REG - First Class Metals - Operation Update on Ontario Exploration

FIRST CLASS METALSAnnouncement

08/06/2023 07:00

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RNS Number : 0250C  First Class Metals PLC  08 June 2023

The information contained within this announcement is deemed to constitute
inside information as stipulated under the retained EU law version of the
Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK
law by virtue of the European Union (Withdrawal) Act 2018. The information is
disclosed in accordance with the Company's obligations under Article 17 of the
UK MAR. Upon the publication of this announcement, this inside information is
now considered to be in the public domain.

 

FIRST CLASS METALS PLC

8(th) June 2023

Operations Update on Ontario Exploration

 

First Class Metals PLC ("First Class Metals" "FCM" or the "Company") the UK
metals exploration company focused on the discovery of economic metal deposits
across its extensive Canadian - northwest Ontario, land holding is pleased to
provide an update on exploration activities.

 

Highlights

 

·    Zigzag Lithium-Initial reconnaissance trip with the property
completely under the cover of snow returns grades of Lithium (Li) up to 1.00%
and Tantalum (Ta) up to 198 ppm.

·    McKellar REE Diatreme-Channel sampling of diatreme verifies
historical findings and further evidenced Rare Earth Element (REE) system.

·    Esa-Extensive soil sampling campaign to build on the successful 2022
program completed with 539 samples now awaiting assay results.

·    Sunbeam-Historic data and core reviews completed alongside extensive
prospecting, sampling, and mapping program which includes rediscovery of a 3m
wide quartz vein on the Pettigrew Trend.

·    North Hemlo-Exploration at North Hemlo initiated focused on the Dead
Otter trend.

 

Marc J. Sale CEO First Class Metals Commented:

"FCM remains focussed on bringing four of our key properties to drill ready
status this field season. It is our stated intent, permits notwithstanding, of
drilling at least one of these properties this season. The 2023 field season
has started well and with the support of EGS(( 1 )) I feel we are currently on
track to accomplishing this objective".

 

Zigzag Lithium

The 6 claim Zigzag claim block is situated in a developing, prolific lithium
endowered pegmatite belt, 60km northeast of Armstrong, Ontario.  During a
winter reconnaissance of the Zigzag property in order to assess access the
team identified an old trench for which sample information was not available.
Four samples were collected from the in situ debris flanking the trench. The
results, tabulated below validate previous sampling, with values up to 1.0%
(10,000ppm):

 

 Sample number  Lithium (Li) ppm  Tantalum (Ta) ppm
 A1104880       1390              184
 A1104881       5070              84.7
 A1104882       10000             139
 A1104883       1180              198

Table 1-Zigzag grab sampling results

It is important to take these samples in context: this being that the site was
covered in several feet of snow and it was specifically an access appraisal
visit, that any samples were collected were a bonus. However to carry out
prospecting in such conditions and produce these results gives great
confidence on the wider mineralisation of the property.

The exploration programme , going forward when logistics and other factors
allow is to establish a temporary field camp at Zigzag to conduct a programme
of sawn channel sampling to quantify the distribution of metals (Li / Ta)
along the known 800m strike and width which is estimated at up to 20m.

The intention is to bring the Zigzag property to drill ready status this
season.

Picture 1-Sample of Zigzag spodumene

 

 

McKellar Polymetallic Project

FCM is pleased to announce the results from the recent sampling of the
McKellar diatreme have been received: not only confirming but enhancing the
historic sampling.

The McKellar property, comprising 66 claims covers 12.5km² is situated in
prime geological terrain within the Coldwell complex. Located to the west of
the Generation Mining's Palladium Project, McKellar is roughly 25 kilometres
from the town of Marathon, the main service centre for Barrick's Hemlo mine.

The property contains known 'showings' (historic sample points) for gold,
silver, and base metals as well as a diatreme with reported anomalous REE, see
Figure 1.

Figure 1 showing the histporical shownings at McKellar

The diatreme occupies a topographic low and occurs within a north trending
linear stricture. The breccia may have been emplaced within a shear or fault
zone, however, geologic data supporting this possibility are lacking.

In total 18 sawn channel samples of approximately 1m were collected across the
exposed diatreme, in addition 5 grab samples were also collect for assay.

In 2013 prospecting, the results of geological mapping and rock sampling (5
bedrock grab samples were taken) of the diatreme, results of which and other
assayed samples from the diatreme area are included in table 2 below along
with the results from the highest two samples from FCM's recent sampling.

 

 Element       Historical assay results for selected elements (including REE's), McKellar  FCM recent 2023 sampling showing two highest values, all ppm
               Creek Diatreme:
 Gold Au       25 ppb                                                                      N/A
 Platinum Pt   17 ppb                                                                      N/A
 Neodymium Nd  300 ppm                                                                     259, 205
 Lanthanum La  400 ppm                                                                     362, 253
 Beryllium Be  2.8 ppm                                                                     5 all others BLD
 Cerium Ce     513 ppm                                                                     653, 503
 Yttrium Y     214 ppm                                                                     287, 193
 Strontium Sr  1280 ppm                                                                    1410, 1360
 Thorium Th    180 ppm                                                                     145, 140
 U308          38 ppm                                                                      U:     32.8 23.4

Table2 showing the results of the reported historical and recent sampling by
FCM.

