Falco Acquires the Donalda Property Adjacent to Horne 5 Project
For Immediate Release TSX.V - FPC
FALCO ACQUIRES THE DONALDA PROPERTY ADJACENT TO HORNE 5 PROJECT
(Montreal, Qué bec, September 27, 2017) – Falco Resources Ltd. (FPC: TSX -V) (“Falco” or the
“Company”) is pleased to announce the execution of a letter of agreement for the acquisition of the
Donalda property (“Donalda”) from Globex Mining Enterprises Inc. (“Globex ”). Donalda is located near
Falco’s 100% owned Horne 5 Project located in Rouyn-Noranda, Québec.
In consideration for the acquisition of the Donalda property, Falco has agreed to pay $300,000 in cash
and issue 350,000 units to Globex (“Unit”). Each Unit consists of one (1) common share ( “Common
Share") of Falco and one (1) common share purchase warrant ("Warrant") of Falco. Each Warrant will
entitle the holder thereof to purchase one (1) Common Share of the Company at a price of C$ 1.15 per
Common Share, for a period of 5 years following the closing date. Additionally, Falco has agreed to grant
Globex a 2.5 % Gross Metal Royalty on all mineral production from the Donalda property and to transfer
a 100% ownership of Falco’s Dickenson property located on the east side and adjoining Glo bex’s
Francoeur/Arntfield gold property.
The transaction is subject to Falco obtaining all required regulatory approvals from the TSX Venture
Exchange and execution of a final acquisition agreement, including customary representations,
warranties, covenants and conditions for a transaction of such nature.
The Donalda Mine Property
The Donalda Mine Property is located within the town of Rouyn-Noranda, Québec, due east of the
Horne 5 deposit and Que mont mine infrastructure. The property consists of s even mining claims,
covering approximately 146 hectares in the Rouyn Township. The property is host to two important, sub
parallel, extensive and continuous gold bearing quartz vei ns with a historical resource (n on NI 43 -101
compliant1) of 1.5 million tonn es grading 6.9 g/t gold, of which approximately 790,000 t onnes were
mined and approximately 710,000 tonnes remain unexploited.
During mine production , a 620 metre shaft provided access to the two known gold bearing vein
structures. The majority of the gold was extracted from the Donalda #1 vein (782,360 tonnes at 5.58g/t
were mined over seven years of production) which was mined over a strike length of 825 m etres and
with a dip length of 400 m etres. The #2 v ein was discovered about 300 m etres below the #1 vein. The
small amount of p roduction coming from Donalda #2 Vein (32,145 tonnes at 5.76 g/t were mine over
one year of production), was extracted from the Quemont mine.
1 The resources were prepared prior to the development of National Instrument 43-101. These are considered historic mineral resources and
should not be relied upon. Source: The Donalda gold deposit, Rouyn-Noranda, Quebec by Riverin, Bernard and Boily (1990). This paper was
presented by the Exploration Division of Minnova Inc., the owner of the property at that time. Falco has not yet independently verified the
information in the geological paper.
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Both vein structures remain open down dip and could have significant exploration ups ide. The gold
bearing structures were known by previous operators to persist down -dip at least as far as the Horne
Creek fault. Surface diamond drilling carried out by Minnova Inc. in 1986 located the extension of the
#1 vein south of the Horne Creek fault , which was not mined. Very little exploration has been
undertaken below the 700 metres depth.
Most importantly, the Donalda property and its exploration potential will benefit from the proximity to
infrastructure of our Horne 5 Project.
Qualified Person
Mr. Claude Bernier, Exploration Manager, (P.Geo. Eng.) is the qualified person as defined by National
Instrument 43 -101 who has reviewed and verified the technical information contained in this news
release.
About Falco
Falco Resources Ltd. is one of the largest mineral claim holders in the Province of Québec, with
extensive land holdings in the Abitibi Greenstone Belt. Falco owns about 67,000 hectares of land in the
Rouyn-Noranda mining camp, which represents approximate ly 70% of the entire camp and includes 13
former gold and base metal mine sites. Falco's principal property is the Horne 5 Project located in the
former Horne mine that was operated by Noranda from 1927 to 1976 and produced 11.6 million ounces
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of gold and 2.5 billion pounds of copper. Osisko Gold Royalties Ltd is the largest shareholder of the
Company and currently owns 13.3% of the outstanding shares of the Company.
For further information contact:
Vincent Metcalfe
Chief Financial Officer
514.905.3162
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 press release.
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward -looking statements and forward -looking information (together, "forward -
looking statements") within the meaning of appli cable securities laws and the United States Private Securities
Litigation Reform Act of 1995. All statements, other than statements of historical facts, are forward -looking
statements. Generally, forward -looking statements can be identified by the use of t erminology such as "plans",
"expects', "estimates", "intends", "anticipates", "believes" or variations of such words, or statements that certain
actions, events or results "may", "could", "would", "might", "will be taken", "occur" or "be achieved". Forward-
looking statements involve risks, uncertainties and other factors that could cause actual results, performance,
prospects and opportunities to differ materially from those expressed or implied by such forward -looking
statements. Factors that could cause a ctual results to differ materially from these forward -looking statements
include the reliability of the historical data referenced in this press release and those risks set out in Falco's public
documents, including in each management discussion and analys is, filed on SEDAR at www.sedar.com. Although
Falco believes that the assumptions and factors used in preparing the forward -looking statements are reasonable,
undue reliance should not be placed on these statements, which only apply as of the date of this news release, and
no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required
by applicable law, Falco disclaims any intention or obligation to update or revise any forward -looking statement,
whether as a result of new information, future events or otherwise.