Copper Fox Drilling Continues to Intersect Deep Higher Grade Copper-Gold-Molybdenum Mineraliztion at Schaft Creek Environmental Assessment Process Reaches Milestone
copperfoxmetals.com.
Vancouver, British Columbia - December 14, 2010 - Copper Fox Metals Inc. (TSX-Venture: CUU) is very pleased to announce additional assay results from the ongoing diamond drilling program at the Schaft Creek porphyry deposit located in north western British Columbia. The drilling program is concentrating on an area of the deposit that is 600 metres (m) long by 200m wide to: i) establish a higher grade starter pit on surface and ii) to test for higher grade copper-gold mineralization at depth. Highlights are as follows:
Highlights:
- diamond drill hole (DDH) CF399 has extended the mineralization 175m to the east and 125m at depth. DDH CF401 has extended the mineralization a further 130m to the east and 100m at depth. The mineralization on both sections is open at depth and to the east,
- DDH CF399 intersected 0.39% copper, 0.10 g/t gold and 0.05% molybdenum and 2.09 g/t silver (0.67% copper equivalent) from 9.14m to 517.24m a core interval of 508.1m,
- DDH CF399 includes a higher grade interval of 0.45% copper, 0.33 g/t gold and 0.06% molybdenum and 3.01 g/t silver (0.94% copper equivalent) from 462.7m to 517.24m, a core interval of 54.5m at the bottom of the hole,
- DDH CF401 intersected 0.43% copper, 0.25g/t gold, 0.04% molybdenum and 2.40 g/t silver (0.75% copper equivalent) from 5.66m to 495.9m a core interval of 489.5m,
- DDH CF401 includes a higher grade interval of 0.66% copper, 0.50g/t gold, 0.04% molybdenum, 3.10 g/t silver (1.17% copper equivalent) from 345.4m to 429.2m, a core interval of 83.8m at the bottom of the hole, and
- copper and gold grades increase substantially in the lower portions of DDH CF399 and DDH CF401 similar to that seen in DDH CF398 and both holes are open at depth.
Mr. Stewart, President of Copper Fox stated, "We are very encouraged with the higher grades and significant extension of the mineralization to depth and to the east. The first three drill holes completed in 2010 indicate that the IP anomaly correlates to the significantly higher copper and gold grades intersected at depth. We are currently waiting for the assays results of DDH CF402 located 150m north of DDH CF398 to determine if this trend continues along strike. Of significant interest to the potential of the Schaft Creek deposit is a 600m wide portion of the IP anomaly located east of the current drilling that remains to be tested."
Diamond Drilling Update:
The weighted average grades for the mineralized intervals in DDH CF398 (previously reported) DDH CF399 and DDH CF401 are set out below in Table-1.
(See link for tables)
DDH CF399 was terminated earlier than expected due to drilling difficulties. The mineralization in DDH CF399 is hosted in potassic altered intrusive breccia overprinted by abundant vein controlled prophylitic alteration. The last sample in this hole at a vertical depth of 433m below surface assayed 1.03 % copper, 0.11% molybdenum, 0.26 g/t gold and 2.0 g/t silver over an interval of 0.5m. The molybdenum concentrations at the bottom of this hole are significantly higher than in DDH CF398 and DDH CF401.
The mineralization in DDH CF401 is also hosted in potassic altered intrusive breccia overprinted by abundant vein controlled prophylitic alteration. Three very thick (approximately 15m to 30m) barren post mineralization mafic dikes were intersected in this hole. The inclusion of these un-mineralized intervals has reduced the weighted average grade of the drill hole. The average copper and gold grades in the bottom portion of this hole are the highest intersected to date in the 2010 drilling program. The core interval from 429.2m to 459m is a barren post mineralization mafic dike. From 459m to the end of the hole is mineralized. Mineralization was intersected in this hole to a vertical depth of 399m below surface.
Table-2: (See link)
Re-sampling Historical Drill Holes;
The re-sampling of some of the historical diamond drill holes (completed between 1960 and 1985) is progressing well. The results of the re-sampling program will be released when a sufficient number of assays are available. These results will be included in the updated resource estimate.
Environmental Assessment Update:
Copper Fox is pleased to announce that the 30 day public comment period for the draft Application Information Requirements (AIR) ended on November 5, 2010. Copper Fox expects to finalize the AIR by the end of the year. This is the last major milestone in the pre-Application stage of the environmental assessment process for the Schaft Creek project. Copper Fox will now focus on completing the Environmental Assessment Application for review by the British Columbia Environmental Assessment Office, the Canadian Environmental Assessment Agency and the Tahltan Nation.
Future Drilling Plans:
The current drilling program is expected to continue until December 22, at which time drilling will be temporarily suspended for the holidays. Plans for resumption of the drilling program in January 2011 are underway, contingent on assay results from the outstanding drill holes of the 2010 drilling program. DDH CH406 is currently in progress and is expected to be completed before the holiday break. The re-sampling program is also expected to resume in early January 2011.
Diamond Drilling and Sampling Procedures:
The diamond drilling was completed using 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. Sample intervals ranged from 0.58m to 2.49m. 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%, Ag >2 g/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 a 9001:2008 International Standard Organization rating.
Copper equivalent calculations are based on 100% 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 $US1,075.00/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) focused on completing a Feasibility Study on the Schaft Creek deposit, one of the largest undeveloped copper, gold, molybdenum and silver deposits in North America. Categorized as a "giant porphyry deposit" this project is at the advanced development stage with a Preliminary Feasibility Study ("PFS") prepared by Samuel Engineering, Inc. of Denver, Colorado, in September 2008. The results of the PFS were extremely "robust" reporting a NPV @ 8% (before tax) of $2.8 billion dollars over a 23 year mine life. They contemplated processing 100,000 tonne per day ("tpd") from an open pit mine using a standard flotation recovery process. The PFS estimated the current Mineral Resources (using a 0.2% copper equivalent cutoff) at Schaft Creek includes; Measured Resources of 436.5 million tonnes grading 0.30% copper, 0.23 g/t gold, 0.02% molybdenum and 1.55 g/t silver, Indicated Resources of 929.8 million tonnes grading 0.23% copper, 0.15 g/t gold, 0.02% molybdenum and 1.56 g/t silver. The PFS projected a recovery of 4.8 billion pounds of copper, 255 million pounds of molybdenum, 4.5 million ounces of gold and 32.5 million ounces of silver.
A Feasibility Study on a minimum 120,000 tpd open pit mine is expected to be completed in early 2011.
Copper Fox holds title and a 100% working interest in a contiguous 21,025 hectares (51,954 acres) property which includes the Schaft Creek deposit subject to certain royalty agreements and an earn back option. Teck Resources Limited ("Teck") has an option to acquire 20%, 40% or 75% of the Schaft Creek project which is triggered upon completion of the 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 ($55 million to date) 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. |
