Farellon

Location

The Farellon property consists of four mining and exploration concessions totaling 1,053 hectares in the Carrizal Alto mining district located approximately 75 kilometres northwest of the city of Vallenar,  150 kilometres south of Copiapo  and 20 kilometres west of the Pan American Highway.  The property is easily accessible year round by dirt roads that crisscross the property and is located close to power, water and a major urban centre, Copiapo, with a readily available mining workforce.

Geology & Mineralization

The Farellón property lies on the western margin of the northern portion of the Chilean Coastal cordillera at the contact between Paleaozoic metasediments and late Jurassic diorites and monzodiorites.

The Farellón property lies over the sheared contact of Paleozoic metasediments in the western portion and Jurassic diorite in the eastern portion.  The contact between the metasediments and the diorite is a mylonitic sheared contact striking north-northeast and dipping approximately 65 degrees to the northwest.  The metasediments are composed of quartz-feldspar-hornblende gneisses.  The diorite underlying the eastern portion of the project area has been extensively intruded by intermediate mafic dykes oriented north-easterly.  Locally, a small stock-like felsic body, called Pan de Azucar, with lesser satellite dykes intrudes the diorite.  The intrusive relationship between the diorite and metasediments always appears to be tectonic.

The contact zone between the metasediments and the diorites is a mylonitic shear zone ranging from 5 to 15 m in width and host to mineralized quartz-calcite veins.  To the north the veins splay off to the east into the diorites.  The southern concession of the Farellón property covers a 1.7 km section along strike of the sheared contact and the northern claims overlie a further 750 metres o f the sheared contact as well as a 1.7 km section of the veining splayed into the diorite.

Vein type, plutonic hosted IOCG deposits such as Carrizal Alto and by extension the Farellón property are characterized by a distinct mineralogy that includes not only copper and gold but also cobalt, nickel, arsenic, molybdenum and uranium.  All of the IOCG deposits are partially defined by their iron content in the form of either magnetite or hematite.  Typically the vein deposits of the coastal Cordillera are chalcopyrite, actinolite and magnetite deposits.

History

Mining in the region was historically focused on the Carrizal Alto area to the north of the main Farellón property.  However, the Farellón project was mined on a limited basis during the 1940’s when Carrizal Alto had for the most part already shut down.  Very little information regarding the mining has survived but there is a small amount of historical data located in the SERNAGEOMIN national archives in Santiago.

Historical records indicate that copper mining commenced at Carrizal Alto in the 1820's and continued on a significant scale, mostly by British companies, until 1891 when disastrous flooding occurred and mines closed.  The historical reports indicate that the larger mines were obtaining good grades over significant widths in the bottom workings at the time of closure.  It is estimated that during this period, in excess of 3 million tonnes with grades in excess of 5% copper and widths of 8m was extracted as well as there was a large quantity of direct shipping ore at 12% copper.  At one time there was a considerable body of tails present to support to these figures but the high gold and copper prices over the last few years has lead to the trucking and reprocessing of this material. 

A reverse circulation (RC) drill program of 22 drillholes totaling 3,918 metres  was completed in 1996-1997.  The drilling was conducted at irregular intervals along the mineralized shear and they were sampled at regular one metre sample intervals along their entire length.  The drilling confirmed mineralization in the shear zone down to a vertical depth of approximately 200 metres. Significant intersections from this drilling are:

  Significant Interval (m) Assay Results 
Drill Hole From To Length Gold (g/t) Copper (%)
FAR-96-006 49 54 5 0.15 0.73
FAR-96-007 25 34 9 0.38 1.05
FAR-96-009 57 84 27 0.51 0.91
FAR-96-010 31 36 5 1 0.68
FAR-96-011 20 26 6 0.67 0.46
FAR-96-013 86 93 7 0.87 1.68
FAR-96-014 77 83 6 0.66 0.85
FAR-96-015 59 79 20 0.99 0.98
and 99 109 10 0.18 1.02
FAR-96-016 24 26 2 0.95 1.57
and 64 70 6 0.73 0.81
FAR-96-020 14 16 2 0.46 1.85
and 39 43 4 0.75 0.9
FAR-96-021 22 25 3 4.17 5.29
FAR-96-022 29 39 10 1.53 1.31
and 100 108 8 3.72 2.49
FAR-96-023 50 53 3 0.48 1.1
and 59 64 5 0.28 0.78
and 132 147 15 0.6 1.42
FAR-96-024 33 36 3 0.94 2.89
FAR-96-025 65 85 20 0.97 1.22
FAR-96-028 55 58 3 0.12 0.52
FAR-96-029 30 34 4 0.18 1.15
and 82 87 5 0.09 0.96

2009 Exploration

 Red Metal’s first substantial exploration drilling program of 5 reverse circulation holes, totalling 725 metres, was conducted in September, 2009.  The drill program was designed to confirm mineralization from the 1996 drilling and to begin to test mineralization at depth.  Significant intersections from this drilling are:

  Significant Interval (m) Assay Results 
Drill Hole Number
From To Core Length Gold (ppm) Copper (%)
FAR-09-A 31 34 3 0.81 1.99
and 79 109 30 0.18 0.62
including 97 106 9 0.44 1.63
FAR-09-B 56 96 40 0.27 0.55
including 56 63 7 0.22 0.66
and including 74 96 22 0.42 0.79
including 75 86 11 0.67 1.35
FAR-09-C 73 103 30 0.79 0.55
including 77 82 5 4.16 2.57
FAR-09-D 95 134 39 0.11 0.58
including 95 103 8 0.33 2.02
FAR-09-E 25 30 5 0.54 1.35

2011 Exploration

In 2011 Red Metal completed a 2,233 metre, 11 drill hole drill program designed to continue to expand the known mineralized zone down dip and infill in large gaps of previous drill programs.  Three of the drill holes finished with diamond drill core which provided important information to aide in better defining the structural controls on mineralization. Significant intersections from this drilling are:

  Significant Interval (m) Assay Results 
Drill Hole Number From To Core Length Gold (ppm) Copper (%)
FAR-11-001 36 49 13 0.35 2.51
FAR-11-001 78 85 7 0.04 0.43
FAR-11-003 150 155 5 0.28 0.4
and 177 182 5 0.15 0.44
FAR-11-004 141 145 4 0.01 0.73
FAR-11-005 124 133 9 0.26 0.84
FAR-11-006 80 112 32 0.99 1.35
FAR-11-007 56 74 18 0.4 0.5
FAR-11-008 98 102 4 0.26 0.85