Drilling Intersects 1.18% Copper Equivalent over 161m at Schaft Creek and Confirms Mineralized Nature of Chargeability Anomaly
VANCOUVER, July 26, 2011 /CNW/ --
VANCOUVER, July 26, 2011 /CNW/ - Copper Fox Metals Inc. (TSXV: CUU) is
very pleased to announce the assay results for diamond drill hole
CF407-2011 and other exploration and corporate activities. Two diamond
drills are currently working on the Paramount zone to test the
extensions of the higher grade copper-gold-molybdenum-silver
mineralization intersected in 2010 and to test the eastern extension of
the large chargeability anomaly identified in 2010. To view the
location of drill holes CF407-2011 and CF410-2011 in relation to the
chargeability anomaly outlined by the Quantec Titan-24 survey over a
portion of the Schaft Creek deposit, visit the Copper Fox website at www.copperfoxmetals.com. Highlights of activities are as follows:
Highlights:
-- Diamond drill hole (DDH) CF407-2011 located 140 metres (m) east
of DDH CF399-2010, intersected 0.65% copper, 0.53 g/t gold,
0.034% molybdenum and 3.80 g/t silver (1.18% copper equivalent)
over an interval of 160.36m starting at a core length of
264.2m. The 160.36m interval is included in the 519.2m
mineralized interval indicated below. The mineralized interval
in DDH CF407-2011 is open to the east and confirms the
mineralized nature of the chargeability anomaly identified in
2010,
-- DDH CF407-2011 intersected 0.40% copper, 0.24 g/t gold, 0.025%
molybdenum and 1.98 g/t silver (0.69% copper equivalent) over a
core interval of 519.2m from 5.3m to a depth of 524.47m,
-- DDH CF410-2011 located 110m east of DDH CF407-2011, intersected
the interpreted extension of the mineralization intersected in
DDH CF407-2011 and exhibits visible copper and molybdenum
mineralization over an interval of 505.2m from 62.8m to 658m,
assays for DDH CF410-2011 are pending,
-- The Titan-24 survey over the Mike zone located north of the
Paramount zone and the recently acquired ES and GK zones (all
within a 6 kilometre strike length) located north of the Schaft
Creek deposit is scheduled to commence before the end of July,
and
-- Copper Fox has acquired an additional 2,388 common shares of
Liard Copper Mines Limited ('Liard') bringing its total
interest in Liard to 1.47%.
Mr. Stewart, President of Copper Fox stated, 'The interval of high-grade
copper and gold mineralization intersected in DDH CF407-2011 represents
the highest grades intersected to date in the Paramount zone and
strongly supports the potential of a large zone of significantly higher
grade mineralization at depth, to the north and east and along strike.
Three holes located to the east and north of DDH CF407-2011 have been
completed to date in 2011. Each of these holes intersected visible
copper and molybdenum mineralization and suggests the presence of
mineralization within a 1,200m long by 600m wide previously untested
portion of the chargeability anomaly located in 2010'.
Diamond Drilling Update:
Four diamond drill holes (totaling 2,476m) have been completed in the
Paramount zone to date. The 2011 drill program is designed to test the
eastern extension (1,200m long by 600m wide) of the chargeability
anomaly outlined in 2010. The drilling completed in 2010 tested the
western side (approximately 25%) of this anomaly.
DDH CF407-2011 was drilled to a total depth of 735m. The mineralization in DDH
CF407-2011 is continuous from 5.3m to 524.17m. The mineralization
consisting of chalcopyrite, bornite and molybdenite occurs as
dissemination and along fractures in potassic and phyllic altered
intrusive breccia, andesite and granodiorite. At the bottom of the
hole, the andesite exhibits propylitic alteration. The weighted average
grades for the mineralized intervals in DDH CF407 (at zero cut-off
grade) and the estimated recoverable copper equivalent grades are set
out below:
__________________________________________________________________________
| | | | | | | | | | | Cu |
| | | |From | |Interval|Cu | Au | Ag | Mo |Eq |
| DDH ID |Dip| Azimuth | (m) |To (m)| (m) |(%) |(g/t)|(g/t)| (%) |(%) |
|_________|___|_________|______|______|________|____|_____|_____|_____|____|
|2011CF407|-70| 90 | 5.3 |524.47| 519.17 |0.40|0.24 |1.98 |0.025|0.69|
|_________|___|_________|______|______|________|____|_____|_____|_____|____|
| | |including|264.26|424.62| 160.36 |0.65|0.53 |3.80 |0.034|1.18|
|_________|___|_________|______|______|________|____|_____|_____|_____|____|
| | | and |424.62|524.47| 99.85 |0.28|0.18 |1.23 |0.031|0.56|
|_________|___|_________|______|______|________|____|_____|_____|_____|____|
Note: The core intervals listed in Table-1 above do not represent true
widths.
