Fancamp Subsidiary Magpie Mines Inc. Signs MOU with China's Pangang Group

Fancamp Exploration Ltd. (TSX VENTURE:FNC) ("Fancamp" or the "Company") is
pleased to announce that its 46.7% owned Magpie Mines Inc., has signed a
Memorandum of Understanding ("MOU") with the Pangang Group Limited of Panzhihua,
Sichuan Province, China ("Pangang"), following a recent Magpie delegation visit
to Pangang.


The delegation met senior officials of Pangang and discussions between both
parties included the possibilities of technology exchanges with respect to
Pangang's smelting and beneficiation processes and their possible applications
for the Magpie Titanium-Vanadium-Chromium magnetite mineralization ("Magpie"),
as well as the Hydrochloric Acid ("HCL") leaching technologies -adopted by both
companies.


The agreement ensures the exchange of information on these topics and outlines
Pangang's commitment to use its proprietary technologies and experience for the
development of the Magpie mineralization. Magpie will provide Pangang with
samples for further test work, a process that should take 6 to 8 months.


Dr. Fouad Kamaleddine, PhD, P. Eng., Fancamp's VP of Research and Development
stated, "We are very pleased to announce the signing of this MOU with Pangang,
which could have significant benefits for both parties. Magpie will benefit from
Pangang's experience in mining and processing of complex
vanadium-titanium-magnetite ores like Magpie, as well their R&D expertise in the
production of titanium, vanadium and chrome products and alloys. Pangang, on the
other hand, appreciates the size of the Magpie mineralization, as well as its
grade compared to their local deposits. The MOU still represents an early stage
of discussions between the parties, but is considered a significant step towards
fostering a strong relationship between the two companies."


Magpie is located along the Lower North Shore of Quebec, some 200 km northeast
of Sept-Iles and 150 km northwest of Havre-St-Pierre. Magpie hosts National
Instrument 43-101 Indicated Mineral Resources of 635.2 million tonnes grading
42.49% FeT (60.78% Fe2O3), 11.20% TiO2, 0.30% V2O5 and 2.61% Cr2O3 with
additional Inferred Mineral Resources of 293.2 million tonnes of 42.29% FeT
(60.49% Fe2O3), 11.21% TiO2, 0.32% V2O5 and 2.54% Cr2O3 (both based on a 15% FeT
cut-off grade) (refer to the Fancamp news release dated April 18, 2012).


About the Pangang Group

The Pangang Group or the Panzhihua Iron & Steel Group is a large-scale,
state-owned enterprise specializing in vanadium-titanium-magnetite mining and
smelting. It is the largest steel maker in western China, the largest vanadium
product manufacturer in China and the second largest in the world. It is also
the largest titanium concentrate producer and among the top titanium product
manufacturers in China.


Since it was founded in 1965, Pangang Group has developed a series of
proprietary technologies and has become a global leader of blast furnace
technologies and in recent years, the group's research institute has made
significant breakthroughs in the comprehensive utilization of
chrome-vanadium-titanium magnetite ores.


About Fancamp Exploration Ltd. (www.fancampexplorationltd.ca)

Fancamp Exploration Ltd. is a Canadian junior mineral exploration company that
continues to evolve into a holder of shares in partner companies and royalties
on near-term producing mines. These assets are designed to generate free cash
flow without further shareholder dilution. Fancamp has an exceptional inventory
of resource projects at various stages of development covering more than 1,710
km2 in three provinces. The commodities include hematite-magnetite iron
formations, titaniferous magnetite, hematite, nickel/copper/PGM, chromite,
Volcanogenic Massive Sulphides and gold.


Neither TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this news release.


S.E.C. Exemption: 12(g)3-2(b)

FOR FURTHER INFORMATION PLEASE CONTACT: 
Fancamp Exploration Ltd.
Jean Lafleur, M. Sc., P. Geo.
President and CEO, Director
[phone]
[e-mail]


Fancamp Exploration Ltd.
Michael D'Amico
Investor Relations
[phone]
[e-mail]
www.fancampexplorationltd.ca


Aberdeen Gould Advisory Services Ltd.
Roger Rosmus
Business Development
[phone] x222
[e-mail]