Mining Division - Azulcocha - Junin
The Azulcocha project is located in the Department of Junin, Peru. This property covers an area of 8,600 hectares comprising nine concessions in good standing and includes the workings of a zinc-antimony mine (Mina Gran Bretaña) which operated from 1975 until 1986. During that period, the mine produced 1,424,500 tonnes of ore generating 314,100 tonnes of concentrate and 1,110,400 tonnes of tailings.
Current access to the concessions is by paved road to within 40 kilometres of the site. While a rail connection from the mine to the large smelter/refinery complex at La Oroya is not currently operational, the rail bed remains available for moving concentrates from subsequent mining activities. High voltage electrical lines pass over the concessions and a work order is in place to provide 1 megawatt of power to the camp facility in the short term. Signed agreements are in place with the local communities providing unlimited surface access to the concessions for the foreseeable future.
According to the records of the Gran Bretaña Mining Company, an estimated 1.94 million tonnes at 4.7% Zinc remain to be mined by either open pit or underground methods. Given the number of mines in the area (Casapalca, Morococha and Yauli) and the existence of a major regional fault (Cochas-Gran Bretaña), a regional exploration program is planned to determine the presence of additional ore bodies. The Company has rehabilitated some of the original employee housing to provide accommodation for those who will be involved in this and future exploration efforts.
Vena Resources has commenced a 1,800-metre drilling program to confirm the mine's historical underground resources - an estimated 3.2 million tonnes of mineralization. The Company has also hired Minefill Services, Inc. to perform a scoping study which will provide Vena with operating and financial guidance regarding Azulcocha. Construction of a modular pilot mill has begun, leading to the establishment of an industrial mill in the first quarter of 2008.