VANCOUVER, Feb. 16, 2012 /CNW/ -Copper Fox Metals Inc. (TSX-Venture: CUU) is pleased to announce the
balance of the assay results from the 2011 diamond drilling program
completed on the Schaft Creek deposit. The locations of 2011 drill
holes are shown on the Copper Fox website at www.copperfoxmetals.com. Highlights are:
-
Diamond Drill Hole ("DDH") DDHCF418B-2011 intersected 0.30% copper,
0.06g/t gold, 0.038% molybdenum and 1.57g/t silver (0.56% CuEq) over a
324m core interval starting at a core length of 255.6m. This hole also
contains a 52m interval grading 0.72g/t gold and 2.29g/t silver
starting at a core depth of 580.4m,
-
DDH CF422-2011 located 1,200m north of the Paramount zone intersected a
new zone of mineralization that averaged 0.15% copper, 0.06g/t gold,
0.010% molybdenum and 1.01g/t silver (0.25% copper equivalent) over an
interval of 235m starting at a core length of 83.0m,
-
DDH CF422-2011 intersected the western edge (a 75m wide portion) of a
large 1,800m long by 800m wide chargeability anomaly located within the
Schaft Creek Mineral Trend and
-
DDHCF420-2011 intersected 0.31% copper, 0.10g/t gold, 0.014% molybdenum
and 1.25g/t silver
-
(0.46% CuEq) over a core interval of 328.0m starting at a core depth of
326.0m including a 127m interval of 0.42% copper, 0.15 g/t gold, 0.025%
molybdenum and 2.44 g/t silver (0.67% CuEq) starting at a core depth of
527.0m,
-
DDHCF425-2011intersected two intervals of mineralization including 0.38%
copper, 0.12g/t gold, 0.021% molybdenum and 2.20g/t silver (0.58% CuEq)
over a core interval of 63.7m starting at a core length of 566.0m.
Mr. Stewart, President of Copper Fox stated, "The interpretation that
the Schaft Creek Mineral Resource could host other deposits is strongly
supported by the mineralization in DDHCF422-2011. Although a
considerable amount of drilling is required to delineate and determine
the significance of this discovery, the continuity of the
mineralization and its location on the western edge of a large strong
chargeability anomaly suggests that this zone has considerable
potential. This discovery marks a significant milestone in
understanding the mineral potential of the Schaft Creek project.
DDHCF418B, DDHCF420-2011 and DDHCF425-2011 were drilled between the
Paramount and Liard zones and demonstrate continuity of the
mineralization along strike and at depth. These holes contain higher
grade intervals which although narrowing to the south are hosted in
broad zones of copper mineralization with lower gold and molybdenum
concentrations."
Diamond Drilling Analytical Results:
The weighted average grade for the mineralized intervals was estimated
using a zero cutoff grade. Internal intervals that exceed 20 metres in
length are excluded from the weighted average calculation, see table
below. DDH418-2011 was terminated due to drilling difficulties.
DDH418B-2011 is located at the same collar as DDH418-2011
DDH ID | Dip | Azimuth | From (m) | To (m) | Interval (m) | copper (%) | gold (g/t) | silver (g/t) | molybdenum (%) | Cu Eq (%) |
CF418B-2011
|
-60
|
270
|
41.6
117.6
255.6
580.4
|
117.6
255.6
580.4
632.4
|
76.0
138.0
324.8
52.0
|
0.150
0.214
0.301
0.065
|
0.030
0.060
0.060
0.710
|
0.46
1.08
1.57
2.29
|
0.003
0.017
0.038
0.002
|
0.19
0.35
0.56
0.51
|
CF422-2011
|
-50
|
90
including
|
83.0
119.3
|
318.0
157.4
|
235.0
38.1
|
0.146
0.273
|
0.060
0.092
|
1.01
2.10
|
0.010
0.010
|
0.25
0.36
|
CF421-2011
|
-60
|
90
|
|
|
|
No Significant Mineralization
|
|
|
|
|
CF420-2011
|
-55
|
270
including
|
326.0
527.0
|
654.0
654.0
|
328.0
127.0
|
0.306
0.416
|
0.100
0.150
|
1.25
2.44
|
0.014
0.025
|
0.46
0.67
|
CF424-2011
|
-55
|
270
|
31.3
112.8
|
51.5
122.8
|
20.2
10.0
|
0.297
0.154
|
0.034
trace
|
1.65
0.66
|
0.002
trace
|
0.34
0.16
|
CF425-2011
|
-55
|
260
|
186.0
502.3
|
450.6
566.0
|
264.6
63.7
|
0.247
0.376
|
0.050
0.120
|
0.86
2.2
|
0.007
0.021
|
0.32
0.58
|
Mineralized intervals included in the above table do not represent true
thickness
DDH CF418B-2011: was completed to test the continuity of the mineralization in an area
between the Paramount and Liard zones where very little information
previously existed. This hole intersected a significant zone of
higher-grade mineralization below DDHCF403-2010 (see News Release dated
February 13, 2011). Disseminated and fracture/veinlet controlled
chalcopyrite, bornite and molybdenite occur in phyllic altered
polylithic breccia and andesite. The significant interval of higher
grade gold-silver mineralization at the bottom of this hole appears to
represent a new style of mineralization that was not previously
intersected in the 2010 and 2011 drilling programs.
