Sesmo Anomaly

Initial work completed at the Sesmo anomaly has returned some of the most encouraging results discovered project-wide. The mineralization encountered is structurally controlled and described as a shear-breccia striking 55 degrees and dipping 52 degrees northwest. Mineralization is prevalent in quartz veins comprised of sulphosalts of silver, clasts of massive grey barite and disseminated galena, sphalerite, pyrite and rare fine-grained chalcopyrite. Ten meters to the southwest the shear breccia appears stratified striking 90 degrees and dipping 26 degrees to the north. About 100 metres to the northeast is another breccia zone in rhyolite (with quartz eyes) and polysulphides consisting of 1-2% disseminated galena, sphalerite and pyrite.


LOCATION


Results of channel sampling from the Sesmo prospect, completed as part of the company’s 2007 exploration program include:

  • 186.5 grams per tonne gold and 1,055 g/t silver over two metres, including 39.1 g/t gold and 741 g/t silver over 15 m;
  • 9.54 g/t gold and 634 g/t silver over 10 metres;
  • 12.3 g/t gold and 469 g/t silver over 3 metres; and
  • 3.67 g/t gold and 12 g/t silver over 3 metres.

In total, 82 channel samples, from 1 metre to 7 metres wide were sampled over a 100 metre by 150 metre area. Samples ranged from 0.01 g/t to 186.5 g/t gold and 0.01 g/t to 1,805 g/t silver.

The Sesmo anomaly lies within the Las Naves Central concession of the Curipamba project and is located 1 km North of El Domo Deposit.

Gold and silver mineralization lies between hydrothermal breccia structures and is analogous to the Caracol anomaly.

The company views these results as an indication that the mineralized structures identified to date could form part of a large mineralized system.

Historical chip samples completed at anomaly by previous companies:

  • Amlatminas (21 samples) range from<0.01 to 17.25 g/t Au and <0.2 to >1500 g/t Ag;
  • Canberra (3 samples)1.37 to 21.37 g/t Au and 16.4 to 447 g/t Ag;
  • Newmont (11 samples) 0.009 to 6.30 g/t Au and 0.2 to 810 g/t Ag;
  • Skeena (5 samples) 2.89 to 16.55 g/t Au and 66 to 1675 g/t Ag;
  • PanAmerican (2 samples) 6.89 to 27.9 g/t Au and 195 to 4900 g/t Ag.

Future geophysical and geochemical work will concentrate on testing the continuity of the mineralized structures. Grid lines have been established at 50 m spacing. Soil samples will be collected every 25 m and channel samples will be taken from outcrops located within the grid. Pits will be excavated to bedrock and sampled.