Hole Encountered 40m of Mineralization Over 45m;
Including 29m of Continuous
Mineralization Grading 2.05% CuEq
Expansion to Drilling Campaign Following
C$100M Fairfax Financing
Planned
VANCOUVER, BC, June 1, 2021 /CNW/ - Foran Mining
Corporation (TSXV: FOM) (OTCQX: FMCXF) ("Foran" or the "Company")
is pleased to announce that its latest infill drill hole has
delivered one of the widest intercepts of continuous high grade
copper mineralization to date during its ongoing 30,000m drill program and continues to define a
band of thick, copper-rich mineralization in both the Massive
Sulphide ("MS") lens and the underlying Copper Stockwork Zone
("CSZ") at its 100% owned McIlvenna Bay Deposit in Saskatchewan, Canada.
Highlights:
- MB-21-216w1 intersected multiple zones of
mineralization:
-
- 28.70 metres ("m") of continuous mineralization grading 2.05%
copper equivalent ("CuEq") in the MS and CSZ:
-
- 25.25m grading 1.72% CuEq in the
CSZ (1.29% copper; 0.28% zinc; 9.74 g/t silver; 0.44 g/t gold),
including 5.5m at 2.11% copper; 0.39%
zinc; 18.25 g/t silver; 0.44 g/t gold, and
- 3.45m grading 4.52% CuEq in the
MS (3.82% copper; 0.16% zinc; 22.23 g/t silver; 0.81 g/t gold),
including 5.68% copper; 0.15% zinc; 28.32 g/t silver; 0.58 g/t gold
over 0.85m
- 10.72m grading 3.40% CuEq from
the Stringer Zone ("SZ") above the massive sulphide (2.67% copper;
0.65% zinc; 20.11 g/t silver; 0.54 g/t gold), including 3.33%
copper; 0.88% zinc; 26.12 g/t silver; 0.69 g/t gold over
7.00m.
- In total, the hole intercepted all four zones of the deposit,
representing over 40m of
mineralization (non-contiguous) over 45m.
- Together with the previously announced results, Foran believes
this impressive intercept supports its view that it is possible to
upgrade and expand the indicated resource and underpin future
reserve conversions in both the MS and the CSZ. Further expansion
drilling is planned along this trend of thicker CSZ intersections,
which remains open up dip and along plunge (see
Figure 1).
- Foran intends to incorporate results from the program into a
resource update planned for this summer and will follow with the
release of a bankable feasibility study in Q4/21.
- Further, in light of the recently announced C$100M strategic investment from Fairfax, Foran
is considering a potential expansion to its exploration program at
McIlvenna Bay and the broader Hanson Lake District in order to test
the many exciting targets on the property. The Company is therefore
scaling up the programs and will advise the market of its plans in
due course.
Dan
Myerson, Executive Chair of Foran,
commented: "Hole MB-21-216w1 has delivered the widest
intercept of continuous copper rich mineralization ever encountered
at the McIlvenna Bay deposit. It provides us with additional
optimism in our ability to expand the indicated category resource,
and therefore further increase the mine life at McIlvenna Bay. This
is yet another of a series of holes drilled along the upper plunge
line of the deposit that continues to define a band of thick, high
grade copper mineralization hosted in both the MS and the CSZ.
These strong results bode well for future mining costs and ultimate
economics as we optimize the throughput of our envisioned
centralized mill within the Hanson Lake District and prove out the
value of McIlvenna Bay and this multi-generational camp.
"Based on very encouraging results from the current campaign
and the recent C$100M investment from
Fairfax, we are considering various options to accelerate and
increase the scale of our exploration program. Foran is uniquely
positioned, well capitalized and prepared to demonstrate both the
near and long term upside at McIlvenna Bay and the broader Hanson
Lake District. There is tremendous potential throughout our land
holdings, and we look forward to providing more details on
exploration programs for the remainder of 2021 and into
2022."
Further information
The 2021 drill program at McIlvenna Bay has been underway since
mid-January. To date, approximately 13,000m of infill and expansion drilling has been
completed of the planned 30,000m
drill program. The program has generally focused on increasing the
density of drilling in the deeper parts of the Deposit to convert
current inferred resources to the indicated category. All holes
drilled to date have successfully intersected the deposit with many
high-grade results from this year's drilling. Detailed results from
the recent hole MB-21-216w1 are provided in Table 1 below.
The deposit remains open for expansion both up/down dip and
along plunge with further drilling. In the near term, a series of
step out holes are planned which target a corridor of thick
(>10m) CSZ intersections from
previous drilling (see figure 1). It appears that additional drill
holes along this corridor could result in significant copper
intersections with above average thickness. If the drilling in this
area returns results as expected, it could have a positive impact
on the planned revised resource estimate that will provide the
basis for the Feasibility Study.
