Champion Minerals Announces Remaining Assay Results from the 2011 Drilling Program Completed at the Moire Lake Project
- Drill hole LM11-021 intersected 336.4 metres of magnetite-hematite rich iron formation grading 27.7% Total Iron, including an interval of 248.1 metres grading 31.6% Total Iron- Drill hole LM11-017 intersected 156.6 metres grading 32.7 % Total Iron and a second, deeper intersection of 82.5 metres grading 27.7% Total Iron
TORONTO, ONTARIO -- (Marketwire) -- 12/07/11 -- CHAMPION MINERALS INC. (TSX: CHM)(FRANKFURT: P02) ('Champion' or the 'Company') is pleased to provide the remaining assay results from the 2011 Moire Lake diamond-drilling program. The Moire Lake Project, which comprises Cluster 1 of Champion's Fermont Iron Holdings in north-eastern Quebec, is immediately east of ArcelorMittal's Mont Wright Mine property, and is 8 kilometres south of existing rail transport infrastructure.
Twenty-one drill holes totalling 9,347 metres (m) were completed at Moire Lake in 2011. The initial drill holes tested a newly interpreted geological model that indicated significant upside potential to the Historic Mineral Resource Estimate(1) for the Lac Moire Occurrence (102 MT grading 31% Total Iron ('FeT')). Favourable results from this original 5,000 m drilling program encouraged Champion to increase the drill program metreage.
The last drill hole completed at Moire Lake - LM11-021 - intersected 336.4 m of magnetite-hematite rich iron formation (IF) grading 27.7% FeT that included an interval of 248.1 m grading 31.6% FeT. Hole LM11-021 was drilled to cross-cut the IF intersection of 503.4 m grading 31.2% FeT encountered in drill hole LM11-012 (see Champion's press release dated October 6, 2011). Holes LM11-012 and LM11-021 were collared over the southeastern part of the historic Lac Moire Occurrence(2), and demonstrate that the IF around the southern fold closure is substantially thickened.
Table 1 provides a list of highlight composite assay results for drill holes LM11-017 through LM11-021, inclusive.
-------------------------------------------------------------------------
TABLE 1 - SELECTED(i) COMPOSITE ASSAY RESULTS DDH's LM11-017 to LM11-021
-------------------------------------------------------------------------
GRADE
INTERVAL (iii)
AZIMUTH DIP DEPTH FROM TO (ii) Total
HOLE ID degrees degrees metres metres metres metres Fe%
-------------------------------------------------------------------------
LM11-017 50 -60 602.00 279.85 436.40 156.55 32.7
-------------------------------------------------------------------------
and 516.71 599.23 82.52 27.7
-------------------------------------------------------------------------
-------------------------------------------------------------------------
LM11-018 60 -60 535.00 5.50 69.00 63.50 18.1
-------------------------------------------------------------------------
and 262.90 384.75 121.85 24.4
-------------------------------------------------------------------------
including 278.30 336.65 58.35 29.7
-------------------------------------------------------------------------
and 451.45 498.90 47.45 30.4
-------------------------------------------------------------------------
-------------------------------------------------------------------------
LM11-019 80 -55 369.00 123.00 244.75 121.75 18.1
-------------------------------------------------------------------------
and 309.50 344.60 35.10 30.7
-------------------------------------------------------------------------
-------------------------------------------------------------------------
LM11-020 30 -45 311.00 122.10 176.40 54.30 22.1
-------------------------------------------------------------------------
and 212.53 261.48 48.95 31.0
-------------------------------------------------------------------------
-------------------------------------------------------------------------
LM11-021 300 -50 526.00 100.20 436.60 336.40 27.7
-------------------------------------------------------------------------
including 100.20 348.30 248.10 31.6
-------------------------------------------------------------------------
(i) Selected Composite Assay Results are stated only for results received to
date. The Selected Composites are not necessarily representative of the
average grade or true thickness of the mineral zones or potential resource.
(ii) Intervals are down-hole lengths and not true widths of the mineral
zones.
(iii) Grades are calculated from Total Fe% sample assays completed by ALS
Chemex Laboratories using the 'High Grade/Ores Method' and XRF analysis.
Drill hole LM11-017 intersected two IF intervals: the first of 156.7 m grading 32.7% FeT and the second, 80 m further down-hole, of 82.5 m grading 27.7% FeT. The hole was drilled on-section and down-dip of holes LM11-002 and LM11-015, which intersected 119.3 m grading 26.6% FeT and 217.4 m grading 25.3% FeT, respectively (see Champion press releases dated May 14 and October 6, 2011). These drill holes were completed on the most northerly section historically drilled at the Lac Moire Occurrence and extend the mineralized zone several hundred metres down-dip from the historic interpretation (see Figure 1).
