Four Diamond Drill Rigs and up to 35,000m of Regional Drilling Planned for
2023
Tesla Drilling Already Underway Ahead of
Winter Drill Program
Increased Drilling Capacity to Further Unlock
Potential District Scale Opportunity
Long Lead-Time Items Procured at Prices
In-Line with Feasibility Study Estimates
VANCOUVER, BC, Nov. 30,
2022 /CNW/ - Foran Mining Corporation (TSXV:
FOM) (OTCQX: FMCXF) ("Foran" or the "Company") is pleased to
announce details of its expanded 2023 exploration program at its
McIlvenna Bay project in Saskatchewan, as well as an update on the
Company's ongoing Advanced Exploration Decline program.
Dan Myerson, Foran's Executive
Chairman & CEO, commented "2022 has been a truly
transformative year for the Company. Following the announcement of
our initial phase feasibility study, Foran made a significant
near-mine discovery in the Tesla Zone, and also announced the
proposed strategic investment by Ontario Teachers' Pension Plan.
However, our greatest success has been the growth of our most
important commodity: people, as we continue to bolster our talented
team and culture. We look to carry this strong momentum into 2023
as we further de-risk McIlvenna Bay, with credit facility
discussions progressing very positively and expanded exploration
activities underway to potentially unlock the untapped value of our
properties towards building Canada's next great mining district. Foran's
core principle is to maximize risk-adjusted value per share for
existing shareholders with efficient capital allocation and enhance
the lives of all stakeholders along every step our journey. Given
the scarcity of critical metal assets in safe jurisdictions, Foran
is committed to striving to deliver superior investment returns
using our three-pillared strategy: 1) achieve initial phase
production 2) explore, define and scale new resources, and 3) base
and precious metal production in line with our Net Positive
business supporting Canadian decarbonization targets in a socially
empowering way. We look forward to sharing more exciting updates
and exploration results later this year, throughout 2023, and
beyond."
2023 Regional Exploration Plan
Overview
Year to date, Foran has been active across its properties
drilling 12,610 metres ("m") using one drill rig, with the majority
of drilling conducted at Tesla and Bigstone/Marconi. In 2023, Foran
is targeting 35,000m in near-mine and
regional exploration in addition to completing geophysics and
compilation work, with a total direct spend of approximately
C$18 million.
Tesla Zone
Following the new discovery of the Tesla Zone (please see our
June 8, 2022 press release), Foran
will be significantly ramping up its drilling activity at this
exciting near-mine target. Permits have been received and drilling
is already underway with one drill turning at Tesla. Up to three
drills are planned for the follow up 2023 program at Tesla, which
is designed to conduct broad step-out drilling on 100-200 metre
("m") spaced fences along strike of the defined conductor, with
associated wedge holes drilled to further test the zones up and
down dip. Priority drilling will test the extension to the
mineralized horizons to the south-east and up plunge towards the
McIlvenna Bay Deposit with a focus on understanding the
relationship between Tesla, McIlvenna Bay and potential synergies
for future growth of resources.
Foran anticipates drilling 12-15 holes during the winter
program, beginning in mid-January, with the full length of the
program to be determined by weather conditions supporting drilling
on the ice.
Regional Program
With our land package totalling approximately 1,472
km2, Foran has strategically staked and consolidated a
potentially transformational district. The Company has an extensive
portfolio of claims in and around the McIlvenna Bay and Bigstone
Deposits, as well as several new blocks of claims to the south of
the known deposits: Galvani, Curie and Becquerel. In addition to
near mine exploration, work to prioritize regional targeting for
follow up in 2023 and 2024 is now underway.
Detailed geological, geochemical and structural studies
currently being conducted on both the McIlvenna Bay Deposit and
region, the Bigstone Deposit and region, as well as the newly
discovered Tesla Zone are feeding into a new understanding and an
enhanced exploration model for the region. New prospective horizons
and targets within our extensive land holdings have been identified
for planned drill testing in 2023 and 2024.
The recently acquired Galvani, Curie, and Becquerel claims have
been under evaluation and priority areas have been identified for
permitting and follow-up groundwork. In 2023 and 2024, Foran plans
to conduct several exploration programs designed to further assess
the identified targets on these mineral claims. Future adjustments
to land holdings in the area may be completed to optimize Foran's
position based on the results of those programs and the work of the
project generation team.
