On January 19, 2017, Palamina’s Peruvian subsidiary, acquired the application mining rights to 23,000 hectares within the Department of Puno in southeastern Peru north of Lake Titicaca.
The application rights were acquired to establish a presence in the highly prospective Puno gold belt which measures approximately 175 kilometres by 75 kilometres. Palamina, in the belief that this region has considerable potential to contain significant orogenic gold deposits, has acquired the rights to mining concessions in five areas within the belt. Known structures in the Puno orogenic gold belt extend up to 6 km in length with widths ranging from 0.2 m up to 2.0 m but within mantos up to 40 m in widthq. Primarily worked by artisanal miners within 50 to 100 m of surface while orogenic gold deposits o en extend to depths greater than 1,000 m.
Gold mineralization in the underexplored Puno region occurs as tabular zones of quartz veining in fine-grained metamorphosed sedimentary rocks. Tabular zones may occur as discrete, stacked bedding-parallel horizons within the host rock. Mineralization consists of native gold in veins, veinlets and microveinlets and metallurgical recoveries are typically high. As at May 1, 2017 Palamina had completed an initial geological site visit to 5 of the 6 projects staked in Peru. Palamina expects to complete its initial review of the Peruvian Projects by June of 2017.