VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/07/13 -- INCA ONE RESOURCES CORP. (TSX VENTURE: IO) -
-- Authorized by Peruvian Government to produce up to 350 tons per day while working on formalizing commercial operating permits-- 200+ meters of previous workings and underground tunnels-- Great infrastructure including roads, mine buildings, grid power & running water on site-- Five potential high-grade gold veins on the Project show evidence of 1,200m strike
INCA ONE RESOURCES CORP. ("the Company" or "Inca One") is pleased to announce that it has entered into an Option Agreement ("Agreement") with Canadian Mining S.A., pursuant to which it has been assigned an option to acquire 100% of the Corizona Mining Concession ("Corizona Project" or "the Project").
The Project is located in the Lahuaytambo District, Huarochiri province in the Department of Lima, the area is known as Cruz de Laya and La Mina, approximately 85 kilometers from the city of Lima or a 2.5 hour drive. The Corizona Mining Concession consists of 259 hectares recorded in the Public Registry Office of Lima.
The Corizona Project is subject to a formalization process, which allows exploration and production of up to 350 tons per day while working towards formal operating permits and authorizations. Canadian Mining S.A. is a private Peruvian company which has an option to acquire the Project from the underlying property owner. It is submitting an IGAC (Corrective Environmental Management Instrument) to the Ministry of Energy and Mines as due procedure to obtain commercial operating permits.
Previous work on infrastructure, exploration and engineered mine development has been performed on the Project. Roads and an office have been built to the Project, while running water and electricity is on site.
The Corizona Project contains a large hydrothermal system with gold hosted in a hematite-chlorite-quartz structurally controlled en echelon veins. The veins intruded with rhyo-dacitic dykes in parallel fractures along andesite-dacite tuff volcaniclastic bedding planes. The high grades of gold referenced below are associated with quartz-iron oxide and argillic-kaolinitic alteration. An extensive network of artisan working and pits that span the width of the Project, over one kilometer in strike, suggest the potential for multiple veins.
There are eight known veins on the Corizona Project, two of which (Veins B and C) have been partially mined previously from over 200meters of tunneling and underground workings. Previous work and sampling from these veins have reported very consistent grades of more than 10g/t gold over vein widths of 0.5 to 1.5 meters. Inca One intends to thoroughly resample and map the historical workings, timber the tunnels and commence bulk sampling of the known veins as soon as possible.
In 2010, Mr. Elard Zegarra, a Peruvian engineer, wrote a report on the Corizona Project and although it was not written to 43-101 specifications, the study is consistent with previous mining engineering practices. This study produced an accurate survey of the main existing mine workings on Veins B and C. From the historic sampling (non 43-101 compliant) grades averaged 7.57 g/t gold for Vein B and 11.49 g/t gold for Vein C over a width of 0.7 meters, from samples taken every 2 meters along the 80 meter length of the previous mine workings. Several samples from this previous work reported over 100 g/t gold.