Fancamp Provides Previously Undisclosed Results of Past Exploration Programs
April 27, 2021 at 08:00 AM EDT
Fancamp Exploration Ltd. (“Fancamp” or the “Corporation”) (TSX Venture Exchange: FNC) is pleased to provide updates on its exploration projects.
As discussed on the January 19, 2021 and March 4, 2021 investor calls, the new management team of the Corporation recently completed a strategic review of its properties to reprioritize the project pipeline and develop its resource base through a systematic and efficient approach to exploration, in a clear contrast to the unfocused approach by former president and CEO, Mr. Peter H. Smith. The strategic review process faced delays and difficulties as Mr. Smith withheld technical information belonging to the Corporation.
While conducting the strategic review, the new management team discovered that Mr. Smith failed to keep the Board of Directors and the market informed of the results of the Corporation’s previous exploration programs, raising further questions about his business judgment, adherence to his fiduciary duty, and his commitment to act in the best interest of Fancamp’s shareholders.
Mr. Smith is a disgruntled director, who recently had his consulting agreement terminated for cause, and has initiated an unnecessary, costly and time-consuming challenge to the Corporation’s proposed acquisition of ScoZinc Mining Ltd. at a time when Fancamp’s future is bright and the Corporation is finally set to deliver significant value to shareholders.
In line with industry best practices, the Corporation is pleased to share the following information:
The best intercepts from the 66-hole Harvey Hill 2019 program were 1.77% Cu over 9 meters (drill hole HH19-26) and 0.66% over 11 meters (drill hole HH19-05). The best intercept from the 15-hole 2020 program was 0.97% over 2 meters (drill hole HH20-01). A summary of key intercepts is found in Table 1, and drill hole location information is provided in Table 2 (see appendix).
The Corporation’s Harvey Hill project is a past producing, precious metal bearing copper project in the Appalachian region of eastern Quebec. In 2019 and 2020, the Corporation completed 81 drill holes in two campaigns, targeting three near surface mineralized lenses. The mineralized lenses are interpreted as vertically stacked, flat to shallow-dipping zones, extending over more than 425 meters of strike in an east-northeast direction. The zones are interpreted to average two to three meters in thicknesses. Further description of the Harvey Hill project and its past production can be found on the Corporation’s at Harvey Hills Project (fancamp.ca). More detailed interpretation of this data is planned for later in 2021.
Fancamp’s 2020 field sampling reconnaissance field sampling returned up to 7.54 gpt Au (Table 3) confirming high grades of previous workers.
The Boisbuisson project is located in the Humber Zone, of the northern Gaspe Peninsula. Numerous structure-hosted, base metal bearing precious metal quartz veins occurrences are recorded on the south and central parts of the property. Fancamp has held the Boisbuisson project since 2015 but has completed very little work on the concessions. A description of the Boisbuisson project can be found on the Corporation’s website at Boisbuisson Project (fancamp.ca).
Note: Coordinate system, NAD 83 zone 20.
Ste. Marguerite (Gaspe)
Reconnaissance sampling by the Corporation during its 2015 and 2016 field programs returned up to 8.9 gpt Au over 1 meter from a chip channel sample (sample P134040), and up to 54.9 gpt Au and 10.1 gpt Au from grab sampling (samples 62816 and 62815, respectively) of altered, structure hosted quartz veining in the Sainte-Florence faults zone. Sampling results by the Corporation are provided in Table 4. Silver was not analyzed in these programs. These results confirm high gold grades identified by previous workers on the property.
The Ste. Marguerite (Gaspe) property hosts a linear trend of gold bearing vein occurrences, more than 10 km long. The mineral occurrences are largely hosted by a band of mafic to intermediate volcanic rocks in close proximity to the Sainte-Florence fault, within the Gaspe Belt. Fancamp has held the property since 2015 and has completed minor reconnaissance activities. A description of the Ste. Marguerite (Gaspe) project can be found on the Corporation’s website at St. Margarite (Gaspe) Project (fancamp.ca).
Note 1: Coordinate system, NAD 83 zone 19.
Jean Bernard, P.Geo, has reviewed and approved the technical and scientific content of this news release. Jean Bernard is a Qualified Person within the description of the Canadian Securities Administrator’s National Instrument 43-101.
The 2019 and 2020 drill programs at Harvey Hill were directed by Jean Bernard. P.Geo, and a Qualified Person in the meaning of NI 43-101. The Boisbuisson and Ste. Marguerite (Gaspe) sampling programs were directed by Jean Bernard. P.Geo, and a Qualified Person in the meaning of NI 43-101.
Assays for the diamond drill programs were analyzed by Activations Laboratories Ltd. in Ancaster, Ontario. The Corporation inserts quality control samples (blanks, standard reference material, and duplicates) at regular intervals to monitor laboratory performance. Standard samples are inserted every 15-20 samples, with additional standard material added to mineralized zones. Reference samples are obtained from OREAS (Ore Research and Exploration P/L ABN) and comprised OREAS 620 (0.173% Cu), and OREAS 624 (3.10% Cu). Blanks are inserted every 15-20 samples and are obtained from a deposit of pure quartzite. Field duplicates are inserted every 20 samples.
Lavery, de Billy, L.L.P. is serving as legal advisor to Fancamp. Kingsdale Advisors is acting as strategic shareholder and communications advisor to Fancamp.
About Fancamp Exploration Ltd. (TSX-V: FNC)
Fancamp is a growing Canadian mineral exploration corporation dedicated to its value-added strategy of advancing mineral properties through exploration and development. The Corporation owns numerous mineral resource properties in Quebec, Ontario and New Brunswick, including gold, rare earth metals, strategic and base metals, zinc, chromium, titanium and more. Fancamp is also building on the industrial possibilities inherent in dealing with some of these materials, notable being the development of its Titanium technology strategy. It has recently announced the acquisition of ScoZinc, a Canadian exploration and mining corporation that has full ownership of the Scotia Mine and related facilities near Halifax, Nova Scotia, as well as several prospective exploration licenses in surrounding regions. The Corporation is managed by a new and focused leadership team with decades of mining, exploration and complementary technology experience.
This news release includes certain forward-looking statements which are not comprised of historical facts. Forward-looking statements include estimates and statements that describe both companies’ future plans, objectives or goals, including words to the effect that both companies or their respective management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to Fancamp, Fancamp provides no assurance that actual results will meet the management’s expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes, but is not limited to, the Corporation’s annual general meeting, objectives, goals or future plans, statements, potential mineralization, exploration and development results, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations, estimates of market conditions, future financial results or financing opportunities. There can be no assurance that forward-looking statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Fancamp’s expectations include, among others, political, economic, environmental and permitting risks, mining operational and development risks, litigation risks, regulatory restrictions, environmental and permitting restrictions and liabilities, the inability of both companies to satisfy the conditions precedent to complete the Transaction, the inability to obtain the necessary regulatory and third-party approvals for the Transaction, the inability to start production at the Scotia Mine, the inability of Fancamp to realize the anticipated financial gains from the Transaction, including generating, in the near-term, cash-flows from the Scotia Mine, the inability of Fancamp to raise capital or secure necessary financing in the future, as well as factors discussed in the section entitled “Risks and Uncertainties” in Fancamp’s management’s discussion and analysis of Fancamp’s financial statements for the period ended October 31, 2020. Although Fancamp has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. In addition, the Corporation provides no assurance regarding the outcome of the BCSC’s decision. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Note: Coordinate system NAD 83, UTM zone 19N.