Falcon Signs Agreement ON Wabunk BAY Cobalt Claims Adjoining Uchi MINE, Northwestern Ontario
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NEWS RELEASE FG: TSX-V
FALCON SIGNS AGREEMENT ON WABUNK BAY COBALT CLAIMS
ADJOINING UCHI MINE, NORTHWESTERN ONTARIO
HIGHLIGHTS:
• Located in historic Uchi gold mining camp;
• Strategically close to important infrastructure including road access and elect rical
power line;
• Historical surface sampling & shallow drilling on numerous occurrences of cobalt,
copper, nickel and platinum group metals (“PGM’s”);
• Reported trench samples assayed 0.33% cobalt over 1.5meters and 0.15% cobalt over
7.6meters; and
• Low cost of entry and acquisition.
Vancouver, B.C., June 13, 2018. FALCON GOLD CORP. (FG: TSX-V) (“Falcon” or the “Company”) reports it
has signed a letter agreement (the “Letter”) for the right to acquire a 100% interest in 2 (cobalt, copper,
nickel & PGE’s) mining claims in Earngey Township in the Red Lake District of northwestern Ontario. The
claims comprise 19 claim units and cover an area of approximately 304 hectares.
Stephen Wilkinson, Falcon’s CEO stated; “The Wabunk Bay property adjoins the Uchi gold mine patents
on the east. Since the discovery of the sulphide mineralization about 85 years ago, the occurrences
have received limited attention from mining companies. Our team has identified economically attractive
grades of the historic cobalt (“Co”) occurrences reported in files and publications of the Ontario Ministry
of Northern Development and Mines. We are confident that our crews will have exploration success and
we have begun planning the inaugural program to commence this summer.”
The Wabunk Bay Property
The Property is located immediately east of the past producing Uchi gold mine in northwestern Ontario.
Access is by an 8-kilometre (“km”) bush road that intersects with the South Bay copper zinc mine access
road. The access road connects with Provincial Highway 105 at t he town of Ear Falls approximately 70
km southwest. A hydroelectric power line occurs just north of the Property.
The Property is within the Archean-age Birch-Uchi-Confederation Lakes greenstone belt. This belt hosts
the world renowned Red Lake gold deposits that are approximately 80 km west of the Property. The
Uchi Lake Fault Zone (the “ULFZ”) is a southwest to northeast regional structure and is mapped about
200 meters east of the claims. Underlying the claims are gre enschist-grade mafic metavolcanic and
gabbroic intrusive rocks. Sulphide mineralization occurs as massive lenses and disseminations hosted by
the gabbros.
FALCON GOLD CORP.
520- 470 Granville St.
Vancouver, BC V6C1V5
+1 604-683-1991
+1 604 683-8544
www.falcongold.ca
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A number of small gold mines were developed in the Birch-Uchi-Confederation Lakes greenstone belt
during the 1930s. These included the Uchi Mine, which produced 114,000 ounces of gold, and the
Jackson-Manion Mine (27,000 ounces of gold) . The South Bay mine was an underground copper -zinc
operation that produced from 1971 to 1981
Wabunk Bay Sulphide Mineralization
In 1957, the Ontario Department of Mines reported in its Mineral Resource Circular No. 2 (“MRC 2”):
“The showings occur entirely within a coarse -grained hornblende gabbro cutting greenstone,
sediments, and various intrusive rocks. The gabbro is 200 feet wide and has a maximum width
of 300 feet. The southern 1,000 feet of this body strike north then swing to the northwest for
an additional length of 1,800 feet. Chalcopyrite, pyrrhotite, and pyrite occur where the gabbro
is sheared and espe cially at the contacts of narrow diabase dikes, which strike north to
northeast and are younger than the gabbro.”
The MRC 2 further reported on the Wabunk Bay mineralized zones:
“The main showing lies in the north-south portion of the gabbro, strikes near north, and is about
300 feet long; although mineralization is not continuous, it is found along a length of 600 feet.
The average width of mineralization cut in five drill holes is 21 feet. An 18-foot chip sample ran
1.08 percent copper and 0.40 percent n ickel. A 22-foot chip sample ran 0.44 percent copper
and 0.12 percent nickel. The best 25 feet of drill core assayed 0.62 percent copper and 0.04
percent nickel. Core assays gave as high as 0.03 percent cobalt.”
Wabunk Bay Exploration History
The history of exploration work in the area of the Wabunk Bay Cobalt Claims is summarised as follows:
• 1941 – Sulphide mineralization is discovered by Mike Colberg
• 1955 – A prospector, Joe Kolak, restaked the showings and option ed the property to Campbell
Island Mines and Exploration Ltd. Work completed included geophysical surveys, trenching and
6 diamond-drill holes, totalling 390 feet in 1956 . Surface samples assayed 0.33% Co over 1.5m
and 0.15% Co over 7.6m.
• 2003 Jilbey Gold Exploration Ltd . carried out a large regional recognisance program in the
greenstone belts south and east of Red Lake, Ontario. The Wabunk Bay area was covered by an
airborne geophysical survey that identified two magnetic and conductive anomalies.
Option Terms
To earn its 100% interest, Falcon has agreed to issue a total of 300,000 common shares and to make
cash payments totalling $200,000 . Subsequent to Falcon acquiring its 100% interest , the vendor will
retain a 1% Net Smelter Return (“NSR”) that Falcon will have the right to purchase for $1,000,000 at any
time up to commencement of production. The agreement is subject to TSX Venture Exchange approval.
Qualified Person
The technical content of this news release has been reviewed and approved by Mr. Bob Chataway , P.
Geo., who is a Qualified Person as defined by National Instrument 43 -101, Standards of Disclosure for
Mineral Projects.
About Falcon Gold Corp.
Falcon is a Canadian mineral exploration company focused on acquiring, exploring, and advancing
quality mineral projects in the Americas. Its projects include, the Central Canada Cobalt and Gold Project
in N.W. Ontario and the Burton gold property located northwest of Sudbury, Ontario. The Company is
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listed on the TSX Venture exchange with the trading symbol: “ FG”. For information on the C ompany,
please visit our website: www.falcongold.ca.
CONTACT INFORMATION:
Falcon Gold Corp.
David Tafel
Chairman
Stephen Wilkinson
CEO & Director
Telephone: 604-683-1991
Email: [email protected]
Cautionary Language and Forward-Looking Statements
This news release may contain forward looking statements including but not limited to comments
regarding the timing and content of upcoming work programs, geological interpretatio ns, receipt of
property titles, etc. Forward looking statements address future events and conditions and therefore,
involve inherent risks and uncertainties. Actual results may differ materially from those currently
anticipated in such statements.
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.