🕐25.09.09 - 16:48 Uhr
Highest Grade-Thickness of 295.9 Intercepted to Date on Formation Capitals Virgi
n River Uranium Project
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Re: News - Friday, September 25, 2009
Highest Grade-Thickness of 295.9 Intercepted to Date on Formation
Capitals Virgin River Uranium Project
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Vancouver, B.C.
September 25, 2009 - Formation Capital Corporation (the
"Company", FCO-TSX,) is pleased to provide its shareholders with an
update on its Virgin River Uranium Project, as provided to the Company
by project operator, Cameco Corporation.
Located within the
south-central portion of the Athabasca Basin in northern Saskatchewan,
the project is a joint venture formed in 1998 between Formation Capital
Corporations wholly owned Canadian subsidiary, Coronation Mines
Limited, Cameco Corporation and by AREVA Resources Canada Inc.
Coronation Mines Limited owns 2% of the project with a right to
increase its ownership of the project up to 10% under certain
circumstances.
The highlight of the 2009 winter diamond drilling program was the broad
zone of mineralization intersected in DDH VR-031W3 which returned a
0.1% grade-cutoff result of 8.73% U3O8 over 33.9 m = 295.9 Grade
Thickness (grade thickness = GT= metres multiplied by % U308).
This
value is the highest interval attained on the project to date.
View Table:
http://www.formcap.com/i/pdf/2009-09-25.pdf
The Centennial Deposit has now been traced over a known 650 m of strike
length and appears to remain open to both the north and the south.
Diamond drilling suggest the deposit has a minimum across strike width
ranging from 5 m to 27 m and is currently open to the east and west on
most sections.
The 2009 winter diamond-drilling program was designed to further
outline the across strike width of mineralization along the currently
defined 650 m strike length of the Centennial deposit.
The program
consisted of 4 wedge holes totaling 1,268 m and was carried out on two
drill fences on lines L11+00N (DDHs VR-027W3 and -027W4) and L10+50N
(DDHs VR-031W2 and -031W3).
The program was successful in extending mineralization an additional 16
m along L11+00N, to a minimum width of 27 m, and along L10+50N where
mineralization was extended an additional 11 m to a minimum width of 24
m.
In addition, winter 2009 drilling has further clarified the
lithological and structural scenario of the Virgin River Domain
basement within the north-central portion of the deposit.
Drilling
appears to have identified the structure controlling mineralization on
the deposit which may prove to be an additional tool in vectoring to
mineralization on the deposit.
In the Companys news release dated June 25, 2009, it was announced
that a conceptual study was planned for the summer of 2009 to assist in
determining the potential economic viability of a uranium deposit in
this region of the Athabasca Basin.
Cameco advised that the conceptual
study will be undertaken in-house and within the current budget.
The
study will attempt to determine the minimum deposit size required for a
stand-alone milling operation versus hauling ore to the existing Key
Lake mill and is not expected to result in a resource calculation at
this time.
A budget of $4.0 million for the 2009 winter and summer
exploration programs was allotted where a summer, two drill, diamond
drilling program is currently in progress on the Centennial Deposit.
Results from that program will be released when available.
To date, over $20 million has been spent on the project exploring for a
large unconformity-type deposit that has resulted in the discovery of
the Centennial Deposit.
Project representatives are pleased with the
success of the program and are looking forward to the results of the
summer 2009 drill program.
All uranium assays were carried out by the Saskatchewan Research
Council (SRC) of Saskatoon, Saskatchewan.
Delayed neutron counting
(DNC) U3O8 check assays were completed on all split assay samples
returning greater than 1.0% U3O8.
The average of the DNC and the
ICP-OES results were used in the calculations of grade thicknesses.
Mr.
Eric (Rick) Honsinger, P.Geo., of Formation Capital Corporation, is
the Qualified Person who has reviewed and approved the content of this
news release based on an examination of the data submitted to the
Company by the project operator Cameco Corporation.
A location map of
the project and drill hole location plan map will be made available on
the Companys website at http://www.formcap.com/.
Formation Capital Corporation
"Mari-Ann Green"
Mari-Ann Green
C.E.O.
For further information please contact:
Rick Honsinger, P.Geo, V.P.
Corporate Communications
Formation Capital Corporation
1730 - 999 West Hastings Street
Vancouver, BC, V6C 2W2
604-682-6229
Email: - Or visit our Web site at: formcap.com
The statements contained in this news release in regard to Formation
Capital Corporation that are not purely historical are forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995, including Formation Capital Corporations beliefs,
expectations, hopes or intentions regarding the future.
All
forward-looking statements are made as of the date hereof and are based
on information available to the parties as of such date.
It is
important to note that actual outcome and the actual results could
differ from those in such forward-looking statements.
Factors that
could cause actual results to differ materially include risks and
uncertainties such as technological, legislative, corporate, commodity
price and marketplace changes.
View News Release in PDF Format:
http://www.formcap.com/i/pdf/2009-09-25_NR.pdf
64 KB in size, approx.
13 seconds to download at 56.6Kbps
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Copyright (c) 2009 FORMATION CAPITAL CORPORATION (FCO) All rights
reserved.
For more information visit our website at
http://www.formcap.com/ or send mailto:
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