Farallon Resources Ltd.
TSX : FAN

Farallon Resources Ltd.

March 28, 2006 09:30 ET

Farallon Updates on Drilling G-9, New Zone Discovered Increasing Total Resource Potential

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 28, 2006) - Dick Whittington, President & CEO of Farallon Resources Ltd. (TSX:FAN), is pleased to provide a further update from drilling at the Company's Campo Morado polymetallic (zinc, gold, silver, copper, lead) project in Guerrero State, Mexico. The latest results are from the high grade G-9 deposit, which was discovered last year, and the La Lucha occurrence. High grade intersections continue to be made at G-9 whereas drilling at La Lucha has so far failed to intersect significant mineralization. Drilling is now focused exclusively on G-9.

The latest results are from 12 exploration holes - 11 at G-9 and one at La Lucha. Results from the new holes and those from holes at G-9 previously announced in 2006 are included in the attached Assay Table. Hole locations are shown on the attached G-9 Drill Hole and Target Area Map. A Deposit Location Map is also included.

The most significant intersection from the new drilling results is hole 522. This is a 100-metre step-out from the very high grade section of the deposit that hosts hole 486 - the highest grade hole drilled on the property to date. This hole has opened up a new area to the southwest of the previous G-9 mineralized zones. Drilling in this new zone, subsequent to hole 522 and for which assays are pending, has also confirmed the presence of significant intersections of massive sulphides along a northeast-southwest trending target area. This new zone and target area is also highlighted on the attached G-9 Drill Hole and Target Area Map. Management believes that this area has the potential to significantly add to the known resources at G-9.

The G-9 deposit remains open to the southwest, northwest and southeast. Results of new assays will be released when received. Highlights of the new drilling results are:



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Drill True
Hole From To Interval Thickness
Number (metres) (metres) (metres) (metres)
--------------------------------------------------------------------
517 498.5 508.0 9.5 8.2
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517 Incl. 503.9 508.0 4.2 3.6
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522 488.0 492.8 4.8 4.2
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Au Ag Cu Zn
Drill EQ EQ EQ EQ
Hole Au Ag Cu Pb Zn (1) (2) (3) (4)
Number (g/t) (g/t) (%) (%) (%) (g/t) (g/t) (%) (%)
--------------------------------------------------------------------
517 1.17 114 1.39 1.16 10.27 15.49 1,056 8.47 16.61
--------------------------------------------------------------------
517 Incl. 0.69 102 2.07 0.43 15.11 20.26 1,381 11.08 21.72
--------------------------------------------------------------------
522 3.01 160 1.46 0.91 13.70 21.22 1,447 11.60 22.75
--------------------------------------------------------------------

1. Gold Equivalent (Au EQ g/t): equals (Au g/t)+(Ag g/t x
0.17683/12.057)+(Cu % x 22.046/12.057)+(Pb % x 5.5116/12.057)+
(Zn % x 11.244/12.057)
2. Silver Equivalent (Ag EQ g/t): equals (Au g/t x 12.057/0.17683)+
(Ag g/t)+(Cu % x 22.046/0.17683)+(Pb % x 5.5116/0.17683)+(Zn % x
11.244/0.17683)
3. Copper Equivalent (Cu EQ %): equals (Au g/t x 12.057/22.046)+
(Ag g/t x 0.17683/22.046)+(Cu %)+(Pb % x 5.5116/22.046)+(Zn % x
11.244/22.046)
4. Zinc Equivalent (Zn EQ %): equals (Au g/t x 12.057/11.244)+
(Ag g/t x 0.17683/11.244)+(Cu % x 22.046/11.244)+(Pb % x
5.5116/11.244)+(Zn %)
Metal prices: Au US$375/oz; Ag US$5.5/oz; Cu US$1.00/lb;
Pb US$0.25/lb; Zn US$0.51/lb


Dick Whittington said:

"The discovery of a new zone to the Southwest of the known mineralization to date is particularly encouraging and reaffirms the ongoing discovery potential of the G-9 area. We are focusing our efforts on this new area as it has the potential to add significantly to the overall resources at G-9. The total resource base at G-9 is already one of the largest in the Campo Morado district and the new discovery has the potential to make G-9 the largest deposit in the field. We will be assessing our development options in light of this new information."

The in-house qualified person for the drilling program and selection of samples for metallurgical testwork at Campo Morado is Daniel Kilby, P.Eng. ALS Chemex is the analytical laboratory for the project; sample preparation is done in Guadalajara, Mexico and analysis is done in Vancouver, BC. All samples are assayed for gold by fire assay fusion with a gravimetric or Atomic Absorption (AA) finish. Silver, copper, lead, zinc and 27 to 30 additional elements are determined for all samples by acid digestion, followed by an AA or ICP finish. Duplicates are analyzed by Acme Analytical Laboratories in Vancouver.

