FQM.L Regulatory News (FQM)

27 Mar 2006 07:00

First Quantum Minerals Ld26 March 2006 NEWS RELEASE 06-09 March 27, 2006 www.first-quantum.com FIRST QUANTUM MINERALS ANNOUNCES NEW DISCOVERY AT RSF PROSPECT, DEMOCRATIC REPUBLIC OF CONGO -INCLUDING DRILL INTERCEPT OF 80 METRES GRADING 2.20% COPPER AND 0.25% COBALT- First Quantum Minerals Ltd. (TSX Symbol "FM", LSE Symbol "FQM") is pleased toannounce the results of 25 reverse circulation drill holes completed at the RSFprospect, and 3 reverse circulation drill holes completed at the Subo prospect,both located within its wholly owned Kibamba Exploration Permit 851, KatangaProvince, Democratic Republic of Congo ("DRC"). A total of 25 reversecirculation drill holes totaling 2,430 meters and 9 diamond drill holes totaling1863.1 meters were drilled at the RSF prospect between October and December2005. An additional 300 meters of reverse circulation drilling in 3 drill holesand 443.7 meters of diamond drilling in 2 drill holes were completed at the SuboProspect, located 2.1 kilometres south of the RSF prospect. All reversecirculation drill holes at RSF were drilled at -60 degrees. Results for thediamond drill holes will be announced in due course. Drill Intersections greater than 0.3%TCu Acid Soluble Acid Copper Hole Total (%) Total Soluble Cobalt Depth From To Interval Copper Cobalt (%) Hole (metres) (metres) (metres) (metres) (%) (%) RSF01 100 2 82 80 2.20 1.98 0.25 0.13 RSF02 74 38 68 30 0.73 0.62 0.04 0.03 RSF03 89 9 84 75 1.12 1.05 0.03 0.02 RSF04 91 0 72 72 1.20 1.10 0.07 0.05 RSF05 100 8 36 28 0.75 0.70 0.12 0.10 RSF05 100 55 78 23 0.78 0.71 0.03 0.02 RSF05 100 93 100 7 0.60 0.40 0.11 0.05 RSF06 98 41 63 22 0.93 0.68 0.24 0.17 RSF06 98 72 87 15 0.55 0.37 0.07 0.02 RSF07 100 No significant intersections RSF08 100 No significant intersections RSF09 100 No significant intersections RSF11 100 21 42 21 0.40 0.28 0.16 0.15 RSF12 100 No significant intersections RSF13 100 25 100 75 0.44 0.27 0.05 0.03 RSF14 100 39 74 35 0.61 0.32 0.08 0.06 RSF15 100 12 66 54 0.90 0.67 0.14 0.10 RSF16 100 18 100 82 1.88 1.65 0.12 0.05 RFS17 100 23 64 41 0.89 0.49 0.18 0.10 RFS18 100 No significant intersections RSF19 100 No significant intersections RSF20 96 27 58 31 0.41 0.35 0.07 0.07 RSF21 100 No significant intersections RSF22 100 No significant intersections RSF23 100 No significant intersections RSF24 100 23 52 29 0.41 0.11 0.03 0.02 PTRSF 82 18 31 13 0.41 0.09 0.31 0.15 SU01 100 78 95 17 0.67 0.31 0.08 0.04 SU02 100 26 100 74 0.68 0.47 0.02 0.01 SU03 100 28 46 18 0.49 0.11 0.05 0.02 Alan Stephens, Chief Consulting Geologist commented, "RSF is the latest grassroots discovery to have resulted from the ongoing systematic exploration of ourlarge Copperbelt land position. We are encouraged by the significant widths ofmineralization encountered in this first round of reconnaissance drilling, andby the areal extent of the system. Several soil anomalies remain to be testedand follow-up drilling on these and the RSF and Subo Prospects is planned tocommence in June 2006. This new discovery, following on from our earliersuccesses at Frontier, Kashime and Lonshi, provides further confirmation thatour generative program in both Zambia and the Democratic Republic of the Congocontinues to bear fruit" Kibamba Exploration Permit 851 is located approximately 75 kilometrers west ofthe town of Likasi, within the DRC portion of the Central African Copperbelt,and is accessed by dirt road. First Quantum completed an airborne magnetics andradiometrics survey in 2004, and has carried out soil geochemistry in 2004 and2005 over the entire Exploration Permit. Four trenches were excavated at theSubo Prospect in 2004. Minor artisinal mining has taken place on the permit andat the third party owned Menda and Mindigi prospects which are located on thenorthern and eastern boundaries of the permit. The RSF and Subo prospects are sited within a sinuous 10 kilometre long,structurally complex zone of prospective stratigraphy comprised of megafragments of Mine Series dolomitic sediments within Lower Mwashia Formationsediments and volcanics. At the RSF prospect, mineralisation encountered to dateis predominantly oxide and occurs as disseminations and segregations ofmalachite and heterogenite in residual highly weathered dolomitic shales,siltstones, and breccias. At depth, sulphide mineralisation occurs aschalcopyrite-quartz-calcite veins cross-cutting silicified dolomites anddolomitic shales. The