Peruvian Andes: Geology & Mineral Potential

Miguel Cardozo

PDAC Convention 2006

Peru is a World Leader in Mining

International Ranking by Product Metal
Silver Tin Lead Zinc Copper Gold Ranking 2004 World Latin America 1st 1st 3rd 1st 4th 1st 3rd 1st 4th 2nd 5th 1st

Peru is also a world-class producer of Molybdenum, Bismuth, Tellurium, Selenium

Source: USGS and Ministry of Energy and Mines of Peru

Peru is a preferred mining investment destination

Worldwide Exploration Inves tment (US$ billions )
6 5 4 3 2 1 0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2.9 3.5 4.6 3.7 2.8 2.6 2.2 2.4 3.8 5.2 5.1

1.9

Source: Metals Economics Group

Peru is a preferred mining investment destination

Top 10 Countries Exploration Investm ent 2005
Argentina, 3% Chile, 3% Brazil, 3% Sth Africa, 4% Mexico, 5% Canada, 19%

US$250 million

Peru, 5% Rus ia, 5% s USA, 8%

Source: Metals Economics Group

Aus tralia, 13%

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Volcanics Limestones Coarse clastics Fine clastics

Mochica Phose
LOWER

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Late Hercynian Phoss

Early Hercynian Phase

A thick, mainly late Pz Up.K, marine sed.- volc. Sequence. Followed by a terrestrial clastic sequence and intense sub-aereal volcanic activity

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

QUATERNARY

TERTIARY

Coastal Batholith
PLIOCENE MIOCENE 0 OLIGOCENE EOCENE 50 PALEOCENE UPPER 100

Cordillera Blanca Batholith

Quechua Phases Incaic Phases Peruvian Phose Mochica Phose

CRETACEDUS
LOWER

Volcanics Limestones Coarse clastics Fine clastics

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN SILURIAN

UPPER LOWER

200

Apurimac Batholith
Late Hercynian Phoss Early Hercynian Phase

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

ORDOVICIAN

Pataz Batholith
400 450 500 550 600 2000 0 300 km

CAMBRIAN

Intense, episodic magmatism occurred in the Cordilleran region. Intrusives range from deep batholithic to subvolcanic settings

PRE - CAMBRIAN

100

200

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

QUATERNARY

PLIOCENE MIOCENE

Northern Peru Cu-Au Porphyry Belt

Quechua Phases Incaic Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Deposit Types
Cu Porphyry
Cu-Au Porphyry

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

Cu Skarn

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Apurimac Cu Porphyry Belt

Early Hercynian Phase

Late Hercynian Phoss

400

SILURIAN
450

ORDOVICIAN
500

Paleocene Southern Peru Cu-Porphyry Belt

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Northern Peru Cu-Au Porphyry Belt

La Granja 800 Mt @ 0.61% Cu Caariaco 365 Mt @ 0.5% Cu Cerro Corona 91Mt @1.0 g/t Au, 0.53% Cu Minas Conga 190 Mt @ 0.3% Cu, 0.8 g/t Au, Galeno 430 Mt @ 0.6% Cu, 0.2 g/t Au Michiquillay 630 Mt @ 0.69% Cu La Arena 34Mt @ 0.8 g/t Au La Virgen 2 Mt @ 2.3 g/t Au

Paleocene Southern Peru Cu-Porphyry Belt

Cerro Verde 724 Mt @ 0.59% Cu Cuajone 61 Mt @ 0.49% Cu (oxides) 1,212 Mt @ 0.64% Cu Quellaveco 213 Mt @ 0.94% Cu, 0.014% Mo, 1.74 g/t Ag 761 Mt @ 0.57% Cu, 0.023% Mo, 2.31 g/t Ag Toquepala 770 Mt @ 0.74% Cu

Eocene-Oligocene Apurimac Cu-Porphyry-Skarn Belt

Las Chancas 200 Mt @ 1% Cu Las Bambas +300Mt @ +1.1% Cu

Tintaya +200 Mt @ +1.5% Cu Antapaccay 390 Mt @ 0.83% Cu

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Acari

Deposit Types
IOCG

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Marcona

Late Hercynian Phoss

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

QUATERNARY

PLIOCENE MIOCENE

Acar
50

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE PALEOCENE

Deposit Types
IOCG

Incaic Phases

Tambogrande
Peruvian Phose
100

UPPER

CRETACEDUS
Mochica Phose
LOWER

Cu VMS Cu-Zn VMS

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

RalCondestable
Late Hercynian Phoss

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Marcona Mina Justa

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Iron Oxides Cu-Au Coastal Belt

