Helix acquired the Blanco y Negro mine located within the Huallillinga Project to fast-track our goal of defining economically exploitable Cu/Au resources attractive to nearby operating mills. Anecdotal information suggests artisanal mining at the rate of 10 tonnes per day recovering material with a grade of 1.5% to 2% Cu.
First-pass rock-chips have returned up to 1.1% Cu (over 4.5m) and up to 1.3g/t Au (over 4.2m) in channel samples taken from outcrop. Of 43 channel samples collected from workings and sub-crop, the results averaged 0.4% Cu, 0.2g/t Au and 47ppm Mo, over a strike exceeding 900m, providing evidence that a large Cu/Au target is present. More detailed sampling is planned to define drill targets.
As part of the Company’s geological due diligence prior to acquisition, an IP survey was conducted over the mining concession and surrounding area. The survey identified a +600m wide chargeable feature below surficial mine workings, providing further evidence for a large mineral system being present. A 3D Model of the IP data is currently underway, with a maiden drill program planned for 2H12.