Farallon has a strong cash position of $8.9 million that will enable the Company to complete its current drilling program and conclude a Preliminary Assessment of G-9 by the end of June 2006. For further details on Farallon Resources Ltd. and its Campo Morado property, please visit the Company's website at www.farallonresources.com or contact Investor Services at (604) 684-6365 or within North America at 1-800-667-2114.

ON BEHALF OF THE BOARD OF DIRECTORS

J.R.H. (Dick) Whittington, President & CEO

Forward-Looking Information

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, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. The likelihood of future mining at Campo Morado is subject to a large number of risks and will require achievement of a number of technical, economic and legal objectives, including obtaining necessary mining and construction permits, completion of pre-feasibility and final feasibility studies, preparation of all necessary engineering for pits and processing facilities as well as receipt of significant additional financing to fund these objectives as well as funding mine construction. Such funding may not be available to the Company on acceptable terms or on any terms at all. There is no known ore at Campo Morado and there is no assurance that the mineralization at Campo Morado will ever be classified as ore. For more information on the Company and the risk factors inherent in its business, investors should review the Company's Annual Information Form at www.sedar.com.



--------------------------------------------------------------------
Drill True
Hole From To Interval Thickness
Number Deposit (metres) (metres) (metres) (metres)
--------------------------------------------------------------------
498 G9 429.2 445.9 16.8 14.5
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498 G9 Incl. 429.2 436.9 7.8 6.7
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498 G9 468.9 473.3 4.4 3.8
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499 G9, did not intersect massive sulphides
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500 G9 486.5 489.5 3.0 3.0
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501 G9, did not intersect massive sulphides
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502 G9, did not intersect massive sulphides
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503 G9 540.0 544.0 4.0 3.9
--------------------------------------------------------------------
503 G9 555.0 559.6 4.6 4.5
--------------------------------------------------------------------
504 G9, did not intersect massive sulphides
--------------------------------------------------------------------
505 G9, no significant intersection
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506 G9, did not intersect massive sulphides
--------------------------------------------------------------------
507 G9, did not intersect massive sulphides
--------------------------------------------------------------------
508 G9, did not intersect massive sulphides
--------------------------------------------------------------------
509 G9 506.7 515.7 9.0 9.0
--------------------------------------------------------------------
509 G9 538.3 551.8 13.6 13.6
--------------------------------------------------------------------
509 G9 Incl. 545.1 551.8 6.7 6.7
--------------------------------------------------------------------
510 G9 559.0 568.0 9.0 8.8
--------------------------------------------------------------------
510 G9 Incl. 559.0 563.0 4.0 3.9
--------------------------------------------------------------------
510 G9 573.9 585.9 12.0 11.7
--------------------------------------------------------------------
510 G9 Incl. 582.0 585.0 3.0 2.9
--------------------------------------------------------------------
510 G9 Incl. 583.0 585.0 2.0 2.0
--------------------------------------------------------------------
511 G9 558.5 560.1 1.6 1.6
--------------------------------------------------------------------
512 G9 594.0 596.1 2.2 2.1
--------------------------------------------------------------------
513 G9, did not intersect massive sulphides
--------------------------------------------------------------------
514 G9, hole abandoned due to orieintation problems
--------------------------------------------------------------------
515 G9, did not intersect massive sulphides
--------------------------------------------------------------------
516 G9, did not intersect massive sulphides
--------------------------------------------------------------------
517 G9 498.5 508.0 9.5 8.2
--------------------------------------------------------------------
517 G9 Incl. 503.9 508.0 4.2 3.6
--------------------------------------------------------------------
517 G9 582.0 589.0 7.0 6.1
--------------------------------------------------------------------
518 G9, did not intersect massive sulphides
--------------------------------------------------------------------
519 G9 491.1 494.1 3.0 2.6
--------------------------------------------------------------------
520 G9, did not intersect massive sulphides
--------------------------------------------------------------------
521 G9, no significant intersection
--------------------------------------------------------------------
522 G9 488.0 492.8 4.8 4.2
--------------------------------------------------------------------
523 G9, no significant intersection
--------------------------------------------------------------------
524 G9, no significant intersection
--------------------------------------------------------------------
525 G9 517.1 521.1 4.0 3.1
--------------------------------------------------------------------
526 La Lucha, no significant intersection
--------------------------------------------------------------------


