Fortune Minerals announces sale of Camsell River Project
Receives Progressive Aboriginal Relations award from Canadian Council for Aboriginal Business
Issued Capital: 150,526,976
LONDON, ON, Oct. 3, 2013 /CNW/ - Fortune Minerals Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or the "Company") (www.fortuneminerals.com) announces that it has sold its Camsell River silver property near Great Bear Lake in the Northwest Territories ("NT") to Denendeh Exploration & Mining Company ("DEMCo"). Based in Yellowknife, DEMCo is beneficially owned by the 27 First Nations of the NT and is the only northern Aboriginal owned company actively pursuing mining projects with the intention to develop its assets from exploration through to operations. DEMCo has acquired additional land holdings in the Camsell River area, including several past producing mines, and is taking a regional approach to exploration and development in this area.
The Camsell River area is a former silver mining district, located south of the Eldorado mining district at Great Bear Lake. Silver mining was conducted in this region until 1985 and included the past producing Silver Bear, Norex and Northrim mines. Fortune's lease comprises 78 hectares of lands strategically positioned between the Norex and Northrim mines where there is good potential to host the strike projections of high-grade silver veins from the adjacent mines.
"Although our lease at Camsell River is well-positioned to nearby mines, the property is too small to be explored independently and needs to be developed as part of regional exploration program", said Robin Goad, President and CEO of Fortune. Darrell Beaulieu, President and CEO of DEMCo commented, "We believe the addition of Fortune's lease will enhance our significant land holdings and will benefit our pursuit of IOCG type deposits augmented by high grade silver veins in this historic silver district. This project will also benefit from the infrastructure we anticipate will be developed with Fortune's NICO gold-cobalt-bismuth-copper mine further to the south".
Fortune sold its Camsell River lease for $25,000 and a 1% net smelter royalty. The Company is pleased to be positioned to realize value from this property while maintaining its focus on the development of its primary assets - the Arctos Anthracite Project in British Columbia ("BC") and the NICO gold-cobalt-bismuth-copper project in the NT.
Fortune is also pleased to report that it has been awarded the Bronze Level for its work in Progressive Aboriginal Relations ("PAR") by the Canadian Council of Aboriginal Business ("CCAB"). The PAR program is the first and only corporate responsibility assurance program in the world with an emphasis on Aboriginal relations. The Company has worked with guidance and support from the CCAB to document practices, policies and behaviours that quantify and validate the Company's commitment to positive and progressive Aboriginal relations. The Company is committed to open and constructive dialog with Aboriginal communities and will continue to make every effort to increase Aboriginal employment and business through its human resources and supply chain policies.
About Fortune Minerals
Fortune is a diversified resource company with several mineral deposits and a number of exploration projects, all located in Canada. The Company is focused on the development of the Arctos Anthracite Project in BC and the vertically integrated NICO gold-cobalt-bismuth-copper project that is comprised of a mine and mill in the NT that will produce a bulk concentrate for shipment to a refinery for processing to high value metal products. In addition, the Company owns the Sue-Dianne copper-silver-gold deposit and other exploration projects in the NT. Fortune is focused on outstanding performance and growth of shareholder value through assembly and development of high quality mineral resource projects.
This news release contains forward-looking information. This forward-looking information includes statements with respect to, among other things: the potential of the Camsell River property; and the anticipated development of the Company's NICO and Arctos projects (the "Projects"), including infrastructure anticipated to be developed for the NICO project. Forward-looking information contained in this news release is based on the opinions and estimates of management as well as certain assumptions considered by management to be reasonable and which are made as at the date the information is given (including, in respect of the forward-looking information contained in this press release, assumptions regarding the Company's business, the viability of the Projects and the Company's ability to generate sufficient funds to develop the Projects). Readers should be cautioned that forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include without limitation: the inherent risks involved in the exploration and development of mineral properties; the inherent volatility of metal prices; the risk that the Camsell River property may not be developed and the Company may not realize any revenue therefrom; the risk that the Company may not be able to arrange the necessary additional financing to construct and operate the Projects; uncertainties with respect to the receipt or timing of all applicable permits for the development of the Projects; the possibility of delays in the commencement of production from the Projects; uncertainties relating to the estimation of mineral reserves; and other factors. Readers are cautioned to not place undue reliance on forward-looking information because it is possible that predictions, forecasts, projections and other forms of forward-looking information will not be achieved by the Company. The forward-looking information contained herein is made as of the date hereof and the Company assumes no responsibility to update or revise it to reflect new events or circumstances, except as required by law.
SOURCE Fortune Minerals Limited