TruScan Technology Opportunities
In May 2022, Foran contracted
Boart Longyear to provide TruScan services, an Energy Dispersive
X-Ray Fluorescence (ED-XRF) system that provides continuous
elemental abundances of selected elements in conjunction with
simultaneous automated recording of structural data and core
photography. McIlvenna Bay is one of only five projects in
North America that are currently
using this technology. The data collected is currently used for
detailed chemostratigraphy in support of the ongoing exploration
efforts, with a pilot study ongoing to investigate the feasibility
of integrating the data into a semiautomated logging process.
Should the study prove successful, TruScan could reduce future
reliance on labs, providing opportunities for time and cost savings
and improving the company's exploration strategy and turnaround
time. These savings and improved capital allocation would apply to
both to the exploration and mining cycle while providing a data set
of superior spatial resolution, quality, and consistency. To date,
over 13,000m of historical core and
2,500m of exploration core has been
scanned using the TruScan system at Foran's McIlvenna Bay
property.
2022 Tesla Drilling
Following the discovery of the Tesla Zone this year, subsequent
drilling has intersected significant mineralization across
200m of strike, including several
high-grade intervals of massive to semi-massive sulphide
mineralization containing significant copper and zinc. Figure 3
shows a 200m wide preliminary section
through the Tesla Zone based on the intersections of TS-22-03,
TS-22-03w2 (both previously disclosed) and TS-22-04 (new). A
tabulation of significant assay results returned from the Tesla
drilling to date is provided in Table 1
below.
Initial interpretations of geophysics, logging and oriented core
data indicate the potential for a series of steeply dipping,
stacked lenses or zones of disseminated and fracture fill sulphide
mineralization, massive sulphides and stockwork veins within a
package of highly altered volcanic sequences. Drilling at the Tesla
target is still in its early days and these identified zones of
mineralization remain open for potential expansion with further
drilling.
Geophysical surveys outline a conductor with potential
dimensions of ~900m (strike) by 300m
(width) associated with the Tesla Zone (Figure 2). The results
herein confirm that this conductor is, in part at least, a well
mineralized zone of copper and zinc sulphides. In order to properly
test the conductor, given its geometry and location adjacent to the
shoreline, future drill holes will need to be completed from
Hanson Lake. The drill program will
focus on defining the extents of the deposit, confirming geometry
and step outs towards the McIlvenna Bay Deposit.
Table 1 – Updated Tesla Assay Results1 (* Denotes
previously released)
Hole
|
From_m
|
To_m
|
Interval_m
|
Cu %
|
Zn %
|
Ag
g/t
|
Au
g/t
|
CuEq
%
|
TS-21-01*
|
947.3
|
949.3
|
2.0
|
0.05
|
1.27
|
1.21
|
0.01
|
0.5
|
TS-22-03*
|
822.7
|
824.3
|
1.5
|
0.68
|
1.35
|
7.5
|
0.36
|
1.4
|
TS-22-03*
|
866.1
|
897.4
|
31.4
|
1.05
|
0.20
|
8.5
|
0.19
|
1.3
|
Including
|
872.2
|
873.4
|
1.2
|
7.80
|
0.64
|
42.3
|
0.61
|
8.5
|
TS-22-03*
|
910.2
|
917.3
|
7.1
|
1.41
|
0.06
|
9.9
|
0.08
|
1.5
|
Including
|
915.7
|
917.3
