Cullquimayo Project

The Cullquimayo Project


Property Description and Location:

The Cullquimayo project consists of 13 claims covering 8,400 hectares. The Project was staked in March, 2005, after being explored by a German geological mission and the Peruvian Atomic Commission (GMAPC) from 1959 to 1967. Eight prospective targets have been identified with potential for uranium, silver, copper, nickel and gold.

Accessibility, Climate, Local Resources, Infrastructure and Physiography:

The property is located in the Vilcabamba mining district, Cusco department. It lies 80 kilometres northwest of the city of Cusco within the Cordillera Oriental of the Peruvian Andes. Access us via an 8-hour drive from Cusco to the village of Vilcabamba (approximately 250 km), along a well-maintained all-weather road. Once at the village, the Cullquimayo claims are located 4 to 12 km away.

The area is highly glaciated and the topography is rugged with peaks reaching up to 4800 masl with landscape used for pastures. Access to the different showing areas is only via hiking trails. The climate is generally wet and cold.

History:

The mines of the Vilcabamba area were first worked for silver by the Incas and later by the Spaniards in the early days of the colonial era. In 1954, the first uranium showing was reported and the Peruvian Atomic Commission assisted by a German geological mission explored an 8250 km2 from 1959 to 1967. Eventually 2.5 tonnes of uranium ore was produced from the Huamanapi area and following a- short drilling program which rendered negative results all uranium exploration was discontinued. In 1990, artisanal mining occurred on the Negrillas silver and Tunisca gold mines. From 2004 to 2006, Solex completed a geological assessment of its claims and all of the old mines were inactive and inaccessible due to vegetation overgrowth. No work has been undertaken on the project since August 2006.

Geological Setting:

Country rocks comprise transgressional, bedded grey marine Lower-Permian Copacabana limestones and sandstone and black lutites of the Tarma Group which form a carbonatic platform, as well as conglomerates, quartzites, sandstones and black shale of the underlying Ambo Formation. The sequence was faulted and eroded in the mid–Permian and is unconformably overlain by massive Permo-Triassic lavas and red bed molasses of the rift related to the Mitu Formation. Huge regional foliated felsic plutons intruded the sequence along a E-W trend, forming part of the 200 km long E-W oriented Abancay deflection. The late Tertiary felsic Pampaconas stocks, about 10 km NE of Vilcabamba, seems to be related to at least in part for the mineralizing pulses observed in Vilcabamba.

Mineralization:

Mineralization in the project area comprises widespread, but narrow and widely spaced sub-vertical polymetallic veins. The principal minerals found are hematite, chalcopyrite, pyrite, magnetite, tetrahedrite-tennandite, niccolite, uraninite, malachite, azurite, annabergites, galena, sphalerite and barite. The most common gangue minerals are carbonate; white to pink massive and crystalline calcite. Mineralization is of hydrothermal origin and has the characteristics of a complex uranium base metal veins. Uranium veins with associated complex Cu-Co-Ni-Ag-Bi-S-As are known worldwide. At Cullquimayo, the mineralized veins seem to be associated with Tertiary igneous rocks which barely outcrop as dykes and small stocks. The vicinity of the mineralized U-bearing veins to stratigraphic unconformities, namely the Copacabana-Mitu contact to the north and the Copacabana-Ambo to the south point to the potential to find unconformity-type deposits along these structures SAE-Solex Exploration: Solex's field work consisted in geological and geochemical reconnaissance surveys, including representative rock and mineral chip samples (85 samples), a project scale stream sediments sampling (49 samples), two soil grid sampling on Target #1 (18 samples) and Target #2 (67 samples) and a preliminary scintillometer survey Targets # 4 to 7. Conclusion of the evaluation done by Solex is that 8 mineralized targets were identified on the project:

  • Target # 1: Negrillas valley Cu-Mo porphyry stock

  • Target # 2: Negrillas lake Cu-polymetallic mineralized tectonic breccias

  • Target # 3: Negrillas Ag-rich polymetallic veins

  • Target # 4: Huamanapi-Adrianita/Trincheras/San Marcos U-Co-Cu-Ni-Mo veins

  • Target # 5: Huamanapi-Aurora/Yunquiyocc U-Co-Cu-Ni-Mo veins

  • Target # 6: Huamanapi-Tembladera Ag-Cu-Ag veins

  • Target # 7: Huaynahuarco/Minasmayo U-Co-Cu-Ag-Ni veins

  • Target # 8: Tunisca Au-Ag-W-Cu sheared structure

Spectacular assay results include have been obtained in several targets:

  • Target # 3: 18.3% Cu, > 30% Pb, 2840 ppm Ag

  • Target # 4: 12.4% Cu, 442 ppm U, 98 ppm Ag

  • Target # 5: 2.21% Cu, > 1% U, 0.16% Mo, 279 ppm Ag

  • Target # 6: 2.8% Cu, 1.6% Ni, 140 ppm Ag

  • Target # 7: 1.94% Cu, 8.9% Ni, 3.9% Pb, 849 ppm Ag

  • Target # 8 : 0.88 % Cu, 16.2% Pb, 2.2% Zn, 16.2 ppm Au, 1185 ppm Ag

Results of the assessment work conducted by SAE-Solex demonstrate clearly the excellent discovery potential of this project. Exceptionally high grade base and precious metals values have been obtained from limited exploration work done on the property within a favorable geological setting that bears similarities with known mining camp such Great Bear Lake in Canada, Jachymov and Priban in Czechoslovakia and Shinkolobwe Copperbelt in Zambia

A detailed exploration program is fully warranted to outline this potential.

Cullquimayo Geological Map

Tunisca Au-Ag Target

Abandonned Tunisca Au-Ag Mine