🕐15.01.10 - 19:48 Uhr
Champion Minerals News
NEWS RELEASE - Champion Minerals Inc.
TSX-V:CHM
Champion Minerals to start major drilling campaign to outline iron resources
on the 25 km2 Mammoth Zone at Harvey-Tuttle Claim Block, Fermont Iron
Property (Quebec)
Toronto (Canada), January 15, 2010 CHAMPION MINERALS INC.
("Champion or
the Company) (TSX-V: CHM; FSE: P02) is pleased to announce that a 10,000 m
drilling campaign will start in early February to test the Mammoth Zone, a
25 km2 area with a magnetic signature representing extensive folded and
potentially thickened iron formation.
This zone is located on the
Harvey-Tuttle Claim Block (Harvey-Tuttle), one of 16 claim blocks that
make up the Fermont Iron Property (the Property) that includes a total
surface area of 384 km2 (734 claims).
Boart Longyear of North Bay (Ontario)
has been selected as the drilling contractor to operate 3 diamond drill rigs
for the campaign.
Thomas Larsen, President and CEO of Champion stated, Champion has raised
$6.3M which will permit us to fast-track and fully test Harvey-Tuttles
Mammoth Zone with its billion tonne potential.
The winter access road is
progressing ahead of schedule.
The first few holes have been spotted and we
look forward to having the Boart Longyear drills turning shortly.
Further
exploration programs are being planned for the remainder of 2010 and in 2011
on the entire Fermont Property.
Harvey-Tuttle Claim Block
The Property is located in the southwesterly extension of the Labrador
Trough that hosts the major iron ore producers in the Fermont Iron Ore
District (the FIOD), including ArcelorMittal, RTZ, Wabush Mines and
Consolidated Thompson Iron Mines Ltd.
Previous assessment work and reports have documented iron occurrences on
Harvey-Tuttle, and in particular the Mammoth Zone, composed of coarse
grained specular hematite and magnetite-rich iron formation, typical of the
deposits and other occurrences in the FIOD.
Only two short drill holes were
drilled in 1957 in the northern part of Harvey-Tuttle and both returned
intersections of quartz specularite, the first containing 26.7% iron over 26
m and the second 32.7% iron over 20 m (MRNFQ Deposit File 23B/12-0010).
The Star Lake Iron Occurrence is located approximately 5 km north of the
Harvey Tuttle northern claim boundary and hosts a historical resource of
234.7 million tonnes grading 32.4% iron (MRNFQ Deposit File 23B/12-0002);
whereas the Lamle-Peppler Deposits are located 15 km to the southeast and
contain a current Indicated Mineral Resource of 935 million tonnes grading
29.72% iron (Consolidated Thompson Iron Mines Ltd., 2009).
The historical
resource quoted is strictly historical in nature and is non-compliant to NI
43-101 Mineral Resource standards, and should therefore not be relied upon.
A Qualified Person has not done sufficient work to classify the historical
resource as current NI 43-101 compliant Mineral Resources.
There is no
guarantee that any future exploration would upgrade the historical Mineral
Resources into current Mineral Resources.
The Fermont Iron Property
Champion has under option a land package of 384.6 km2 in 16 strategic claim
blocks grouped into 3 clusters comprising the Property.
Champion had
previously announced 8 claim blocks with historical Mineral Resources of 694
million tonnes grading 30.4% Iron, but now after 2 of the 8 claim blocks
(Bellechasse and Fire Lake North) host a current MRE, there are 6 remaining
claim blocks that host historical Mineral Resources of 578 million tonnes
grading 30.4% Iron (Paquet, 1963; Ministre des ressources naturelles et de
la faune Qubec Assessment File GM 13035).
The Mineral Resources are
strictly historical in nature and are non-compliant to NI 43-101 Mineral
Resources and Mineral Reserves standards, and should therefore not be relied
upon.
A Qualified Person has not done sufficient work to upgrade or classify
these historical Mineral Resources as current NI 43-101 compliant.
The Company is currently in the second year of an option agreement (the
Agreement) with Fancamp Exploration Ltd.
(TSX-V: FNC) and the Sheridan
Platinum Group Ltd.
(the Vendors) on the Property.
Pursuant to the
Agreement, Champion can earn a 65% interest in all 16 claim blocks within
the Property by expending C$6 million in staged exploration and development
work expenditures, making cash payments totalling C$1 million, and issuing
2.9 million shares, all over a 4-year period, with the Vendors retaining a
3% Net Smelter Returns royalty, one third of which may be purchased by
Champion for C$3 million.
The Agreement also includes a right of first
refusal on the Lamle Lake Claim Block.
Once Champion has completed its
earn-in, a 65-35 joint venture would be formed between Champion and the
Vendors.
Champion had previously announced an initial Mineral Resources Estimate
(MRE) on the Bellechasse and Fire Lake North Claim Blocks (Bellechasse
and Fire Lake North) under NI 43-101 guidelines (refer to the Company news
release dated November 18, 2009).
The MRE totals 503.3 million tonnes
grading 28.0% Iron in the Inferred Mineral Resources category.
Bellechasse
hosts 215.1 million tonnes grading 28.7% Iron; whereas Fire Lake North hosts
288.2 million tonnes grading 27.5% Iron (all at a 15% Iron cut-off grade).
Inferred Mineral Resources are that part of a Mineral Resource for which
quantity and grade or quality can be estimated on the basis of geological
evidence and limited sampling gathered through appropriate techniques from
drill holes and outcrops, and reasonably assumed, but not verified,
geological and grade continuity.
There has been insufficient exploration to
define any of the resources as Indicated or Measured Mineral Resources and
there is no guarantee that further exploration will upgrade the Inferred
Mineral Resources to Indicated or Measured Mineral Resources.
Mineral
Resources which are not Mineral Reserves do not have demonstrated economic
viability.
About Champion Minerals Inc.
Champion is an exploration Company focused on discovering and developing
significant metal resources in eastern Canada, particularly in the provinces
of Quebec and Newfoundland & Labrador.
The Companys projects include the
Attikamagen Iron Property, located in western Labrador and northeastern
Quebec, the Fermont Iron Property in northeastern Quebec and the Powderhorn
and Gullbridge Base Metal Projects located in central Newfoundland.
We invite you to access Champions corporate presentation at
www.championminerals.com
The technical information in this news release was prepared, revised and
approved by Jean Lafleur, P.
Geo., Director and Technical Advisor to the
President and CEO of Champion, and Jeff Hussey, P.
Geo., VP Exploration of
the Company.
Both individuals are Qualified Persons under NI 43-101
standards.
For further information please contact Thomas G.
Larsen, President and CEO,
and Jorge Estepa, Vice-President, at (416) 866-2200.
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 news release.
The
statements made in this news release that are not historical facts are
forward-looking statements and readers are cautioned that any such
statements are not guarantees of future performance, and that actual
developments or results, may vary materially from those in these
forward-looking statements.
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