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Espanola

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Summary

The 7,129 Hectare Espanola Copper-Gold Project is 100 kilometres southeast of Lima and hosts two high grade past producing mines and numerous underground workings. The project is located 15 km east of the producing Raul/Condestable Mines.

2009 Results

Economic mineralization on the Property is related to NNW striking steeply dipping quartz+carbonate+chalcopyrite+ bornite ± sphalerite ± magnetite veins hosted within well-defined fracture zones that formed in response to regional scale tectonism. The Rosa Maria vein, which was exploited for over 20 years, is 0.5 m to 3.0 m wide. The upper level of the mine is located within the oxidized level which is characterized by the presence of copper oxides and carbonates such as tenorite, malachite, chrysocolla and cuprite. Results from a 2007 exploration program give copper contents that vary from 0.03 % to 12.96 % and average 4.25 % (n=49). Silver concentrations vary between 0.3 to 139.0 g/t and average 16.10 g/t (n=49). Mineralization is locally gold anomalous with concentrations reaching up to 1.67 g/t.

All 2009 Results

 

Sample

Easting

Northing

Au

Ag

Cu

Zn

#

PSAD56

PSAD56

g/t

g/t

%

%

1451

348100

8609070

1.61

22.4

8.93

0.02

1452

348309

8609204

0.15

4.1

2.51

0.03

1453

351332

8609156

0.33

103.7

6.85

0.03

1454

351196

8609392

0.53

20.0

7.27

0.06

1455

351202

8609402

1.33

10.8

12.24

0.05

1456

351184

8609440

0.76

5.6

11.68

0.16

1457

350870

8609758

1.67

27.8

12.96

0.05

1458

350103

8608504

0.17

7.7

1.64

0.02

1459

349884

8608516

0.10

40.6

6.68

0.05

1460

349860

8608590

0.07

13.1

3.92

0.04

1461

349954

8608378

0.01

12.1

1.40

0.03

1462

349921

8608442

0.01

26.1

3.67

0.04

1463

349986

8608464

0.07

139.0

6.49

0.07

1464

349541

8608270

0.07

13.7

1.83

0.04

1465

349438

8608200

0.39

38.1

4.30

0.03

1466

349440

8608416

0.24

13.3

4.09

0.05

1467

349610

8607392

0.01

0.8

1.91

0.05

1468

349755

8607538

0.42

21.8

3.79

0.02

1469

349935

8607754

0.60

12.5

4.95

0.02

1470

349935

8607754

0.35

16.1

1.43

0.01

1471

350040

8607750

0.20

6.9

3.23

0.02

1472

350693

8606942

0.20

74.6

7.52

0.04

1473

350534

8606880

0.24

8.3

0.30

0.01

1474

350150

8607245

0.06

31.5

9.77

0.06

1475

350170

8607355

0.12

15.6

2.27

0.01

1476

351649

8607314

0.04

3.6

0.49

0.01

1477

351860

8607380

0.08

3.0

0.47

0.00

1478

352017

8607334

0.03

2.0

3.36

0.01

1479

353910

8605348

0.41

1.8

3.48

0.05

1480

353409

8605510

0.49

1.6

6.90

0.03

1481

353200

8605660

0.74

1.3

3.97

0.02

1482

353439

8605923

0.22

3.8

1.98

0.01

 1483

353326

8605928

0.83

2.9

5.29

0.01

1484

353075

8605866

0.21

1.6

2.28

0.02

1485

352351

8605770

0.33

3.3

2.60

0.06

1486

352017

8605864

0.82

27.0

4.47

0.03

1487

351921

8606149

0.46

8.8

7.30

0.06

1488

351639

8606574

0.09

0.8

1.31

0.01

1489

349128

8612380

0.04

2.8

4.56

0.04

1490

349089

8612353

0.60

1.9

7.57

0.10

1491

349137

8612242

1.15

9.0

6.29

0.15

1492

350760

8607235

0.19

2.5

0.91

0.01

1493

350760

8607235

0.42

7.6

7.44

0.02

1494

350540

8607150

0.16

16.5

4.89

0.31

1495

350371

8607198

0.52

5.0

4.17

0.22

1496

350340

8607262

0.44

8.8

0.50

0.01

1497

350260

8607480

0.16

0.4

0.37

0.01

1498

352600

8608480

0.02

1.6

0.03

0.00

1499

352400

8608540

-0.01

0.7

0.04

0.01

1500

352160

8608610

-0.01

0.3

0.04

0.01

As recently as the mid-90s there were two producing copper mines on either end of the property. These mines were shut down as a result of extremely weak global copper prices. However, copper prices have risen significantly since that time and as a consequence Grenville has determined that these mines may once again prove commercial.

A total of 45 rock grab samples were also collected and reported in 2007 from various underground workings with assays ranging from 70 parts per million to 11.37 per cent copper and 0.007 to 0.794 grams of gold/tonne. Mineralization on surface is hosted by steeply dipping malachite-stained quartz veins averaging between 0.5 to 3 meters wide. In the underground workings sulphide mineralogy consists of bornite and chalcopyrite. The average of the samples was 0.19 ppm Gold and 2.51% Copper. The table lists the complete results.
 

 Sample Number

Gold

ppm

Copper

%

 Sample Number

Gold

ppm

Copper

%

01526
0.609
3.23
01549
0.027
0.52
01527
0.464
2.88
01550
0.011
0.53
01528
0.094
1.85
01633
0.043
5.05
01529
0.101
2.14
01634
0.018
1.64
01530
0.499
8.77
01635
0.185
4.35
01531
0.011
0.01
01636
0.597
2.96
01532
0.783
3.95
01637
0.189
0.94
01533
0.177
4.69
01638
0.283
2.17
01534
0.794
5.70
01639
0.052
2.93
01535
0.170
3.60
01640
0.111
5.46
01536
0.104
1.89
01641
0.103
0.52
01537
0.325
0.61
01642
0.457
11.37
01538
0.008
0.09
01643
0.189
5.70
01539
0.015
2.19
01644
0.239
4.60
01540
0.009
0.83
01645
0.189
1.51
01541
0.007
1.92
01646
0.189
3.03
01542
0.037
0.44
01647
0.048
1.54
01543
0.017
0.51
01648
0.114
0.04
01544
0.012
0.01
01649
0.364
1.46
01545
0.012
0.31
01650
0.445
3.88
01546
0.009
0.71
01419
0.142
0.10
01547
0.051
1.72
01420
0.153
2.67
01548
0.038
1.92
Averages
0.19
2.51

Results are consistent with the former producing Raul/Condestable Mines, located 15 kilometers west of Espanola. These mines have produced have produced over 20 million tons of ore grading 1.5% copper and 0.5 grams of gold per tonne.

 

 
Analyses for the samples reported herein were performed by Inspectorate Services Peru S.A.C in Lima, Peru.  Inspectorate Services Peru S.A.C. is an International Organization for Standardization (“ISO”) 9000 certified laboratory. ISO 9000 certification a quality assurance model ensuring organizations develop a quality system. The official ISO explanation of the ISO 9000 group of standards be found at www.iso.ch/iso/en/iso9000-14000/index.html.