Raul-Condestable +30 Mt @ 1- 2.5% Cu Cerro Lindo 42 Mt @ 5.1% Zn, 0.8% Cu, 35 g/t Ag Marcona 1,800 Mt @ 53.3% Fe Mina Justa 412 Mt @ 0.62% Cu

Lancones Basin VMS Cu-Zn-Au

Tambogrande TG1 64 Mt 1.7% Cu, 1.4% Zn, 0.7 g/t Au, 31 g/t Ag TG3 110 Mt 0.7% Cu, 1.0% Zn, 0.7 g/t Au, 17 g/t Ag

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Deposit Types
MVT

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Late Hercynian Phoss

Early Hercynian Phase

San Vicente

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Central & Northern Peru MVT Zn-Belts

Bongar +5 Mt @ +15% Zn

San Vicente +30 Mt @ 12 14% Zn

QUATERNARY

PLIOCENE MIOCENE

Iscaycruz
TERTIARY
OLIGOCENE EOCENE 50 PALEOCENE

Antamina

Quechua

Phases

Deposit Types
Cu Skarn Cu-Zn Skarn

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

Cobriza
Late Hercynian Phoss Early Hercynian Phase

300

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

QUATERNARY

Hualgayoc
PLIOCENE MIOCENE 0 OLIGOCENE EOCENE 50 PALEOCENE

San Rafael
Quechua Phases

TERTIARY

Deposit Types
Cu Skarn Cu-Zn Skarn Polymet Replac. Polymet Veins

Incaic Phases

Colquijirca
Peruvian Phose

UPPER

CRETACEDUS
100

Mochica Phose
LOWER

Casapalca
150 200

MALM

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN

UPPER LOWER

San Gregorio
250 PENNSYLVANIAN MISSISSIPPIAN 350 300

Late Hercynian Phoss

Huanzal

CARBONIFEROUS DEVONIAN

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

San Cristobal

Cercapuquio

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Central Peru MVT Zn-Belt

Magistral Antamina 500Mt @ 1.2% Cu, 1% Zn Cerro de Pasco +120Mt @ 7.2% Zn, 2.3% Pb

Colquijirca ~25 Mt @ 7% Zn San Gregorio +70Mt @ 7.4% Zn, 2.2% Pb Morococha +30 Mt @ +7% Zn + Toromocho porphyry with 1976 Mt @ 0.69% Cu eq Iscaycruz +5Mt @ +18% Zn

QUATERNARY

PLIOCENE MIOCENE

Cofrada

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Deposit Types
Epithermal

Incaic Phases

UPPER

CRETACEDUS
100 LOWER

Yanacocha, Pierina

Peruvian Phose

Mochica Phose

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

La Arena
Late Hercynian Phoss

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Yanacocha, Pierina & Southern Peru Epithermal Gold-Silver Belts

Tantahuatay 350 Mt 0.85% Cu, 0.33 g/t Au, 9 g/t Ag, 0.18% As + 25 Mt @ 1.0 g/t Au (oxides) La Zanja 20 Mt @ 0.85 g/t Au Sipn 16Mt @ 2.0 g/t Au Yanacocha 650 Mt @ 1.0 g/t Au Quiruvilca +6 Mt @ 7 oz/t Ag, 5% Zn, 0.9% Cu Pierina +100 Mt @ 2,1 g/t Au Antapite Quicay +6 Mt @ 1,1 g/t Au Santa Rosa Ares +1 Mt @ 20 g/t Au Orcopampa +2 Mt @ 18 g/t Au

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Coastal Batholith Mesothermal Gold Belt

Incaic Phases Peruvian Phose Mochica Phose

Deposit Types
Mesothermal Au

UPPER

CRETACEDUS
100 LOWER

MALM

150

JURASSIC

DOGGER LIAS

Pataz Batholith Mesothermal Gold Belt

Late Hercynian Phoss

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Early Hercynian Phase

400

SILURIAN
450

Ananea Mesothermal Gold Belt

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Pataz Batholith & Coastal Batholith Mesothermal Gold Belts

