Syllabus For The Subject Mine Development

MINE DEVELOPMENT

TABLE OF CONTENTS

SUMMARY

1 Introduction .

Property Description and Ownership ..

Geology and Mineralization ..

Exploration and Mining History ..

Drilling and Sampling ..

Metallurgical Testing ...

Mineral Resource Estimation ..

Preliminary Economic

Assessment

Mining Methods .

Recovery Methods

Project Infrastructure .

Environmental Studie

s and Permitting .

Capital Costs .

Operating Costs .

Economic Analysis ..

Conclusions and Recommendations .

 

2 INTRODUCTION AND TERMS OF REFERENCE ..

Project Scope and Terms of Reference ..

Frequently Used Acronyms, Abbreviations

, Definitions, and Units of Measure .

 

3 RELIANCE ON OTHER EXPERTS .

 

4 PROPERTY DESCRIPTION AND LOCATION ...

Location

Land Area

Agreements and Encumbrances ..

Environmental Permits and Potential Liabilities ....

Permits

Potential Liabilities ...

5 ACCESSIBILITY, CLIMATE, LOCAL  RESOURCES, INFRASTRUCTURE, AND

PHYSIOGRAPHY

 

Access

Climate .

Local Resources and Infrastructure .

Physiography .

 

 

6 HISTORY

Exploration History ..

Historic Mineral Resource Estimates ...

1976 Estimate by Utah International Inc. ..

1991 and 1993 Historic “Geological Reserve” Estimate by Cyprus Minerals

Company

 

1995 Historic “Geological Resource” Estim

ate by Noble Peak Resources Ltd.

Previous Mineral Resource Estimate ..

 

 

7 GEOLOGIC SETTING AND MINERALIZATION ..

Geologic Setting

Regional Geology .

Local Geology .

Property Geology .

Mineralization .

Main Zone

Deep Zone

Skarn-Hosted Indium and Molybdenum .

Other Skarn Occurrences .

Replacement Style

Ag-Zn-Pb .

 

Molybdenum .

 

 

8 DEPOSIT TYPES ..

 

9 EXPLORATION

Photogrammetry ..

Magnetic Survey .

Induced Polarization Survey ..

 

10 DRILLING .

Summary

Historic Drilling ..

Drilling by InZinc Mining Ltd. .....

 

 

11 SAMPLE PREPARATION, ANALYSES, AND SECURITY ..

Sampling

Historic Sampling .

InZinc Sampling .

Core Recovery Determinations ..

Historic Core Recovery .

InZinc Core Recovery .

Historic Sample Preparation and Analysis ..

Sampling Preparation and Analysis by InZinc Mining Ltd. ..

InZinc Quality-Control Protocol .

 

 

12  DATA VERIFICATION ..

Verification of Historic Data

Assay Table

Base and Precious Metals .

Iron Assays .

Davis Tube Analyses

Collar Table

Geologic Data Table .

Down-Hole Survey Table .

Verification of Data Generated by InZinc Mining Ltd. .

 

Assay Table .

Base and Precious Metals and Indium ..

Iron Assays .

Davis Tube Analyses .

Collar Table .

Geologic Data Table .

Down-Hole Survey Table .

Quality Assurance/Quality Control .....

Base and Precious Metals, Indium, Cadmium, Gallium, and Germanium

Certified Standards .

Blanks .

Duplicate Assays .

Summary .

Iron

 

Standards

Blanks .

Duplicates .

Comparison of AGAT Fusion Assays to Original Iron Assays

 

13  MINERAL PROCESSING AND M

ETALLURGICAL TESTING ..

Metallurgical Sample Composites ...

Historical Test Work .

Metallurgical Testing by InZinc Mining Ltd. ..

Metallurgical Testing at G & T Metallurgical Services Ltd. .

Mineralogical Analysis of KM2450 Samples ..

Preliminary Bond Ball Mill Work Index Data ..

Flotation Test Results ..

Magnetite Recovery Test Work ..

Oxide Mineralization Tested by Kappes, Cassiday & Associates .

Metallurgical Projections ...

Future Work ..

 

 

 

14 MINERAL RESOURCE ESTIMATES ...

Introduction

Resource Classification ..

West Desert Resource Estimates .

Procedures .

Geologic Background .

Geologic Model

Sample Coding and Compositing ..

Density

Resource Model and Estimation ..

Discussion, Qualifications,

Risk, and Recommendations .

 

 

15 MINERAL RESERVES ESTIMATE ..

 

16 MINING METHODS .

Economic Parameters .

Stope Definition .

Stoping Methods

Longitudinal Long-Hole Stopes .

Transverse Long-Hole Stopes .

Backfill .

Dilution and Ore Loss ..

Development

Haulage-Method Selection ..

Ventilation .

Geotechnical Considerations ....

Hydrology .

PEA Potentially Mineable Resources ..

Equipment Selection ..

Production Schedule ..

Mine Personnel ..

 

 

 

 

17 RECOVERY METHODS ...

Introduction .

Summary of Process Description

Design Criteria .

Run-of-Mine Production ..

Concentrator Basis of Design .

Concentrator Description .

Crushing, Conveying, and Stockpiling ...

Primary and Secondary Grinding ...

Magnetic Separation .

Flotation Feed Preparation .

Copper Flotation .

Zinc Flotation ..

Concentrate Thickening and Dewatering ...

Tailings Handling ...

Reagents, Services, and Utilities ..

Project Power and Plant Consumables ...

 

 

18 PROJECT INFRASTRUCTURE .

PROJECT INFRASTRUCTURE .

Tailings Storage Facility ...

Waste Dumps .

Borrow Pits .

Electrical Distribution ..

Access Roads

Buildings and Security .

Off-site Infrastructure ...

 

 

19 MARKET STUDIES AND CONTRACTS .

Zinc Concentrate .......

Copper Concentrate .

Magnetite Concentrate .

 

 

 

20 ENVIRONMENTAL STUDIES, PERMITTING,

AND SOCIAL OR COMMUNITY IMPACT

Environmental Studies ..

Permitting

Local Consultation .

Mine Closure Requirements ..

 

 

21 CAPITAL AND OPERATING COSTS ..

Capital Cost Estimate

Mine Capital Costs ..

Mill Capital Costs .

Other Capital Costs .

Operating Cost Estimate ...

Mine Operating Costs ...

Mill Operating Costs ..

Other Operating Costs ...

 

 

22 ECONOMIC ANALYSIS ...

Economic Parameters .

Taxes and Royalties ..

Cash-Flow Model ..

Financial Results ..

Economic Sensitivities .

 

 

23 ADJACENT PROPERTIES .

 

24 OTHER RELEVANT DATA  AND INFORMATION ...

 

25 INTERPRETATION AND CONCLUSIONS .

Risks and Opportunities

Risks

Opportunities .

 

26 RECOMMENDATIONS ...

Phase One Work Program ..

Phase Two Work Program .

 

27 REFERENCES

DATE AND SIGNATURE PAGE .

CERTIFICATE OF QUALIFIED PERSONS ...