Minfocus Announces Significant New Exploration Target at Coral Zinc Project
Historic High-Grade Trench Results Associated with Strong Geochemical Anomalies
Toronto, ON (FSCwire) - Minfocus Exploration Corp. (TSX-V: MFX) (“Minfocus” or “Company”) is pleased to announce a significant new exploration target at its Mississippi Valley Type (“MVT”) Coral Zinc Project in British Columbia. The new exploration target follows a review of the results from two 1975 historic soil geochemical surveys, located just southwest of the recently-acquired Poco Ridge Showings. The new target hosts historic trenching and sections sampled over an area of roughly 600 metres x 75 metres. The Poco Ridge Showings include a trench with an average 5.1% zinc-lead over 11.9 metres (“Upper Trench”), and a parallel trench 7 metres away with an average 19.3% zinc-lead over 3.5 metres (“Lower Trench”). The assays ranged from 0.3% to 9.2% Zn+Pb in the Lower Trench; 0.6% to 43.4% Zn+Pb in the Upper Trench.
Another showing, the Reef Zone, is roughly 500 metres to the southwest. It averages 8.5% zinc and 3.2% lead (11.7% zinc-lead) over 12.5 metres (41 ft) with assays ranging up to 25% zinc and up to 15.1% lead.
Two separate geochemical surveys cover an area of approximately 43 hectares, extending southeast for a distance of approximately 2000 metres, with an average zone width of 200 metres. They represent a total of 175 historic soil samples. This is a significant additional untested exploration target at the Coral Zinc Project that is at the same stratigraphic horizon that mineralization is associated with at Hound Dog Creek.
Dr. Francis Manns, P.Geo (ON), Minfocus’ MVT Specialist and Advisory Board Member, emphasized the significance of the geochemical target area saying, “The total anomaly outlined by Brinex, a major 1970’s lead-zinc exploration company, could extend over a kilometre along the contact between the Dunedin Formation limestones and the Stone Formation dolostones, and is the location of other mineralized zones at the Coral Zinc Project. Poco Ridge is an important additional exploration target.”
Poco Ridge Geochemical Surveys
The northwest edge of the Poco Ridge geochemical surveys starts between the two highly mineralized zinc-lead zones reported in 1973 on both sides of Poco Ridge - the Main Poco Zn-Pb Showing on the north side and the Reef Area on the south side of the ridge. The two geochemical surveys trend south-southeast from this area and, combined, cover an area of roughly 43 hectares. The soil grid nearest the Poco Ridge is 210 m x 210 m (700ft x 700 ft). In the middle of this upper soil grid, a 1973 report notes a talus boulder found as follows, “…about 2-1/2 x 2 feet diameter and was almost solid galena (analyzing 80%) with minute amounts of sphalerite (0.46%) and 0.75 oz/ton silver.” We infer that this refers to 80% lead and 0.46% zinc, and note that, since pure galena (PbS) would ideally assay 86.6 wt.% Pb, the boulder sample was indeed nearly massive galena. The lower soil grid starts about 200 m away and has a 1210 m (4000 ft) baseline with a width of 240-400 m (800-1300 ft) down the baseline. A total of 175 soil samples were collected over the two grids, with an average overall of 695 ppm Zn and 275 ppm Pb with the threshold for anomalous samples being +2500 ppm Zn and +1300 ppm Pb (90% confidence limits). Based on these limits, there were 20 anomalous soil geochemical samples reported with values ranging from 2500 ppm to +4000 ppm zinc (9 samples over-limit); and 11 anomalous soil samples with values ranging from 1550 ppm to +4000 ppm lead (1 sample over-limit). The zinc and lead soil geochemical anomalies identified in these two geochemical areas represent an important area of untested exploration targets at the Coral Zinc project. In addition, there is further mineral potential to be evaluated between the two soil geochemical survey grids.
Newfoundland Round Pond Zinc Project Option Agreement Approved by TSXV
The TSXV has approved the terms of the option agreement for the Round Pond Zinc Project, recently optioned by Minfocus on the Northern Peninsula of Newfoundland. The Round Pond Project is a former 1970’s Cominco zinc project that has an historic resource of 400,000 tons grading 2.0% zinc. Also, within the Round Pond Zinc Project is the Phillips Prospect which also has an historic resource of 89,000 tons grading 1.5% zinc, which is about 700 metres southwest of the Round Pond Prospect. The option agreement sets terms to acquire, within two years, a 100% interest in the Round Pond Zinc Project, comprising 30 claims (750 hectares) covering the former Cominco Round Pond Prospect, which is located about 13 km south of Hwy 430. Minfocus may issue up to 5.25 million Minfocus shares plus the grant of a 2.0% NSR royalty under the terms of the option agreement. Minfocus shall retain the option to buy back 1.25% of the NSR royalty for $1.5 million to reduce the royalty to a 0.75% NSR interest.