Table 1: Significant Drill Intercepts from the McIlvenna Bay
Winter Program1:
Hole
|
Zone
|
From
(m)
|
To
(m)
|
Interval
(m)
|
Cu
(%)
|
Zn
(%)
|
Ag
(g/t)
|
Au
(g/t)
|
CuEq
(%)
|
MB-21-216w1
|
Lens 3
|
799.74
|
800.58
|
0.84
|
2.73
|
3.70
|
24.97
|
0.62
|
4.71
|
MB-21-216w1
|
SZ
|
802.78
|
813.50
|
10.72
|
2.67
|
0.65
|
20.11
|
0.54
|
3.40
|
Including
|
SZ
|
806.50
|
813.50
|
7.00
|
3.33
|
0.88
|
26.12
|
0.69
|
4.30
|
MB-21-216w1
|
MS
|
815.30
|
818.75
|
3.45
|
3.82
|
0.16
|
22.23
|
0.81
|
4.52
|
Including
|
MS
|
817.90
|
818.75
|
0.85
|
5.68
|
0.15
|
28.32
|
0.58
|
6.28
|
MB-21-216w1
|
CSZ
|
818.75
|
844.00
|
25.25
|
1.29
|
0.28
|
9.74
|
0.44
|
1.72
|
Including
|
CSZ
|
835.00
|
840.50
|
5.50
|
2.11
|
0.39
|
18.25
|
0.44
|
2.65
|
1
True thickness is estimated to be approximately 80-85% of drill
indicated. Copper Equivalent (CuEq) values are based on the
following metal prices $3.25 Cu, $1.25 Zn, $0.95 Pb, $1,800 Au and
$25.00 Ag.
|
Quality Assurance and Quality Control
Drilling was completed using NQ size diamond drill core and core
was logged by employees of the Company. During the logging process,
mineralized intersections were marked for sampling and given unique
sample numbers. Sampled intervals were sawn in half using a diamond
blade saw. One half of the sawn core was placed in a plastic bag
with the sample tag and sealed, while the second half was returned
to the core box for storage on site. Sample assays are being
performed by TSL Laboratories Ltd. ("TSL") in Saskatoon, Saskatchewan. TSL is a CAN-P-1579,
CAN-P-4E (ISO/IEC 17025:2005) accredited laboratory and independent
of Foran. Analysis for Ag, Cu, Pb and Zn is performed using atomic
absorption spectrometry ("AA") after multi-acid digestion. Au
analysis is completed by fire assay with AA finish. Any samples
which return results greater than 1.0 g/t Au are re-run using
gravimetric finish. A complete suite of QA/QC reference materials
(standards, blanks and pulp duplicates) are included in each batch
of samples processed by the laboratory. The results of the assaying
of the QA/QC material included in each batch are tracked to ensure
the integrity of the assay data.
Qualified Person
Mr. Roger March, P. Geo., Senior
Geoscientist for Foran, is the Qualified Person for all technical
information herein and has reviewed and approved the technical
information in this release.
About Foran Mining
Foran Mining is a copper-zinc-gold-silver exploration and
development company, and we are committed to supporting a greener
future, empowering communities, and creating circular economies
which create value for all our stakeholders, while also
safeguarding the environment.
Our goal is to build the first mine in Canada designed to be carbon neutral from day
one of production. We are in the feasibility stage of development
for our flagship McIlvenna Bay project in eastern Saskatchewan.
McIlvenna Bay is a copper-zinc-gold-silver rich VMS deposit
intended to be the centre of a new mining camp in a prolific
district that has already been producing for 100 years. McIlvenna
Bay sits just 65km from Flin Flon,
Manitoba and is part of the world class Flin Flon Greenstone
Belt that extends from Snow Lake,
Manitoba, through Flin Flon
to Foran's ground in eastern Saskatchewan, a distance of over 225km.
McIlvenna Bay is the largest undeveloped VMS deposit in the
region. The Company filed a NI 43-101 Technical Report for the PFS
on the McIlvenna Bay Deposit on SEDAR on April 28, 2020. Foran's copper-zinc VMS Bigstone
Deposit is expected to serve as additional feed for the mill at
McIlvenna Bay. The Company filed a NI 43-101 Technical Report for
the Bigstone Deposit's first resource estimate on January 21, 2021.
Foran trades on the TSX.V under the symbol "FOM" and on the
OTCQX under the symbol "FMCXF".
Neither the TSX-V nor its Regulation Services Provider (as that
term is defined in the policies of the TSX-V) accepts
responsibility for the adequacy of this release. No stock exchange,
securities commission or other regulatory authority has approved or
disapproved the information contained herein.
