Feasibility study to begin at Norman (May 20, 2004)

The Norman 2000 and Norman North copper-nickel deposits in the Sudbury area will soon see increased activity, as FNX Mining (FNX-T) and Dynatec (DY-T) begin feasibility work. In the meantime, drilling is ongoing.

The 1,111-acre Norman property is situated 20 miles north-northeast of Sudbury.

At the end of December, FNX and Dynatec exercised an option with Inco (N-T) to become 100% owners of several Sudbury area deposits. The Normans are two of these. Since the end of October, 13 surface holes totaling 31,178 feet have helped to define the 2000 deposit.

Highlights of recent Norman 2000 drilling include: 238 feet grading 1.4% copper, 0.2% nickel , including a 49.8 foot intersection grading 3.6% copper and 0.5% nickel and also an intercept of 15 feet grading 8.3% copper and 1 % nickel; 10.8 feet grading 29.3% copper and 0.3% nickel; and a 159 foot intersection grading 4.3% copper and 0.4% nickel, that included two higher grade intercepts of 23 feet grading 7.7% copper and 0.8% nickel and 5.8 feet grading 31.2% copper and 0.5% nickel. Significant gold-platinum-palladium assays, up to 0.57 ounces per ton total precious metals over a width of 11 feet, were also present.

The Norman 2000 deposit is located 2000 vertical feet below the past-producing Whistle mine. During the late 1980s and for 4 years in the 1990s, 5.7 million tons of ore, grading 0.33% copper, 0.95% nickel, 0.009 oz. per ton combined platinum-palladium-gold and 0.03% cobalt, was produced from the Whistle open pit.

The Norman North deposit will be accessed via a ramp that is to be collared about 500 feet from the 2000 shaft site. The two deposits are separated by about 2,500 feet. Underground drilling and bulk sampling will further test the North deposit.

Four surface holes, totaling 2,809 feet, were recently drilled into the North deposit. Highlights of this drilling include: 8.3 feet grading 10.4% copper and 0.3% nickel; and 81feet grading 6.4% copper and 0.4% nickel, that included 31 feet grading 15.7% copper and 0.7% nickel.

Advanced exploration will aid the feasibility study of the 2000 deposit, expected to take 24 months and cost about $25 million. A road is being prepared in preparation for shaft sinking and a vertical condemnation hole has been drilled at the shaft site. A vertical shaft is going to be sunk to the 2,450 level and crosscutting, ramping, and drifting into the deposit, will be followed by underground drilling and bulk sampling.

The Sudbury joint venture is owned 75% by FNX and 25% by Dynatec.