Pampa Medina Drilling Continues to Validate Sedimentary-Hosted Copper Manto Model

• Nature and quality of sampling (eg cut channels, random chips, or specific specialised industry standard measurement tools appropriate to the minerals under investigation, such as down hole gamma sondes, or handheld XRF instruments, etc). These examples should not be taken as limiting the broad meaning of sampling.
• Include reference to measures taken to ensure sample representivity and the appropriate calibration of any measurement tools or systems used.
• Aspects of the determination of mineralisation that are Material to the Public Report.
• In cases where ‘industry standard’ work has been done this would be relatively simple (eg ‘reverse circulation drilling was used to obtain 1 m samples from which 3 kg was pulverised to produce a 30 g charge for fire assay’). In other cases more explanation may be required, such as where there is coarse gold that has inherent sampling problems. Unusual commodities or mineralisation types (eg submarine nodules) may warrant disclosure of detailed information.

All current drilling conducted at Sierra Medina (including Pampa Medina, Pampa Norte Extension and Pampa West) was completed under the supervision of a registered professional geologist as a Competent Person/Qualified Person (QP) who is responsible and accountable for the planning, execution, and supervision of all exploration activity as well as the implementation of quality assurance programs and reporting.

• Drilling reported is Reverse Circulation “RC” and Diamond (“DDH”) drilling
• Assay samples were prepared at a laboratory site in Copiapó and assayed by Andes Analytical Assay Ltd. (AAA) in Santiago.
• Sierra Medina´s DDH holes are drilled and sampled on a continuous 2-meter basis, halved by a conventional core splitter on site, with one half sent to the Andes Analytical Assay preparation laboratory in Copiapó and the pulps then sent to the same company laboratory in Santiago for assaying.
• Marimaca RC holes are drilled and sampled on a continuous 2-meter basis and riffle split on site up to one-eighth (12.5%) of its volume, after which samples are sent for preparation and assaying.
• Marimaca staff supervised all the drilling and sampling.
• DD recoveries were controlled by accurate core recovery measurement control was extended toward the division process realized in the drill location.
• DD recoveries were measured by core length measurement and compared with the effective core run. Marimaca technical staff checked all data.
• Measured recoveries are over 95% for DDH drilling, without significant variations and unrelated to copper grades.
• RC recoveries were controlled by weighing samples and accurate control was extended toward the division process realized in the drill location.
• RC recoveries were measured in weight percent as compared with a theoretical sample weight. Marimaca technical staff checked all data.
• Measured recoveries are over 95% for RC drilling, without significant variations and unrelated to copper grades.

•  Drill type (eg core, reverse circulation, open-hole hammer, rotary air blast, auger, Bangka, sonic, etc) and details (eg core diameter, triple or standard tube, depth of diamond tails, face-sampling bit or other type, whether core is oriented and if so, by what method, etc).

• Drilling reported is both DDH and RC drilling
• DDH drilling is drilled in HQ and NQ standard core diameters

• Method of recording and assessing core and chip sample recoveries and results assessed.
• Measures taken to maximise sample recovery and ensure representative nature of the samples.
• Whether a relationship exists between sample recovery and grade and whether sample bias may have occurred due to preferential loss/gain of fine/coarse material.

• Sierra Medina´s DDH holes are drilled and sampled on a continuous 2-meter basis, halved by a conventional core splitter on site, with one half sent to the Andes Analytical Assay preparation laboratory in Copiapó and the pulps then sent to the same company laboratory in Santiago for assaying.
• Marimaca RC holes are drilled and sampled on a continuous 2-meter basis and riffle split on site up to one-eighth (12.5%) of its volume, after which samples are sent for preparation and assaying.
• Marimaca staff supervised all the drilling and sampling.
• DD recoveries were controlled by accurate core recovery measurement control was extended toward the division process realized in the drill location.
• DD recoveries were measured by core length measurement and compared with the effective core run. Marimaca technical staff checked all data.
• RC recoveries were controlled by weighing samples and accurate control was extended toward the division process realized in the drill location.
• RC recoveries were measured in weight percent as compared with a theoretical sample weight. Marimaca technical staff checked all data.
• Measured recoveries are over 95% for RC drilling, without significant variations and unrelated to copper grades.

• Whether core and chip samples have been geologically and geotechnically logged to a level of detail to support appropriate Mineral Resource estimation, mining studies and metallurgical studies.
• Whether logging is qualitative or quantitative in nature. Core (or costean, channel, etc) photography.
• The total length and percentage of the relevant intersections logged.

• All holes were geologically logged on digital data capture.
• The data collected are rock, structure, alteration and mineralization based on drilling intervals, recoveries and analytical results.
• After validation, the mineral and alteration zones were defined.
• The results were entered in the database as a table with all mapped data and a consolidated log of the drill was prepared.
• Most of this work was done by experienced senior consultant geologist supported by consultant junior geologist.
• In addition to measuring deviations, most of the holes were surveyed using an optical tele viewer (OPTV or BHTV), with structures and orientation measurements, which continuously and thoroughly recorded the holes’ walls and measured structures.
• The structures were measured in ranks according to their width and the results were reported and plotted on stereographic networks and rosette diagrams.
   

• If core, whether cut or sawn and whether quarter, half or all core taken.
• If non-core, whether riffled, tube sampled, rotary split, etc and whether sampled wet or dry.
• For all sample types, the nature, quality and appropriateness of the sample preparation technique.
• Quality control procedures adopted for all sub-sampling stages to maximise representivity of samples.
• Measures taken to ensure that the sampling is representative of the in situ material collected, including for instance results for field duplicate/second-half sampling.
• Whether sample sizes are appropriate to the grain size of the material being sampled.

