First Point Minerals Corp.
TSX VENTURE : FPX

First Point Minerals Corp.

March 21, 2011 07:00 ET

First Point Announces a Drill Program on the Decar Nickel-Iron Alloy Property, British Columbia

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 21, 2011) - First Point Minerals Corp. (TSX VENTURE:FPX) ("First Point" or the "Company") is pleased to announce that based on positive results from preliminary metallurgical test work, Cliffs Natural Resources Exploration Inc., an affiliate of Cliffs Natural Resources Inc. (NYSE:CLF)(PARIS:CLF) ("Cliffs"), has approved a minimum 4,000 metre drill program for the Decar nickel project in central British Columbia.

While details of the 2011 drilling program are still being finalized, the purpose is two-fold. First, drilling will begin to evaluate the bulk-tonnage size potential of the outcropping Baptiste and Sidney nickel-iron alloy targets, where nine widely-spaced drill holes completed in 2010 intersected naturally occurring "stainless steel" nickel mineralization over a distance of 1,600 metres. The 2010 drilling demonstrated consistent, uniformly disseminated nickel mineralization, extending from surface to depths of at least 300 metres down the hole. The grade in mineralized zones in all nine holes averaged 0.126% nickel in alloy. Each of the nine holes ended while still in mineralization.

Second, drilling at Decar will also test several new highly prospective nickel in alloy targets defined by rock sampling and geophysical surveys conducted in close proximity to the Baptiste and Sidney zones. These targets may include Van, NW Sidney and SE Sidney.

Situated 3.3 kilometres north of the Sidney zone, the Van target measures approximately 1,150 metres long by at least 200 metres wide. It is defined by five rock samples that carry 0.11 to 0.14% nickel in alloy. While roughly 70% of the target area is covered by overburden, a well defined high total magnetic signature extends to several hundred metres depth based on inverted magnetic airborne data. A system of logging roads on the Van target is expected to provide good access for drilling.

The NW Sidney target is 1.3 kilometres north of the Sidney zone and measures over 1,000 metres long by 200 to 600 metres wide in a west-northwest orientation. Eight rock samples returned values of 0.10 to 0.14% nickel in alloy. This target coincides with the shoulder of a high magnetic pattern that extends to a depth of at least 500 metres. More than 50% of the target area is covered by overburden.

The SE Sidney target is roughly 1.4 kilometres south of the Sydney zone. It trends east-west over a distance of approximately 700 metres and is open to the north towards the Sidney ridge where overburden masks the target. Three samples containing nickel-iron alloy coincide with a broad magnetic signature and northwest striking magnetic lineament features that may in part control mineralization. 

The 2011 drilling program is expected to commence as soon as weather conditions allow.

The Decar project represents a bulk-tonnage, open-pittable target, with the potential to be developed on a scale equivalent to that used at many successful porphyry copper mines in British Columbia. First Point believes: surface samples greater than 0.1% nickel in alloy; coarse nickel alloy grains; and extensions of geophysical magnetic signatures away from known mineralization, are all useful and positive yardsticks to identify both extensions of known mineralization and new targets.

As announced earlier (news release of Nov. 1, 2010), Cliffs committed US$500,000 to investigate the mineral processing methods for the recovery of the nickel-iron alloy using the drill core from the Baptiste and Sidney targets obtained in 2010 at Decar. The material being tested carries from 0.10 to 0.15% nickel in alloy, with alloy grain sizes ranging from less than 50 to over 400 microns in size. This work is ongoing and results of this metallurgical work are expected later this spring or early summer. Additional drilling will be guided by the results of these tests and today's announced drilling campaign. 

As announced earlier (news release of Nov. 13, 2009), Cliffs can earn an initial 51% interest in the Decar project from First Point by incurring US$4.5 in expenditures over a four-year period.

Dr. Ron Britten, P. Eng., First Point's Qualified Person under NI 43-101, has reviewed and approved the technical content of this news release.

About First Point

First Point Minerals Corp. is a Canadian base and precious metal exploration company. For more information, please view the Company's website at www.firstpointminerals.com.

On behalf of First Point Minerals Corp.

Peter Bradshaw, Ph.D., P.Eng., President

Forward-Looking Statements

Certain of the statements made and information contained herein is considered "forward-looking information" within the meaning of applicable Canadian securities laws. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed in the Company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement.

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

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