Pacific Iron Ore Corp.
TSX VENTURE : POC

Pacific Iron Ore Corp.

June 29, 2009 17:41 ET

Pacific Iron Ore Corporation Announces the Receipt of Its Technical Report on St. Anthony's Gold Project

CALGARY, ALBERTA--(Marketwire - June 29, 2009) - Pacific Iron Ore Corporation (TSX VENTURE:POC), announces that it has received and filed a Technical Report on the St. Anthony and Best/King Bay Properties which was prepared by Mr. Graeme Evans, P. Geo. of Kamloops, British Columbia. This document is now available on SEDAR at www.sedar.com.

The St. Anthony's project is located in Ontario and includes the Corporations 54 mining claims and 14 leases which are identified as the St. Anthony property, the Best property and the King Bay property. These claims cover a combined 8,784 hectares and management believes they exhibit the potential for gold, silver and copper. A summary of the Technical Report is set out below.

St. Anthony's Gold Project:

The St. Anthony's Gold Project contains the largest past producing gold mine in the Kenora-Patricia Mining District of Ontario. The original St. Anthony mine is located in the Sturgeon Lake Greenstone geological Belt and produced 63,310 oz. gold from 332, 720 tons with an average recovered grade of 0.191 ounce gold per ton. The second property is contiguous with the St. Anthony property on the southwest and is known as the Best/King Bay property and contains a number of high grade gold occurrences the most intensely explored being the Best-Armstrong and Mac Read occurrences. The two properties consist of approximately 8,784 hectares in size comprised of 54 Mining claims (507 units) and 14 mining leases. The claims are recorded in the township/area of Beckington Lake (G2532), Squaw Lake (G3140) and Four Bay Lake (G2543) Patricia Mining Division.

The properties lie along the eastern shore of the North Arm of Sturgeon Lake extending south and west to the King Bay area. This contiguous group of claims is located southeast of the community of Savant and south of the CNR rail line. While infrastructure is generally quite good exploration has been subdued since the 1980's in part due to lack of road access. Much of the data for this report is sourced from 'historical NI 43 101 noncompliant' prospector, company and government assessment reports and maps on file with the MNDM, Kenora Resident Geologist Office, Ontario and on the Ontario "Welcome to Ontario Geology" website.

This large property covers a majority of an extensive gold camp known as the Sturgeon Lake gold belt. The properties contain at least 22 documented gold occurrences that typically individually consist of a number of prospects. Gold exploration has been conducted intermittently since the late 1800's on numerous conventional high grade Au in quartz vein prospects which are present across much of the length of the St. Anthony and Best/King properties. While there has been a large amount of exploration conducted over the last century including at least two hundred drill holes, the area is still largely at a grassroots level. These occurrences are hosted in several rock types within late structural zones and are commonly associated with QFP dykes and occasional stocks which the author believes maybe causative intrusions for gold mineralization. The area has been largely explored for the traditional high grade quartz vein target (this camp has gold values typically ranging in the 0.5-2.0 opt Au range) which while still an attractive target is not the priority for this report. Traditional work concentrated on high grade targets due to small scale mining techniques and economic requirements of the time. The area has seen little active exploration since bulk tonnage gold targets have become viable economic targets and the properties warrant work to assess this potential as well as defining larger high grade gold targets. At present the St. Anthony mine area offers the most tangible bulk tonnage gold target area but other targets maybe present on the St. Anthony and Best/King properties and early stage work will be required to assess the potential.

Work on the south-eastern portion of the St. Anthony pluton was previously directed at defining an additional vein of gold mineralization. Indirectly work by Aubet, Can Con, Falconbridge and others highlighted the bulk tonnage potential of the area within the QFP stock. The author and others have observed large areas of extensive sericite alteration in the QFP hostrock with variable but very anomalous gold values within the hostrock and extensive quartz stockwork that typically ranges from 10-50% by volume. These areas from limited surface sampling and from limited sampling in Aubets drilling demonstrate very encouraging gold values typically in the 0.2-20.0 gram gold range and have been observed over a width of 300 meters and a strike length approaching 500 meters to date.

