Ann: Trading Halt, page-22

In an early greenfields RC drilling program in Chile, several factors determine what constitutes a "good result" in the sector. The interpretation depends heavily on the deposit type you're targeting, the geological setting, and the depth of mineralization.

For porphyry copper-gold systems (Chile's bread and butter):

• 100+ meters of 0.3-0.5% copper would be considered a very promising early result
• Any intercepts showing >0.7% copper over 50+ meters would generate significant excitement
• Consistent molybdenum values above 100ppm accompanying copper would enhance the potential
• Gold credits of 0.1-0.2 g/t throughout copper mineralization add substantial value

For epithermal gold-silver systems:

• 10+ meters of 1-2 g/t gold would warrant immediate follow-up
• High-grade intervals of >5 g/t gold over even 2-3 meters could indicate a significant vein system
• Silver values exceeding 50 g/t accompanying gold mineralization would be advantageous
• Consistent mineralization across multiple holes, even at moderate grades, is often more important than a single high-grade hit

For IOCG deposits:

• 50+ meters of 0.5-0.8% copper with magnetite would be considered very encouraging
• Associated gold values >0.1 g/t would significantly enhance the potential
• Consistent grades across multiple holes would be critical for establishing continuity

Equally important factors beyond grade:

• Oxidation state and metallurgical characteristics (oxide vs. sulfide)
• Structural controls that might indicate continuity
• Alteration patterns suggesting proximity to potentially higher-grade zones
• Minimal deleterious elements (arsenic, antimony)
• Reasonable depth from surface (<300m is preferable for early-stage economics)

In the Chilean context, the presence of "leached cap" material with strong iron oxides and copper oxides like chrysocolla or atacamite in the upper portions would be particularly encouraging as it might indicate supergene enrichment at depth.

Remember that early RC programs are primarily designed to vector toward potential economic mineralization rather than define it completely. Consistent anomalous values across multiple holes often prove more valuable than a single spectacular intercept that might represent a localized pocket.