|
1.6
|
3.57
|
0.12
|
26.8
|
0.12
|
3.8
|
TS-22-03*
|
927.1
|
928.9
|
1.8
|
1.39
|
8.99
|
17.0
|
0.13
|
4.9
|
Including
|
927.9
|
928.9
|
1.0
|
1.49
|
15.88
|
18.4
|
0.17
|
7.6
|
TS-22-03*
|
933.0
|
940.7
|
7.7
|
0.98
|
1.50
|
17.4
|
0.29
|
1.8
|
Including
|
939.2
|
940.7
|
1.6
|
0.35
|
4.16
|
14.5
|
0.32
|
2.1
|
TS-22-03*
|
948.2
|
953.1
|
5.0
|
0.71
|
2.62
|
21.8
|
0.32
|
1.9
|
Including
|
948.2
|
950.2
|
2.0
|
1.36
|
1.58
|
26.1
|
0.45
|
2.3
|
And
|
950.2
|
953.1
|
3.0
|
0.28
|
3.31
|
18.9
|
0.23
|
1.7
|
TS-22-03*
|
955.1
|
960.5
|
5.4
|
2.29
|
1.66
|
19.2
|
0.96
|
3.4
|
Including
|
959.1
|
960.2
|
1.1
|
7.19
|
3.62
|
44.2
|
3.63
|
10.4
|
TS-22-03w2*
|
808.1
|
812.0
|
3.9
|
3.00
|
2.72
|
20.3
|
0.97
|
4.1
|
Including
|
809.4
|
811.6
|
2.2
|
4.23
|
3.99
|
28.1
|
1.27
|
6.4
|
TS-22-03w2*
|
831.5
|
834.9
|
3.4
|
1.44
|
1.09
|
11.4
|
0.29
|
2.0
|
Including
|
833.8
|
834.3
|
0.6
|
3.25
|
0.60
|
23.7
|
0.86
|
4.0
|
TS-22-03w2*
|
847.0
|
849.0
|
2.0
|
2.17
|
1.19
|
30.0
|
0.74
|
3.1
|
TS-22-03w2*
|
860.9
|
871.0
|
10.1
|
1.39
|
0.32
|
12.8
|
0.29
|
1.7
|
Including
|
861.4
|
863.8
|
2.4
|
2.21
|
0.36
|
15.5
|
0.46
|
2.6
|
TS-22-03w2*
|
875.5
|
887.4
|
11.9
|
1.18
|
13.04
|
16.9
|
0.20
|
6.2
|
Including
|
882.0
|
887.4
|
5.4
|
1.66
|
22.50
|
18.7
|
0.05
|
10.2
|
TS-22-03w2*
|
887.4
|
904.5
|
17.2
|
0.86
|
0.26
|
8.2
|
0.03
|
1.0
|
Including
|
900.6
|
904.5
|
3.9
|
1.13
|
0.43
|
10.2
|
0.07
|
1.4
|
TS-22-02w2*
|
919.4
|
921.8
|
2.4
|
2.47
|
1.33
|
20.7
|
0.25
|
3.2
|
Including
|
920.2
|
920.7
|
0.6
|
6.50
|
3.02
|
51.9
|
0.09
|
7.9
|
TS-22-03w2*
|
957.7
|
960.0
|
2.3
|
0.01
|
1.80
|
13.4
|
0.08
|
0.8
|
Including
|
957.7
|
958.5
|
0.8
|
0.01
|
2.38
|
26.0
|
0.13
|
1.2
|
TS-22-03w2*
|
977.0
|
979.0
|
2.0
|
0.07
|
2.04
|
6.5
|
0.19
|
1.0
|
TS-22-03w2*
|
1017.8
|
1021.8
|
4.0
|
0.02
|
1.04
|
4.3
|
0.10
|
0.5
|
TS-22-04
|
803.5
|
805.4
|
1.9
|
1.69
|
0.51
|
11.5
|
0.76
|
2.3
|
Including
|
804.8
|
805.4
|
0.6
|
3.15
|
0.94
|
21.4
|
1.45
|
4.3
|
TS-22-04
|
926.4
|
935.4
|
9.0
|
0.89
|
0.57
|
7.6
|
0.01
|
1.2
|
Including
|
927.1
|
932.0
|
4.8
|
1.11
|
0.25
|
8.1
|
0.01
|
1.3
|
TS-22-04
|
938.1
|
940.5
|
2.4
|
0.98
|
0.38
|
5.0
|
0.06
|
1.2
|
Including
|
939.6
|
939.9
|
0.3
|
2.53
|
0.21
|
12.4
|
0.09
|
2.7
|
TS-22-04
|
952.9
|
955.0
|
2.1
|
0.83
|
0.18
|
6.9
|
0.16
|
1.0
|
Including
|
952.9
|
953.9
|
0.9
|
1.36
|
0.33
|
11.3
|
0.26
|
1.7
|
Note: Intersections are
not true width. Intervals generally composited using a 0.5% Cu
cut-off grade. 1Copper Equivalent values calculated
using metal prices of $4.00/lb Cu, $1.50/lb Zn, $20.00/ounce Ag and
$1,800/ounce Au.
|
Advanced Exploration Decline Program Update
The Company's ongoing advanced exploration program has been
proceeding well throughout 2022, with photo updates below.
Development of the boxcut and portal has now been completed and the
decline has been developed to approximately 130m in length. Importantly, the decline
development has now proceeded through the previously identified
sandstone layer, which progressed slower than planned due to the
need for additional ground support, consumables and grouting. The
exploration decline, surface preparation and the purchase of
various equipment and infrastructure items are also expected to be
used in future production if the project is fully approved for
construction.