--------------------------------------------------------------------
Au Ag Cu Zn
Drill EQ EQ EQ EQ
Hole Au Ag Cu Pb Zn (1) (2) (3) (4)
Number g/t g/t % % % g/t g/t % %
--------------------------------------------------------------------
498 1.97 190 1.93 2.93 21.27 29.45 2,008 16.11 31.58
--------------------------------------------------------------------
498 2.28 262 2.32 3.95 20.32 31.13 2,123 17.03 33.38
--------------------------------------------------------------------
498 15.99 682 0.33 3.42 5.73 33.50 2,284 18.32 35.92
--------------------------------------------------------------------
499
--------------------------------------------------------------------
500 0.15 18 1.86 0.02 7.94 11.24 767 6.15 12.06
--------------------------------------------------------------------
501
--------------------------------------------------------------------
502
--------------------------------------------------------------------
503 2.41 136 1.11 0.54 1.21 7.82 533 4.28 8.39
--------------------------------------------------------------------
503 0.43 18 1.32 0.04 9.16 11.65 795 6.37 12.50
--------------------------------------------------------------------
504
--------------------------------------------------------------------
505
--------------------------------------------------------------------
506
--------------------------------------------------------------------
507
--------------------------------------------------------------------
508
--------------------------------------------------------------------
509 1.01 62 0.38 0.35 5.58 7.99 545 4.37 8.57
--------------------------------------------------------------------
509 3.26 205 1.14 0.97 6.88 15.21 1,037 8.32 16.31
--------------------------------------------------------------------
509 3.01 158 1.21 1.05 9.33 16.72 1,140 9.14 17.92
--------------------------------------------------------------------
510 4.87 269 0.72 4.54 10.94 22.42 1,529 12.26 24.04
--------------------------------------------------------------------
510 4.25 285 0.81 6.64 15.66 27.55 1,878 15.06 29.54
--------------------------------------------------------------------
510 11.10 639 0.82 1.95 7.64 29.99 2,045 16.40 32.16
--------------------------------------------------------------------
510 34.95 1930 0.70 2.86 5.78 71.23 4,857 38.96 76.38
--------------------------------------------------------------------
510 45.70 2653 0.62 2.90 6.25 92.89 6,334 50.80 99.61
--------------------------------------------------------------------
511 1.36 130 1.18 0.95 9.31 14.55 992 7.95 15.60
--------------------------------------------------------------------
512 2.30 166 2.28 1.26 12.88 21.48 1,465 11.75 23.03
--------------------------------------------------------------------
513
--------------------------------------------------------------------
514
--------------------------------------------------------------------
515
--------------------------------------------------------------------
516
--------------------------------------------------------------------
517 1.17 114 1.39 1.16 10.27 15.49 1,056 8.47 16.61
--------------------------------------------------------------------
517 0.69 102 2.07 0.43 15.11 20.26 1,381 11.08 21.72
--------------------------------------------------------------------
517 4.82 153 0.50 1.75 2.73 11.31 771 6.18 12.12
--------------------------------------------------------------------
518
--------------------------------------------------------------------
519 0.73 21 1.03 0.02 6.54 9.03 616 4.94 9.69
--------------------------------------------------------------------
520
--------------------------------------------------------------------
521
--------------------------------------------------------------------
522 3.01 160 1.46 0.91 13.70 21.22 1,447 11.60 22.75
--------------------------------------------------------------------
523
--------------------------------------------------------------------
524
--------------------------------------------------------------------
525 0.63 73 1.77 0.21 1.36 6.30 429 3.44 6.75
--------------------------------------------------------------------
526
--------------------------------------------------------------------

1. Gold Equivalent (Au EQ g/t): equals (Au g/t)+(Ag g/t x
0.17683/12.057)+(Cu % x 22.046/12.057)+(Pb % x 5.5116/12.057)+
(Zn % x 11.244/12.057)
2. Silver Equivalent (Ag EQ g/t): equals (Au g/t x 12.057/0.17683)+
(Ag g/t)+(Cu % x 22.046/0.17683)+(Pb % x 5.5116/0.17683)+(Zn % x
11.244/0.17683)
3. Copper Equivalent (Cu EQ %): equals (Au g/t x 12.057/22.046)+
(Ag g/t x 0.17683/22.046)+(Cu %)+(Pb % x 5.5116/22.046)+
(Zn % x 11.244/22.046)
4. Zinc Equivalent (Zn EQ %): equals (Au g/t x 12.057/11.244)+
(Ag g/t x 0.17683/11.244)+(Cu % x 22.046/11.244)+(Pb % x
5.5116/11.244)+(Zn %)
Metal prices: Au US$375/oz; Ag US$5.5/oz; Cu US$1.00/lb;
Pb US$0.25/lb; Zn US$0.51/lb


To view the maps accompanying this press release please click on the following links:

http://www.ccnmatthews.com/docs/DrillMap.jpg

http://www.ccnmatthews.com/docs/DepositsMap.jpg

No regulatory authority has approved or disapproved the information contained in this news release.

Contact Information

  • Farallon Resources Ltd.
    Shawn Wallace
    Investor Services
    (604) 684-6365 or Toll Free: 1-800-667-2114
    (604) 684-8092 (FAX)
    www.farallonresources.com