Forward Looking Statements
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This news release contains "forward-looking information" (also
referred to as "forward looking statements"), which relate to
future events or future performance and reflect management's
current expectations and assumptions. Often, but not always,
forward-looking statements can be identified by the use of words
such as "plans", "hopes", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or
"believes" or variations (including negative variations) of such
words and phrases, or state that certain actions, events or results
"may", "could", "would", "might" or "will" be taken, occur or be
achieved. Such forward-looking statements reflect management's
current beliefs and are based on assumptions made by and
information currently available to the Company. All statements,
other than statements of historical fact, are forward-looking
statements or information. Forward-looking statements or
information in this news release relate to, among other things:
complete the feasibility study in a timely manner, including the
anticipated capital and operating costs, sustaining costs, net
present value, internal rate of return, payback period, process
capacity, average annual metal production, average process
recoveries, anticipated mining and processing methods, proposed PFS
production schedule and metal production profile, anticipated
construction period, anticipated mine life, expected recoveries and
grades, anticipated production rates, infrastructure, social and
environmental impact studies; future financial or operating
performance of the Company, subsidiaries and its projects;
estimation of mineral resources;, exploration results;,
opportunities for exploration, development and expansion of the
McIlvenna Bay Project and its potential mineralization; achieve
carbon neutral status from day one of production; the future price
of metals; the realization of mineral reserve estimates; costs and
timing of future exploration; the timing of the development of new
deposits; requirements for additional capital, foreign exchange
risk, government regulation of mining and exploration operations,
environmental risks, reclamation expenses, title disputes or
claims, insurance coverage and regulatory matters. In addition,
these statements involve assumptions made with regard to the
Company's ability to develop the McIlvenna Bay Project and to
achieve the results outlined in the PFS, and the ability to raise
capital to fund construction and development of the McIlvenna Bay
Project.
These forward-looking statements and information reflect the
Company's current views with respect to future events and are
necessarily based upon a number of assumptions that, while
considered reasonable by the Company, are inherently subject to
significant operational, business, economic and regulatory
uncertainties and contingencies. These assumptions include: our
mineral reserve and resource estimates and the assumptions upon
which they are based, including geotechnical and metallurgical
characteristics of rock confirming to sampled results and
metallurgical performance; tonnage of ore to be mined and
processed; ore grades and recoveries; assumptions and discount
rates being appropriately applied to the technical studies; success
of the Company's projects, including the McIlvenna Bay Project;
prices for zinc, copper, gold and silver remaining as estimated;
currency exchange rates remaining as estimated; availability of
funds for the Company's projects; capital decommissioning and
reclamation estimates; mineral reserve and resource estimates and
the assumptions upon which they are based; prices for energy
inputs, labour, materials, supplies and services (including
transportation); no labour-related disruptions; no unplanned delays
or interruptions in scheduled construction and production; all
necessary permits, licenses and regulatory approvals are received
in a timely manner; and the ability to comply with environmental,
health and safety laws. The foregoing list of assumptions is not
exhaustive.
The Company cautions the reader that forward-looking statements
and information include known and unknown risks, uncertainties and
other factors that may cause actual results and developments to
differ materially from those expressed or implied by such
forward-looking statements or information contained in this news
release and the Company has made assumptions and estimates based on
or related to many of these factors. Such factors include, without
limitation: the projected and actual effects of the COVID-19
coronavirus on the factors relevant to the business of the
Corporation, including the effect on supply chains, labour market,
currency and commodity prices and global and Canadian capital
markets, fluctuations in zinc, copper, gold and silver prices;
fluctuations in prices for energy inputs, labour, materials,
supplies and services (including transportation); fluctuations in
currency markets (such as the Canadian dollar versus the U.S.
dollar); operational risks and hazards inherent with the business
of mining (including environmental accidents and hazards,
industrial accidents, equipment breakdown, unusual or unexpected
geological or structure formations, cave-ins, flooding and severe
weather); inadequate insurance, or the inability to obtain
insurance, to cover these risks and hazards; our ability to obtain
all necessary permits, licenses and regulatory approvals in a
timely manner; changes in laws, regulations and government
practices in Canada, including
environmental, export and import laws and regulations; legal
restrictions relating to mining; risks relating to expropriation;
increased competition in the mining industry for equipment and
qualified personnel; the availability of additional capital; title
matters and the additional risks identified in our filings with
Canadian securities regulators on SEDAR in Canada (available at www.sedar.com). Although
the Company has attempted to identify important factors that could
cause actual results to differ materially, there may be other
factors that cause results not to be as anticipated, estimated,
described or intended. Investors are cautioned against undue
reliance on forward-looking statements or information.
These forward-looking statements are made as of the date hereof
and, except as required by applicable securities regulations, the
Company does not intend, and does not assume any obligation, to
update the forward-looking information.
SOURCE Foran Mining Corporation