A silver gold project in Central Peru with established underground access, confirmed metallurgical recoveries, and a six year community agreement registered with Peru’s public registry.
50%Interest held through San Maurizo Mines Ltd.
~1,345 haJunín Department, Central Peru
97.85% AgRecovery, Victor II vein composite
92.19% AuRecovery, Victor II vein composite
~900 mHistorical underground workings
6 yearsCommunity agreement registered with Sunarp
Location
Central Peru, road accessible from Concepción
Mercedes
Junín Department, Central Peru, 50% interest through San Maurizo Mines Ltd.
Access
Approximately 40 km by well maintained gravel road from Concepción
Property size
Approximately 1,345 hectares
Processing pathway
Local toll mill approximately 12 kilometres from the project
Historical workings
Approximately 900 metres of drifts and shafts
Key structures
Victor I, Victor II, Kelly and Charo veins
Map shows the Aguila Norte plant and the Company’s Palta Dorada, Mercedes and Minas Visca projects. Minas Yanayco is not shown. Property area is subject to confirmation against the Company’s continuous disclosure.
Project overview and snapshot
A silver gold project with established underground access
Mercedes is a silver gold project in the Junín Department of Central Peru, covering approximately 1,345 hectares and accessible from the town of Concepción by approximately 40 kilometres of well maintained gravel road.
Peruvian Metals holds a 50% interest in San Maurizo Mines Ltd., a private company that owns a 100% direct interest in the Mercedes property through its wholly owned Peruvian subsidiary, Basic Minerals SAC. Development and exploration costs are shared equally with Hudson Heartland Ltd. Mineral from Mercedes is expected to be processed at a local toll mill located approximately 12 kilometres from the project.
Mercedes at a glance
Ownership
50% interest through San Maurizo Mines Ltd.
Underlying property
100% held by Basic Minerals SAC, a wholly owned Peruvian subsidiary of San Maurizo
Joint venture partner
Hudson Heartland Ltd., costs shared equally
Commodity focus
Silver and gold
Location
Junín Department, Central Peru
Property size
Approximately 1,345 hectares
Access
Approximately 40 km by well maintained gravel road from Concepción
Processing pathway
Local toll mill approximately 12 km from the project
Historical workings
Approximately 900 metres of historical underground workings
Key structures
Victor I, Victor II, Kelly and Charo veins
Royalty
20% net profit interest, eliminated once US$4 million has been paid to the holder
Property area is subject to confirmation against the Company’s continuous disclosure.
Metallurgy
Silver and gold recoveries from the Victor II and Charo veins
Metallurgical work at Mercedes has focused on producing a single silver gold concentrate using flotation methods, with lead and zinc content determined to be less significant relative to silver and gold.
Vein
Head grade, concentrate grade and recovery
Victor II composite
Head grade 3.69 g/t Au and 9.4 oz/t Ag. Concentrate 12.23 g/t Au and 33.03 oz/t Ag. Recoveries 92.19% Au and 97.85% Ag. Mineral to concentrate ratio 3.50:1.
Charo composite
Head grade 0.63 g/t Au and 6.10 oz/t Ag. Concentrate 4.01 g/t Au and 48.42 oz/t Ag. Recoveries 74.7% Au and 92.3% Ag. Mineral to concentrate ratio 8.54:1.
Composite samples are not necessarily representative of mineralization across the property.
A vein exposure measured underground at Mercedes. Composite samples for metallurgical testing were taken from the Victor II and Charo veins.
Underground workings
Established access and multiple mineralized veins
Mercedes contains extensive historical underground workings, including horizontal drifts and shafts totalling approximately 900 metres. Previous operators in the early 1980s focused on three main structures: Victor I, Victor II and the Kelly vein. Historic reports indicate that more than 15 mineralized structures have been identified. To date the Company has located six mineralized veins, including Victor II and Charo. The Victor II vein is exposed in two underground adit levels and ranges from approximately 0.30 metres to 1.0 metre in width as reported by Company geologists.
The Charo vein sits approximately 475 metres west of Victor II on the opposite side of a U shaped gully. A historic 45 metre adit was located, cleaned out and re-established for access.
Victor II historical underground samples averaged 4.14 g/t Au, 7.9 oz/t Ag, 0.91% Pb and 4.03% Zn
2024 mineral sack samples averaged 8.16 g/t Au, 17.88 oz/t Ag, 4.36% Pb and 4.38% Zn
Charo adit samples averaged 1.33 g/t Au, 14.83 oz/t Ag and 1.36% Pb, ranging 0.25 to 2.59 g/t Au and 0.398 to 41.697 oz/t Ag, average width 0.35 metres
Historical results and selective samples may not be representative of mineralization across the property.
Mapped and projected vein structures at Mercedes, with the planned crosscut shown in yellow. Observed veins are shown as solid lines and projected veins as hatched lines.
Community and development
Six year community agreement supports the next phase
Mercedes has secured a six year community agreement with the Comunidad Campesina de Pomamanta. The agreement has been accepted and registered with Sunarp, Peru’s public registry, and allows local access to the mine site for exploration and exploitation of minerals. With the community agreement and provisional permits in place, the Company is able to commence extraction of mineral for sale or processing, and expects to continue the permitting process toward full permits that would allow extraction of up to 350 tonnes per day at Mercedes.
Initial focus the Victor II vein, where recoveries have been confirmed
Rehabilitation continued underground rehabilitation and timber replacement
Crosscut a planned 225 metre crosscut, approximately 2.5 by 3.0 metres, to intersect the Kelly, Victor I and Victor II veins
Drill access establish underground drill sites for future exploration
The 350 tonnes per day figure refers to permitting at Mercedes and is separate from the capacity of the Aguila Norte processing plant.
Gallery
Project images
Company crew at the Victor II vein portal, Mercedes.An adit entrance at Mercedes.Company crew at the upper portal, Mercedes.Crew and access at a working area on the Mercedes property.A vein exposure measured underground at Mercedes.A Company geologist taking a sample from a vein underground.
Technical disclosureScientific and technical information relating to Mercedes has been reviewed and approved by Jeffrey Reeder, P.Geo., Chairman, CEO and Director of Peruvian Metals Corp., who is a Qualified Person as defined under National Instrument 43-101. The Company’s mineral properties are exploration and development stage projects. Historical results, underground samples, composite samples, mineral sack samples and metallurgical samples may not be representative of mineralization across the property. The project is not the subject of a mineral resource estimate. Readers should review the Company’s full technical disclosure and public filings on SEDAR+ for additional information. Information presented on this page is drawn from the Company’s public disclosure, which is available on SEDAR+.