Drill holes LM11-18 to LM11-20, inclusive, intersected iron mineralization on progressive 150 m to 200 m step-outs along strike, thereby extending the IF mineralization 500 m to the northwest around the northern fold closure and up to the western property boundary. The mineralization is interpreted to continue onto the neighbouring ArcelorMittal Mont Wright Mine property (see Figure 2).
Drilling of the 4 kilometre, 'Northeast Trend' magnetic anomaly underlying the eastern part of the Moire Lake Project, has been deferred until 2012 as the Company focuses on the Feasibility and Development of its flagship Fire Lake North Project.
Tom Larsen, Champion's President and CEO commented, 'The 2011 Moire Lake drilling program has proven to be another highly successful campaign for Champion. We are confident that our drill results will produce a substantial increase in resources above the Historical Resource Estimate reported for the Lac Moire Occurrence. We also see additional upside resource potential for the Project from the Northeast Trend anomaly, although this prospective zone remains to be drilled.'
Champion has commissioned P&E Mining Consultants Inc. to complete a National Instrument 43-101 compliant Mineral Resource Estimate for the Moire Lake Project with results expected in early 2012.
Mr. Larsen further stated, 'Our current interpretation suggests the bowl-shaped geometry of the Lac Moire Occurrence extends onto ArcelorMittal's neighbouring Mont Wright property with preliminary modelling suggesting that Champion has likely identified sufficient resources to potentially develop the project on a stand-alone basis.'
The Fermont Iron Holdings
Champion's Fermont Holdings comprise seventeen properties, three of which - Fire Lake North, Bellechasse and Harvey-Tuttle - host combined, NI 43-101 compliant, Measured and Indicated Mineral Resources estimated at 400 Million Tonnes grading 30.6% FeT, and Inferred Mineral Resources estimated at 1.82 Billion Tonnes grading 25.4% FeT, at a 15% FeT cut-off4.
About Champion Minerals Inc.
Champion Minerals is an iron ore exploration and development company with offices in Montreal and Toronto, and is focused on developing its significant iron ore resources in the provinces of Quebec and Newfoundland & Labrador. The Company's projects include: the Fermont Holdings in Quebec, jointly held by Champion (82.5% interest) and Fancamp Exploration Ltd. (17.5% interest); and the Attikamagen Iron Property in Quebec and Labrador. Champion's Fermont Holdings, including the flagship Fire Lake North Project, are located in Canada's major iron ore producing district, in close proximity to three producing mines. Champion's team and advisory board includes mining and exploration professionals with substantial iron ore expertise to effectively advance the Fire Lake North Project into production.
(1) Historical Mineral Resources(3) are from Paquet, 1963 (MRNFQ Assessment File GM 13035).
(2) The on-line documented information on the Lac Moire Occurrence (Lac Moire (Quartz)-Est) describes the rocks hosting the mineralization and the historic resource(2). The description of the occurrence can be viewed on-line at http://sigeom.mrnf.gouv.qc.ca/ (COGITE #23B/14-0014).
(3) All historical Mineral Resource estimates outlined in this disclosure 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 Mineral resources.
(4) The current Mineral Resource estimates were calculated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions adopted by CIM Council adopted by CIM Council December 11, 2005 and subsequently June 30th, 2011.
(4) Mineral resources, which are not mineral reserves, do not have demonstrated economic viability. The mineral resource estimate may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
The technical information in this news release was reviewed and approved by Bruce Mitton, P. Geo., Vice-President Exploration and Chrystal Kennedy, P. Geo., Exploration Manager of the Company and each a Qualified Person under NI 43-101 standards.
Please visit Champion's website at www.championminerals.com.
Statements made in this news release that are 'forward-looking statements' are not historical facts. Readers are cautioned that any such statements are not guarantees of future performance, and that actual developments or results may vary materially from those stated herein.
To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/chmdef1.pdf
To view Figure 2, please visit the following link: http://media3.marketwire.com/docs/chmdef2.pdf
Contacts:
Champion Minerals Inc.
Thomas G. Larsen
President and CEO
(416) 866-2200
Champion Minerals Inc.
Jorge Estepa
Vice-President
(416) 866-2200
Champion Minerals Inc.
Salisha Hosein
Director, Investor Relations
(416) 866-2200
www.championminerals.com