DDH CF408-2011 (azimuth 270) was designed to accurately locate the western edge of the
Paramount zone. Visible chalcopyrite, bornite and molybdenite were
observed in potassic and phyllic altered granodiorite, andesite and
intrusive breccia in the core from 11.08m to 219.5m. The total depth
of the hole was 227.08m.
DDH CF409-2011 (azimuth 090) is located approximately 140m east of DDH CF402-2010 and
tested the extension of the mineralization intersected in DDH
CF402-2010 and the eastern extension of the chargeability anomaly
defined in 2010. This hole intersected visible chalcopyrite, bornite
and molybdenite in potassic and phyllic altered granodiorite, intrusive
breccia and andesite over a core interval from 11.0m to 472.5m. The
hole was terminated in chalcopyrite and bornite mineralization at a
depth of 472.5m due to ground conditions. The mineralization in this
hole is open at depth.
DDH CF410-2011 is located on the same section as DDH CF399-2010, DDH CF407-2011 and
DDH CF408-2011 and is located approximately 100m east of DDH
CF407-2011. The upper 62.8m of this hole intersected pyritic altered
andesite and granodiorite. The core interval from 62.8m to 568m
exhibits visible chalcopyrite, bornite and molybdenite in potassic and
phyllitic altered intrusive breccia, granodiorite and andesite.
Several late stage, unmineralized mafic dikes of variable thickness
were also intersected in this hole. Molybdenite /-chalcopyrite were
observed over a core interval of 568m to 658m.
The reader is cautioned that visible copper and molybdenite
mineralization does not necessarily equate to significant
concentrations of either copper or molybdenum and there is no assurance
that the assay results of the samples from these drill holes will yield
significant copper, gold or molybdenum grades.
Acquisition of Liard Mining Shares:
Copper Fox acquired 2,388 common shares of Liard Copper Mines Ltd.
('Liard'), a private company incorporated in BC from Mr. Gary Bird for
a cash payment of $30,506.70 and 14,391 common shares of Copper Fox.
Liard holds a 30% Net Profits Interest (NPI) royalty in the Schaft
Creek project. Teck Resources Limited ('Teck') owns 78% of the issued
and outstanding shares of Liard. Upon completion of a positive
feasibility study, Copper Fox will acquire Teck's 78% interest in
Liard.
Quantec Titan-24 DCIP and MT Survey:
The line cutting and surveying for the planned Titan-24 DCIP and MT
survey over the Mike, ES and GK zones has been completed. The Titan-24
crew is expected to arrive at Schaft Creek before the end of July to
commence the surveying of these zones. The Titan-24 survey is expected
to cover 2.4 kilometers of strike length over the Mike and ES zones at
a 400m spaced lines and 0.8 kilometers (3 lines spaced at 400m
intervals) over the GK zone.
Diamond Drilling and Sampling Procedures:
The diamond drilling was completed using an HQ and NQ core size. Core
recovery was estimated to be greater than 97%. After cutting with a
diamond saw, one half of the core was collected for sample preparation
and analysis and the other half is retained for future reference.
Sample intervals were selected based on lithology changes/alteration
intensity/estimated mineral content and ranged from 0.62 to 2.78
metres. The majority of the samples were collected on a 2.0m sample
interval. Sample preparation was completed by ACME Analytical
Laboratories Ltd ('ACME') located in Smithers, British Columbia and
analyses were completed by ACME in Vancouver, British Columbia.
Base metals were assayed using the ACME's 7TD package which includes
4-acid digestion and ICP-ES finish. Lower detection limits are as
follows: Cu >0.001%, Mo >0.001%, Silver values are determined by the
1EX with a lower detection limit of 0.1g/t. Gold is assayed by the G6
fire assay package - fusion of a 30-gram followed by ICP-ES finish;
with a lower detection limit of 0.005 g/t. ACME has an 9001:2008
International Standard Organization rating.
Recoverable copper equivalent calculations are based on 88% of the
copper content plus 81% of the gold content, 72% of the molybdenum
content and 71% of the silver content. Metal prices are copper
$US2.50/pound, gold $US1,075/ounce, molybdenum $US17.00/pound and
silver $US16.10/ounce.
Quality Control
Copper Fox follows a rigorous Quality Assurance/Quality Control program
consisting of inserting standards, blanks and duplicates into the
sample stream submitted to the laboratory for analysis.
Elmer B. Stewart, MSc. P. Geol., President of Copper Fox, is the
Corporation's nominated Qualified Person pursuant to National
Instrument 43-101, Standards for Disclosure for Mineral Projects, has
reviewed the technical information disclosed in this news release.
About Copper Fox
Copper Fox is a Canadian based resource company listed on the
TSX-Venture Exchange (CUU-TSX-V). Copper Fox was recently recognized by
TSX Venture Exchange Inc. as a member of the distinguished TSX Venture
50® group where it had the distinction of being ranked first overall
for 2010.
