|March 18, 2009|
Focus Options the Nueva California Gold Property, Peru
|March 18, 2009: David Cass, President of Focus Ventures Ltd. (TSX-V: FCV.H) is pleased to announce that Focus has been granted the option to acquire a 100% interest in the Nueva California gold property located in north-central Peru.|
The Nueva California property is located in the Cordillera Blanca, north-central Peru, 35 kilometers north of the Pierina Gold Mine, at an altitude of 3,300m a.s.l. The property comprises 900 hectares. Underground and open pit operations commenced in 1983 and focused on mining the high-grade portions of a series of en-echelon northwest-southeast trending epithermal gold-silver veins with a reported mine head grade of 8 g/t Au and 120 g/t Ag. Gold is produced on site via a 170 tpd heap-leach operation. Although the long term potential of this high grade resource is believed to be limited, management has recognized the potential for a low-grade bulk tonnage gold-silver resource within the area of current workings and along strike under cover.
Underground sampling showed significant intercepts of low grade mineralization in adjacent wall rocks. Intercepts obtained include 1.21 g/t Au and 44 g/t Ag over 18 meters, and 0.96 g/t Au and 32 g/t Ag over 28 meters. Strongly silicified quartz stockworks associated with the main mineralizing structures assayed up to 7.05 g/t Au and 152 g/t Ag, and contact zones between the high grade structures and granodiorite wall rocks assayed up to 3.8 g/t Au and 186 g/t Ag over 2 meters.
The deposit is only partially exposed due to overburden and the mineralization is open in all directions. The Property has never been drilled, and has excellent potential to define extensions to mineralization by exploration along strike under cover and down dip of the current workings.
Radius Gold Inc. (TSX-V: RDU) has agreed to assign to Focus its option (the "Option") to earn a 100% interest in the Nueva California Property, the terms of which require exploration expenditures on the Property of US$3 million and cash payments to the property owner (a Peruvian private company) totaling US$3 million, over a period of 4 years. The first year requirements are payments of US$150,000 to the owner (of which US$50,000 has been paid by Radius to date) and exploration expenditures of US$200,000.
Focus will have up to 180 days to conduct due diligence work on the Property, and if it decides to proceed, Focus will assume all of Radius's obligations under the Option, will issue to Radius 1,000,000 common shares in the capital of Focus at a deemed price of $0.20 per share, pay to Radius $50,000 cash, and grant to Radius a 1.5% net smelter return royalty on the Property. If Focus exercises the Option, Focus must pay to the owner US$4 per ounce of gold defined in the reserve category as determined by a bankable feasibility study, and for the number of ounces of gold produced during a 6-year period thereafter that is over and above the number of ounces defined in such a study, up to a maximum of 2.5 million ounces, or US$10 million. Radius and Focus have common directors and officers, and the agreement between the two companies is subject to TSX Venture Exchange approval.
Assay Protocol & Qualified Person
All sample preparation and analyses were conducted by ALS Chemex Labs in Lima. Samples were analyzed for Au, using a 30 gram pulp with Fire Assay and AAS with gravimetric finish for samples over 10 g/t Au. Silver was analyzed by ICP, with AAS for samples over 100 g/t Ag. The scientific and technical information in this release was prepared under the supervision of Mr. David Cass, Focus's President and C.E.O., who is a member of the Association of Professional Engineers and Geoscientists of British Columbia, and a "Qualified Person" in accordance with National Instrument 43-101.
About Focus Ventures
Focus Ventures is listed on the NEX board of the TSX Venture Exchange, and has recently assembled an experienced technical team of geologists and consultants with superior geographical knowledge and operational capabilities to search out quality gold projects in Peru. Focus's strategy is to identify and acquire early-stage gold projects that show potential to become mines.
For further information on Focus Ventures Ltd., please call 604-688-5288 or visit our web site (www.focusventuresltd.com).
ON BEHALF OF THE BOARD
David Cass, President
Investor relations: Erin Ostrom
Shares Issued: 10.7-million
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release
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