assessment contemplates that a combined Birch Lake-Maturi operation would have, over a 26-year mine life, an average annual production of 74 million pounds (lbs) of copper, 19 million lbs of nickel, 2.9 million lbs of cobalt, 68,000 ounces (oz) of palladium, 33,000 oz of platinum and 7,300 oz of gold. All technical data have been reviewed by Brian Gavin, Franconia's president and CEO, Mr. Gavin is an appropriately qualified person as defined by NI 43-101.

The Duluth Complex, a geologic formation located in northeastern Minnesota, extends for 240 kilometers trending from northeast to southwest and hosts a number of copper-nickel-PGM deposits. Collectively these deposits are believed to be one of the largest unexploited resources of these scarce minerals in the world.

Franconia Minerals Corporation trades on the TSX-V under the symbol FRA. (For additional information see www.franconiaminerals.com.) Franconia currently has 58,009,744 shares issued and outstanding.

Brian Gavin, President and CEO

FORWARD-LOOKING STATEMENT: Although Franconia Minerals Corporation believes many of its properties have promising potential. These properties are in the early stages of exploration. None have yet been shown to contain proven or probable mineral reserves. There can be no assurance that such reserves will be identified on any property, or that, if identified, any mineralization may be economically extracted.

To view the map, please visit the link below:

http://www.ccnmatthews.com/docs/BirchLakeOct07.pdf

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