Argentina/Chile

Filo del Sol

The Filo del Sol Project is part of the JOGMEC Vicuña JEA in which the Corporation has a 60% participating interest and JOGMEC has a 40% participating interest. Filo del Sol is located in San Juan Province, Argentina along the international border with Chile. The project area is located approximately 15 kilometres west of the Josemaria Project. Elevations in the project area range from 5,000 to 5200 meters.

Filo del Sol is a high-sulfidation copper-gold target hosted in a large complex diatreme body measuring approximately one kilometer in diameter that is superimposed on a porphyry copper system at depth. Mineralization in the upper part of the diatreme occurs as chalcanthite, a soluble copper sulfate mineral. This transitions at depth to disseminated and veinlet controlled sulfides including pyrite, enargite, chalcopyrite, and occasional covellite, and chalcocite. Parts of the system are strongly anomalous in gold. Porphyry-style copper mineralization has been intersected at depth and lateral to the diatreme body.

The Corporation has conducted several exploration campaigns on the Filo del Sol Project including geochemical sampling, magnetics, IP/Resistivity surveys and 38 drill holes. The last drilling on the property took place during early 2008. This work has outlined a large body of mineralized material but is not yet sufficient to permit calculation of a resource. In 2009, the Corporation conducted a deep penetrating IP/Resistivity (MIMDAS) survey across the diatreme complex. This work outlined an upward flaring structure that is coincident with the mapped area of the diatreme. A review of project data during 2010 identified several compelling near surface gold targets in the northern part of the project area. Approximately 2,000 metres of drilling will be directed toward following up some of the better gold results from previous drilling and testing the gold potential of the diatreme. Drilling is expected to begin in the first quarter of 2011.

Maps and Photos