Zone 6 garnet skarn with visible malachite staining and bornite mineralization


Zone 9 high-grade Cu mineralization (as primary purple-grey bornite) and secondary green malachite within
garnet-epidote skarn


Zone 7 and 8 northwest view with limestone hills and flat lying porphyry and trenches in the middle


Zone 8 skarn


Zone 8 skarn

Alicia

(Copper-Gold-Silver)

Project Description and Location

The Alicia project consists of a block of four concessions, covering 2593 ha, located approximately 60 km south of Cuzco, in the District of Capacmarca, Province Chumbivilcas, Department of Cuzco, at an elevation of between 4200 m and 4400 m. The claim block is centered on UTM coordinates 8400000 N and 178000 E.

The Alicia Project presents a prospective copper-gold-silver project in a favourable porphyry-skarn jurisdiction with potential for significant drill intercepts of moderate to high-grade copper along with significant precious-metal credits.

Past exploration has defined existing skarn zones at surface reasonably well with trench sampling at 60-70 m intervals within the main zone to the south, and at 100 m intervals within the main zone to the north. Highlights of this sampling returned up to 56 m at 1.9% Cu, 0.18 g/t Au and 12.7 g/t Ag from trench Iris 5, and 32 m at 2.8% Cu, 0.32 g/t Au and 14.7 g/t Ag from trench Iris 7. These results are historic in nature and shall not be relied upon. Infill trench sampling between mineralized skarn zones still needs to be performed.

The general geology of the main skarn prospects have been fairly well mapped at 1:5000 scale, however no property wide mapping appears to have been executed, nor any systematic sampling/mapping of the historic workings of high-grade Ag-Pb-Zn+/-Au-Cu veins located 2 km south of the skarn zones.

A ground magnetic and TEM geophysical survey was performed over the main skarn area. The results of the magnetic survey are very useful in mapping the intrusive body and indicate magnetic anomalies where no intrusive outcrop has been mapped but has been observed in the field by Strait geologists. The TEM survey produced a few wide, poorly defined anomalies at depth, some of which were drill tested with no significant results (AL-03, not assayed).

The property was subject to a 3-hole (1053 m) diamond drill campaign in 2003 by the previous owners Cordillera de las Minas (CDLM) which had as its target porphyry copper mineralization within the intrusive body. One hole (AL-01) may have targeted the main skarn body (Zone 1) but was drilled roughly parallel to the dip of limestone bedding (and presumably the porphyry-limestone contact). As such, the hole never encountered the skarn contact.

The next step for the property is to test the skarn potential at depth. This will require a Phase I program consisting of surface mapping/sampling and IP geophysics designed to indentify the best drill targets, followed by a short (‹1000 m) 3-4 hole drill program targeting skarn mineralization 100 m below surface to test for the presence of economic mineralization at depth. A second, more substantial round of drilling (2000-5000 m), would follow dependent on the success of the initial drill program.

Accessibility, Climate, Infrastructure, Physiography

Access from Cuzco is on a paved highway for the first 100 km to Pte. Tinccocc, with an estimated travel time of 3.5 hours and from Pt. Tinccocc to the project on 66 km dirt road with an estimated travel time of 2 hours.

The Physiography of the area is dominated by a relatively gentle topographic relief with many hills and valleys. The drainage on this eastern flank of the Cordillera Occidental is towards the Atlantic Ocean and the principal rivers like the Velille and Apurimac, among others, are controlled by regional faults.

The climate is a moderate rain climate, characterized by dry winters with abundant rains and snow from December to March.

Centre of porphyry looking north at surrounding limestones and
Zone 7 and 8 trenches at the base of the ridge

Panorama of historic workings south of Alicia within claims

Shallowly dipping tightly folded limestone bed on the south side
of Alicia porphyry