Firebird Announces National Instrument 43-101 Compliant Technical Report For Buzzard And Jefferson Projects
VANCOUVER, British Columbia/February 10, 2011/ -- Firebird Resources Inc. ("Firebird" or the "Company") provided today further information on its previously filed National Instrument 43-101 ("NI 43-101") technical report (the "Report") titled "Buzzard and Jefferson Prospects Technical Report on Gold Exploration in the Haile- Brewer Gold Trend, Carolina Slate Belt Province, Chesterfield and Lancaster Counties, South Carolina USA." The Report was prepared by consulting minerals geologist Dr. Richard C. Capps, PhD, CPG. Mr. Capps is a "Qualified Person" as defined by NI 43- 101, and is responsible for and has reviewed and approved disclosure of the Report.
Dr. Capps stated: "The Buzzard and Jefferson prospects are along a nearly continuous northeast-striking structural trend of hydrothermal alteration and gold mineralization which includes Romarco Minerals Inc.'s Haile Gold Mine to the southwest of the Buzzard prospect and the Brewer Mine between the Buzzard and Jefferson prospects. The Buzzard prospect and six strongly anomalous areas of mineralization at the Jefferson prospect are not closed in any direction. The Buzzard-Jefferson project is a project of merit and further advanced exploration is needed to evaluate this mineralizing system."
The Buzzard, Jefferson and Belk projects were actively explored in the 1990's and contain positive drill results, and the intent of the Company is to convert these results into NI 43-101 compliant resources with further confirmation drilling and infill drilling . The mineralization at the Buzzard and Jefferson projects has the characteristics of low sulfidation epithermal systems which are generally distal with respect to porphyry-related high-sulfidation system. The relatively deeper drilling at the Buzzard prospect suggests multiple manto-like stratiform levels adjacent to subvertical higher-grade and higher- grade bonanza-type precious and base-metal veins may underlie these zones.
At Jefferson, in 1990, Inter-Rock Gold, Inc. acquired the project and subsequently tested 6 identified targets and other unexplored areas with 5,404 feet of core drilling and 7,544 feet of reverse-circulation exploration drilling in 57 drill holes. Drilling in all 6 target areas intersected highly anomalous mineralized and altered felsic metavolcanic and minor metasedimentary rocks with gold values commonly over 250 ppb. Much of the Jefferson project area is covered by a thin layer of younger sands (Coastal Plain) and remains unexplored.
At the Belk project, Westmont Mining Inc. had received approval by the State of South Carolina to mine the deposit and truck the ore to the Brewer Mine for processing. This mining, however, was not completed. An historic resource was calculated at the Belk project by Independent Mining Consultants, Inc. of 357,000 tons at a grade of 0.057 ounces per ton gold (opt) and cutoff of 0.015 opt using $425 gold. This resource was based on 32 shallow holes. Neither Firebird nor Pageland have confirmed this resource and it is presented as historic data only.
A program of core drilling is planned at all three projects to offset and extend mineralization from historic drilling. Further drilling will be used for resource definition and studies for mine planning. At Belk, historic surface and drill data have recently been acquired and will be used to develop a drilling program. The historic drilling is shallow and limited in amount and Firebird intends to develop and increase a mineral resource for mine development.
Firebird, through its previously announced option agreement (the "Option Agreement") with Pageland Minerals Ltd. ("Pageland"), controls mining rights to approximately 2200 acres of land as a result of mineral agreements with local landowners who control both the surface and mineral rights. At the Buzzard project, there are six mineral agreements covering a total of 273 acres, and at the Jefferson project, there are a total of ten mineral agreements in respect of 1322 acres. There are seven mineral agreements at the Belk project covering a total of approximately 600 acres.
Option Agreement Amendments
Firebird also announced today amendments to the Option Agreement. Pursuant to the terms of the amendments, among other things, the cash portion payable by Firebird to Pageland in order to exercise the first 70% option has been amended to $700,000, $200,000 payable before March 31, 2011, and $500,000 payable before May 31, 2011. The first work commitment has also been amended to reflect the recommended work program set forth in the Report. Firebird may acquire the remaining 30% interest by making a cash payment to Pageland in the amount of $1,800,000 on or before July 31, 2012 and incurring exploration expenditures before July 31, 2012 totaling the lesser of $1,000,000 and the amount as may be recommended in a NI 43-101 compliant report. Firebird also agreed to reimburse Pageland for certain costs incurred by Pageland related to the preparation of the Report and for past exploration and development expenditures. The amendments remain subject to final TSX Venture Exchange approval.
For further information, please contact:
Thomas R. Tough, P. Eng., President Telephone: 604-946-0787
Firebird is a mineral exploration company whose long term objective is to build a diversified company focused on the acquisition, exploration and development of mineral properties.
This news release contains certain forward-looking statements that reflect the current views and/or expectations of management with respect to performance, business and future events, including but not limited to express or implied statements and assumptions regarding the Company's intention to exercise the option referred to herein, the suitability of the properties for mineral exploration, the mineral content of the properties, the potential for recoverability of mineral from the properties on economically practical terms, and the receipt of necessary regulatory approvals. Forward-looking statements are based on the then- current expectations, beliefs, assumptions, estimates and forecasts about the business and the industry and markets in which the Company operates. Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions which are difficult to predict. Investors are cautioned that all forward-looking statements involve risks and uncertainties including, without limitation, that the Company will choose not exercise the option and those risks relating to changes in the market, potential downturns in economic conditions, fluctuations in the price and supply of raw materials, equipment and skilled labour, fluctuations in the market price of minerals, foreign exchange fluctuations, regulatory requirements and changes thereto, competition, and other risk factors listed from time to time in the Company's public filings. These risks, as well as others, could cause actual results and events to vary significantly. Accordingly, readers should not place undue reliance on forward-looking statements and information, which are qualified in their entirety by this cautionary statement. The Company does not undertake any obligations to release publicly any revisions for updating any voluntary forward-looking statements, except as required by applicable securities law.
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