• Sierra Medina´s DDH holes are drilled and sampled on a continuous 2-meter basis, halved by a conventional core splitter on site, with one half sent to the Andes Analytical Assay preparation laboratory in Copiapó and the pulps then sent to the same company laboratory in Santiago for assaying
• The last split yields “sample A”, which is sent for preparation and assaying, and “sample B”, which is used to obtain drill cuttings (1 kg) and coarse/preparation duplicates and then stored in special facilities on site.
• DDH samples are obtained every 2 meters from a half-core, with the other half stored on site.
• RC holes are drilled and sampled on a continuous 2-meter basis and its samples riffle split on site three times, up to one eighth (12.5%) of its volume.
• The last split yields “sample A”, which is sent for preparation and assaying, and “sample B”, which is used to obtain drill cuttings (1 kg) and coarse/preparation duplicates, and then stored in special facilities on site.
• Samples are transferred by laboratory personnel from the project to Copiapó, and then the preparation pulps are returned to generate the analysis batches. Upon receipt, sample details are logged and insertion points for quality control samples in the sample flow are determined.
• Samples were prepared using the following standard protocol: drying; crushing all sample to -1/4” and passing through a secondary crusher to better than 80% passing -10#; homogenizing; splitting; pulverizing a 400-600g subsample to 95% passing -150#; and a 125g split of this sent for assaying. All samples were assayed for %CuT (total copper); %CuS (acid soluble copper). A full QA/QC program, involving insertion of appropriate blanks, standards and duplicates was employed with acceptable results. Pulps and sample rejects are stored by Marimaca Copper for future
• Laboratory results are loaded directly from digital assay certificates into the database, in order to minimize error sources.

• The nature, quality and appropriateness of the assaying and laboratory procedures used and whether the technique is considered partial or total.
• For geophysical tools, spectrometers, handheld XRF instruments, etc, the parameters used in determining the analysis including instrument make and model, reading times, calibrations factors applied and their derivation, etc.
• Nature of quality control procedures adopted (eg standards, blanks, duplicates, external laboratory checks) and whether acceptable levels of accuracy (ie lack of bias) and precision have been established.

• Samples are prepared at a laboratory site in Copiapó and assayed by Andes Analytical Assay Ltd. (AAA) in Santiago.
• Samples were prepared using the following standard protocol: drying; crushing all sample to -1/4” and passing through a secondary crusher to better than 80% passing -10#; homogenizing; splitting; pulverizing a 400-600g subsample to 95% passing -150#; and a 125g split of this sent for assaying. All samples were assayed for %CuT (total copper); %CuS (acid soluble copper). A full QA/QC program, involving insertion of appropriate blanks, standards and duplicates was employed with acceptable results. Pulps and sample rejects are stored by Marimaca Copper for future
• All samples are assayed by AAA for total copper (CuT) and soluble copper (CuS). The latter was initially obtained from a specific CuS test.
• Laboratory results are loaded directly from digital assay certificates into the database, in order to minimize error sources.
• The analytical quality control programs implemented at Marimaca involve the use of coarse/preparation and pulp duplicates for precision analyses and standard reference materials (SRM).
• Marimaca has protocols in place for handling analytical results that exceed acceptable limits, which can ultimately trigger re-assays of entire or portions of sample batches.

• The verification of significant intersections by either independent or alternative company personnel.
• The use of twinned holes.
• Documentation of primary data, data entry procedures, data verification, data storage (physical and electronic) protocols.
• Discuss any adjustment to assay data.

• There are no twinned holes in the dataset
• All logging data was completed, and logging data was entered directly into the deposit database.
• Laboratory results are loaded directly from digital assay certificates into the database to minimize error sources.

• Accuracy and quality of surveys used to locate drill holes (collar and down-hole surveys), trenches, mine workings and other locations used in Mineral Resource estimation.
• Specification of the grid system used.
• Quality and adequacy of topographic control.

• Local contractors carried out the supervision of the drilling operation.
• An experienced topographer surveyed the collars.
• WGS84 UTM coordinates are used.
• Data Well Services carried out the downhole surveys for drill holes.
• Data collected is considered adequate for eventual use in mineral resource estimation.

• Data spacing for reporting of Exploration Results.
• Whether the data spacing and distribution is sufficient to establish the degree of geological and grade continuity appropriate for the Mineral Resource and Ore Reserve estimation procedure(s) and classifications applied.
• Whether sample compositing has been applied.

• Due to the nature of mineralisation and the type of exploration discovery drilling program the hole spacing is highly variable.
• Data spacing is not considered sufficient to establish geological and grade continuities for Mineral Resource Estimation at the Inferred and Indicated category.
• No sample compositing was applied.

• Whether the orientation of sampling achieves unbiased sampling of possible structures and the extent to which this is known, considering the deposit type.
• If the relationship between the drilling orientation and the orientation of key mineralised structures is considered to have introduced a sampling bias, this should be assessed and reported if material.

• Drill hole orientation was generally oriented to be sub perpendicular to the mineralisation but variable in places given the nature of the exploration program being conducted
• Assays are reported on a downhole basis
• True widths are estimated as 95% of reported downhole intersection widths

• The measures taken to ensure sample security.

• All drilling assay samples are collected by company personnel or under the direct supervision of company personnel.
• Samples from Marimaca were initially processed at the project site and shipped directly from the property to a laboratory facility for final preparation, and later, upon their return, to the laboratory for analysis.
• Appropriately qualified staff at the laboratories collect assay samples.
• Security protocols implemented maintain the chain of custody of samples to prevent unnoticed contamination or mixing of samples and to make active tampering as difficult as possible.

• The results of any audits or reviews of sampling techniques and data.

• It is the Competent Persons opinion that these processes met acceptable industry standards, and that the information can be reported under both JORC and NI43-101 standards and, in the future, be used for geological and resource modelling.