Development to-date has confirmed critical geotechnical and
hydrogeological information that will support detailed engineering
and be incorporated into the overall project design and schedule.
Water is discharging from decline development to an on-surface
containment pond at an average rate of ~200m3 per day,
below planned flow rates of 300m3/day. As winter approaches, the
Company has conservatively elected to pause decline development and
focus on conducting a bulk sampling program using surface diamond
drilling methodologies. It is anticipated that larger diameter (PQ)
core will be utilized for the drilling, which will allow large
samples to be collected from material scheduled in the first three
years of anticipated production and provide a more representative
sample suite for metallurgical and paste testwork. Considering work
completed to-date, further development of the exploration decline
is not anticipated to be on the critical path to the overall
project schedule and the Company expects development to resume in
spring 2023 once the required water discharge permits are
received.
Detailed Engineering & Early Works
Foran is also pleased to announce the engagement of DRA Americas
Inc. (a subsidiary of DRA Global Ltd. ASX:DRA) to lead detailed
engineering and procurement effort as the Company plans towards a
full construction decision. The Company has also been active in
securing long lead time items, with procurement now secured for the
semi-autogenous grinding ("SAG") and ball mills and primary crusher
at market pricing in-line with feasibility study estimates. Foran
remains committed to de-risking McIlvenna Bay towards a full
construction decision and will provide further updates as
appropriate.
Quality Assurance and Quality Control
Drilling was completed using NQ size diamond drill core and core
was logged by employees of the Company. During the logging process,
mineralized intersections were marked for sampling and given unique
sample numbers. Sampled intervals were sawn in half using a diamond
blade saw. One half of the sawn core was placed in a plastic bag
with the sample tag and sealed, while the second half was returned
to the core box for storage on site. Sample assays are performed by
the Saskatchewan Research Council ("SRC") Geoanalytical Laboratory
in Saskatoon, Saskatchewan. SRC is
a Canadian accredited laboratory (ISO/IEC 17025:2017) and
independent of Foran. Analysis for Ag, Cu, Pb and Zn is performed
using ICP-OES after total multi-acid digestion. Au analysis is
completed by fire assay with ICP-OES finish. A complete suite of
QA/QC reference materials (standards, blanks and pulp duplicates)
are included in each batch of samples processed by the laboratory.
The results of the assaying of the QA/QC material included in each
batch are tracked to ensure the integrity of the assay data.
Qualified Person
Mr. Roger March, P. Geo., Senior
Geoscientist for Foran, is the Qualified Person for all technical
information herein and has reviewed and approved the technical
information in this release.
The Company's head office is located at 409 Granville Street,
Suite 904, Vancouver, BC,
Canada, V6C 1T2, and Common Shares
of the Company are listed for trading on the TSXV under the symbol
"FOM".
Neither the 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.
About Foran Mining
Foran Mining is a copper-zinc-gold-silver exploration and
development company, committed to supporting a greener future,
empowering communities and creating circular economies which create
value for all our stakeholders, while also safeguarding the
environment. The McIlvenna Bay project is located entirely
within the documented traditional territory of the Peter Ballantyne
Cree Nation. The Company also owns the Bigstone project, a
resource-development stage deposit located 25km southwest of its
McIlvenna Bay project.
McIlvenna Bay is a copper-zinc-gold-silver rich VHMS deposit
intended to be the centre of a new mining camp in a prolific
district that has already been producing for 100 years. McIlvenna
Bay sits just 65km West of Flin Flon,
Manitoba and is part of the world class Flin Flon Greenstone
Belt that extends from Snow Lake,
Manitoba, through Flin Flon
to Foran's ground in eastern Saskatchewan, a distance of over 225km.
McIlvenna Bay is the largest undeveloped VHMS deposit in the
region. The Company announced the results from its Feasibility
Study on February 28, 2022, outlining
that current mineral reserves would potentially support an 18-year
mine life producing an average of 65 million pounds of copper
equivalent annually. The Company filed a NI 43-101 Technical Report
for the McIlvenna Bay Feasibility Study on April 14, 2022. The Company filed a NI 43-101
Technical Report for the Bigstone Deposit resource estimate on
February 11, 2022. Investors are
encouraged to consult the full text of these technical reports
which may be found on the Company's profile on www.sedar.com.
Foran trades on the TSX.V under the symbol "FOM" and on the
OTCQX under the symbol "FMCXF".
