Franconia Minerals Corporation

Franconia Minerals Corporation

March 07, 2005 10:30 ET

Franconia Minerals Corporation Acquires Key Lands At Mahoney High-Grade Zinc Property, New Mexico


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: FRANCONIA MINERALS CORPORATION

TSX VENTURE SYMBOL: FRA

MARCH 7, 2005 - 10:30 ET

Franconia Minerals Corporation Acquires Key Lands At
Mahoney High-Grade Zinc Property, New Mexico

SPOKANE, WASHINGTON--(CCNMatthews - March 7, 2005) - FRANCONIA MINERALS
CORPORATION (TSX VENTURE:FRA)(OFEX:FRA) is pleased to announce that it
has acquired a key group of seven privately-held patented mining claims
(totaling 134 acres) at the Mahoney high-grade zinc property in New
Mexico. This Exploration Lease and Option to Purchase Agreement calls
for lease payments totaling US$90,000 over five years with a final
purchase price of US$250,000 payable at any time during the option
period.

The Mahoney zinc property, located in Luna County, New Mexico, is
comprised of 54 unpatented lode mining claims (1,080 acres) surrounding
the newly acquired patented claims. This land package contains several
high-grade zinc showings and old mine workings referred to as the
Mahoney mines area. This project is the subject of a proposed
Exploration and Option Agreement between Franconia Minerals Corporation
and a major mining company

Minor zinc and lead production at Mahoney from about 1915 to 1948
focused on high-grade zinc and lead oxide manto-style deposits accessed
through a number of shallow workings to a maximum depth of 200 feet.
Sampling in 2001 returned assay grading from background values up to
52.4% zinc and 1.5% lead with minor amounts of silver. Preliminary
hydrometallurgical testing yielded zinc recoveries of 98%. Assay results
for selected grab-samples from the newly acquired patented claims are
shown in the following table. Brian Gavin, president of Franconia
Minerals Corporation, an appropriately qualified person under NI 43-101,
has reviewed all results.



---------------------------------------------------------------------
Location (a) Zinc Lead Silver Copper Cadmium
(%) (%) (ppm) (ppm) (ppm)
---------------------------------------------------------------------
Mahoney - Comfort Workings 52.4 0.15 1.6 181 1625
---------------------------------------------------------------------
Mahoney - Comfort Workings 39.1 0.31 1.2 1379 3432
---------------------------------------------------------------------
Mahoney - Comfort Workings 36.4 0.33 1.1 969 3026
---------------------------------------------------------------------
Mahoney Central Workings 24.1 5.87 22.2 1364 183
---------------------------------------------------------------------
Mahoney Central Workings 15.9 4.00 13.7 333 454
---------------------------------------------------------------------
Mahoney-Lindy Ann 11.0 1.55 53.3 244 450
---------------------------------------------------------------------
Mahoney-Lindy Ann 10.6 9.99 329 386 347
---------------------------------------------------------------------
Mahoney-Lindy Ann 8.5 1.72 67.7 202 370
---------------------------------------------------------------------

(a) analytical results for zinc greater than1.0% are only estimates
due to limitations of analytical technique


Work Program:

No previous exploration activity has focused on tracing the known
mineralization to depth or along strike. Franconia plans to do this with
the goal of discovering a high-grade zinc manto-style mineralization in
the range of 10 million tonnes or greater with possible grades in the
20% zinc range. There are currently no mineral resource or mineral
reserve estimates from the Mahoney property.

Phase I of Franconia's proposed exploration program will consist of
eight holes (6,400 feet) of reverse circulation drilling. Phase II will
be contingent on the results of the first phase of drilling and will
require five, 1,000 ft drill holes.

Franconia Minerals Corporation trades on both the TSX-V in Canada and
the OFEX in the UK under the symbol FRA and has a total of 18,164,102
shares outstanding. (For additional information see
www.franconiaminerals.com) The directors of Franconia Minerals
Corporation accept responsibility for this announcement.



FRANCONIA MINERALS CORPORATION
Brian Gavin, President


Franconia Minerals Corporation
111 E. Magnesium Road, Suite A
Spokane, WA 99208


This document, which has been issued by Franconia Minerals Corporation
(Franconia), has been approved solely for the purposes of Section 21 of
the Financial Services and Markets Act 2000, by Lion Capital Corporation
Limited (Lion), 4th Floor, 2 Cromwell Place, London SW7 2JE, who is
authorised to carry on Investment Business by the Financial Services
Authority. Lion, is acting as advisers for Franconia and to no-one else
and will not be responsible to anyone other than Franconia for providing
protections afforded to customers of Lion for providing advice in
relation to any investment made pursuant to this announcement and makes
no recommendation for the suitability of any investment, which is the
subject of this announcement. FORWARD-LOOKING STATEMENT: Although
Franconia Minerals Corporation believes many of its properties have
promising potential, its properties are in the early stages of
exploration. None have yet been shown to contain proven or probable
mineral reserves. There can be no assurance that such reserves will be
identified on any property, or that, if identified, any mineralization
may be economically extracted. Incorporated in Alberta Canada No.
207953670

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Franconia Minerals Corporation
    Brian Gavin
    +1 509 340-1328
    +1 509 696-9680 (FAX)
    franconia@franconiaminerals.com
    www.franconiaminerals.com
    or
    Lion Capital Corporation Ltd.
    Colin Bird
    +44 (0)207 581 4477
    +44 (0)207 589 7806 (FAX)
    cbird@lionmining.com
    THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
    RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE