San Jos ProjectOn the Road to

Production
www.minandes.com

Forward Looking Statements

This presentation includes certain statements that may be deemed "forwardlooking". All statements, other than those of historical fact, that address future
production, pro forma projections, reserve potential, exploration drilling and
developments that the Company expects are forward-looking statements.
Although the Company believes the expectations expressed in such forwardlooking statements are based on reasonable assumptions, they are not
guarantees of future performance and actual results may differ materially from
those projected. Factors that could cause actual results to differ materially
include market prices, exploration successes, availability of capital and
business conditions. For more information investors should review the filings
with its home jurisdiction and the U. S. Securities Exchange Commission.

Patagonian geology

Accreted forearc terranes (Late

Paleozoic-early Mesozoic siliciclastic
rocks)

Magmatic arc (Patagonian batholith

and related volcanic rocks)

Bimodal rift-related volcanic rocks of

the Patagonian Mesozoic Large
Igneous Province (Mid Jurassic to
Lower Cretaceous)

Cretaceous sedimentary basins

Mesozoic marginal basin terrane

(Ophiolites and volcaniclastic flysch)

Tertiary intra-arc trans-tensional

basins

Tertiary to Quaternary flood basalts

Map compiled from USGS (Open File Report 97-470) and SEGEMAR (Zappettini 1998) sources

Patagonian metallogeny

Low sulfidation epithermal Ag-Au

quartz veins associated with
Mesozoic bimodal volcanism

Polymetallic quartz veins

associated with arc related
volcanism

Base metal skarn occurrences

Cu manto and porphyry

occurrences

Kuroko type deposits

Au placer deposits

Sandstone hosted U occurrences

Map compiled from USGS (Open File Report 97-470), SEGEMAR (Zappettini, [Ed.] 1998, 1999),
Townley et al. (2000), Sanders (2000), Schalamuk et al. (1999 a, b), Zubia et al. (1999), Genini
(1999), de Barrio (1999), Tessone (1999), Echavarria & Etcheverry (1998, 1999), Zubia & Genini
(2003)

Advanced projects
Prospect mine
Co Vanguardia
Martha - Co Bayo
San Jose
Manantial Espejo

Esquel

Company
Anglo Gold
Coeur DAlene
Minera Santa Cruz
Silver Standard
Panamerican Silver
Meridian Gold

IMA
250+ m oz Ag
Meridian
4.2 m oz Au

San Jos
50 m oz Ag
San Jos

Coeur
3.2 m oz Au
75 m oz Ag
Silver
Standard

Anglo Gold

Deseado massif

Map source: SEGEMAR

Province of mid-Jurassic bimodal

volcanic rocks (purple)

Mid- to late Jurassic epithermal quartz

veins and sinter

Cratonic character preserved highlevel epithermal features

Limited to the north WNW lineament

and Cretaceous San Jorge basin

Partially covered by Tertiary to

Quaternary flood basalts and basaltic
volcanic cones

Deseado massif mines & prospects

Map compiled from Sanders (2000), Schalamuk et al. (1999 a, b), Zappettini (1998, 1999), Zubia et al. (1999), Zubia & Genini (2003)

San Jos Joint Venture

San Jos Joint Venture

Minera Santa Cruz - Jointly owned Argentinean company

51% Mauricio Hochschild y Compaia Ltda. (MHC)

(operator)

49% Minera Andes - public Canadian company - TSX-V

San Jos Project

Santa Cruz Province
Development project
40,000 hectares

San Jos

San Jos

40,000
hectares

San Jos

San Jose project

Map source: SEGEMAR

San Jos project: ~410 km2 various

targets at different stages of exploration
and development

Geologic setting very similar to other

prospects in the Deseado massif

Low sulfidation epithermal Ag-Au quartz

veins in andesitic volcanic rocks of the
mid-Jurassic Bajo Pobre Fm. and La
Matilde Fm.

Vast cover by Tertiary flood basalts and

by Cretacous sedimentary rocks in local
basins

District Scale Potential

5ft 0.29 opt Au

Multi-million ounce Au/Ag

potential
18 ft 0.46 opt Au
48 opt Ag

+ 4 vein trends identified

Resource estimate on only 2.9km
+ 32 km long vein system

20 ft 1.79 opt
Au 48 opt Ag

Drilling History

March 1999

May 1999

March 2000 - July 2001

2 kilometers

Resource Estimate
HUEVOS VERDES 2.2 KM
JULY 2002
(From Snowden Mining Consultants, 43-101 Compliant)

Resource
Indicated
Inferred

Ag
Cutoff
(g/t)
250
250

Tonnes
415,000
658,000

Ag
Grade
(g/t)
414.5
513.4

Au
Grade
(g/t)
4.6
5.3

Ag
(ounces)
5,530,000
10,087,000

Au
(ounces)
61,000
112,000

483,000* OUNCES GOLD EQUIVALENT

*Does not include results from 2.3km of underground development
and 22,000 meters of drilling underway

San Jos Project Current Status

Project access - 28 km all-weather road,

selected surface rights purchased

Underground construction on Huevos Verdes

North and South Areas (3.5 km advanced on

two levels) to convert resources to reserves
Drilling Program completed ( + 34,000meters)

to convert resources to reserves

+ 240 Employees and contractors on site

Huevos Verdes
Underground Workings Progress
3.5 km ( 80 percent completed)

Mine development

Mine Base Camp

Clam shell scoop

South shaft headframe

Inclined shaft

Paragenetic sequence
1. Early mottled to banded
quartz with sinuous sulfide
bands and streaks
2. Lattice textured quartz
replacing rather massive less
bladed calcite
3. Massive milky quartz
4. Pure sulfide-clay veinlets
5. Chalcedonic quartz at late
stages

Bonanza sulfide veinlets

Centimeters-wide bands of pure

sulfides bring bonanza grades,
e.g. sample upper left 0.14 m @
296 g/t Au, 6521 g/t Ag

Cross-cutting earlier gingurobearing phases, late stage

Associated with, and grading out

along strike into clay veinlets

Vein strike and mineralization

Clear control of vein strike on grade,

vein width, and present
mineralization styles

High grade mineralization in leftstepping flexures and jogs at vein

strikes of 305-320

Intermediate grade mineralization at

vein strikes of 320-325

Faulting, brecciation, and barren

chalcedonic quartz at strike
directions of 350-002

Structural model

Huevos Verdes vein system

developed along sinistral fault
system

Modeling of drill data and

increasing underground
development reveal possible
bending of individual vein
segments towards WNW-strike

Sinistral faults possibly developed

within dextral master faults

Model coincides with overall

regional structural setting with
dextral wrench faulting in the
Patagonian region at time of
mineralization

Feasibility Study

San Jos Bankable Feasibility

Study Team

MTB Project Management Professionals, Inc.- Feasibility

Study Manager

AMEC (Per) S.A.- Feasibility Study Engineering (Process,

Metallurgy, Infrastructure), Ore Reserve Estimation and
Mine Design

Vector Chile Ltda.- Hydrogeology & Geotechnical Engineering

Vector Argentina S.A.- Environmental (EIA), Permitting, and

Social Studies

SGS Lakefield- Metallurgical & Environmental Testing

Feasibility Study Status

Project
500 start up, increased to 750 t/d
Estimated development costs to be arranged by

Hochschild via project financing

Reserve definition
Underground development & drilling

Metallurgical/Process Engineering
Preliminary metallurgical & environmental (ARD, etc.)

testing completed
Process Selected- flotation, concentrate leach, Merrill-

Crowe with tailings backfill

Recoveries for Gold 90%, Silver 88%

Feasibility Study Status

(continued)
Mine Design - Ramp design and rock mechanics

studies completed, mining method cut & fill

Infrastructure - power, water assessed
Hydrogeology
Geotechnical Design
Environmental Impact Assessment and baseline

studies
Permitting
Social Issues

San Jos
2005 Program

San Jos 2005 Program

Reserve Definition -

Underground work, construction, drilling

10,000m

Resource/Reserve Expansion -

Frea Vein drilling

16,000m

Property wide Exploration -

Follow-up on existing discoveries

and geophysical targets, drilling

8,000m

Total drilling - ~ 34,000m

Feasibility Study - Completion in August 2005

Exploration:
The Real Growth

San Jos Project- Aerial View

Basalt cap rock

Aguas Vivas

Exploration:
The Real Growth
Vein trends totaling over 32 km

in strike length
Huevos Verdes

Only 10% of vein system drilled

Frea Vein (formally called

Huevos Verdes East discovery)

Intercept
(meters)

Gold
(g/t)

Silver
(g/t)

1.62

231.0

3,983

0.32

885.2

13,762

5.47

43.8

1860

Geophysics Identifies Vein

Huevos Verdes Vein

Expansion through
Exploration
Geophysics - Gradient Array IP
100% success rate
Additional geophysics
Huevos Verdes vein

Frea Vein

Exploration Targets
Over 5km of new
targets
Drilling 2nd half 2005

On the Road to
Production

www.minandes.com

THE END

Project Topography

Limited outcrop

Very restricted vein outcrops

Systematic trenching

Flood basalt
cover

Decline Huevos Verdes Sur

Trace Huevos Verdes vein

Camp San Jose