Forward Looking Statements
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS
This news release contains certain forward-looking information
and forward-looking statements, as defined under applicable
securities laws (collectively referred to herein as
"forward-looking statements"). These statements relate to future
events or to the future performance of Foran Mining Corporation
(the "Company") and reflect management's expectations and
assumptions as of the date hereof or as of the date of such forward
looking statement.
All statements other than statements of historical fact are
forward-looking statements. Often, but not always, forward-looking
statements can be identified by the use of words such as "plans",
"expects", "is expected", "budget", "scheduled", "estimates",
"continues", "forecasts", "projects", "predicts", "potentially",
"intends", "likely", "anticipates" or "believes", or variations of,
or the negatives of, such words and phrases, or state that certain
actions, events or results "may", "could", "would", "should",
"might" or "will" be taken, occur or be achieved. Forward-looking
statements involve known and unknown risks, uncertainties and other
factors that may cause actual results to differ materially from
those anticipated in such forward-looking statements. The
forward-looking statements in this news release speak only as of
the date of this news release or as of the date specified in such
statement.
Inherent in forward-looking statements are known and unknown
risks, estimates, assumptions, uncertainties and other factors that
may cause the actual results, performance or achievements of the
Company to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements contained in this news release. These
factors include management's belief or expectations relating to the
following and, in certain cases, management's response with regard
to the following: The proposed strategic investment by Ontario
Teaches Pension Plan; the status and progression of credit facility
discussions; unlocking the untapped value of the Company's
properties, delivery of superior or any investment returns; scale,
scope and location of future exploration and drilling activities;
the potential for the Company's land package to be
transformational, the focus of the Company's future drill programs,
the incorporation of geotechnical and hydrogeological information
into the overall project design; The long-term investment
horizon of shareholders; The growth of the Company from developer
to producer; The certainty of funding; The future of the Company;
De-risking McIlvenna Bay; Delivering on the Company's Net Positive
Business strategy; Ownership and reliance on the Company's mineral
projects; The Company's history of losses and potential inability
to generate sufficient revenue to be profitable or to generate
positive cash flow on a sustained basis; The Company's statements
about the expected life of mine, productive capacity and other
technical estimates on its projects, and the Company's reliance on
technical experts with respect thereto; The Company's exposure to
risks related to mineral resources exploration and development;
Impact of the COVID-19 Pandemic, Infectious Diseases and Other
Health Crises on the Company; Global financial volatility and its
impact on the Company; The impact of the Russia-Ukraine conflict; Government, securities, and
stock exchange regulation and policy; Legal proceedings which may
have a material adverse impact on the Company's operations and
financial condition; Capital market conditions and their effect on
the securities of the Company; Insurance and uninsurable risks;
Environmental, health and safety regulation and policy; Mining
hazards and risks; Title rights to the Company's projects;
Indigenous peoples' title and other legal claims; Mineral resource
and mineral reserve estimates; Uncertainties and risks relating to
the Feasibility Studies; Fluctuations in commodity prices,
including metals; Competition; Expertise and proficiency of
management; Limited operating history; The availability of future
financing; Dilutive effects; Impacts of global climate change and
natural disasters; Inadequate infrastructure; Relationships with
local communities; Reputational damage; Risks arising from the
Company's reliance on financial instruments; Risks arising from
future acquisitions; Management conflicts of interest; Security
breaches of the Company's information systems; and the additional
risks identified in our Annual Information Form dated June 8, 2022 and other securities filings with
Canadian securities regulators available at www.sedar.com.
The forward-looking statements contained in this news release
reflect the Company's current views with respect to future events
and are necessarily based upon a number of assumptions that, while
considered reasonable by the Company, are inherently subject to
significant operational, business, economic and regulatory
uncertainties and contingencies. Although the Company 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, described or intended. Readers
are cautioned against undue reliance on forward-looking statements
and should note that the assumptions and risk factors discussed
above do not contain an exhaustive list of the factors or
assumptions that may affect the forward-looking statements, and
that the assumptions underlying such statements may prove to be
incorrect. Actual results and developments are likely to differ,
and may differ materially, from those expressed or implied by the
forward-looking statements contained in the Company's securities
filings and this news release. All forward-looking statements
herein are qualified by this cautionary statement. The Company
undertakes no obligation to update publicly or otherwise revise any
forward-looking statements whether as a result of new information
or future events or otherwise, except as may be required by
law.
SOURCE Foran Mining Corporation