Pacific Iron Ore Corporation Increases Iron Resources and Updates the Bugaboo Creek Iron Ore Project

CALGARY, Feb. 2 /CNW/ - Pacific Iron Ore Corporation (TSX.V: POC), announces that inferred resources have nearly doubled to 14.3 million tonnes grading 60 percent recoverable magnetite (Fe3O4) within in the Bugaboo Creek iron deposits. A cut-off of 20 percent magnetite was used in the determination of this resource. 

The corporation is advancing the Bugaboo Creek deposits with the corporate goal of exporting approximately 2 million tonnes per year of iron concentrate to steel producers within the Pacific region.  Additional exploration is required to meet these proposed production targets. 

An updated resource estimate has been completed by Wardrop, a Tetra Tech Company (Wardrop), under the direction of Klaus Triebel, CPG.  Mr. Triebel is a Qualified Person ("QP") for purposes of NI 43-101, is an employee of Wardrop, and independent from Pacific Iron Ore Corporation as described in section 1.4 of NI 43-101.

Pacific Iron Ore Corporation reported a resource estimate of 7.8 million tonnes in late 2008 and the current revision of resources to 14.3 million tonnes is based on drilling completed in 2009 and 2010. In 2009, the corporation drilled 16 holes, totaling approximately 4700 metres and in 2010, the corporation drilled 32 holes of totaling approximately 9100 metres. 

The aforementioned resources are contained within five zones. These zones are typically 200 to 300 metres in lateral extent and 20 to 40 metres in thickness.  Results are summarized in the following table.

       
Zone
 
Tonnage*
Mt
Grade
%  Fe3O4
Density
g/cc
       
       
Upper Conqueror 3,967 54 3.57
Lower Conqueror 4,863 63 3.81
Daniel 3,043 64 3.83
Deep Zone 2,237 58 3.67
Mishael    214 59 3.68
       
Total 14,324 60 -
       

* reported tonnages are inferred under NI 43-101 

It is expected that additional drilling will increase the resources within the Bugaboo Creek project, current Bugaboo Creek exploration costs for a tonne of high-grade iron resource is in the range of $0.55 per tonne.  The Mishael zone, Lower Conqueror zone and the Deep zone are considered open to expansion of their respective resources. These resource estimates are considered preliminary in nature. 

The deposits are considered high-grade and are typical of a skarn iron deposits, and iron mineralization is associated with the contact between intrusive diorites and limestone formations. These deposits are located approximately 11 kilometres from Port Renfrew on the west coast of Vancouver Island. 

Analysis of sample material from the drilling program on the Bugaboo Creek project was completed by ALS Chemex of North Vancouver, B.C., with high grade iron samples(greater than 20 percent Fe) being analyzed by the University of British Columbia for magnetically recoverable iron content.   

Pacific Iron Ore Corporation has initiated baseline environmental studies to ensure that permit timelines are not compromised. This work is currently being managed by Allnorth Consultants of Vancouver, and includes surface water quality evaluation, meteorological and hydrological data collection as well as site planning.   

Preliminary grinding test work has been completed by G&T Metallurgical Services of Kamloops, B.C., evaluating four mineralized zones for work index determination.  

Corporate Direction and Strategy
Pacific Iron Ore Corporation is dedicated to the development of its strategic mineral deposits, located in the Port Renfrew area of Vancouver Island, British Columbia, as well as, in the Kenora area of Ontario.

Jeffrey B. Austin, P.Eng. is the qualified person for Pacific Iron Ore Corporation and responsible for the content of this news release. 

Forward Looking Statements:

The TSX.V Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This release includes certain statements that may be deemed "forward looking statements". All statements in this release, other than statements of historical facts, that address future production, reserves potential, exploration drilling, exploration activities and events or developments that the Corporation expects are forward looking statements. Although the Corporation beliefs the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward looking statements. Factors that could cause results to differ materially from those in the forward looking statements include, but are not limited to: market prices; exploitation and exploration successes; continued availability of capital, financing and personnel; government regulation and laws; the Corporations relationship with First Nations; environmental developments; and general economic, market or business conditions. Investors are cautioned that such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward looking statements. For more information on Pacific Iron Ore Corporation, Investors should review the Corporation's registered filings which are available at www.sedar.com.

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.


SOURCE Pacific Iron Ore Corporation

For further information:

please refer to the Corporations profile on SEDAR which can be accessed at www.sedar.com, visit our website at www.pacificironorecorp.com or contact:

Todd Montgomery, Chief Executive Officer  
Telephone: (403) 228-0607    
Facsimile: (403) 262-4860    
Leonard Cornez, Chief Financial Officer
Telephone: (403) 218-0294 or 1-866-682-5812
Facsimile: (403) 265-2887
 
Jeffery B. Austin, P.Eng. - President    
Telephone: (250) 763-4892    
Facsimile: (403) 265-2887

Profil de l'entreprise

Pacific Iron Ore Corporation

Renseignements sur cet organisme


FORFAITS PERSONNALISÉS

Jetez un coup d’œil sur nos forfaits personnalisés ou créez le vôtre selon vos besoins de communication particuliers.

Commencez dès aujourd'hui .

ADHÉSION À CNW

Remplissez un formulaire d'adhésion à CNW ou communiquez avec nous au 1-877-269-7890.

RENSEIGNEZ-VOUS SUR LES SERVICES DE CNW

Demandez plus d'informations sur les produits et services de CNW ou communiquez avec nous au 1‑877-269-7890.