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Century Iron Mines returns 50.65% total iron over 127 metres at Attikamagen

Century Iron Mines (TSE:FER) unveiled the second group of assay results from its 2011 exploration program at the Attikamagen project, located east of Schefferville, Quebec.

The 2011 summer drilling program focused on potential taconite and "direct shipping ore" targets near Hayot Lake, Quebec and Joyce Lake, in western Labrador, respectively.

Among the highlights, drill hole JOY-11-23 at Joyce Lake intersected 127 metres grading 50.65 percent total iron (FeT), including 33 metres grading 61.15 percent FeT.

Meanwhile, summer 2011 diamond-drilling at the Hayot Lake target corroborates earlier drill results, where drillholes spaced 500 metres to 1,000 metres by 200 metres have tested approximately an eight kilometre strike length of favourable magnetic anomalies on the property, the company said.

Drill hole HAY-11-18 at Hayot Lake intersected 149.3 metres grading 33.15 percent FeT.

Century Iron Mines' president and chief executive officer, Sandy Chim, said: "We are very encouraged by the drilling results at Joyce Lake for its DSO potential, and at Hayot Lake for its taconite potential.

"The second batch of assay results from the 2011 Attikamagen drilling program further shows that the Joyce Lake iron formation has the potential to become a DSO deposit. These results validate the company's current direction of its exploration programs on the taconite and DSO potential in Canada.

"We look forward to receiving the third batch of assay results for drill holes which were just recently completed and are very pleased and encouraged by the exploration program thus far."

A total of 10,884 metres of combined diamond and reverse circulation drilling was completed during the 2011 drilling program, from April 8 to October 30.

The company is now preparing for the next phase of drilling, which is expected to resume February 2012 on the Joyce Lake resource.

Iron values were determined by X-ray fluorescence (NYSE:XRF) major element analysis at an ISO 17025 accredited laboratory, the company said.

The Attikamagen iron project includes one group of claims straddling the boundary between the provinces of Quebec and Newfoundland and Labrador. The property includes 405 designated cells located in Qu├ębec, and 617 claims located in Labrador, covering an aggregated area of approximately 345 square kilometres.

Drill targets at Attikamagen include Hayot Lake, Jennie Lake, Joyce Lake and Lac Sans Chef.

Century is Canada's largest holder of iron ore land claims, with interests in several properties in the provinces of Quebec and Newfoundland and Labrador.

In late November, the company finalized its joint venture agreement with WISCO International Resources, a unit of Wuhan Iron & Steel, China's third-largest steel producer.

Under the definitive joint venture agreement, WISCO Resources will invest an aggregate of $120 million in exchange for a 40 percent stake in Century's Duncan Lake, Attikamagen and Sunny Lake projects in Quebec.

Friday morning, Century's shares were flat at $2.08.