Bethania Project
The 3,342 hectare Bethania Project includes a 2,400 hectare block of exploration concessions belonging to Minera IRL S.A., as well as the “El Alcatraz 12” concession (942 hectare), on which a mining transfer and option contract was signed with Minera Monterrico Perú S.A.C. on September 1st, 2009.
The Bethania Project is located in the Huancavelica province of the Huancavelica department of central Perú, some 10 Km southeast of the Minera IRL S.A. Corihuarmi Gold Mine. Access from Lima is along 330 Km of paved highway to Huancayo, followed by 120 km to the Bethania village along a well maintained secondary dirt road.
The Project is situated in the central Andes of Perú. It is hosted within a package of mid- to late-Tertiary volcanics which conform to the same northwest-southeast trending alteration belt in which the Corihuarmi Mine is located.
“El Alcatraz 12” was explored in 1994 by Queenstake Resources LTD who, in response to the recognition of TM image anomalies, conducted surface sampling and geological mapping on the property. In 1996 Queenstake’s results motivated the signing of a Joint Venture with Minera Newcrest Peru S.A. Under the terms of the JV Newcrest conducted additional geological mapping and geophysical ground magnetic and IP studies, identifying several prospective geophysical targets.
A total of 15 reverse circulation and diamond drill drill-holes were completed by Newcrest. Ground magnetic anomalies, measuring up 500 x 180 m and occurring over dacitic porphyry intrusive which in turn is partially overlain by andesitic flows, have been partially tested by surface drilling. Likewise, chargeability and resistivity studies have identified several prospective exploration areas unexplored by drilling.
Recent reconnaissance geochemical rock sampling has revealed anomalous gold grades of up to 1.04 g/t Au on surface. These gold values are associated with and related to a stockwork array of fine quartz veinlets occurring within an alteration assemblage that includes biotite, smectite, sericite, pyrite and specularite. Previous drilling during 1996 revealed a mineralised interval of 150m @ 0.33g/t Au and 0.13% Cu from surface.
The target is a large porphyry gold or gold/copper deposit. An extensive alteration zone, measuring approximately 3.5km by 1.2km, is associated with an Induced Polarization chargeability/resistivity anomaly indicating the presence of extensive disseminated sulphide mineralization.
On 5th July 2010, the Company announced an update on the phase 1 exploration program. The program consisted of a 12 hole, 4,856 metre reverse circulation (“RC”) drilling program. The drilling program encountered substantial intersections of low grade gold, copper and molybdenum in a porphyry setting. Six drill holes intersected broad zones of gold copper molybdenum mineralization, characteristic of the targeted porphyry system. The best drill hole results, from RC10-BET10 intersected 276m from surface averaging 0.38g/t gold, 0.09% copper and 30ppm molybdenum including, also from surface, 72m at 0.66g/t gold, 0.13% copper and 40ppm molybdenum. Hole RC10-BET07 averaged 0.32g/t gold, 0.09% copper and 32ppm molybdenum over the entire 426m of the hole and included a better zone of 124m at 0.39g/t gold, 0.10% copper and 22ppm molybdenum from 260m down hole. Drill hole RC10-BET09 recorded two intersections, 90m from surface at 0.46g/t gold, 0.15% copper and 54ppm molybdenum plus 64m from 216m down hole grading 0.41g/t gold, 0.11% copper and 25ppm molybdenum. Drill hole RC10-BET11 averaged 0.29g/t gold, 0.10% copper and 30ppm molybdenum for 424m from surface.
The Company believes the drilling demonstrates significant presence of gold and copper in this large system warranting a next phase of exploration. The Company is currently evaluating all information and intends to conduct a second phase of exploration drilling commencing in the second quarter of 2011 upon the abatement of the wet season.
Quartz stockwork veinlets located within a sericite, smectite, secondary biotite, pyrite, specularite, assemblage.
Bethania Project: Locality Map
Cerro Bethania: ground magnetic and chargeability anomalies overlying a dacitic porphyry
Summary of Drill Results
Cross Sections
Assay Information
Plan