 

Picture 2 showing channel sample sawn into the diatreme outcrop and in the
process of being sampled

The Exploration Permit, after discussions with relevant First Nations, will be
submitted in the following days to the Ministry. The Permit when granted would
allow drilling if justified. However, a more systematic sampling of the
diatreme would be required prior any drilling to accurately define an initial
a programme, if warranted.

 

 

Sunbeam-Historical High Grade Gold Mine.

The Sunbeam property is situated in the Ramsay-Wright Township in the Superior
Province of the Canadian Shield, Ontario. The landscape consists of gently
rolling topography with a maximum relief of 40m. Vegetation is typical mixed
boreal forest. Located in north-west Ontario, the property is approximately
27km northeast of the town of Atikokan and 15km southeast of the Hammond Reef
gold deposit.

The Property hosts several sites of historic mine development and gold mining:
The Sunbeam Mine, the Roy Mine, and the Pettigrew Mine. Multiple other gold
occurrences are also known including the Road Zone, AL198 Zone, WN2 and the
Rubble 'occurrences'.

The Sunbeam Mine operated from 1898-1905. While there are no records of the
production totals for the mine from 1899-1903. In 1904, it was reported that
650 tons averaging 12.2 g/t was mined. Based on the 1903 inclined longitudinal
plan of the Sunbeam mine, it has been previously estimated that there could be
50,000-70,000t grading 13.0g/t Au remaining in the old workings

Additionally, the 'Roy' and Pettigrew' showings are on separate sub-parallel
mineralised trends to the Sunbeam mine, contained within roughly a 10km strike
identified for each trend, giving an aggregate 30km of exploration target.

The review of the historic data has significantly increased not only the
understanding of the geology and the potential of the property but also
increased the enthusiasm of the company to focus on bring this property to
drill ready status. This is highlighted by one section of a voluminous report
it was noticed a Geologist from the Ontario Survey visited the abandoned mine
site in the '80's and took a sample of the dump which reported 26.16 ounces of
gold and 5.8 ounces of silver. 2 

It is the Company's stated intention to bring to drill ready status this field
season.

Figure 2 showing the Sunbeam property highlighting the three trends
identified, and the core Sunbeam area as well as the English Option claims.

The drill core from the Nuinsco drill campaigns has been relocated to a
storage facility closer to the property and was reviewed hole by hole. No
additional sampling was required as an exemplary job of logging and sampling
was achieved by Nuinsco. A better understanding of the mineralising package
has been gleamed, however, it is evident that structure plays a very important
role in emplacement of the mineralisation. In order to most efficiently locate
any planned drilling stripping and possibly channel sampling of key sites
close to the three historic developments will be performed prior to drilling

Picture 3-Showing historical Sunbeam drill core from Nuinsco drilling. The
section shows the mineralised quartz bearing gold zone from drill hole
NS-21-06

The available historic geophysics was sourced for / by Paterson Grant and
Watson (PGW) who reprocessed and interpreted the data. Their report not only
highlighted the three main trends but has also assisted in a better
understanding of the district scale structures as well as identifying
additional areas for prospecting

Prospecting of the three main trends by EGS and a team from Bjorkman
Prospecting focussed on areas outside the main developments and has identified
veining within the three structures previously without reported assays. A
significant number of samples have been collected and submitted for analysis.

Another aspect highlighted by the historical review was the lack of drilling
undertaken on the Pettigrew development area and the limited drill holes that
had assays reported showed very promising results from near surface:

Two holes returned significant gold assays:

 

Hole 57751: 19.4 g/t Au over 0.63m at 5.33m and 15.17 g/t Au over 1.37m at
21.44m

Hole 57766: 2.96 g/t over 0.18m at 28.26m and 3.56 g/t over 0.5m at 37.31m

 

 

 

 

 

Picture 4 the historic development at Pettigrew which was deepened to 100'

 

 

Esa Gold Project

Results from the 2022 field season's soil sampling programme defined a
cohesive if discontinuous Au (and pathfinder element) anomaly roughly
coincident with an inferred shear (supported by geophysical evidence), which
transects the property. Previous prospecting for FCM had also identified, to
the north of the shear, a 'Hemlo look-a-like' angular boulder which reported
702ppb Au. This is significant, more so as it was found on a roughly north
south magnetic anomaly whose southern projection intersects the shear.

