VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 16, 2013) – Falco Pacific Resource Group Inc. (“Falco Pacific” or the “Company”) (TSX VENTURE:FPC) is pleased to report that data entry and computer modeling of the Horne 5 deposit and underground infrastructure is complete. The Company has commissioned a NI43-101 resource estimate for the deposit and anticipates delivery of the report within the next 90 days. Due to the exceptional historical data quality and coverage, this accelerated timeline for completion of the estimate will also not require the drilling of confirmation holes into the deposit, resulting in significant savings for the Company.
The Horne 5 deposit, which is wholly owned by the Company and forms part of the Falco’s Rouyn-Noranda Project, hosts a non-NI-43-101 compliant historic resource1 of 167.83 million tonnes, grading 1.25 g/t gold, 17.14 g/t silver, 0.10% copper and 0.57% zinc (see NR 13-03, Feb. 13, 2013). A qualified person has not done sufficient work to classify any of the historical estimates as current mineral resources and the issuer is not treating the historical estimate as current mineral resources.
Horne 5 Compilation Update
In March of this year, Falco retained InnovExplo Inc. of Val d’Or, Quebec (“InnovExplo”) to complete a digital model of the Company’s Horne 5 Deposit. The Horne 5 deposit is located within the southern portion of Falco Pacific’s Rouyn-Noranda Project proximal to the former producing Horne Upper H and Lower H deposits and Glencore-Xstrata’s Rouyn-Noranda copper smelter (May 13, 2013/NR 13-03).
Phase 1 of the project is complete. Over 4,300 drill holes, 370 level plans, 620 cross-sections, 99 longitudinal sections and over 150,000 sample assays have been incorporated into a digital model of the Horne 5 deposit, the largest massive sulphide body in the prolific Noranda camp. Modeling also incorporates over 55,000 metres of underground development on 22 levels and 18 sublevels levels completed by Noranda in the exploration of the Horne 5 deposit between 1931 and 1976. The Company has also located several hundred historic holes from the Horne, Horne 5 and Horne West areas and is presently evaluating their state of preservation and potential application to this process moving forward.
To help assess the accuracy of the current computer based modeling approach, Falco Pacific reconstructed mineralized envelopes manually defined by Noranda in 1963 and 1981. Preliminary results show a strong correlation between the two methods thus confirming the integrity of the current model. Furthermore, modeling has established the continuity of mineralization within the envelopes, including that of the internal higher grade gold domains. Distinct base metal zonation throughout the deposit is evident as is increasing copper and gold grades to depth where the deposit remains open. Table 1 contains some historic holes that display significant mineralization at depth below the deepest working level (Figure 1).
Table 1. Level 65 Drill Intercept Highlights
|Hole I.D.||From (ft)||To (ft)||Length (ft)||Gold (g/t)||Silver (g/t)||Copper (%)||Zinc (%)|
|* Lengths are reported as core lengths. True widths are unknown at this time.|
|* The Company considers the drill results as reliable, however the reader is cautioned that the figures in this table are historic in nature and have not yet been independently validated.|
Phase 2 is now underway with the objective of further refining the model leading to the generation of a mineral resource estimate and technical report in accordance with NI43-101 (“Technical Report”) for the upper 21 levels (17-57) of the deposit and for those areas below the 57rd levels where sufficient drill data is available to allow for resource calculations. The deposit is over 1,060 metres long and on average 90 metres wide and remains open below the 65th level.
In addition, the Company will continue to incorporate new data into the model for a number of areas surrounding Horne 5, including the Horne mine, Horne West, Quemont, and Remnor areas, in order to identify additional resource expansion opportunities and exploration targets.
Dr. Michael Byron, Vice President Exploration, (P.Geo.) is the qualified person for this release as defined by NI 43-101 and has reviewed and verified the technical information contained herein.
About Falco Pacific Resource Group
Founded in 2012 with the acquisition of the 728 square kilometre Rouyn Noranda Project in Quebec, Falco Pacific is led by a veteran exploration team and is focused on the rapid evaluation of precious and base metal targets in one of the world’s great mining camps.
For more information, please go to http://www.falcopacific.com.
1 The Horne 5 Deposit hosts a non-43-101 compliant historic resource of 167.83 million tonnes, grading 1.25 g/t gold, 17.14 g/t silver, 0.10% copper and 0.57% zinc, which equates to 6.75 million ounces of gold, 92.5 million ounces of silver, 356 million lbs of copper and 2.1 billion lbs of zinc.
All resources estimates identified in this news release as a historic resource, pre-date the implementation of NI43-101. The historic resource information has been obtained from internal Noranda reports which were collectively published in 1980 and which are publically available. These estimates are based on extensive underground exploration drilling and sampling, are repeated in several documents, and are believed to be highly reliable between the 19th and 49th levels. Data for resources below the 49th level are also considered to be reliable but are based on less extensive underground development and drilling. The majority of the source data is based on 10 foot (3.05 metre) assay intervals and “in-house” assaying by Noranda Inc. The internal Noranda reports, prepared on closing of the Horne Mine complex, is the most recent resource estimate for the Horne #5 Zone and contains no specific references to cut-off grades, capping factors and relies on global resource silver grades calculated by Bancroft in 1976.
Investors are advised that no assessment of the potential for profitable extraction of the above tonnages has been made. A qualified person has not done sufficient work to classify any of the historical estimates as current mineral resources or mineral reserves as defined by NI43-101. The Company is not treating the historical estimates as current mineral resources or reserves as defined by NI43-101. Further compilation of the historic geological and drilling data, resource modeling and confirmation drilling will be necessary to convert the historic estimates outlined above to NI43-101 resources/reserves.
On behalf of the board of directors of
FALCO PACIFIC RESOURCE GROUP
Kelly Klatik, President and CEO
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 press release.
This press release contains forward-looking statements and forward-looking information (collectively, “forward looking statements”) within the meaning of applicable Canadian and United States securities laws. All statements, other than statements of historical fact, included herein, including statements regarding the completion of any proposed activities, anticipated content, commencement, duration and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, and business and financing plans and trends, are forward-looking statements. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions or are those which, by their nature, refer to future events. Although the Company believes that such statements are reasonable, there can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future performance, and that actual results may differ materially from those in forward-looking statements. Important factors that could cause actual events and results to differ materially from the Company’s expectations include those related to inaccuracy of historic information/results, third party access agreements, weather, equipment and staff availability; performance of third parties; risks related to the exploration stage of the Company’s projects; market fluctuations in prices for securities of exploration stage companies and in commodity prices; and uncertainties about the receipt of regulatory approval related to the proposed transaction, availability of additional financing; risks related to the Company’s ability to identify one or more economic deposits on the properties, and variations in the nature, quality and quantity of any mineral deposits that may be located on the properties; risks related to the Company’s ability to obtain any necessary permits, consents or authorizations required for its activities on the properties; and risks related to the Company’s ability to produce minerals from the properties successfully or profitably. Trading in the securities of the Company should be considered highly speculative. All of the Company’s public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the latest technical reports filed with respect to the Company’s mineral properties.
This news release contains information with respect to adjacent or similar mineral properties in respect of which the Company has no interest or rights to explore or mine. Readers are cautioned that the Company has no interest in or right to acquire any interest in any such properties, and that mineral deposits on adjacent or similar properties are not indicative of mineral deposits on the Company’s properties.
Falco Pacific Resource Group
Mr. Dean Linden