DDH CF420-2011: was also completed to test the continuity of the mineralization in an
area between the Paramount and Liard zones. This hole intersected a
broad zone of copper mineralization which includes a 127.0m interval of
higher-grade mineralization. Disseminated and fracture/veinlet
controlled chalcopyrite, bornite and molybdenite occur in phyllic
altered andesite including an interval of higher grade gold-silver
mineralization in the interval from 527.0m to 654.0m.
DDH CF425-2011: was also completed to test the continuity of the mineralization in an
area between the Paramount and Liard zones. This hole intersected two
significant intervals of mineralization in phyllic altered andesite and
tourmaline breccia. The 52m interval between the mineralized intervals
reported in the above table contained low grade (<0.10%) copper values
hosted in andesite. The extent of the mineralization in this hole to
the west has been delineated.
DDH CF422-2011: is located approximately 1,200m north of the Paramount Zone and was
drilled for geotechnical/exploration purposes. This hole intersected
copper-molybdenum mineralization at a core interval of 83m and remained
in a similar style mineralization to the bottom of the hole at 318m.
The mineralization shows a strong correlation to the outer edge (and
weaker chargeability) of a large (1,800m by 800m) Titan-24
chargeability anomaly, the strongest portion of which occurs east of
the drill hole collar location and remains untested by drilling.
DDH CF421-2011: was drilled for geotechnical purposes south of the Liard zone to
sterilize this area for waste dump planning for the feasibility study.
This hole intersected several narrow (less than 4m apparent thickness)
of low grade (0.10% to 0.15%) copper mineralization.
DDH CF424-2011: was completed to test the continuity of the mineralization intersected
in DDHCF423-2011 (see News Release dated January 13, 2012). This hole
intersected one significant interval of mineralization that appears to
correlate with the mineralization in DDHCF423-2011.
Diamond Drilling and Sampling Procedures:
The diamond drilling was completed using an HQ and NQ core size. Overall
core recovery was estimated to be greater than 99%. After cutting, one
half of the core is 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 0.90 to 3.10 metres. The majority of
the sample intervals were 2.0m. 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% for copper
plus 81% for gold, 72% for molybdenum and 71% for silver. Metal prices
are copper $US2.50/pound, gold $US1,075.00/ounce, molybdenum
$US17.00/pound and silver $US16.10/ounce. Copper Fox is using these
input data to allow the reader to relate the average grades of the
mineralized intervals reported in 2010 and in 2011.
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) with a corporate office in Calgary and
operations office in Vancouver.
The Company is working on completing a feasibility study on the "giant
porphyry' Schaft Creek Mineral Deposit, one of the largest undeveloped
copper, gold, molybdenum and silver deposits in North America. The
feasibility study is being led by Tetra Tech WEI Inc. on a minimum
120,000 tpd open pit mine and is expected to be completed during the
first quarter of 2012.
Copper Fox holds title and a 100% working interest in a contiguous
21,024.96 hectare (51,954 acre) property which includes the Schaft
Creek deposit subject to a 3.5% Net Profits Interest held by Royal
Gold, Inc., a 30% carried Net Proceed Interest held by Liard and an
earn back option held by Teck Resources Limited ("Teck"). Copper Fox
is currently earning a 78% interest in Liard 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 ($74.2 as of December 1,
2011) 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.
In March 2011, the Company acquired mineral claims located adjacent to
the Schaft Creek property totaling 2,978.32 hectares (7,360 acres) (the
"March 2011 Mineral Claims") which are subject to a 2% Net Smelter
Return ("NSR"). Copper Fox has the option to repurchase, at any time,
one-half of the NSR on the March 2011 Mineral Claims for a total
purchase price of $3 million. In September 2011, the Company acquired
mineral claims located adjacent to the Schaft Creek property totaling
6,115.11 hectares (15,111 acres) (the "September 2011 Mineral Claims")
which are subject to a 2% NSR. Copper Fox has the option to
repurchase, at any time, one-half of the NSR on the September 2011
Mineral Claims for a purchase price of $1 million. The March 2011
Mineral Claims and the September 2011 Mineral Claims are subject to
inclusion with the Schaft Creek project under the terms of the Area of
Interest provisions of the Teck Option Agreement.
Additionally Copper Fox holds mineral claims totaling 3,947.06 hectares
(9,753 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 diamond drill
results of the 2011 drilling program which included the discovery of a
new mineralization Zone 1,200 metres north of the Schaft Creek Deposit
the 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.
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 metallurgical test work on the core samples does
not recover significant percentages 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, the
completed drill holes for which analytical results are not available
may not return significant concentrations of either copper, gold,
molybdenum or silver; commodity prices and currency exchange rates;
uncertainties relating to interpretation of drill results and the
geology, continuity and grade of mineral deposits and there is no
guarantee that either additional drilling around DDHCF422-2011 or
drilling of the Titan-24 chargeability anomaly will intersect
significant mineralization, the uncertainty of the 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.
<p> Investor line 1-866-913-1910 or J. Michael Smith, EVP, at 1-604-689-5080 </p>