The information on the Escalones Project contained herein was derived from the NI 43-101 Technical Report entitled “Resource Estimate On The Escalones Porphyry Copper Project” effective date June 28, 2013, amended on July 11, 2014, and filed on SEDAR. Please refer to this historical Technical Report for important technical and other disclosures.
The Escalones copper-gold porphyry project lies 35 km east of El Teniente, one of the world’s largest underground copper mines, and within the renowned Chilean porphyry copper belt that runs north-south in the central Andes Mountains. The project has excellent infrastructure, including road access, electricity, access to seaports, and a gas pipeline that crosses the 70 square km property.
The Escalones deposit was discovered in 1996 through greenfield exploration work by Ralph Fitch, former President and CEO of General Minerals Corporation, and Felipe Malbran, the former Vice President of Exploration, South America.
Resources & Geology
Escalones has historical Indicated resources of 233 million tonnes of 0.31% copper and additional Inferred resources of 528 million tonnes of 0.34% copper, based on nearly 25,000 metres of drill core from 53 holes. Significant molybdenum, gold and silver accompany the copper and improve the economics. The mineralization sits within a four square-kilometer area of hydrothermal alteration comprising quartz-sericite, potassic, and calc-silicate alteration assemblages. Coincident copper, gold and silver geochemical anomalies are associated with replacement-style “skarn” mineralization hosted in calcareous sedimentary rocks that flank central porphyritic intrusive rocks, which have porphyry-style mineralization.
Copper mineralization at Escalones occurs primarily as chalcopyrite, bornite, and covellite, as well as copper oxides and carbonates near surface. Higher grades are mostly at or near surface, and the mineralization sits within a high ridge, making it amenable to surface mining.
An Amended Technical Report prepared by Hard Rock Consulting, LLC titled, “Resource Estimate on the Escalones Porphyry Copper Project,” and dated July 11, 2014, with an effective date of June 28, 2013 (the “Escalones Technical Report”) expanded and upgraded the initial inferred resource identified in 2011 (see link at top of page).
Escalones Mineral Resource as of June 28, 2013*
*The historical mineral resource estimate on the Escalones Project was prepared in accordance with the standards of NI 43-101. Please refer to the Escalones Technical Report available here and on SEDAR.com for important Qualified Person, technical and other disclosures.
A programme of metallurgical testing on Escalones mineralization was completed in 2013. Tests focused on the recovery of the copper, gold, silver and molybdenum by conventional flotation and conventional sulfuric acid leaching.
The standard sulfuric acid leach metallurgical test achieved average copper extraction of 79 to 95% from mixed copper oxide-sulfide mineralization. Copper sulphide flotation was also successful and rougher-cleaner flotation testing of the porphyry material achieved 25-34% copper concentrate grades at high recovery and low findings of all key impurities.
The Escalones deposit remains open to expansion laterally and down dip, with only roughly half of the alteration zone drilled to date. Coincident geophysical anomalies indicate there is substantial expansion potential to both the skarn and porphyry mineralization. Interpretation of ZTEM resistivity and aeromagnetic surveys show several large areas of yet untested conductivity and magnetic anomalies which may represent potential additional mineralization. There are also several large outlying colour anomalies with sparse but encouraging surface sampling that could become future drill targets.
Cautionary Note Regarding Forward-Looking Statements
Forward Looking Information: this webpage and linked content includes certain information that may be deemed “forward looking information”. Forward-looking information can generally be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. All information in this release, other than information of historical facts, including, without limitation, the potential of the general future plans and objectives for the Escalones project, the completion of the Plan and receipt of shareholder and regulatory approval therefor, the likelihood of receipt of value from the Retained Right, the availability of financing to Wealth Copper Ltd. (“the Company”) and the Company’s plan in relation to its listing review are forward-looking information that involve various risks and uncertainties. Although the Company believes that the expectations expressed in such forward-looking information are based on reasonable assumptions, such expectations are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking information. Forward-looking information is based on a number of material factors and assumptions. Factors that could cause actual results to differ materially from the forward-looking information include changes in project parameters as plans continue to be refined, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, regulatory changes, delays in receiving approvals, and other risks detailed herein and from time to time in the filings made by the Company with securities regulatory authorities in Canada. Mineral exploration and development of mines is an inherently risky business. Accordingly, actual events may differ materially from those projected in the forward-looking information. For more information on the Company and the risks and challenges of our business, investors should review our continuous disclosure filings which are available at www.sedar.com. Readers are cautioned not to place undue reliance on forward-looking information. The Company does not undertake to update any forward looking information, except in accordance with applicable securities law.
John Drobe P.Geo., Wealth Copper's Exploration Manager, and a qualified person as defined by National Instrument 43-101, has reviewed the technical information that forms the basis for this webpage.