Fancamp Exploration Ltd.

Fancamp Exploration Ltd.

October 26, 2009 17:10 ET

Fancamp to Acquire Godbout Uranium Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 26, 2009) - Fancamp Exploration Ltd. (TSX VENTURE:FNC): The Company wishes to announce the signing of an option to acquire, with a 50% partner, 100% of a potentially significant uranium discovery located some 70 kilometres north of Godbout on Quebec's North Shore. The property, which is accessible by lumber roads, consists of 48, 52 hectare claim units, and has, for the past two years been the site of a limited grass roots programme carried out by a previous optioner, including an airborne mag/radiometric survey. The uranium mineralization is associated with pegmatite dykes cutting granitic gneisses. Historic assays of this material included values up to 0.82% U308, with U/Th ratios almost uniformally in the 4-6 range. Rare earth metals were also reported.

The mineralized dykes have strong airborne radiometric signatures, which are generally coincident with a distinct NW magnetic trend and form a corridor at least six kilometres long and varying from 1-2 km wide. Field work in 2007 and 2008 was confined to the SE two thirds of this corridor. The new discovery is located in the NW third, more than a kilometre from any previous work and was uncovered in the summer of 2009 by the prospector-vendors. The nature of the discovery is very high cps counts (in the 15,000-59,000 range - orders of magnitude greater than any previously seen) over a concentrated area of about one kilometre square.

Initial reconnaissance work by the partners indicates granitic biotite gneisses cut by closely spaced, steeply dipping NE and NW trending pegmatite dykes up to 7 metres in thickness and exhibiting uraninite and uranophane mineralization.

The partners can acquire a 100% interest in the property by making payments totaling $150,000 and issuing 150,000 shares of Fancamp over three years. The vendors retain a 2% NSR royalty of which 1% may be bought back for $500,000. An extensive reconnaissance sampling programme is planned on this target area before freeze up.

The above is subject to regulatory acceptance.

The Company is also very pleased to welcome two new members to its board, Mr. Mackenzie I. Watson and Dr. Fouad Kameleddine. Mr. Watson brings his immense experience of the mining exploration process and its dynamics, and Dr. Kameledddine, his experience and knowledge of the titanium and iron and steel industries, to help formulate and direct the Company's efforts to maximize shareholder value from its extensive asset base.


Peter H. Smith, Ph.D., 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.

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