Giant CRD Mantos in Lima Peru.

1. DATA SHEET EL MANTO BLANCO A STRATABOUND POLYMETALLIC PROJECT IN LIMA
Picture of the leached stratabound mineralization outcropping between the lower sequences of
the Santa Fm. (overlying the top of the Chimu Fm) 337 700E, 8 775 057N, 4692masl.

2. The lower Cretaceous sequence, represented by the Fm. Chimu (quartzite) thrusts over the Fm.
Jumasha (limestone) in turn it thrusts over the Tertiary Yantac Group
File No: 010052418, 010061718, 010061818.
Property name: El Manto Blanco, El Manto Blanco E, El Manto Blanco SE.
Submitted by the current owner: Christian VARGAS
Address: San Borja Sur 777 Dpto 402, Lima 41, PERU.
Phone: +511 2264271 Cel: +511 989204014 Email: chrisvar8@hotmail.com
Location country: PERU Region/Province/District: Lima, Junín / Huaral, Yauli / Atavillos Alto,
Santa Bárbara de Carhuacayán.
Map Sheet: 23-J Canta Scale: 1:100 000 System: WGS84
Latitude/UTM: 8 754 000 Longitude/UTM: 337 000 Zone: 18S
Accessibility:
Segment Km Surface Time Condition
Lima - Canta 105 Asphalt 2h good
Canta – Cross road Yantac 60 Affirmed 1h good
Cross Road Yantac - Entrance 6 Affirmed 0.2h regular
Accessibility table from Lima to the Project

3. Accessibility map of the Project from Lima
Description of land situation:
Picture taken from the East, the landscape of Yantac is dominated by the cliff of limestone.

4. The Project extends over the drainage divide of the Cordillera Occidental, the River Chancay
(Pacific Basin) begins on the western slope, and the Chinchaycocha Lake Drainage (Amazonian
Basin) begins on the eastern slope.
The main mountains presents are from the north to the south: Cerro Parcash, Cerro León Pata,
and the Nevado Alcay. Several glacial lakes are also present between the mountains, at the
bottom of the U shape valleys, like: Culacancha, Parcash, Yanauyac, Lacsacocha, Encantada,
Quisha, Lisicocha.
The project is located near the junction of the roads going from Lima and Huaral to Cerro de
Pasco.
At 4,600 metres above sea level, El Manto Blanco has an (E) Alpine tundra climate with the
average temperature of the warmest month below the 10 °C threshold that would allow for tree
growth, giving the countryside its barren appearance.
El Manto Blanco has humid, damp and cloudy summers with frequent rainfall and dry, sunny
winters with cool to cold temperatures throughout the year. Snowfall occurs sporadically during
any season and is most commonly around dawn.
The average annual temperature in Yantac is 5.5 °C and the average annual rainfall is 999 mm.
Satellite image of the Fm Chimu´s footwall, hosts of the stratabound and vein mineralization

5. General Geology:
The Miocene Peruvian Central Polymetallic Belt contains numerous styles of mineralization many
of which have been mined since at least Spanish colonial time, including high-grade polymetallic
(precious and base metal) vein systems (Huampar, Coricancha, Casapalca, Morococha),
polymetallic carbonate replacement (Huanzala, Uchuchacua, Izcaycruz, Santander, Alpamarca, El
Manto Blanco) and skarn deposits (Antamina, Magistral, Poderosa, Felicidad, Casapalca,
Morococha) and copper porphyries (Toromocho).
Regional geological map and cross section of the Peruvian Central Polymetallic Belt
The belt is centered east of the Mesozoic and early Paleocene Coastal batholiths and lies on
mature continental crust that has undergone multiple episodes of compressive deformation
from at least middle Palaeozoic to latest Neogene time.
Mineral deposits are predominantly hosted by shelf carbonates and other sedimentary rocks of
Late Triassic, Jurassic, and Cretaceous age and by volcanic and intrusive rocks mainly of Neogene
age.

6. Base metal and precious metal mineralization was intimately associated in time and space with
the eruption of calc-alkali volcanic rocks of intermediate composition and the emplacement of
mineralogically and geochemically similar dykes and stocks.
Local Geology
In a district scale El Manto Blanco is located in the Western rim of a giant volcanic caldera
(Bombón High Plateau) formed during the Miocene period. The thrust of the Occidental
Cordillera has preserved several fertile porphyry epithermal systems rich in Cu, Pb, Zn, Au, and
Ag.
The basement that host the volcanic rim is represented by the Goyllarisquizga Group, a sequence
of thick sandstone, shale, and limestone. Overlies the carbonated sequence of the Machay
Group and at the top the Limestone package of the Jumasha Group.
This N30W general strike of the mineralization is controlled by a regional reverse fault system
dipping to the west.
Preliminary geological Map of the El Manto Blanco, Source INGEMMET