Minfocus to Acquire Additional Claim at Peregrine Zinc Project in British Columbia
Minfocus announce that it has reached an agreement to acquire an additional claim adjacent and contiguous to its Peregrine Zinc Project in British Columbia. Minfocus may issue up to 550,000 shares plus grant a 2.0% NSR royalty to acquire the claim under the terms of the agreement. Minfocus shall retain the option to buy back 1.0% of the NSR royalty for $500,000 to reduce the royalty to a 1.0% NSR interest. The agreement is still subject to TSXV approval.
In 1986, Cominco completed trenching and chip sampling at two showings at the Peregrine Zinc Project. At Showing No. 1, using 1-metre intervals, sampling channeled obliquely across breccia zones in the Cambrian-Jubilee Formation returned assays over 17 m of 11.1% Zn, including an interval of 14.3% Zn over 11 m with assays ranging from 2.90% to 25.2% Zn. At Showing No. 2, similar trench sampling assayed 11.7% Zn over 1.7 m. Cominco reported that surface mineralization at the two main showings investigated is of “significant extent and grade.” Historical geochemical surveys reported by Cominco indicate widespread very high zinc values in soils. Anomalous soil samples analysed ranged from 5,000 to 30,000 ppm Zn and from 100 to 1,500 ppm Pb. All assays and analyses were performed at Cominco’s exploration laboratory in Vancouver, B.C.
Further Debt Settlements
Minfocus is also pleased to announce that it has completed further agreements with unrelated third parties for the settlement of outstanding debts, which now brings the total debt settled to $108,500 in exchange for the issuance of shares at a deemed value of $0.05 per share including debt settlements previously reported (see Feb 14, 2018 news release). These agreements for the issuance of the shares-for-debt will not create a New Control Person as defined under TSXV policies. The completion of the shares-for-debt transactions contemplated in these agreements remain subject to the approval of the TSX Venture Exchange.
Shareholder Meeting Requisition Received
Minfocus reports that it received a letter on April 12, 2018 requisitioning a meeting of Minfocus shareholders. The Company intends to appoint a Special Committee of the Board which will review and report to the Board.
About Minfocus Exploration Corp.
Minfocus Exploration Corp. is a Canadian company currently advancing a portfolio of base-metal projects including three Mississippi-Valley-Type zinc projects in British Columbia and Newfoundland, an awaruite (Ni3Fe, a natural alloy) nickel project in northern British Columbia and a Platinum Group Element (“PGE”) –enriched Ni-Cu-Pt-Pd project in N.W. Ontario. Minfocus has a successful management group with a record of multiple discoveries of deposits worldwide, including gold and uranium deposits in Mongolia and PGE-rich resources in Ontario, including the discovery of the first platinum-rich Ni-Cu-Pt-Pd deposit in the Midcontinent Rift, the Current Lake deposit (+700,000 oz. Pt-Eq).
For further information, please contact:
Kenneth B. de Graaf
President & Chief Executive Officer
The Qualified Person who has reviewed and approved the technical content contained in this release is Dr. Graham C. Wilson, P.Geo.(Ont), a director of Minfocus.
Neither the TSX Venture Exchange nor its Regulatory 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 includes certain forward-looking statements concerning the future performance of the Company’s business and operations as well as management’s objectives, strategies, beliefs and intentions. Forward-looking statements are often identifiable by the use of words such as “may”, “will”, “might”, “would”, “plan”, “believe”, “expect”, “anticipate”, “intend”, “estimate”, “scheduled”, “forecasts” and similar expressions or variations (including negative variations) of such words and phrases. Forward-looking statements are based on the current opinions and expectations of management, and are subject to a number of risks and uncertainties that may cause actual results, performance or achievements of the Company to be materially different from those currently anticipated by such statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, the possibility that future exploration results will not be consistent with the Company’s expectations, fluctuating commodity prices, delays in commencing the Company’s proposed drilling program, exploration costs varying significantly from estimates, the availability of financing, and other risks identified in the Company’s documents filed with the Canadian securities regulatory authorities at www.sedar.com. Any forward-looking statement speaks only of the date on which it is made, and except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement.
Source: Minfocus Exploration Corp. (TSX Venture:MFX)
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