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Andrea, Chile (Acquiring 100%)
Andrea is located 19km northwest of the city of Talca and 230km south of Santiago in the
VII Region of Chile. It comprises two exploitation claims totaling 670 hectares. It occupies a small hill that rises 200m above the surrounding valleys and has a peak elevation of 300m above sea level. Access is via paved and dirt roads from Talca, and infrastructure in the region is excellent.
The property was previously explored by two junior mining companies each of who conducted surface exploration and diamond drilling campaigns. The focus of the work was the discovery and delineation of mesothermal gold copper veins that occur within a larger, but poorly defined porphyry system.
From 1991-92 work carried out included: surface sampling, geological mapping and trenching, and drilling a total of 24 shallow diamond drill holes for 1,354 meters that were aimed at testing several veins, located on the eastern half of the property. Samples were assayed for gold only, and reported highlights included 21.7m @ 1.78g/t Au in DDH-16, 10m @ 2.35g/t Au in DDH-02, and 7m @ 5.87g/t Au in DDH-01. From 1993-2003 work carried out included: trenching and locating a new structure in the northwestern part of the property and drill testing the new structure with a total of 15 shallow diamond drill holes for 1,194m. Samples were assayed for gold and copper, and reported highlights include 49.4m @ 1.24g/t Au + 0.81%CuT in SA-25, 31m @ 1.16g/t Au + 0.92%CuT in SA-27, and 46.8m @ 1.39g/t Au + 0.44%CuT in SA-31.
Geology and Mineralization
The property is located adjacent to a major NNE oriented regional structure, visible on satellite imagery. Host rocks andesitic volcanics and sediments are intruded by an early biotite granodiorite batholith, by a suite of WNW striking quartz diorite and micro diorite porphyries, and by later NNW and NNE oriented aplite dykes. WNW trending and steeply dipping silicified structures and stockworks host the vein style mineralization at Andrea.
Previous work detailed petrographical studies which described the development of porphyry style Cu-Mo mineralization with potassic and propylitic alteration, associated with the quartz diorite intrusive bodies. Progressive collapse of the system led to the development of an extensive retrograde phyllic overprint upon the earlier alteration assemblage, the emplacement of the aplitic dykes, and the possible contemporaneous development of late stage structurally controlled epithermal to mesothermal gold-bismuth-silica mineralization.
This late stage mineralization at Andrea, which has been the focus of all previous drilling and trenching, occurs in cross-cutting WNW silicified structures up to 50 meters wide and 1 to 2 kilometers long. The structures contain banded chalcedonic quartz veins and veinlets which host significant gold. Based on review of drill core, previous petrographic work and field evidence, Coro believes that the potassic alteration and associated porphyry copper mineralization is in the process of being unroofed at Andrea.
What's Next?
Coro has reviewed the available geologic data and drill core from Andrea and believes that it has potential to host a significant porphyry style copper deposit, as well as a more modest sized gold copper vein swarm. The Company will complete a thorough re-evaluation of the prospect aimed at defining drill targets to test the properties potential.
Coro may acquire 100% of the Andrea Property from its owner, for total option payments of $2 million. The Company has also agreed to additional payments of $2.3 million based on commercial production.
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