LOS AZULES April 2018
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- Joel Leonard
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1 April 2018 lies along the southern extensions of the highly productive Paleocene Mineral Belt in northern Chile that contains numerous important copper, gold and silver mines and projects, and to the south of the historically important Inca de Oro mining district. Numerous tourmaline breccia pipes, many with indications of oxide and sulphide copper mineralisation, occur onthe property. Artisanal mining of oxide copper has taken place on the largest outcropping breccias, immediately west of, including at the Q Inti Breccia Pipe. LOCATION OWNERSHIP PROPERTY SIZE STATUS DEPOSIT TYPE Northern Chile, 50 km E of Copiapo 70 km S of the Inca de Oro mining district 100% Revelo ~ 3,700Ha Subject to Option, Sale & Royalty Agreement with Masglas America Corporation SpA Copper Mineralised Breccia Pipes, Porphyry Copper STAGE Early stage - preliminary shallow drill testing (~ 3,700 m) INFRASTRUCTURE Readily accessible by paved road and good quality dirt road from the City of Copiapo Altitudes from approximately 1,800 m to 2,300 m
2 Q inti Breccia (Royalty Interest) LOCATION is located in northern Chile and is centred approximately 50 km east of the city of Copiapo. The property is situated along one of the principal productive mineral belts of northern Chile, and is located along trend and approximately 70 km south of the historically important Inca de Oro mining district. OWNERSHIP consists of approximately 3,700 Ha of 100% owned tenement comprising both exploration and mining concessions. STATUS is currently subject to an Option, Sale and Royalty Agreement with Masglas Corporation America SpA (see news release dated November 27, 2017). Masglas can earn a 100% interest in the Project over a maximum of four (4) years in exchange for a series of in-ground work commitments including 17,000 metres of drilling, and a series of cash payments to Revelo totalling US$0.5 million. After exercising the option, Masglas must also pay a NSR Royalty on future production to Revelo of 2%. Masglas has the right, within the first 36 months after exercising the Option, to buy back 50% of this royalty (1% NSR) for a cash payment to Revelo of US$1M. The buy-back option expires after 36 months from exercise ofthe Option. GEOLOGY AND DEPOSIT TYPE The tourmaline breccia pipes are associated with the Cabeza de Vaca batholith, which occurs within the Late-Cretaceous Paleocene volcanic belt of the Chilean pre-cordillera. This mineral belt hosts some of the most important copper and precious metals deposits in the country, including the Relincho copper and molybdenum project (part of Nueva Union Teck- Goldcorp) located approximately 135 km to the southsouthwest. The reader is cautioned that there is no evidence to date that a comparable mineral resource could be found at. The property is also located along trend and approximately 70 km south of the historically important Inca de Oro mining district.
3 The Cabeza de Vaca batholithic body is of tonalitic to dioritic composition, and intrudes Lower Cretaceous andesitic to dacitic volcanics and sediments, and is host to numerous clusters of breccia pipes, possibly controlled by structures along the margins of the Cabeza de Vaca intrusion. One of the larger clusters of breccia pipes occurs in and around. Most of the property is underlain by a dioritic phase of the Cabeza de Vaca batholith, with a sub-horizontal sequence of sub-aerial epiclastic sediments and inter-bedded basaltic to andesitic flows to the east and south. Numerous hydrothermal breccia pipes cut the intrusive, and to a lesser extent the sediments, and are distributed in clusters throughout the property. A minimum of 30 tourmaline-rich breccia bodies, ranging in size from 100 m2 to over 52,000 m2, and possibly of post-magmatic hydrothermal collapse type, occur within the project area and cut medium to coarse grained intrusions and feldspar porphyries of granodiorite to diorite/andesitic composition. The intrusions cross-cut the Cretaceous-early Tertiary continental volcanic formations. The breccias have angular to sub rounded fragments and clasts of intrusive generally ranging in size from a few centimetres to greater than 2m, and in some cases up to 5m in size. The individual pipes, generally circular to elliptical in plan, range from 5m to 350m in diameter. Larger pipes occur immediately to the west of, including the Q Inti (previously known as Araya) Breccia Pipe. The breccia pipes are generally enveloped by zones of argillic alteration in the intrusive body. The breccias and associated crackle breccias extend over a likely structurally-controlled NE trend of approximately 4.0 km. The more heavily replaced tourmaline breccias are mineralized with copper oxides and sulphates such as chrysocolla, brochantite, azurite and neotocite-copper wad, as well as copper sulphides such as chalcopyrite, and pyrite. Molybdenum mineralisation together with lesser gold and uranium also occurs within the breccia pipes, both within breccia fragments and as openspace filling in the breccia matrix where they are accompanied by tourmaline, specular hematite and quartz. Breccia fragments generally display intense argillic alteration. Surface oxidation, typically from 50m up to 150m deep, has produced a layer of readily leachable oxide copper minerals that have been exploited from the larger breccia pipes by artisanal miners. Minor secondary enrichment occurs at the base of the oxide zone. EXPLORATION There are no records of recent systematic exploration on the property prior to the activities of Revelo, although small-scale mining has been carried out intermittently on the larger breccia pipes to the west, for oxide copper, since at least the 1930s. Revelo (as Polar Star Mining Corp.) has carried out geological mapping; geophysical surveying including gamma-ray spectrometry and IP over a small portion of the prospective area; geochemical sampling; and shallow reverse circulation drilling in 2010 for a total of 3,693 m in 15 holes. Revelo has subsequently completed more detailed geological mapping of the principal breccia trend. A NI compliant Technical Report for, including the Q Inti Breccia Pipe (see separate Revelo Fact Sheet), was completed in November 2013 for Polar Star mining Corp. The report is filed on SEDAR and is posted on the project page of this website. INFRASTRUCTURE Access to the property is via paved road and good quality dirt road from the City of Copiapo, with a total journey time of about 1 hour. Altitudes vary from approximately 1,800m in the erosional valleys, to around 2,300m in the sierras. Qualified Person Dr. Demetrius Pohl, PhD., Certified Professional Geoscientist (CPG), an independent consultant, is the Company's Qualified Person for the purposes of National Instrument Standards of Disclosures for Mineral Projects of the Canadian Securities Administrators, and is responsible for the accuracy of, and has verified the technical information in, this project summary, and has approved its written disclosure.
4 LOCATION MAP Q inti Breccia (Royalty Interest)
5 REGIONAL GEOLOGY MAP Q inti Breccia (Royalty Interest)
6 DISTRICT GEOLOGY Q Inti Breccia Pipe
7 & Q INTI (ARAYA) BRECCIA SCHEMATIC GEOLOGY MAP WITH IP 200m DEPTH
8 & Q INTI (ARAYA) BRECCIA SIMPLIFIED GEOLOGICAL MAP WITH IP ANOMALY & DRILL HOLES
9 & Q INTI (ARAYA) BRECCIA PROPOSED BRECCIA MODEL PHOTOGRAPHS SHOW FIELD EVIDENCE OF VARIOUS DEPTH AND STRUCTURAL FEATURES ASSOCIATED WITH THE MODEL (TAKEN AND MODIFIED FROM SILLITOE AND SAWKINS, 1971)
Northern Chile, 85 Km NE of La Serena 125 km S of Relincho (Nueva Union Teck-Goldcorp)
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