Panteria

Property Description

The Panteria Cu-Mo-Au porphyry project is located 210 kilometres southeast of the city of Lima, in the Huancavelica Department of the Republic of Peru. Road access to the property is by 2 hours travel time via the Pan-Americana South four-lane highway from Lima to Chincha and by 3 hours of gravel and sealed road heading easterly from Chincha.

The Panteria project was first identified and staked in 2007 by Duran's exploration team. Subsequently additional concessions were acquired by application and the property now covers 7,204 hectares. Duran has since carried out surface geochemistry and geophysical (induced polarization) surveys defining two distinct target areas called the Panteria and Ronaldo zones. The main Panteria zone consists of porphyritic intrusive rocks containing extensive quartz stockworks and veining. Rio Tinto carried out a small three-hole diamond drill program in the early 2000s, which focused on magnetic highs. No induced polarization geophysical work was ever conducted by Rio Tinto.

Recently, Duran entered into an option agreement on the project with Minera Antares Peru SAC, a wholly owned subsidiary of Toronto Stock Exchange-listed First Quantum Minerals Ltd. Under the terms of the agreement, First Quantum Minerals can conduct due diligence studies for up to 18 months before proceeding to earn up to 80 per cent of the project by delineation of a resource greater than one million tonnes of copper equivalent and making a series of staged payments over five years. If First Quantum Minerals proceeds to a decision to mine, it has the option to buy the remaining 20-per-cent equity from Duran for two U.S. cents per pound of copper equivalent based on 20 per cent of delineated reserves. Duran will retain a 0.5-per-cent net-smelter-return royalty.

Location Map of Panteria

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Exploration

Previous exploration in the Panteria project area was conducted by Rio Tinto PLC in 2003 and was comprised of sampling and mapping, a magnetic survey, and three diamond drill holes totalling 1,152 metres. This work focused on an individual concession covering 400 hectares which is now part of Duran’s property and covers the main Panteria Zone. During Rio Tinto’s work, a large hydrothermal/ porphyry system was identified covering an area 2.5 x 2 kilometres. The third and final hole, drilled to a depth of 375 metres, intersected propylitic altered quartz-feldspar-hornblende porphyry ending in potassic style alteration with a weak quartz stockwork. Magnetite was also noted ranging between 5 to 10%. According to an internal report by Rio Tinto, gold values range from 10 to 420 ppb Au and copper ranges from 276 ppm to 4470 ppm Cu with an average of 1120 ppm over its entire length. Individual assays are not available but histogram Cu plots show that the mineralization is strongest starting at 200 meters to the end of the hole. Please note that the Company does not have the raw data or core to verify historic results.

Since 2010, Duran Ventures has completed two separate exploration campaigns at Panteria including rock sampling, mapping, ground magnetics, and induced polarization geophysics. This work has resulted in extending the Cu-Mo-Au

Satellite Image

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General Geology

The general geology of the Panteria Project is dominated by shallow dipping andesite volcanics that are exposed across the Property. The volcanics are intruded by subvolcanic andesite porphyry, diorite, and monzodiorite. The andesite volcanics are exposed at higher elevations and the intrusives are mostly exposed at lower elevations, in creeks that incise the volcanic rocks.

Panteria Zone

Alteration at the Panteria Zone includes an advanced argillic lithocap at higher elevation and silicic, argillic, and phyllic alteration exposed at lower elevations in creeks. Stockwork and local sheeted veinlets are present in the system. Hydrothermal brecciation dominated by tourmaline breccia cut silicic, argillic, advanced argillic, and phyllic alteration. During 2014, the first ever induced polarization (IP) survey confirmed and amplified porphyry targets on the main Panteria Zone. Geophysics has highlighted a strong chargeability (>44 mV/V) anomaly surrounding a resistivity and magnetic high that is located more than 500 meters from the historic drilling. This geophysical anomaly is greater than 800 metres in width and shows a classic porphyry style geophysical IP signature with corresponding magnetic high. The high chargeability response reflects a pyrite shell exposed in lower elevations. The target now requires drilling to determine the level of the porphyry.

Ground Magnetics

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IP Survey and Interpretation, Panteria and Kiosko Zones
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Kiosko Zone

The Kiosko Zone, is located 1,200 metres south-southeast of the historic drilling at the main Panteria Zone and shows a broad structurally controlled geochemical anomaly with dimensions of 1,800 metres by 500 metres located 1.2 kilometres south-southeast of the historic drilling. Sampling and mapping suggests the presence of an east-west fractured mineralizing hydrothermal system showing elevated gold, silver, and molybdenum. In total, 123 samples were taken from this zone where 19 samples range between 0.1 and 1.075 g/t Au averaging 0.231 g/t Au.

Ronaldo Zone

The second zone, the Ronaldo Zone, was discovered in 2014 while prospecting creeks and is located 4.5 kilometres east of the main Panteria Zone. Follow up sampling and mapping in in the hills above encountered argillic and advanced argillic alteration hosted in shallow dipping volcanic rocks that is interpreted to be part of a high sulfidation lithocap and gold and silver bearing quartz veins and breccias that cross-cut or are related to the advanced argillic alteration. At lower elevations, creeks expose hydrothermal breccias and quartz-pyrite-pyrrhotite-magnetite stockwork with locally anomalous gold values. Similar to the Panteria Zone, outcropping, advanced argillic altered volcanic rocks at the Ronaldo Zone include tourmaline and dumortierite that stratigraphically overly the breccias.

Detailed mapping was completed over a part of the high sulphidation alteration and veining at the Ronaldo Zone and 259 rock samples were collected in an area measuring 1 by 2 kilometers. Of the 259 samples, 8 samples returned assay values between 1.07 and 4 g/t Au with an average of 1.76 g/t, 19 returned values between 0.51 and 0.995 g/t Au with an average of 0.732 g/t, and 27 assayed between 0.113 and 0.475 g/t Au with an average of 0.239 g/t. Silver assay results are also encouraging. Of the 259 samples, 13 samples assayed between 31 g/t Ag and 490 g/t Ag with an average of 93.98 g/t, 11 samples assayed between 16.3 g/t and 29.4 g/t Ag with an average of 22.25 g/t, 19 samples assayed between 5.4 g/t Ag and 14.4 g/t Ag with an average of 10.06 g/t, and 18 samples assayed between 2.5 g/t and 5 g/t silver with an average of 3.63 g/t. Eleven of the 259 samples analyzed between 110 ppm Mo and 802 ppm Mo with an average of 272 ppm. A broad colour anomaly is present over the area with approximate dimensions of 14 square kilometres that requires follow up.

Panteria Property, Copper in rock Geochemistry

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Panteria Property, Molybdenum in rock Geochemistry

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Panteria Property, Gold in rock Geochemistry

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Panteria Property, Silver in rock Geochemistry

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