Project Name: ZAO

3 Exploration concessions: 12km2, 100% share

Target minerals: Cu, Au

Geology and Ore Deposit:The concessions are located in the late Eocene to Oligocene porphyry copper belt, between the Escondida and Salvador mines. The geology of this concession consists mainly of rhyolitic tuff to tuff breccias, andesitic tuff to tuffaceous sandstone and some intrusive bodies of plagioclase porphyry to quartz porphyry. Intrusives are mainly distributed in the northern part, and exert preferentially silicification - white argillization on cracks and roughly brecciated parts of surrounding host rocks. In the northern margin and southern part of the concession, the ground surface is covered by several to 20m thick ignimbrite. Rhyolitic tuff and tuff breccia indicate silicification and limonitization, but sulfide minerals are rarely recognized. On the other hand, andesitic tuff`tuffaceous sandstones have generally undergone weak propylitization, and are everywhere accompanied with quartz veins including limonites - hematites in cracks that indicate pseudomorphs after pyrites. Especially in southeastern extension of the lineament (fault?) trending N40KW which controls the boundary between rhyolitic tuff`tuff breccias and andesitic tuff`tuffaceous sandstones, a silicified brecciated parts (30 to 50cm in width) exist, which are accompanied by barite vein clasts, pyrite, galena and copper oxides. This parts were partially exploited in a valley of center of the concession.
The host rocks are silicified and argillized near the contact with intrusives, and geochemical anomalies of Au are detected. Many quartz veins including limonite and hematite are recognized. Mineral occurrences of copper (copper oxides in quartz veins) are confirmed at a test pit in the valley.
A intrusions of plagioclase porphyry`quartz porphyry are recognized in this concession, and porphyry copper-gold type mineralization relating to these intrusives is expected.

Exploration activities:
[
2000-2001] Satellite image analysis using JERS-1 and ASTER data.
[
2002] Preliminary geological and geochemical surveys (12 km2).

Future plan(2002-2003): Detailed geological and geochemical surveys, geophysical and drilling surveys will be conducted.





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..................... Nov/2002



..................... Nov/2002

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