mineralised holes at RSF define an 800m x 300m zone, openalong strike at both ends and more work is required to fully understand thecontrols of mineralisation. At the Subo prospect, mineralisation comprisesmostly malachite occurring as disseminations and in cross-cutting quartz-calciteveins in pyroclastic units of the Lower Mwashia. No sulphide mineralisation hasbeen intersected to date at Subo. Reverse circulation drilling at RSF and Subo was carried out by Boart LongyearInc of Ndola, Zambia, while diamond drilling was carried out by Ox Drilling ofNdola, Zambia and Kluane Drilling of Whitehorse, Yukon, Canada. First Quantumpersonnel supervised the chain of custody from the drill site to the laboratory,and conducted all sampling. The RC samples were collected, split, and ticketedat the rig during the program on a meter by meter basis. The sample rejects arestored at the Company's in-house sample storage facility in Lubumbashi. Afterlogging on site, the diamond drill cores were transported to Lubumbashi wheresawing was carried out at an in-house facility. Half core samples were taken andthe samples bagged and ticketed. The remaining half cores remain in storage atthe Company's in-house sample storage facilities in Lubumbashi. Both the reverse circulation and core samples were transported door-to-door bya dedicated courier service from Lubumbashi to the accredited GenalysisLaboratory Services Sample Preparation Laboratory in Johannesburg, RSA. Samplepulps were flown by courier to Genalysis Laboratory Services Pty Ltd ofMaddington, Western Australia, Australia. All samples were assayed initially fortotal copper and cobalt by high temperature perchloric acid oxidative attackdigestion with a hydrochloric acid final leach and AAS finish. Those initialsamples reporting over 2500ppm copper or 750ppm cobalt were re-assayed using a 4acid digestion for ore grade analysis with AAS finish, and for acid solublecopper and cobalt. Appropriate blanks and standards were introduced into theassay line under the supervision of Digital Mining Services of Harare, Zimbabwe. Mike Parker, MAusIMM, Exploration Manager - DRC Northern Pedicle for FirstQuantum, a geologist with 20 years of experience, and Alan Stephens, FIMMM,Chief Consulting Geologist for First Quantum, a geologist with 30 years ofexperience, were responsible for the design and conduct of the program, and arethe qualified persons for the purposes of NI 43-101. On Behalf of the Board of Directors 12g3-2b-82-4461of First Quantum Minerals Ltd. Listed in Standard and Poor's"G. Clive Newall" Sedar Profile #00006237G. Clive NewallPresident For further information visit our web site at www.first-quantum.com North American contact: Geoff Chater or Bill Iversen 8th Floor, 543 Granville Street, Vancouver, British Columbia, Canada V6C 1X8 Tel: (604) 688-6577 Fax: (604) 688-3818 Toll Free: 1 (888) 688-6577 E-Mail: info@first-quantum.com United Kingdom contact: Clive Newall, President1st Floor, Mill House Mill Bay Lane Horsham West Sussex RH12 1TQ United Kingdom Tel: +44 140 327 3484 Fax: +44 140 327 3494 E-Mail: clive.newall@first-quantum.com. or Carina Corbett, 4C-Burvale, Tel: + 44 20 7907 4761 The Toronto Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Certain of the information contained in this news release constitute "forward-looking statements" within the meaning of the Private SecuritiesLitigation Reform Act of 1995. Such forward-looking statements, including butnot limited to those with respect to the prices of gold, copper and sulphuricacid, estimated future production, estimated costs of future production, theCompany's hedging policy and permitting time lines, involve known and unknownrisks, uncertainties, and other factors which may cause the actual results,performance or achievements of the Company to be materially different from anyfuture results, performance or achievements expressed or implied by suchforward-looking statements. Such factors include, among others, the actualprices of copper, gold and sulphuric acid, the factual results of currentexploration, development and mining activities, changes in project parameters asplans continue to be evaluated, as well as those factors disclosed in theCompany's documents filed from time to time with the British Columbia SecuritiesCommission and the United States Securities and Exchange Commission. END This information is provided by RNS The company news service from the London Stock Exchange