Fancamp Exploration Ltd.
TSX VENTURE : FNC

Fancamp Exploration Ltd.

October 28, 2011 15:50 ET

Update: Fancamp's Lamelee, McFauld's and Appalachian Projects

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 28, 2011) - Fancamp Exploration Ltd. (TSX VENTURE:FNC) is pleased to provide the following exploration update:

Significant Grade Iron Formation at Lac Lamêlée South Project

These preliminary results indicate that the Lac Lamêlée South Deposit has the potential of significant tonnages in this important iron ore district characterized by the operating ArcelorMittal Fire Lake Mine and the adjacent CHM/FNC Fire Lake North project with its newly released NI 43-101 resource of 1061.3 million tonnes @ 28.8% total iron, measured indicated and inferred.

Assays from three holes drilled approximately 1.7 kilometers northeast of the previously reported results from the Tanguay Zone, are in iron formations within the complexly folded "Mountain Pond Zone" at the eastern end of the deposit. The iron formation in this area has been delineated to a depth of about 250 metres as determined from drill hole LS-2011-05. This hole intersected 95.0 metres (down-hole core length) grading 26.8% Total Iron ("FeT") from 4.0m – 99.0m, 20.0 metres (down-hole core length) grading 29.4% FeT from 251.0m – 271.0m (down-hole core length), and 33.5 metres (down-hole core length) grading 36.3% FeT from 326.5 – 360.0m. The hole was terminated in magnetite iron formation at 360.0m due to technical difficulties.

Drill hole LS-2011-06 intersected 183.0 metres (down-hole core length) grading 27.9% FeT, from 6.0m – 189.0m, mainly in hematite iron formation, and drill hole LS-2011-07 intersected 63.0 metres (down-hole core length) grading 23.9% Total Iron ("FeT") from 4.0m – 67.0m, 29.0 metres (down-hole core length) grading 28.0% FeT from 124.0m – 153.0m (down-hole core length), and 59 metres (down-hole core length) grading 22.9% FeT from 222.0 – 281.0m.

The drill program was completed on October 23, 2011, with a total of 5,613m in 17 drill holes. Results are pending on ten holes drilled between the Tanguay and the Mountain Pond zone.

Nickeliferous sulphides and massive chromite at depth on McFauld's C-1 target

These results emphasize the prospectivity of this sector of the McFauld's property which management believes is geologically and structurally associated with the massive nickeliferous sulphides of the Eagle's Nest Deposit and the Blackbird Chromite Deposits on the immediately adjacent Noront Resources Inc. property.

In 2011, holes FN-10-25 and 26 drilled to depths of 1082 metres and 1086 metres respectively, in the very eastern portion of the C-1 area, passed through the granodiorite and, at depths below 700m, through significant thicknesses of high grade chromite with peridotite which appear to overlie a lower dunite horizon. Hole FN-10-25 intersected over 200 metres of chromite with an estimated average grade of 43.5% Cr2O3, drilling down-dip, while hole FN-10-26, drilling across strike, intersected 56.6m of an interlayered sequence of peridotite and chromite with an estimated grade of 27.6% Cr2O3 followed by 53.2m of massive chromite with an estimated average grade of 43.7% Cr2O3. This newly discovered chromite horizon previously reported, has been dubbed the BlackHorse occurrence.

The BlackHorse occurrence is partially coincident with a moderately strong gravity anomaly cut off to the west by a northwest trending fault structure but extending easterly a distance of approximately 1 km. This gravity anomaly may represent a gabbroic intrusion that occurs near surface which appears to mask the underlying chromite horizon.

Within the lower dunite unit are elevated values of sulphides with anomalous nickel values. Hole FN-10-26 contained two important anomalous 0.5m samples. At 917.8 – 918.3m the sample contained 1.16% Ni with 674 ppm Cu and 2.4% S, and at 988.5 – 989.0m the sample contained 0.71% Ni and 2,670 ppb Pd with 1.02% S. Results from the down-hole geophysics in these holes are indicative of conductive material at some distance off-hole at these depths. The dunite horizon is considered to offer the best potential to host primary magmatic Ni, Cu and PGM bearing sulphides in this promising target zone.

The Lamelee and McFauld's and sections of this news release were prepared by the Company's QP, Mike Flanagan, M.Sc.A., P.Geo.

Copper rich VMS intersections in on-going drill programme at Stoke and Clinton Properties

The Company is very pleased with these results given the modest resources devoted to this exploration effort which is ongoing.

These results are provided by Jean LaForest, P.Geo., the vendor of the property and the Company's QP on this project. On the Stoke Property, a single hole drilled under a series of old trenches and pits dating back to 1914, and located five kilometres SW along strike from the recently reported DDH intersection of 7.29% Cu/6.4m, has returned an intersection of 3.18% copper over a core length of 1.50m including 7.14% copper over 0.60m. This area had never been drill tested. The intersection is associated with an altered basalt flow contact. These volcanics are part of the Ascot-Weedon volcanic belt which is host to a number of historic base metal producers including the Weedon Mine (1.6 Mt @ 2.33% Cu, 0.6% Zn), the Solbec Mine (2.06 Mt @ 1.57% Cu, 4.57% Zn) and the Cupra Mine (2.4 Mt at 1.90% Cu, 2.4% Zn). Geophysical follow-up is in progress.

On the Clinton Property, some 65 km ESE of Stoke, Hole CL-2011-03 has reported an intersection of 1.90% copper over a core length of 3.0m including 3.15% Cu, 1.88% Zn and 0.25% Pb/1.60 m. This hole was targeting a strong UTEM conductor away from known historical resources and is part of the Company's efforts to generate new resources on the properties.

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

    Bay Street Connect Investor Relations
    Michael D'Amico
    647-500-6023