20
TSX-V: OCO Frankfurt: OR6 www.orocoresourcecorp.com

Oroco Resource Corp Oco May 2009 Update

Embed Size (px)

Citation preview

Page 1: Oroco Resource Corp Oco May 2009 Update

TSX-V: OCO

Frankfurt: OR6

www.orocoresourcecorp.com

Page 2: Oroco Resource Corp Oco May 2009 Update

DISCLAIMER

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company’s actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

Page 3: Oroco Resource Corp Oco May 2009 Update

PROJECT LOCATIONS

Page 4: Oroco Resource Corp Oco May 2009 Update

HIGHLIGHTS

Gold resource: 300,000 ounce indicated oxide gold resource with 85% extraction in preliminary leach tests.

Zinc resource : +500,000,000 pound zinc resource with 85.3% extraction in preliminary leach tests.

Oxide gold and zinc resources open along strike in both directions.

Recent expansion of landholdings with Yamana property option Agreement, 7,000 ha concession total containing 17.5 km of strike length

Sulphide resource open to depth and north and south on strike. Drill Hole CP011 intersected 10% combined lead and zinc, 0.78% copper and good silver and gold credits over significant width.

Thickness of zone, topography and grade indicate potential for very low cost initial open pit operation focused on mining the oxide gold resource.

Premier logistics include water source, paved highway and national power grid within 10 kilometers and good mining work force within one hour of project.

Mining friendly Mexico gives the opportunity to put project into production within a short time frame.

Page 5: Oroco Resource Corp Oco May 2009 Update

•7,000 Ha Land Position Containing 17.5 km Strike Length

•Cerro Prieto $2.5 Million Purchase Price Fully Paid

•4,200 Ha Property Option With Yamana Gold

Page 6: Oroco Resource Corp Oco May 2009 Update

CERRO PRIETO PROJECT SURFACE PLAN

2008, Phase 1 Exploration Program Managed by Ing. Antonio Montante

• 6,000 meters (22 holes) diamond drilling over 600 meter strike length

• Trenching successful along 1,250 meter strike length

• $1,000,000 program completed on time and on budget

• Mineralization remains open on strike north and south and to depth

• Mineralized structure continues on Yamana Option Concession and Cerro PrietoNorth concession

Page 7: Oroco Resource Corp Oco May 2009 Update

NI 43-101 COMPLIANT 7.5 MILLION TONNE INDICATED GOLD RESOURCE USING 0.5 G/T Au CUT OFF

CATEGORY CUT-OFF TONNES Au Ag Pb Zn (g/t Au) (g/t) (g/t) (%) (%)

INDICATED 0.5 7,450,000 1.24 12.8 0.41 1.04INFERRED 0.5 140,000 0.99 11.2 0.73 1.98

CATEGORY TONNES GOLD (OUNCES) SILVER (OUNCES) LEAD (POUNDS) ZINC (POUNDS)INDICATED 7,480,000 297,000 3,066,000 67,321,200 170,766,000INFERRED 140,000 4,500 50,400 2,252,500 6,109,500

CONTAINED METAL IN 0.5G/T GOLD CUTOFF RESOURCE

Page 8: Oroco Resource Corp Oco May 2009 Update

NI 43-101 COMPLIANT 20.4 MILLION TONNE INDICATED RESOURCE USING 0.5 % ZINC CUT-OFF

CONTAINED METAL IN 0.5% ZINC CUT-OFF RESOURCE

CATEGORY CUT OFF TONNES Au Ag Pb Zn (% Zn) (g/t) (g/t) (%) (%)

INDICATED 0.5 20,440,000 0.43 8.7 0.38 1.2INFERRED 0.5 6,290,000 0.13 14.5 0.3 1.04

CATEGORY GOLD (OUNCES) SILVER (OUNCES) LEAD (POUNDS) ZINC (POUNDS)INDICATED 282,600 5,717,400 171,189,100 540,597,100INFERRED 26,300 2,932,400 41,589,500 144,176,900

Page 9: Oroco Resource Corp Oco May 2009 Update

CERRO PRIETO PROJECT MINERALIZATION

• Subvertical orientation

• Up to 65 meters true thickness

• Oxide to 350 meters from surface

• Topographically amenable to open pit mining

Page 10: Oroco Resource Corp Oco May 2009 Update

CERRO PRIETO PROJECT LONGITUDINAL SECTIONMETAL DISTRIBUTION

Gold distribution

Zinc distribution

Page 11: Oroco Resource Corp Oco May 2009 Update

CERRO PRIETO MINE LOOKING NORTH

CERRO PRIETO PROJECT: LOCATION AND INFRASTRUCTURE

Page 12: Oroco Resource Corp Oco May 2009 Update
Page 13: Oroco Resource Corp Oco May 2009 Update

