Fancamp Exploration Ltd.
TSX VENTURE : FNC

Fancamp Exploration Ltd.

January 23, 2012 12:02 ET

Fancamp Announces Further Significantly Long Intersections of High-Grade Iron Formation at Its 17.5% Owned Oil Can Project, Fermont, Quebec

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 23, 2012) - Fancamp Exploration Ltd. (TSX VENTURE:FNC) is pleased to announce that Champion Minerals Inc. (the "Operator") has released assay results for ten additional diamond-drill holes completed on the Company's 17.5% owned Oil Can Project ("Oil Can"), located immediately northeast, and contiguous with the Company's 17.5% owned Fire Lake North Project in the Fermont Iron Ore District, Quebec.

The ten holes were drilled in the North, Central and South Zones underlying Oil Can on sections spaced approximately 400 metres apart. The drill holes intersected fine- to medium-grained magnetite and hematite-rich mineralization. Selected composite assay results from the Project to date are summarized in Table 1.

North Zone

Five of the ten drill holes were completed on the North Zone, and represent the first known reported iron formation intervals from this 2,700-metre-long, magnetite-hematite mineralized body, defined by a "J"-shaped magnetic anomaly.

Drill hole OC11-11 completed on the "stem" of the J-shaped anomaly, intersected 573.0 metres grading 26.6% Total Iron ("FeT") that included intervals of 155.2 metres grading 32.5% FeT, and a second interval 101.0 metres grading 29.3% FeT, in the lower part of this magnetite-rich interval.

Drill hole OC11-04, cored in the "trough" of the J-shaped North Zone, intersected 328.8 metres grading 31.4% FeT that includes 111.1 metres of hematite-magnetite mineralization grading 32.8% FeT and a magnetite-rich iron interval of 137.4 metres grading 27.7% FeT, further down-hole.

Central Zone

The drill holes testing the 1,300-metre-long Central Zone continue to return significant iron assay values across noteworthy widths.

Drill hole OC11-16 intersected 311.4 metres grading 27.6% FeT, including 269.0 metres grading 29.2% FeT. Drill hole OC11-10 intersected 472.2 metres grading 28.0% FeT, including 119.5 metres of magnetite-rich iron formation grading 35.2% FeT.

South Zone

The South Zone is defined by a 2,700-metre-long, crescent-shaped magnetic anomaly. Drill hole OC11-17 intersected 161.0 metres of magnetite-hematite mineralization grading 29.9% FeT at the eastern end of the zone.

* Table 1 provides specifications for drill holes OC11-04, 06 and OC11-10 to 17, inclusive, with selected composite assay results included for holes drilled on the three Oil Can mineralized zones.

TABLE 1 - SELECTED* COMPOSITE ASSAY RESULTS FROM OC11-04, 06 AND OC11-10 TO 17
HOLE-ID HOLE LENGTH AZIMUTH DIP FROM TO INTERVAL
**
GRADE
***
meters degrees degrees meters meters meters Total Fe%
North Zone
OC11-04 543.0 360 -45 36.90 365.75 328.85 31.5
includes 36.90 148.00 111.10 32.9
and 389.76 527.21 137.45 27.7
OC11-06 520.0 290 -45 268.61 455.50 186.89 25.4
OC11-09 474.0 325 -45 no assays received
OC11-11 630.0 110 -45 39.00 612.00 573.00 26.7
includes 146.48 301.69 155.21 32.6
includes 511.00 612.00 101.00 29.4
OC11-12 320.0 310 -45 25.30 246.52 221.22 25.0
includes 107.20 236.08 128.88 28.7
OC11-13 480.0 140 -45 22.87 437.00 414.13 25.1
includes 87.00 226.00 139.00 29.5
OC11-15 399.0 180 -45 40.40 181.88 141.48 29.2
and 219.47 399.00 179.53 32.8
Central Zone
OC11-10 564.0 240 -45 60.00 532.21 472.21 28.0
includes 124.00 243.56 119.56 35.2
OC11-14 246.0 230 -45 3.97 195.69 191.72 28.2
OC11-16 249.0 50 -45 4.60 316.00 311.40 27.6
includes 17.00 286.00 269.00 29.2
OC11-18 180.0 60 -45 No Assays. Hole abandoned in Fault
South Zone
OC11-17 288.0 225 -45 240.00 401.00 161.00 29.9
OC11-19 311.0 250 -45
* Selected Composite Assay Results are stated only for results recently received. The Selected Composites are not necessarily representative of the average grade or thickness of the mineral zones or potential resource.
** Intervals are down-hole lengths and not true widths of the mineral zones.
*** Grades are calculated from Total Fe% sample assays completed by ALS Chemex Laboratories using the "High Grade/Ores Method" and XRF analysis.

Nineteen drill holes, comprising 8,435 total metres, were completed between August 5th and December 11th, 2011 at Oil Can. Based on this, the Operator expects to deliver a National Instrument ("NI") 43-101 Mineral Resource Estimate for Oil Can in Q1 2012.

The Operator completed a total of 47,235 metres through drill programs at the Oil Can, Fire Lake North, Moire Lake, O'Keefe-Purdy, Midway and Bellechasse Projects in 2011 by utilizing up to nine drill rigs. The Operator also expects to deliver a NI 43-101 Mineral Resource Estimate for the Moire Lake Project in Q1-2012.

1 The current Mineral Resource estimates were calculated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council December 11, 2005 and subsequently June 30th, 2011. Mineral resources, which are not mineral reserves, do not have demonstrated economic viability. The mineral resource estimate may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.

The technical information in this news release was reviewed and approved by Bruce Mitton, P.Geo., VP Exploration of Champion Minerals Inc. and a Qualified Person under NI 43-101 standards.

Statements made in this news release that are "forward-looking statements" are not historical facts. Readers are cautioned that any such statements are not guarantees of future performance, and that actual developments or results may vary materially from those stated herein.

ON BEHALF OF THE BOARD

"Peter H. Smith", PhD., P.Eng., President

S.E.C. Exemption: 12(g)3-2(b)

No stock exchange or securities regulatory authority has reviewed or accepted responsibility for the adequacy or accuracy of this release.

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