Poderosa Horizonte Retamas Quartz-gold vein-systems, typical grades between 14 g/t and 20 g/t Au

Arirahua San Juan de Chorunga Ishihuinca

Gold and Polymetallic Mineralization in Southeastern Peru

San Rafael +15 Mt @ 5.3% Sn, 0.2% Cu

Ana Mara very high grade, narrow veins

Peru has a great variety of mineral deposits

in terms of:

Deposit types and their geological framework

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Deposit Types
Cu Porphyry
Cu-Au Porphyry IOCG

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

MALM

150

MVT Cu VMS Cu-Zn VMS Cu Skarn Cu-Zn Skarn Polymet Replac. Polymet Veins
Epithermal

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Late Hercynian Phoss

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

Mesothermal Au
100 200 300 km

2000

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Commodity mix

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Main Commodities
Iron. Copper Copper-Gold Copper-Zinc Zinc

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Late Hercynian Phoss

Polymetallic Gold-Silver Tin + Other

Tungsten + Other

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Mineralization age

QUATERNARY

PLIOCENE MIOCENE

Quechua

Phases

TERTIARY

OLIGOCENE EOCENE 50 PALEOCENE

Mineralization Age
U.Tertiary Eocene-Olig. Paleocene Cretaceous Jurassic Paleozoic

Incaic Phases

UPPER

Peruvian Phose

CRETACEDUS
100

Mochica Phose
LOWER

MALM

150

JURASSIC

DOGGER LIAS

TRIASSIC PERMIAN CARBONIFEROUS DEVONIAN

UPPER LOWER

200

250 PENNSYLVANIAN MISSISSIPPIAN 350

300

Late Hercynian Phoss

Early Hercynian Phase

400

SILURIAN
450

ORDOVICIAN
500

CAMBRIAN

550

600

PRE - CAMBRIAN

2000

100

200

300

km

COSTA

WESTERN CORDILLERA

ALTIPLANO

EASTERN CORDILLERA

SUBANDEAN REGION

Mineral provinces and belts

MINERALIZED BELTS
Lancones Basin VMS Cu-Zn-Au

Northern Peru Cu-Au Porphyry Belt

Northern Peru MVT Zn Belt

Yanacocha Epithermal Gold Belt

Pataz Batholith Mesothermal Gold Belt Central Peru MVT Zn-Belt Eocene-Oligocene Apurimac Cu-Porphyry-Skarn Belt Ananea Mesothermal Gold Belt Paleocene Southern Peru Cu-Porphyry Belt Southern Peru Epithermal Au-Ag Belt

Pierina Epithermal Gold Belt Central Peru Polymetallic Skarn & Replacement Belt Iron Oxides Cu-Au Coastal Belt Coastal Batholith Mesothermal Gold Belt

Size and geometry

World-class ore deposits in Peru

High-Sulphidation Epithermal Gold
Yanacocha: + 60 million oz of gold Pierina: +8 million oz of gold Alto Chicama: +9 million oz of gold

Cu-Zn Skarn Deposits

Antamina: 500Mt @ 1.3% Cu, 1% Zn

Polymetallic Replacement Deposits

Cerro de Pasco: +120Mt @ 7.2% Zn, 2.3% Pb San Gregorio: +70Mt @ 7.4% Zn, 2.2% Pb

World-class ore deposits in Peru

Copper Porphyries
Cuajone: 1,200Mt@ 0.64% Cu Toquepala: 770Mt @ 0.74% Cu

IOCG
Mina Justa: 412Mt @ 0.62%

Iron ore deposits

Marcona: 1,800Mt @ 53.3% Fe

and

Peru is under-explored

Peru:
Current Production & Resources
(as a Percentage of Global Figures)

Commodity
G old Copper Zinc Silver Tin

Production
8.4% 6.7% 12.9% 15.1% 15.0%

Resources
4.6% 6.4% 4.3% 6.5% 9.0%

Calculated from USGS published figures for year 2005 Resources: Measured + Indicated

PERU: A MINING COUNTRY