43-101 2007 Technical Report On The San Antonio Project, Baja ...

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Derry, Michener, Booth & Wahl Consultants Ltd. Page 24Gold grade at Paredones Amarillos generally varies directly with the abundance of sulphides.The important sulphides are pyrite, arsenopyrite, pyrrhotite, and minor marcasite andchalcopyrite. However, not all high-sulphide rock carries high gold values.”
Derry, Michener, Booth & Wahl Consultants Ltd. Page 259.0 MINERALIZATION9.1 Los Planes and Las ColinasPitalla have described it in internal memos as:“Mineralization at Las Colinas and Los Planes is very similar, with the exceptions of thedimensions of the mineralized bodies and level of oxidation. The main mineralized body isconfined to a cataclasite unit that varies in width from 25 to 35 metres at Las Colinas. At LosPlanes, there are several sub parallel cataclasite zones that together form a broad zone that is upto 100 metres in width. The cataclasite unit has a roughly north-south strike and dips about 45degrees to the west in both Las Colinas and Los Planes. Coyan et al. (2007) interpreted thatcataclasite was a good host for mineralization because of its highly fractured nature, butmineralization is not restricted to the cataclasite. Instead mineralization and alteration occur inmany rock types, as long as brittle fractures are present. Typically, the cataclasite contains a zonewhere sulphides increase with abundance as high as 20%. Pyrite appears more commonlythroughout the system; however main mineralization is seen with an increase of arsenopyrite andpyrite in addition to pyrrhotite. Sulphides are present in brittle structures including cracks, faults,joints and micro-fractures. Pyrite lines the walls of many fractures and joints as observed fromcore and outcrop. Quartz veining is also common (Coyan et al. 2007). The alteration goes fromchlorite dominant around the cataclasite and changes to sericite-dominant within the cataclasiteunit. Chemically, the system has low silver relative to gold, having Ag/Au ratio of around 0.4.Gold is also accompanied by anomalous As, Cu, and Bi.Some mineralized zones are believed by Pediment to be controlled by sub-vertical structures.The level of oxidation at Las Colinas extends only a few metres vertically from surface; howeveroxidation at Los Planes is much deeper, reaching as much as 100 metres from surface.”Pitalla have recently located and summarized the Colinas drill logs, however there is no specificdescription in the logs of an oxide zone; except a numeric indicator of the “type of oxidation”,i.e. mineralogy, throughout the entire hole, rather than the degree of oxidation. (See ResourcesSection 17)
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