TECHNICAL REPORT ON MANTARO PHOSPHATE DEPOSIT JUNIN DISTRICT, PERU Zone 18 8680000N 456000E (PSAD’56 datum) Report for NI 43-101 Author: Donald H. Hains, P. Geo. Author: Michelle Stone, Ph.D., P. Geo. Effective Date: February 21, 2010 Filing Date: March 16, 2010 Prepared for: Stonegate Agricom Ltd. 401 Bay Street, Suite 2010 Toronto, ON Canada M5H 2Y4 Hains Technology Associates 605 Royal York Rd., Suite 206 Toronto, Ont. M8Y 4G5 Tel: (416) 971-9783 Fax: (416) 971-9812 Email:
[email protected] MANTARO PHOSPHATE DEPOSIT STONEGATE AGRICOM LTD. TABLE OF CONTENTS PAGE 1 SUMMARY 1 Executive Summary 1 Conclusions 3 Recommendations 5 Budget 7 Technical Summary 9 2 INTRODUCTION AND TERMS OF REFERENCE 13 3 RELIANCE ON OTHER EXPERTS 16 4 PROPERTY DESCRIPTION AND LOCATION 117 5 ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, INFRASTRUCTURE AND PHYSIOGRAPHY 23 6 HISTORY 26 7 GEOLOGICAL SETTING 31 Regional Geology 31 Property Geology 33 8 DEPOSIT TYPE 44 9 MINERALIZATION 45 10 EXPLORATION 55 11 DRILLING 61 12 SAMPLING METHOD AND APPROACH 63 13 SAMPLE PREPARATION, ANALYSES AND SECURITY 65 14 DATA VERIFICATION 80 15 ADJACENT PROPERTIES 84 16 MINERAL PROCESSING AND METALLURGICAL TESTING 86 17 MINERAL RESOURCES AND MINERAL RESERVE ESTIMATES 90 Database, Software and Three-dimensional Model 91 Samples and Compositing 100 Block Model 103 Block Interpolation 103 Classification 105 Hains Technology Associates MANTARO PHOSPHATE DEPOSIT STONEGATE AGRICOM LTD. Results 107 Validation 117 Comparison with Previous Resource Estimates 117 Issue that could affect the