Engineering & Mining Journal

AUG 2018

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70 E&MJ • AUGUST 2018 Coimolache, a joint venture of Southern Copper and Buenaventura. Coimolache and Regulus have actually signed an agreement to carry out collaborative exploration in the area, which will certainly benefit the ad- vancement of AntaKori. AntaKori has a 43-101 resource of 295 million mt at 0.48% copper, 0.36 g/mt of gold and a little more than 10 oz/mt of silver. Regulus' campaign for 2018 will be approxi- mately 18,000 meters of drilling, and the company has already released the results of 12 holes. John Black, CEO of Regulus, said: "Drilling continues to go well at AntaKori with three drill rigs turning and plans to in- crease to five rigs shortly. Much of our initial drilling has focused on the southern margin of the previously known mineralization and results to date have significantly extended mineralization in this direction." Regulus wants to use the current cam- paign to update the resource estimate, how- ever John Black warned that it will take more time than that to realize AntaKori's full po- tential: "AntaKori is a very large project and we must be patient to fully capture the op- portunity. Although it is difficult to predict what will happen with the price of gold, we do know that copper will be in shortage for the foreseeable future and demand will keep increasing. A benefit of higher metal prices is that more capital is available and this has allowed us to move exploration along more quickly." Meanwhile, in the south of the country, Kaizen Discovery has continued to focus on its Pinaya project, located in between Areq- uipa and Puno. Pinaya, previously explored by AM Gold and Rokmaster Resources, sits in the same belt as Glencore's Tintaya de- posit and presents typical skarn and por- phyry copper-gold mineralization. After some delays created by the Peruvian government's consulta previa process (prior consultation with the local communities), Kaizen's drill program this year will have two primary components, according to Kaizen's president and CEO, Tom Peregoodoff: to extend the re- source laterally and to explore the potential of some deeper areas. For this, the company will use Typhoon, a proprietary technology of HPX, Kaizen's major shareholder. "Typhoon enables the user to penetrate much deeper into the ground. This is especially important in areas where you have resistive cover. In the case of Pinaya, a primary focus of ap- plication of Typhoon is to identify and under- stand any significant depth potential," said Peregoodoff. The company is also planning to drill one new target called Pedro 2000, which was identified through both existing geophysics and some ground mapping. The program has a total budget of US$5 million, jointly funded by Kaizen's partners, Itochu of Japan, who will be earning a 20% participation in the project. "We expect this drill campaign will lead both to a second phase of drilling and to an increase in the resource," said Pere- goodoff. Peru's dynamic junior sector and its po- sitioning as the best upcoming destination for copper exploration has helped attract other companies in this space. Newly- arrived Chakana Copper, a company that started trading on the TSX-V end of January, is focusing on the Soledad project located in Ancash, following its agreement with Condor Resources. Interestingly enough, Chakana is not targeting yet another large open-pittable deposit at Soledad, but is focusing on defin- ing the potential of its high-grade pipes in- stead. In the words of David Kelley, president and CEO of Chakana Copper: "The strategy of the previous operators was to find a por- phyry deposit that is assumed to be related to the tourmaline breccia pipes. Our view is different. We think these high-grade breccia pipes can offer significant economic value because they are numerous, high-grade, ver- tically extensive from surface, and are rela- tively easy to explore." John Black, CEO, Regulus Resources. David Kelley, president and CEO, Chakana Copper.

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