Mollacas
Background
The Mollacas Project is located approximately 65 km east of Ovalle, south-east of the important coastal city of La Serena, and approximately 450 km north of Santiago, Chile. Tenements cover 32.55 km2.
Hampton holds a 50% interest, with the balance beneficially held by Chilean corporation MN Ingenerios.
The mineral deposit occurs at an elevation of approximately 1200-1500 metres on slopes immediately north of the east-west Rio Los Molles valley. The project is relatively accessible and near existing infrastructure.
The Mollacas Project is located along a north south trending volcanic sequence which has been subsequently intruded by sub volcanic porphyritic rocks. The deposit occurs within an alteration zone covering approximately 1000 x 700 metres. The copper mineralisation is present in both the upper oxide and underlying supergene zones.
Location
Location of Mollacas project, near La Serena (approx. 475km north of Santiago)
Drilling, Mineral Resources, Scoping Study
Initial drilling in 2006 of 10 reverse circulation and 46 diamond core drill holes generated JORC compliant Indicated Resources of 7.2 million tonnes at 0.56% copper and Inferred Mineral Resources of 9.8 million tonnes at 0.52% copper, for total copper resources of 17.0 million tonnes.
In November 2008, Hampton completed a 3,970 metre infill drilling program to upgrade the resource classification from Inferred Mineral Resources to Indicated Mineral Resources, and to provide material for further detailed leach testing.
Following preliminary metallurgical testing a scoping study undertaken by SRK Consulting, Chile, in July 2008 estimated that current resources at Mollacas could be mined over a 7 year mine life producing approximately 13,500 tonnes pa of copper cathode at a unit operating cost of approximately US$0.91 per lb. At a copper price of US$2.50/lb and a discount rate of 10%, the net present value of the project is US$93 million with an internal rate of return of 70%.
Metallurgy
Initial leach test work in 2008 on representative samples from Mollacas drill core commissioned produced good leach results and copper recovery.
Hampton is currently proceeding with further and more detailed metallurgical leach test work on oxide and supergene ores for the Mollacas deposit, to provide information for leaching and solvent extraction / electrowinning design as part of a final feasibility study. The additional work will refine copper recoveries and provide more accurate estimates of operating and capital costs.
Column leach testwork has commenced using CIMM laboratories in Santiago and is planned for completion by September 2010.
Photos
Mollacas, Aerial view to north east
Mollacas, View to south
Mollacas, View to south west
Mollacas, Oxide copper mineralisation
Mollacas, Oxide copper mineralisation
Mollacas, Supergene copper mineralisation
