Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
VANCOUVER, BRITISH COLUMBIA–(Marketwire – Nov. 2, 2011) – Full Metal Minerals Ltd. (TSX VENTURE:FMM) (“Full Metal”) is pleased to announce the Company has received encouraging surface sampling results from multiple gold targets in the Circle Mining District (See FMM NR#4, May 17, 2011). The Circle Mining District has produced over 1,086,000 ounces of placer gold, but no significant lode source has ever been discovered. The Circle Mining district is one of the last remaining significant placer district in the Tintina Gold Belt without a substantial lode discovery; Livengood, Fairbanks and Dawson districts have had significant bedrock deposits identified associated with the placer gold deposits.
Preliminary ridge and spur soil sampling on the property was initiated in June 2011and a total of 2,013 soil samples and 264 rock samples have been collected to date. Some assay results are still pending. Bedrock exposure in the Circle district is very limited, with soil sampling the most effective reconnaissance exploration tool in this unglaciated terrane. Full Metal has also expanded its land position with an additional 83 claims (3,770 hectares) for a total of 27,502 hectares.
The 2011 field season’s exploration identified eight zones of anomalous gold and associated pathfinder elements. These zones were initially identified via ridge-and-spur soil sampling on 50 meter centers, some of which received follow up soil grids and prospecting. Given the early stage nature of the project, most of the prospects remain open in multiple directions.
A soil line across the Fisherman Zone includes only three samples that were below detection in Au, and is highlighted by a 700 meter long zone averaging 82 ppb Au with a peak of 295 ppb Au. Five consecutive samples contain greater than 99 ppb Au. Silver values are also anomalous in the area. First pass reconnaissance rock sampling returned individual values from trace values to 4.84 g/t Au (inc. 5.6 g/t Ag), with an average of 1.15 g/t Au. Subcrop in the area is primarily composed of felsic to intermediate schists interbedded with quartzites. Several granitic intrusives are located in the vicinity as prominent topographic highs.
The Pork Chop zone occurs across two nearly perpendicular soil lines and extends approximately 700 meters east-west by 1400 meters north-south, and is wide open to the north. Individual soil samples range from trace to 3.79 g/t Au. Three rock samples were collected during soil sampling, with values ranging from trace to 0.273 g/t Au (inc. 4.7 g/t Ag). Host rocks are similar to the Fisherman Zone, although alteration and silicification is more moderate.
Grid soils were used to follow up on an individual sample containing 960 ppb Au on the Heckler Ridge shows a potential high grade vein type system open to the west under cover in a saddle, with follow up soils ranging from trace to 4.98 g/t Au. Mapping in the area proved difficult due to limited outcrop and the area is still considered open in multiple directions.
To the south, mineralization in the Sinister Saddle is controlled by a 230° trending fault zone, cutting interbedded muscovite-schist and quartzites. Individual soil samples ranged from trace to 293 ppb Au, with rock samples from trace to 0.63 g/t Au. Some rock assays are still pending. Mineralization is hosted within a silicified breccia and quartz veining with significant arsenopyrite and pyrite. Mapping indicates this zone may extend for several kilometers along strike.
Other exploration highlights include >1 g/t Au in soils at the Rengade zone, with an individual rock sample that returned 4.66 g/t Au and 5.80 g/t Ag. Individual soils over 700 meters were greater than 30 ppb with a maximum of 91ppb, in the Intruder prospect. This is considered significant, as it is located in an intrusive host of Cretaceous age and may represent an intrusive source for mineralization in the area, as well as a bulk tonnage target.
The Company is planning an aggressive follow-up program during the 2012 field season, including trenching and diamond drilling.
Full Metal is a generative exploration company with five existing joint ventures, and multiple precious and base metal projects in Alaska. The Company recently announced drill results from the Pyramid copper-gold-molybdenum porphyry discovery. Assay results from 2011 exploration programs at the Unga, Tanacross and Rolling Thunder gold projects will be released shortly.
ON BEHALF OF THE BOARD OF DIRECTORS
Michael Williams, President and Director
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
