Pacific Iron Ore Corp.
TSX VENTURE : POC

Pacific Iron Ore Corp.

June 19, 2009 11:13 ET

Pacific Iron Ore Corporation Announces Results of Wardrop Engineering Study on Bugaboo Creek

CALGARY, ALBERTA--(Marketwire - June 19, 2009) - Pacific Iron Ore Corporation (TSX VENTURE:POC), announces that it has received and filed a Engineering Study and resource estimate completed by Wardrop Engineering Inc., of Vancouver, British Columbia. This document is now available on SEDAR.

Pearson Project:

Mr. Todd Montgomery, Director and CEO of Pacific Iron Ore Corporation stated that "we are extremely pleased with the results of the Technical Report prepared by Wardrop Engineering Inc., of Vancouver, British Columbia ("Wardrop") which estimated that the Bugaboo Creek deposits, located on the western edge of the Pearson Project, contains inferred resources of 7.8 million tonnes grading 63% magnetite, these results are in line with our corporate objectives". Three mineralized zones are located in an area of approximately 600 metres by 400 metres and comprise the Bugaboo area. Mr. Montgomery further stated that "drill results as indicated by the Wardrop report show that the Daniel zone remains open on the east and southeast and the Upper and Lower Conqueror zones are open downdip to the southwest. Furthermore, an approximately 30 meter length of magnetite mineralization, in each of two different drill holes, was intersected below the Lower Conqueror and indicates the presence of another zone that was not included in the resource calculation. The Bugaboo area comprises a small component of the 237,925 hectares held by the Corporation on Vancouver Island and to achieve these results in such a confined area is quite promising."



Bugaboo Mineral Resources

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Contained
Mineralized Zone Cutoff Density Tonnage Magnetite Magnetite
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T per M(3) 1000's % Fe3O4 1000's
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DANIEL 20% Magnetics 3.88 2,666 67 1,798
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UPPER CONQUEROR 20% Magnetics 3.59 2,288 56 1,292
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LOWER CONQUEROR 20% Magnetics 3.77 2,871 63 1,822
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Total 3.75 7,824 63 4,912
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The above noted mineral resources were classified in accordance with definitions provided by the CIM as stipulated in NI 43-101. The mineral resources at Bugaboo are classified by Wardrop as Inferred. In addition, the mineral resources noted are not mineral reserves and do not have demonstrated economic viability.

Mr. Jeffery Austin, P.Eng. President of Pacific Iron Ore Corporation also stated that "the 2009 exploration season will have particular importance to the Corporation, as the results of a $1.2 million airborne geophysics survey completed in 2008 and follow-up geologic mapping, will provide a much better understanding of the regional geology and controls on iron deposition. Diamond drilling is expected to resume in August, and will include drilling to expand the Bugaboo deposit and drilling on two additional targets outlined in last year's geophysics and inspections of identified outcrops."

Mr. Austin also stated that "it is presently the Corporation's primary objective to outline a high-grade iron ore body in excess of 20 million tonnes capable of supporting a mining and milling project exporting approximately 1.2 to 1.5 million tonnes per year of high quality iron concentrates." Mr. Austin also stated that "regional infrastructure should benefit the project with available commercial port facilities located 130 kilometres from the potential minesite." The reader is cautioned that the targets expressed above represent management's exploration target and that the potential quantity and grade noted is conceptual in nature, 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 as targeted.

Wardrop Report Assumptions

On June 4, 2009, Wardrop issued its Technical Report titled "Resource Estimate for the Pearson Property" specifically covering the diamond drilling, core assay analysis and exploration activity undertaken by the Corporation at the Bugaboo Creek area. 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.

- Mineral resources were estimated, using Gems Software version 6.2. The resources were estimated into 20 x 20 x 6 m blocks using inverse distance weighting and 2 m composited drill data. Percent Magnetics was determined using the Davis Tube Tests method.

- Wardrop assumed that all magnetic material recovered in the Davis Tube Tests was Magnetite.

- Blocks were classified as Inferred if a minimum of 6 composites from at least 2 holes were found in a search ellipse measuring 100 x 100 x 50 m or if at least one composite was found within a 25 x 25 x 10 m search ellipse of a drill hole.

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 completing 43-101 compliant Technical Reports on the St. Anthony's and Separation Properties.

Quality Control of Reported Results

Mr. Garry Payie, P. Geo of Victoria, British Columbia, an independent geological consultant, is the Qualified Person on the Pearson Project under the guidelines of NI 43-101. Mr. Payie oversees the Corporation's exploration program with respect to the Pearson Project and has reviewed and approved the technical disclosure contained in this press release relating to that project. Wardrop Engineering Inc., has also reviewed and approved the disclosures in this press release related to their report dated June 4, 2009. Dr. Gilles Arsenault, P Geo. supervised the preparation of the Technical Report on behalf of Wardrop.

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 Provide (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 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