CERRO PRIETO 3D UNDERGROUND ANIMATION

Page 14: Oroco Resource Corp Oco May 2009 Update

Water Table

9 Level

10 Level

Shaft8 Level

500m

1,250m

1,000m

750m

OXIDE

SULPHIDE

2008 OROCO DRILL HOLES

PROPOSED 2009 DRILL HOLES – OROCO CLAIM

PROPOSED 2009 DRILL HOLES – YAMANA CLAIM

OROCO LONGITUDINAL SECTION

500 Meters

OXIDE GOLD

RESOURCE

OROCO CLAIM

BOUNDARY

1000 Meters 500 Meters

CP023Ç ÇHistorical Workings

Page 15: Oroco Resource Corp Oco May 2009 Update

OROCO RESOURCE CORP.

PROGRAM AND BUDGET TO PREFEASIBILITY MAY 2009

DIAMOND DRILLING: Cerro Prieto Claims – 7400 m 800,000

Yamana Option – 8000 m 885,000

METALLURGY, ENGINEERING, ENVIRONMENT 1,000,000

SUPERVISION AND OVERHEAD 840,000

Sub Total 3,525,000

OTHER EXPLORATION: Cerro Prieto North 625,000Yamana Option (non oxide) 850,000

Sub Total 1,475,000

GRAND TOTAL 5,000,000

Page 16: Oroco Resource Corp Oco May 2009 Update

DRILL, DEFINE, MINE: CRITICAL PATH TO MINING

Jan 2009 Complete resource estimate, begin metallurgical studies and preliminary mine plan

May 2009 Commence infill and extension drilling

Nov 2009 Complete drilling Complete environmental studies

Jan 2010 Complete updated resource calculation Commence prefeasibility

Jul 2010 Complete prefeasibility study

Oct 2010 Begin construction

Apr 2011 Complete construction

Page 17: Oroco Resource Corp Oco May 2009 Update

HIGHLIGHTS

Gold resource: 300,000 ounce indicated oxide gold resource with 85% extraction in preliminary leach tests.

Zinc resource : +500,000,000 pound zinc resource with 85.3% extraction in preliminary leach tests.

Oxide gold and zinc resources open along strike in both directions.

Sulphide resource open to depth. CP011 intersected 10% combined lead and zinc, 0.78% copper and good silver and gold credits over significant width.

Thickness of zone, topography and grade indicate potential for very low cost initial open pit operation focused on mining the oxide gold resource.

Premier logistics include water source, paved highway and national power grid within 10 kilometers and good mining work force within one hour of project.

Mining friendly Mexico gives the opportunity to put project into production within a short time frame.

Page 18: Oroco Resource Corp Oco May 2009 Update

CAPITAL STRUCTURE

Shares Issued and Outstanding* 27,593,521

Stock Options and Warrants 7,551,760

Shares Issued and Outstanding 35,145,281Fully Diluted

Common Share Listing: TSX.V:OCOFrankfurt: OR6

*Management Holdings +11,000,000

Page 19: Oroco Resource Corp Oco May 2009 Update

DIRECTORSStephen M. Leahy, Executive Chairman, Director

• Founder of North American Tungsten

• Over 26 years of experience in venture capital

• Chairman, CEO, Director of North American Tungsten Ltd.

Ken Thorsen, President and CEO, Director

• Over 40 years of experience in the mining business

• 8 years with Selection Trust; 3 years with Cameco

• 21 years with Teck Corporation and 7 years as a consultant

• Senior Exploration Executive at Teck Cominco

including 2 year period as President of Teck Exploration Ltd.

Robert Friesen, Director

• Over 40 years of experience in mining and minerals exploration

• 7 years as Chief Geologist with Noranda Group

• 5 years as a Project Geologist with Teck Exploration Ltd.

Casey Forward, Director and Chief Financial Officer

• Over 25 years of accounting experience in North America and the

United Kingdom with numerous public companies

Page 20: Oroco Resource Corp Oco May 2009 Update

TSX-V: OCO

Frankfurt: OR6

www.orocoresourcecorp.com