Geology and Mineralization

View looking northwest showing the general physiographic character of the San Miguel Group area with rolling, forested hills and pasture areas. The white arrow points to the access decline shaft of the San Luis Mine.

The La Currita project is situated on the western, incised side of the Tertiary Sierra Madre Occidental (SMO) volcanic plateau, which runs northwestsoutheast between two southern extensions of the basin and range physiographic province. The SMO is characterized by an up to 1,000 meter thick Lower Volcanic Sequence of andesitic flows, volcanic sediments and intrusive bodies that are unconformably overlain by a thick (up to 1,000 meters) Upper Volcanic Sequence of caldera related rhyolitic flows, ignimbrites and domes. Precious metal mineralization in the SMO is hosted in low-sulfidation quartz veins, breccias and stockwork zones that formed in the Lower Volcanic Sequence principally along northwest trending, extensional normal faults.

The La Currita project is located in the Temoris mining district, which lies within the northwest trending Sierra Madre Occidental epithermal mineral belt that hosts several multi-million ounce gold/silver deposits that have been recently discovered or are currently in production. Examples of some of these deposits include Minefinders’ Dolores, Gammon Lake’s Ocampo, Alamos’ Mulatos and Palmarejo Gold’s Palmarejo deposits.

The primary controls of gold-silver quartz veins on the La Currita project include the N30W Sulema vein structure at the La Currita Group, the N10-25W Guazapares fault zone, subparallel Batocegachic fault zone and southwest trending Sangre de Cristo fault at the San Miguel Group, and the EW trending La Millonaria structure at the La Millonaria property.