The Khongor Ovoo project in Mongolia shows potential for copper and copper-gold porphyry mineralization based on initial exploration. Limited drilling in 2011 identified two ore bodies with copper reserves totaling over 300,000 tonnes. Further detailed exploration and drilling is needed to better define the resource. The property is located in a strategic area for mining copper in Asia near infrastructure and markets. The company's strategy is to advance exploration at the project from 2014 to 2016 to increase reserves and work towards production.
The document summarizes exploration of the Khongor-Ovoo copper-bearing complex metal occurrence in Mongolia. It describes the location, infrastructure access, geological structures observed, including ore bodies containing copper, zinc and lead. Trenching and sampling was conducted, with spectral analyses identifying average copper contents of 0.05% in Ore Body 1 and zinc contents of 0.02% in Ore Body 3. Based on these results, prognostic resources of 430.1 thousand tons of zinc, 310.5 thousand tons of copper and 50 thousand tons of lead were estimated for the occurrence. Further 1:10,000 scale exploration, drilling and geophysical studies were recommended to better evaluate the gold potential of the area.
GoldenEssenceMongoliaLLC and MunkhlevraLLC conducted a geological overview of the Tenuun Properties using satellite image interpretation software to identify areas with potential for gold and copper mineralization. Strong argillic and propylitic alteration was detected in addition to silica and argillic alteration, indicating prospects for porphyry copper and epithermal gold-copper deposits. The report summarizes findings for the Cu 2510 field within the Tenuun Projects area.