Resource World Magazine

J U N E / J U L Y 2 0 1 8 www.resourceworld.com 7 pany's head of investor relations, Barbara Henderson, said the company's Corani sil- ver-lead-zinc project enjoys of the support of local communities in the sparsely populated Andean mountain area of southern Peru. "Peru is a mining country," she said. "They understand the importance of that sort of primary industry and build - ing wealth from natural resources. They have a rule of law and a set of regulations and structures that can be followed. It is a climate that is conducive – not just for mineral exploration because of its endow- ment – but also to executing projects." Below is a list of some of the companies active in Peru. Auryn Resources Inc. [AUG-TSX, NYSE American] is focused on scalable high-grade gold deposits in established mining jurisdictions, which include the Committee Bay and Gibson MacQuoid projects in Nunavut, the Homestake Ridge Project in British Columbia and a portfolio of projects in southern Peru. The Peruvian portfolio includes rights to the Huilacollo and Curibaya properties in Tacna province, which together cover 38,500 hectares within the prolific Pliocene gold-silver epithermal and Micocene cop - per-gold porphyry belts, respectively. The company also has the option to acquire the 4,600-hectare copper-gold Sombrero prop - erty mining concessions 340 km southeast of Lima. Auryn recently closed a US $9.8 million financing comprised of a bought deal offer - ing of 6 million shares priced at US $1.30 each as well as a concurrent private place- ment of over 1 million flow-through shares at US $1.82. The flow-through shares were purchased by Goldcorp [G-TSX; GG-NYSE], enabling the mining major to maintain its 12.5% interest in Auryn. Part of the proceeds will be used to continue exploration programs at Huilacollo and Somberero. Barrick Gold Corp.'s [ABX-TSX, NYSE] Lagunas Norte is located in the Alto Chicama property in north-central Peru, 140 km east of the city of Trujillo. The property lies on the western flank of the Peruvian Andes at an elevation of 4,000 to 4,260 metres above sea level. It is an open pit, crush, valley fill, heap leach opera - tion. Production in 2018 is anticipated to be 230,000 to 270,000 ounces of gold, at an all-in sustaining cost of $670-780/oz. Bear Creek Mining Corp. is a Peru- focused silver exploration and development company. The company's flagship Corani property is an advanced-stage project that hosts one of the largest undeveloped sil - ver deposits in the world, with a projected 18-year mine life. It contains over 250 mil- lion ounces of silver, 150 million pounds of combined lead and zinc and is expected to produce over 8 million ounces of silver and 150 million pounds of combined lead and zinc over its projected lifespan. In September 2017, the company named Anthony Hawkins as President and CEO, replacing Andrew Swarthout, who assumed the role of Executive Chairman. A recent Phase 1 engineering report indicated by using a contract mining fleet to operate the Corani Mine (as opposed to an owner-oper - ator fleet) the company could reduce capital expenditures to $585 million. That compares to an initial capital estimate of $625 million in an updated feasibility study announced in June 2015. The company is assembling a new man - agement team as it launches a Phase 2 engineering study at what is essentially a pre-development stage project. The com - pany is awaiting construction and water permits for the project and will soon look at financing alternatives. No production decision has been made as yet. "We are trying to put the pieces of the jigsaw in place that will allow us to put the project into production when the opportunity arises and market conditions are compelling," said Barbara Henderson, head of investor relations at Bear Creek. Candente Copper Corp. [DNT-TSX] is developing the large scale Canariaco Norte copper deposit in northern Peru. The deposit contains measured and indicated resources totaling 752.4 million tonnes, grading 0.45% copper, 0.07 g/t gold and 1.9 g/t silver (0.52% copper equivalent), containing 7.53 billion pounds of copper, 1.7 million ounces of gold and 45.2 million ounces of silver. In addition, the deposit contains 157.7 million tonnes of inferred resources containing 1.434 billion pounds of copper. A second mineralized copper porphyry, Canariaco Sur, has also been discovered adjacent to Canariaco Norte. The com - pany has said it sees evidence of a third porphyry deposit at the Quebrada Verde target, both of which offer the potential to significantly expand the scope of the Canariaco copper project. Camino Minerals Corp. [COR-TSXV, CAMZF-OTCQB, XC01-FSE] is a discovery- oriented exploration company led by a management team with a proven track record for exploration and development success. Camino is exploring for high- grade copper and precious metal projects, primarily in Peru, but also in Canada, the United States and Mexico. Camino's current focus is on a Peruvian project known as Los Chapitos. The prop - erty is 10 miles north of Chala, a coastal town of about 4,500 people, and roughly 400 miles south of Lima. It is situated in the heart of the Peruvian Iron Oxide Copper Gold Belt; the same trend hosts Mina Justa to the northwest. Mina Justa is owned by Peruvian tin miner Minsur, which is slated to begin building out Mina Justa this year at a projected cost of US $1.2 billion and has an expected production rate of 90,000 tonnes per year. Over 16,000 metres of diamond drilling was completed at Los Chapitos in 2017, as Camino targeted open pit copper oxides for heap leaching. The company reported significant new oxide discoveries at the Adriana and Katty zones. Plans this year are to drill between these zones and test other targets on the property. Camino recently raised $1.5 million from a non-brokered private placement to fund drilling at Los Chapitos. The private place - ment consisted of 4.3 million units priced at Camino Minerals has made new copper oxide discoveries at the Adriana and Katty zones at the Los Chapitos Project. Photo courtesy Camino Minerals Corp. PERU

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