Farallon Updates G-9 Production Status While Managing Project Expenditures

About this update from First Atlantic Nickel & Cobalt Corp.

[{"type":"text","content":"\n\n\n\nVANCOUVER, Nov. 10 /CNW/ - Dick Whittington, President and CEO of\nFarallon Resources Ltd. ("Farallon" or the "Company") (TSX: FAN) is pleased to\nprovide an update of activities at the Company's G-9 polymetallic (zinc,\ncopper, lead, silver, gold) operation on the Campo Morado property in Guerrero\nState, Mexico, as well as a general corporate update.\n\n\nAs announced in August 2008 mining at G-9 has proceeded based on a\n17-month plan, with an initial production rate of 20,000 tonnes per month,\nincreasing to 45,000 tonnes per month by January 2009. The Company also\nannounced that it was reviewing the mine plan with the objective of compiling\nthe most economically robust plan possible, given the uncertain outlook for\nmetal prices at that time.\n\n\nThe revision to the mine plan has now been completed. The new, 20-month\nplan incorporates several areas of optimization primarily through the use of\nlower cost, open stoping mining methods. The use of open stoping mining\nmethods also significantly reduces the amount of underground development\nrequired to open up the target mineralized areas. Additionally, the mine plan\nnow accesses the high-grade areas of the Southeast zone earlier than was\npreviously anticipated.\n\n\nUnder the new mine plan, some 800,000 tonnes of material at an average\ngrade of 12% Zn, 1.6% Cu, 1.3% Pb, 230 g/t Ag and 3.2 g/t Au are mined between\nNovember 1, 2008 and June 30, 2010. The plan includes production of 30,000\ntonnes per month (approximately 1,000 tonnes per day) from the North and West\nExtension zones during November and December 2008, ramping up to full\nproduction of 45,000 tonnes per month (1,500 tonnes per day) when mining in\nthe Southeast zone gets underway in January 2009. Mining of the high-grade\nportion of the Southeast zone is scheduled to commence in February 2009, with\naverage grades of 16.2% Zn, 2.3% Cu and 0.7% Pb expected to be mined during\nthe month. Graphs showing the expected production under the plan will\naccompany this news release on the Company's website. A Technical Report on\nthe new plan will be issued in 45 days.\n\n\nGiven the recent volatility in metal prices, the Company's near-term,\nprimary objectives are to maximize cashflow and to minimize costs. The new\nmine plan outlined is designed with those objectives specifically in m...

More updates from First Atlantic Nickel & Cobalt Corp.