The Company is working on completing a feasibility study on the Schaft
Creek deposit, one of the largest undeveloped copper, gold, and
molybdenum deposits in North America. The feasibility study is being
led by Wardrop, A Tetra Tech Company on a minimum 120,000 tpd open pit
mine and is expected to be completed during the fourth quarter 2011.
Copper Fox holds title and a 100% working interest in a contiguous
24,003.5 hectare (59,311 acre) property which includes the Schaft Creek
deposit subject to certain royalty agreements, a 30% carried interest
held by Liard Copper and an earn back option held by Teck Resources
Limited ('Teck'). Copper Fox is currently earning a 78% interest in
Liard Copper from Teck. Teck's earn back option to acquire 20%, 40% or
75% of the Copper Fox interest in the Schaft Creek project is triggered
upon completion of a positive feasibility study. Should Teck elect to
exercise its option for 75% they are required to fund subsequent
property expenditures up to a total of 400% of those incurred by Copper
Fox and arrange for project financing, including the Copper Fox
portion. For full details of the option please refer to the Company's
website www.copperfoxmetals.com.
Additionally Copper Fox holds mineral claims totaling 3,947 hectares
(9,752 acres) in the Liard Mining District of BC not subject to the
Teck earn-back.
On behalf of the Board of Directors
Elmer B. Stewart
President & Chief Executive Officer
Neither 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 release.
Cautionary Note Regarding Forward-Looking Information
This news release contains 'forward-looking information' within the
meaning of the Canadian securities laws. Forward-looking information
is generally identifiable by use of the words 'believes,' 'may,'
'plans,' 'will,' 'anticipates,' 'intends,' 'budgets', 'could',
'estimates', 'expects', 'forecasts', 'projects' and similar
expressions, and the negative of such expressions. Forward-looking
information in this news release include statements about the recently
completed resource estimate for the Schaft Creek deposit; the receipt
and filing of a National Instrument 43-101 compliant report related to
the updated resource estimate the timing and scope of expected diamond
drilling; the completion of the Feasibility Study and Environmental
Assessment application for the development of the Schaft Creek project;
potential existence and size of mineralization within the Schaft Creek
project; estimated timing and amounts of future expenditures and
'earn-back' options; geological interpretations and potential mineral
recovery processes. Information concerning mineral reserve and
resource estimates also may be deemed to be forward-looking information
in that it reflects a prediction of the mineralization that would be
encountered if a mineral deposit were developed and mined.
In connection with the forward-looking information contained in this
news release, Copper Fox has made numerous assumptions, regarding,
among other things: the geological, metallurgical, engineering,
financial and economic advice that Copper Fox has received is reliable,
and is based upon practices and methodologies which are consistent with
industry standards; and the continued financing of the Feasibility
Study; and the anticipated analytical results of the current drilling
program. While Copper Fox considers these assumptions to be
reasonable, these assumptions are inherently subject to significant
uncertainties and contingencies. Additionally, there are known and
unknown risk factors which could cause Copper Fox's actual results,
performance or achievements to be materially different from any future
results, performance or achievements expressed or implied by the
forward-looking information contained herein. Known risk factors
include, among others: the actual mineralization in the Schaft Creek
deposit may not be as favourable as suggested by the updated resource
estimate; another deposit may never be discovered on Copper Fox's
property, or contain anticipated mineralization, or mineralization of
any significance at all; the Feasibility Study or the Environmental
Assessment may not be completed within the contemplated time frame, or
at all; the possibility that the analytical results from the core
sampling does not return significant grades of copper mineralization;
the possibility that future drilling on the Schaft Creek project may
not occur on a timely basis, or at all; fluctuations in copper and
other commodity prices and currency exchange rates; uncertainties
relating to interpretation of drill results and the geology, continuity
and grade of mineral deposits; uncertainty of estimates of capital and
operating costs, recovery rates, and estimated economic return; the
need to obtain additional financing to develop properties and
uncertainty as to the availability and terms of future financing; the
possibility of delay in exploration or development programs or in
construction projects and uncertainty of meeting anticipated program
milestones; uncertainty as to timely availability of permits and other
governmental approvals
A more complete discussion of the risks and uncertainties facing Copper
Fox is disclosed in Copper Fox's continuous disclosure filings with
Canadian securities regulatory authorities at www.sedar.com. All forward-looking information herein is qualified in its entirety
by this cautionary statement, and Copper Fox disclaims any obligation
to revise or update any such forward-looking information or to publicly
announce the result of any revisions to any of the forward-looking
information contained herein to reflect future results, events or
developments, except as required by law.
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Investor line 1-866-913-1910 or J. Michael Smith, EVP, at 1-604-689-5080