|Deposit type:||Cu-Mo-Au-Ag Porphyry|
The Pecoy project is located one hundred kilometres northwest of Arequipa and within the Cretaceous Copper Porphyry Belt of Peru. The property consists of 2,000 hectares held as the sole asset of Pecoy Sociedad Minera S.A.C.
The Pecoy project encompasses a large and complex porphyry system characterized by multiple porphyry and breccia events cutting a basement complex consisting of gneissic rocks and granodiorite (Coastal Batholith). The porphyry system has extensive surface alteration covering an area of 1.5 kilometres by 2.0 kilometres and consisting dominantly of quartz-sericite-pyrite and silica. Extensive leaching is apparent at the surface with abundant clay alteration. The system has abundant multi-type quartz stockwork veining and the presence of multiple hydrothermal breccias. Surface geochemistry with copper values to 0.72% are noted but the majority of the surface exposures are leached to hematite, goethite and jarosite.
The main porphyry mineralization below the leached cap consists of an oxide zone (azurite, malachite and chalcanthite), followed by a chalcocite enrichment zone and then into a primary chalcopyrite, molybdenite and pyrite sulphide zone to depth. The centre of the main porphyry system is bounded by two large hydrothermal breccias along the margins of the porphyry. The South Breccia weathers recessively and is located in the valley bottom (1,000 metres length x 300 metres width x 600 metres depth) and is enriched in Cu, Au (Ag, Mo). The North Breccia which forms the northern half of the Pecoy mountain (1,000 metres length x >350 metres width x >600 metres depth) is Cu, Mo (Au, Ag) dominant.
The project was first drilled by Sociedad Pecoy Minera S.A.C. in 2009 with the completion of 3,450 metres over eleven holes. All holes were drilled on the margin of the system to test a IP/chargeability halo and accessibility. Thick and extensive low grade copper mineralization was intersected.
Higher-grade intervals were noted in several locations including a secondary, supergene blanket, within strong quartz-sericite-pyrite stockwork veinlets, on the margin of hydrothermal breccia and within potassium feldspar-biotite (potassic) alteration.
The Phase 1 preliminary drilling program commenced at Pecoy on April 10, 2014. Results were successful and led to the discovery of a large porphyry system with multiple higher-grade centres.
The 2015 diamond drill program at Pecoy commenced on April 29, 2015 and consisted of 25,000 metres of definition drilling focused primarily on the two large higher-grade hydrothermal breccias on the property. Several other breccia targets were tested to the North of the main deposit.
In September 2015, the Company entered into a surface rights lease agreement with the local community securing the right to conduct advanced exploration and mining on the property.