Picture 5 showing the angular boulder from Esa which returned 0.7ppm Au,
(field of view approx. 10cm)

A Further 534 soil samples and 5 rock chip samples have been collected both
subparallel to the shear - orthogonal to the north striking magnetic features-
as well as in the areas of higher Au anomalism in the previous programme.
Results have not yet been received.

 

Figure 3 showing the shear transecting the property and the soil lines
completed in the 2022 field season.

FCM has drafted an Exploration Permit which is currently under review by First
Nations.

It remains FCM's intention to bring Esa to a drill ready status this field
season and if able and warranted undertake stripping and drilling.

 

 

North Hemlo-

A field team is now established at Manitouwadge and has recommenced
exploration on the Dead Otter trend which previously has reported over 19.ppm
Au on a discontinuous trend traceable to over 3km south east from the original
showing which reported 3.1ppm Au and 0.59% Mo. Over 20 further samples hav
already been collected with visually encouraging signs.

The Company's stated objective is to advance the Dead Otter trend to drill
ready status this season with the intention of undertaking stripping then a
scout drilling programme once permitting is secured.

 

FCM is committed to exploring the properties currently under its control in
order to add value and bring where warranted to a drill point. For further
information on our near term plans we would like to signpost investors to our
recently created presentation 'The Big Four' link:
FCM-Report-The-Big-Four-How-we're-moving-towards-drilling.pdf
(squarespace.com)
(https://static1.squarespace.com/static/609bd256aea691347dbcf1ed/t/648082996b821a53bd6d0912/1686143642474/FCM-Report-The-Big-Four-How-we%E2%80%99re-moving-towards-drilling.pdf)

 

 

For Further Information:

 

 James Knowles, Executive Chairman  JamesK@Firstclassmetalsplc.com (mailto:JamesK@Firstclassmetalsplc.com)  07488 362641
 Marc J Sale, CEO                   MarcS@Firstclassmetalsplc.com (mailto:MarcS@Firstclassmetalsplc.com)    07711 093532
 Ayub Bodi, Executive Director      AyubB@Firstclassmetalsplc.com (mailto:AyubB@Firstclassmetalsplc.com)    07860 598086

 

First Equity Limited

(Financial Adviser & Broker)

 

 Jonathan Brown     0207 3742212
 Jason Robertson    0207 3742212

 

 

 

First Class Metals PLC - Background

 

First Class Metals is focussed on exploration in Ontario, Canada which is
considered a top global destination for exploration with a robust and thriving
junior mineral exploration sector. Specifically, the Hemlo 'camp' is a proven
world class address for gold /VMS exploration. This geological terrane has
significant production, both base / precious metals and a prolific number of
exploration projects and numerous prospector's 'showings'.

 

FCM currently holds 100% ownership of seven claim blocks covering over 180km²
along a 150km strike of the Hemlo-Schreiber-Dayohessarah greenstone belt which
also contains the >23M oz shear hosted Hemlo gold mine operated by Barrick
Gold. Late last year FCM completed the option to purchase the historical high
grade (gold) Sunbeam past producing mine

 

The significant potential of the properties for precious, base and battery
metals relate to: 'nearology' insomuch that all properties lie close to
identified mineral anomalism, for example Palladium One's RJ and Smoke Lake
nickel projects are close to the FCM's West Pickle Lake drill proven Ni-Cu
project. This also demonstrates the second critical asset the properties hold:
vector, anomalies, be they geological, geochemical, or geophysical that have
demonstrated mineral potential extend on to FCM's properties.

 

The inferred shear on the Esa property is being explored by neighbours both to
the west and east where it crosses into their properties. Furthermore, the
properties have not been extensively explored either historically or more
contemporaneously . This is attributable to the overall lack of outcrop.
However, modern exploration techniques are better able to 'see through' the
ground cover and to identify anomalies.

 

Forward Looking Statements

 

Certain statements in this announcement may contain forward-looking statements
which are based on the Company's expectations, intentions and projections
regarding its future performance, anticipated events or trends and other
matters that are not historical facts.  Such forward-looking statements can
be identified by the fact that they do not relate only to historical or
current facts.  Forward-looking statements sometimes use words such as 'aim',
'anticipate', 'target', 'expect', 'estimate', 'intend', 'plan', 'goal',
'believe', or other words of similar meaning.  These statements are not
guarantees of future performance and are subject to known and unknown risks,
uncertainties and other factors that could cause actual results to differ
materially from those expressed or implied by such forward-looking
statements.  Given these risks and uncertainties, prospective investors are
cautioned not to place undue reliance on forward-looking statements.
Forward-looking statements speak only as of the date of such statements and,
except as required by applicable law, the Company undertakes no obligation to
update or revise publicly any forward-looking statements, whether as a result
of new information, future events or otherwise.

 

 1  Emerald Geological Services

 2  ONTARIO GEOLOGICAL SURVEY Open File Report 5539 Property Visits and
Reports of the Atikokan Economic Geologist, 1979-1983 Atikokan Geological
Survey

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