In preparing the Technical Report, Mr. Evans noted significant Aubet intersections from drill records of the #2 zone and carbonate zone indicating gold values between .04 grams Au and 20.0 grams Au. In addition limited samples collected on St. Anthony by Mr. Evans provided Au indications of between 0.04 g/T and 13.55 g/T. Mr. Evans also received high gold values on samples taken from other occurrences within the Project's area. The reader is cautioned that the mineral showings expressed above represent isolated samples and that the potential quantity and grade noted relates only to the samples taken. There has been insufficient exploration completed by the Corporation to define a mineral resource and that it is uncertain if further exploration, when completed, will result in the discovery of a mineral resource similar in nature to the samples taken.

A two phase, success contingent program is recommended for these properties. Phase 1, estimated to cost $458,700 includes detailed channel sampling and detailed mapping of the south-eastern portion of the St. Anthony stock near the St. Anthony mine area. At the same time initial mapping and sampling of the balance of the St. Anthony stock would be undertaken. At this phase initial visits to all known occurrences is required to do an assessment of bulk tonnage gold potential. In conjunction trail access to the St. Anthony mine would be undertaken gaining additional access to showings along the way. Contingent on success of phase 1, a phase 2 diamond drill program estimated for cost $1,012,000 is recommended (4,000 meters NQ). This is anticipated to be an initial wide spaced 100 meter centered grid drill test of the area to assess the bulk tonnage gold potential as well as high grade gold potential.

Technical Report Assumptions

On June 12, 2009, Mr. Evans issued his Technical Report titled "Technical Report on the St. Anthony and Best/King Bay Properties. Much of the data for this report is sourced from 'historical NI 43 101 noncompliant' prospector, company and government assessment reports and maps on file with the MNDM, Kenora Resident Geologist Office, Ontario and on the Ontario "Welcome to Ontario Geology " website.

Disclosure in this press release is qualified by the more detailed discussion as set forth in the Technical Report filed on SEDAR at www.sedar.com.

Corporate Direction and Strategy

Pacific Iron Ore Corporation is dedicated to the development of its iron ore deposits, located in the Port Renfrew area of Vancouver Island, British Columbia. With the success of the 2008 Exploration Program and the existence of sufficient capital resources to undertake additional exploration activities in 2009 the Corporation is well positioned to manage these difficult times. In order to maximize the returns on future exploration activity, the Corporation has initiated a detailed review of its claims located on Vancouver Island and in Ontario, with the intention of focusing its exploration efforts in the Pearson Project and evaluating its St. Anthony's and Separation Properties.

Quality Control of Reported Results

Mr. Graeme Evans, P. Geo of Kamloops, British Columbia, an independent geological consultant, is the Qualified Person on the St. Anthony's Project under the guidelines of NI 43-101. Mr. Evans oversees the completion of the Technical Report and has reviewed and approved the technical disclosure contained in this press release relating to that project. Mr. Evans holds a Bachelor of Science degree in Geology from the University of British Columbia and is a Professional Geologist. Over the past 27 years he has been involved in mineral exploration throughout Canada and the United States, spending the last eighteen years with Teck Cominco Limited. Mr. Evans has been the senior geologist on numerous precious metal and base metal projects and since 2004 he has been heavily involved in targeting potential gold projects in Ontario.

Company Contacts:

For further information please refer to the Corporations profile on SEDAR which can be accessed at www.sedar.com, visit our website at www.pacificironorecorp.com.

Forward Looking Statements:

The TSX.V Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This release includes certain statements that may be deemed "forward looking statements". All statements in this release, other than statements of historical facts, that address future production, reserves potential, exploration drilling, exploration activities and events or developments that the Corporation expects are forward looking statements. Although the Corporation beliefs the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward looking statements. Factors that could cause results to differ materially from those in the forward looking statements include, but are not limited to: market prices; exploitation and exploration successes; continued availability of capital, financing and personnel; government regulation and laws; the Corporations relationship with First Nations; environmental developments; and general economic, market or business conditions. Investors are cautioned that such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward looking statements. For more information on Pacific Iron Ore Corporation, Investors should review the Corporation's registered filings which are available at www.sedar.com.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Pacific Iron Ore Corporation
    Todd Montgomery
    CEO
    (403) 228-0607
    (403) 262-4860 (FAX)
    or
    Pacific Iron Ore Corporation
    Leonard Cornez
    Chief Financial Officer
    (403) 218-0294 or Toll Free: 1-866-682-5812
    (403) 265-2887 (FAX)
    or
    Pacific Iron Ore Corporation
    Jeffery Austin
    President
    (250) 763-4892
    (403) 265-2887 (FAX)
    Website: www.pacificironorecorp.com