7. El Manto Blanco project presents intrusion-related, carbonate-hosted, distal ‘passive’
replacement deposits, or carbon replacement deposits (CRDs). Controls on mineralization vary,
however, with the majority of mineralization displaying very strong structural and lithological
controls.
Satellite image of the 50m width polymetallic mantos hosted by the Santa Formation
El Manto Blanco CRDs, in common with those in other districts, displays a strong mineralogical
and metallic zonation: a ‘classic’ lateral or vertical zonation (from distal to proximal) would be
Mn » Ag » Pb+Ag » Zn » Cu+Au.
El Manto Blanco is underlain by an approximately 2,600-metre thick package of Cretaceous
clastic and carbonate sedimentary rocks known as the Goyllarisquizga Group, within which an
approximately 1,000-metre thick sequence of massive limestones and limestone-shales of the
Jumasha and Chulec Formations (Machay Group) are the principal hosts identified to date.
Pre-mineralization diabase dykes and sills are locally present within the section. The entire
sequence is tightly folded into a series of orogen-parallel, northwest-trending anticlines and
synclines. The lower, predominantly clastic part of the section (Chimu Formation) has been
thrust over the Tertiary volcanoclastic red beds (Yantac Group) and the andesitic Tertiary
volcanics and lacustrine sediments of the Calipuy Group.
The carbonate-rich upper portion (the favorable host rocks) out crops along the regional
northwest-trending Fault Zone. Unconformably overlying the tightly folded Oyon formations and
the Cretaceous sediments that are moderately folded and faulted.
Syn-mineralization intrusive activity, considered to be the heat and fluid sources that produced
base metal mineralization, has not been recognized on the property to date.

8. This absence is empirically considered indicative of a relatively large CRD system, and such
bodies are inferred to be present at depth (>400 meters) on the property.
Stratigraphic column of the El Manto Blanco Project, the right column shows the frequency of
economic CRD mineralization hosted in the units
The alteration transits from propylitic, hornfels to phyllic and argillic, the notorious advanced
argillic alteration outcropping is supergenic, and is mainly related to the oxidation of the sulfide
ores.
The strata bound mineralization has been exceptionally developed in several mantos in the three
identified groups.

9. Satellite image shows the alternating polymetallic Mantos hosted in the Carbonated Sequences
of the Early Cretaceous
Picture looking to the southeast, shows the same alternating polymetallic Mantos hosted in the
Early Cretaceous Carbonated Sequences
The size of the mantos reach hundreds meters in the northwest trending and up to 250m width.
The average historic grade of these mantos is near to 10% Zn_Eq.

10. Satellite image shows the supergenic alteration of the alternating polymetallic Mantos (200m
width) host in the Santa Fm. (Goyllarisquizga Group) a black shale, sandstone and carbon
sequence from the early Cretaceous
Commodity (s): Pb, Zn, Ag (Cu, Au, V)
Deposit Type: Concealed Porphyry Cu Au (Mo), Polymetallic Skarn, CRD Pb Zn Ag, Intermediate
sulfidation veins and breccias.
Size Potential: > 20Mt@10% Zn_Eq
ESTIMATION OF
RESOURCES Length Width Depth Tonnage
Grade
Zn
Grade
Pb
Grade
Ag Value x t
Unit m m m m3
x t/m3
% % Oz US$
Proven Reserve 500 200 200 20 000 000 7 4 2.0 285
Indicated Resource 1 000 250 500 125 000 000 5 2 1.5 188
Inferred Resource 3 000 250 1000 750 000 000 3 1 1 110
TOTAL 895 000 000
Preliminary Estimation of Resources Box of the El Manto Blanco Mine
Cost-Benefit Analysis per Tonnage:
Without a fully owned metallurgical plant, the recovery is estimated to 65%, and with a fully
owned metallurgical plant, (more than 1000t x day of processing capacity) the recovery is
estimated to 85%.

11. ESTIMATION OF COST OPEN PIT TRANSPORT PLANT TOLLING TRANSPORT TOTAL
Unit US$ US$ US$ US$ US$ US$
WITHOUT PLANT 10 10 40 40 10 110
WITH PLANT 10 5 20 20 10 65
Cost table per tonnage
PRE-TAX PROFIT MARGIN Value A Value B Value C PROFIT A PROFIT B PROFIT C
Unit US$ US$ US$ US$ US$ US$
WITHOUT PLANT 185 122 72 75 12 -38
WITH PLANT 242 160 94 177 95 29
Benefit table per tonnage
Updated works (by others including current owner/seller): Geological visit, ASTER analysis,
ancient adits, and mining roads.
Deal terms: Open
Remarks: Huge Potential, excellent accessibility, several polymetallic mines currently working.
Comment: El Manto Blanco has enough field evidence, especially by the extension of the
brecciated outcroppings than its potential is important, the neighboring polymetallic mines:
Santander and Alpamarca (7km to the north and 5km to the east respectively) are witnessing of
the economic validity of the district.
Recommendations: Please feel free to visit and measure the size of the exposed system ready to
be mined by the open pit method.