Fancamp Exploration Ltd.
TSX VENTURE : FNC

Fancamp Exploration Ltd.

September 20, 2010 10:09 ET

Fancamp Identifies Potential Gold Rich VMS System at Stoke and Outlines Other Exploration Initiatives

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 20, 2010) - Fancamp Exploration Ltd. (TSX VENTURE:FNC): Fancamp Exploration Ltd. ("the Company") is pleased to provide an update on its ongoing drill programme on its Stoke Mountain Property in the Quebec Appalachians. This property covers 23 km of favourable stratigraphy in the Ascot Weedon belt and lies between the two segments of the belt known for historical production. Activities to date have included geophysics, trenching, sampling and drill results on six drill holes. The results will permit the Company to focus on a more defined area to determine the nature, extent and quality of mineralization.

The discovery of angular boulders in the Spring of 2010 with grades up to 23.4%Zn and 2.74%Cu led the Company to execute a power stripping programme over some 150 metres strike length. This work, in what is referred to as the main trench, exposed a distinctive, highly altered volcaniclastic unit showing numerous fragments of jasperoid, widespread disseminated sulphides and local bands of massive pyrite. The Company intends to focus future exploration activities on determining the source of the mineralized boulders. Channel sampling by Fancamp reported 1.32g/t gold over 4.0m, including 4.0g/t gold and 0.61%Zn over 1.0m. Assay results from Fancamp hole ST-10-06, drilled some forty five metres beneath this occurrence, reported 6.21g/t Au over 4.2m, including 22.4g/t Au, 7.73%Zn, 1.73%Cu, 2.62%Pb and 231g/t Ag over 1.0m. It is notable that high mercury, indium and tellurium values occur within this 1 metre interval and suggest epithermal mineral assemblages typical of many high grade Nevada gold deposits. The prospective VMS horizon has a strike length of about 1200 metres and is the focus of current drilling. Previous exploration work by Phelps Dodge in the 1990's,which reported 6.34%Cu over 5.1m in a shallow drill hole, provides additional evidence of the potential for a massive sulphide body, and the accompanying extensive black chlorite alteration together with a coincident strong Bouger gravity anomaly, supports this view. The first five holes of the programme, drilled on geophysical targets, did not intersect significant mineralization. Three of these holes are located 6.5 km NE of the main trench; two lie at either end of the 1200 metre VMS horizon.

The Company will be drilling shortly on the Jackson gold showing, which lies immediately south of the present target area. The showing is a long known occurrence, dating back to the 1880's and consists of gold mineralization in sheeted quartz vein systems cutting a highly altered tonalite granite intrusion. Reconnaissance drilling by Lac Minerals in the 1980's returned assays on the order of 0.96g/t Au/4.5 m, 4.76g/t Au/1.87 m and 10.4g/t Au/0.4 m.

The Champion Minerals Inc. joint venture continues on schedule, with Fancamp contributing toward its 17.5% working interest. This is a remarkable project, given the rate at which iron resources are being added, to date, on only two out of a total of seventeen properties. Champion intends to complete 8,855 metres of drilling on the Harvey Tuttle property with the objective of achieving a minimum resource of 500M Tonnes grading in excess of 30% iron, and 15,000 metres of drilling on the Fire Lake North property, with the intention of achieving a minimum resource target of 600 to 700M Tonnes grading in excess of 30% iron. This work will also include metallurgical testing and preliminary scoping studies. Both projects are scheduled for completion by December 31st 2010.

The Company continues to organize resources for further drilling at McFauld's before year end. Previous exploration activities were reported in a press release dated August 18, 2010.

This report was reviewed and approved by the Company's QP Mike Flanagan MSc.A, P.Geo., Glenmere Geological Services.

QUALITY CONTROL:

Drill core samples submitted for assay included assay standards, blanks and lab replicate assays. Standards (CDN GS-4A) came from CDN Resource Laboratories Ltd, Langley, BC, Canada. Assays were performed by ALS Canada Ltd. using ICP-AES. Blank samples were taken from pure quartzite formation, located at Daviault Lake Deposit, near Fermont (23B14).

ON BEHALF OF THE BOARD

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

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

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

  • Fancamp Exploration Ltd.
    Peter H. Smith, PhD., P.Eng.
    President
    514-481-3172
    www.fancampexplorationltd.ca
    or
    Bay Street Connect Investor Relations
    Michael D'Amico
    647-500-6023