🕐23.03.10 - 13:56 Uhr
Champion Minerals News
NEWS RELEASE - Champion Minerals Inc.
TSX-V:CHM
Champion Minerals Drilling at Harvey-Tuttle and Fire Lake North Claim Blocks
on the Fermont Iron Property; Metallurgical Testing In-Progress
TORONTO, ONTARIO, March 23, 2010 - CHAMPION MINERALS INC.
("Champion" or the
"Company") (TSX VENTURE:CHM)(FRANKFURT:P02) is pleased to provide an update
on the winter diamond drilling campaign at the Fermont Iron Property (the
"Property") in the Fermont Iron Ore District of northeastern Quebec.
The
Property surface area totals 384.6 km2; consisting of 16 strategically
located claim blocks grouped into three clusters (see Corporate Presentation
and Fact Sheet located at www.championminerals.com).
A total of 6 diamond drills are turning at this time on the Harvey-Tuttle
("Harvey-Tuttle") and Fire Lake North ("Fire Lake North") Claim Blocks.
In
2009, National Instrument ("NI") 43-101 Inferred Mineral Resources were
outlined by Champion on Fire Lake North (refer to Champions news release
dated November 19, 2009).
Drilling is progressing rapidly; however, the
planned 15,000m drill program may be downsized depending upon the onset of
spring breakup.
Champion has commenced the application process for all
season road and gravel permitting at Fire Lake North and Harvey-Tuttle with
road construction contract tenders being initiated in Q2-2010.
To date 5,000m have been drilled in 27 holes with 6 holes in progress from
the total 15,000m planned campaign.
At Fire Lake North, 3 drills are
operating on the multi-kilometric East and Southwest Limb sectors.
Up to
133m (in core length) of iron formation has been intersected in drill hole
FL10-06, including an intersection of 55m of coarse grained quartz
specularite-magnetite mineralization.
Samples are being shipped for
analysis.
Another 3 drills are turning at Harvey-Tuttle where the Mammoth Zone hosts a
5km by 5km area of iron formation targets that is one of several untested
target areas on the claim block.
Drilling has intersected 180m (in core
length) of iron formation in hole HT10-01 and 140m in HT10-02, these holes
are sampled and being shipped for analysis.
The first hole drilled on
Turtleback Mountain (HT10-07) in the heart of the Mammoth Zone has
intersected 200m of magnetite iron formation.
Champion believes Harvey-Tuttle has potential to ultimately host resources
in excess of 1 billion tonnes of iron resources (refer to Champion news
release dated December 15, 2009) for which an economic evaluation could
eventually justify a standalone type operation.
The COREM research laboratory (Quebec City, Quebec) has been selected to
assay and perform metallurgical testing on drill core from the 2009 Fire
Lake North and Bellechasse campaigns and the 2010 Fire Lake North and
Harvey-Tuttle campaigns.
Major producers in the Fermont and Wabush-Labrador
City Iron Ore Districts use this laboratory that is specialized in iron ore
metallurgy.
The metallurgical beneficiation tests will produce concentrates
and estimate weight recovery.
Concentrates will be assayed for the typical
major elements and total Iron to compare to end user specification limits.
Initial tests will be performed using a "Wilfley Table" for concentrating by
gravity to separate material based upon differing densities.
Magnetic
separation tests are also scheduled following mineralogical tests.
Also
density tests will be completed for use in resource estimation.
Champion has shipped an initial six composite samples of specular hematite
magnetite iron ore from the 2009 Fire Lake North drill core with weighted
average grades of 21% to 32% Iron.
Assay results for Iron, Calcium and
Magnesium are comparable with Consolidated Thompson Iron Mines assay results
from both the Bloom Lake Deposit and the Lamle-Peppler Iron mineralized
zone.
Assay and metallurgical results from Fire Lake North, Bellechasse and
Harvey-Tuttle will be issued as they become available.
Champions current exploration goals aim to increase the quantity and
quality of iron resources for the Property, in addition to acquiring more
sample material for the metallurgical test work mentioned above,
particularly at Fire Lake North that is adjacent to the north of
ArcelorMittals Fire Lake Mine (341 million tonnes grading 33.4% Iron), a
seasonal operation that supplies ore to the Mont Wright Mine and
Concentrator Complex situated approximately 50 km to the north
(www.arcelormittal.com; MRNFQ Files).
The Fermont Iron Property
Champion 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.
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 VENTURE: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.
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 in northeastern Quebec and western Labrador, the
Fermont Iron Property in northeastern Quebec, and the Powderhorn/Gullbridge
Base Metal Projects in central Newfoundland.
Please visit Champions website
at www.championminerals.com.
The technical information in this news release was prepared, revised and
approved by Jeff Hussey, P.
Geo., VP Exploration of the Company and Jean
Lafleur, P.
Geo., Director and Technical Advisor to the President and CEO of
Champion.
Both individuals are Qualified Persons under NI 43-101 standards.
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.
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.
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