The Azulcocha mine is located near the limit of Lima Department with the Department of Junin approximately 95 kilometres east of LimaThe mine property consists of 15 concessions totaling 2036.4 hectares at elevations that range from 4200 to 4600 m ASL. The property covers the former Gran Bretaña mine which Toho Zinc operated from 1970 until 1978 and produced 1,424,500 tonnes of ore generating 314,100 tonnes of concentrate and 1,110,400 tonnes of tailings. Access to the concessions is by paved road to within 40 kilometres of the site. Total travel time from Lima to the mine is 6 ½ hours. Signed agreements are in place with the local communities providing unlimited surface access to the concessions for the next thirteen years. The Environmental Impact Study and Closure plan has been approved and all other permits to restart the mine have either been received or are expected shortly.

Vena has been working on the property since 2006 and is in the final stages of putting the mine back into production with a plant having an initial capacity of 750 tpd with a Zn recovery of 88% producing a zinc concentrate grading 58%. At present a new tailings pond is being constructed and the footings are being built for the concentrator. The office and living quarters have been refurbished to accommodate a staff and crew of 400 people. Four levels of the mine have been rehabilitated and a 3 megawatt electrical sub-station has been built that is connected to the national grid.

The mineral resource at Azulcocha has been calculated to NI 43-101 standard (Aug 2011) at measured + indicated 2,037,453 tonnes at 7.4% and 14.4% Mn with an additional inferred resource of 463,544 tonnes at 6.2% Zn and 20.9% Mn. In addition there is a NI 43-101 compliant probable resource in tailings calculated at 908,400 tonnes at 3.27% Zn, 10% Mn and 1 g/t Au. A NI 43-101 compliant Reserves report is being prepared that will be filed in October and will form the basis of the mine plan. The project is on track to begin production of concentrates early in Q1 2011. Since July 6 2010, Trafigura Beheer B.V. has been partnering Vena in the financing of the project.

Azulcocha is predominantly a low temperature zinc-manganese replacement body in a karstic structure that formed where Jurassic limestone was thrust over Cretaceous sandstone by the regional Cochas Gran Bretana fault. The deeper drilling has intersected manto style higher temperature mineralization that was probably the source of the metals in the replacement ore body.

Detailed mapping, trenching and rock geochemical sampling has identified several near mine target areas for drill testing that could add considerable mill feed in the short term. The targets include: 1) a potential western fault off-set of the Azulcocha ore body; 2) a nearly vertical vein and manto deposits in the hangingwall limestone to the south of the mine; 3) the Fierromina mineralized cross fault located approximately 800 metres west of the Azulcocha deposit and 4) the extensive geochemical anomalies east of the mine within footwall rocks of the Cochas- Gran Bretana fault. A program of 15 drill holes totaling 4850 metres has been recommended to test these targets.